The Examiner

Buchwald Urges W’chester Municipalities to Request Tax Extension

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Assemblyman David Buchwald

As Westchester County mulls legislation to sharply reduce penalties for property taxpayers unable to pay their bill by the Apr. 30 deadline, Assemblyman David Buchwald (D-White Plains) said municipalities can provide residents a three-week reprieve without fines.

Buchwald last week cited Section 925-A (2) of the state’s real property tax law that allows for up to a 21-day extension to pay county property taxes without incurring interest or penalties during a state of emergency.

A town or city can submit a formal request to the governor’s office, which must be granted before the deadline, he said.

“We should do whatever we can so that Westchester residents are not financially penalized due to the coronavirus pandemic disrupting the economy,” Buchwald said. “I urge local government leaders to request that Westchester taxpayers be provided more time to make their payments without suffering an additional financial penalty.”

With unemployment surging at record speed as large portions of the economy have been shut down, the COVID-19 pandemic is creating financial hardship for many families and businesses. Buchwald said the existing state law, which had been on the books well before the outbreak, was meant for situations like this.

Following County Executive George Latimer’s proposal nearly two weeks ago to suspend penalties and interest for taxpayers experiencing a hardship until July 15, the Board of Legislators reworked the proposal after some municipalities, many of which will be cash strapped, balked at the likelihood of receiving delayed payments for two and a half months.

On Tuesday night, county lawmakers are holding a public hearing on the new proposal that would slash penalties from 2 percent to 0.5 percent for taxpayers who pay their bill in full from May 1 to May 30, a 1 percent penalty for those who pay from May 31 to June 30 instead of 5 percent and a 1.5 percent levy for those who pay from July 1 to July 15 instead of 7 percent. After July 15, the full 7 percent penalty would be imposed if the measure passes.

County Legislator Kitley Covill said last week that the Board of Legislators sympathized with those facing hardship, but there needed to be an incentive for those people who are able to pay their taxes in full by the Apr. 30 deadline.

“Many folks agreed ‘Let’s just permit it,’” Covill said, “but I think you want to encourage people to pay on time for a number of reasons. One is we need the money and the towns have to give it to us whether people can pay it or not. People want government more than ever now and if we don’t have the money to help them, that’s double pain in my opinion.”

Westchester is the only county in New York State that collects property taxes in April. The federal and state governments have provided extensions for income tax obligations this year until July 15 because of the crisis.

 

 

 

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