Monroe Town Council OKs low-interest rate for delinquent taxpayers
MONROE — Town Council voted unanimously to adopt a low-interest rate program for the upcoming fiscal year tax collection.
First Selectman Ken Kellogg, in an email to residents Thursday, said the decision was made during a special meeting Wednesday. The town’s tax collector will provide more detailed information to taxpayers in the coming months.
Gov. Ned Lamont ordered that every municipality choose between deferment or a low-interest rate program. Under the executive order, Town Council had to vote by April 25 on an option, and the Board of Finance unanimously agreed that low interest was the safer choice.
Kellogg said the low-interest rate option applies to Monroe real estate, motor vehicle and personal property taxes that come due on July 1, 2020. Residents will have a one-month grace period for payment, at zero interest, through Aug. 3, 2020.
Any payments not made by Aug. 4, 2020, will be subject to a 0.25 percent interest rate per month instead of the statutory 3 percent rate per month. The low-interest rate program will continue through Oct. 2, 2020, after which any outstanding taxes will revert to the usual statutory rate, as per the governor's executive order.
Kellogg said while landlords are required to submit documentation that they provided rent forbearance to their tenants or lessees, other taxpayers are not required to submit any documentation to be eligible for the program.
Tax payments that are escrowed by a financial institution or mortgage servicer are not eligible for the program unless the mortgage payments are not current or the borrower is in a forbearance or deferment program.