Delinquent Taxes & Collections

When property taxes are not paid on time, they become delinquent. The Orange County Tax Administration is required by North Carolina law to collect these taxes. Our goal is to work with you in a fair way and help you understand your options.

When Property Taxes Become Delinquent

Orange County property taxes are billed each year and are due on September 1. Taxes become delinquent on January 6 of the following year.

After January 5:

  • A 2% interest charge is added in January.
  • An additional 0.75% interest is added each month after that.
  • Collection actions may begin, and extra fees may be added depending on the type of collection.

If you receive a notice that your taxes are delinquent, please contact us as soon as possible. Acting early can help you avoid extra costs.

What Happens After Taxes Are Delinquent

When taxes stay unpaid, the County may use one or more collection tools allowed by state law. We usually start with letters and phone calls to give you a chance to pay or set up a payment plan.

If the bill is still not paid, the following actions may be used:

Wage Garnishment

A portion of your paycheck may be taken and sent directly to Orange County to pay your tax bill. This continues until the taxes, interest, and fees are paid in full.

Bank Account Garnishment

Money may be taken from your bank account to pay delinquent taxes. Your bank may also charge its own fee for this action.

State Tax Refund Setoff

Your North Carolina state income tax refund may be used to pay your delinquent Orange County taxes. This process is called a setoff.

Setoff Against Lottery Winnings

If you win prize money from the North Carolina Education Lottery, some or all of your winnings may be used to pay your overdue county taxes.

Attachment of Rent Payments

If you are a landlord and collect rent, part of the rent payments may be taken and sent to the County to pay your tax bill.

Seizure and Sale of Personal Property

In some cases, personal property such as vehicles, equipment, or other items of value may be taken and sold to pay delinquent taxes, interest, and fees.

Foreclosure on Real Property

If taxes remain unpaid for an extended time and other efforts do not work, the County may start a tax foreclosure on the real estate. This can lead to the sale of the property in order to pay the taxes that are owed.

We prefer to avoid these actions whenever possible. Please reach out to us early so we can talk about your options.

Payment Plans

If you cannot pay the full amount at once, you may be able to set up a short-term payment plan. Payment plans do not stop interest from adding on, but they may help you avoid stronger collection actions like garnishments or foreclosure.

To ask about a payment plan, please contact the Tax Administration office. We will review your account and explain what options may be available.

Ways to Pay Delinquent Taxes

You can pay delinquent taxes in several ways:

  • Online: Pay your tax bill online .
  • By phone: Call the Tax Office at 919-245-2100.
  • By mail:
    Orange County Tax Administration
    228 S. Churton Street, Suite 200
    P.O. Box 8181
    Hillsborough, NC 27278
  • In person: Visit our office at 228 S. Churton Street, Suite 200, Hillsborough during normal business hours.

For more information about payment methods, visit our  Tax Payment Options  page.

How to Avoid Future Delinquent Taxes

  • Sign up for e-billing so you receive your bill by email as well as by mail.
  • Make sure your mailing address is up to date with the Tax Administration office.
  • Pay early or set reminders for yourself so you do not miss the due date.
  • If you are 65 or older, disabled, or a qualifying veteran, review our  Property Tax Assistance Programs  to see if you may qualify for tax relief.

Contact Us

If you have questions about delinquent taxes or collection actions, please contact us. We are here to help explain your bill and your options.

Orange County Tax Administration – Collections
228 S. Churton Street, Suite 200
P.O. Box 8181
Hillsborough, NC 27278

Phone: 919-245-2100
Website:  Orange County Tax Administration