{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/58.1-3942.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/58.1-3942.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/58.1-3942.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/58.1-3942.html"}],"law_id":74679,"edition_id":1,"section_id":74679,"structure_id":13956,"section_number":"58.1-3942","catch_line":"Security interests no bar to distress","history":"Code 1950, \u00a7 58-1009; 1966, c. 559; 1981, c. 153; 1983, c. 498; 1984, c. 675; 1990, c. 553; 1996, c. 732; 1997, c. 731; 1999, c. 299; 2001, c. 801; 2005, c. 59; 2012, c. 623; 2020, c. 958.","full_text":"A\n\nNo security interest in goods or chattels shall prevent the same from being distrained and sold for taxes or levies assessed thereon, no matter in whose possession they may be found.B\n\nPrior to such sale for distress, the treasurer, sheriff, constable or collector, or other party conducting the sale shall give notice to any secured party of record as his name and address shall appear on the records of the Department of Motor Vehicles, the Department of Wildlife Resources, the State Corporation Commission, or in the office of the clerk of any circuit court where the debtor has resided to the knowledge of the party to whom the tax is owing during a one-year period prior to the sale. Notice shall also be given to any secured party of whom the party to whom the tax is owing shall have knowledge.C\n\nA security interest perfected prior to any distraint for taxes shall have priority over all taxes, except those specifically assessed either per item or in bulk against the goods and chattels so assessed. Taxes specifically assessed either per item or in bulk against goods and chattels shall constitute a lien against the property so assessed and shall have priority over all security interests. For purposes of this section, a merchant’s capital tax shall be deemed to be specifically assessed against all inventory in the merchant’s possession at the time of distraint, or at the time such inventory is repossessed by the holder of a security interest therein. For purposes of this section, taxes specifically assessed in bulk means an assessment against the specific class of property distrained.D\n\nThe title conveyed to the purchaser of goods and chattels at a sale for taxes specifically assessed either per item or in bulk against such goods and chattels distrained shall be free of all claims of any creditor, including the claims of any secured party of record, provided that notice was given to such creditor as required by subsection B. The person conducting the sale shall apply the proceeds of the sale first to unpaid taxes, penalty, and accrued interest, and then to the claims of secured parties of record, in the order of their priority, before delivering any sum remaining to the person or estate assessed with taxes.E\n\nNotwithstanding any provision of this section to the contrary, no highway vehicle as defined in § 58.1-3941 purchased by a bona fide purchaser for value from the person or estate assessed with taxes shall be liable to levy or distress for such taxes unless the purchaser knew at the time of purchase that the taxes had been specifically assessed against such vehicle.F\n\nThe purchaser of a motor vehicle sold under this section shall receive a sales receipt and an affidavit of the treasurer, sheriff, constable or collector, or other party conducting the sale affirming that he has complied with the provisions of this section, and shall be entitled to apply to and receive from the Department of Motor Vehicles a certificate of title and registration card for the vehicle.","order_by":null,"text":{"0":{"id":268431,"text":"No security interest in goods or chattels shall prevent the same from being distrained and sold for taxes or levies assessed thereon, no matter in whose possession they may be found.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":268432,"text":"Prior to such sale for distress, the treasurer, sheriff, constable or collector, or other party conducting the sale shall give notice to any secured party of record as his name and address shall appear on the records of the Department of Motor Vehicles, the Department of Wildlife Resources, the State Corporation Commission, or in the office of the clerk of any circuit court where the debtor has resided to the knowledge of the party to whom the tax is owing during a one-year period prior to the sale. Notice shall also be given to any secured party of whom the party to whom the tax is owing shall have knowledge.