New York

Basic/Enhanced School Tax Relief (STAR)

State: 

Year: 

Record ID: 
NY104_RR22
Variations in Receipt of Benefit : 
Benefit Varies with Taxes Due
Other Variation in Receipt of Benefits
Benefit Type: 
Credit
Exemption
Benefit: 
The School Tax Relief (STAR) program offers a school property tax exemption or a refundable state income tax credit. Since 2016, the exemption has been available only to those who received it in the previous tax year and new applicants have to apply for the credit. The credit is available to all qualified new applicants. Additionally, the credit and exemption programs both have an enhanced benefits option for seniors. The amount of the Basic STAR exemption is the base amount multiplied by the sales price differential factor. The base value is $30,000 and the sales price differential factor is the ratio of the 3-year average median sales price for residential property in the applicant's municipality to that of the state. This means that the basic exemption varies by municipality and is increased annually when home sales prices increase at a higher rate than the state average. The exemption amount is not allowed to decrease by more than 11% year-over-year. Likewise, the Enhanced STAR exemption program is the base amount multiplied by the sales price differential factor. The base value is $56,800 annually adjusted by the increase in the consumer price index for urban wage earners and clerical workers (CPI-W), and the sales price differential factor is the same as for the basic exemption. The savings resulting from the Basic or Enhanced STAR exemptions are limited to a 2% increase over the prior year. The amount of the Basic STAR credit is equal to the lesser of the applicant's school tax liability or the amount of tax savings that they would have received under the basic star exemption.
How is Benefit Disbursed: 
Exemption from assessed value
Eligible Property Type: 
Residential
Characteristics of Eligible Property: 
Property must be a one-, two-, or three-family residence, a farm home, or a residential condominium or cooperative apartment that serves as the primary residence of one or more of the owners. The exemption may be granted to a portion of any other type of property that is partially used by the owner as a primary residence.
Eligibility Criteria: 
Age
Homeowner
Income Ceiling
Principal Residence
Surviving Spouse
Description of Eligibility Criteria: 
Applicants must own the property and use it as their primary residence. Applicants for the basic STAR exemption must have a combined income of less than $250,000 and have received the STAR exemption for the 2015-2016 school year. Applicants for the enhanced STAR exemption must be 65 years old or older with a 2020 income less than or equal to $92,000 for 2022 benefits. Applicants for the basic STAR credit must have a combined income of less than $500,000. If the owners are legally married, only one must be at least 65 years old. A surviving spouse may qualify to continue the benefit if they are 62 years of age or older.
Local Option Regarding Program Features: 
No 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: 
The state reimburses directly to the school districts and also provides administrative reimbursements to the local governments that process STAR exemptions.
Local Option in Adoption of Program : 
Local government is unable to exercise an option
Source State Statutes: 
N.Y. R.P.T Law § 425;
N.Y. Tax Law § 606 (eee) (in effect for 2022)
Source Constitution: 
NY CLS Const Art XVI, § 1
Source Web Page: 
New York Department of Taxation and Finance, STAR Resource Center (May 2022)
[https://web.archive.org/web/20220607180741/https://www.tax.ny.gov/star/ Accessed 10/12/2023]
View Archived Source

New York Department of Taxation and Finance, STAR Eligibility (May 2022)
[https://web.archive.org/web/20220704052013/https://www.tax.ny.gov/pit/property/star/eligibility.htm Accessed 10/12/2023]
View Archived Source

New York Department of Taxation and Finance, Administration of the STAR credit: common questions (April 2022)
[https://web.archive.org/web/20220728141713/https://www.tax.ny.gov/pit/property/star/star-administration-faqs.htm Accessed 10/13/2023]
View Archived Source

New York Department of Taxation and Finance, Calculating STAR exemptions
[https://www.tax.ny.gov/pit/property/star/starcalculation.htm Accessed 10/13/2023]
View Archived Source
Source Publication: 
New York Department of Taxation and Finance, Application for Basic STAR Exemption for the 2022-2023 School Year, Form RP-425-B (August 2021)
[https://web.archive.org/web/20220308194523/https://www.tax.ny.gov/pdf/current_forms/orpts/rp425b_fill_in.pdf Accessed 10/12/2023]
View Archived Source

