Bill Text: NY S09146 | 2017-2018 | General Assembly | Introduced


Bill Title: Increases allowable maximum income of certain persons otherwise eligible for tax abatement in the county of Nassau.

Spectrum: Bipartisan Bill

Status: (Introduced - Dead) 2018-08-03 - REFERRED TO RULES [S09146 Detail]

Download: New_York-2017-S09146-Introduced.html


                STATE OF NEW YORK
        ________________________________________________________________________
                                          9146
                    IN SENATE
                                     August 3, 2018
                                       ___________
        Introduced  by Sen. PHILLIPS -- read twice and ordered printed, and when
          printed to be committed to the Committee on Rules
        AN ACT to amend the real property tax law, in relation to increasing the
          allowable maximum income of certain persons otherwise eligible for tax
          abatement in certain cases
          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 six,
     9  twenty-seven  thousand dollars beginning July first, two thousand seven,
    10  twenty-eight thousand dollars beginning July first, two thousand  eight,
    11  twenty-nine  thousand  dollars  beginning July first, two thousand nine,
    12  [and] in a city with a population of one million or more fifty  thousand
    13  dollars  beginning  July  first, two thousand seventeen, and in a county
    14  with a population of between one million and one  million  four  hundred
    15  thousand  as  of the last decennial census fifty thousand dollars begin-
    16  ning July first, two thousand nineteen, as may be provided by the  local
    17  law,  ordinance  or  resolution adopted pursuant to this section. Income
    18  tax year shall mean the twelve month  period  for  which  the  owner  or
    19  owners  filed a federal personal income tax return, or if no such return
    20  is filed, the calendar year. Where title is vested in either the husband
    21  or the wife, their combined income may not exceed such sum, except where
    22  the husband or wife, or ex-husband or ex-wife is absent from the proper-
    23  ty as provided in subparagraph (ii) of paragraph (d)  of  this  subdivi-
    24  sion,  then  only  the income of the spouse or ex-spouse residing on the
    25  property shall be considered and may not exceed such  sum.  Such  income
    26  shall  include  social security and retirement benefits, interest, divi-
    27  dends, total gain from the sale or exchange of a capital asset which may
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD14917-03-8

        S. 9146                             2
     1  be offset by a loss from the sale or exchange of a capital asset in  the
     2  same  income  tax  year,  net rental income, salary or earnings, and net
     3  income from self-employment, but shall not include a return of  capital,
     4  gifts,  inheritances,  payments  made  to  individuals  because of their
     5  status as victims of Nazi persecution, as defined  in  P.L.  103-286  or
     6  monies  earned  through  employment  in  the  federal foster grandparent
     7  program and  any  such  income  shall  be  offset  by  all  medical  and
     8  prescription  drug  expenses  actually paid which were not reimbursed or
     9  paid for by insurance, if the governing board of a municipality, after a
    10  public hearing, adopts a local law, ordinance  or  resolution  providing
    11  therefor.  In  addition,  an  exchange  of  an  annuity  for  an annuity
    12  contract, which resulted in non-taxable gain, as determined  in  section
    13  one thousand thirty-five of the internal revenue code, shall be excluded
    14  from  such income. Provided that such exclusion shall be based on satis-
    15  factory proof that such an exchange was solely an exchange of an annuity
    16  for an annuity contract that resulted in a non-taxable  transfer  deter-
    17  mined  by  such  section of the internal revenue code. Furthermore, such
    18  income shall not include the proceeds of a reverse mortgage, as  author-
    19  ized  by  section  six-h  of  the  banking law, and sections two hundred
    20  eighty and two hundred eighty-a of  the  real  property  law;  provided,
    21  however,  that  monies  used  to  repay  a  reverse  mortgage may not be
    22  deducted from income, and provided additionally  that  any  interest  or
    23  dividends  realized  from  the  investment  of reverse mortgage proceeds
    24  shall be considered income. The provisions of  this  paragraph  notwith-
    25  standing,  such  income  shall  not  include veterans disability compen-
    26  sation, as defined in Title 38 of the United States  Code  provided  the
    27  governing  board  of  such  municipality, after public hearing, adopts a
    28  local law, ordinance or resolution providing therefor. In computing  net
    29  rental  income  and  net  income  from  self-employment  no depreciation
    30  deduction shall be allowed for the exhaustion, wear and tear of real  or
    31  personal property held for the production of income;
    32    § 2. Paragraph (a) of subdivision 5 of section 459-c of the real prop-
    33  erty  tax law, as amended by chapter 131 of the laws of 2017, is amended
    34  to read as follows:
    35    (a) if the income of the owner or the combined income of the owners of
    36  the property for the income tax year immediately preceding the  date  of
    37  making  application  for  exemption  exceeds  the  sum of three thousand
    38  dollars, or such other sum not less than three thousand dollars nor more
    39  than twenty-six thousand dollars beginning July first, two thousand six,
    40  twenty-seven thousand dollars beginning July first, two thousand  seven,
    41  twenty-eight  thousand dollars beginning July first, two thousand eight,
    42  twenty-nine thousand dollars beginning July first,  two  thousand  nine,
    43  [and]  in a city with a population of one million or more fifty thousand
    44  dollars beginning July first, two thousand seventeen, and  in  a  county
    45  with  a  population  of between one million and one million four hundred
    46  thousand as of the last decennial census fifty thousand  dollars  begin-
    47  ning  July first, two thousand nineteen, as may be provided by the local
    48  law or resolution adopted pursuant to  this  section.  Income  tax  year
    49  shall mean the twelve month period for which the owner or owners filed a
    50  federal  personal  income tax return, or if no such return is filed, the
    51  calendar year. Where title is vested in either the husband or the  wife,
    52  their  combined income may not exceed such sum, except where the husband
    53  or wife, or ex-husband or ex-wife is absent from  the  property  due  to
    54  divorce,  legal  separation  or abandonment, then only the income of the
    55  spouse or ex-spouse residing on the property shall be considered and may
    56  not exceed such sum. Such  income  shall  include  social  security  and

        S. 9146                             3
     1  retirement  benefits,  interest,  dividends, total gain from the sale or
     2  exchange of a capital asset which may be offset by a loss from the  sale
     3  or  exchange  of a capital asset in the same income tax year, net rental
     4  income,  salary  or  earnings,  and net income from self-employment, but
     5  shall not include a return of capital,  gifts,  inheritances  or  monies
     6  earned  through employment in the federal foster grandparent program and
     7  any such income shall be offset by all  medical  and  prescription  drug
     8  expenses  actually  paid which were not reimbursed or paid for by insur-
     9  ance, if the governing board of a municipality, after a public  hearing,
    10  adopts  a  local  law or resolution providing therefor. In computing net
    11  rental income  and  net  income  from  self-employment  no  depreciation
    12  deduction  shall be allowed for the exhaustion, wear and tear of real or
    13  personal property held for the production of income;
    14    § 3. This act shall take effect immediately and shall apply to  appli-
    15  cation  made for an exemption pursuant to this act for the county fiscal
    16  year commencing in 2019 and all county fiscal years thereafter.   Appli-
    17  cations  received for the county fiscal year commencing in 2019 shall be
    18  considered timely if they are filed on or before the one hundred twenti-
    19  eth day following the effective date of the local law  implementing  the
    20  provisions of this act.
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