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"C"},"2":{"id":268433,"text":"A security interest perfected prior to any distraint for taxes shall have priority over all taxes, except those specifically assessed either per item or in bulk against the goods and chattels so assessed. Taxes specifically assessed either per item or in bulk against goods and chattels shall constitute a lien against the property so assessed and shall have priority over all security interests. For purposes of this section, a merchant’s capital tax shall be deemed to be specifically assessed against all inventory in the merchant’s possession at the time of distraint, or at the time such inventory is repossessed by the holder of a security interest therein. For purposes of this section, taxes specifically assessed in bulk means an assessment against the specific class of property distrained.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B","next_prefix":"D"},"3":{"id":268434,"text":"The title conveyed to the purchaser of goods and chattels at a sale for taxes specifically assessed either per item or in bulk against such goods and chattels distrained shall be free of all claims of any creditor, including the claims of any secured party of record, provided that notice was given to such creditor as required by subsection B. The person conducting the sale shall apply the proceeds of the sale first to unpaid taxes, penalty, and accrued interest, and then to the claims of secured parties of record, in the order of their priority, before delivering any sum remaining to the person or estate assessed with taxes.","type":"section","prefixes":["D"],"prefix":"D","entire_prefix":"D","prefix_anchor":"D","level":1,"prior_prefix":"C","next_prefix":"E"},"4":{"id":268435,"text":"Notwithstanding any provision of this section to the contrary, no highway vehicle as defined in § 58.1-3941 purchased by a bona fide purchaser for value from the person or estate assessed with taxes shall be liable to levy or distress for such taxes unless the purchaser knew at the time of purchase that the taxes had been specifically assessed against such vehicle.","type":"section","prefixes":["E"],"prefix":"E","entire_prefix":"E","prefix_anchor":"E","level":1,"prior_prefix":"D","next_prefix":"F"},"5":{"id":268436,"text":"The purchaser of a motor vehicle sold under this section shall receive a sales receipt and an affidavit of the treasurer, sheriff, constable or collector, or other party conducting the sale affirming that he has complied with the provisions of this section, and shall be entitled to apply to and receive from the Department of Motor Vehicles a certificate of title and registration card for the vehicle.","type":"section","prefixes":["F"],"prefix":"F","entire_prefix":"F","prefix_anchor":"F","level":1,"prior_prefix":"E"}},"ancestry":[{"id":13956,"edition_id":1,"name":"Collection by Distress, Suit, Lien, Etc","identifier":"3","label":"article","depth":4,"order_by":1,"parent_id":13043,"metadata":{},"date_created":"2026-06-26 03:46:25","date_modified":"2026-06-26 03:46:25","permalink":{"id":258851,"object_type":"structure","relational_id":13956,"identifier":"3","token":"58.1\/III\/39\/3","url":"\/58.1\/III\/39\/3\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13043,"edition_id":1,"name":"Enforcement, Collection, Refunds, Remedies and Review of Local Taxes","identifier":"39","label":"chapter","depth":3,"order_by":1,"parent_id":12704,"metadata":{},"date_created":"2026-06-26 03:44:10","date_modified":"2026-06-26 03:44:10","permalink":{"id":258657,"object_type":"structure","relational_id":13043,"identifier":"39","token":"58.1\/III\/39","url":"\/58.1\/III\/39\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12704,"edition_id":1,"name":"Local Taxes","identifier":"III","label":"subtitle","depth":2,"order_by":1,"parent_id":12703,"metadata":{},"date_created":"2026-06-26 03:43:49","date_modified":"2026-06-26 03:43:49","permalink":{"id":256459,"object_type":"structure","relational_id":12704,"identifier":"III","token":"58.1\/III","url":"\/58.1\/III\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12703,"edition_id":1,"name":"Taxation","identifier":"58.1","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:49","date_modified":"2026-06-26 