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Bill

Bill

S 6166

Relates to delinquent tax interest rates

2025 Regular Session Introduced by Sean Ryan

S 6166 would modify delinquent tax interest rates, changing how interest accrues on overdue local taxes and impacting taxpayers and local governments.

REFERRED TO REAL PROPERTY TAXATION
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Bill Summary · S 6166

Summary of S 6166 — Relates to delinquent tax interest rates

Note: The provided materials do not include the bill’s full text or specific technical provisions. This summary reflects the bill’s stated title, sponsor, status, and recorded legislative actions, along with reasonable inferences about its likely subject matter based on the title.

Overview and purpose

  • Bill number and title: S 6166 — Relates to delinquent tax interest rates.
  • Primary sponsor: Senator Sean Ryan (primary).
  • Intent (inferred from title): The bill would modify the interest rates applied to delinquent taxes. This typically concerns property taxes or other local government taxes, and may adjust how interest is calculated on overdue amounts, with potential impacts on taxpayers and local jurisdictions.

What the bill would change (content not specified in provided material)

  • The exact changes to delinquent tax interest rates are not included in the available information. Expected areas a bill with this title could address (without asserting specifics) typically include:
    • The base interest rate applied to overdue taxes.
    • How interest accrues (daily vs. monthly, simple vs. compounding).
    • Caps or floors on interest or penalties for delinquencies.
    • Timing or deadlines for when new rates take effect.
    • Transitional provisions for taxes owed prior to enactment.
  • For precise provisions (rate figures, definitions, applicability, enforceability, and effective dates), the bill text should be consulted.

Who would be affected

  • Property owners and taxpayers: Those owing delinquent local taxes could see changes in interest accrual, which may affect the total amount due if taxes remain unpaid.
  • Local governments and tax authorities: Agencies responsible for collecting delinquent taxes and administering local assessments could experience changes in revenue timing and collection costs, as well as potential impacts on administrative processes.
  • Possibly specific tax types or jurisdictions: Depending on the bill’s scope, the changes could apply broadly to all delinquent taxes or be limited to certain tax types, districts, or municipalities.

Procedural and timeline aspects

  • Introduced: March 6, 2025.
  • Status progression (Senate):
    • Referred to Local Government (3/6/2025).
    • Referred to Real Property Taxation (6/9/2025).
    • Committee actions: Discharged and committed to Rules (6/9/2025).
    • Ordered to third reading (CAL.1694) (6/9/2025).
    • Passed Senate (6/9/2025).
    • Delivered to Assembly (6/9/2025).
  • Current status (as provided): Referred to the Assembly committee handling Real Property Taxation; has not yet been acted on by the Assembly as of the latest update.
  • Next steps: The Assembly committee would consider the bill, potentially amend, and then move it toward a floor vote.

Related bills

  • S 6310 (prior-session)
  • S 967 (prior-session)
  • These related bills suggest a continued interest in adjusting delinquent tax interest practices, potentially with similar policy goals.

Potential fiscal and practical impacts

  • Changes to delinquent tax interest rates can influence:
    • Revenue timing for local governments (earlier or slower cash inflows from delinquent accounts).
    • The total liability for taxpayers with overdue taxes.
    • Administrative workload for tax collection agencies (if rates or calculation methods change).
  • Without the exact rate changes, the net fiscal impact (revenue, incentives for timely payment, administrative costs) cannot be quantified here.

Notes and how to learn more

  • To understand the bill’s concrete provisions, the full text of S 6166, the fiscal note (if issued), and committee reports should be reviewed.
  • Keep an eye on Assembly committee actions for potential amendments or a floor vote.

Compiled from official sources — confirm details with the bill’s official record.

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