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Why New York State Property Tax Credit Checks Arrive Early

By on June 23, 2022 0

New York homeowners should watch their mailboxes this month for a one-time property tax credit, thanks to a $2.2 billion tax relief package approved in the New York budget.

The Homeowners Tax Credit, aimed at middle-income homeowners, aims to offset high consumer prices on everything from gas to groceries. Checks were supposed to be mailed in the fall, but New York began mailing checks early.

The state plans to send out most checks in June, and some could arrive in early July or later, according to the Department of Taxation and Finance website.

“This budget provides much-needed tax relief to thousands of small businesses and millions of New Yorkers and lowers the tax burden for those who need it most,” Governor Kathy Hochul said in early April.

Requests for comment from the governor’s office on why the release schedule was moved forward were not immediately returned.

The checks will go to nearly three million eligible homeowners in 2022, and the amount of the check for each household depends on a number of factors, including location and income.

New York Governor Kathy Hochul speaks about education-related items in the state budget, during an appearance at the Enrico Fermi School in Yonkers, April 28, 2022.

The updated timeline coincides with the Democratic primary election, in which Hochul faces two challengers. She has repeatedly touted her interest in effective governance and addressing the day-to-day concerns of New Yorkers.

“Let’s put the money back in people’s pockets,” Hochul said, while announcing the tax credit program in Western New York in April.

Putting money in voters’ pockets in the middle of an election cycle is nothing new.

Former Governor Andrew Cuomo refund checks sent just before a September 2018 primary against opponent Cynthia Nixon. At the time, state officials claimed the timing was because the system was running more smoothly than in previous years, when checks took months to arrive in mailboxes.

A similar timeline played out in 2014when the rebate checks arrived ahead of the November general election, when Cuomo and a number of state lawmakers were on the ballot.

Learn more about NY tax credits:Hochul wants to send $2.2 billion in property tax refund checks in fall of election year

Learn more about NY’s budget proposal:Tax cuts, bonuses for healthcare workers: 10 things to know about New York’s proposed $216 billion budget

How will I know if I will receive a property tax credit check?

Tax refund credit checks for New York City homeowners began arriving in residents' mailboxes in June 2022, months before they are due.

Eligible homeowners must qualify for a STAR 2022 credit or exemption, which provides school tax relief to households that earn a combined income of $500,000 or less.

The 2022 tax credit is separate from the STAR program. Beneficiaries must have had a family income of $250,000 or less in 2020 to get a tax credit this year.

In addition, they must have a school tax payable greater than the household’s STAR 2022 benefit.

In other words, if the household’s school tax debt is $1,000 and its STAR credit or exemption covers $600, then the tax refund credit cannot exceed $400 for that household.

How much will my refund check be?

The amount of the tax refund credit is determined by these factors:

  • Household location
  • household income
  • Whether the recipient qualifies for Basic STAR or Enhanced STAR (a program for owners age 65 or older)

Homeowners can view the amount they will receive, broken down by municipality and income bracket, at www.tax.ny.gov.

By law, the state cannot write checks under $100, so based on the amount of the check calculated by income bracket, some households in the state will not be eligible for checks.

In White Plains, tax credit checks can range from $265 to more than $2,400, depending on a household’s 2020 income, according to state tax data.

In Utica, checks will range from $330 to $816. In Rochester, it will be $228 to $562 and in Binghamton, $121 to $1,094.

Sarah Taddeo is the New York State Team Editor for the USA Today Network. Do you have a tip or a comment? Contact Sarah at [email protected] or on Twitter @Sjtaddeo. This coverage is only possible with the support of our readers. Please consider becoming a digital subscriber.