Which statement about an installment plan before a tax sale is true?

Which statement about an installment plan before a tax sale is true?

• A. Requires a resolution from municipal governing body for all or specific taxes/properties.
• B. Must be paid within 6 years in equal monthly payments.
• C. Past installment plans are allowed.
• D. If late more than 60 days, the installment plan is void.

Answer: (A)

The essential point is that an installment plan before a tax sale must be authorized by a formal resolution of the municipal governing body. This resolution specifically approves the plan and sets its scope—which taxes or properties are covered and the terms under which delinquent amounts can be paid. Without that official action, the municipality cannot offer an installment arrangement, so the plan has to be grounded in that governing body approval. This formal resolution requirement ensures the plan is a publicly decided policy, providing clear terms and accountability for both taxpayers and the town. The other statements imply rigid, universal rules (like a fixed six-year term with equal payments, or that past plans are prohibited, or that a plan automatically becomes void after a certain lateness) that aren’t the standard basis for authorizing an installment plan. The exact terms—term length, payment schedule, and consequences for late payments—are determined by the resolution and applicable statutes, not by a single blanket rule.

The essential point is that an installment plan before a tax sale must be authorized by a formal resolution of the municipal governing body. This resolution specifically approves the plan and sets its scope—which taxes or properties are covered and the terms under which delinquent amounts can be paid. Without that official action, the municipality cannot offer an installment arrangement, so the plan has to be grounded in that governing body approval.

This formal resolution requirement ensures the plan is a publicly decided policy, providing clear terms and accountability for both taxpayers and the town. The other statements imply rigid, universal rules (like a fixed six-year term with equal payments, or that past plans are prohibited, or that a plan automatically becomes void after a certain lateness) that aren’t the standard basis for authorizing an installment plan. The exact terms—term length, payment schedule, and consequences for late payments—are determined by the resolution and applicable statutes, not by a single blanket rule.