How to Claim Tax Overages in Georgia
When a property is sold at a tax sale in Georgia due to unpaid property taxes, it can sometimes sell for more than the amount owed. This surplus amount—known as tax overage or excess funds—may legally belong to the former property owner or their heirs. If you’ve lost property to a tax sale in Georgia, you might be entitled to claim those surplus funds. Here's a clear breakdown of the process.
What Are Tax Overages?
Tax overages arise when a Georgia county auctions a property to recover unpaid taxes and the winning bid exceeds the amount due. The difference between the final sale price and the tax debt (plus penalties, interest, and sale costs) is called the overage or excess funds.
Example:
If a home is sold at a tax sale for $50,000, but the back taxes and fees only total $8,000, there’s a $42,000 overage potentially available to the rightful claimant.
Who Can Claim Tax Overages in Georgia?
The following parties may have a legal right to claim excess funds:
The former property owner (at the time of the tax sale)
Heirs or legal representatives of a deceased former owner
Other parties with a valid legal interest (e.g., lienholders or mortgage companies)
If multiple parties have claims, the court may determine how the funds are distributed.
Step-by-Step Guide to Claiming Tax Overages in Georgia
1. Confirm the Existence of Overages
Contact the tax commissioner’s office or the clerk of court in the county where the property was sold. Ask whether excess funds are being held from a specific tax sale.
You’ll need:
The property address
Parcel ID or tax ID number
Date of the tax sale (if known)
2. Determine If You’re the Rightful Claimant
You must have a legal claim to the funds. If you're the former owner or heir, ensure you have proper documentation (e.g., ID, deed records, death certificates, wills, or probate orders).
If you're claiming as an heir, you may need to open an estate in probate court before receiving funds.
3. Submit a Claim to the County
Each county has its own process, but in general, you'll need to:
Write a formal request or petition for the funds
Include documentation proving your identity and interest in the property
Possibly file a claim in superior court or submit a petition for disbursement
Some counties have forms; others require you to draft a motion or petition yourself or with legal help.
4. Attend a Court Hearing (If Required)
In some cases, especially when multiple parties claim the funds, the court will schedule a hearing. You may need to present your case before a judge to establish your entitlement.
Having an attorney familiar with Georgia tax sale law may help, especially in disputed claims.
5. Receive Disbursement of Funds
Once the county (or court) approves your claim, a check for the surplus funds will be issued to you. Timing varies by county but may take several weeks or months.
Important Georgia Laws to Know
O.C.G.A. § 48-4-5 – Governs the distribution of excess tax sale funds
O.C.G.A. § 48-4-1 through § 48-4-6 – Covers tax lien sales, redemptions, and surplus funds
O.C.G.A. § 53-2-1 – Details inheritance rights for heirs, important in probate-related claims