03:43:49","permalink":{"id":251959,"object_type":"structure","relational_id":12703,"identifier":"58.1","token":"58.1","url":"\/58.1\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":72311,"structure_id":13956,"section_number":"58.1-3940","catch_line":"Limitation on collection of local taxes","url":"\/58.1-3940\/","token":"58.1\/III\/39\/3\/58.1-3940","metadata":false},{"id":56989,"structure_id":13956,"section_number":"58.1-3941","catch_line":"What may be distrained for taxes","url":"\/58.1-3941\/","token":"58.1\/III\/39\/3\/58.1-3941","metadata":false},{"id":74679,"structure_id":13956,"section_number":"58.1-3942","catch_line":"Security interests no bar to distress","url":"\/58.1-3942\/","token":"58.1\/III\/39\/3\/58.1-3942","metadata":false},{"id":70833,"structure_id":13956,"section_number":"58.1-3943","catch_line":"Distraint on property of tenant or of owner of tract who has sold part thereof","url":"\/58.1-3943\/","token":"58.1\/III\/39\/3\/58.1-3943","metadata":false},{"id":79444,"structure_id":13956,"section_number":"58.1-3944","catch_line":"Tenant paying taxes or levies to have credit out of rents","url":"\/58.1-3944\/","token":"58.1\/III\/39\/3\/58.1-3944","metadata":false},{"id":82576,"structure_id":13956,"section_number":"58.1-3945","catch_line":"Where land lies partly in one county and partly in another","url":"\/58.1-3945\/","token":"58.1\/III\/39\/3\/58.1-3945","metadata":false},{"id":61073,"structure_id":13956,"section_number":"58.1-3946","catch_line":"When owner a nonresident of county, city or town where land lies","url":"\/58.1-3946\/","token":"58.1\/III\/39\/3\/58.1-3946","metadata":false},{"id":77647,"structure_id":13956,"section_number":"58.1-3947","catch_line":"Lease of real estate for collection of taxes","url":"\/58.1-3947\/","token":"58.1\/III\/39\/3\/58.1-3947","metadata":false},{"id":72853,"structure_id":13956,"section_number":"58.1-3948","catch_line":"Notice to tenant prior to such leasing","url":"\/58.1-3948\/","token":"58.1\/III\/39\/3\/58.1-3948","metadata":false},{"id":64481,"structure_id":13956,"section_number":"58.1-3949","catch_line":"Reserved","url":"\/58.1-3949\/","token":"58.1\/III\/39\/3\/58.1-3949","metadata":false},{"id":86885,"structure_id":13956,"section_number":"58.1-3952","catch_line":"Collection out of estate in hands of or debts due by third party","url":"\/58.1-3952\/","token":"58.1\/III\/39\/3\/58.1-3952","metadata":false},{"id":55016,"structure_id":13956,"section_number":"58.1-3953","catch_line":"Additional proceedings for the collection of taxes; jurisdiction and venue","url":"\/58.1-3953\/","token":"58.1\/III\/39\/3\/58.1-3953","metadata":false},{"id":64345,"structure_id":13956,"section_number":"58.1-3954","catch_line":"Procedure in such suits","url":"\/58.1-3954\/","token":"58.1\/III\/39\/3\/58.1-3954","metadata":false},{"id":86110,"structure_id":13956,"section_number":"58.1-3955","catch_line":"Judgment or decree; effect thereof; enforcement","url":"\/58.1-3955\/","token":"58.1\/III\/39\/3\/58.1-3955","metadata":false},{"id":65081,"structure_id":13956,"section_number":"58.1-3956","catch_line":"Collection in foreign jurisdiction","url":"\/58.1-3956\/","token":"58.1\/III\/39\/3\/58.1-3956","metadata":false},{"id":77997,"structure_id":13956,"section_number":"58.1-3957","catch_line":"Payments to attorneys or others for collection","url":"\/58.1-3957\/","token":"58.1\/III\/39\/3\/58.1-3957","metadata":false},{"id":71033,"structure_id":13956,"section_number":"58.1-3958","catch_line":"Payment of administrative costs, etc","url":"\/58.1-3958\/","token":"58.1\/III\/39\/3\/58.1-3958","metadata":false},{"id":55485,"structure_id":13956,"section_number":"58.1-3959","catch_line":"Petition to ascertain delinquent taxes; exoneration from lien","url":"\/58.1-3959\/","token":"58.1\/III\/39\/3\/58.1-3959","metadata":false},{"id":56986,"structure_id":13956,"section_number":"58.1-3960","catch_line":"Validation of certain tax deeds made under repealed \u00a7 58-1052 or \u00a7 58-1091","url":"\/58.1-3960\/","token":"58.1\/III\/39\/3\/58.1-3960","metadata":false},{"id":59795,"structure_id":13956,"section_number":"58.1-3961","catch_line":"Assessment not invalid unless rights prejudiced by error","url":"\/58.1-3961\/","token":"58.1\/III\/39\/3\/58.1-3961","metadata":false},{"id":84915,"structure_id":13956,"section_number":"58.1-3962","catch_line":"Reserved","url":"\/58.1-3962\/","token":"58.1\/III\/39\/3\/58.1-3962","metadata":false}],"previous_section":{"id":56989,"structure_id":13956,"section_number":"58.1-3941","catch_line":"What may be distrained for taxes","url":"\/58.1-3941\/","token":"58.1\/III\/39\/3\/58.1-3941","metadata":false},"next_section":{"id":70833,"structure_id":13956,"section_number":"58.1-3943","catch_line":"Distraint on property of tenant or of owner of tract who has sold part thereof","url":"\/58.1-3943\/","token":"58.1\/III\/39\/3\/58.1-3943","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/58.1-3942\/","history_text":"

