How_do_I_calculate_penalty_Owners_

How do I calculate penalty? (Owners)

Calculate penalty on a taxing district to determine the additional charges that should be applied to delinquent taxes within that district. Penalties encourage timely payment of taxes and help ensure compliance with established payment deadlines. Calculating penalties accurately ensures taxpayers are charged the correct amount, maintains consistency across accounts, and supports accurate billing and collections.

Examples:

  • Apply a penalty when property taxes remain unpaid after the district's due date.
  • Calculate penalty amounts based on the rates established by the taxing district.
  • Determine the total amount owed, including penalties, before generating delinquency notices.
  • Verify that penalty charges comply with local policies and statutory requirements.
  • Update account balances to reflect penalties before processing payments or collections.

 

By calculating penalties at the taxing district level, you help ensure delinquent taxes are handled consistently, account balances remain accurate, and tax collection requirements are enforced.

Note: Accounts with an abatement credit will not calculate a penalty.

 

Before you get started

  • Add the calculation for calculating penalty to the Calculations table. (Organization > Calculations) 


Calculating penalty

Calculate penalty on a taxing district. Connect will use the taxing district due date to create penalty billing transactions based on the penalty calculation that has been selected. Running this routine will calculate a penalty for each period.

Do this...

1. Open Connect Property Tax Collection > Owners > Calculate Penalty.

2. Select the Calculation.

Use this field to use select the formula to calculate a penalty.

 

3. Enter a Description.

This is the transaction description the routine will use to create penalty transactions. Example: Interest


4. Select the Property Types.

Use real property to calculate penalty for land or a piece of real estate. Use personal property to calculate penalty for a material asset, such as a car, boat, mobile home, and so on for personal or business use.

What do you want to do?

  • I want to calculate penalty for material assets. Click to select the checkbox titled Personal Property.

  • I want to calculate penalty for land or real estate. Click to select the checkbox titled Real Property.


5. Set up the selection criteria. (Optional)

 

6. Click GO (CTRL+G).

The routine calculates penalty.

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