STAR Exemption News Link
Changes to the STAR Program
As part of the 2016-17 New York State Budget, the STAR school property tax exemption is being transitioned to a new personal income tax (PIT) credit program. The legislation also allows those property owners eligible for the PIT credit to receive an accelerated payment directly from New York State.
If you had a STAR exemption on your property for the
2015-2016 school taxes, you may
stay in the STAR program, Basic or Enhanced, as long as you continue to meet
the eligibility requirements, and stay in your current home.
exemptions do not require an annual application. After the initial application, there is no
need to reapply unless something changes that may affect your eligibility.
exemptions, as always, require either an annual application with the local
assessor or enrollment in the
Income Verification Program (IVP).
If you are in the
STAR exemption program, you may either keep your STAR school property tax exemption
OR opt for the Personal Income Tax Credit/Check program for future years. You
can’t have both.
· Once you opt out of the STAR exemption program, you cannot get back in.
If you purchased your home after March 2, 2015, you are not
eligible for the STAR school property tax exemption, but you may register with
New York State for the Personal Income Tax Credit/Check program.
If you applied
with the local assessor for a STAR exemption, you will receive a letter with
instructions for registering for the PIT credit/check program.
For those who
register prior to July 1st, and who meet the eligibility
requirements (same as the requirements for the STAR exemption), the State intends
to have checks mailed by mid September.
Those who register
after July 1st will still get a check, but not by mid September.
Checks will be in
the amount of the STAR savings you would have received on your school tax bill had
you been eligible for the STAR exemption program.
Once you are
registered with New York State for the PIT credit/check program, you will not
need to register again, unless your eligibility changes. The state will send your check automatically
registration process will be through an on-line application OR by
telephone. Details will be made
available as soon as the procedures are finalized by New York State.
· If you have a mortgage on your new home, and your taxes are paid through escrow, you may want to contact your escrow company to see how your mortgage payments are calculated (STAR exemption considered or not).
Going forward no new STAR exemptions will be granted. If you buy a new home, you will have to register with New York State for the Personal Income Tax Credit/Check program.
Other property tax exemptions that you may be eligible for such as Veterans, Low
Income Senior, Agriculture, etc will still be administered by the local
assessor. This legislation does NOT
affect any other property tax exemptions.