Tax Collection

On April 28, 2020, the date Executive Order 130 was provided to the Township, many residents had already paid their property taxes and the majority of the outstanding balance for the quarter was due from the banks, financial institutions, and mortgage companies who pay property taxes on behalf of the homeowner. The Governor did not extend the Town’s obligation to pay the Board of Education and the County of Morris. So, the obligation for the Township to pay the County and School are still is in place, since the State failed to extend such due dates. A late payment to the County would result in a 6% penalty. 

Every Town needed to review their cash flow to be certain that an extension will not cause a shortfall in cash and the Township will be able to meet its statutory obligations. Now that we have the funds from the mortgage companies, financial institutions, and banks, we can offer this courtesy to our residents who are financially struggling as a result of this pandemic. This extension is the maximum extension permitted by law, an extension to June 1. We are pleased to take this action knowing that the Township is still able to meet all of its financial obligations.


Responsibilities 

The Tax Collector is charged with the receipt and collection of all local property taxes, both current and delinquent. All tax revenues are remitted to the Director of Finance. It is important to note that the municipal portion of a Montville property owner’s obligation is a small portion of the total obligation. Three other public taxing entities, the Montville Public School District, the County of Morris and the three fire districts develop and adopt their own budgets which must also be supported by the local property tax. (The school and fire district budgets are subject to voter approval.) Both the Township of Montville and the County of Morris, by voter referendum, initiated dedicated open space trust funds which are also part of the local tax bill. New Jersey law requires that the municipal tax collector serve as the billing and collection agency for all four entities.

 Property Taxes 

The 3rd Quarter 2020 Property Tax is an Estimated Tax Bill and considered the same as a Regular Tax Bill in regard to all provisions affecting Tax Bills, including interest and the use of the Bill for calculating Escrow Requirements by Mortgage Services. The 3rd Quarter Estimated Tax Bills have been mailed. The amount due for 3rd Quarter 2020 only is currently on the Montville Township Website and available for payment. The 3rd Quarter Estimated Tax payments are due August 01, 2020 with a grace period to 4:00PM on August 10, 2020. If payment is not paid by the end of the grace period interest accrues back to the due date of August 01, 2020.

At this time you will not be able to submit payment in person as the Township Offices are closed to the public.

However you may still submit your payments as follows:

· Utilize the Township Website – www.montvillenj.org<http://www.montvillenj.org> (Checking Account Info at No Charge, Credit Card at 3% Convenience Fee)

· Drop off in the Yellow Mail Box in the Township Office Parking Lot (195 Changebridge Road)

· Utilize the Postal System (advise at least 7-10 business days to arrive in our office)

· Utilize your own Banking Bill Pay System (advise at least 7-10 business days to arrive in our office as the bank prints a check and mails it in)

Please be sure to indicate either your Account #, Block/Lot/Qualifier or Property Location when submitting payments.

Real property taxes are due on February 1, May 1, August 1 and November 1. You can now pay your property taxes online. The Township Committee has passed a resolution which allows for a ten-day grace period which includes the due date. Any real property tax payments received after 4:00 PM on the tenth calendar day of the month taxes are due are considered late and interest will be charged as follows: 

· On all unpaid and delinquent taxes, the rate of 8% per annum is charged on the first $1,500 of the delinquent payment and 18% per annum on any amount in excess of $1,500. 

· On all unpaid and delinquent improvement assessments, the rate of 8% per annum is charged on the first $1,500 of the delinquent payment and 12% per annum on any amount in excess of $1,500.

· No interest shall be charged on taxes if payment is made by 4:00 PM on the 10th calendar day of the month taxes are due.

· As authorized by state law, N.J.S.A., 54:5-61, a penalty of 6% (over and above the late fee) is charged for any delinquent payment in excess of $10,000 if the delinquent payment is not made prior to the end of the calendar year.

· As authorized by state law, N.J.S.A., 54:5-61, an additional penalty of 4% is charged when taxes, interest and the costs of a Tax Sale Certificate exceed $5,000 and 6% when the sum exceeds $10,000.

· There is a $5 charge for duplicate bills.

For information on the State of New Jersey Division of Taxation’s Property Tax Relief Program:

https://www.state.nj.us/treasury/taxation/relief.shtml