Early reports indicate spike in unpaid taxes

By David Robinson
Posted Mar 04, 2010 @ 12:30 PM
Print Comment

 In another sign of the economic struggles of Mohawk Valley residents, early reports of unpaid taxes are up almost $1 million, as compared to a four-year low in 2008, according to county officials.
County Treasurer Kim Enea said the amount of unpaid school and village taxes, as of March 1, being relevied to the town and county tax bill has reached $3,340,014. This is compared to $2,406,806 as of March 1 in 2008.
While factors such as changes in tax assessments and when municipalities deliver their taxes are involved, a jump this significant does mean more people are unable to pay their taxes, Enea said. “People’s inability to pay played a role,” she said. “Everybody’s hurting.”
Such an increase in the early report on unpaid taxes is made more significant by the fact that 2007 and 2009 both came to $2.7 million by March 1.
But local tax collections will continue through March, and any county decisions on a potential impact of relevied taxes are withheld until April 1, Enea said. “It could change,” she added, referring to municipalities sometimes paying in lump sums.
Yet, if the increase in relevied taxes remains the same, action will have to be taken.
Enea said budgeting typically looks at spending and budget cuts to try to absorb spikes in relevied taxes. If cuts in spending fail there is one option, she added. “Ultimately, they would have to raise taxes.”
Any budget decision will be made by the county Legislature, however, Enea said.
County Administrator James Wallace did not return a call Wednesday.

 In another sign of the economic struggles of Mohawk Valley residents, early reports of unpaid taxes are up almost $1 million, as compared to a four-year low in 2008, according to county officials.
County Treasurer Kim Enea said the amount of unpaid school and village taxes, as of March 1, being relevied to the town and county tax bill has reached $3,340,014. This is compared to $2,406,806 as of March 1 in 2008.
While factors such as changes in tax assessments and when municipalities deliver their taxes are involved, a jump this significant does mean more people are unable to pay their taxes, Enea said. “People’s inability to pay played a role,” she said. “Everybody’s hurting.”
Such an increase in the early report on unpaid taxes is made more significant by the fact that 2007 and 2009 both came to $2.7 million by March 1.
But local tax collections will continue through March, and any county decisions on a potential impact of relevied taxes are withheld until April 1, Enea said. “It could change,” she added, referring to municipalities sometimes paying in lump sums.
Yet, if the increase in relevied taxes remains the same, action will have to be taken.
Enea said budgeting typically looks at spending and budget cuts to try to absorb spikes in relevied taxes. If cuts in spending fail there is one option, she added. “Ultimately, they would have to raise taxes.”
Any budget decision will be made by the county Legislature, however, Enea said.
County Administrator James Wallace did not return a call Wednesday.

Loading commenting interface...
Herkimer Telegram Advertisers

Market Place
Autos
Homes
Marketplace
Community Info
Chamber of Commerce