No Tax Pre-Payment: Bedford School Officials

From Bedford Central School District: On December 22, 2017, Governor Cuomo issued Executive Order No. 172 allowing for the early payment of real property taxes. This executive order was in response to the passage of federal tax reform that limits deductions for state and local property taxes after January 1, 2018.

Public statements accompanying the executive order include school districts as local taxing authorities that are covered by the order. Nevertheless, the executive order does not actually authorize school districts to accept early payments of school taxes. It also does not allow for school districts to issue tax warrants for the 2018-2019 school year prior to the passage of school budgets in May.

In an effort to inform Bedford Central School District property owners of this aspect of the new Federal Tax Law, we have been consulting over the past several days with the District's legal counsel to determine if it is possible to accommodate pre-payment of the 2018-2019 School District portion of the tax bill for Federal purposes. We have confirmed that in the absence of an approved 2018-19 School District Budget, the District may not do so. By law, taxpayers vote on the school district budget occurs in May for the year beginning July 1. We are not permitted to approve our budget or an interim budget any earlier or provide estimated tax bills for 2018-19.

In summary, tax warrants for the 2017-2018 school year have already been issued and all taxes due on those warrants may be paid before the end of the calendar year. The December 22, 2017 executive order does not authorize school districts to collect taxes for the 2018-2019 school year at this time.

Image credit Tom Auchterlonie