(a) "Commissioner of finance" means the commissioner of finance of a
city having a population of one million or more, or his or her designee.
(b) "Department of finance" means the department of finance of a city
having a population of one million or more.
(c) "Net real property tax" means the real property tax assessed on
class one property after deduction for any exemption or abatement
received pursuant to this chapter.
3. Additional tax. A local law enacted pursuant to this section may
provide for a real property tax surcharge in an amount (a) up to
twenty-five percent of net real property taxes for the fiscal year
beginning July first, two thousand three, and (b) up to fifty percent of
net real property taxes for fiscal years beginning on or after July
first, two thousand four.
4. Property subject to additional tax. Such surcharge shall be imposed
on class one property, excluding vacant land, that provides rental
income and is not the primary residence of the owner or owners of such
class one property, or the primary residence of the parent or child of
such owner or owners.
5. Rental income, primary residence and/or relationship to owner or
owners. The property shall be deemed to be the primary residence of the
owner or owners thereof, if such property would be eligible to receive
the real property tax exemption pursuant to section four hundred
twenty-five of this chapter, regardless of whether such owner or owners
has filed an application for, or the property is currently receiving
such exemption. Proof of primary residence and the resident's or
residents' relationship to the owner or owners and the absence of rental
income shall be in the form of a certification as required by local law
or the rules of the commissioner.
6. Rules. The department of finance of any city enacting a local law
pursuant to this section shall have, in addition to any other functions,
powers and duties which have been or may be conferred on it by law, the
power to make and promulgate rules to carry out the purposes of this
section including, but not limited to, rules relating to the timing,
form and manner of any certification required to be submitted under this
section.
7. Penalties. (a) Notwithstanding any provision of any general,
special or local law to the contrary, an owner or owners shall be
personally liable for any taxes owed pursuant to this section whenever
such owner or owners fail to comply with this section or the local law
or rules promulgated thereunder, or makes such false or misleading
statement or omission and the commissioner determines that such act was
due to the owner or owners' willful neglect, or that under such
circumstances such act constituted a fraud on the department. The remedy
provided herein for an action in personam shall be in addition to any
other remedy or procedure for the enforcement of collection of
delinquent taxes provided by any general, special or local law.
(b) If the commissioner should determine, within three years from the
filing of an application or certification pursuant to this section, that
there was a material misstatement on such application or certification,
he or she shall proceed to impose a penalty tax against the property of
five hundred dollars, in accordance with the local law or rules
promulgated hereunder.
8. Cessation of use. In the event that a property granted an exemption
from taxation pursuant to this section ceases to be used as the primary
residence of such owner or owners or his, her or their parent or child,
such owner or owners shall so notify the commissioner of finance.