Bill Text: NY A02137 | 2019-2020 | General Assembly | Introduced


Bill Title: Establishes a real property tax exemption for persons eighty years of age or over; provides that such exemption shall be phased in over a ten year period whereby ten percent of the assessed valuation is exempt per year for ten years, at which time one hundred percent of such property shall be exempt.

Spectrum: Slight Partisan Bill (Republican 3-1)

Status: (Introduced - Dead) 2020-01-08 - referred to aging [A02137 Detail]

Download: New_York-2019-A02137-Introduced.html


                STATE OF NEW YORK
        ________________________________________________________________________
                                          2137
                               2019-2020 Regular Sessions
                   IN ASSEMBLY
                                    January 22, 2019
                                       ___________
        Introduced  by  M.  of  A.  ENGLEBRIGHT -- read once and referred to the
          Committee on Aging
        AN ACT to amend the real property tax law, in relation to establishing a
          real property tax exemption for persons eighty years of age or over
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section  1.  The  real  property  tax  law  is amended by adding a new
     2  section 465 to read as follows:
     3    § 465. Persons eighty years of age or over. 1. (a) Real property owned
     4  by one or more persons, each of whom is eighty years of age or over,  or
     5  real  property owned by husband and wife, one of whom is eighty years of
     6  age or over, shall be exempt from taxation by any municipal  corporation
     7  in  which  located  to  the extent provided pursuant to paragraph (b) of
     8  this subdivision, provided the governing  board  of  such  municipality,
     9  after  public  hearing,  adopts  a  local  law,  ordinance or resolution
    10  providing therefor.
    11    (b) The exemption provided by this  section  shall  be  calculated  as
    12  follows:
    13    (i) for assessment rolls prepared on the basis of taxable status dates
    14  occurring  during  the  year  two  thousand  twenty,  ten percent of the
    15  assessed valuation;
    16    (ii) for assessment rolls prepared on  the  basis  of  taxable  status
    17  dates  occurring during the year two thousand twenty-one, twenty percent
    18  of the assessed valuation;
    19    (iii) for assessment rolls prepared on the  basis  of  taxable  status
    20  dates  occurring during the year two thousand twenty-two, thirty percent
    21  of the assessed valuation;
    22    (iv) for assessment rolls prepared on  the  basis  of  taxable  status
    23  dates occurring during the year two thousand twenty-three, forty percent
    24  of the assessed valuation;
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD05058-01-9

        A. 2137                             2
     1    (v) for assessment rolls prepared on the basis of taxable status dates
     2  occurring during the year two thousand twenty-four, fifty percent of the
     3  assessed valuation;
     4    (vi)  for  assessment  rolls  prepared  on the basis of taxable status
     5  dates occurring during the year two thousand twenty-five, sixty  percent
     6  of the assessed valuation;
     7    (vii)  for  assessment  rolls  prepared on the basis of taxable status
     8  dates occurring during the year two thousand twenty-six, seventy percent
     9  of the assessed valuation;
    10    (viii) for assessment rolls prepared on the basis  of  taxable  status
    11  dates  occurring  during  the  year  two  thousand  twenty-seven, eighty
    12  percent of the assessed valuation;
    13    (ix) for assessment rolls prepared on  the  basis  of  taxable  status
    14  dates  occurring  during  the  year  two  thousand  twenty-eight, ninety
    15  percent of the assessed valuation; and
    16    (x) for assessment rolls prepared on the basis of taxable status dates
    17  occurring during the year two thousand twenty-nine, one hundred  percent
    18  of the assessed valuation.
    19    (c) Any exemption provided by this section shall be computed after all
    20  other  partial  exemptions  allowed by law have been subtracted from the
    21  total amount assessed.
    22    (d) The real property tax exemption on real property owned by  husband
    23  and  wife,  one  of  whom  is eighty years of age or over, once granted,
    24  shall not be rescinded by any municipal corporation  solely  because  of
    25  the  death  of  the  older  spouse so long as the surviving spouse is at
    26  least seventy years of age.
    27     2. Exemption from taxation for school purposes shall not  be  granted
    28  in the case of real property where a child resides if such child attends
    29  a public school of elementary or secondary education.
    30    3. No exemption shall be granted:
    31    (a)  unless  the owner shall have held an exemption under this section
    32  for his previous residence or unless the title  of  the  property  shall
    33  have  been  vested in the owner or one of the owners of the property for
    34  at least twelve consecutive months prior to the date of making  applica-
    35  tion for exemption, provided, however, that in the event of the death of
    36  either  a husband or wife in whose name title of the property shall have
    37  been vested at the time of death and then becomes vested solely  in  the
    38  survivor  by virtue of devise by or descent from the deceased husband or
    39  wife, the time of ownership of the property by the deceased  husband  or
    40  wife  shall  be deemed also a time of ownership by the survivor and such
    41  ownership shall be deemed continuous for the purposes of computing  such
    42  period  of  twelve  consecutive  months.  In  the event of a transfer by
    43  either a husband or wife to the other spouse of all or part of the title
    44  to the property, the time of ownership of the property by the transferor
    45  spouse shall be deemed also a time of ownership by the transferee spouse
    46  and such ownership shall  be  deemed  continuous  for  the  purposes  of
    47  computing  such  period  of twelve consecutive months. Where property of
    48  the owner or owners has been acquired to replace property formerly owned
    49  by such owner or owners and taken by eminent domain or other involuntary
    50  proceeding, except a tax sale, the period of  ownership  of  the  former
    51  property  shall be combined with the period of ownership of the property
    52  for which application is made for exemption and such periods  of  owner-
    53  ship  shall  be  deemed  to be consecutive for purposes of this section.
    54  Where a residence is sold and replaced with another within one year  and
    55  both  residences  are  within the state, the period of ownership of both
    56  properties shall be deemed consecutive for  purposes  of  the  exemption

