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

                                  4532

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                              April 8, 2013
                               ___________

Introduced  by Sen. FLANAGAN -- read twice and ordered printed, and when
  printed to be committed to the Committee on Investigations and Govern-
  ment Operations

AN ACT to amend the tax law, in relation to  the  treatment  of  notices
  filed  of  the  payment of mortgage recording tax on an instrument not
  entitled to be recorded

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

  Section  1. Section 258-a of the tax law, as amended by chapter 218 of
the laws of 1930, is amended to read as follows:
  S 258-a. Payment of tax on instruments  not  recorded.  An  instrument
taxable under this article but which is not entitled to be recorded, may
nevertheless  be  presented  to  the  recording officer of the county in
which the real property or any part thereof affected by said  instrument
is situated, and there may be paid to such officer the amount of the tax
which  would  be  payable  under  this  article on the recording of such
instrument if the same were entitled to be recorded. Such officer  shall
receive  such  amount  and  such  payment  shall have the same force and
effect, so far as this article is concerned, as if such  instrument  had
been duly recorded and the tax thereon paid. It shall be the duty of the
recording  officer  to  indorse  upon  the  instrument a receipt for the
amount of the tax so paid. A copy of each instrument upon which the  tax
is  paid as above provided shall be filed with the recording officer and
preserved among his mortgage tax records.
  Where an unrecorded instrument subject to  the  tax  imposed  by  this
article  has  been lost or destroyed, the tax commission, upon presenta-
tion of proper proofs, may determine the taxable amount of such  instru-
ment and by order authorize the recording officer to receive and receipt
for such tax as fully and with the same force and effect, so far as this
article  is  concerned,  as if the instrument had been duly recorded and
the tax thereon paid.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08352-01-3
              

S. 4532                             2

  THE FILING OR RECORDING OF A NOTICE OF THE PAYMENT OF TAX  UNDER  THIS
SECTION  IS  INEFFECTIVE  TO  GIVE NOTICE UNDER ARTICLE NINE OF THE REAL
PROPERTY LAW OF ANY ESTATE OR INTEREST IN THE REAL PROPERTY AFFECTED  BY
THE INSTRUMENT ON WHICH TAX IS BEING PAID OR TO CREATE A DUTY OF INQUIRY
WITH REGARD THERETO.
  S  2.  This  act  shall take effect immediately and shall apply to all
notices filed prior to and on and after such effective date.