Here Come The Tax Bills

By Steve Bigham

Citizens of Newtown who own a home, piece of land, or car can expect to receive the first installment of their tax bills by early July. Tax bills go out on Friday, June 29.

A total of 35,420 bills will be sent out, with approximately 5,000 of them going to banks and mortgage companies to be paid from escrow accounts. There are more than 10,974 bills to be sent out for vacant land and residential accounts, with 23,313 additional bills going out to motor vehicle owners. They have an average value of $7,000, according to Tax Collector Carol Mahoney.

In April, taxpayers approved a $72.9 million budget, which represents a 7.5 percent increase in spending over the current budget. The tax rate went up by 2.3 mills to 31.8 mills.

According to Tax Assessor Denise Hames, a home valued at $250,000, which would be assessed at $175,000, will have to pay $5,565, an increase of $402 over last year’s rate.

Voters approved nearly $49 million for the construction of a 5/6 school, the purchase of Fairfield Hills, and various other projects at a town meeting last week, so the upward pressure on the tax rate will continue. Some of the debt service for those projects has been incorporated into this year’s (2001-2002) taxes. However, the 2002-2003 budget will also be affected by the expenditure.

The due date for motor vehicle bills and the first installment on real estate and personal property bills is July 1, 2001, payable through August 1, 2001, without interest charges. Payment after August 1 will be subject to 3 percent interest in August and 1.5 percent additional interest each month after that.

According to the tax collector’s office, three types of properties are assessed and subject to taxes: real estate, motor vehicles, and personal property. This year’s tax rate of 31.8 mills is equivalent to $31.80 of taxes per $1,000 of net assessed value.

Mrs Mahoney said many taxpayers panic when they see the July 1 due date. They often ask, “How do you expect me to pay my bill on time when I just got it today?”

Other people call up in shock over the assessed value of their car. “If I could get this much for the car I’d be happy,” they say.

But, as Mrs Mahoney explains, the value of all vehicles is found in the Blue Book, which does not take the condition of the vehicle into consideration.

Tax bills can be paid in two installments, with the first being paid by August 1 and the second being February 1.

For the second year in a row, the town is offering an elderly tax relief program to senior citizens who fit a certain age and income category. This week, the tax collector’s office reports that 444 Newtown residents are eligible for the savings, which comes at a cost of $386,499 to the town. A person or couple earning $35,000 or less will receive $1,075 in tax savings – up $75 from last year. Those who earned between $35,001 and $55,000 will receive $636 in savings, which is up from $600 last year.

Also being offered this year for the first time is a tax relief program for volunteer emergency personnel. According to the tax collector’s office, 114 residents will receive $81,668 in total tax savings.

For more information on taxes, tax credits, or exemptions, contact the assessor’s office at 270-4240 or the tax collector’s office at 270-4320.