West Deer establishes property tax deferral program for low-income residents, seniors

West Deer property owners who make less than $35,000 a year won’t have to pay for increases in township real estate taxes until they sell or transfer their properties to someone else thanks to a new township program.

The real estate tax deferral program would instead add any township real estate tax increase as a lien on a person’s property.

It doesn’t affect taxes imposed by the Deer Lakes School District.

Anyone who meets the income threshold or whose taxes were increased because of improvements made to their property, appeals or county reassessments is welcome to apply for the program, which begins next year.

The township’s property tax rate is 2.99 mills. That means a resident with a house assessed at $117,000 pays roughly $350 in township property taxes each year.

Residents who apply for the real estate tax deferral program would continue to pay the same amount of property taxes they paid before any increase.

For example, if a person paid $350 in township property taxes, but the tax was increased by $100 to $450, that property owner would continue to pay only $350. The deferred taxes would be paid by the homeowner upon sale or transfer of the home.

Supervisor Brandon Forbes pitched the idea. He said West Deer is on better financial footing than many other municipalities that have been hit hard by the coronavirus pandemic.

But that doesn’t mean the township’s low-income residents and seniors aren’t struggling.

Forbes said West Deer is willing to take an upfront loss in property taxes if it means helping those residents. Any dollar those residents save can go toward things like groceries, prescriptions or utilities.

“Harrisburg rarely gives municipalities the tools it needs to give tax breaks to those that need them most, so the board felt this program is one that would actually allow us to give something back to the low-income and senior homeowners who have paid their fair share of property taxes over the years already,” Forbes said.

Forbes said the program is basically an agreement with the township and a homeowner.

People can leave the program whenever they wish but will be responsible for paying the deferred taxes at that time. Participation in the program will not affect someone’s credit.

No interest or penalties would be assessed on any of the deferred taxes unless they weren’t paid upon sale or transfer of the home.

Supervisor Bev Jordan thanked Forbes for pitching the idea, and suggested people who want more information to reach out to Township Manager Dan Mator at 724-265-3680 ext. 222.

“I think it’s a way to help a lot of people,” Jordan said.