How to Get the STAR Exemption in New York: Step-by-Step Guide
The STAR program (School Tax Relief) is New York State’s most widely used property tax break, saving homeowners $600–$3,000+ per year on school taxes depending on eligibility and location. About 2.5 million New York homeowners receive STAR benefits, yet thousands of eligible new homeowners miss out because they don’t know the program exists or don’t apply in time. Whether you just bought your first home in Buffalo or a condo in Westchester, here’s exactly how to apply for STAR in 2026, what you’ll save, and which version you qualify for.
Two Types of STAR: Basic vs. Enhanced
| Feature | Basic STAR | Enhanced STAR |
|---|---|---|
| Who qualifies | Any owner-occupied primary residence | Owner 65+ with qualifying income |
| Income limit | $500,000 (combined owners + spouses) | $107,300 (2025-26) / $110,750 (2026-27) |
| Annual savings | $600–$1,200 | $1,200–$3,000+ |
| How received | Credit check (new applicants) | Credit check or exemption |
| Application | One-time (register online) | Annual income verification |
| Annual growth | Up to 2% per year | Up to 2% per year |
The savings amount varies by school district. Districts with higher school tax levies produce larger STAR savings. Long Island homeowners typically save more than upstate homeowners in absolute dollar terms because Long Island school taxes are among the highest in the state.
Step 1: Determine Your Eligibility
To qualify for Basic STAR, you must meet all of these requirements:
- Own your home — You must hold title to the property (or, for a co-op, own shares allocated to your unit)
- Primary residence — The property must be your primary residence as of the school tax levy date
- Income under $500,000 — Combined income of all owners and their spouses residing at the property
- Not receiving STAR on another property — You can only receive STAR on one property
For Enhanced STAR, you must additionally:
- Be 65 or older — At least one owner must be 65+ by December 31 of the year the benefit takes effect
- Income under $107,300 (2025-26 school year) or $110,750 (2026-27) — Based on combined income from your most recent tax return
Income eligibility is verified against IRS data. The state checks your income automatically once you register.
Step 2: Register for STAR
New homeowners must register for the STAR credit (you’ll receive a check rather than a reduction on your tax bill). Here’s how:
Online Registration (Fastest)
- Go to tax.ny.gov/star
- Click “Register for STAR credit”
- Log in with your NY.gov account or create one
- Provide your Social Security number and property address
- Confirm your primary residence status
- Submit — processing takes 2–4 weeks for confirmation
By Mail
- Download Form RP-425 (Basic STAR) or Form RP-425-E (Enhanced STAR) from tax.ny.gov
- Complete the form with your property details and Social Security number
- Mail to the address listed on the form
- Processing takes 4–8 weeks
Important Deadlines
There is no hard annual deadline for new STAR credit registrations — you can register at any time. However, to receive the benefit for the current school year, register before your school district’s tax levy date. Most school tax levy dates fall between September and November. Register as soon as possible after closing on your home to avoid missing a year’s benefit.
Step 3: Receive Your Benefit
New applicants receive the STAR credit as a check mailed by the state, typically in late August or September before school taxes are due. The check amount represents your school tax savings. You then pay your full school tax bill and use the STAR check to offset the cost.
Homeowners who were receiving the STAR exemption before 2015 may still receive it as a direct reduction on their school tax bill (lower bill, no check). Both methods provide the same savings amount.
How Much Will You Save?
Savings depend on your school district’s tax rates. Here are approximate savings in common areas:
| Location | Basic STAR Savings | Enhanced STAR Savings |
|---|---|---|
| New York City | $300–$350 | $650–$700 |
| Long Island (Nassau) | $950–$1,200 | $2,000–$2,800 |
| Long Island (Suffolk) | $900–$1,100 | $1,800–$2,500 |
| Westchester County | $800–$1,000 | $1,700–$2,400 |
| Albany County | $650–$850 | $1,400–$1,800 |
| Monroe County (Rochester) | $600–$800 | $1,300–$1,700 |
| Erie County (Buffalo) | $600–$850 | $1,300–$1,800 |
NYC’s STAR savings are notably lower than the rest of the state because NYC’s school taxes are a smaller portion of the overall property tax bill (NYC funds schools through multiple revenue sources, not just property taxes). Upstate and suburban homeowners benefit more from STAR in both absolute and relative terms.
