Assembly Bill A4033

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  4033

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                            January 29, 2009
                               ___________

Introduced by M. of A. THIELE -- read once and referred to the Committee
  on Ways and Means

AN ACT to amend the tax law, in relation to exempting certain conveyanc-
  es  of  real  property  for preservation purposes from the real estate
  transfer tax and capital gains tax

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1. Paragraph 10 of subdivision (b) of section 1405 of the tax
law, as amended by chapter 61 of the laws of 1989, is amended and a  new
paragraph 11 is added to read as follows:
  10.  Conveyances  of  an  option or contract to purchase real property
with the use or occupancy of such property where  the  consideration  is
less than two hundred thousand dollars and such property was used solely
by  the  grantor as his personal residence and consists of a one, two or
three-family house, an individual residential condominium  unit  or  the
sale  of  stock  in a cooperative housing corporation in connection with
the grant or transfer of a proprietary leasehold covering an  individual
residential cooperative unit[.];
  11.  CONVEYANCES  OF  REAL  PROPERTY  TO  A NOT-FOR-PROFIT CORPORATION
HAVING TAX EXEMPT STATUS UNDER SECTION 501(C) (3) OF THE  UNITED  STATES
INTERNAL  REVENUE  CODE  WHICH  IS MADE FOR PRESERVATION PURPOSES.   FOR
PURPOSES OF THIS PARAGRAPH, PRESERVATION SHALL INCLUDE  PRESERVATION  OF
OPEN  SPACE;  ESTABLISHMENT  OF  PARKS,  NATURE PRESERVES, OR RECREATION
AREAS; PRESERVATION OF LAND WHICH IS PREDOMINANTLY  VIABLE  AGRICULTURAL
LAND,  AS  DEFINED  IN SUBDIVISION SEVEN OF SECTION THREE HUNDRED ONE OF
THE AGRICULTURE AND MARKETS LAW, OR UNIQUE  AND  IRREPLACEABLE  AGRICUL-
TURAL  LAND,  AS DEFINED IN SUBDIVISION SIX OF SECTION THREE HUNDRED ONE
OF THE AGRICULTURE AND MARKETS LAW; PRESERVATION OF LANDS OF EXCEPTIONAL
SCENIC VALUE; PRESERVATION OF  FRESH  AND  SALTWATER  MARSHES  OR  OTHER
WETLANDS;  PRESERVATION OF AQUIFER RECHARGE AREAS; PRESERVATION OF UNDE-
VELOPED BEACH-LANDS OR SHORELINE; ESTABLISHMENT OF WILDLIFE REFUGES  FOR

