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As used in this Chapter:
(1) Homestead. A dwelling used as a home, occupied by a taxpayer as a primary residence. A homestead shall also include mobile homes which are assessed as realty for local property tax purposes and the land upon which the mobile home is situated and other similar living accommodations, as well as a part of a multi-dwelling or multi- purpose building and a part of the land upon which it is built to the extent that the eligible taxpayer is chargeable by the City for property taxes. It shall also include premises occupied by an eligible taxpayer if he or she is required "by law" to pay a property tax by reason of his or her ownership or rental (including a possessory interest) in the dwelling, the land, or both; provided that the term "by law" shall not be deemed to include a contractual obligation between the eligible taxpayer and a person who would otherwise be responsible to the City for the amount of the tax. An owner includes a person in possession under contract of sale, deed of trust, life estate, joint tenancy or tenancy in common.
(2) Low income taxpayer.
(a) For tax year 2008 and all prior tax years, a taxpayer whose income does not exceed the "maximum annual income" allowable for an "eligible claimant" to participate in the Commonwealth's program for Pharmaceutical Assistance for the Elderly ("PACE") pursuant to the Lottery Fund Preservation Act, 72 P.S. §§ 3762-101 et seq.
(b) For tax year 2009 and thereafter, a taxpayer whose income does not exceed the maximum annual income allowable for an eligible claimant to participate in either the Pharmaceutical Assistance Contract for the Elderly (PACE) program or the Pharmaceutical Assistance Contract for the Elderly Needs Enhancement Tier (PACENET) established under Chapter 5 of the State Lottery Law, 72 P.S. §§ 3761-501 et seq.
(c) For purposes of this Section, "income" shall be defined as it is in Chapter 5 of the State Lottery Law.
(4) Senior citizen. A taxpayer who is sixty-five years of age or over, or whose spouse, if a member of the household, is sixty-five years of age or over, during a calendar year in which real property taxes are due and payable; or is both (a) the surviving unmarried spouse of someone who was sixty-five years of age or over and (b) fifty years of age or over during a calendar year in which real estate taxes were due and payable. 584
(5) Special tax provision. The eligibility for and the refund or forgiveness of a portion of the taxpayer's real estate tax liability.
Notes
| 583 | Amended, Bill No. 040876-AA (approved December 18, 2007). |
| 584 | Amended, Bill No. 180393 (approved June 20, 2018). |
(1) For the tax year 1996 and each year thereafter taxpayers who meet the standards of eligibility established by this Chapter shall be deemed a separate class of subjects of taxation and, as such, shall be entitled to the benefit of special provisions of this Chapter.
(2) Eligible taxpayers shall be entitled to a refund or forgiveness of real estate taxes which have been paid over to (or would except for the provisions of this Chapter be payable to) the City and School District of Philadelphia for real estate taxes under the provisions of Sections 19-1301 and 19-1801, in accordance with the following provisions:
(a) Low income senior citizen taxpayers shall be entitled to receive refunds or forgiveness of that part of their real estate tax liability attributable to any real estate tax rate increase or an increase in the assessed value of the taxpayer's homestead occurring after the effective date of this Chapter.
(b) In the event that a taxpayer who had previously been eligible to receive refunds or forgiveness of taxes pursuant to this Chapter is no longer eligible by reason of failing to meet the low income requirement provided for herein, the taxpayer shall be billed and shall pay real estate taxes at the then current real estate tax rate and assessed value. If a taxpayer reestablishes eligibility by meeting the low income requirement in subsequent tax years, the amount of real estate taxes that the taxpayer is then eligible to have refunded or forgiven is that part of the real estate tax liability attributable to any real estate tax rate increase or an increase in the assessed value of the taxpayer's homestead occurring no earlier than the calendar year prior to the tax year for which the taxpayer reestablishes eligibility.
(3) If a homestead is owned for only a portion of a year or is owned in part by a person who is not a low income taxpayer, the Department shall apportion the real estate taxes in accordance with the period or portion of ownership of the eligible taxpayer in determining the amount of refund or forgiveness for which a taxpayer is eligible.
