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b2b777
LIF Adult
Member since 9/09 4474 total posts
Name:
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STAR spin off question...
Once you move into your home does STAR automatically begin to come off your tax bill monthly if the previous owners had it?
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Posted 2/23/11 1:08 PM  |
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LeShellem
A new beginning
Member since 2/07 3600 total posts
Name:
LeShelle
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Re: STAR spin off question...
Yes but you will need to reapply for next year.
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| Posted 2/23/11 1:11 PM |
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b2b777
LIF Adult
Member since 9/09 4474 total posts
Name:
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Re: STAR spin off question...
I believe the taxes and insurance are tied in to my mortgage. How do you notify them of the STAR deduction?
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| Posted 2/23/11 1:18 PM |
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bicosi
life is a carousel
Member since 7/07 14956 total posts
Name:
M
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Re: STAR spin off question...
Did you apply to star already?
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| Posted 2/23/11 1:49 PM |
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Re: STAR spin off question...
No - the STAR exemption is not transferrable. You need to apply for it after you close on the house and move in.
You should always find out what the taxes are BEFORE any exemptions. My real estate company always lists the taxes without exemptions, but some companies will list the taxes with the basic STAR or with the previous owners' exemptions (which may include the enhanced STAR, veterans', etc.).
As a practical matter, the STAR exemption usually won't affect your taxes until the second year you are in your home (because you do need to apply within a certain period), and then if your application is granted, the exemption is applied to your next year's school taxes. (STAR only applies to your school taxes)
Once you apply and are granted the exemption, you don't need to re-apply each year; the exemption automatically applies.
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| Posted 2/23/11 2:06 PM |
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b2b777
LIF Adult
Member since 9/09 4474 total posts
Name:
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Re: STAR spin off question...
Thanks Christine...
I've gotten so many conflicting answers. Most ppl have told me that the owners STAR transfers to me for the first year and then I have to apply for the following year. Very confusing.
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| Posted 2/24/11 10:35 AM |
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bicosi
life is a carousel
Member since 7/07 14956 total posts
Name:
M
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Re: STAR spin off question...
Posted by b2b777
Thanks Christine...
I've gotten so many conflicting answers. Most ppl have told me that the owners STAR transfers to me for the first year and then I have to apply for the following year. Very confusing.
The former owners STAR WILL NOT be transferred over to you.
You need to apply. 
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| Posted 2/24/11 10:37 AM |
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Mill188
LIF Adult
Member since 3/09 3073 total posts
Name:
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Re: STAR spin off question...
Posted by bicosi
Posted by b2b777
Thanks Christine...
I've gotten so many conflicting answers. Most ppl have told me that the owners STAR transfers to me for the first year and then I have to apply for the following year. Very confusing.
The former owners STAR WILL NOT be transferred over to you.
You need to apply.
This is not entirely accurate. It gets confusing because of "tax status" dates, but I'll try to explain it.
The tax status date in all towns in Suffolk County is March 1. All properties are valued as they exist on March 1 of a certain year and the STAR application is due on that date. Because Towns/Schools/Counties, etc. need to have enough time to prepare a stable budget, the tax status date of say March 1, 2011, applies to your 2011/12 taxes (the tax period is 12/1/11 - 11/30/12).
Say you close on a house today - 2/24/11. You WILL get the benefit of the previous owner's STAR exemption (if any) for the 2010/11 tax year (which goes from 12/1/10 - 11/30/11). However, for the 2011/12 taxes you will need to reapply.
I hope this makes sense.
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| Posted 2/24/11 10:58 AM |
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Re: STAR spin off question...
My understanding is that the tax status dates have nothing to with it, because any exemptions are for individual property owners, not the property itself.
So for example, if the previous owners were receiving the enhanced STAR because they were senior citizens, and you buy the house, you are not going to get the advantage of their enhanced STAR that the previous owners qualified for -- even if you close mid-year. When the deed is transferred, the exemptions are taken off, and you don't get any exemptions until you apply for the following year.
I believe in Nassau, the window for applications is Sept 1 to Dec. 31 (I am not as familiar with Suffolk).
I always advise buyers to look at the taxes without exemptions (and will verify that for them) because those are the taxes they will have to live with until they can apply for the basic STAR and/or whatever else they qualify for.
Hope this is helpful (and I am not confusing things even more, because it is kind of confusing in general)!
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| Posted 2/24/11 3:59 PM |
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Mill188
LIF Adult
Member since 3/09 3073 total posts
Name:
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Re: STAR spin off question...
Posted by Century 21 Dallow - Christine Braun
My understanding is that the tax status dates have nothing to with it, because any exemptions are for individual property owners, not the property itself.
So for example, if the previous owners were receiving the enhanced STAR because they were senior citizens, and you buy the house, you are not going to get the advantage of their enhanced STAR that the previous owners qualified for -- even if you close mid-year. When the deed is transferred, the exemptions are taken off, and you don't get any exemptions until you apply for the following year.
I believe in Nassau, the window for applications is Sept 1 to Dec. 31 (I am not as familiar with Suffolk).
I always advise buyers to look at the taxes without exemptions (and will verify that for them) because those are the taxes they will have to live with until they can apply for the basic STAR and/or whatever else they qualify for.
Hope this is helpful (and I am not confusing things even more, because it is kind of confusing in general)!
You are correct in that in most cases an exemption exists for the individual but NOT for the actual property.
Because of the different kinds of STAR exemptions though there are different rules.
With a senior (or enhanced STAR), the FULL exemption will come off. By law a Receiver of Taxes cannot change a tax bill without a court order mid-year. If you buy a property during a tax year from someone getting the Sr STAR you will get the full benefit for the remainder of the year. HOWEVER, on the first tax bill of the next year, there will be a relevy for the "enhanced" portion. It will only be for the "enhanced" portion if you have applied for your own STAR exemption for the following year.
The basic STAR will stay in place during the current year of a purchase and will only die if you do not file your own application.
There are different sets of rules for every different exemption type which further confuses things.
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| Posted 2/24/11 5:17 PM |
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