A property tax lien is a lien or claim for money due to a federal, state, or local government for unpaid and delinquent taxes. For example, the federal government may place a lien on a homeowner’s home or other real property for unpaid federal income taxes, and state and local governments (often counties) may place a lien on real property for unpaid income or property taxes.

The federal, state, or local government entity—also known as a taxing authority—may seek to recover payment for unpaid taxes by forcing the sale of the property on which the lien is placed in the foreclosure process—a process in which the validity of the lien and satisfaction (payment) for the lien is litigated or determined in court.

In Vermont, a property tax lien represents a legal claim against a property by a governmental entity due to unpaid property taxes. When property taxes are not paid, the state or local government (typically at the municipal or county level) can place a lien on the property. This lien ensures that the tax authority gets first claim over other creditors in regards to the property. If the taxes remain unpaid, the taxing authority may initiate a tax sale or foreclosure process to recover the owed taxes. This process involves a court proceeding where the validity of the lien and the payment of the debt are determined. If the property is sold at a tax sale, the proceeds are used to pay the taxes, interest, and any other costs associated with the sale. Vermont law outlines the specific procedures and timelines for tax liens and tax sales, including notice requirements to the property owner and opportunities for the owner to redeem the property before a sale.