The law allows taxpayers to pay their taxes on an alternative payment plan (installment plan) if they choose and if their estimated taxes, collected pursuant to Chapter 197, are more than $100.00. The taxpayer must submit an application to the Tax Collector before May 1 and make the first payment no later than June 30 of that tax year.
The taxpayer officially enrolls in the installment payment plan by making the first payment by the June deadline. Continued participation is required for the remainder of that tax year. Annual renewal is automatic as long as the June payment is made each year.
A taxpayer that elects the installment method pays based on an estimated tax equal to the actual taxes for the preceding year. Following is the payment schedule:
- 1st Installment: ¼ the total estimated taxes discounted 6% Payment required by June 30. Failure to pay first installment would put you back to the annual payment plan (single bill sent in November).
- 2nd Installment: ¼ the total estimated taxes discounted 4.5% Payment required by September 30.
- 3rd Installment: ¼ the total estimated taxes plus ½ of any adjustment for actual tax liability discounted 3%. Payment required by December 31.
- 4th Installment: ¼ the total estimated taxes plus or minus the other ½ of any adjustment for actual tax liability. No discount. Payment required by March 31.
Delinquent installment payments must be paid in full with the next installment. Any amount remaining unpaid on April 1 is treated as delinquent taxes.