The record of this law\u2019s original creation isn\u2019t available online. It has been modified 12 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 1966, chapter 559; in 1981, chapter 153; in 1983, chapter 498; in 1984, chapter 675; in 1990, chapter 553; in 1996, chapter 732<\/a>; in 1997, chapter 731<\/a>; in 1999, chapter 299<\/a>; in 2001, chapter 801<\/a>; in 2005, chapter 59<\/a>; in 2012, chapter 623<\/a>; in 2020, chapter 958<\/a>.<\/p>","references":[{"id":86372,"section_number":"46.2-617","catch_line":"Sale of vehicle without certificate of title","order_by":null,"url":"\/46.2-617\/"},{"id":66722,"section_number":"46.2-640","catch_line":"Priority of security interests shown on certificates of title","order_by":null,"url":"\/46.2-640\/"}],"refers_to":[{"id":56989,"section_number":"58.1-3941","catch_line":"What may be distrained for taxes","order_by":null,"url":"\/58.1-3941\/"}],"permalink":{"id":258861,"object_type":"law","relational_id":74679,"identifier":"58.1-3942","token":"58.1\/III\/39\/3\/58.1-3942","url":"\/58.1-3942\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/58.1-3942\/","token":"58.1\/III\/39\/3\/58.1-3942","dublin_core":{"Title":"Security interests no bar to distress","Type":"Text","Format":"text\/html","Identifier":"\u00a7 58.1-3942","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> No security interest in goods or chattels shall prevent the same from being distrained and sold for taxes or levies assessed thereon, no matter in whose possession<\/span> they may be found. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> Prior to such sale for distress, the treasurer, sheriff, constable or collector, or other party<\/span> conducting the sale shall give notice to any secured party<\/span> of record as his name and address shall appear on the records of the Department<\/span> of Motor Vehicles, the Department<\/span> of Wildlife Resources, the State Corporation Commission, or in the office of the clerk of any circuit<\/span> court<\/span> where the debtor has resided to the knowledge of the party<\/span> to whom the tax is owing during a one-year period prior to the sale. Notice shall also be given to any secured party<\/span> of whom the party<\/span> to whom the tax is owing shall have knowledge. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> A security interest perfected prior to any distraint for taxes shall have priority over all taxes, except those specifically assessed either per item or in bulk against the goods and chattels so assessed. Taxes specifically assessed either per item or in bulk against goods and chattels shall constitute a lien<\/span> against the property so assessed and shall have priority over all security interests. For purposes of this section, a merchant’s capital tax shall be deemed to be specifically assessed against all inventory in the merchant’s possession<\/span> at the time of distraint, or at the time such inventory is repossessed by the holder of a security interest therein. For purposes of this section, taxes specifically assessed in bulk means an assessment against the specific class of property distrained. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

D.<\/span> The title conveyed to the purchaser of goods and chattels at a sale for taxes specifically assessed either per item or in bulk against such goods and chattels distrained shall be free of all claims of any creditor<\/span>, including the claims of any secured party<\/span> of record, provided that notice was given to such creditor<\/span> as required by subsection B. The person conducting the sale shall apply the proceeds of the sale first to unpaid taxes, penalty<\/span>, and accrued interest, and then to the claims of secured parties of record, in the order<\/span> of their priority, before delivering any sum remaining to the person or estate assessed with taxes. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

