Defines "owner occupied" for the purposes of small claim real property assessment review

Title of bill

An act to amend the real property tax law, in relation to eligibility for small claims assessment review

Purpose

The purpose of this bill is to clarify existing provisions of law determining the eligibility of an owner of one, two or three family residential owner occupied property to seek administrative review of an erroneous real property tax assessment using the small claims procedure as provided for in the real property tax law.

Summary of specific provisions

Section one amends subdivision 9 of section 730 of the real property tax law, to clarify that real property shall be deemed to be owner occupied when: it is occupied by the owner of record or any other person who qualifies as an owner either on the taxable status date or upon the date of filing of a small claims petition; either the trustee of a trust or the person or persons for whose benefit a trust has been created occupies the real property; the real property is owned by the estate of a deceased person who occupied the real property prior to his or her death, and while part of such estate is not income producing, or is real property occupied by a life tenant of a life estate created by deed or otherwise. For the purposes of determining ownership of real property or determining whether the property is owner occupied, a copy of a deed, trust instrument, letters of probate or other similar document issued by the surrogate court, or a written agreement or contract which details an ownership interest in a one two or three family where the owner can offer substantial proof that he o~ she fully intends to occupy the same upon completion, shall be presumptive as proof that the person on whose behalf such document was presented was the owner or owner occupant.

Section two makes the act effective immediately.

Justification

The intent of the real property small claims assessment review proceedings statute was to provide owner occupants of one, two, or three family dwellings with an inexpensive and expeditious avenue by which they could grieve a real property tax assessment which they felt was excessive or unequal. The provisions of this bill seek to clarify the original intent of the law when the instrument creating an ownership interest, or the manner in which the property is occupied may cause some degree of hesitancy on the part of the hearing officer in determining eligibility. Modern construction delays and estate planning techniques and proceedings make such clarifications necessary.

Legislative history

New bill.

Fiscal implications

None.

Local fiscal implications

None.

Effective date

This act shall take effect immediately.