(a)(1) (A) If a county collector demands payment of property tax due on mineral interests by a known owner of mineral interests at the taxpayer's last known address and the taxpayer fails to pay the property tax due on mineral interests by October 15, the county collector, after December 1, may:
(i)Present a certified statement or account for taxes to any person who has in the person's possession funds that are:
(a)Derived from the property on which the delinquent taxes are outstanding; and (b) Due and owing to the delinquent taxpayer; and (ii) Demand payment of the delinquent taxes plus any penalties and interest.
(B)(i) For property taxes on mineral interests that are delinquent after December 1 and at the time the certified statement or account is presented, an additional penalty of
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(a) (1) (A) If a county collector demands payment of property tax due on mineral interests by a known owner of mineral interests at the taxpayer's last known address and the taxpayer fails to pay the property tax due on mineral interests by October 15, the county collector, after December 1, may: (i) Present a certified statement or account for taxes to any person who has in the person's possession funds that are: (a) Derived from the property on which the delinquent taxes are outstanding; and (b) Due and owing to the delinquent taxpayer; and (ii) Demand payment of the delinquent taxes plus any penalties and interest. (B) (i) For property taxes on mineral interests that are delinquent after December 1 and at the time the certified statement or account is presented, an additional penalty of ten percent (10%) of the amount of the delinquent property taxes shall be assessed as an administrative collection fee. (ii) Upon collection of the delinquent property taxes and any penalties and interest from the person receiving the certified statement or account, the county collector shall pay, upon request, one-half (1/2) of the penalty assessed and collected under subdivision (a)(1)(B)(i) of this section to the person making the payment for the administrative costs incurred in collecting and paying to the county collector the delinquent taxes, penalties, and interest. (iii) A portion of the administrative collection fee retained by the county collector under this section shall represent the interest continuing to accrue for the period of up to ninety (90) days from the date that the certified statement or account is presented until the certified statement or account is returned with payment. No other form of interest is due from the person receiving the certified statement or account. (C) Before a county collector may initiate collection proceedings under this section: (i) The county collector shall: (a) Prepare a list of the delinquent taxes on mineral interests in his or her county; and (b) Provide the list, including without limitation the following information, to the Association of Arkansas Counties by December 1 of each year: (1) The name and last known address of the owner of the mineral interests; (2) The applicable well name, uncontrolled lease name, or unitized area name as recognized by the Oil and Gas Commission; (3) The county, section, township, and range of the property containing the mineral interests; (4) Notice of the penalty provided under subdivision (a)(1)(B)(i) of this section; and (5) Notice that the county collector may seek collection under this section if the property taxes, penalties, and interest remain unpaid after December 1; (ii) The Association of Arkansas Counties shall: (a) Create a website that is accessible by the public and is dedicated to publishing notice of delinquent taxes on mineral interests; and (b) (1) Within seven (7) days of receiving a list under subdivision (a)(1)(C)(i) (b) of this section, publish the list to the website created under subdivision (a)(1)(C)(ii) (a) of this section. (2) The publication required under this subdivision (a)(1)(C) shall be in substantially the following form: Click here to view form. (iii) The county collector shall: (a) (1) Publish notice in a newspaper that has general circulation in the county or district for which the list is being published. (2) If there is no newspaper in the county or district, the publication of notice shall be in the nearest newspaper having a general circulation in the county or district for which the list is being published. (3) The notice required under subdivision (a)(1)(C)(iii) (a)(1) of this section shall provide the website at which the delinquent mineral interest tax list may be found; (b) Publish notice at the county courthouse; and (c) Provide notice through the county website. (2) (A) Except as provided in subdivision (a)(2)(C) of this section, the person to which the certified statement or account for taxes is presented shall pay the county collector the amount of the taxes, penalties, and interest that the delinquent taxpayer owes up to the amount of funds the person has in the person's possession that is due and owing to the delinquent taxpayer. (B) (i) The county collector shall provide a copy of the county collector's receipt for the payment to the person making the payment under this section and to the delinquent taxpayer at the delinquent taxpayer's last known address. (ii) The receipt provided under subdivision (a)(2)(B)(i) of this section shall be accepted in the county collector's office and in all courts of the state as payment on the delinquent taxpayer's indebtedness of the amount expressed on the county collector's receipt. (C) (i) The county collector shall not receive or accept a partial payment of the delinquent taxes, penalties, and interest due. (ii) If, at the end of the ninety-day period allowed for the return of the certified statement or account, a person to which the certified statement or account for taxes is presented has in the person's possession an amount of funds due and owing to the delinquent taxpayer that is less than the amount of the taxes, penalties, and interest that the delinquent taxpayer owes, the person to which the certified statement or account is presented is not required to pay any amount. (b) (1) Service of the certified statement or account of the tax under this section shall operate as a levy upon the person served. (2) The certified statement or account shall: (A) State the name of the delinquent taxpayer and the delinquent taxpayer's last known address; (B) (i) Identify the delinquent taxpayer's assessed property interests. (ii) The county collector shall include in the certified statement or account the identification information provided in the notice of publication made under subdivision (a)(1)(C) of this section and a copy of the tax statements containing the delinquent taxpayer's last known address; (C) State that the certified statement or account is returnable within ninety (90) days from receipt by the person indebted to the delinquent taxpayer; (D) State the amount of taxes, penalties, and interest owed; (E) Be returned with payment of the amount owed and delinquent as reflected on the certified statement or account; and (F) Be effective until the earlier of the following: (i) The date the certified statement or account is paid in full; or (ii) One (1) year from the date the certified statement or account is presented for payment under this section. (3) A person shall not be compelled to pay the following: (A) Any amount before it is due and owing to the delinquent taxpayer; or (B) A greater amount than is owed to the delinquent taxpayer. (c) (1) A person making a payment to a county collector under this section is not liable to the delinquent taxpayer to which the person is indebted for complying with a demand for payment under this section. (2) A payment made under this section is considered to be made to the delinquent taxpayer and satisfies any contractual obligation or indebtedness due and owing the delinquent taxpayer by the person making the payment on the certified statement or account for the amount expressed on the county collector's receipt.