Philly homeowners with rising property tax bills can apply for more relief
Philadelphia has allocated $1.7 million in tax credits for homeowners with increasing real estate tax bills. The deadline to apply is Dec. 15 at 5 p.m.
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Happy Holidays, Philly. If you’re a homeowner with soaring property tax bills, you could be eligible for a gift from the city.
Homeowners across Philadelphia saw their property values go up following a citywide property reassessment released last year. Residential property values increased by an average of 31% across the city for the 2023 tax year. Assessments doubled in some working-class neighborhoods.
That all means higher tax bills.
To help with those bills, Philadelphia homeowners can apply for a new tax credit to save up to $500. Homeowners whose tax increase is less than $500 are eligible to receive that smaller amount. The money can be used to pay 2023 or 2024 taxes or as a credit for future taxes.
» READ MORE: Here’s what to know about the new assessments — and your options for lowering your tax bills.
The city of Philadelphia and City Council have allocated $1.7 million in tax credits for homeowners with rising real estate tax bills. The credit adds to the help that Philadelphia homeowners can get paying their property taxes, including the Homestead Exemption, the Longtime Owner Occupants Program, and a tax freeze for low-income seniors.
To be eligible for the new property tax credit, Philadelphia homeowners must live in their property, be the legal owner, and have tax bills that went up by 50% or more. Their household income must be at or below 80% of the area median, or $71,400 per year for a household of two.
» READ MORE: 4 ways to pay less property tax in Philadelphia
Since more homeowners are likely to apply than the $1.7 million can cover, tax credits will be distributed through a random lottery. The deadline to apply is Dec. 15 at 5 p.m.
The city has partnered with the technology company FORWARD, which is administering the City of Philadelphia Real Estate Tax Credit Program and managing applications.
City Council President Darrell L. Clarke said Council created the tax credit to help keep Philadelphians from getting priced out of their homes by rising property taxes.
» READ MORE: ‘It’s wrong’: Philly property assessments double in some working-class neighborhoods
Mayor Jim Kenney called real estate taxes “a critical source of revenue for our city” but also “a strain on many Philadelphians.”
“This program is a way to strike a balance between these two competing needs,” Kenney said in a statement. “It will provide relief to those who need it most, while also ensuring that we have the resources to invest in our city’s future.”