State Tax Department Issues STAR Tax Credit Guidelines
Real Estate In-Depth | June 9, 2016
ALBANY – The New York State Department of Tax and Finance has published a form for distribution to new homeowners that provides guidance on the new STAR tax credit program, the New York State Association of Realtors reported on June 7.
Homeowners who purchased their current home prior to May 1, 2014 and already receive the STAR exemption under the current program do not have to do anything. There are no changes for them and they will continue to receive their STAR exemption, NYSAR stated.
According to the New York State Department of Taxation and Finance, as a result of recent law changes, some homeowners will receive a STAR check directly from New York State instead of receiving a school property tax exemption. The amount of the benefit will be the same regardless of how it is received.
Beginning with the 2016-2017 school year, new STAR applicants will need to register with the Tax Department to receive a STAR check. Registration will begin soon.
Current Basic and Enhanced STAR exemption recipients will keep their exemption as long as they continue to own their current home. Current Enhanced STAR exemption recipients who are not enrolled in the Income Verification Program must continue to file a renewal application with their local assessor each year.
If a homeowner purchased a home between May 1, 2014 and Aug. 1, 2015, they may fall under the new STAR credit program and may have to apply.
Homeowners who purchased after Aug. 1, 2015 will fall under the new STAR credit program. Click here to register.