The New York State Senate

 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4540
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 4, 2019
                                ___________
 
 Introduced  by  M.  of  A.  GLICK, O'DONNELL, GOTTFRIED -- read once and
   referred to the Committee on Real Property Taxation
 
 AN ACT to amend the real property tax law, in relation  to  imposing  an
   additional  tax  on  certain non-primary residence class one and class
   two properties in a city with a population of one million or more

   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 307-b to read as follows:
   § 307-B. ADDITIONAL TAX ON CERTAIN NON-PRIMARY RESIDENCE PROPERTIES IN
 A CITY WITH A POPULATION OF ONE MILLION OR MORE. 1. GENERALLY.  NOTWITH-
 STANDING  ANY  PROVISION  OF  ANY  GENERAL, SPECIFIC OR LOCAL LAW TO THE
 CONTRARY, ANY CITY WITH A POPULATION OF ONE MILLION OR  MORE  IS  HEREBY
 AUTHORIZED  AND  EMPOWERED  TO  ADOPT AND AMEND LOCAL LAWS IN ACCORDANCE
 WITH THIS SECTION IMPOSING AN  ADDITIONAL  TAX  ON  CERTAIN  RESIDENTIAL
 PROPERTIES.
   2. DEFINITIONS. AS USED IN THIS SECTION: (A) "COMMISSIONER OF FINANCE"
 MEANS  THE  COMMISSIONER OF FINANCE OF A CITY HAVING A POPULATION OF ONE
 MILLION OR MORE, OR HIS OR HER DESIGNEE.
   (B) "DEPARTMENT OF FINANCE" MEANS THE DEPARTMENT OF FINANCE OF A  CITY
 HAVING A POPULATION OF ONE MILLION OR MORE.
   (C)  "MARKET VALUE" SHALL MEAN THE CURRENT MONETARY VALUE OF THE PROP-
 ERTY, USING A COMPARABLE SALE-BASED VALUATION METHOD, AS  DETERMINED  BY
 THE DEPARTMENT OF FINANCE.
   3.  ADDITIONAL TAX.   A LOCAL LAW ENACTED PURSUANT TO THIS SECTION MAY
 PROVIDE FOR A REAL PROPERTY TAX IN ACCORDANCE WITH THE  FOLLOWING  TABLE
 FOR FISCAL YEARS BEGINNING ON OR AFTER JULY FIRST, TWO THOUSAND TWENTY:
 
 IF THE MARKET VALUE OF THE              THE TAX IS:
 PROPERTY IS:
 OVER $5,000,000 BUT NOT                 $0 PLUS .5% OF EXCESS
 OVER $6,000,000                         OVER $5,000,000
 OVER $6,000,000                         $5,000 PLUS 1% OF EXCESS
 BUT NOT OVER $10,000,000                OVER $6,000,000

 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD04076-01-9

 A. 4540                             2
 
 OVER $10,000,000 BUT NOT                $45,000 PLUS 1.5% OF EXCESS
 OVER $15,000,000                        OVER $10,000,000
 OVER $15,000,000 BUT NOT                $120,000 PLUS 2% OF EXCESS
 OVER $20,000,000                        OVER $15,000,000
 OVER $20,000,000 BUT NOT                $220,000 PLUS 3% OF EXCESS
 OVER $25,000,000                        OVER $20,000,000
 OVER $25,000,000                        $370,000 PLUS 4% OF EXCESS
                                         OVER $25,000,000
 