New York Department of Taxation and Finance, Application for Enhanced STAR Exemption for the 2022-2023 School Year, Form RP-425-E (August 2021)
[https://web.archive.org/web/20220513014716/https://www.tax.ny.gov/pdf/current_forms/orpts/rp425e_fill_in.pdf Accessed 10/13/2023]
View Archived Source

New York Department of Taxation and Finance, Supplement to Form RP-425-E Mandatory for all Enhanced STAR Applicants, RP-425-IVP (2020)
[https://web.archive.org/web/20220527052014/https://www.tax.ny.gov/pdf/current_forms/orpts/rp425ivp_fill_in.pdf Accessed 10/13/2023]
View Archived Source

New York Department of Taxation and Finance, Register for the School Tax Relief (STAR) Credit, RP-5310-FS (January 2022)
[https://web.archive.org/web/20220519095156/https://www.tax.ny.gov/pdf/star/rp-5310-fs.pdf Accessed 10/13/2023]
View Archived Source
Footnote: 
Income eligibility for the 2022 STAR credit is based on federal or state income tax return information from the 2020 tax year. Applicants can switch from the STAR exemption to the STAR credit, but they may not switch back. The STAR program is converted from an exemption benefit program to an income tax credit program. The exemption program is closed to new applicants. All new applicants receive an income tax credit of the same value rather than a reduction on their school tax bill. For the Basic STAR, in counties where the median home value is higher than the statewide median home value, the exemption or credit is increased proportionally so that homeowners in these areas will realize equivalent tax relief. Residents of NYC, while not eligible for STAR relief, a flat rate benefit unrelated to property tax is available.
Data Collection Notes: 
For 2023 Record: New York, Department of Taxation and Finance, STAR Resource Center [https://www.tax.ny.gov/star/ Accessed 10/12/2023] https://www.lincolninst.edu/sites/default/files/gwipp/upload/sources/New%20York/2023/ny_2023_starresourcecenter_dotf_2023.pdf New York, Department of Taxation and Finance, STAR Eligibility [https://www.tax.ny.gov/pit/property/star/eligibility.htm Accessed 10/12/2023] https://www.lincolninst.edu/sites/default/files/gwipp/upload/sources/New%20York/2023/ny_2023_stareligibility_dotf_2023.pdf New York, Department of Taxation and Finance, Administration of the STAR credit: common questions [https://www.tax.ny.gov/pit/property/star/star-administration-faqs.htm Accessed 10/13/2023] https://www.lincolninst.edu/sites/default/files/gwipp/upload/sources/New%20York/2023/ny_2023_starcommonquestions_dotf_2023.pdf New York, Department of Taxation and Finance, Register for the School Tax Relief (STAR) Credit, RP-5310-FS (September 2023) [https://www.tax.ny.gov/pdf/star/rp-5310-fs.pdf Accessed 10/13/2023] https://www.lincolninst.edu/sites/default/files/gwipp/upload/sources/New%20York/2023/ny_2023_rp-5310-fs_dotf_september2023.pdf New York, Department of Taxation and Finance, Application for Basic STAR Exemption for the 2023-2024 School Year (2022) [https://web.archive.org/web/20230531191822/https://www.tax.ny.gov/pdf/current_forms/orpts/rp425b_fill_in.pdf Accessed 10/13/2023] https://www.lincolninst.edu/sites/default/files/gwipp/upload/sources/New%20York/2023/ny_2023_rp425b_dotf_2022.pdf For 2024 record: New York, Department of Taxation and Finance, Application for Basic STAR Exemption for the 2024-2025 School Year (July 2023) [https://www.tax.ny.gov/pdf/current_forms/orpts/rp425b_fill_in.pdf Accessed 10/12/2023] https://www.lincolninst.edu/sites/default/files/gwipp/upload/sources/New%20York/2024/ny_2024_rp425b_dotf_2024.pdf

Revision Type: 

Revision By: 
NW
Revision Notes: 