        A. 2137                             3
     1  from   taxation  by  a  municipality  within  the  state  granting  such
     2  exemption. Where the owner or owners transfer title to property which as
     3  of the date of transfer was exempt from taxation under the provisions of
     4  this  section, the reacquisition of title by such owner or owners within
     5  nine months of the date of transfer  shall  be  deemed  to  satisfy  the
     6  requirement  of this paragraph that the title of the property shall have
     7  been vested in the owner or one of the owners for such period of  twelve
     8  consecutive  months.  Where, upon or subsequent to the death of an owner
     9  or owners, title to property which as of the  date  of  such  death  was
    10  exempt from taxation under such provisions, becomes vested, by virtue of
    11  devise  or  descent from the deceased owner or owners, or by transfer by
    12  any other means within nine months after such death, solely in a  person
    13  or persons who, at the time of such death, maintained such property as a
    14  primary  residence,  the requirement of this paragraph that the title of
    15  the property shall have been vested in the owner or one  of  the  owners
    16  for such period of twelve consecutive months shall be deemed satisfied;
    17    (b)  unless the property is used exclusively for residential purposes,
    18  provided, however, that in the event any portion of such property is not
    19  so used exclusively for residential  purposes  but  is  used  for  other
    20  purposes,  such  portion  shall be subject to taxation and the remaining
    21  portion only shall  be  entitled  to  the  exemption  provided  by  this
    22  section;
    23    (c) unless the real property is the legal residence of and is occupied
    24  in  whole or in part by the owner or by all of the owners of the proper-
    25  ty: except where, (i) an  owner  is  absent  from  the  residence  while
    26  receiving  health-related  care  as an inpatient of a residential health
    27  care facility, as defined in section twenty-eight  hundred  one  of  the
    28  public  health  law,  provided  that  any income accruing to that person
    29  shall only be income only to the extent that it exceeds the amount  paid
    30  by  such  owner,  spouse,  or  co-owner  for  care  in the facility, and
    31  provided further, that during such  confinement  such  property  is  not
    32  occupied  by  other  than the spouse or co-owner of such owner; or, (ii)
    33  the real property is owned by a husband and/or wife,  or  an  ex-husband
    34  and/or  an  ex-wife,  and  either  is  absent  from the residence due to
    35  divorce, legal separation or abandonment and  all  other  provisions  of
    36  this  section  are  met  provided that where an exemption was previously
    37  granted when both resided on the property, then the person remaining  on
    38  the real property shall be seventy years of age or over.
    39    4. (a) For the purposes of this section, title to that portion of real
    40  property  owned  by  a  cooperative  apartment  corporation  in  which a
    41  tenant-stockholder of such corporation resides and which is  represented
    42  by his share or shares of stock in such corporation as determined by its
    43  or their proportional relationship to the total outstanding stock of the
    44  corporation, including that owned by the corporation, shall be deemed to
    45  be vested in such tenant-stockholder.
    46    (b) That proportion of the assessment of such real property owned by a
    47  cooperative apartment corporation determined by the relationship of such
    48  real  property  vested  in such tenant-stockholder to such entire parcel
    49  and the buildings thereon owned by  such  cooperative  apartment  corpo-
    50  ration  in  which  such  tenant-stockholder  resides shall be subject to
    51  exemption from taxation pursuant to this section and  any  exemption  so
    52  granted  shall  be  credited by the appropriate taxing authority against
    53  the assessed valuation of such real  property;  the  reduction  in  real
    54  property  taxes  realized  thereby  shall be credited by the cooperative
    55  apartment corporation against the amount of such taxes otherwise payable
    56  by or chargeable to such tenant-stockholder.

