Error means veterans face tax bill hike

A mathematical error in calculating exemptions for veterans in the Town of Southampton will be fixed for the December tax bill, meaning an average $84 jump in taxes for vets.

The error amounts to about $180,000 a year for the entire town, or $1.1 million since 2006 or earlier, when the error was likely made.

The town will not retroactively try to recover the money, acting tax assessor John Valente said, even though Southampton legally can go back two years. Valente said the mistake was made before he became acting assessor.

The error was discovered by Quogue Village Mayor Peter Sartorius, a veteran who alerted the town in January when he noticed the math didn't add up on his own tax bill.

"My view is, the law provides what it provides, and we should follow the law," Sartorius said.

The problem was with the calculations of caps on the state-mandated exemptions, Valente said. He said the formula entered into the computer may have added a zero.

There are three types of exemptions for veterans, Valente said. The basic exemption is based on 15 percent of assessed value, with the tax exemption benefit capped at $54,000 of full assessed value. Combat veterans get an extra 10 percent, and a total cap of $90,000. Disabled veterans receive 50 percent of the vet's "disability rating" -- the percent of the body determined disabled by the government -- with a cap of $180,000.

Southampton uses full assessed value to calculate whether a property falls above or below the prescribed caps.

Because of the way the amounts were calculated, a small number of veterans, about 17 percent, will see a tax decrease. But 52 percent of veterans will have taxes go up less than $100, and 25 percent face an increase of $100 to $300, according to the assessor's calculations.

A letter was sent to all veterans May 1 explaining the problem and corrections. Valente and Supervisor Anna Throne-Holst have also met with veterans groups to explain the error.

"We wanted to make sure that everyone was made aware of it in a timely manner and not have a big surprise," Throne-Holst said.

She and Valente visited American Legion Hand-Aldrich Post 924 Thursday night in Hampton Bays to discuss the tax with vets. Most took the news in stride.

"It's bad news, but they handled it well," post commander Donald O'Flaherty said.