(1) Except as otherwise provided in this subsection, an application for real estate tax refund or forgiveness of taxes shall be filed with the Department on or before the thirtieth day of September of the calendar year in which real estate taxes are due and payable, provided however, that for calendar year 2019, an application for real estate tax refund or forgiveness of taxes shall be filed with the Department on or before the fifteenth day of March. Only one taxpayer for each homestead shall be entitled to the real estate tax refund or forgiveness of taxes. If two or more persons residing at any homestead meet the qualification for a real estate tax refund or forgiveness of taxes they may determine among themselves who shall receive the refund or forgiveness of taxes. If they are unable to agree, the Department shall determine to whom the refund or forgiveness of taxes is to apply. 585
(a) The Department is authorized to grant exceptions to the deadline provided in subsection (1) upon provision by an owner of real property of evidence of hardship or evidence of other good cause, at its discretion. The Department shall promulgate such regulations and forms as are deemed necessary to effectuate the purpose of this subsection. The Tax Review Board is authorized to review any adverse final determination by the Department relating to an individual's application for an exception, in like manner and with the same effect as a petition for review, as provided in Chapter 19-1700. 586
(b) Extended deadline. 587 Taxpayers who would have been entitled to a refund or forgiveness of real estate taxes under the provisions of this Chapter in any prior tax year shall be deemed to have filed a timely application for that tax year, subject to the following:
(.1) Taxpayers eligible under this extended deadline provision must be eligible for a refund or forgiveness of real estate taxes under the provisions of this Chapter as of the date the application is filed with the Department.
(.2) Taxpayers eligible under this provision shall be entitled to receive forgiveness of that part of their real estate tax liability attributable to any real estate tax rate increase or an increase in the assessed value of the taxpayer's homestead in prior tax years, but no earlier than tax year 2018, in which the taxpayer would have qualified for relief. Such taxpayers shall not be entitled to a refund or credit for any real estate taxes paid for prior tax years; and
(.3) The Department shall affirmatively identify taxpayers eligible under this provision to the maximum extent possible by using all local, state, and federal government data, as well as consumer reporting data, that is obtainable by reasonable efforts. Upon identifying eligible taxpayers, the Department shall automatically enroll them in the program.
(2) Each application shall include reasonable proof of household income, the location and nature of the property claimed as a homestead and the tax bill or receipt for the real estate taxes owed or paid in connection with the occupancy of the homestead. It shall not be necessary that real estate taxes are paid directly by the taxpayer. The first application filed shall include proof that the taxpayer or his spouse is or will be age sixty-five or over during the calendar year in which real estate taxes are due and payable.
Notes
| 585 | |
| 586 | Added, Bill No. 140278 (approved August 5, 2014), effective October 1, 2014. |
| 587 |
(1) The Department may promulgate regulations both (i) to clarify which taxpayers qualify for the special tax provision of this Chapter; and (ii) to provide rules for the proper calculation of the special tax provision of this Chapter in specific situations, including, but not limited to, cooperative buildings. 588
(2) The Department may prescribe such rules, regulations, schedules or procedures as it deems necessary for the submission and establishment of proof of the eligibility of taxpayers for the special tax provisions or other matters relating to the provisions of this Chapter including, but not limited to, rules and regulations to establish forms and/or procedures:
(a) to make application for special tax provisions relating to refunds or forgiveness of real estate taxes; and
(b) to obtain recognition as a low income taxpayer.
Notes
| 588 | Added and former subsection (1) renumbered, Bill No. 180603 (approved September 19, 2018). |
(1) No taxpayer shall intentionally make any false statement when making application for eligibility to receive the benefit of the special tax provisions. If it is determined that a taxpayer made application for the special tax provisions on the basis of a false statement the eligibility for the special tax provisions is null and void and the applicant shall be required to pay the City outstanding tax liability and any additions, interest or penalties computed as if the taxpayer had never been granted special tax provisions.
(1) The Tax Review Board is authorized to review any adverse final decision or determination of the Department relating to a taxpayer's initial and continued eligibility for the special tax provisions as provided herein, in like manner and with the same effect as a petition for review, as provided in Chapter 19-1700.
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