E.<\/span> Notwithstanding any provision of this section to the contrary, no highway vehicle as defined in § 58.1-3941<\/a> purchased by a bona fide purchaser for value from the person or estate assessed with taxes shall be liable to levy<\/span> or distress for such taxes unless the purchaser knew at the time of purchase that the taxes had been specifically assessed against such vehicle. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

F.<\/span> The purchaser of a motor vehicle sold under this section shall receive a sales receipt and an affidavit<\/span> of the treasurer, sheriff, constable or collector, or other party<\/span> conducting the sale affirming that he has complied with the provisions of this section, and shall be entitled to apply to and receive from the Department<\/span> of Motor Vehicles a certificate of title and registration card for the vehicle. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nSECURITY INTERESTS NO BAR TO DISTRESS (\u00a7 58.1-3942)\n\nA. No security interest in goods or chattels shall prevent the same from being\ndistrained and sold for taxes or levies assessed thereon, no matter in whose\npossession they may be found.\n\nB. Prior to such sale for distress, the treasurer, sheriff, constable or\ncollector, or other party conducting the sale shall give notice to any secured\nparty of record as his name and address shall appear on the records of the\nDepartment of Motor Vehicles, the Department of Wildlife Resources, the State\nCorporation Commission, or in the office of the clerk of any circuit court where\nthe debtor has resided to the knowledge of the party to whom the tax is owing\nduring a one-year period prior to the sale. Notice shall also be given to any\nsecured party of whom the party to whom the tax is owing shall have knowledge.\n\nC. A security interest perfected prior to any distraint for taxes shall have\npriority over all taxes, except those specifically assessed either per item or\nin bulk against the goods and chattels so assessed. Taxes specifically assessed\neither per item or in bulk against goods and chattels shall constitute a lien\nagainst the property so assessed and shall have priority over all security\ninterests. For purposes of this section, a merchant’s capital tax shall be\ndeemed to be specifically assessed against all inventory in the merchant’s\npossession at the time of distraint, or at the time such inventory is\nrepossessed by the holder of a security interest therein. For purposes of this\nsection, taxes specifically assessed in bulk means an assessment against the\nspecific class of property distrained.\n\nD. The title conveyed to the purchaser of goods and chattels at a sale for taxes\nspecifically assessed either per item or in bulk against such goods and chattels\ndistrained shall be free of all claims of any creditor, including the claims of\nany secured party of record, provided that notice was given to such creditor as\nrequired by subsection B. The person conducting the sale shall apply the\nproceeds of the sale first to unpaid taxes, penalty, and accrued interest, and\nthen to the claims of secured parties of record, in the order of their priority,\nbefore delivering any sum remaining to the person or estate assessed with taxes.\n\nE. Notwithstanding any provision of this section to the contrary, no highway\nvehicle as defined in § 58.1-3941 purchased by a bona fide purchaser for\nvalue from the person or estate assessed with taxes shall be liable to levy or\ndistress for such taxes unless the purchaser knew at the time of purchase that\nthe taxes had been specifically assessed against such vehicle.\n\nF. The purchaser of a motor vehicle sold under this section shall receive a\nsales receipt and an affidavit of the treasurer, sheriff, constable or\ncollector, or other party conducting the sale affirming that he has complied\nwith the provisions of this section, and shall be entitled to apply to and\nreceive from the Department of Motor Vehicles a certificate of title and\nregistration card for the vehicle.\n\nHISTORY: Code 1950, \u00a7 58-1009; 1966, c. 559; 1981, c. 153; 1983, c. 498; 1984,\nc. 675; 1990, c. 553; 1996, c. 732; 1997, c. 731; 1999, c. 299; 2001, c. 801;\n2005, c. 59; 2012, c. 623; 2020, c. 958.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}