   4.  PROPERTY  SUBJECT TO ADDITIONAL TAX.  SUCH TAX SHALL BE IMPOSED ON
 CLASS ONE PROPERTIES, AS  THAT  TERM  IS  DEFINED  IN  SECTION  EIGHTEEN
 HUNDRED  TWO OF THIS CHAPTER, EXCLUDING VACANT LAND, AND ALL OTHER RESI-
 DENTIAL REAL PROPERTY HELD IN CONDOMINIUM OR COOPERATIVE FORM OF  OWNER-
 SHIP,  THAT  HAS A MARKET VALUE OF FIVE MILLION DOLLARS OR HIGHER AND IS
 NOT THE PRIMARY RESIDENCE OF THE OWNER OR OWNERS OF  SUCH  PROPERTY,  OR
 THE PRIMARY RESIDENCE OF THE PARENT OR CHILD OF SUCH OWNER OR OWNERS.
   5. PRIMARY RESIDENCE AND/OR RELATIONSHIP TO OWNER OR OWNERS. THE PROP-
 ERTY  SHALL BE DEEMED TO BE THE PRIMARY RESIDENCE OF THE OWNER OR OWNERS
 THEREOF, IF SUCH PROPERTY WOULD BE ELIGIBLE TO RECEIVE THE REAL PROPERTY
 TAX EXEMPTION PURSUANT TO SECTION FOUR HUNDRED TWENTY-FIVE OF THIS CHAP-
 TER, REGARDLESS OF WHETHER SUCH OWNER OR OWNERS HAVE FILED  AN  APPLICA-
 TION  FOR, OR THE PROPERTY IS CURRENTLY RECEIVING SUCH EXEMPTION.  PROOF
 OF PRIMARY RESIDENCE AND THE RESIDENT'S OR  RESIDENTS'  RELATIONSHIP  TO
 THE  OWNER OR OWNERS SHALL BE IN THE FORM OF A CERTIFICATION AS REQUIRED
 BY LOCAL LAW OR THE RULES OF THE COMMISSIONER.
   6. RULES. THE DEPARTMENT OF FINANCE OF ANY CITY ENACTING A  LOCAL  LAW
 PURSUANT TO THIS SECTION SHALL HAVE, IN ADDITION TO ANY OTHER FUNCTIONS,
 POWERS  AND DUTIES WHICH HAVE BEEN OR MAY BE CONFERRED ON IT BY LAW, THE
 POWER TO MAKE AND PROMULGATE RULES TO CARRY OUT  THE  PURPOSES  OF  THIS
 SECTION  INCLUDING,  BUT NOT LIMITED TO, RULES RELATING THE TIMING, FORM
 AND MANNER OF ANY CERTIFICATION REQUIRED  TO  BE  SUBMITTED  UNDER  THIS
 SECTION.
   7.  PENALTIES.  (A)  NOTWITHSTANDING  ANY  PROVISION  OF  ANY GENERAL,
 SPECIAL OR LOCAL LAW TO THE  CONTRARY,  AN  OWNER  OR  OWNERS  SHALL  BE
 PERSONALLY  LIABLE  FOR ANY TAXES OWED PURSUANT TO THIS SECTION WHENEVER
 SUCH OWNER OR OWNERS FAIL TO COMPLY WITH THIS SECTION OR THE  LOCAL  LAW
 OR  RULES  PROMULGATED  THEREUNDER,  OR  MAKES  SUCH FALSE OR MISLEADING
 STATEMENT OR OMISSION AND THE COMMISSIONER DETERMINES THAT SUCH ACT  WAS
 DUE  TO THE OWNER OR OWNERS' WILLFUL NEGLECT, OR THAT UNDER SUCH CIRCUM-
 STANCES SUCH ACT CONSTITUTED A  FRAUD  ON  THE  DEPARTMENT.  THE  REMEDY
 PROVIDED  HEREIN  FOR  AN ACTION IN PERSONAM SHALL BE IN ADDITION TO ANY
 OTHER REMEDY OR PROCEDURE FOR THE ENFORCEMENT OF  COLLECTION  OF  DELIN-
 QUENT TAXES PROVIDED BY ANY GENERAL, SPECIAL OR LOCAL LAW.
   (B)  IF THE COMMISSIONER SHOULD DETERMINE, WITHIN THREE YEARS FROM THE
 FILING OF AN APPLICATION OR CERTIFICATION PURSUANT TO THIS SECTION, THAT
 THERE WAS A MATERIAL MISSTATEMENT ON SUCH APPLICATION OR  CERTIFICATION,
 HE  OR SHE SHALL PROCEED TO IMPOSE A PENALTY TAX AGAINST THE PROPERTY OF
 TEN THOUSAND DOLLARS, IN ACCORDANCE WITH THE LOCAL LAW OR RULES  PROMUL-
 GATED HEREUNDER.
   8. CESSATION OF USE. IN THE EVENT THAT A PROPERTY GRANTED AN EXEMPTION
 FROM  TAXATION PURSUANT TO THIS SECTION CEASES TO BE USED AS THE PRIMARY
 RESIDENCE OF SUCH OWNER OR OWNERS OR HIS, HER OR THEIR PARENT OR  CHILD,
 SUCH  OWNER  OR  OWNERS SHALL SO NOTIFY THE COMMISSIONER OF FINANCE IN A
 TIME, FORM AND MANNER AS SO REQUIRED BY LOCAL LAW OR THE  RULES  OF  THE
 COMMISSIONER.
   § 2. This act shall take effect immediately.

