The Internal Revenue Service (IRS) has confirmed a new $1,400 payment available to qualifying residents as part of ongoing efforts to support families and individuals facing financial strain.
This initiative is tied to New York’s STAR (School Tax Relief) program, which continues to provide much-needed relief to homeowners struggling with rising property taxes and inflation.
With this confirmation, thousands of households can expect direct deposits or mailed checks in 2025, helping to ease the cost of school taxes and provide stability during uncertain economic conditions.
What Is the STAR Program?
The School Tax Relief (STAR) program is one of the most significant tax relief initiatives in New York State. Established in 1997, it allows the state to return part of school tax contributions to homeowners. Instead of reducing school tax bills directly, the program sends eligible residents a rebate check or provides the amount as a credit.
Over the years, the program has become essential for middle- and low-income families. In 2025, the STAR program is set to deliver direct relief checks ranging from $350 to $1,500, with many households expected to receive the average $1,400 payment.
Eligibility for the $1,400 Payment
To qualify for the new relief payment, residents must meet specific eligibility conditions tied to homeownership and income requirements.
General Conditions:
- You must be registered in the STAR system.
- Your property must be your primary residence.
- You must file your 2024 tax return so income eligibility can be assessed.
- Payment eligibility is determined by your income level, property type, and municipality tax calendar.
Special Conditions for Seniors:
- Seniors may qualify for enhanced STAR benefits, with higher payouts ranging from $700 to $1,500.
- Income thresholds apply, with higher benefits reserved for those under a certain income limit.
Payment Breakdown
The actual payment amount depends on property value, income, and residency status. Below is a breakdown of what claimants can expect:
| Category | Payment Range | Conditions |
|---|---|---|
| Standard Homeowners | $350 – $600 | Based on assessed home value and municipality |
| Average Claimants | $1,400 (approx.) | Typical amount under standard STAR rebate |
| Senior Citizens | $700 – $1,500 | Higher payments for seniors with income limits |
This structure ensures that seniors and lower-income households benefit the most.
When Will the $1,400 Payment Be Issued?
The IRS, working with New York State, will begin rolling out payments in September 2025. Timing depends on each municipality’s school tax calendar.
- Direct Deposit: Most recipients with direct deposit set up will receive funds quickly.
- Checks by Mail: Claimants without direct deposit will receive paper checks, though this may take longer.
Payments are expected to align with the mid-to-late September schedule, ensuring eligible households get relief before the fall school tax deadlines.
Economic Impact of the Program
Governor Kathy Hochul emphasized that the STAR relief payments are essential for reducing the financial burden of school taxes on homeowners. By injecting up to $1,500 per household, the program provides direct financial assistance at a time when inflation and housing costs remain high.
This approach helps:
- Families cover housing and school-related expenses.
- Seniors manage on fixed incomes.
- Communities sustain property tax funding for education while ensuring fairness.
What to Do If You Haven’t Received Your Payment
If you believe you are eligible but have not received your $1,400 payment by late September 2025, here’s what to do:
- Check your STAR registration status on the New York State Department of Taxation and Finance portal.
- Verify your property details to ensure no discrepancies.
- Contact the Department of Finance if there are delays or issues with your file.
The IRS-confirmed $1,400 payment in 2025 offers a critical lifeline for families and seniors in New York struggling with school tax burdens and inflation.
With eligibility tied to property ownership and income thresholds, the relief ensures that support reaches those who need it most. Seniors, in particular, stand to benefit from higher payments of up to $1,500.
For eligible residents, ensuring STAR registration and keeping tax filings up to date will be key to receiving this financial boost in September 2025.
FAQs
Who qualifies for the $1,400 payment?
Homeowners registered under the STAR program, with income and property meeting eligibility conditions, qualify for this relief payment.
Can seniors receive more than $1,400?
Yes. Seniors may receive up to $1,500, depending on income and residency status under the enhanced STAR benefits.
Is this a federal stimulus check?
No. While administered with IRS involvement, this payment is part of New York’s STAR property tax relief program.