12/22/23 KH verified
12/12/23 JS complete
11/18/21 WP created 2021 record, only for documents, still needs review
3/10/21 AJG created, several amendments recorded
12/21/20 cc checked years and verified
12/14/20 AJG source additional, footnotes cont.
12/11/20 AJG: source additional, eligibility criteria, footnotes {incomplete]
12/10/20 AJG: created 19, document upload
4/2/19 GM: verified
2/8/19 cc
2/7/19 ET updated access dates
12/14/18 cc deleted dcn, added to max. removed $ amount of enhanced
11/05/18 cc ok
7/17/18 SAH updated Source Publication with required forms and information regarding eligibility requirements
5/8/18 YP created 17 record
12/12/17 EM added FTN3
11/13/17 EM changed the title from exemption to credit.
5/24/17 cc created record

Alternative Veterans Exemption with Local Option

State: 

Year: 

Record ID: 
NY106_RR22
Variations in Receipt of Benefit : 
Benefit Varies with Property Value
Other Variation in Receipt of Benefits
Benefit Type: 
Exemption
Benefit: 
The benefit is an exemption of a portion of the assessed value of an eligible applicant's property. The amount of the exemption is determined by adding three parts of the exemption together: the wartime part, the combat zone part, and the disabled veterans part. The exemption is applied to general municipal and school district taxes, but not to special ad valorem levies or special assessments. The wartime part is 15% of the property value and is available to a wartime veteran who served during a qualifying period. The combat zone part is 10% of the property value and is available to those who served in a combat zone. The disabled veteran part is available to disabled veterans with a service-connected disability. It is a percentage of their property value equal to 1/2 of their disability rating. Each part is capped at a certain dollar value determined by the municipality. The maximum amount of the wartime part ranges from $6,000 to $45,000 in most municipalities and from $39,000 to $75,000 in high-appreciation municipalities. The maximum amount of the combat zone part ranges from $4,000 to $30,000 in most municipalities and from $26,000 to $50,000 in high-appreciation municipalities. The maximum amount of the disabled veterans part ranges from $20,000 to $150,000 in most municipalities and from $130,000 to $250,000 in high-appreciation municipalities.
How is Benefit Disbursed: 
Exemption from assessed value
Eligible Property Type: 
Residential
Characteristics of Eligible Property: 
Only residential property is eligible for this program, including cooperative property.
Eligibility Criteria: 
Disability
Homeowner
Principal Residence
Veteran
Surviving Spouse
Other Criteria
Description of Eligibility Criteria: 
The applicant must own and occupy the property as their primary residence. The applicant must be a United States Armed Services veteran who actively served during a period of war or a veteran who received an expeditionary medal. Under certain conditions, a veteran of the merchant marine service, a veteran of the American Field Service, or a veteran who served as a Pan-American World Airways flight crew and aviation ground support employee may be eligible for a partial exemption from general municipal taxes. Qualifying periods of war are the Persian Gulf conflict, the Vietnam War, the Korean War, and World War II. Veterans who served in a combat zone can qualify for the combat zone part of the exemption and veterans with a service-connected disability can qualify for the disabled veteran part. Un-remarried surviving spouses or spouses of the veteran are also eligible to receive the benefit.
Local Option Regarding Program Features: 
Local option regarding program features
Description of Local Option Regarding Adoption or Program Features : 
Each county, city, town, and village is given the choice of whether to disallow the exemption exercised through the adoption of a local resolution. A city with a population of one million or more can pass a local law. A jurisdiction that allows the exemption has the additional option of using the maximum exempt values for the three veterans categories or passing a local law or resolution establishing one of the two lower sets of maximum exempt values or one of the eight (or fourteen, in the case of a "high-appreciation municipality") higher sets. A jurisdiction that allows the exemption has another option of adopting a local law or resolution that extends eligibility to residential property owned by Gold Star Parents and used as their primary residence. In addition, each taxing jurisdiction may adopt a local law or resolution to allow that portion of a cooperative apartment corporation held by an otherwise eligible veteran tenant/stockholder to be eligible for an exemption from real property taxes. Moreover, each taxing jurisdiction may adopt a local law or resolution to allow a transferred, prorated exemption to a veteran, the spouse, or the un-remarried surviving spouse of a veteran who sells his or her property and purchases a replacement property within the same taxing jurisdiction. Finally, local counties, cities, towns, villages, or school districts may grant the exemption to veterans or LGBT veterans who were discharged for reasons that do not include bad conduct or dishonorable discharge from service.
State Funding for Local Tax Loss: 
Local government covers all of its tax loss
Description of State Funding for Tax Loss: 
State statute does not provide for state funding for local tax loss.
Local Option in Adoption of Program : 
Local government must take action to opt in
Source State Statutes: 
N.Y. R.P.T Law § 458-a (in effect for 2022)
Source Web Page: 
New York Department of Taxation and Finance, Alternative Veterans Exemption: Overview
[https://www.tax.ny.gov/pit/property/exemption/altvetoverview.htm Accessed 10/12/2023]
View Archived Source