 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  4540--A
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 4, 2019
                                ___________
 
 Introduced by M. of A. GLICK, O'DONNELL, GOTTFRIED, L. ROSENTHAL, REYES,
   RIVERA, DINOWITZ, SIMOTAS, JEAN-PIERRE, EPSTEIN, WEPRIN, NIOU, LENTOL,
   RICHARDSON,  CRUZ,  TAYLOR,  MOSLEY,  STECK,  QUART,  SEAWRIGHT, FAHY,
   ORTIZ, BENEDETTO, JACOBSON, FERNANDEZ,  PICHARDO,  BURKE,  DE LA ROSA,
   SIMON,  BUTTENSCHON,  DenDEKKER,  LIFTON,  BUCHWALD,  SAYEGH,  HUNTER,
   JOYNER, CARROLL, WOERNER, McDONALD, GUNTHER, RAMOS, GRIFFIN, JONES  --
   Multi-Sponsored by -- M. of A. ARROYO, NOLAN -- read once and referred
   to  the  Committee  on  Real  Property  Taxation -- recommitted to the
   Committee on Real Property Taxation in accordance with  Assembly  Rule
   3,  sec. 2 -- 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  imposing  an
   additional  tax  on  certain non-primary residence class one and class
   two properties in a city with a population of one million or more
 
   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 307-b to read as follows:
   § 307-B. ADDITIONAL TAX ON CERTAIN NON-PRIMARY RESIDENCE PROPERTIES IN
 A CITY WITH A POPULATION OF ONE MILLION OR MORE. 1. GENERALLY.  NOTWITH-
 STANDING  ANY  PROVISION  OF  ANY  GENERAL, SPECIFIC OR LOCAL LAW TO THE
 CONTRARY, ANY CITY WITH A POPULATION OF ONE MILLION OR  MORE  IS  HEREBY
 AUTHORIZED  AND  EMPOWERED  TO  ADOPT AND AMEND LOCAL LAWS IN ACCORDANCE
 WITH THIS SECTION IMPOSING AN  ADDITIONAL  TAX  ON  CERTAIN  RESIDENTIAL
 PROPERTIES AND DWELLING UNITS.
   2.  DEFINITIONS.  AS USED IN THIS SECTION:  (A) "ASSESSED VALUE" MEANS
 THE DETERMINATION MADE BY THE ASSESSORS OF A CITY HAVING A POPULATION OF
 ONE MILLION OR MORE OF THE VALUATION OF REAL PROPERTY.
   (B) "ASSESSED VALUE ATTRIBUTABLE TO A  TENANT-STOCKHOLDER"  MEANS  THE
 PROPORTION OF THE ASSESSED VALUE OF REAL PROPERTY OWNED BY A COOPERATIVE
 APARTMENT  CORPORATION,  REPRESENTED  BY A TENANT-STOCKHOLDER'S SHARE OR
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD04076-05-0

