Seniors Rush To File For Property Tax Break

By Steve Bigham

Newtown senior citizens were lined up outside Edmond Town Hall early Tuesday morning long before town offices opened. They were on hand to apply for the town’s newly approved elderly tax relief program.

When the doors finally did open, Tax Collector Carol Mahoney and her staff were quickly swamped as they helped the seniors file the form that may save them as much as $1,000 on their local tax bill. To become eligible, residents 65 and over must file for the tax break in the tax collector’s office by June 15.

“We were extremely busy,” said Mrs Mahoney, whose office is already busy this time of year as it prepares for tax season. “The line sometimes went out the door. Chairs were set up in the hallway.”

As of Tuesday, 228 applications had been field, according to the tax collector. It was unclear how many more applications would be submitted before the deadline day. This year’s plan calls for a cap of $330,000 in revenue loss to the town, so the program operates on a first come, first served basis.

To be eligible under the plan, the person or persons must be over 65, have lived in Newtown for at least one year, and live in the home for 183 days out of the year. Those with household income levels between $0 and $35,000 will receive a $1,000 tax credit, while those earning between $35,000 and $55,000 will receive a $600 tax credit. The program will be reviewed again next year since it was rushed through this spring in order to provide immediate tax savings.

Mrs Mahoney urged town officials to pass the program, pointing out that many elderly residents on fixed incomes are treading water as the town’s budget continues to rise. Many of them are longtime Newtown residents who are being forced to move out of town. Some are forced to borrow money or use parts of their home equity loans in order to pay their taxes.

The taxpayers of Newtown pay for 60 to 70 percent of municipal spending each year. Much of that money used to come from the state, especially education funds. Town officials opted to implement this plan in an effort to keep Newtown’s elderly in town. A senior citizen requires fewer services than a family with young children.

Legislative Council Chairman Pierre Rochman said the $333,000 cap was based on what the town projects it will receive in additional state aid not anticipated as revenue in the 2000-2001 budget.

The tax relief ordinance requires residents to claim all of their income, including tax exempt money.