S T A T E O F N E W Y O R K
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1543
2017-2018 Regular Sessions
I N A S S E M B L Y
January 12, 2017
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Introduced by M. of A. ZEBROWSKI -- read once and referred to the
Committee on Aging
AN ACT to amend the real property tax law, in relation to granting a
total exemption from real property taxation for school tax purposes
for certain persons seventy-five years of age or over
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The real property tax law is amended by adding a new
section 467-k to read as follows:
§ 467-K. PERSONS SEVENTY-FIVE YEARS OF AGE OR OVER. 1. NOTWITHSTAND-
ING ANY INCONSISTENT PROVISION OF SECTION FOUR HUNDRED SIXTY-SEVEN OF
THIS TITLE OR ANY OTHER PROVISION OF LAW, REAL PROPERTY OWNED BY ONE OR
MORE PERSONS EACH OF WHOM IS SEVENTY-FIVE YEARS OF AGE OR OVER, OR REAL
PROPERTY OWNED BY HUSBAND AND WIFE OR SIBLINGS, ONE OF WHOM IS SEVENTY-
FIVE YEARS OF AGE OR OVER AND THE YOUNGEST OWNER IS AT LEAST SIXTY-FIVE
YEARS OF AGE; SUCH PERSONS HAVE RESIDED IN THE SCHOOL DISTRICT FOR AT
LEAST THIRTY YEARS AND DO NOT HAVE ANY CHILDREN ENROLLED IN SUCH SCHOOL
DISTRICT SHALL BE EXEMPT FROM TAXATION BY ANY MUNICIPAL CORPORATION FOR
SCHOOL PURPOSES, IN WHICH LOCATED, TO THE TOTAL EXTENT OF THE ASSESSED
VALUATION THEREOF PROVIDED THE GOVERNING BOARD OF SUCH MUNICIPALITY,
AFTER PUBLIC HEARING, ADOPTS A LOCAL LAW, ORDINANCE OR RESOLUTION
PROVIDING THEREFOR.
2. ALL OF THE PROVISIONS OF SECTION FOUR HUNDRED SIXTY-SEVEN OF THIS
TITLE APPLICABLE TO THE GRANTING OF EXEMPTIONS FOR GENERAL, COUNTY,
CITY, TOWN, VILLAGE, OR SCHOOL PURPOSES INSOFAR AS SUCH PROVISIONS ARE
NOT INCONSISTENT WITH THE PROVISIONS OF THIS SECTION SHALL BE APPLICABLE
TO THE EFFECTUATING OF THE EXEMPTION PROVIDED IN THIS SECTION.
3. (A) TO QUALIFY FOR EXEMPTION PURSUANT TO THIS SECTION, THE PROPERTY
MUST BE A ONE, TWO OR THREE FAMILY RESIDENCE, A FARM DWELLING OR RESI-
DENTIAL PROPERTY HELD IN CONDOMINIUM OR COOPERATIVE FORM OF OWNERSHIP.
IF THE PROPERTY IS NOT AN ELIGIBLE TYPE OF PROPERTY, BUT A PORTION OF
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD04442-01-7
A. 1543 2
THE PROPERTY IS PARTIALLY USED BY THE OWNER AS A PRIMARY RESIDENCE, THAT
PORTION WHICH IS SO USED SHALL BE ENTITLED TO THE EXEMPTION PROVIDED BY
THIS SECTION; PROVIDED THAT IN NO EVENT SHALL THE EXEMPTION EXCEED THE
ASSESSED VALUE ATTRIBUTABLE TO THAT PORTION.
(B) PRIMARY RESIDENCE. THE PROPERTY MUST SERVE AS THE PRIMARY RESI-
DENCE OF ONE OR MORE OF THE OWNERS THEREOF.
(C) TRUSTS. IF LEGAL TITLE TO THE PROPERTY IS HELD BY ONE OR MORE
TRUSTEES, THE BENEFICIAL OWNER OR OWNERS SHALL BE DEEMED TO OWN THE
PROPERTY FOR PURPOSES OF THIS SUBDIVISION.
(D) FARM DWELLINGS NOT OWNED BY THE RESIDENT. (I) IF LEGAL TITLE TO
THE FARM DWELLING IS HELD BY AN S-CORPORATION OR BY A C-CORPORATION, THE
EXEMPTION SHALL BE GRANTED IF THE PROPERTY SERVES AS THE PRIMARY RESI-
DENCE OF A SHAREHOLDER OF SUCH CORPORATION.
