Bill Text: NY A09944 | 2019-2020 | General Assembly | Introduced

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Bill Title: Relates to qualifying income for a property tax exemption for persons sixty-five years of age or over; increases the income limit to $35,000 beginning July 1, 2021.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2020-02-27 - referred to aging [A09944 Detail]

Download: New_York-2019-A09944-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          9944

                   IN ASSEMBLY

                                    February 27, 2020
                                       ___________

        Introduced  by M. of A. GUNTHER -- read once and referred to the Commit-
          tee on Aging

        AN ACT to amend the real property tax law,  in  relation  to  qualifying
          income  for  a  property tax exemption for persons sixty-five years of
          age or over

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

     1    Section  1.  Paragraph (a) of subdivision 3 of section 467 of the real
     2  property tax law, as separately amended by chapters 131 and 279  of  the
     3  laws of 2017, is amended to read as follows:
     4    (a) if the income of the owner or the combined income of the owners of
     5  the  property  for the income tax year immediately preceding the date of
     6  making application for exemption  exceeds  the  sum  of  three  thousand
     7  dollars, or such other sum not less than three thousand dollars nor more
     8  than  [twenty-six  thousand  dollars  beginning July first, two thousand
     9  six, twenty-seven thousand dollars beginning July  first,  two  thousand
    10  seven,  twenty-eight thousand dollars beginning July first, two thousand
    11  eight, twenty-nine thousand dollars beginning July first,  two  thousand
    12  nine]  thirty-five  thousand  dollars beginning July first, two thousand
    13  twenty-one, and in a city with a population of one million or more fifty
    14  thousand dollars beginning July first, two thousand seventeen, as may be
    15  provided by the local law, ordinance or resolution adopted  pursuant  to
    16  this  section.  Income  tax  year shall mean the twelve month period for
    17  which the owner or owners filed a federal personal income tax return, or
    18  if no such return is filed, the calendar year. Where title is vested  in
    19  either  the  husband  or  the wife, their combined income may not exceed
    20  such sum, except where the husband or wife, or ex-husband or ex-wife  is
    21  absent  from  the property as provided in subparagraph (ii) of paragraph
    22  (d) of this subdivision, then only the income of the spouse or ex-spouse
    23  residing on the property shall be considered and  may  not  exceed  such
    24  sum.  Such income shall include social security and retirement benefits,
    25  interest, dividends, total gain from the sale or exchange of  a  capital
    26  asset which may be offset by a loss from the sale or exchange of a capi-
    27  tal  asset  in  the  same  income tax year, net rental income, salary or

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD15529-01-0
        A. 9944                             2

     1  earnings, and net income from self-employment, but shall not  include  a
     2  return  of  capital,  gifts,  inheritances, payments made to individuals
     3  because of their status as victims of Nazi persecution,  as  defined  in
     4  P.L.  103-286  or monies earned through employment in the federal foster
     5  grandparent program and any such income shall be offset by  all  medical
     6  and  prescription  drug expenses actually paid which were not reimbursed
     7  or paid for by insurance, if the  governing  board  of  a  municipality,
     8  after  a  public  hearing,  adopts  a local law, ordinance or resolution
     9  providing therefor. In addition, an exchange of an annuity for an annui-
    10  ty contract, which  resulted  in  non-taxable  gain,  as  determined  in
    11  section  one thousand thirty-five of the internal revenue code, shall be
    12  excluded from such income. Provided that such exclusion shall  be  based
    13  on satisfactory proof that such an exchange was solely an exchange of an
    14  annuity  for an annuity contract that resulted in a non-taxable transfer
    15  determined by such section of the internal  revenue  code.  Furthermore,
    16  such  income  shall  not  include the proceeds of a reverse mortgage, as
    17  authorized by section six-h of the banking law, and sections two hundred
    18  eighty and two hundred eighty-a of  the  real  property  law;  provided,
    19  however,  that  monies  used  to  repay  a  reverse  mortgage may not be
    20  deducted from income, and provided additionally  that  any  interest  or
    21  dividends  realized  from  the  investment  of reverse mortgage proceeds
    22  shall be considered income. The provisions of  this  paragraph  notwith-
    23  standing,  such  income  shall  not  include veterans disability compen-
    24  sation, as defined in Title 38 of the United States  Code  provided  the
    25  governing  board  of  such  municipality, after public hearing, adopts a
    26  local law, ordinance or resolution providing therefor. In computing  net
    27  rental  income  and  net  income  from  self-employment  no depreciation
    28  deduction shall be allowed for the exhaustion, wear and tear of real  or
    29  personal property held for the production of income;
    30    § 2. This act shall take effect immediately.