STAR program questions answered
JAMES P. HAYES New York State Assembly
The 2007-08 New York State budget provides for STAR property tax rebate checks to be sent to homeowners currently enrolled in the Basic STAR program and seniors enrolled in Enhanced STAR.

Seniors enrolled in the Enhanced STAR program do not need to fill out any additional paperwork to automatically receive rebate checks.

Those enrolled in the Basic STAR program must fill out an application, which will be mailed to you by the State Tax and Finance Department around Aug. 15.

Because the new STAR checks will be higher for middle-class taxpayers making less than $250,000, the tax department must verify income and match it to the primary residence of the STAR rebate recipient.

I wish there was a better way to just mail the check back to homeowners, but the Albany bureaucracy got in the way and requires the application form.

I've put together some frequently asked questions that my office has been responding to regarding these changes. Please take a minute to familiarize yourself with this process, and don't hesitate to contact me at 634-1895 or at hayesj@assembly.state.ny.us if you have more specific questions.

How do I obtain my rebate?

If you are a senior citizen and Enhanced STAR recipient, you need not apply to receive your middle-class STAR rebate check. (Enhanced STAR recipients already verify their income in order to receive this benefit.) An automatic rebate check will be mailed to you in September.

If you are a Basic STAR recipient, the Department of Tax and Finance will notify you of the application process through a one-time mailing sometime around Aug. 15 after the 2007 assessment roll is finalized. Qualifying homeowners have until Nov. 30, 2007 to apply for a check.

Am I eligible for the rebate if I am not enrolled in the STAR program?

No, you must be enrolled in the STAR exemption program to receive a rebate check this year.

What will be required on the application?

Homeowners must submit income information from their 2005 tax return.

Is the STAR exemption being phased out and replaced with the property tax rebate?

No, they are two separate things. There is no plan to phase out the STAR exemption. The rebate is additional property tax relief.

When will I receive my rebate? The Department of Tax and Finance intends to send out the checks on a rolling basis after they receive your completed application.

My bank pays my property tax bill directly from my escrow account. Where will my rebate check be sent?

Rebate checks will be sent to eligible property owners at their home address, not to the bank.

Is my rebate check subject to personal income tax?

Unfortunately, the checks will be subject to federal and state personal income tax if you itemize your tax return.