Senate Bill S3370A

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

                                 3370--A

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                            February 5, 2015
                               ___________

Introduced  by  Sen. HOYLMAN -- read twice and ordered printed, and when
  printed to be committed to the Committee on Aging  --  recommitted  to
  the  Committee  on  Aging  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 allowing for
  increases in the  amount  of  income  property  owners  may  earn  for
  purposes of qualification for certain tax exemptions

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

  Section 1. Paragraph (a) of subdivision 3 of section 467 of  the  real
property  tax  law,  as  amended  by chapter 259 of the laws of 2009, is
amended to read as follows:
  (a) if the income of the owner or the combined income of the owners of
the property for the income tax year immediately preceding the  date  of
making  application  for  exemption  exceeds  the  sum of three thousand
dollars, or such other sum not less than  three  thousand  dollars  [nor
more than twenty-six thousand dollars beginning July first, two thousand
six,  twenty-seven  thousand  dollars beginning July first, two thousand
seven, twenty-eight thousand dollars beginning July first, two  thousand
eight,  and  twenty-nine],  FIFTY thousand dollars beginning July first,
two thousand [nine] SIXTEEN, as may be provided by the local law,  ordi-
nance or resolution adopted pursuant to this section; PROVIDED, HOWEVER,
BEGINNING  JULY  FIRST, TWO THOUSAND EIGHTEEN AND EVERY TWO YEARS THERE-
AFTER, THE MAXIMUM ALLOWABLE INCOME SHALL INCREASE BY THE PRODUCT OF THE
AVERAGE ANNUAL PERCENTAGE CHANGES IN THE CONSUMER PRICE  INDEX  FOR  ALL
URBAN  CONSUMERS (CPI-U) AS PUBLISHED BY THE UNITED STATES DEPARTMENT OF
LABOR BUREAU OF LABOR STATISTICS FOR THE TWO YEAR PERIOD ROUNDED TO  THE
NEAREST  ONE  THOUSAND  DOLLARS.   Income tax year shall mean the twelve
month period for which the owner or  owners  filed  a  federal  personal
income  tax  return,  or  if no such return is filed, the calendar year.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD01947-03-6
              

S. 3370--A                          2

Where title is vested in either the husband or the wife, their  combined
income  may  not  exceed  such sum, except where the husband or wife, or
ex-husband or ex-wife is absent from the property as provided in subpar-
agraph  (ii)  of paragraph (d) of this subdivision, then only the income
of the spouse or ex-spouse residing on the property shall be  considered
and  may  not exceed such sum. Such income shall include social security
and retirement benefits, interest, dividends, total gain from  the  sale
or  exchange  of  a capital asset which may be offset by a loss from the
sale or exchange of a capital asset in the same  income  tax  year,  net
rental  income, salary or earnings, and net income from self-employment,
but shall not include a return of capital, gifts, inheritances, payments
made to individuals because of their status as victims  of  Nazi  perse-
cution,  as  defined in P.L. 103-286 or monies earned through employment
in the federal foster grandparent program and any such income  shall  be
offset by all medical and prescription drug expenses actually paid which
were  not reimbursed or paid for by insurance, if the governing board of
a municipality, after a public hearing, adopts a local law, ordinance or
resolution providing therefor.    Furthermore,  such  income  shall  not
include  the  proceeds  of  a reverse mortgage, as authorized by section
six-h of the banking law,  and  sections  two  hundred  eighty  and  two
hundred  eighty-a  of  the  real  property  law; provided, however, that
monies used to repay a reverse mortgage may not be deducted from income,
and provided additionally that any interest or dividends  realized  from
the  investment of reverse mortgage proceeds shall be considered income.
The provisions of this paragraph notwithstanding, such income shall  not
include  veterans disability compensation, as defined in Title 38 of the
United States Code provided the governing board  of  such  municipality,
after  public  hearing,  adopts  a  local  law,  ordinance or resolution
providing therefor.  In computing net rental income and net income  from
self-employment  no  depreciation  deduction  shall  be  allowed for the
exhaustion, wear and tear of real or  personal  property  held  for  the
production of income;
  S 2. This act shall take effect immediately.