What Happens During Property Tax Delinquency?

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The primary Massachusetts law governing what happens with property tax delinquency (the most common context for "tax delinquency" leading to serious consequences like liens or loss of property) is found in Massachusetts General Laws (M.G.L.) Chapter 60 (Collection of Local Taxes). This chapter outlines the procedures for municipal tax collectors when real estate taxes (and related charges like water/sewer bills) go unpaid.

Key steps and consequences under Chapter 60 include:

Initial delinquency and interest: If taxes remain unpaid, interest accrues (often at 14% per year, as cross-referenced in related sections like M.G.L. c. 59 § 57).
Demand notice: After a period (typically over 30 days unpaid), the tax collector sends a demand letter.
Tax taking or sale: If not paid within about 14 days of demand, the municipality can initiate a tax taking (M.G.L. c. 60, § 53), where the town/city records an "Instrument of Taking" to secure a lien (tax title) on the property. Alternatively, they may sell a tax lien certificate to investors.
Redemption period: The owner has a right to redeem (pay back the owed taxes, interest, fees, etc.) — typically at least 12 months (recently updated from 6 months in some cases) before full foreclosure.
Foreclosure: If not redeemed, the municipality (or lienholder) can petition the Land Court to foreclose the right of redemption (under M.G.L. c. 60, §§ 65–68 et seq.), potentially resulting in loss of the property and title transferring to the buyer/municipality — even if the debt is small compared to the property's value (though excess equity may be claimable post-foreclosure in light of recent court rulings).

For state-level taxes (e.g., income, sales), delinquency procedures fall under M.G.L. Chapter 62C (e.g., § 50 for liens on property for nonpayment), where the Department of Revenue can place liens, but the most severe property loss scenarios usually tie back to local real estate taxes under Chapter 60.

You can read the full text of Chapter 60 directly on the Massachusetts Legislature website: https://malegislature.gov/Laws/GeneralLaws/PartI/TitleIX/Chapter60

Refer to Springfield Property Tax Collector website: https://www.springfield-ma.gov/finance/collector