 A. 4540--A                          2
 
 SHARES OF STOCK IN SUCH  CORPORATION  AS  DETERMINED  BY  ITS  OR  THEIR
 PROPORTIONAL  RELATIONSHIP  TO THE TOTAL OUTSTANDING STOCK OF THE CORPO-
 RATION, INCLUDING THAT OWNED BY THE CORPORATION.
   (C)  "COMMISSIONER  OF FINANCE" MEANS THE COMMISSIONER OF FINANCE OF A
 CITY HAVING A POPULATION OF ONE MILLION OR MORE, OR HIS OR HER DESIGNEE.
   (D) "DEPARTMENT OF FINANCE" MEANS THE DEPARTMENT OF FINANCE OF A  CITY
 HAVING A POPULATION OF ONE MILLION OR MORE.
   (E)  "FIVE-YEAR  AVERAGE MARKET VALUE" SHALL MEAN THE AVERAGE MONETARY
 VALUE OF A PROPERTY FOR THE PREVIOUS  FIVE  YEARS,  USING  A  COMPARABLE
 SALE-BASED VALUATION METHOD, AS DETERMINED BY THE DEPARTMENT OF FINANCE.
   3.  ADDITIONAL  TAX.  (A) A LOCAL LAW ENACTED PURSUANT TO THIS SECTION
 MAY PROVIDE FOR A TAX AS FOLLOWS FOR FISCAL YEARS BEGINNING ON OR  AFTER
 JULY FIRST, TWO THOUSAND TWENTY-ONE:
   (I)  FOR  ONE, TWO OR THREE FAMILY RESIDENCES WITH A FIVE-YEAR AVERAGE
 MARKET VALUE OF FIVE MILLION DOLLARS OR HIGHER, A TAX OF AT  LEAST  ONE-
 HALF  PERCENT  AND  NO MORE THAN FOUR PERCENT ON THE EXCESS MARKET VALUE
 ABOVE FIVE MILLION DOLLARS.
   (II) FOR RESIDENTIAL REAL PROPERTY HELD IN  THE  CONDOMINIUM  FORM  OF
 OWNERSHIP  WITH  AN  ASSESSED VALUE OF THREE HUNDRED THOUSAND DOLLARS OR
 HIGHER, A TAX OF AT LEAST TEN PERCENT AND  NO  MORE  THAN  THIRTEEN  AND
 ONE-HALF  PERCENT OF THE EXCESS ASSESSED VALUE ABOVE THREE HUNDRED THOU-
 SAND DOLLARS.
   (III) FOR DWELLING UNITS IN A PROPERTY HELD IN THE COOPERATIVE FORM OF
 OWNERSHIP WITH AN ASSESSED VALUE ATTRIBUTABLE TO A TENANT-STOCKHOLDER OF
 THREE HUNDRED THOUSAND DOLLARS OR HIGHER, A TAX OF AT LEAST TEN  PERCENT
 AND  NO  MORE  THAN THIRTEEN AND ONE-HALF PERCENT OF THE EXCESS ASSESSED
 VALUE ABOVE THREE HUNDRED THOUSAND DOLLARS. THE ADDITIONAL TAXES ATTRIB-
 UTABLE TO EACH TENANT-STOCKHOLDER SHALL  BE  ADDED  BY  THE  COOPERATIVE
 APARTMENT  CORPORATION  TO THE AMOUNT OF SUCH TAXES OTHERWISE PAYABLE BY
 OR CHARGEABLE TO SUCH TENANT-STOCKHOLDER.
   (B) SUBJECT TO THE LIMITATIONS ESTABLISHED IN PARAGRAPH  (A)  OF  THIS
 SUBDIVISION,  ANY SUCH LOCAL LAW MAY ESTABLISH A GRADUATED RATE SCHEDULE
