Pennsylvania Gov. Josh Shapiro wants to expand state's property tax, rent rebate program
Pennsylvania Gov. Josh Shapiro was in New Cumberland on Monday to push his plan to expand the Property Tax/Rent Rebate Program for seniors and Pennsylvanians with disabilities.
Shapiro made a similar stop last Thursday in Erie. Here's what the governor's proposal would do:
- Raise the maximum rebate for seniors from $650 to $1,000.
- Increase the income cap for renters and homeowners to $45,000 a year.
- The income cap would also be tied to the cost of living.
"So, if you think about what's happened, the income cap stayed the same. Your COLA (cost of living) for Social Security and other things went up, and that basically knocked people out of getting a rebate or it reduced their rebate," Shapiro said.
Shapiro said nearly 175,000 more Pennsylvanians will qualify under the expansion, and many of the 400,000 who already qualify will see their rebates nearly double.
The Property Tax/Rent Rebate formula hasn't been updated in 17 years.
Shapiro would have to convince Senate Republicans to agree to the proposal, which could cost $130 million in its first year. Some GOP lawmakers have raised concerns about the long-term recurring costs of Shapiro's budget.
Shapiro said he isn't worried about this proposal.
"We can afford this," he said.
Who qualifies for the Property Tax/Rent Rebate Program?
The rebate program benefits eligible Pennsylvanians age 65 and older, widows and widowers age 50 and older, and people with disabilities age 18 and older.
The current income limit is $35,000 a year for homeowners and $15,000 annually for renters, and half of Social Security income is excluded.
Spouses, personal representatives or estates may also file rebate claims on behalf of claimants who lived at least one day in the qualifying year and meet all other eligibility criteria.
The maximum standard rebate is currently $650.
Applicants must reapply for rebates every year because rebates are based on
property taxes or rent paid each year and annual income.
The property tax and rent rebate program is funded by Pennsylvania Lottery revenue. You can learn more about the program and fill out an application here.
