San Diego County collected an extra $312 million in property taxes early as 72,000 bills were paid before the beginning of the new tax year.
The rush was prompted by the federal tax reform approved by Congress last month that caps the deduction for state and local taxes at $10,000, an amount below what many California families pay.
“We saw a mad dash of people rushing to pay their property taxes by the last day of 2017,” said Treasurer-Tax Collector Dan McAllister. “In the last three days of the year alone, about 41,000 second installments were paid.”
Property taxes for each year are due in two installments. The first is due Nov. 1 and delinquent after Dec. 10, and the second is due Feb. 1 and delinquent after April 10.
Paying the second installment before year-end gave taxpayers a final opportunity to take a large deduction under the old tax rules.
McAllister’s office received 255,407 second installment payments before Jan. 1, compared to 183,808 by the same time last year.
“Right now, we have about $312 million more in payments than we had at this point last year,” said McAllister, “so getting that money early will allow us to earn some extra interest for our Treasury investment pool participants.”