NOTICE and DISCLAIMER
As of December 27, 2017, the Town is accepting pre-payment of certain taxes that will become due during the 2018 calendar year. The Town is accepting these pre-payments under the authority of Governor Cuomo’s Executive Order No. 172-2017.
The Executive Order was issued in response to federal tax law changes that will limit the amount of local real property tax deductions in 2018. The Executive Order authorizes the pre-payment of real property taxes for which a Warrant has been issued for the collection of such taxes.
1. Early Payment of 2017/2018 (Second Half) School Taxes. Second-half school taxes have already been levied and are presently due on January 31, 2018. Residents have the right to pay these taxes in 2017. The Town cannot accept pre-payments of 2018/2019 school taxes under the Executive Order as neither the School Board nor the voters have approved a budget and the School District has not issued a Warrant for 2018/2019 school taxes.
2. Pre-Payment of Town and Special District Taxes. The Town Supervisor has issued a Provisional Warrant for the collection of 2018 Town of New Castle and Special District taxes. Pursuant to the Executive Order, the Town will accept pre-payments of these taxes in 2017. Residents should remit the same amount they paid in 2017 with respect to these taxes if they wish to prepay.
3. Pre-Payment County Taxes. At the present time, the County of Westchester has not issued a Warrant for the collection of County taxes. However, the Town anticipates that the County will take action to implement the Executive Order and facilitate the pre-payment of County taxes. Accordingly, the Town will accept pre-payment of 2018 County taxes. Residents should remit the same amount they paid in 2017 with respect to their County taxes if they wish to prepay.
What Happens Next Year?
Due to the timing of the Executive Order, the Town is not able to calculate actual 2018 tax bills. Actual tax amounts levied in 2018 for Town, Special District and County taxes (not currently available) will be reduced by a credit amount for any pre- payments made under the Executive Order. In the event of an overpayment, a refund will be issued. Therefore, you will need to carefully review your bill and communications from the Town when you receive your 2018 Town and Special District tax bill (which also includes your County taxes) in April, 2018. Failure to pay in full all taxes owed for 2018 Town, Special District and County taxes will result in the imposition of penalties and fees and may result in the commencement of an In Rem proceeding for failing to pay your taxes in full.
The Town offers no opinion or assurances concerning the ultimate deductibility of any taxes that are pre-paid for 2018. Residents should consult with their own tax professionals for guidance with regard to the federal tax implications associated with such pre-payments. By making a pre-payment of 2018 Town, Special District and/or County taxes, you are accepting the risk that the IRS may disallow deductions for some or all of these real property tax payments for the 2017 tax year.
If your property taxes are paid through an escrow account established with your Mortgage holder and you decide to pre-pay your 2018 taxes, it is your responsibility to reconcile any such payments with your Lender. In the event, the Town receives a double payment, it will return such payment to the party that issued the payment.
The Tax office is open:
Wednesday, December 27, 20178:45 am – 7:00 pm
Thursday, December 28, 20178:45 am – 7:00 pm
Friday, December 30, 2017 8:45 am – 3:00 pm