Makes the primary residence of a permanently totally disabled veteran exempt from property taxes, when the property was given to the veteran by a charitable organization at no cost

Summary of provisions

Section One - amends the real property tax law by adding a new section 458-c. to define "veteran" as a person who served on active duty in the armed forced of the United states, and was discharged or released therefrom under honorable conditions.

Sub-section b - defines "Service connected" with respect to disability, that such disability was incurred or aggravated in the line of duty while on active duty in the armed forces of the United States."

Sub-section c - defines "permanently totally disabled" as a veteran who the United State Department of Veterans Affairs or the branch of the armed services from which a veteran was discharged or released has rated the veterans' service connected disability at one hundred percent or has rated the disability compensation payable to a veteran at one hundred percent by reason of being able to secure or follow a substantially gainful employment. The permanent loss or loss of use of both hands, of both feet, of one hand and one foot, of the sight of both eyes, or becoming permanently helpless or bedridden are considered permanent total disabilities. Being blind on both eyes means having a visual field to five degrees or less. Losing the use of a band or foot means that the hand or foot has been amputated or its use has been lost by reason of ankylosis, progressive muscular dystrophies or paralysis.

Sub-section d - defines "Qualified owner" as a veteran who is permanently totally disabled with a service connected disability, as certified by the government of the United States. Sub-section e - defines "Qualified residential real property" as the property owned by a qualified owner which is used exclusively for residential purposes and which was donated to the qualified owner by a charitable organization at no cost. Each county, city, town, village and school district will adopt a local law or resolution to provide that qualified residential real property owned by a qualified owner prior to his or her death, or owned by such qualified owner's dependent mother or father, dependent children under twenty-one years of age or unremarried surviving spouse after the qualified owner's death, shall be exempt from taxation.

Part 2-a of Section one - states qualified residential real property will be exempt from taxation.

Part 2-b of Section one - states the exemption from taxation provided by this subdivision will be applicable to county, city, town, village and school district taxation if the governing body of the school

district in which the property is located, after public hearings, adopts a resolution providing such exemption, the procedure for such hearing and resolution will be conducted separately from the procedure for any hearing and local law or resolution.

Part three of Section one - states that application for such exemption shall be made annually by the owner of the qualified residential real property on forms prescribed by the department and filed in the assessor's office on or before the appropriate taxable status date; provided that proof that a qualified owner is permanently totally disabled need be submitted only in the year the exemption is first sought.

Part 3-a of Section one - states the provisions of this section or any other provision of law, in a city having a population of one million or more, applications for the exemption authorized pursuant to this section will be considered timely filed if they are filed on or before the fifteenth day of March of the appropriate year.

Part four of Section one - state no later than ninety days before the taxable status date next occurring on or after the thirty-first day of December two thousand fifteen, the governing board of any county, city, town or village may adopt a local law to provide that no exemption will be granted pursuant to this section for the purpose of taxes levied for such county, city, town or village. For the purposes of a county which is not an assessing unit, the taxable status date next occurring on or after December thirty-first, two thousand fifteen shall mean the first such taxable status date of any city or town within such county upon the assessment roll of which the county levies taxes. A local law adopted pursuant to this paragraph may be repealed by the governing board of the applicable county, city, town or village. Such repeal must occur at least ninety days prior to the taxable status date of such county, city, town or village.

Part five of Section one - states the provisions of this section will apply to any real property held in trust solely for the benefit of a person or persons who would otherwise be eligible for a real property tax exemption, pursuant to this section, were such person or persons the owner or owners of such real property.

Part 6-a of Section one - states the title to that portion of real property owned by a cooperative apartment corporation in which a tenant-stockholder of such corporation resides and which is represented by his or her share or shares of stock in such corporation as determined by its or their proportional relationship to the total outstanding stock of the corporation, including that owned by the corporation, will be deemed to be vested in such tenant-stockholder.

Part 6-b of Section one - states provided that all other eligibility criteria of this section are met, that proportion of the assessment of such real property owned by a cooperative apartment corporation determined by the relationship of such real property vested in such tenant-stockholder to such real property owned by such cooperative apartment corporation in which such tenant-stockholder resides will be subject to exemption from taxation pursuant to this section and any exemption so granted will be credited by the appropriate taxing authority against the assessed valuation of such real property, the

reduction in real property taxes realized thereby will be credited by the cooperative apartment corporation against the amount of such taxes otherwise payable by or chargeable to such tenant-stock-holder.

Part 6-c of Section one - states a tenant-stockholder who resides in a dwelling that is subject to the provisions of either article two, four, five or eleven of the private housing finance law will not be eligible for an exemption pursuant to this section.

Part 6-d of Section one - states that real property owned by a cooperative corporation may be exempt from taxation pursuant to this section by a municipality in which such property is located only if the governing body of such municipality, after public hearing, adopts a local law, ordinance or resolution providing therefor.

Section Two - this act shall take effect on the first of January next succeeding the date on which it shall have become law; provided that, effective immediately, any actions necessary to implement the provisions of this act on its effective date are authorized and directed to be completed on or before such date.

Justification

New York's service-connected totally disabled veterans have sacrificed more for our country than we can ever repay. They have served to protect our way of life and our freedom. This property tax break will be available to their families, will help them afford homes, and stay right here in New York. These men and women have served our state and nation valiantly and selflessly. We owe our freedom to these individuals and should provide the tax relief necessary for them to be successful homeowners. This will make the primary residence of a permanently totally disabled veteran exempt from property taxes, when the property was given to the veteran by a charitable organization at no cost.

Legislative history

New bill.

Fiscal implications

To be determined.

Effective date

This act shall take effect on the first of January next succeeding the date on which it shall have become law; provided that, effective immediately, any actions necessary to implement the provisions of this act on its effective date are authorized and directed to be completed on or before such date.