New York Department of Taxation and Finance, Alternative Veterans Exemption Eligibility Requirements (2020)
[https://www.tax.ny.gov/pit/property/exemption/altvetexempt.htm Accessed 10/12/2023]
View Archived Source

New York Department of Taxation and Finance, Alternative Veterans' Exemption Assessor Guide (2020)
[https://www.tax.ny.gov/research/property/assess/manuals/vol4/pt1/sec4_01/p9_guide.htm Accessed 10/12/2023]
View Archived Source
Source Publication: 
New York Department of Taxation and Finance, Application for Alternative Veterans Exemption from Real Property Taxation, Form RP-458-a (2020)
[https://www.tax.ny.gov/pdf/current_forms/orpts/rp458a_fill_in.pdf Accessed 10/12/2023]
View Archived Source

New York Department of Taxation and Finance, Instructions for Form RP-458-a Application for Alternative Veterans Exemption from Real Property Taxation, Form RP-458-a-I (2022)
[https://www.tax.ny.gov/pdf/current_forms/orpts/rp458ai.pdf Accessed 10/12/2023]
View Archived Source
Footnote: 
A county, city, town, village, or school district may adopt a local law or resolution to include those military personnel who served in the Reserve component of the United States Armed Forces. The spouse or un-remarried surviving spouse of a veteran who is entitled to the veteran's alternative real property tax exemption is eligible to prorate and transfer such exemption to another piece of real property within the same taxing jurisdiction. The additional exemption based on a veteran's disability is not available to Gold Star parents.
Data Collection Notes: 
10/12/23 JS checked benefit varies with property value. Checked other criteria.

Revision Type: 

Revision Notes: 

12/22/23 KH verified
10/12/23 JS complete
11/15/22 AMN verified
11/12/21 WP verified
3/11/21: AJG: created 20, upload documents, source additional, eligibility criteria, local option edit.
12/10/20 AJG: created 19
4/2/19 GM: verified
11/5/18 cc edited and verified
7/18/18 SAH updated Source Web Page and Source Publication with required forms and program overview
5/8/18 YP created 17 record
11/20/17 JG updated program feature and description of benefits
7/14/17 PR see session laws in DCN
5/4/17 EM created 16 record
8/16/16 MM created 15 record, no update needed
12/15/15 MM verified
12/19/14 mj verified
12/2/13 no new leg
10/8/13 no new leg
11/5/2010 CS New Record
5/11/2011 CS Update- added footnote 2
1/9/12 DM created 12

Eligible Fund Veterans Exemption/Seriously Disabled

State: 

Year: 

