Collectors of delinquent taxes have the following options when delinquent taxpayers own property:
- Distrain the property of the owner and sell it at public auction (32 V.S.A. §§ 5191–5193) after properly attaching a tax lien in the case of personal property (32 V.S.A. §§ 5061–5079);
- Bring suit in court against the property holder to recover the tax and costs (32 V.S.A. §§ 5221–5227) after properly attaching a tax lien in the case of personal property (32 V.S.A. §§ 5061–5079); or
- Sell the real estate against which the tax was applied (32 V.S.A. §§ 5251–5263).
These are complicated processes that must be followed correctly and legally. A lawyer should be consulted when initiating any of the above proceedings.
The following are four rules of thumb:
- There is an automatic tax lien on real estate as soon as the grand list is lodged in the town clerk’s office;
- Taxes "run" with the property. Taxes should be paid before a property is sold. If the property is sold with taxes outstanding, the property is still subject to the lien and tax sale — meaning it is up to the new owner to assure the taxes are paid;
- Acceptance of full or partial payment of overdue taxes shall not preclude the town from collecting the remaining balance of taxes, and any interest or penalties thereon;
- Once a tax bill or warrant is issued, it must be either paid in full or fully abated or some combination thereof. The criteria for abatement are very limited! (See 24 V.S.A. § 1535.) A town cannot "write-off" delinquent taxes — they must either be paid or abated in full.
- Del Tax Policy
- Delinquent Tax Report as of 06.08.26.pdf