Authorizes the village of Mineola to file an application for exemption from real property taxes for a certain parcel of land located in the town of North Hempstead

BILL NUMBER:S5628

Title of bill

An act to authorize the village of Mineola to file an application for exemption from real property taxes for a certain parcel of land located in the town of North Hempstead, county of Nassau

Purpose

To allow the Incorporated Village of Mineola, a municipal corporation, to file retroactively for tax exemption for property which would have received such exemption if a timely application had been filed before the applicable Nassau County taxable status dates.

Summary of provisions

Section one authorizes the assessor of the County of Nassau (who is also the assessor for the Village of North Hills) to accept from the Incorporated Village of Mineola an application for exemption for real property taxes pursuant to Real Property Tax Law §406 for the 2008-2009 assessment roll with respect to the pro-rata share of the 2008-2009 school taxes and the pro-rata share of the 2009 general taxes, for the parcel located in the Town of North Hempstead, Village of Mineola and known as section 9, block 414, lot 320 on the Nassau County Land and Tax Map. If accepted, the application shall be reviewed as if it had been received on or before the taxable status date established for such roll, and any exemptions shall be granted for the period of each respective tax year commencing on and after the date of acquisition of the property, and continuing to and including the end of each such tax year.

Existing law

Existing law authorizes tax exemptions to be granted after the taxable status date has passed if a bill chaptered authorizing an assessor to accept a late application.

Justification

The Incorporated Village of Mineola, a municipal corporation that would be entitled to such an exception if it had been able to file an application for the exemption by the appropriate taxable status date. However a lien (Nassau County Lien 1485-2009) over the property in question prevented such filing. The lien was sold on February 16, 2010. Subsequent to the lien sale, the Village filed an application with the Nassau County Assessor for tax exempt status for the property, and such application has been granted commencing with the 2010-2011 tax roll.

Granting property tax exemption to this institution will be consistent with New York State policy which grants mandatory exemptions pursuant to Real Property Tax Law §420.

Taxable status dates are intended to fix the date on which property is valued for assessment purposes, so that all properties are assessed as of the same date. If an institution is properly exempt, its assessment would be academic, as it would not be obligated to pay taxes. However, where an otherwise exempt institution acquires title

to property after the taxable status date has passed and the assessment has been fixed, the institution is unable to file a timely exemption application, and therefore is required to pay property taxes which it would not otherwise be required to pay. This legislation would permit the village of Mineola to seek retroactive exempt status for the portions of those tax years for which assessments already were fixed as of the acquisition date. None of the purposes of taxable status dates are served by refusing permission to apply for the exemption under the circumstances.

The Village has applied for, and received, tax exempt status for this property commencing with the 2010-2011 county assessment roll.

Legislative history

This is a new bill.

Fiscal implications

None to the State.

Effective date

This act shall take effect immediately.