Learn about Important Changes to New York's Star Program
Please note: The STAR program is NOT administered by the school district. The amount of your STAR exemption is determined by the Office of Real Property Services (ORPS) in August. Contact your town assessor's office or visit www.tax.ny.gov for information.
What is STAR?
The New York State School Tax Relief (STAR) program provides eligble homeowners with relief on their property taxes. If you are a STAR recipient, you receive the benefit one of two ways:
~ STAR CREDIT program (open to any eligible homeowner whose income is $500,000 or less)-homeowners receive a check in the mail from the Tax Department to apply to school taxes.
~ STAR EXEMPTION program (which is now closed to new applicants)- homeowners receive a direct deduction on their school tax bill in the from of property tax exemption.
There are two types of STAR:
~ Basic STAR is available for owner occupied, primary residences with an income limit of $500,000 for the Basic STAR credit and $250,000 for the Basic STAR exemption.
If you have had STAR exemption and your income is more than $250,000 you must switch to STAR credit to contine to receive a STAR benefit. If your income is less than $250,000, you have the option to switch. To switch to STAR credit, you must notify your town assessor.
~ Enhanced STAR is available for the primary residence of any resident age 65 and older, with a household income below a specific limit that is adjusted annually based on the rate of inflation - $86,300 for 2019-20.
IT IS IMPORTANT TO NOTE THESE NEW CHANGES TO STAR BEGINNING THIS YEAR:
In 2019, the NYS Budget included a change to the Basic STAR property tax rebate program.
If you owned your home prior to August 1, 2015 and currently receive a reduction (STAR Exemption) on your school tax bill, the amount of your reductions will be FROZEN at the current amount. In order to get the annual increase, of up to 2%, you need to switch to receiving a separate annual rebate check. (STAR Credit) You can register here:STAR Credit Registration
You should have your 2017 NYS Tax Return available when completing this form.
For those taxpayers receiving Enhanced STAR you can register for the new program once and will not need to reapply in future years as is required under the current program.
If you've recently bought your home or you've never applied for the STAR benefit on your current home, you will need to register. You only need to register for the STAR credit once; you'll continue to receive the annual benefit as long as you're eligible.
Once you have registered for the STAR credit, there is no need to register again, unless there is a change in ownership. The Department of Taxation and Finance will review your information each year and automatically send you a STAR credit check if you are eligible. For more information, visit www.tax.ny.gov/pit/property/star
It is suggested that you register for the rebate check to maximize your benefit from this program. The value of the STAR credit savings may increase by as much as 2% each year, but the value of the STAR exemption savings will not increase.
If switching to the Basic STAR rebate check you will also need to notify your assessor that you are withdrawing from the STAR Exemption.