Zebrowski Calls for DFS Guidance for NY "Escrow" Taxpayers "Pre-paying" 2018 Property Taxes

Chairman of the Assembly Banks Committee further requests emergency rule to ensure refunds are reimbursed

Assemblyman Ken Zebrowski (D-Rockland County), Chairman of the Assembly Banks Committee, has requested the Department of Financial Services provide immediate guidance to New York taxpayers who are attempting to pre-pay their 2018 property taxes.

Many towns and counties throughout the State are expediting tax collections in order to permit residents to deduct property tax payments on their 2017 returns. However, very little guidance has been issued to a large percentage of taxpayers who pay their taxes through an escrow account set up through their mortgage company.

"Unfortunately taxpayers who pay their taxes through escrow payments are left in the dark," said Zebrowski. "If they have the means to pay their taxes directly over the next two days, will they be entitled to a timely re-imbursement from the mortgage company? Taxpayers need an immediate answer to this question as it could have a dramatic effect on a family's cash flow," continued Zebrowski.

Zebrowski requested the Department of Financial Services provide guidance to New York taxpayers who are faced with this question. He further requested that if current rules and regulations are not clear with regard to this unique situation, an emergency rule be promulgated mandating that taxpayers be issued a timely refund if they pay their property taxes directly.

"Many residents are unfortunately scrambling to deal with the aftermath of this tax bill. Hopefully New York's government can act swiftly and decisively to protect our taxpayers and help them plan their family finances," concluded Zebrowski.