What is .htaccess file?

.htaccess is a configuration file for use on web servers running the Apache Web Server software.

When a .htaccess file is placed in a directory which is in turn 'loaded via the Apache Web Server', then the .htaccess file is detected and executed by the Apache Web Server software.

These .htaccess files can be used to alter the configuration of the Apache Web Server software to enable/disable additional functionality and features that the Apache Web Server software has to offer.

These facilities include basic redirect functionality, for instance if a 404 file not found error occurs, or for more advanced functions such as content password protection or image hot link prevention.

Whenever any request is sent to the server it always passes through .htaccess file. There are some rules are defined to instruct the working.

It's not part of PHP; it's part of Apache.

http://httpd.apache.org/docs/2.2/howto/htaccess.html

.htaccess files provide a way to make configuration changes on a per-directory basis.

Essentially, it allows you to take directives that would normally be put in Apache's main configuration files, and put them in a directory-specific configuration file instead. They're mostly used in cases where you don't have access to the main configuration files (e.g. a shared host).