You are handling the sale out of Tommy Taxpayer, and when you review the title, you see that the Georgia Department of Revenue filed a State Tax Execution against him in May 2010. You also see that a nulla bona was filed in January 2017. You know that fi fas are valid for seven years, and you start to panic. The closing is only two days away, and although there are likely funds to satisfy the fi fa, you’re concerned you won’t get a payoff in time. Tommy is a friend of yours, and you don’t want to reschedule this closing. What can be done?

Did You Know . . . that the law on state tax executions changed in 2018? Under GA Code §48-3-42, liens filed prior to January 1, 2018, are no longer valid unless they were refiled by the Department of Revenue on January 1, 2018. If a lien was filed prior to January 1, 2018, and was not refiled on January 1, 2018, it is no longer a valid lien. An execution filed or renewed after January 1, 2018, expires ten years from the date of filing, and is not subject to renewal by nulla bona. Further, Department of Revenue liens no longer attach on a statewide basis. All executions filed on or after February 20, 2018, only attach to real property in the county in which the execution has been filed.

Your transaction can close without payment of the state tax execution since it was not refiled on January 1, 2018.

Courtesy of First American Title