Sens. Bailey, Rafferty celebrate the Senior Property Tax Deferral Program
AUGUSTA – Sen. Donna Bailey, D-Saco, celebrated the Senior Property Tax Deferral Program this week. On Wednesday, Dec. 15 the program’s application became available on Maine Revenue’s website. Sen. Bailey’s signature bill was incorporated into LD 1733 this year, funding the Senior Property Tax Deferral Revolving Account. This revived the Senior Property Tax Deferral Program.
“Now more than ever, with rising property valuations and the soaring cost of living, I’m relieved that I was able to help Maine seniors keep more money in their pockets for food, medication and travel,” said Sen. Bailey. “As a member of the Appropriations Committee, I knew that we needed to make good use of the once-in-a-lifetime federal funds coming to Maine. I can think of no better way to use some of that money than to support our seniors.”
The original bill, LD 1638, “An Act To Help Seniors and Certain Persons with Disabilities Remain in Their Homes by Providing for the Deferral of Property Taxes,” was sponsored by Sen. Bailey and was based on her previous efforts in the 128th and 129th Legislatures. The bill aimed to reinstate the state’s property tax deferral program, which was in place from 1989 through 1991, allowing the state to pay the property taxes for those who qualify, and obtain a lien on the real estate for reimbursement from the property owner’s estate, after they pass away.
“This is a big day for Maine seniors. Even before the pandemic, they were feeling pain in their pocketbooks,” said Sen. Joe Rafferty, D-Kennebunk, who co-sponsored LD 1638. “Starting next year, Maine seniors can apply for the Senior Property Tax Deferral Program, which means they will have money to live comfortably and stay in their homes.”
Since 2020, property taxes have been rising sharply as a result of a pandemic-fueled spike in home buying. These higher property taxes hit seniors especially hard because they often live on the fixed incomes of retirement savings and Social Security, which are not going to rise at the same rate as escalating home valuations. Additionally, 29 percent of Maine seniors live in families with low income, and the 56.4 percent of Maine seniors who receive Social Security payments get on average just $11,964 annually.
The Property Tax Deferral Application is available at www.maine.gov/revenue/tax-return-forms/property-tax. When you get that website, please click “Property Tax Deferral Application” underneath “Forms.” The completed forms need to be filed with the local tax assessor between Jan. 1 and April 1, 2022 in order to be effective for the April 1, 2022 tax year. If you need assistance with the forms, please contact the Property Tax Division at (207) 624-5600 or prop.tax@maine.gov.
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