The Senate Community and Urban Affairs Committee unanimously approved legislation Monday sponsored by Senator Jeff Van Drew that would allow active-duty military personnel to defer property tax payments while deployed in a time of war and for a three-month period following their return.
The legislation would allow the deferment for the entire period a soldier is deployed, ending 90 days after their last day of deployment. Property taxes would be due on the first day following the 90-day grace period. Interest would be applied to any past-due balance after that time period.
“This bill would extend a small amount of financial relief to those who are doing us the highest honor by serving and protecting our country,” added Senator Van Drew. “This is simply the right thing to do.”
To avoid an unfunded mandate, the state would pay municipalities for the amount of property taxes deferred, plus 2 percent, under the bill. Municipalities would refund the state in installments when deferred payments are received.
The bill now heads to the Senate Budget and Appropriations Committee for consideration.