New School Tax Relief (STAR) applicants must apply for the benefit in the form of a credit check with New York State.

You are considered a new STAR applicant if you:

• Didn't own your property on March 15, 2015, or
• Didn't have Basic or Enhanced STAR for tax year 2015/2016, or
• Removed the STAR Exemption from your property so you can receive STAR as a credit instead, or

If you received the NYC STAR Exemption in the 2015/2016 tax year or earlier and later lost it and have a total household income of $250,000 or less, you can choose to either apply to restore your benefit with the City or apply for the STAR Credit with NY State. If you have a total household income more than $250,000, you can only apply for the STAR Credit.

If you are receiving the STAR Exemption but your income goes over $250,000, you must apply for the STAR Credit.

Eligibility

To apply for STAR, at least one owner must use the property as their primary residence. There are two forms of STAR: Basic and Enhanced. Enhanced STAR (E-STAR) offers a larger tax savings than Basic STAR. You can’t receive both at the same time.

Basic Star and E-STAR have different eligibility requirements.

Basic STAR

To be eligible for the STAR Credit:

• You must own your home and it must be your primary residence.
• The total household income of all owners and spouses living on the property must be $500,000 or less.

There is no age restriction.

Enhanced STAR

To be eligible for the E-STAR Credit:

• You must be 65 or older by December 31 of the year when the credit will begin. For jointly-owned property, only one spouse or sibling must be 65 or older.
• The total household income of all owners (residents and non-residents) and any owner’s spouse who lives on the property must be $90,550 or less

For purposes of Basic STAR and E-STAR, total household income is defined as adjusted gross income (AGI) minus any taxable IRA distributions.

Application Information

Online

Learn more and apply for the STAR Credit.

By Phone

New York City’s STAR Exemption program is no longer accepting new applicants. However, if you owned the property and received the exemption in 2015/2016 or earlier and later lost the benefit, you can apply to have the benefit restored.

If you don’t currently receive STAR and didn't receive the exemption in tax year 2015/2016 or earlier, you should apply with NY State for the STAR Credit.

If you currently receive the STAR Exemption, you can:

• Apply to upgrade to Enhanced STAR for seniors, which provides greater benefits
• Remove the STAR Exemption so you can apply for the STAR Credit with the State

The STAR Exemption doesn't need to be renewed.

Exemption Amounts

New York State sets the rates for STAR and Enhanced STAR. The amount of your exemption credit is based upon:

• Your property's assessed value or transitional assessed value.
• Your prior year savings. E-STAR has an annual inflation rate adjustment.

The STAR Credit may offer a greater benefit than the STAR Exemption because the amount of the credit will increase in the future, but the value of the exemption will not.

State law sets limits on the maximum savings amount for properties receiving STAR or E-STAR. The limit is based on the type of property you own.

The approximate benefit for the STAR Exemption is $293. The approximate benefit for the Enhanced STAR Exemption is $650.

For more information on how your exemption was calculated, contact the State.

Visit the Department of Taxation and Finance website.

A new law requires that any property with unpaid property taxes that are past due for more than one year cannot continue receiving the Basic STAR Exemption or Credit. New York State will mail letters to homeowners that are at risk of losing their STAR Exemption or Credit.

If you receive a letter you have until June 1, 2020 to pay the past due property taxes that you owe or enter into a payment agreement or PT AID agreement to keep the STAR Exemption or Credit.

For the purposes of determining STAR eligibility property taxes are considered past due when:

• Property taxes remain unpaid more than  one year after the due date.
• If you have a payment agreement or PT AID agreement you have not made the required payments and have defaulted on that agreement.

Properties receiving Enhanced STAR are not affected.

Other non-property tax charges on the tax bill are not included.

Some properties may be exempt from this law. If you receive a notice from NYS and you fit either of these categories you should contact DOF prior to June 1, 2020:

• You receive the Senior Citizen Homeowner’s Exemption (SCHE), Disabled Homeowner’s Exemption (DHE), or Veterans Property Tax Exemption in the current tax year you are eligible to continue receiving Basic STAR.
• If you have a payment agreement or PT AID agreement and you are up to date with payments you are eligible to continue receiving Basic STAR.

If you receive a notice and the information in the notice is incorrect or you do not owe past due property taxes you must appeal to New York State within 45 days of the notice.
 
Paid or Unpaid Taxes

Paid

If you pay your past due property taxes in full or enter into a payment agreement/PT AID agreement by June 1, 2020, you will continue to receive the STAR Exemption or Credit.
 
