Variations in Receipt of Benefit
Benefit Varies with Income
Minimum Tax Amount Must be Paid
Other Variation in Receipt of Benefits
The benefit is a refundable credit based on either property tax owed or rent paid. Rent constituting property tax is considered 15% of annual gross rent (which excludes charges for heat or other utilities). The benefit is equal to the taxes that exceed 6% of the resident's income. The maximum amount of allowable taxes varies by filing status. The maximum payment is $750 or $1,200 for people over 65 years old.
How is Benefit Disbursed
Direct payment to taxpayer
Eligible Property Type
Characteristics of Eligible Property
Only residential property is eligible for this program. The homestead may consist of a part of a multi-dwelling or multipurpose building and up to 10 acres of contiguous land. Separate parcels of land are considered contiguous if separated solely by a road, or public or private right of way.
Description of Eligibility Criteria
Household income for 2019 cannot exceed $34,167 for single filers. For heads of household, married couples filing jointly, or qualifying widow(er)s, the income ceiling is $44,167 if two or fewer personal exemptions are claimed, or $55,000 if more than two personal exemptions are claimed. Married applicants filing separately are no longer eligible for the benefit. Claimants must have resided in Maine for all 12 months of the tax year and must have rented or owned the property for all 12 months and occupied the property for at least 6 months.
Local Option in Adoption of Program
Local government is unable to exercise an option
Local Option Regarding Program Features
Local option regarding program features
State Funding for Local Tax Loss
State reimburses all of the local government tax loss
Description of State Funding for Tax Loss
Claimants are paid directly by the state.
[https://www.maine.gov/revenue/sites/maine.gov.revenue/files/inline-files/19_1040me_ptfc_sftc_dwnldff_0.pdf Accessed 10/11/2021]
[https://www.maine.gov/revenue/taxes/tax-relief-credits-programs/income-tax-credits/property-tax-fairness-credit Accessed 07/23/2021]