This message was released by Maureen Lemieux, Newton’s Chief Financial Officer. today
To All,
As you know, several residents have been inquiring as to whether or not the City could accept Property Tax Payments for the entire calendar year 2018.
After careful consideration and consultation with our Law, Assessing, Treasury, and Comptroller’s Offices, as well as the Mass Department of Revenue we have determined that the City of Newton will continue the practice of accepting Real Estate Tax Pre-Payments for bills due through June 30, 2018, but will not accept payments for Property Taxes due in our next fiscal year (beginning July 1, 2018).
Although it was true that Wellesley had been accepting payments for the entire 2018 calendar year, after consultation with D.O.R. they have suspended that decision. There had also been speculation that the City of Boston was accepting payments for the entire year. However, upon further research we have confirmed that Boston is only accepting payments for the first quarter of 2018.
I am attaching the links to the Boston and Wellesley sites for your information.
https://www.wellesleyma.gov/
https://www.boston.gov/news/
Looks like it may be somewhat moot
https://www.washingtonpost.com/news/wonk/wp/2017/12/27/irs-says-taxpayers-trying-to-use-deduction-that-will-be-scaled-back-can-prepay-2018-property-taxes-only-under-limited-circumstances/?hpid=hp_hp-top-table-main_taxes-626pm%3Ahomepage%2Fstory&utm_term=.131f9e89dba6
And that IRS announcement would seem to be why the city will only accept payment for the first half (i.e. the final two quarters) of the city’s current fiscal year.
From the WashingtonPost article “The tax legislation limits the value of the state and local tax deduction to $10,000 and bans prepayment of local and state income taxes. But it left vague whether people could prepay their property taxes.”
Oh chaos and confusion will be rampant. What a mess!!
@greg reibman – I didn’t know we had a financial desk
Yes Jerry. But don’t get too excited. We only have the desk. No chair or lamp.
Ny times today says irs says only assessed taxes will be allowed. Whatever that means.
@Rick: that means Newton homeowners can pay the first two quarters of next year’s property tax in 2017 because our fiscal year 2018 assessments have been made but we cannot pay the fiscal 2019 taxes this year (I.e. the second half of 2018).
The Washington Post reports the IRS ruled that early filers could only avoid the controversial new $10,000 cap on deducting state and local taxes for properties that have been assessed in 2017.
I just paid my Q3 and Q4 fiscal year 2018 property taxes on the city’s website. It could not have been easier and beats standing in line on this cold December day.
Just in case anyone missed it – Today (Friday) is the last day to prepay 2017 real estate taxes due in the first half of 2018.
Tips:
If you’re already subject to AMT for 2017 income taxes, prepaying won’t matter.
Check to see If prepaying real estate taxes for 2017 will push you to be subject to AMT.
Newton’s prepayments are accepted on-line.
Check with your mortgage company to see the procedure for prepayment of real estate taxes.
http://www.bostonglobe.com/business/2017/12/28/property-tax-prepayment-changes-won-affect-most-mass-towns/MLa6pe5WwUVNL2UOLz6N2H/story.html?et_rid=34083782&s_campaign=todaysheadlines:newsletter#comments