More people are eligible for rent and property tax rebates in Pennsylvania. Here’s what to know.
The state's rent and property tax rebate program now includes more older adults and adults with disabilities for the first time in years.
More Pennsylvanians can apply for rebates on their 2023 property tax and rent bills, thanks to the program’s first expansion in 17 years. If you’re an older adult or a Pennsylvanian with a disability, read on.
What is the property tax rebate program?
The property tax rebate program provides rent or property tax rebates to eligible older adults and adults with disabilities. The rebates range from $380 to $1,000, with lower-income residents receiving higher rebates and some applicants qualifying for additional money.
The program, which is funded by gaming and the Pennsylvania Lottery, was created in 1971 and has provided more than $8 billion in rebates.
What changed about it this year?
Democratic Gov. Josh Shapiro signed a bill in August that expanded the program for the first time since 2006, a move he promised on the campaign trail and in his inaugural budget speech last March. He announced the opening of the new applications on Tuesday.
The expansion increased the income cap for participants, as well as the amount of money available.
Standard rebates, which were previously capped at $650, can be as high as $1,000. Homeowners and renters with incomes below $45,000 are now eligible, while the income limits were previously set at $15,000 for renters and $35,000 for homeowners.
And going forward, income caps will be tied to the cost of living.
The expansion made 175,000 more Pennsylvanians eligible for the program and increased rebates for many of the 430,000 Pennsylvanians who already qualified, according to Shapiro’s office.
Who is eligible?
The program is for Pennsylvania renters and homeowners 65 and older, widows and widowers 50 and older, and people with disabilities who are 18 and older and have an annual income below $45,000.
People with incomes up to $8,000 qualify for a maximum rebate of $1,000, which goes down to $770 for incomes of $8,001 to $15,000, to $460 for $15,001 to $18,000, and to $380 for $18,001 to $45,000.
Property owners in Philadelphia, Scranton, and Pittsburgh who make $30,000 or less and whose property taxes are more than 15% of their total income are also eligible for an additional 50% of their rebate, which ranges from $190 to $500. This additional relief remains unchanged from the 2006 Taxpayer Relief Act, which acknowledged that these cities have higher wage and income tax rates.
How do I apply?
Applications are due on June 30. Participants must reapply every year, and it is free to do so.
Pennsylvanians can apply online at mypath.pa.gov or in person at Department of Revenue locations. Calling ahead to make an appointment is strongly recommended for in-person applicants.
Mail-in paper applications can also be requested by calling 1-888-222-9190. Applications postmarked by June 30 will be accepted.
The revenue department encourages newly eligible applicants to apply as soon as possible. To prevent fraud, first-time applicants will have to provide additional documentation.
After applying, people can check the status of their rebate by clicking the Where’s My Rebate? link on the mypath.pa.gov homepage.
The revenue department hired additional staff to be stationed at local agencies and senior centers throughout the state to assist applicants, and also improved the online application system. There is a Spanish online application for the first time this year.
When will I get my rebate?
First-time filers who apply by June 1 should expect to receive their rebates between July 1 and Sept. 1, according to Shapiro’s office. Some rebates could take longer if the revenue department needs to correct or verify information from the application.
Rebate distributions typically begin on July 1, but the state is expecting a record number of applications. Opting to receive payment through direct deposit can speed up the process.