(II) IF THE LEGAL TITLE TO THE FARM DWELLING IS HELD BY A PARTNERSHIP,
THE EXEMPTION SHALL BE GRANTED IF THE PROPERTY SERVES AS THE PRIMARY
RESIDENCE OF ONE OR MORE OF THE PARTNERS.
(III) ANY INFORMATION DEEMED NECESSARY TO ESTABLISH SHAREHOLDER OR
PARTNER STATUS FOR ELIGIBILITY PURPOSES SHALL BE CONSIDERED CONFIDENTIAL
AND EXEMPT FROM THE FREEDOM OF INFORMATION LAW.
4. (A) THE COMBINED INCOME OF ALL OF THE OWNERS, AND OF ANY OWNERS'
SPOUSES RESIDING ON THE PREMISES, MAY NOT EXCEED THE APPLICABLE INCOME
STANDARD SPECIFIED HEREIN.
(I) FOR FINAL ASSESSMENT ROLLS TO BE COMPLETED PRIOR TO TWO THOUSAND
SEVENTEEN, ELIGIBILITY FOR THE EXEMPTION SHALL BE BASED UPON INCOME FOR
THE INCOME TAX YEAR IMMEDIATELY PRECEDING THE DATE OF MAKING APPLICATION
FOR THE EXEMPTION, AND THE INCOME STANDARD SHALL BE SIXTY THOUSAND
DOLLARS.
(II) FOR FINAL ASSESSMENT ROLLS TO BE COMPLETED IN TWO THOUSAND SEVEN-
TEEN, ELIGIBILITY FOR THE EXEMPTION SHALL BE BASED UPON INCOME FOR THE
INCOME TAX YEAR ENDING IN TWO THOUSAND FIFTEEN, AND THE INCOME STANDARD
SHALL BE THE PREVIOUSLY-APPLICABLE INCOME STANDARD OF SIXTY THOUSAND
DOLLARS INCREASED BY THE COST-OF-LIVING-ADJUSTMENT PERCENTAGE FOR TWO
THOUSAND FIFTEEN. FOR PURPOSES OF THIS COMPUTATION, THE COST-OF-LIVING-
ADJUSTMENT PERCENTAGE FOR TWO THOUSAND FIFTEEN SHALL BE EQUAL TO THE
"APPLICABLE INCREASE PERCENTAGE" USED BY THE UNITED STATES COMMISSIONER
OF SOCIAL SECURITY TO DETERMINE MONTHLY SOCIAL SECURITY BENEFITS PAYABLE
IN TWO THOUSAND FIFTEEN TO INDIVIDUALS, AS PROVIDED BY SUBSECTION (I) OF
SECTION FOUR HUNDRED FIFTEEN OF TITLE FORTY-TWO OF THE UNITED STATES
CODE.
(III) FOR FINAL ASSESSMENT ROLLS TO BE COMPLETED IN EACH ENSUING YEAR,
THE APPLICABLE INCOME TAX YEAR, COST-OF-LIVING-ADJUSTMENT PERCENTAGE AND
APPLICABLE INCREASE PERCENTAGE SHALL ALL BE ADVANCED BY ONE YEAR, AND
THE INCOME STANDARD SHALL BE THE PREVIOUSLY-APPLICABLE INCOME STANDARD
INCREASED BY THE NEW COST-OF-LIVING-ADJUSTMENT PERCENTAGE. IF THERE
SHOULD BE A YEAR FOR WHICH THERE IS NO APPLICABLE INCREASE PERCENTAGE
DUE TO A GENERAL BENEFIT INCREASE AS DEFINED BY SUBDIVISION THREE OF
SUBSECTION (I) OF SECTION FOUR HUNDRED FIFTEEN OF TITLE FORTY-TWO OF THE
UNITED STATES CODE, THE APPLICABLE INCREASE PERCENTAGE FOR PURPOSES OF
THIS COMPUTATION SHALL BE DEEMED TO BE THE PERCENTAGE WHICH WOULD HAVE
YIELDED THAT GENERAL BENEFIT INCREASE.
(IV) IN NO CASE SHALL AN INCOME STANDARD BE DECREASED FROM ONE ASSESS-
MENT ROLL TO THE NEXT.