Long Island homeowners see the highest STAR savings in absolute dollars because Nassau and Suffolk counties have some of the highest school tax rates in the nation. In Nassau County, the average school tax bill exceeds $9,000 per year, making the $950–$1,200 Basic STAR savings a meaningful reduction. For Enhanced STAR recipients on Long Island, the $2,000–$2,800 annual savings often covers two or three months of grocery expenses — a tangible financial benefit for seniors on fixed incomes. In the Capital District and Western New York, where school tax bills average $4,000–$6,000, Basic STAR savings of $600–$850 still represent a 10–15% reduction in the school tax portion of the overall bill.
Use our property tax calculator to estimate your total tax bill with STAR savings included.
Common Mistakes to Avoid
- Not registering immediately after purchase. Many new homeowners don’t learn about STAR until their first tax bill arrives. By then, they may have missed a year’s benefit. Register within days of closing.
- Assuming your attorney or agent will handle it. STAR registration is the homeowner’s responsibility. Some attorneys mention it, but many don’t. Take it upon yourself.
- Applying for STAR on a second home. STAR only applies to your primary residence. If you own multiple properties, you can only receive STAR on one. The state cross-references addresses and Social Security numbers.
- Not switching from Basic to Enhanced at 65. If you’re already receiving Basic STAR and turn 65 with qualifying income, you must separately apply for Enhanced STAR to receive the higher benefit. It’s not automatic.
- Forgetting annual Enhanced STAR renewal. Enhanced STAR requires annual income verification. If you don’t respond to the state’s income verification request, you’ll lose the benefit and revert to Basic STAR or nothing.
STAR for Co-op Owners
Co-op shareholders in NYC can receive STAR. The benefit works differently: instead of a reduction on a school tax bill (which co-op shareholders don’t receive directly), the STAR credit is applied through the cooperative corporation. The building receives the aggregate STAR benefit for all eligible shareholders and passes it through as a reduction in maintenance fees or a direct credit.
Co-op shareholders should register for STAR individually. The building’s managing agent coordinates with the state to apply benefits. Contact your managing agent to confirm the building participates in STAR and that your registration has been processed. For more on co-op financial details, see our maintenance fee guide.
STAR and Other Property Tax Exemptions
STAR isn’t the only property tax exemption available in New York. Depending on your situation, you may qualify for additional benefits that can be combined with STAR:
| Exemption | Eligibility | Savings | Combinable with STAR? |
|---|---|---|---|
| Veterans Exemption | Wartime veterans, active service members | 15–50% off assessed value (varies by municipality) | Yes |
| Senior Citizens Exemption | Age 65+ with income under local threshold | 5–50% off assessed value | Yes (stacks with Enhanced STAR) |
| Disability Exemption | Disabled homeowners meeting income thresholds | 5–50% off assessed value | Yes |
| Cold War Veterans | Service during Cold War period (1945-1991) | 10–15% off assessed value | Yes |
| Volunteer Firefighter/Ambulance | 2+ years active volunteer service | 10% off assessed value (where adopted locally) | Yes |
These exemptions are applied at the local level and require separate applications through your town or city assessor’s office. They are not automatic — you must apply for each one. A senior veteran living in a municipality that has adopted all applicable exemptions could stack STAR, the senior citizens exemption, and the veterans exemption for combined savings of $5,000–$10,000 or more per year depending on the property’s assessed value.
Contact your local assessor’s office to learn which exemptions your municipality has adopted and what the specific income thresholds and savings amounts are. Not all municipalities adopt every available exemption, and the percentages vary widely.
STAR and the Property Tax Grievance Process
STAR reduces your school tax burden, but if your property’s assessed value is too high, you may be overpaying on all property tax components — not just the school portion. Filing a property tax grievance can lower your assessed value, reducing your entire tax bill (county, town/city, school, and special district taxes).
