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Tax Resource Manual

29. Tax Division Directive No. 83 (May 15, 1990) Authority to Release the Right of Redemption

By virtue of the authority vested in me by Part O of Title 28 of the Code of Federal Regulations, particularly Sections 0.70, 0.160, 0.162, 0.164, 0.166, and 0.168, it is hereby ordered as follows:

Section 1. The U.S. Attorney for each district in which is located real property, which is subject to a right of redemption of the United States in respect of Federal tax liens, arising under section 2410(c) of Title 28 of the United States Code, or under State law when the United States has been joined as a party to a suit, is authorized to release the right of redemption, subject to the following limitations and conditions—

  1. This redelegation of authority relates only to real property on which is located only one single-family residence, and to all other real property having a fair market value not exceeding $200,000. That limitation as to value or use shall not apply in those cases in which the release is requested by the Department of Veterans Affairs or any other Federal agency.
  2. The consideration paid for the release must be equal to the value of the right of redemption, or fifty dollars ($50), whichever is greater. However, no consideration shall be required for releases issued to the Department of Veterans Affairs or any other Federal agency.
  3. The following described documents must be placed in the U.S. Attorney's file in each case in which a release is issued--
    1. Appraisals by two disinterested and well-qualified persons. In those cases in which the applicant is a Federal agency, the appraisal of that agency may be substituted for the two appraisals generally required.
    2. Such other information and documents as the Tax Division may prescribe.

Section 2. This directive supersedes Tax Division Directive No. 55, effective May 7, 1986.

Section 3. This directive shall become effective on the date of its publication in the FEDERAL REGISTER.

Date: April 27, 1990

Assistant Attorney General
Tax Division


Date: May 15, 1990

Deputy Attorney General

[cited in USAM 6-6.140; 6-6.700]