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B26-0771

Tax Sale Equity Amendment Act of 2026

Last scannedAug 25, 2026, 4:28 AM

In one sentence

This bill updates District of Columbia laws to allow the collection of unpaid recordation taxes through tax sales and creates a process for property owners to claim remaining equity in their homes.

What it does

  • Allows the government to collect overdue recordation taxes by selling properties at a tax sale.
  • Updates how attorney fee limits are calculated using a cost-of-living adjustment based on inflation data from the Consumer Price Index.
  • Sets different time periods for finalizing sales depending on whether land is improved or unimproved and its property class.
  • Increases a specific fee amount to $531.50 in certain foreclosure notices.
  • Creates a process for owners or interested parties to file an answer within 90 days (or 30 days in some cases) after being served with foreclosure papers.

Who it affects

  • District of Columbia property owners who owe taxes or face foreclosure
  • Purchasers at tax sales and their successors in interest
  • The Recorder of Deeds office

Limits and unknowns

  • The official text provided is incomplete and cuts off before finishing Section (j) regarding specific legal procedures.
  • The effective date for these changes has not been set in the source material.
  • Specific details on how equity claims are distributed after a judicial sale are cut off in the provided excerpt.

Plain language

Terms to know

Tax Sale
A public sale where the government sells property to collect unpaid taxes.
Equity
The value of a property that remains after paying off debts and costs, which owners may claim under this bill.
Redeem
To pay back the owed money to regain ownership or stop a sale from happening.

Official record

Sources

Source attached

Official summary

Tax Sale Equity Amendment Act of 2026

Official activity

Bill history

  1. Under Council Review