If you are a property owner, you understand property taxes. assessed by the county that the property is located within, these taxes are owed by the property owner and these taxes are determined based on the value of the property and the rate of taxation in individual counties.
When a property owner fails to pay these property taxes within a specified time period, the county can then issue what’s referred to as a “tax lien certificate”. Local governments do this because they have a budget that depends largely on property taxes being paid on time. If these taxes can’t be collected by local government, they would not be able to use these tax dollars when they’re needed.
So when a county issues a tax lien certificate after non-payment, they do it so they can collect the amount owed immediately, instead of waiting for the property owner to pay the overdue taxes. To collect the tax money immediately after issuing a tax lien certificate on a property, the government will allow someone to purchase the certificate. Usually the person acquiring the tax lien certificate will pay less than or the same amount as the taxes owed on the property.
Once someone acquires a tax lien certificate, the property owner of which the tax lien certificate was issued then owes the late taxes to the person that possess the tax lien certificate. Late taxes are collected from this new owner of the tax lien certificate, along with interest that’s governed by laws that differ from area to area.
http://taxsalewealth.com/tax-lien-investing-blog/?p=4
search, is same thing present in india?
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