State property tax relief available for lower-income homeowners
People who make less than $20,000 a year can apply to have some or all of their state education property tax waived under a state relief program, but they must submit an application by the end of next month.
The state says more than 12,000 claims are submitted each year, resulting in average payments of $190 per household, covering some or all of the homeowner’s state property tax.
More than $2.3 million was paid out last year, according to the New Hampshire Department of Revenue Administration.
Applications could be submitted starting Tuesday, May 1, and must be submitted by June 30.
The Low and Moderate Income Homeowner’s Property Tax relief program is available to people who own a home in the state where they were living April 1, 2011, and who make less than $20,000 as an individual or $40,000 if married or head of household.
Successful applicants can be refunded all or part of the state education tax, depending on their income.
The program does not apply to the town or local education portion of the property tax.
The state education tax is currently $2.38 per $1,000 of assessed valuation, meaning that it would add $476 annually to the tax bill of a $200,000 house.
The state tax is usually the smallest portion of a community’s tax rate. In Nashua, for example, it makes up 11 percent of the $20.97 tax rate.
Application forms are available on the Department of Revenue’s website (nh.gov/revenue), or by calling the DRA at 230-5001.
Most area libraries allow free Internet access for people without Internet access to download the form from the website.
This refund program was launched in 2002, replacing a similar “hardship” program which only applied to people in so-called donor towns.
David Brooks can be reached at 594-6531 or firstname.lastname@example.org.