Ocean City Collected Over $11 Million In Prepaid Taxes By Dec. 31

OCEAN CITY, NJ — Ocean City residents filed more than $11.8 million in prepaid property taxes before Dec. 31, 2017, according to Ocean City Chief Financial Officer Frank Donato. The prepaid taxes are for 2018. Typically, Ocean City sees about $2.5 million in prepaid taxes annually, but changes in the federal tax code and an executive order by the governor lead to the onslaught of early filings.

Residents across the state were hoping to prepay their taxes after the federal tax bill signed into law in December limited the deduction for state and local taxes -- including property taxes -- to $10,000. They were looking to prepay their taxes in an effort to maximize their state and local tax deduction for 2017.

Gov. Chris Christie even signed an executive order directing the Division of Local Government to notify municipalities to accept payments for 2018 property taxes in calendar year 2017, and require them to credit those payments if the payments were postmarked on or before Dec. 31, 2017.

Most Ocean City residents prepaid their taxes for the first and second quarter of 2018, although some made payments for their projected third and fourth quarter taxes, as well.

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