Quarterly Tax Payments
How Quarterly Payments Work
Under the quarterly payment system, you will be sent a preliminary tax bill each year on or about July 1st. Your preliminary tax will be based on the adjusted net tax owed (including any betterments, special assessments and other charges added to the tax) on your property for the prior fiscal year and as a general rule will be no more than half (50%) of that amount. Your preliminary tax will be payable in two equal installments. Your first payment will be due on August 1st and your second payment will be due on November 1st. The Town will add up to 2.5% increase on Preliminary bills to make the 3rd and 4th quarter payments more equal to the 1st and 2nd.
If your Fiscal Year 2018 tax was $2,000 and you were granted an abatement of $400, your FY2018 net tax due was $1,600 x 2.5% = $1,640. Your Fiscal Year 2019. Preliminary tax would in most instances be no more than $820. This $820 would be payable in two installments of $410 each. Your first $410 payment would be due on August 1, 2018 and the second would be due on November 1, 2018.
Your actual tax bill will then be sent to you on or about December 31st. This bill will show the assessed valuation of your property, the tax rate and the amount of property taxes you owe for the fiscal year, including CPA and any other special charges that are added to the tax. The tax bill will also show the amount of the preliminary tax billed in early summer as a credit against your actual tax for the year.
The balance of your tax remaining after credit for the preliminary tax will also be payable in two equal installments. Your first payment will be due on February 1st and your second payment will be due on May 1st.
If your actual Fiscal Year 2019 tax bill is $1,700 and you had previously been billed $820 in preliminary taxes for the year, you would have a remaining balance of $880. This $880 balance would be payable in two installments of $440 each. The first $440 payment would be due on February 1, 2019 and the second would be due on May 1, 2019.
Once the actual tax bills are mailed, you will be able to file an abatement application with the assessors if you wish to contest your assessment. Applications for abatement may be filed between January 1, 2019 and February 1, 2019 if the actual bills are mailed on or before December 31, 2018.
Any questions or for further information, contact the Manchester Board of Assessors at 978-526-2010. Also don’t forget to check out our web site at www.manchester.ma.us.