Record ID: 
NY105_RR22
Variations in Receipt of Benefit : 
No Variation in Receipt of Benefits
Benefit Type: 
Exemption
Benefit: 
The benefit is an exemption of up to $7,500 of assessed value from state, county, and municipal property taxes, but does not apply to special ad valorem levies or special assessments. The exemption does not apply to school district taxes unless the school district's governing body elects to allow the exemption. The exemption is equal to the amount of eligible funds used in the purchase of the property. Eligible funds are funds paid by the United States Government or the State of New York to a military veteran including a veteran's pension, bonus or insurance monies (or dividends or refunds on such insurance), compensation paid to prisoners of war, mustering out pay, etc. (a longer list is available in the application instructions, part 3). The purchase of a property can include payment of the purchase price of a property, payments on the principal amount of a mortgage, payment of the cost of improvements, or payments to acquire the title of a property. Payments that are not considered the purchase of a property include the payment of current or delinquent taxes, interest, insurance, or repairs on the property, even if made with money borrowed on a mortgage. For the seriously disabled exemption, the benefit is a full value exemption of ad valorem taxation and special assessments if the veteran can demonstrate eligibility for governmental grants to acquire special equipment in the residence to accommodate the veteran's disability.
How is Benefit Disbursed: 
Exemption from assessed value
Eligible Property Type: 
Residential
Characteristics of Eligible Property: 
Only residential property is eligible for this program.
Eligibility Criteria: 
Disability
Homeowner
Principal Residence
Veteran
Surviving Spouse
Other Criteria
Description of Eligibility Criteria: 
Under the eligible funds veterans’ exemption, an eligible applicant includes homeowners who purchased their property with the proceeds from the veteran's pension, bonus, or insurance monies. The applicant can include those who served in the United States military, their spouse or un-remarried surviving spouse, dependent father or mother, or children under twenty-one years of age of the veteran. The primary residence (including necessary land) of a seriously disabled veteran that is either eligible for or has received financial assistance from the United States Government to equip the residence with special facilities to accommodate the veteran's disability is eligible for the exemption. Those involved in a cooperative are also eligible.
Local Option Regarding Program Features: 
Local option regarding program features
Description of Local Option Regarding Adoption or Program Features : 
There are local options only for the cooperative apartment provisions in which case each county, city, town, and village may adopt a local law to allow that portion of a cooperative apartment corporation held by an otherwise eligible veteran tenant/stockholder to be eligible for an exemption from real property taxes. If allowed, the amount of the exemption must be determined by the assessor, based upon the proportion of the outstanding stock held by the eligible shareholder and credited against the taxes charged to the corporation.
State Funding for Local Tax Loss: 
Local government covers all of its tax loss
Description of State Funding for Tax Loss: 
State statute does not provide for state funding for local tax loss.
Local Option in Adoption of Program : 
Local government is unable to exercise an option
Source State Statutes: 
N.Y. R.P.T. Law § 458 (1,3) (in effect for 2022)
Source Web Page: 
New York Department of Taxation and Finance, Eligible Funds Exemption
[https://www.tax.ny.gov/pit/property/exemption/eligfndsexempt.htm Accessed 10/12/2023]
View Archived Source
Source Publication: 
New York Department of Taxation and Finance, Application for Veterans Exemption from Real Property Taxation, Form RP-458 (2016)
[https://www.tax.ny.gov/pdf/current_forms/orpts/rp458_fill_in.pdf Accessed 10/12/2023]
View Archived Source ]

New York, Department of Taxation and Finance, Instructions for Form RP-458 Application for Veterans Exemption from Real Property Taxation, Form RP-458-I (2015)
[https://www.tax.ny.gov/pdf/current_forms/orpts/rp458i.pdf Accessed 10/12/2023]
View Archived Source ]
Footnote: 
Claimants may not receive benefits from the veterans exemption and the alternative veterans exemption at the same time.

Revision Type: 

Revision Notes: 

12/22/23 KH verified
10/12/23 JS complete
11/15/22 AMN verified
11/15/21 WP verified
3/12/21 AJG: created, no significant change
1/7/21 LA verified
4/22/19 GM: verified
11/5/18 cc verified
7/17/18 SAH updated Source Web Page and Source Publication with required forms and information detailing the exemption program
5/8/18 YP created 17 record
11/13/17 EM added DCN, updated benefit amount based on FN1, but left ftn1 for reference.
5/4/17 EM created 16 record
8/11/15 MM created 15 record - updated FTN1 and source addl
8/11/15 MM created 14 record - no changes
12/19/14 mj verified
12/2/13 no new leg
10/8/13 no new leg
11/5/2010 CS New Record
5/11/2011 CS Update-
1/9/12 DM
2/15/2012 GIR: uploaded source publication

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