Tax sales have traditionally played a key role in the administration of government finances. Tax sale statutes empower state, county, and local governments to collect delinquent taxes by placing liens or selling tax deeds for the property of taxpayers who have accumulated unpaid taxes. These statutes are essential for collecting property taxes—what some courts have called the “lifeblood” of local government—and, in turn, for funding of public services. Tax sales also bring in investors that purchase the properties or liens (depending on the state), which often restores dilapidated properties and returns income-producing properties back on the tax rolls. So, while the tax-collection process may be viewed by some as archaic, that process often results in modern reinvestment in the community. Yet, the recent Supreme Court decision of Tyler v. Hennepin County may impact the legality of many statutory schemes across the country.
- Publication date: August 2024
- Authors: Matthew Abee and Jonah Samples