        A. 2137                             4
     1    (c) Real property may be exempt from taxation pursuant to this  subdi-
     2  vision  by  a municipality in which such property is located only if the
     3  governing board of such municipality, after  public  hearing,  adopts  a
     4  local law, ordinance or resolution providing therefor.
     5    Notwithstanding  any  provision of law to the contrary, any local law,
     6  ordinance or resolution adopted pursuant to this paragraph may  provide,
     7  or  be  amended  to  provide, that a tenant-stockholder who resides in a
     8  dwelling which is subject to the provisions of either article two, four,
     9  five or eleven of the private housing finance law and  who  is  eligible
    10  for  a  rent  increase exemption pursuant to section four hundred sixty-
    11  seven-c of this title shall not be eligible for an exemption pursuant to
    12  this subdivision and that a tenant-stockholder who resides in a dwelling
    13  which is subject to the provisions of either article two, four, five  or
    14  eleven  of the private housing finance law and who is not eligible for a
    15  rent increase exemption pursuant to section four  hundred  sixty-seven-c
    16  of  this  title  but  who  meets the requirements for eligibility for an
    17  exemption pursuant to this section shall be eligible for such  exemption
    18  provided  that such exemption shall be in an amount determined by multi-
    19  plying the exemption otherwise allowable pursuant to this section  by  a
    20  fraction  having  a numerator equal to the amount of real property taxes
    21  or payments in lieu of taxes that were paid with respect to such  dwell-
    22  ing  and  a  denominator equal to the full amount of real property taxes
    23  that would have been owed with respect to such dwelling had it not  been
    24  granted an exemption or abatement of real property taxes pursuant to any
    25  provision of law, provided, however, that any reduction in real property
    26  taxes received with respect to such dwelling pursuant to this section or
    27  section four hundred sixty-seven-c of this title shall not be considered
    28  in  calculating  such numerator. Any such local law, ordinance or resol-
    29  ution that so provides, or is amended to so provide, shall also  provide
    30  that a tenant-stockholder who resides in a dwelling which was or contin-
    31  ues  to  be  subject  to  a mortgage insured or initially insured by the
    32  federal government pursuant to  section  two  hundred  thirteen  of  the
    33  National  Housing  Act,  as amended, and who is eligible for both a rent
    34  increase exemption pursuant to section  four  hundred  sixty-seven-c  of
    35  this  title and an exemption pursuant to this subdivision, may apply for
    36  and receive either a rent increase exemption pursuant  to  section  four
    37  hundred  sixty-seven-c  of  this  title or an exemption pursuant to this
    38  subdivision, but not both.
    39    5. Every municipal corporation in which such real property is  located
    40  shall  notify,  or  cause to be notified, each person owning residential
    41  real property in such municipal corporation of the  provisions  of  this
    42  section.  The  provisions  of this subdivision may be met by a notice or
    43  legend sent on or with each tax bill to such persons reading "You may be
    44  eligible for tax exemptions for persons eighty years  of  age  or  over.
    45  Such  persons  have  until month.........., day.......,   year......, to
    46  apply for such exemptions.  For information please call  or  write....,"
    47  followed  by  the  name,  telephone number and/or address of a person or
    48  department  selected  by  the  municipal  corporation  to  explain   the
    49  provisions of this section. Each cooperative apartment corporation shall
    50  notify  each  tenant-stockholder thereof in residence of such provisions
    51  as set forth in this subdivision.   Failure to notify, or  cause  to  be
    52  notified  any  person  who is in fact, eligible to receive the exemption
    53  provided by this section or the failure of such person  to  receive  the
    54  same  shall  not  prevent  the  levy,  collection and enforcement of the
    55  payment of the taxes on property owned by such person.

