Thiele Delivers Needed Tax Relief With School District Property Tax Credit

Legislature passes measure to reduce property tax burden
June 19, 2006
Assemblyman Fred W. Thiele, Jr. (R,I,WF-Sag Harbor) today announced he voted for passage of legislation creating a personal income tax credit to help relieve homeowners from the escalating property tax burden.

“Overburdened taxpayers in New York can’t take it anymore,” said Thiele. “This legislation is a step in the right direction, but we must continue to do more, including finding a better way to fund our schools.”

Thiele noted the Legislature took action in response to Gov. George Pataki’s initial opposition to other property tax relief legislation passed by both houses earlier this year. The School District Property Tax Credit replaces the earlier legislation that the governor deemed unconstitutional and vetoed.

If the new legislation is signed into law by the governor, the state Department of Taxation and Finance would be required to send property owners a claim form in the amount of the credit each homeowner qualifies for by September 1. Homeowners who do not want to claim the advanced payment would be eligible for the same amount of credit when they file their personal income tax returns.

The new credit would:
  • Vary according to each homeowner’s county of residence.

  • Provide senior and non-senior homeowners in Suffolk County with average rebate checks of $444 and $291, respectively.

  • Be equal to $9,000 multiplied by each individual’s 2004-05 school property tax rate. If the county median home sales price is higher than the statewide median, the credit would increase accordingly.

  • Provide a tax credit increase of 67 percent for Enhanced STAR-eligible seniors whose incomes are less than $67,850 per year.