Update from the OC Treasurer/Tax Collector regarding the Federal Tax Changes

Important Federal Tax Changes Relating to Property Taxes!

The new federal legislation relating to the deductibility of State and Local Taxes (SALT) greatly scales back how much state and local taxes can be deducted on federal income taxes in 2018. Under the 2017 federal law, the SALT deduction is unlimited. In the new legislation, taxpayers can only deduct up to $10,000, any combination of property, income or sales taxes. As the average secured property tax bill in fiscal year 2017-2018 is approximately $7,100, and California has both an income tax and sales tax, it is likely that many taxpayers would pay more than $10,000 in SALT next year.

Orange County Treasurer-Tax Collector Shari Freidenrich is encouraging taxpayers to check with their CPAs or financial advisors to see if paying the second installment of the fiscal year 2017-18 property taxes or any outstanding supplemental property taxes prior to December 31, 2017, makes financial sense. The second installment of secured property taxes is due on February 1 and late after April 10, 2018. Every year, we have many taxpayers that make both installment payments prior to the end of the calendar year.

If you choose to pay the second installment or supplemental taxes early, please consider paying using our online electronic window at ocgov.com/octaxbill.

Taxpayers can make payments:

1. Online by eCheck (no service fee) or credit or debit cards (service fee applies) for same-day credit up to
   midnight on December 31, 2017, by going to ocgov.com/octaxbill and receive a detailed receipt (printed
   or by email).
2. By Mail: Use the remittance stub included with the tax bill and mail to County of Orange, Attn. TreasurerTax
   Collector, P.O. Box 1438, Santa Ana, CA 92702-1438.
3. By Telephone (credit card – service fee applies): Call 714-834-3411.
4. In Person: At our office at 625 N. Ross Street, Santa Ana (access off Broadway and park at Old
   Courthouse Lot P5 or Lot P8). See map at http://www.ttc.ocgov.com/howdoi/contact/directions.

Our office has received a number of inquiries from taxpayers asking if they can prepay property taxes for fiscal year 2018-19. We are not able to accept any payments for property taxes that have not yet been billed and, at this time, can only accept payments for the second installment of property taxes or any supplemental property taxes already billed. We also do not accept partial payments of property tax bills.

Check out our online statement to make sure that you don’t have any outstanding property taxes that can also be paid by December 31, 2017, at ocgov.com/octaxbill. Taxpayers can also view and print their 2010-11, 2011-12, 2012-13, 2013-14, 2014-15, 2015-16, 2016-17 and 2017-18 property tax bills and view the last two years of payment detail. In addition, taxpayers can also go to ocgov.com/octaxreminder and sign up to receive a payment reminder by text (NEW) or by email approximately 10 days and one day before each installment’s last timely payment date. Please also tell a friend to also sign up for this free tax reminder service!