[Code of Federal Regulations]
[Title 26, Volume 18]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 26CFR301.6337-1]

[Page 303-304]
 
                       TITLE 26--INTERNAL REVENUE
 
    CHAPTER I--INTERNAL REVENUE SERVICE, DEPARTMENT OF THE TREASURY 
                               (CONTINUED)
 
PART 301_PROCEDURE AND ADMINISTRATION--Table of Contents
 
               Seizure of Property for Collection of Taxes
 
Sec. 301.6337-1  Redemption of property.

    (a) Before sale. Any person whose property has been levied upon 
shall have the right to pay the amount due, together with costs and 
expenses of the proceeding, if any, to the district director at any time 
prior to the sale of the property. Upon such payment the district 
director shall restore such property to the owner and all further 
proceedings in connection with the levy on such property shall cease 
from the time of such payment.
    (b) Redemption of real estate after sale--(1) Period. The owner of 
any real estate sold as provided in section 6335, his heirs, executors, 
or administrators, or any person having any interest therein, or a lien 
thereon, or any person in their behalf, shall be permitted to redeem the 
property sold, or any particular tract of such property, at any time 
within 120 days after the sale thereof.
    (2) Price. Such property or tract of property may be redeemed upon 
payment to the purchaser, or in case he cannot be found in the county in 
which the property to be redeemed is situated, then to the district 
director for the internal revenue district in which the property is 
situated, for the use of the purchaser, his heirs, or assigns, the 
amount paid by such purchaser and interest thereon at the rate of 20 
percent per annum. In case real and personal property (or several tracts 
of real property) are purchased in the aggregate, the redemption price 
of the real property (or of each of the several tracts) shall be 
determined on the basis of the ratio, as of the time of sale, of the 
value of the real property (or tract) to the value of the total property 
purchased. For this purpose the minimum price or the highest bid price, 
whichever is higher, offered for the property separately or in groups 
shall be treated as the value.
    (c) Record. When any real property is redeemed, the district 
director shall cause entry of the fact to be made upon the record of 
sale kept in accordance with section 6340, and such entry shall be 
evidence of such redemption. The party who redeems the property shall 
notify the district director of the internal revenue district in which 
the property is situated of the date of such redemption and of the 
transfer of the certificate of sale, the amount of the redemption price, 
and the name of the

[[Page 304]]

party to whom such redemption price was paid.

[32 FR 15241, Nov. 3, 1967, as amended by T.D. 7180, 37 FR 7319, Apr. 
13, 1972]