Property Tax Relief Package Moves to Senate Floor for Vote Today!
The Massachusetts Senate’s Committee on Ways and Means voted last week to advance bipartisan property tax relief measures, including An Act Relative Municipal Property Tax Relief, authored by Senator Nick Collins. This legislation would provide cities and towns the authority to issue direct rebates to homeowners by tapping the surplus fund.
Currently, the City of Boston has more than $552 million in available surplus funds. Senator Collins believes a portion of that excess should be returned to taxpayers. A similar approach was taken at the state level in 2022, when the Governor and Legislature issued rebates after tax revenues exceeded the cap established under voter-approved law MGL Chapter 62F, which limits the growth of state tax collections.
“With so much in the City of Boston’s surplus fund, increasing residential property taxes was unnecessary, unfair and clearly inequitable,” said Senator Collins. “To cancel out that tax increase, my legislation would authorize the City to issue direct rebates to homeowners.”
The tax relief bills would provide additional and enhanced options for cities and towns to ease the property tax burdens on homeowners.
“This is an issue that directly impacts seniors, families and homeowners across Boston and the Commonwealth,” Collins said. “These tax relief proposals would bring immediate relief to those feeling the brunt of municipal property tax increases.”
In addition to filing legislation to advance broad property tax relief, Senator Collins is introducing a series of targeted amendments to reduce costs for homeowners, seniors, small businesses, and veterans while improving fairness and transparency in the local tax system.
The Main Streets Tax Relief amendment would allow cities and towns to offer property tax exemptions to small businesses with ten or fewer employees. A separate Personal Property Tax Relief measure increases the personal property exemption from $10,000 to $30,000, lowering the burden on individuals and small business owners.
To expand relief for older residents, Senator Collins is updating the 41C Senior Property Tax Exemption by increasing the maximum exemption from $500 to $1,500, tying income eligibility to 50 percent of Area Median Income, and raising asset limits to $80,000 for single seniors and $110,000 for married couples.
A reasonable abatement process amendment would allow property owners appealing their assessments to pay taxes based on the prior year’s valuation while their appeal is pending, and clarifies filing deadlines to ensure consistent and fair procedures.
To prevent unfair overvaluation, a separate measure prohibits residential assessment increases of five percent or more in a single year unless new construction or significant rehabilitation has occurred.
Senator Collins is also advancing a Property Tax Relief for Veterans amendment that eliminates income limits for veterans seeking property tax exemptions, ensuring those who served are not denied access to relief as he works to move these proposals forward with urgency.
“We are hitting the ground running in the new year to make property tax relief a reality as these bills move to the Senate floor with urgency,” said Senator Collins.
