Tax News

CCH (cch.taxgroup.com) reports:

  After accepting a recommendation by the New York State Commission on Property Tax Relief, Governor David A. Paterson plans to introduce school property tax cap legislation to address the rapid rise in New York property taxes. The legislation would establish a cap on school property tax levy increases of 4% or 120% of the Consumer Price Index, whichever is less, and would preserve the right of all school district residents to vote every year even if the board proposes a levy increase of less than 4%. The cap would apply to all school districts outside New York City, Buffalo, Rochester, Syracuse, and Yonkers.

  In addition, the Commission's report recommended that a School Tax Relief Program (STAR) "circuit breaker" be enacted, contingent upon the creation of the tax cap. The STAR circuit breaker would provide property tax relief to individual taxpayers based on income and ability to pay. A personal income tax credit also would be provided for a percentage of property taxes paid when the taxes exceed a percentage of the owner's income.

  The full text of the release may be viewed at
http://www.state.ny.us/governor/press/press_0603081.html.

Release , Office of New York Governor Paterson, June 3, 2008.