Tonawanda News — Erie County Clerk Chris Jacobs announced Monday that his office notified the Town of Tonawanda that it will soon receive its share of the county’s mortgage tax.
Jacobs sent a letter to Supervisor Anthony Caruana and notified him that the town will be receiving about $550,616.63 for the period of April 1 through Sept. 30.
“In these uncertain financial times it is important to make the amount known to the town immediately,” Jacobs said. “It is essential to assist the municipalities with their budgetary and cash flow planning.”
The clerk’s office collects mortgage tax based on real estate transactions in accordance with state formulas.
Each month, the county retains $37,500 of the revenue as a processing fee. Twice a year, the county distributes the mortgage tax revenue to the three cities, 25 towns and 16 villages located within the county.
The funds each area receives are based upon the total amount of mortgages entered into for each municipality.
The town’s revenue, apart from aiding in budget planning, also provides an estimate of Tonawanda’s real property market value.