Bill Text: NY S04676 | 2019-2020 | General Assembly | Amended
Bill Title: Relates to authorizing counties to set interest rates imposed on late payment of property taxes and delinquencies and redemption of property subject to more than one tax lien.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced - Dead) 2020-03-16 - PRINT NUMBER 4676B [S04676 Detail]
Download: New_York-2019-S04676-Amended.html
STATE OF NEW YORK ________________________________________________________________________ 4676--B 2019-2020 Regular Sessions IN SENATE March 20, 2019 ___________ Introduced by Sens. KAVANAGH, HARCKHAM -- read twice and ordered print- ed, and when printed to be committed to the Committee on Local Govern- ment -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee -- recommitted to the Committee on Local Government in accordance with Senate Rule 6, sec. 8 -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the real property tax law, in relation to certain inter- est rates imposed on late payment of taxes and delinquencies and redemption of certain property subject to more than one tax lien The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subdivision 1 of section 924-a of the real property tax 2 law, as amended by chapter 26 of the laws of 2003, is amended to read as 3 follows: 4 1. The amount of interest to be added on all taxes received after the 5 interest free period and all delinquent taxes shall be one-twelfth the 6 rate of interest as determined pursuant to subdivision two or two-a of 7 this section rounded to the nearest one-hundredth of a percentage point, 8 except as otherwise provided by a general or special law, or a local law 9 adopted by a city pursuant to the municipal home rule law or any special 10 law or by a local law adopted by a county. Such interest shall be added 11 for each month or fraction thereof until such taxes are paid. 12 § 2. Section 936 of the real property tax law, as amended by chapter 13 237 of the laws of 1995, subdivision 1 as amended by chapter 355 of the 14 laws of 1997, is amended to read as follows: 15 § 936. Return of unpaid delinquent taxes. 1. Upon the expiration of 16 his warrant, each collecting officer shall make and deliver to the coun- 17 ty treasurer an account, subscribed and affirmed by him as true under 18 the penalties of perjury, of all taxes listed on the tax roll which 19 remain unpaid, except that such collecting officer shall not include in EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD01239-11-0S. 4676--B 2 1 such account the amount of the installments of taxes returned unpaid 2 pursuant to [section nine hundred twenty-eight-b or] subdivision one of 3 section nine hundred seventy-six of this chapter. The county treasurer 4 shall, if satisfied that such account is correct, credit him with the 5 amount of such unpaid delinquent taxes. Such return shall be endorsed 6 upon or attached to the tax roll. 7 2. In making the return of unpaid taxes, the collecting officer shall 8 add five per centum to the amount of each tax as levied. In the event 9 that the collecting officer fails to do so, the county treasurer shall 10 make such addition. In a county in which there is a local law in effect 11 pursuant to [section nine hundred twenty-eight-b or] section nine 12 hundred seventy-two of this chapter providing for the collection of 13 taxes in installments, the five per centum provided by this subdivision 14 shall not be added to the taxes which a real property owner has elected 15 to pay in installments pursuant to [section nine hundred twenty-eight-b16or] section nine hundred seventy-five of this chapter. Such five per 17 centum shall be added by the county treasurer to the amount of such 18 taxes as shall have remained unpaid after the date upon which the last 19 installment was due as provided in such local law. Such five per centum 20 shall not be added where the taxable real property upon which such 21 unpaid tax was levied is an owner occupied residential property as 22 defined by section eleven hundred eleven of this chapter. The amount of 23 such added per centum shall thereafter be deemed part of the amount of 24 the unpaid tax. 25 § 3. Subdivision 1 and paragraph (a) of subdivision 2 of section 1112 26 of the real property tax law, as amended by chapter 532 of the laws of 27 1994, are amended to read as follows: 28 1. (a) When a tax district holds more than one tax lien against a 29 parcel, the liens need not be redeemed simultaneously. However, the 30 liens must be redeemed in reverse chronological order, so that the lien 31 with the most recent lien date is redeemed first, and the lien with the 32 earliest lien date is redeemed last. Notwithstanding the redemption of 33 one or more of the liens against a parcel as provided herein, the 34 enforcement process shall proceed according to the provisions of this 35 article as long as the earliest lien remains unredeemed. 36 (b) Notwithstanding the provisions of paragraph (a) of this subdivi- 37 sion, when a tax district holds more than one tax lien against a parcel 38 and such parcel is an owner occupied residential property as defined by 39 section eleven hundred eleven of this title, the liens need not be 40 redeemed simultaneously. However, the liens shall be redeemed in chron- 41 ological order, so that the lien with the earliest lien date is redeemed 42 first, and the lien with the most recent lien date is redeemed last. 43 Notwithstanding the redemption of one or more of the liens against a 44 parcel as provided herein, the enforcement process shall proceed accord- 45 ing to the provisions of this article as long as any lien remains unre- 46 deemed for a period of three years or more from the date of delinquency 47 of such lien. 48 (a) (i) When one or more liens against a parcel are redeemed as 49 provided herein, but the earliest lien remains unredeemed, the receipt 50 issued to the person redeeming shall include a statement in substantial- 51 ly the following form: "This parcel remains subject to one or more 52 delinquent tax liens. The payment you have made will not postpone the 53 enforcement of the outstanding lien or liens. Continued failure to pay 54 the entire amount owed will result in the loss of the property." 55 (ii) Notwithstanding the provisions of subparagraph (i) of this para- 56 graph, when one or more liens against a parcel are redeemed as providedS. 4676--B 3 1 herein and such parcel is an owner occupied residential property as 2 defined by section eleven hundred eleven of this title, but any lien 3 remains unredeemed for a period of three years or more from the date of 4 delinquency of such lien, the receipt issued to the person redeeming 5 shall include a statement in substantially the following form: "This 6 parcel remains subject to one or more delinquent tax liens. The payment 7 you have made will not postpone the enforcement of the outstanding lien 8 or liens. Continued failure to pay the entire amount owed will result 9 in the loss of the property." 10 § 4. Subdivision 2 of section 924-a of the real property tax law, as 11 amended by chapter 355 of the laws of 2003 and as further amended by 12 subdivision (b) of section 1 of part W of chapter 56 of the laws of 13 2010, is amended to read as follows: 14 2. The rate of interest applicable to the third calendar quarter of 15 each year, as set by the commissioner of taxation and finance pursuant 16 to subparagraph (A) of paragraph two of subsection (j) of section six 17 hundred ninety-seven of the tax law, shall be the rate of interest 18 applicable to unpaid real property taxes for purposes of this section. 19 Such commissioner shall set such rate on or before the fifteenth day of 20 July in each year. Such rate shall be effective for all warrants issued 21 for a collection period commencing on or after the first day of Septem- 22 ber next succeeding the date the rate of interest is set. Provided, 23 however, the rate of interest prescribed by this subdivision shall in no 24 event be less than twelve per centum per annum unless the taxable real 25 property upon which such tax was levied is an owner occupied residential 26 property as defined in section eleven hundred eleven of this chapter. 27 The commissioner shall inform each affected municipality of any change 28 in the rate established pursuant to this subdivision. 29 § 5. This act shall take effect on the ninetieth day after it shall 30 have become a law.