The grievance process is separate from STAR and involves challenging your property’s assessment with the local Board of Assessment Review (BAR). If the BAR denies your grievance, you can file a Small Claims Assessment Review (SCAR) with the state. Many Long Island and Westchester homeowners file annual grievances, and the success rate is significant — about 40–60% of filed grievances result in some reduction.
STAR and grievance-based reductions work together: a lower assessed value reduces your base tax, and STAR reduces the school portion further. For the full process, read our property tax appeal guide.
Recent Changes to the STAR Program
The STAR program has evolved significantly since its creation in 1997. Key changes that affect current applicants:
- 2016 transition to credit: New homeowners after 2015 receive the STAR credit (a check) instead of the STAR exemption (a tax bill reduction). Existing exemption recipients were grandfathered but cannot switch between properties.
- 2019 income verification: The state implemented automatic income verification using IRS data. You no longer need to submit income documentation for Basic STAR — the state checks your income against your tax return automatically.
- Annual credit growth: The STAR credit can increase up to 2% per year, providing a modest hedge against rising school taxes. The exemption amount is fixed.
- Enhanced STAR income threshold increases: The income limit for Enhanced STAR increases annually. It rose from $86,300 in 2019 to $107,300 in 2025 and $110,750 in 2026. This expansion has made more seniors eligible for the enhanced benefit.
What If Your Income Changes?
Basic STAR has a $500,000 income ceiling, so most homeowners qualify without issue. If your income exceeds $500,000, you’ll lose Basic STAR eligibility. The state checks annually.
Enhanced STAR has a tighter ceiling ($107,300 for 2025-26). If your income fluctuates near the limit, you may qualify some years and not others. The state uses your most recent tax return for verification. If your income drops below the threshold, you can reapply.
Plan your home purchase with STAR savings in mind. Our mortgage calculator can show how STAR affects your total monthly housing cost, and the affordability calculator factors property taxes into your purchasing power.
Compare With Other States
Considering other markets? Here’s how other states compare:
- How to Appeal Your Property Tax in Utah: Step-by-Step Guide
- How to Appeal Your Property Tax in North Carolina: Step-by-Step Guide
- How to Appeal Your Property Tax in Connecticut: Step-by-Step Guide
Frequently Asked Questions
How do I apply for the STAR exemption in New York?
Register online at tax.ny.gov/star using your NY.gov account. You’ll need your Social Security number and property address. For Enhanced STAR (age 65+), complete Form RP-425-E. New applicants receive the benefit as a credit check mailed by the state, not as a reduction on their tax bill. Register as soon as possible after purchasing your home.
What is the income limit for STAR?
Basic STAR: $500,000 combined income for all owners and spouses. Enhanced STAR: $107,300 for the 2025-26 school year, increasing to $110,750 for 2026-27. Income is based on your federal or state tax return from the most recent filing year. The state verifies income automatically through IRS data sharing.
How much does STAR save on property taxes?
Basic STAR saves $300–$1,200 per year depending on your school district’s tax rates. NYC residents save on the lower end ($300–$350) while Long Island and Westchester homeowners save $800–$1,200. Enhanced STAR (65+ with qualifying income) saves $650–$2,800 per year. Savings can increase up to 2% annually.
Is the STAR credit or exemption better?
They provide the same dollar amount of savings. The exemption reduces your tax bill directly; the credit arrives as a check from the state. New applicants since 2015 are enrolled in the credit program. One practical difference: the credit check can increase up to 2% annually, while the exemption amount is frozen. Over time, the credit may provide slightly more savings.
Can I get STAR on a co-op apartment?
Yes. Co-op shareholders are eligible for STAR. Register individually at tax.ny.gov. The benefit is applied through the cooperative corporation and reflected in your maintenance fee or as a direct credit. Contact your building’s managing agent to ensure your STAR registration is being processed through the building. Use our down payment calculator to plan your co-op purchase.