The “Deferment Program” offers an extension of ninety days for the taxpayer to pay their July 1, 2020 tax bills. The bills are still due July 1st, 2020 but the grace period that normally extends to August 1st will now extend until October 1st. The taxpayer can pay their bill up to 90 days after the due date without any penalty or interest. If the tax bill is outstanding as of October 1st, the interest will be calculated based on the July 1st due date or 1.5% per month. This program, if elected, will offer to eligible taxpayers, businesses, nonprofits, and residents a deferment by ninety (90) days of any taxes on real property, personal property or motor vehicles from the time that it became due and payable. Eligible taxpayers, businesses, nonprofits, and residents are those that attest to or document significant economic impact by CO VID-19, and/ or those that document they are providing relief to those significantly affected by the COVID-19 pandemic. The Secretary of the Office of Policy and Management issued guidance on this by creating a form for all taxpayers effected by COVID-19 to submit by July 1st, 2020. These forms can be submitted via mail (800 Bloomfield Avenue, Bloomfield CT 06002), fax (860-769-3597) or email (firstname.lastname@example.org).
The “Low Interest Rate Program” will extend to all taxpayers that have delinquent taxes and will reduce the interest rate from 18% annually or 1.5% monthly to 3% annually or 0.25% monthly. This program will allow taxpayers that have delinquent balances a reduction in interest for a maximum of 90 days, but payment has to be received within the 90 days. If payment is not received by July 1st, 2020 then the interest rate reverts back to 18% as if the “Low Interest Rate Program” never existed. For taxes due July 1st, 2020, the taxpayer would have a grace period until August 1st. If payment is received after that date, interest would be charged at a reduced rate of 3% annually or 0.25% per month. If a taxpayer paid their bill on August 4th, the interest due would be 0.50% instead of 3%.