What's happening
Writing a plain-English summary… Track this bill to get it by email.
Why it matters
Albany, before your first meeting.
Every bill that moved yesterday, summarized in a sentence and ranked by impact. The Albany Scorecard follows on Sundays.
Free. Unsubscribe in one click. Want alerts on specific bills? Create an account.
Who cares
Headline styles
Sponsors
No co-sponsors yet.
History
- Reported and committed to finance
- Referred to aging
- Reported and committed to finance
- Referred to aging
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Relates to a STAR exemption for certain seniors who reside with a related property owner
In Assembly Committee · Real Property Taxation · Sponsor Steven Englebright
Full text
The text isn't available here yet. Check nysenate.gov.
Sponsor's memo
BILL NUMBER:S2690 Revised 04/29/15
Title of bill
An act to amend the real property tax law, in relation to a STAR exemption for certain senior citizens who reside with a related property owner
Purpose
To provide a partial STAR exemption for homes where a senior citizen resides with a non-spouse relative who owns the home.
Read the full memo (1,084 words)
Summary of provisions
Section one amends section 425 of the Real Property Tax Law by adding a new subdivision (4-b) to provide a pro-rated STAR exemption when a senior citizen resides with a non-spouse relative that is in addition to the basic STAR exemption or enhanced STAR exemption that the property already receives, provided that the sum of the current exemption and the pro-rated STAR exemption cannot exceed the property's assessed value.
Paragraph (a) of this new subdivision provides that property that serves as the primary residence for a senior citizen and his or her non-spouse relative who is within the third degree of consanguinity or affinity to the senior citizen may be eligible for a pro-rated STAR exemption. To be eligible for the pro-rated exemption, the property must currently receive a basic or enhanced STAR exemption and the requirements of paragraph (b) of this new subdivision must be satisfied.
New paragraph (b) provides the eligibility requirements for the pro-rated STAR exemption. With the exception of the income criteria, the requirements for the pro-rated STAR exemption based upon either the basic STAR exemption or the enhanced STAR exemption are the same. These requirements are:
-The senior citizen is at least 65 years of age as of December 31 of the year preceding the year for which the exemption is sought;
-The property serves as the primary residence for both the senior citizen and the property owner;
-The senior citizen and the property owner are related within the third degree of consanguinity or affinity;
-The senior citizen and the property owner are not spouses;
-The property served as the senior citizen's primary residence for at least 6 months prior to January 1 of the year for which the exemption is sought;
-The property serves as the owner's primary residence; and
-The property currently receives either a basic STAR exemption or an enhanced STAR exemption
-For a pro-rated exemption based upon the basic STAR exemption, the income criteria prescribed by paragraph (b-1) of subdivision 3 of this section shall be applied only to the senior citizen and his or her spouse if the property serves as such spouse's primary residence. For a pro-rated exemption based upon the enhanced STAR exemption, the income criteria prescribed by subdivision 4 of this section shall be applied only to the senior citizen and his or her spouse if such spouse is at least 62 years of age as of December 31 of the year preceding the year for which the exemption is sought and the property serves as such spouse's primary residence.
New paragraph (c) provides the method for computing the pro-rated STAR exemption. Each person who satisfies the eligibility requirements of new paragraph (b) is eligible for a pro-rated exemption. For each senior citizen, the pro-rated exemption is computed by multiplying 25% of the pro-rated STAR exemption, basic or enhanced, for which the senior citizen qualified pursuant to paragraph (b) by a fraction, the numerator of which is one, or two if the qualifying senior citizen resides with his or her spouse, and the denominator of which is the sum of the numerator plus the total number of owners and their spouses for which the property serves as their primary residence.
New paragraph (d) limits the number of pro-rated exemptions computed pursuant to new paragraph (c) that a piece of property may receive to two. When more than two senior citizens satisfied the eligibility criteria provided by paragraph (b), the sum of the exemption amounts is divided by the sum of the numerators used to compute the exemption amounts. That result is multiplied by 2, which is the amount of the pro-rated STAR exemption.
New paragraph (e) provides that if a person who met the eligibility criteria prescribed by paragraph (b) of this subdivision dies and such person resided with his or her spouse at the time of his or her death, such spouse shall be deemed to have attained the age of 65 for purposes of determining eligibility pursuant to paragraph (b) of this subdivision if such spouse has attained the age of 62 as of December 31 of the year preceding the year for which the exemption is sought.
New paragraph (f) provides that notwithstanding any law to the contrary, an annual application for the pro-rated STAR exemption shall be filed by all of the property owners and all of the senior citizens who met the eligibility criteria of paragraph (b) of this subdivision.
New paragraph (g) provides that except as provided in new subdivision (4-a) or as inconsistent with this new subdivision, all other provisions of section 425 shall apply to the pro-rated STAR exemption.
Section two of this bill provides that this act shall take effect on the first of January next succeeding the date on which it shall have become a law.
Existing law
Currently, section 425 of the Real Property Tax Law provides the STAR exemption for homeowners, but does not provide an exemption for homeowners who open their homes to their senior citizen relatives.
Justification
The children who have assumed the role of caregiver for their aging parents while simultaneously caring for their own children are members of the "sandwich generation." Each year, the number of people in the sandwich generation grows.
According to the (MetLife Study of Caregiving Costs to Working Caregivers: Double Jeopardy for Baby Boomers Caring for Their Parents), which was published in 2011, almost 10 million adult children who are over the age of 50 years were caregivers for their aging parents. This role is stressful, both personally and financially. Many caregivers are forced to either give up their careers or reduce their work hours to part time. The financial impact is significant, MetLife found that for women, the total impact of lost wages, pensions, and Social Security benefits due to caregiving was $324,044. For male caregivers, the financial impact was $283,716 This bill will help with the financial burden associated with being a caregiver by providing some tax relief.
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 a law.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.