First Round of Homestead Rebate Checks to be Mailed; Application Deadlines Extended

TRENTON, NJ – July 31, 2008 – (RealEstateRama) — Governor Jon S. Corzine and State Treasurer David Rousseau announced today that the Division of Taxation had begun mailing Homestead Rebate checks to nearly 1.3 million New Jersey households.

“This year’s State Budget dedicates more than $1.7 billion in direct property tax relief to New Jersey homeowners and tenants,” said Governor Corzine. “Despite significant reductions in spending, we were able to preserve rebates for 90 percent of last year’s recipients.”

Eligible senior and disabled homeowners, as well as all senior and non-senior tenants, who filed their applications by June 2 can expect their 2007 rebate checks to arrive beginning later this week. For those who have not yet filed for their 2007 Homestead Rebate or their Senior Freeze (Property Tax Reimbursement Program) the deadline has been re-extended, from August 15 to October 31, 2008.

“This property tax relief is much-needed and we want to ensure that all eligible residents ave the opportunity to apply,” said Treasurer Rousseau. “The August 15 deadline is only about two weeks away, and many potential applicants still need time to file. Extending the deadline to October 31 will help to ensure that everyone has the chance to participate.”

Approximately 435,000 homeowners who were age 65 or older or disabled as of December 31, 2007, and had income of $150,000 or less will receive checks in this mailing. For these homeowners the rebate is the greater of either a percentage of the first $10,000 of property taxes paid in 2006, or an amount determined under the alternate rules used in previous years. The percentage of property taxes is dependent upon income.

For residents with income of $100,000 or less, 20 percent of the first $10,000 of property taxes paid in 2006, and for residents with income between $100,001 and $150,000, 10 percent of the first $10,000 of property taxes paid in 2006. The alternate rules provide senior and disabled homeowners with rebates ranging from $500 to $1,200, depending on their income and the amount of their 2006 property taxes.

Under the terms of the FY 2009 Budget, homeowner rebate amounts for 2007 will be no greater than those paid last year (when rebates were also based on 2006 property taxes) unless there has been a change in an applicant’s filing characteristics. “Filing characteristics” means a reduction in income range, a change in age/disability status or filing status, or an increase in percentage of ownership.

Approximately 91,000 senior or disabled tenants with income of $100,000 or less will receive rebates of $160 to $860. And about 742,000 nonsenior, nondisabled tenants will receive rebates of $80.

Rebate checks for senior or disabled homeowners and any tenant filers who submitted their applications between the original filing deadline and the extended filing deadline will be issued as their applications are processed.

Rebate checks for eligible nonsenior, nondisabled homeowners who file their applications by the original August 15, 2008, deadline are scheduled to be mailed in the fall. Checks for applications filed between August 16 and the extended deadline of October 31, 2008, will be issued as quickly as possible, but may not be included in the initial fall distribution.

Information about the Homestead Rebate Program is available by calling the Homestead Rebate Hotline (1-888-238-1233 for homeowners or 1-888-213-8623 for tenants. Homeowners who still have not filed their rebate applications can do so by phone (1-877-658-2972) or online at www.state.nj.us/treasury/taxation/ . The automated telephone filing system and Internet filing application are available 24 hours a day, 7 days a week. The filing deadline is now October 31, 2008.

Homeowners and tenants can find out the status of their rebate check by calling 1-877-
658-2972, or online at www.state.nj.us/treasury/taxation/homestead/hrintro.htm. Rebate check information for homeowners who are under 65 and not disabled will not be available either online or by phone until the fall.

Information about the Senior Freeze (Property Tax Reimbursement) Program is available
by calling 1-800-882-6597 or on the Division of Taxation’s Web site at www.state.nj.us/treasury/taxation/propfrez.htm.

Information regarding all State property tax relief programs may be found at www.state.nj.us/treasury/taxation/relief.htm.

For Information Contact:
2008 Tom Bell
(609) 984-7110