I Can't Pay My Property Taxes. What Can I Do?
What Can I Do If I Cannot
Pay the Taxes on My House?
How Do I Apply for an
Abatement?
Who Qualifies for an
Abatement?
What Happens If My
Request for Abatement Is Denied,
but I Still Can't Pay the Taxes?
Tax Sales
Homeowners' Right to
Redeem After a Tax Sale
What Can I Do If I Cannot
Pay the Taxes on My House?
In Vermont, if you own your home and cannot pay your property
taxes because your income is low, there may be something you
can do. A city or town can decide that some or all of a
person's property taxes are forgiven because the homeowner
is unable to pay them. This is called a property tax
abatement. Vermont law states that cities or towns may
abate a person's property tax, interest and collection
fees because he or she is unable to pay.
How Do I Apply for an
Abatement?
Every Vermont city or town has a Board of Civil Authority
or a Board of Abatement, which is the body of people in a
town which considers a homeowner's requests for property
tax abatement. Go to your town office or city hall. If
your town does not have an office ask the town clerk or a
Selectman. Tell him or her that you want to request a tax
abatement because of you are unable to pay your property
tax and explain why. Usually a homeowner will be asked to
write their request and provide financial information
showing that the homeowner is unable to pay. There may be
a meeting of the Board that the homeowner must attend to
make their request in person.
Who Qualifies for
an Abatement?
Vermont law says that any person may ask their Board
of Abatement to abate some or all of their property
taxes because they are unable to pay. However, it is up
to the city or town where you live to decide whether to
grant the request.
What Happens If My
Request for Abatement Is Denied, but I Still Can't Pay the
Taxes?
If you have a mortgage on your home and you do not pay your
property taxes, the bank or mortgage company which holds
the mortgage may pay the taxes on your property to protect
their interest. Next, your lender may threaten to foreclose
in order to recover the tax money from you. If you are not
going to be able to pay your taxes and your request for
abatement is denied it is a good idea to contact your
lender as early as possible to try to work out an arrangement
in order to prevent foreclosure. If you owe back property
taxes or are also behind in your mortgage, please read the
Foreclosures page on this website.
Tax Sales
A Vermont city or town may take a person's home and sell it in
order to pay back property taxes that are owed.
Before a town can sell your house at a tax sale, they must
send you written notice of the time and place of the sale by
registered mail at least 10 days before the sale. The notice
must explain your right to request a tax abatement to stop the
sale. Vermont towns can only sell as much of your property as
is necessary to satisfy the tax debt.
Homeowners' Right to
Redeem After a Tax Sale
After the town sells your home at a tax sale, you can still
get your home back. This is called the redemption period.
You have 12 months from the time of the tax sale to pay the
town the amount of money it sold your home for at the tax sale.
If you pay the town the whole amount plus interest before the
12 months are up, you can keep your home. Also, you may continue
to live in your home for the whole 12 months even if you don't
pay the taxes during that time.
You should talk to a lawyer as soon as you can if you are
behind on your property taxes and threatened with a tax sale.
Vermont Law Help, 2008.
This is a website about Vermont law. We give this information
as a public service. It is not legal advice. We are not acting as your
lawyer.
Always consult a lawyer, if you can, before taking legal action.
