How to Recover Surplus Funds from Tax Foreclosure Sales in Mississippi

If your property was sold at a tax sale in Mississippi for more than the taxes owed, there may be surplus money waiting for you. But there is a deadline — and once it passes, the money is gone for good.

What Are Surplus Funds?

When a county tax collector sells your property at auction to collect unpaid taxes, the sale price sometimes exceeds the tax debt. That extra money is called surplus or excess funds. Under Mississippi Code Section 27-41-77, the tax collector must report the excess to the chancery clerk, and the money is paid into the county treasury.

The key point: that surplus money belongs to you, the former property owner.

The Critical Timeline

Mississippi has a strict deadline structure:

1. Two-year redemption period (Section 27-45-3): After the tax sale, you have two years to redeem your property by paying the purchase price plus interest.
2. Two-year claim period: Once the redemption period expires (and you did not redeem), you have two more years to request payment of the surplus.
3. After four years total: The county keeps the money permanently. There is no appeal and no second chance.

How to Claim Your Money

Follow these steps:

1. Contact the county tax collector and request a memorandum showing the amount of excess from your property's sale. The law gives you the right to this information.
2. Wait for the redemption period to expire (two years from the sale date). You cannot claim surplus until then.
3. Have your claim certified by the chancery clerk. This is a required step.
4. Present your certified claim to the board of supervisors. They will order a warrant for payment from the general county fund.

You will need proof of identity, proof of ownership at the time of the sale, and the chancery clerk's certification.

Important Things to Know

• If you redeem the property, the surplus stays with the county — you get the property back instead.
• If only part of the land was redeemed, the surplus is split proportionally.
• There are no specific caps on recovery fees in Mississippi, so be careful about who you work with and what they charge.

Do Not Wait

The four-year total deadline is firm. Every month you delay is a month closer to permanently losing your money. Counties are not required to notify you about surplus funds.

The Impact of Tyler v. Hennepin County

In Tyler v. Hennepin County (2023), the U.S. Supreme Court ruled unanimously that governments cannot keep surplus proceeds from tax sales beyond what is owed, finding this violates the Takings Clause of the Fifth Amendment. This landmark ruling has strengthened property owners' rights to surplus funds nationwide. As of 2026, laws are evolving rapidly across all states in response to this decision.

Get Free Help

AuctionBlock.org is a mission-driven company that helps former property owners recover surplus funds for a flat $4,999 fee upon successful recovery. We research your case, help with paperwork, guide you through the chancery clerk and board of supervisors process, and track your deadlines.

Visit auctionblock.org today to find out if you have unclaimed surplus funds in Mississippi. Our help is always free — and your money has an expiration date.

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AuctionBlock.org is a mission-driven company providing surplus fund recovery assistance. This guide is for educational purposes only and does not constitute legal advice. Laws change frequently — always verify current statutes with a licensed attorney in your state. Last updated: April 2026.