Unpaid

If you do not pay your past due property taxes or enter into a payment agreement/PT AID agreement by June 1, 2020 you will lose the STAR Exemption or Credit for the current tax year. If you currently receive the STAR Exemption it will be removed from your October property tax bill, retroactive to July 1, 2020. If you currently receive the STAR Credit, you will not receive a check this year.

If you pay the past due property taxes after June 1 but within the next tax year you can apply for the STAR Credit through NYS and receive the credit for this year retroactively. Once the STAR exemption is removed from your property you must apply for the STAR credit, you cannot get the exemption back.

There are two forms of the STAR Exemption: Basic and Enhanced. Enhanced STAR (E-STAR) offers a larger tax savings than Basic STAR. You can’t receive both at the same time.

If you receive the Basic STAR Exemption and meet E-STAR eligibility guidelines, you can apply to upgrade your benefit.

You aren’t eligible to transfer to the E-STAR Exemption if you didn’t receive the STAR Exemption in tax year 2015/2016 or earlier. You should register for the STAR Credit with NY State instead.

Eligibility

To be eligible for E-STAR:

• All owners must be 65 or older in the calendar year in which you are applying. If the owners are spouses or siblings, only one must be 65 or older.
• The total household income of all owners (residents and non-residents) and any owner’s spouse living on the property must be $90,550 or less.

For purposes of STAR and E-STAR, income is defined as adjusted gross income (AGI) minus any taxable IRA distributions.

If you are enrolled in E-STAR, your income eligibility will be verified automatically each year by the NYC Department of Finance (DOF) with the NYS Department of Taxation and Finance. You don't need to do anything. 

Deadline

The deadline to submit an application to transfer to E-STAR for 2020/2021 was March 15, 2020.

• If you're eligible and your 2020/2021 application was postmarked on or before March 15, 2020, you will start receiving E-STAR on July 1, 2020.
• If you're eligible and your 2020/2021 application was postmarked after March 15, 2020, you will start receiving E-STAR on July 1, 2021.

Application

The STAR Credit may offer a greater benefit than the STAR Exemption because the amount of the credit will increase in the future, but the value of the exemption will not.

If you are currently receiving STAR or Enhanced STAR as a property tax exemption, and want to receive STAR as a credit rebate check, you must request that the NYC Department of Finance remove the STAR Exemption from your property first. You can then reapply for STAR or Enhanced STAR with the State.

If you choose to remove the STAR exemption in order to receive the STAR credit you will owe more in property taxes.

If you received the STAR Exemption in the 2015/2016 tax year or earlier and later lost the exemption, you may be able to restore your benefit.

You aren't eligible to restore your STAR Exemption if:

• You are a new owner of the property
• You previously requested that the STAR Exemption should be removed from the property
• You applied for the STAR Credit with New York State
• Your household’s total combined income is more than $500,000

Download the STAR Benefit Restoration Application.

The deadline for the 2020/2021 tax year was March 15, 2020.

• If you're eligible and your 2020/2021 application was postmarked on or before March 15, 2020, you will start receiving benefits on July 1, 2020.
• If you're eligible and your 2020/2021 application was postmarked after March 15, 2020, you will start receiving benefits on July 1, 2021.

You must send proof of income for all owners. Owners who file a Federal Income Tax return must attach a complete copy of their 2018 return including all schedules and attachments for all owners. If an owner didn't file taxes for 2018, you must submit documentation showing their income.

The Department of Finance will send you an acknowledgement letter when they receive your application. They will also send another letter to let you know if you have been approved for the exemption or if they need more information.

You can appeal if the Department of Finance (DOF):

• Denied your exemption application
• Removed your exemption
• Reduced the amount of your exemption benefit

A property’s benefits may be revoked if:

• An owner died
• The property transitioned to a new owner
• The owner is no longer eligible

You can appeal DOF’s decision with the NYC Tax Commission. Learn more about appeals on the Property Tax Exemption Appeal page.

If you have questions about why your exemption was denied, removed, or reduced, contact the Department of Finance. Note that contacting DOF for an explanation does not extend the deadline to file an appeal with the Tax Commission.

You can get information about your property tax benefits, including:

• Application status
• Current benefit amounts
• Proposed benefit for the upcoming tax year

Co-op owners should contact their management office for assistance.

Online

Get property tax benefit information.

By Phone

Online

Contact the Department of Finance.

By Phone