Bill Text: NY A05898 | 2023-2024 | General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Establishes a vacant residential investment exemption in cities with a population of not less than seven thousand fifty and not more than seven thousand sixty, determined in accordance with the two thousand twenty census.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Engrossed) 2024-01-17 - print number 5898c [A05898 Detail]

Download: New_York-2023-A05898-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          5898

                               2023-2024 Regular Sessions

                   IN ASSEMBLY

                                     March 24, 2023
                                       ___________

        Introduced by M. of A. ANGELINO -- read once and referred to the Commit-
          tee on Real Property Taxation

        AN ACT to amend the real property tax law, in relation to establishing a
          residential investment exemption in certain cities

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. The real property tax  law  is  amended  by  adding  a  new
     2  section 485-x to read as follows:
     3    §  485-x.  Residential property improvement exemption; certain cities.
     4  1. Construction of improvements to residential real  property  initiated
     5  on  or  after  the first day of January, two thousand twenty-four in the
     6  cities with a population of not less than seven thousand fifty  and  not
     7  more  than  seven  thousand sixty, determined in accordance with the two
     8  thousand twenty census, may be exempt from city and school  taxation  as
     9  provided  in this section. Such real property shall be designated by the
    10  city in which it is located as residential vacant land  on  such  city's
    11  tax roll prior to the construction of improvements.
    12    2.  (a)(i) Such real property shall be exempt for a period of eighteen
    13  months or until a certificate of occupancy is issued, whichever is soon-
    14  er, on all city and school taxation.
    15    (ii) (A) Upon the termination of  the  exemption  provided  for  under
    16  subparagraph  (i)  of this paragraph, such real property shall be exempt
    17  for a period of one year to the extent  of  eighty  per  centum  of  the
    18  assessed  value  thereof  and  for  an  additional period of three years
    19  provided, however, that the extent of such exemption shall be  decreased
    20  by  twenty  per  centum each year during such additional period of three
    21  years  and  such  exemption  shall  be  computed  with  respect  to  the
    22  "exemption  base".  The  exemption  base  shall be the assessed value as
    23  determined by the assessor in the initial year of such four-year  period
    24  following  the  termination of the exemption provided for under subpara-
    25  graph (i) of this paragraph.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD09064-01-3
        A. 5898                             2

     1    (B) The following table shall illustrate the computation of  the  city
     2  tax exemption:
     3       Year of exemption        Percentage of exemption
     4          1                            80
     5          2                            60
     6          3                            40
     7          4                            20
     8    (C)  Exemptions  granted  pursuant to this section shall apply to real
     9  property taxes imposed for both city and school district purposes.
    10    (b) No such exemption shall be granted unless: (i)  such  construction
    11  of  improvements was commenced on or after the first day of January, two
    12  thousand twenty-four or such later date as may  be  specified  by  local
    13  law;
    14    (ii)  the  residential real property is situate in a city with a popu-
    15  lation of not less than seven thousand fifty and  not  more  than  seven
    16  thousand  sixty,  determined  in accordance with the two thousand twenty
    17  census; and
    18    (iii) such  construction  is  documented  by  a  building  permit,  if
    19  required,  for  the  improvements, or other appropriate documentation as
    20  required by the assessor.
    21    (c) For purposes of this section, the term "construction  of  improve-
    22  ments" shall mean the construction of a residential dwelling.
    23    3.  Such exemption shall be granted only upon application by the owner
    24  of such real property on a form prescribed  by  the  commissioner.  Such
    25  application shall be filed with the assessor of a city with a population
    26  of  not  less than seven thousand fifty and not more than seven thousand
    27  sixty, determined in accordance with the two thousand twenty census,  on
    28  or  before  the  appropriate taxable status date of such city and within
    29  one year from the date of completion of such  construction  of  improve-
    30  ments.
    31    4.  If  the assessor is satisfied that the applicant is entitled to an
    32  exemption pursuant to this section, they shall approve  the  application
    33  and  such  real  property  shall  thereafter be exempt from taxation and
    34  special ad valorem levies by a city with a population of not  less  than
    35  seven  thousand fifty and not more than seven thousand sixty, determined
    36  in accordance with the two thousand twenty census, as provided  in  this
    37  section  commencing  with the assessment roll prepared after the taxable
    38  status date referred to  in  subdivision  three  of  this  section.  The
    39  assessed  value  of any exemption granted pursuant to this section shall
    40  be entered by the assessor on the assessment roll with the taxable prop-
    41  erty, with the amount of the exemption shown in a separate column.
    42    5. In the event that real property granted an  exemption  pursuant  to
    43  this  section  ceases  to  be  used primarily for eligible purposes, the
    44  exemption granted pursuant to this section shall cease.
    45    6. A city with a population of not less than seven thousand fifty  and
    46  not  more  than  seven thousand sixty, determined in accordance with the
    47  two thousand twenty census, may, by local law, establish a date for  the
    48  commencement  of effectiveness of the exemption offered pursuant to this
    49  section. A copy of all such local laws shall be filed with  the  commis-
    50  sioner and the assessor of the city.
    51    § 2. This act shall take effect immediately.