 FOR IMPOSING SUCH TAX, AT RATES AND EXCESS VALUE THRESHOLDS AS THE LOCAL
 LEGISLATIVE BODY DETERMINES APPROPRIATE.
   (C) EXCEPT AS OTHERWISE PROVIDED IN THIS  SECTION,  SUCH  TAX  MAY  BE
 IMPOSED,  ADMINISTERED,  COLLECTED  AND  ENFORCED BY THE COMMISSIONER OF
 FINANCE OF SUCH CITY BY SUCH MEANS AND IN SUCH  MANNER  AS  OTHER  TAXES
 THAT  ARE  NOW  IMPOSED,  ADMINISTERED,  COLLECTED  AND ENFORCED BY SUCH
 COMMISSIONER IN ACCORDANCE WITH THE CHARTER OR  ADMINISTRATIVE  CODE  OF
 ANY SUCH CITY OR AS OTHERWISE MAY BE PROVIDED BY ANY SUCH LOCAL LAW.
   4.  EXEMPTIONS. (A) A LOCAL LAW ENACTED PURSUANT TO THIS SECTION SHALL
 INCLUDE AN EXEMPTION FROM THE ADDITIONAL  TAX  IMPOSED  FOR  RESIDENTIAL
 PROPERTIES  OR  DWELLING UNITS THAT ARE: (I) THE PRIMARY RESIDENCE OF AT
 LEAST ONE OWNER OF THE PROPERTY OR DWELLING UNIT; (II) THE PRIMARY RESI-
 DENCE OF A PARENT OR CHILD OF AT LEAST ONE  OWNER  OF  THE  PROPERTY  OR
 DWELLING  UNIT;  OR  (III)  RENTED  ON  A FULL-TIME BASIS TO A TENANT OR
 TENANTS FOR WHOM THE PROPERTY OR DWELLING UNIT IS  THEIR  PRIMARY  RESI-
 DENCE.
   (B) PROOF THAT A RESIDENTIAL PROPERTY OR DWELLING UNIT IS ELIGIBLE FOR
 AN  EXEMPTION  PROVIDED IN PARAGRAPH (A) OF THIS SUBDIVISION SHALL BE IN
 SUCH FORM AS REQUIRED BY LOCAL LAW OR THE RULES OF THE  COMMISSIONER  OF
 FINANCE.
   (C)  ANY  SUCH  LOCAL  LAW MAY PROVIDE FOR EXEMPTIONS FROM SUCH TAX IN
 ADDITION TO THOSE SPECIFIED IN THIS SUBDIVISION.
   (D) IN THE EVENT THAT A PROPERTY GRANTED AN  EXEMPTION  FROM  TAXATION
 PURSUANT  TO  THIS  SECTION  OR  LOCAL LAW CEASES TO BE USED IN A MANNER

 A. 4540--A                          3
 
 MAKING THE PROPERTY ELIGIBLE FOR SUCH EXEMPTION,  THE  OWNER  OR  OWNERS
 SHALL  SO  NOTIFY THE COMMISSIONER OF FINANCE IN A TIME, FORM AND MANNER
 AS SO REQUIRED BY LOCAL LAW OR THE RULES OF THE COMMISSIONER.
   5.  RULES.  THE DEPARTMENT OF FINANCE OF ANY CITY ENACTING A LOCAL LAW
 PURSUANT TO THIS SECTION SHALL HAVE, IN ADDITION TO ANY OTHER FUNCTIONS,
 POWERS AND DUTIES WHICH HAVE BEEN OR MAY BE CONFERRED ON IT BY LAW,  THE
 POWER  TO  MAKE  AND  PROMULGATE RULES TO CARRY OUT THE PURPOSES OF THIS
 SECTION.
   § 2. This act shall take effect immediately.