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD03895-01-9
              

A. 4033                             2

THE  PURPOSE  OF  MAINTAINING NATIVE ANIMAL SPECIES DIVERSITY, INCLUDING
THE PROTECTION OF HABITAT ESSENTIAL TO THE RECOVERY OF RARE,  THREATENED
OR  ENDANGERED  SPECIES; PRESERVATION OF UNIQUE OR THREATENED ECOLOGICAL
AREAS; PRESERVATION OF RIVERS AND RIVER AREAS IN A NATURAL, FREE-FLOWING
CONDITION;  PRESERVATION OF FORESTED LAND; PRESERVATION OF PUBLIC ACCESS
TO LANDS FOR PUBLIC USE INCLUDING STREAM RIGHTS AND WATERWAYS; PRESERVA-
TION OF HISTORIC PLACES AND PROPERTIES LISTED  ON  THE  NEW  YORK  STATE
REGISTER  OF HISTORIC PLACES AND/OR PROTECTED UNDER A MUNICIPAL HISTORIC
PRESERVATION ORDINANCE OR LAW; AND UNDERTAKING ANY OF  THE  PURPOSES  OF
THIS PARAGRAPH IN FURTHERANCE OF THE ESTABLISHMENT OF A GREENBELT.
  S 2. Section 1402-a of the tax law is amended by adding a new subdivi-
sion (d) to read as follows:
  (D)  THE ADDITIONAL TAX IMPOSED BY THIS SECTION SHALL NOT APPLY TO ANY
CONVEYANCES TO A MUNICIPALITY OR TO A NOT-FOR-PROFIT CORPORATION  HAVING
TAX  EXEMPT STATUS UNDER SECTION 501(C)(3) OF THE UNITED STATES INTERNAL
REVENUE CODE WHICH IS MADE FOR PRESERVATION PURPOSES.   FOR PURPOSES  OF
THIS SUBDIVISION, PRESERVATION SHALL INCLUDE PRESERVATION OF OPEN SPACE;
ESTABLISHMENT OF PARKS, NATURE PRESERVES, OR RECREATION AREAS; PRESERVA-
TION OF LAND WHICH IS PREDOMINANTLY VIABLE AGRICULTURAL LAND, AS DEFINED
IN SUBDIVISION SEVEN OF SECTION THREE HUNDRED ONE OF THE AGRICULTURE AND
MARKETS  LAW,  OR UNIQUE AND IRREPLACEABLE AGRICULTURAL LAND, AS DEFINED
IN SUBDIVISION SIX OF SECTION THREE HUNDRED ONE OF THE  AGRICULTURE  AND
MARKETS  LAW; PRESERVATION OF LANDS OF EXCEPTIONAL SCENIC VALUE; PRESER-
VATION OF FRESH AND SALTWATER MARSHES OR OTHER WETLANDS; PRESERVATION OF
AQUIFER RECHARGE  AREAS;  PRESERVATION  OF  UNDEVELOPED  BEACH-LANDS  OR
SHORELINE;  ESTABLISHMENT  OF  WILDLIFE REFUGES FOR THE PURPOSE OF MAIN-
TAINING NATIVE ANIMAL SPECIES DIVERSITY,  INCLUDING  THE  PROTECTION  OF
HABITAT  ESSENTIAL  TO  THE  RECOVERY  OF RARE, THREATENED OR ENDANGERED
SPECIES; PRESERVATION OF UNIQUE OR THREATENED ECOLOGICAL AREAS;  PRESER-
VATION  OF  RIVERS AND RIVER AREAS IN A NATURAL, FREE-FLOWING CONDITION;
PRESERVATION OF FORESTED LAND; PRESERVATION OF PUBLIC  ACCESS  TO  LANDS
FOR  PUBLIC  USE  INCLUDING STREAM RIGHTS AND WATERWAYS; PRESERVATION OF
HISTORIC PLACES AND PROPERTIES LISTED ON THE NEW YORK STATE REGISTER  OF
HISTORIC PLACES AND/OR PROTECTED UNDER A MUNICIPAL HISTORIC PRESERVATION
ORDINANCE  OR  LAW; AND UNDERTAKING ANY OF THE PURPOSES OF THIS SUBDIVI-
SION IN FURTHERANCE OF THE ESTABLISHMENT OF A GREENBELT.
  S 3. Subsection (c) of section 612 of the tax law is amended by adding
a new paragraph 4-a to read as follows:
  (4-A) THE AMOUNT OF  ANY  GAIN  TO  THE  EXTENT  INCLUDED  IN  FEDERAL
ADJUSTED  GROSS INCOME, FROM THE SALE OR OTHER DISPOSITION OF REAL PROP-
ERTY TO A MUNICIPALITY OR A NOT-FOR-PROFIT CORPORATION HAVING TAX EXEMPT
STATUS UNDER SECTION 501(C)(3) OF THE  UNITED  STATES  INTERNAL  REVENUE
CODE  WHICH  IS  MADE  FOR PRESERVATION PURPOSES.   FOR PURPOSES OF THIS
PARAGRAPH, PRESERVATION SHALL INCLUDE PRESERVATION OF OPEN SPACE; ESTAB-
LISHMENT OF PARKS, NATURE PRESERVES, OR RECREATION  AREAS;  PRESERVATION
OF  LAND  WHICH IS PREDOMINANTLY VIABLE AGRICULTURAL LAND, AS DEFINED IN
SUBDIVISION SEVEN OF SECTION THREE HUNDRED ONE OF  THE  AGRICULTURE  AND
MARKETS  LAW,  OR UNIQUE AND IRREPLACEABLE AGRICULTURAL LAND, AS DEFINED
IN SUBDIVISION SIX OF SECTION THREE HUNDRED ONE OF THE  AGRICULTURE  AND
MARKETS  LAW; PRESERVATION OF LANDS OF EXCEPTIONAL SCENIC VALUE; PRESER-
VATION OF FRESH AND SALTWATER MARSHES OR OTHER WETLANDS; PRESERVATION OF
AQUIFER RECHARGE  AREAS;  PRESERVATION  OF  UNDEVELOPED  BEACH-LANDS  OR
SHORELINE;  ESTABLISHMENT  OF  WILDLIFE REFUGES FOR THE PURPOSE OF MAIN-
TAINING NATIVE ANIMAL SPECIES DIVERSITY,  INCLUDING  THE  PROTECTION  OF
HABITAT  ESSENTIAL  TO  THE  RECOVERY  OF RARE, THREATENED OR ENDANGERED
SPECIES; PRESERVATION OF UNIQUE OR THREATENED ECOLOGICAL AREAS;  PRESER-

A. 4033                             3

VATION  OF  RIVERS AND RIVER AREAS IN A NATURAL, FREE-FLOWING CONDITION;
PRESERVATION OF FORESTED LAND; PRESERVATION OF PUBLIC  ACCESS  TO  LANDS
FOR  PUBLIC  USE  INCLUDING STREAM RIGHTS AND WATERWAYS; PRESERVATION OF
HISTORIC  PLACES AND PROPERTIES LISTED ON THE NEW YORK STATE REGISTER OF
HISTORIC PLACES AND/OR PROTECTED UNDER A MUNICIPAL HISTORIC PRESERVATION
ORDINANCE OR LAW; AND UNDERTAKING ANY OF THE PURPOSES OF THIS  PARAGRAPH
IN FURTHERANCE OF THE ESTABLISHMENT OF A GREENBELT.
  S 4. This act shall take effect immediately.