New York began mailing out STAR program tax refund checks for homeowners several months ahead of schedule.
The check is intended for homeowners who earn less than $250,000 a year. Gov. Kathy Hochul said this is the largest refund ever given to New Yorkers. The benefit will be delivered to some 2.5 million households throughout the state.
The check is an additional payment from the regular STAR program, also known as the School Tax Relief Payment. That check arrives weeks before school taxes are due, which is in September in the suburbs and July in New York City. But only for this year the payment will be given in advance.
Homeowners do not need to apply. The Department of Revenue uses income tax returns to determine if they meet the criteria.
“Governor Hochul and the New York State Legislature are providing you with this homeowners tax refund check that you can use to pay your property taxes,” read a letter included with the payment.
The Homeowners Tax Refund Credit is a one-year program that provides direct property tax relief in 2022.
New York allocated $2.2 billion for one-time property tax rebates for low- and middle-income homeowners. That refund was expected to arrive this fall, however New Yorkers have already started receiving checks in the mail.
“We have already started mailing checks and expect to send most of them in June. If you don’t receive your check by early July, you can expect to receive it before your school tax bill is due. Our contact center cannot provide you with a specific time frame,” notes the Department of Taxation and Finance. on your website.
The amount of the homeowners tax refund credit cannot be more than the amount of your net school tax liability for the 2022–2023 school year after taking into account your 2022 STAR benefit.
This means that:
- If you receive the basic STAR credit, and your school tax bill is $1,000 and your STAR check is $600, then your homeowners tax refund credit cannot be more than the difference ($400).
- If you receive the basic STAR exemption on your school tax bill, and your school tax bill is $400, your homeowners tax refund credit cannot be more than $400.
- By law, the Department of Revenue cannot issue a homeowners tax refund credit for less than $100.
Open here for more information.
In general, if you’re registered for the STAR credit, the Department of Revenue will send you a refund check each year. You can use the check to pay your school taxes. You can receive the STAR credit if you own a home and it is your primary residence.
ABOUT STAR BASIC AND STAR ENHANCED
The School Tax Relief (STAR) and Enhanced School Tax Relief (E-STAR) Benefits offer property tax relief to New York State homeowners who meet the criteria.
Homeowners who do not currently receive the STAR exemption and who meet the program requirements can apply for the STAR tax credit with the New York State Department of Taxation and Finance. If you qualify for the credit, it will be issued to you in the form of a check.
More information is available at www.tax.ny.gov/star or by calling (518) 457-2036.
HOW TO REQUEST THE BENEFIT IF YOU STILL DO NOT RECEIVE IT
If you meet the above criteria to apply for Basic STAR or Enhanced STAR tax exemption with the New York City Department of Finance, you can submit your application online o download forms application form on the Property Tax Benefits for Homeowners page.
You may also qualify for other property tax exemptions.
EXEMPTION OR CREDIT?
If you currently receive STAR or E-STAR as a property tax exemption and earn $250,000 or less, you have the option to sign up for the STAR credit to receive a check instead. You may receive a higher benefit from the credit, as the amount of the STAR credit will increase in the future, but not the value of the exemption. For more information visit www.tax.ny.gov/star or call the New York State Department of Taxation and Finance at (518) 457-2036.
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