        A. 2137                             5
     1    6. Application for such exemption shall be made by the owner,  or  all
     2  of  the owners of the property, on forms prescribed by the commission to
     3  be furnished by the appropriate assessing authority  and  shall  furnish
     4  the  information and be executed in the manner required or prescribed in
     5  such  forms,  and  shall be filed in such assessor's office on or before
     6  the appropriate taxable status date. Notwithstanding any other provision
     7  of law, at the option of the municipal corporation, any person otherwise
     8  qualifying under this section shall not be denied  the  exemption  under
     9  this  section  if  he  becomes eighty years of age after the appropriate
    10  taxable status date and on or before December thirty-first of  the  same
    11  year.
    12    7.  Any  local  law  or ordinance adopted pursuant to paragraph (a) of
    13  subdivision one of this section may be amended, or a local law or  ordi-
    14  nance  may  be  adopted  to provide, notwithstanding subdivision five of
    15  this section, that an application for such exemption may be  filed  with
    16  the  assessor  after  the  appropriate taxable status date but not later
    17  than the last date on which a petition with  respect  to  complaints  of
    18  assessment  may  be  filed,  where  failure to file a timely application
    19  resulted from: (a) a death of the  applicant's  spouse,  child,  parent,
    20  brother  or  sister; or (b) an illness of the applicant or of the appli-
    21  cant's spouse, child, parent, brother or sister, which actually prevents
    22  the applicant from filing on a timely basis, as certified by a  licensed
    23  physician.  The assessor shall approve or deny such application as if it
    24  had been filed on or before the taxable status date.
    25    8. Notwithstanding  the  provisions  of  this  section  or  any  other
    26  provision of law, a county with an annual taxable status date of January
    27  first  or  January  second and with a population of one million or more,
    28  may, at its option and by amendment or adoption of a local law or  ordi-
    29  nance,  authorize  its assessor to accept applications for the exemption
    30  from real property taxes authorized pursuant to this section on  a  date
    31  later  than such county's statutory deadline date for receiving applica-
    32  tions for such exemption. Any application filed later than such statuto-
    33  ry deadline date which is in compliance with such local law or ordinance
    34  amended or adopted pursuant to this  subdivision  and  which  meets  all
    35  other  necessary  requirements  for granting the exemption authorized by
    36  this section shall be deemed to have been timely  filed  prior  to  such
    37  statutory deadline date, and any individual or individuals for whom such
    38  an  application has been filed shall be granted such exemption and shall
    39  receive such exemption on the assessment rolls prepared for such  county
    40  on  the  basis of the taxable status date immediately preceding the date
    41  such application was filed.
    42    9. Notwithstanding  the  provisions  of  this  section  or  any  other
    43  provision  of law, in a city having a population of one million or more,
    44  applications for the exemption authorized pursuant to this section shall
    45  be considered timely filed if they are filed on or before the  fifteenth
    46  day of March of the appropriate year.
    47    10. (a) The exemption granted pursuant to this section shall remain in
    48  effect until discontinued in the manner provided in this section.
    49    (b)  The  assessor shall discontinue any exemption granted pursuant to
    50  this section if it appears that: (i) the property may not be the primary
    51  residence of the owner or owners who applied  for  the  exemption,  (ii)
    52  title  to the property has been transferred to a new owner or owners, or
    53  (iii)  the  property  otherwise  may  no  longer  be  eligible  for  the
    54  exemption.
    55    (c)  Upon  determining  that  an  exemption  granted  pursuant to this
    56  section should be discontinued, the assessor  shall  mail  a  notice  so

        A. 2137                             6
     1  stating  to  the  owner  or owners thereof at the time and in the manner
     2  provided by section five hundred ten of  this  chapter.  Such  owner  or
     3  owners  shall  be entitled to seek administrative and judicial review of
     4  such  action  in  the  manner provided by law, provided, that the burden
     5  shall be on such owner  or  owners  to  establish  eligibility  for  the
     6  exemption.
     7    11.    Any conviction of having made any wilful false statement in the
     8  application for such exemption, shall be punishable by  a  fine  of  not
     9  more  than  one  hundred  dollars  and shall disqualify the applicant or
    10  applicants from further exemption for a period of five years.
    11    12. Notwithstanding any other provision of law to  the  contrary,  the
    12  provisions  of  this  section  shall  apply  to real property in which a
    13  person or persons hold a legal life estate or which  is  held  in  trust
    14  solely  for the benefit of a person or persons if such person or persons
    15  would otherwise be eligible for a real property tax exemption,  pursuant
    16  to  subdivision  one  of  this  section, were such person or persons the
    17  owner or owners of such real property.
    18    § 2. This act shall take effect immediately.
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