Office of Tax and Revenue: Press Release

WASHINGTON, DC - The District of Columbia Office of Tax and Revenue (OTR) is set to remove thousands of real property deductions and credits from property owners who may have been erroneously receiving these claims.

Last month, OTR mailed 12,000 Homestead and Senior Citizen confirmation applications to property owners receiving Homestead and Senior Citizen deductions. To date, only 3,000 property owners have responded to these notices. Property owners who were sent this confirmation application are required to return it by the due date of July 2, 2001. Failure to complete all portions of the application or failure to meet the due date is cause for the possible denial of benefits.

"We have an obligation to the citizens of the District of Columbia to protect city revenue. Real property tax collection does not have a statute of limitations, and all back taxes from these erroneous claims will be collected," said Deputy Chief Financial Officer Herbert J. Huff. "The average annual Homestead deduction amounts to $288 per property owner. Enforcement of the Homestead deduction program is part of our larger goal of maintaining the integrity of our operations and to ensure that tax credits, deductions and tax relief programs continue to be available for the benefit of all eligible taxpayers."

Over the past several years, OTR has removed 20,000 properties that were erroneously receiving Homestead deductions. This cleanup brought the District $13 million in revenue.

The Office of Tax and Revenue has stepped up its tax relief compliance efforts to include:

encouraging referrals for fraudulent Homestead and other deductions to the toll-free, tax fraud hotline at 1-800-380-3495;

working with the Council of the District of Columbia to clarify existing laws to make enforcement easier;

matching data on individual income tax accounts with data from real property databases and other District agencies to ensure that eligible property owners receiving the Homestead deductions live in the District;

ongoing community outreach; and

verification of eligibility for Homestead and other claims and monitoring for compliance.

To learn more about the Homestead deduction and Senior Citizen Property Tax Relief, visit the Tax Relief Credits section.

The Office of Tax and Revenue encourages anyone who has not sent in their Homestead and Senior Citizen confirmation application to return it to the Office of Tax and Revenue, Customer Service Administration, 941 North Capitol Street, NE, Washington, DC 20002. You may also call our customer service representatives at (202) 727-4TAX (4829), or drop it off at our Customer Service Walk-in Center at 941 North Capitol Street, NE, on the first floor. You may also request an application if you meet the qualifications for the Homestead and Senior Citizen deductions and are not currently receiving such deductions.