(V) IF THE INCOME STANDARD INITIALLY COMPUTED FOR AN ASSESSMENT ROLL
IS NOT EXACTLY EQUAL TO A MULTIPLE OF FIFTY DOLLARS, IT SHALL BE ROUNDED
UP TO THE NEXT HIGHER MULTIPLE OF FIFTY DOLLARS.
A. 1543 3
(VI) IT SHALL BE THE RESPONSIBILITY OF THE COMMISSIONER TO ANNUALLY
DETERMINE ALL INCOME STANDARDS PURSUANT TO THIS SUBDIVISION BEGINNING
WITH FINAL ASSESSMENT ROLLS TO BE COMPLETED IN TWO THOUSAND SEVENTEEN,
TO CAUSE NOTICE THEREOF TO BE PUBLISHED IN THE STATE REGISTER, TO
DISSEMINATE NOTICE THEREOF TO ASSESSORS, COUNTY DIRECTORS OF REAL PROP-
ERTY TAX SERVICES, AND SUCH OTHER PARTIES AS IT MAY DEEM APPROPRIATE,
AND TO POST NOTICE THEREOF ON ITS WEBSITE.
(B) THE TERM "INCOME" AS USED HEREIN SHALL MEAN THE "ADJUSTED GROSS
INCOME" FOR FEDERAL INCOME TAX PURPOSES AS REPORTED ON THE APPLICANT'S
FEDERAL OR STATE INCOME TAX RETURN FOR THE APPLICABLE INCOME TAX YEAR,
SUBJECT TO ANY SUBSEQUENT AMENDMENTS OR REVISIONS, REDUCED BY DISTRIB-
UTIONS, TO THE EXTENT INCLUDED IN FEDERAL ADJUSTED GROSS INCOME,
RECEIVED FROM AN INDIVIDUAL RETIREMENT ACCOUNT AND AN INDIVIDUAL RETIRE-
MENT ANNUITY; PROVIDED THAT IF NO SUCH RETURN WAS FILED FOR THE APPLICA-
BLE INCOME TAX YEAR, "INCOME" SHALL MEAN THE ADJUSTED GROSS INCOME THAT
WOULD HAVE BEEN SO REPORTED IF SUCH A RETURN HAD BEEN FILED.
(C) ANY INFORMATION OR DOCUMENTATION SUBMITTED BY THE APPLICANT IN
CONNECTION WITH APPLICATIONS FOR OR RENEWAL OF THE EXEMPTION AUTHORIZED
UNDER THIS SECTION TO VERIFY INCOME, SHALL BE DEEMED CONFIDENTIAL, AND
THE ASSESSOR, ANY MUNICIPAL OFFICER OR MUNICIPAL EMPLOYEES ARE PROHIBIT-
ED FROM DISCLOSING ANY SUCH INFORMATION, EXCEPT FOR ANY DISCLOSURE
NECESSARY IN THE PERFORMANCE OF THEIR OFFICIAL DUTIES, AND EXCEPT AS
AUTHORIZED BY PARAGRAPH (E) OF THIS SUBDIVISION. ANY UNAUTHORIZED
DISCLOSURE OF SUCH INFORMATION SHALL BE DEEMED A VIOLATION OF SECTION
EIGHT HUNDRED FIVE-A OF THE GENERAL MUNICIPAL LAW.
