STATE OF NEW YORK
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4855
2021-2022 Regular Sessions
IN SENATE
February 16, 2021
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Introduced by Sen. REICHLIN-MELNICK -- read twice and ordered printed,
and when printed to be committed to the Committee on Local Government
AN ACT to amend the real property tax law, in relation to a residential
revaluation exemption
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-v to read as follows:
3 § 485-v. Residential revaluation exemption. 1. Applicability. The
4 governing body of an assessing unit may, after a public hearing, adopt
5 the provisions of this section by local law in the first year of a full
6 value revaluation to provide a residential revaluation exemption. If the
7 governing body of an assessing unit passes a local law pursuant to this
8 subdivision, such exemption shall also apply in the same manner and to
9 the same extent to each village, county, special district or school
10 district that levies taxes on the assessment roll prepared by such
11 assessing unit. A village assessing unit, within an assessing unit that
12 has conducted a revaluation and that chooses to adopt that assessing
13 unit's latest final assessment roll is permitted to adopt the provisions
14 of this section within two years of its implementation.
15 2. Eligibility. (a) The assessors in each assessing unit that have
16 adopted the provisions of this section shall, in the first year in which
17 revaluation assessments are to be entered on the assessment roll and for
18 the next succeeding year, apply to each eligible residential property an
19 exemption as provided in subdivision three of this section. For the
20 purpose of this section, to be an "eligible residential property" the
21 following criteria must be met:
22 (i) The property must be a residential property, provided that dwell-
23 ing units held in condominium form of ownership shall only be eligible
24 if located in an approved assessing unit and classified in the homestead
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD05412-01-1
S. 4855 2
1 class or located in a special assessing unit and classified in class
2 one;
3 (ii) The property must be eligible to receive the STAR exemption
4 authorized by section four hundred twenty-five of this title or the
5 owner or owners must be eligible to receive the personal income tax
6 school tax relief (STAR) credit authorized by subsection (eee) of
7 section six hundred six of the tax law, for such property;
8 (iii) In any given year, the owner or owners receiving the exemption
9 pursuant to this section must be the same as the owner or owners that
10 appeared on the assessment roll upon which the revaluation is imple-
11 mented; and
12 (iv) The property must not have any delinquent taxes as of the taxable
13 status date for the roll on which an exemption is applied.
14 (b) In addition to the criteria provided in paragraph (a) of this
15 subdivision, an assessing unit may further limit the eligibility to
16 eligible residential property whose full value increase exceeded a set
17 percentage threshold as specified in their local law adopting the
18 provisions of this section.
19 3. Exemption calculation. (a)(i) The exemption shall be computed with
20 respect to a percentage of the "exemption base." The exemption base
21 shall be the amount by which the assessed value of a property on the
22 assessment roll upon which the revaluation is implemented exceeds the
23 prior year's equalized assessed value, as determined in the initial
24 year. The prior year's equalized assessed value shall be determined by
25 applying the applicable change in level of assessment factor to the
26 prior year's assessed value. Such exemption base shall not include
27 increases due to a physical improvement or a removal or reduction of an
28 exemption on property.
29 (ii) Any increase in the assessment of a property due to physical
30 changes in the year following the implementation roll shall not be
31 eligible for the exemption. In the event that any portion of a parcel is
32 fully or partially removed from the roll during the year following the
33 implementation roll by reason of fire, demolition, destruction or new
34 exemption, the assessor shall reduce the exemption for any remaining
35 portion in the same proportion assessment is reduced for such fire,
36 demolition, destruction or new exemption. If a property's revaluation
37 assessment is reduced pursuant to title one-A of article five, or title
38 one or one-A of article seven of this chapter, the exemption shall be
39 recomputed accordingly.
40 (b)(i) The exemption shall be to the extent of sixty-six per centum of
41 the exemption base in year one and thirty-three per centum of the
42 exemption base in year two.
43 (ii) The following table shall illustrate the computation of the
44 exemption:
45 Year of exemptionPercentage of Exemption
46 166% of exemption base
47 233% of exemption base
48 4. Granting of exemption. (a) Such exemption shall be granted only
49 upon application by the owner or owners of such real property on a form
50 prescribed by the commissioner. Such application shall be filed with the
51 assessor on or before the appropriate taxable status date for the
52 assessment roll upon which the revaluation is implemented.
53 (b) If the assessor is satisfied that the applicant is entitled to an
54 exemption pursuant to this section, he or she shall approve the applica-
55 tion and the taxable assessed value shall be reduced by the exemption,
56 as in this section provided commencing with the assessment roll prepared
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1 after the taxable status date. The assessed value of any exemption
2 granted pursuant to this section shall be entered by the assessor on the
3 assessment roll with the amount of the exemption shown in a separate
4 column.
5 (c) In the event that the residential property granted an exemption
6 pursuant to this section transfers ownership or otherwise ceases to meet
7 the eligibility requirements of the exemption in subdivision two of this
8 section, the exemption granted pursuant to this section shall be discon-
9 tinued. Upon determining that an exemption granted pursuant to this
10 section should be discontinued, the assessor shall mail a notice so
11 stating to the owner or owners thereof at the time and in the manner
12 provided by section five hundred ten of this chapter.
13 § 2. This act shall take effect immediately.
