Detailed Answer
Paying property taxes on land in Montana does not automatically give you an ownership interest or title to the property. Under Montana law, only a proper tax sale and issuance of a tax deed can transfer legal title for unpaid taxes. For most taxpayers, payment of taxes simply satisfies a lien created by the state.
1. No Automatic Transfer of Title
Mont. Code Ann. § 15-18-212 governs issuance of tax deeds. It requires the county to complete a delinquent tax sale and follow notice procedures. Once the sale is final and redemption periods expire, the purchaser can receive a tax deed. Merely paying another person’s taxes outside this process does not grant title or ownership.
2. Tax Sale Process in Montana
If taxes go unpaid, the county may sell the property at a delinquent tax sale. See Mont. Code Ann. § 15-18-211 and § 15-18-212. After the sale and expiration of a one-year redemption period (§ 15-18-236), the purchaser can apply for a tax deed.
3. Equitable Subrogation for Sureties
If you pay property taxes as a surety—such as a mortgage lender or guarantor—Mont. Code Ann. § 71-5-202 allows you to step into the original creditor’s rights by subrogation. However, this grants you a right to reimbursement and repayment, not direct ownership, unless the underlying agreement provides for foreclosure or transfer of title.
4. Private Agreements and Contracts
You may negotiate a private contract with the record owner promising ownership or reimbursement for paying taxes. Without a written agreement, courts generally won’t infer a property interest solely because you paid taxes.
Disclaimer: This article is for informational purposes only and does not constitute legal advice.
Helpful Hints
- Always get any agreement in writing before paying taxes on someone else’s property.
- Keep detailed records of all payments and communications.
- Consult a real estate attorney if you expect to claim any interest in the property.
- Review county tax sale notices at your local Treasurer’s Office or online.
- Understand the redemption period after a tax sale before pursuing a deed.