Tax Relief for Norwell Residents

Tax Relief for Norwell Residents Recently, Norwell passed a large override. For some citizens, especially those on fixed incomes, this could create a financial hardship. Consequently, we want to make every effort to inform residents of several forms of available tax relief. Most are targeted at seniors, but some of the statutory exemptions apply to veterans and others. Many, but not all of these programs have income limitations. For those that do, an IRS form must be filed that, by law, must be kept confidential. A brief overview of these follows.

First, Norwell offers a Senior Tax Work-Off Program through the Council on Aging. This allows seniors to work for the town up to 94 hours per year in exchange for a reduction of up to $750 in their property taxes. These jobs vary and include indoor work, such as simple office tasks, and outside work, such as maintaining trails. The program is funded each year by Town Meeting and Norwell has one of the largest such programs in the area. There are no income restrictions. You must be age 60 or older and have lived at least 5 years in Norwell to apply.

The State also has a tax relief program called the "Circuit Breaker Tax." This is for taxpayers age 65 and older. Applicants claim a credit on their state income tax for local property taxes paid on their primary residence, whether owned or rented. One of several qualifications is that the property must be assessed at no more than $729,000. In addition, homeowners must be paying more than 10% of their total income for property taxes water charges. There are also income limits, currently $52,000 if filing singly and $78,000 if married filing jointly. The maximum credit is $980.

In addition, the following exemptions are available within 3 months from the mailing of tax bills.

  1. Tax Deferral Program to those 65 or older, income based on Circuit Breaker. This lets them defer payment of their property taxes until the sale of the property or the death of the taxpayer. Interest accrues on the unpaid taxes and is paid together with them at that time.
  2. CPA Surcharge Exemption for which some residents may qualify. Applicants must have low or moderate income as defined by the U.S. Dept. of Housing and Urban Development. For example, in 2012 a two person household with gross income of $78,240 or less could apply.
  3. Norwell has several other Statutory Exemptions for Seniors over age 70, Disabled Veterans, the Blind, Surviving Spouses, Minor Children and Extreme Hardship. Some of these have income or asset limitations, but others do not. Veterans with a service connected disability from the VA and the blind with a certificate.

Information and applications for all these programs are available in the Assessors Office at Town Hall. The Council on Aging will help complete the forms.

Assessors office @ 781-659-8014
Council on Aging @ 781-659-7877