by Kristina Gabalski
Local homeowners who use the Basic STAR Exemption for property tax assistance are being encouraged to register with the New York State Department of Taxation and Finance by December 31 to continue their exemption for 2014 and beyond.
The new guidelines are meant to prevent fraud and abuse of STAR benefits, State Assemblyman Steve Hawley says.
“Property taxes continue to be a primary source of financial stress for local homeowners, and the STAR exemption is a critical way to reduce the cost of living,” Hawley says. “It is essential that anyone who has relied on this program to combat the excessive cost of property taxes signs up to ensure that they receive the help they deserve.”
Town of Sweden assessor Tony Eaffaldano says if you use the Basic Star exemption, be looking for a mailing from the Tax Department. “Homeowners will receive a post card at the end of this month or early next month telling them who to call through the State of New York.”
He says many local residents take advantage of the STAR exemption.
Eaffaldano says the new guidelines do not affect homeowners age 65 or above enrolled in Enhanced STAR.
The New York State Tax Department says the STAR program provides 2.6 million homeowners with savings on their school property tax bills each year, but is only available for an individual’s or family’s primary residence. The Basic STAR Registration follows a Tax Department investigation that showed some homeowners were receiving the exemption on more than one property.
“Local assessors monitor Basic STAR in their communities, but do not have the ability to know if an individual is receiving STAR in any of the other 1,000 localities statewide,” Commissioner of Taxation and Finance Thomas Mattox says. “This is the first registration in the STAR program’s 15-year history, and it will eliminate inappropriate and fraudulent exemptions.”
The State Tax Department recently unveiled a secure online STAR registration platform. The Tax Department’s upcoming mailing will include registration instructions for the online application and also provide a phone number for registration or questions: 518-457-2036. A property owner must register either online or by phone by Dec. 31.
The Basic STAR exemption is available for owner-occupied, primary residences where the combined income of resident owners and their spouses is $500,000 or less. Married couples with multiple residences are only eligible to receive one Basic STAR exemption.
According to the Tax Department, the average homeowner benefit as a result of Basic STAR is $700 annually.
