Local Option Municipal Property Tax Deferral for Senior Citizens

State

Maine

Year

2022

Variations in Receipt of Benefit

No Variation in Receipt of Benefits

Benefit Type

Deferral

Benefit

The program defers all property taxes due; it includes all ad valorem taxes, assessments, fees, and charges entered on the assessment and tax roll. Deferred taxes and interest constitute a lien on the property.

How is Benefit Disbursed

Other

Eligible Property Type

Residential

Characteristics of Eligible Property

Only residential property is eligible for this program. Mobile homes may be eligible. If the residence is part of a multiunit building, the portion of the building used as the principal residence is eligible.

Eligibility Criteria

Age

Homeowner

Income Ceiling

Principal Residence

Surviving Spouse

Description of Eligibility Criteria

The claimant must be 70 years of age or older, occupy the homestead as of 1 April, and have resided in the property for at least 10 years prior to application. The taxpayer’s household income must not exceed 300% of the federal poverty level. The property must be an eligible homestead defined as an owner-occupied principal dwelling. If an event requiring the payment of deferred tax and interest occurs and the ownership of the property is transferred to another member of the same household, the transferee may apply for continuation of the deferral of taxes only if that person is at least 70 years of age with an income not exceeding 300% of the federal poverty level.

Local Option in Adoption of Program

Local government must take action to opt in

Local Option Regarding Program Features

Local option regarding program features

State Funding for Local Tax Loss

Local government covers all of its tax loss

Record ID

ME109_RR22

Footnotes

All deferred taxes and interest are payable if the taxpayer dies, someone other than the taxpayer becomes the property’s owner, the property is no longer occupied as the taxpayer’s primary residence, or the property is moved out of the state (in the case of a mobile home). In the latter-most case, all owed monies are due 5 days before moving. In all other instances, all owed monies are due within 45 days of the date of notice for payment. A municipality that has adopted the program under this section may discontinue it through the same procedure by which the program was adopted, however, any taxes deferred under the program continue to be deferred under the conditions of the program on the date it was ended. Interest on deferred taxes accrues at a rate of 0.5 percentage points plus the otherwise applicable rate for delinquent taxes unless the municipality adopts a lower interest rate. Consult local taxing authorities to determine the availability of the deferral program and for applications and deadlines.

Sources

Me. Rev. Stat. Ann. tit. 36, § 6271 (in effect for 2022)
State of Maine Department of Administrative and Financial Services, Maine Revenue Services, Property Tax Relief Programs
[https://www1.maine.gov/revenue/taxes/tax-relief-credits-programs/property-tax-relief-programs Accessed 03/09/2023]
View Archived Source

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