main content starts here

STAR Program Updates

June 24, 2019

New York state residents who participate in the STAR (School Tax Relief) program should look for a letter from the state Department of Taxation and Finance with details about the latest changes to the program.

Residents should be aware of changes to the program and understand that they may have to make a change to the way they are enrolled in order to continue to receive an increasing benefit.

Here’s what you need to know.

  • The state is shifting away from a formula that reduces school tax bills before they are sent to homeowners (called an exemption) to a system that involves homeowners paying their full amount in school taxes and receiving a check from the state (called a credit).
    If your income is more than $250,000, the state is requiring that you switch to the STAR credit to continue receiving the benefit.
    If your income is $250,000 or less, you have the option to switch to the credit but are not required to do so.
  • The value of the new STAR credit may increase by as much as 2% each year, but the value of the original STAR exemption will not increase.
  • Because school districts typically send out tax bills on Sept. 1, property owners would need to switch from the STAR exemption to the credit by Aug. 1 to receive the credit this year.

Note: Beginning in the 2015-16 fiscal year, new homeowners could only enroll in the STAR credit program. Therefore, if you purchased your home after Aug. 1, 2015, and are currently enrolled in the STAR program, no further action is needed to receive the maximum STAR benefit.

Category: District Announcements