(D) EFFECTIVE WITH APPLICATIONS FOR THE ENHANCED EXEMPTION ON FINAL
ASSESSMENT ROLLS TO BE COMPLETED IN TWO THOUSAND SEVENTEEN, THE APPLICA-
TION FORM SHALL INDICATE THAT THE OWNERS OF THE PROPERTY AND ANY OWNERS'
SPOUSES RESIDING ON THE PREMISES MAY AUTHORIZE THE ASSESSOR TO HAVE
THEIR INCOME ELIGIBILITY VERIFIED ANNUALLY THEREAFTER BY THE STATE
DEPARTMENT OF TAXATION AND FINANCE, IN LIEU OF FURNISHING COPIES OF THE
APPLICABLE INCOME TAX RETURN OR RETURNS WITH THE APPLICATION. IF THE
OWNERS OF THE PROPERTY AND ANY OWNERS' SPOUSES RESIDING ON THE PREMISES
ELECT TO PARTICIPATE IN THIS PROGRAM, WHICH SHALL BE KNOWN AS THE STAR
INCOME VERIFICATION PROGRAM, THEY MUST FURNISH THEIR TAXPAYER IDENTIFI-
CATION NUMBERS IN ORDER TO FACILITATE MATCHING WITH RECORDS OF THE
DEPARTMENT OF TAXATION AND FINANCE. THEREAFTER, THEIR INCOME ELIGIBILITY
SHALL BE VERIFIED ANNUALLY BY THE STATE DEPARTMENT OF TAXATION AND
FINANCE AND THE ASSESSOR SHALL NOT REQUEST INCOME DOCUMENTATION FROM
THEM, UNLESS SUCH DEPARTMENT ADVISES THE ASSESSOR THROUGH THE COMMIS-
SIONER THAT THEY DO NOT SATISFY THE APPLICABLE INCOME ELIGIBILITY
REQUIREMENTS, OR THAT IT IS UNABLE TO DETERMINE WHETHER THEY SATISFY
THOSE REQUIREMENTS.
(E) THE ASSESSOR SHALL FORWARD TO THE COMMISSIONER, IN THE TIME AND
MANNER REQUIRED BY THE COMMISSIONER, INFORMATION IDENTIFYING THE PERSONS
WHO HAVE ELECTED TO PARTICIPATE IN THE STAR INCOME VERIFICATION PROGRAM.
THE COMMISSIONER SHALL FORWARD SUCH INFORMATION TO THE DEPARTMENT OF
TAXATION AND FINANCE IN THE MANNER PROVIDED BY THE AGREEMENT EXECUTED
PURSUANT TO SECTION ONE HUNDRED SEVENTY-ONE-K OF THE TAX LAW, AND SHALL
NOTIFY THE ASSESSOR OF THE RESPONSE OR RESPONSES HE OR SHE RECEIVES FROM
SUCH DEPARTMENT PURSUANT TO SUCH AGREEMENT. AFTER RECEIVING SUCH
RESPONSE OR RESPONSES, THE ASSESSING AUTHORITY SHALL CAUSE NOTICES TO BE
MAILED TO PARTICIPANTS. INFORMATION OBTAINED BY THE COMMISSIONER IDENTI-
FYING SUCH PERSONS, AND RESPONSES OBTAINED FROM SUCH DEPARTMENT SHALL BE
CONFIDENTIAL AND SHALL NOT BE SUBJECT TO DISCLOSURE UNDER ARTICLE SIX OF
THE PUBLIC OFFICERS LAW.
A. 1543 4
(F) NOTWITHSTANDING THE PROVISIONS OF PARAGRAPHS (D) AND (E) OF THIS
SUBDIVISION, WHICH ESTABLISH A STAR INCOME VERIFICATION PROGRAM, INCOME
DOCUMENTATION MUST BE SUBMITTED TO THE ASSESSOR IN CONNECTION WITH EACH
OF THE FOLLOWING:
(I) INITIAL APPLICATIONS FOR THE ENHANCED STAR EXEMPTION;
(II) RENEWAL APPLICATIONS SUBMITTED BY A PERSON OR PERSONS WHO HAVE
NOT ELECTED TO PARTICIPATE IN THE STAR INCOME VERIFICATION PROGRAM;
(III) APPLICATIONS THAT WOULD ALLOW AN ENHANCED EXEMPTION TO RESUME
AFTER HAVING BEEN DISCONTINUED;
(IV) APPLICATIONS SUBMITTED BY A PERSON OR PERSONS WHO HAD PREVIOUSLY
QUALIFIED FOR THE ENHANCED EXEMPTION BUT NOT IN THE ASSESSING UNIT IN
QUESTION; AND
(V) APPLICATIONS WITH RESPECT TO WHICH THE DEPARTMENT OF TAXATION AND
FINANCE HAS ADVISED THE ASSESSOR THROUGH THE COMMISSIONER THAT IT IS
UNABLE TO DETERMINE WHETHER A PARTICIPANT OR PARTICIPANTS IN THE STAR
INCOME VERIFICATION PROGRAM SATISFY THE INCOME ELIGIBILITY REQUIREMENTS.
§ 2. This act shall take effect immediately and shall apply to assess-
ment rolls prepared on the basis of taxable status dates occurring on or
after the first of January next succeeding the date on which this act
shall have become a law.