(b) Base figure. Subject to the adjustments prescribed below, the base
figure for the exemption shall be as follows:
(i) For the nineteen hundred ninety-eight--ninety-nine school year,
the base figure shall be fifty thousand dollars for eligible senior
citizens; no exemption shall be allowed for other persons.
(ii) For the nineteen hundred ninety-nine--two thousand school year,
the base figure shall be fifty thousand dollars for eligible senior
citizens, and ten thousand dollars for other eligible persons.
(iii) For the two thousand--two thousand one school year, the base
figure shall be fifty thousand dollars for eligible senior citizens, and
twenty thousand dollars for other eligible persons.
(iv) For the two thousand one--two thousand two school year through
the two thousand five--two thousand six school year, inclusive, the base
figure shall be fifty thousand dollars for eligible senior citizens, and
thirty thousand dollars for other eligible persons.
(v) For the two thousand six--two thousand seven school year through
the two thousand eight--two thousand nine school year, inclusive, the
base figure for the enhanced STAR exemption shall be fifty-six thousand
eight hundred dollars, and the base figure for the basic STAR exemption
shall be thirty thousand dollars.
(vi) For the two thousand nine--two thousand ten school year and
thereafter:
(A) The base figure for the enhanced STAR exemption shall equal the
prior year's base figure multiplied by the percentage increase in the
consumer price index for urban wage earners and clerical workers (CPI-W)
published by the United States department of labor, bureau of labor
statistics, for the third quarter of the calendar year preceding the
applicable school year, as compared to the third quarter of the prior
calendar year. If a base figure as so determined is not exactly equal to
a multiple of one hundred dollars, it shall be rounded to the nearest
multiple of one hundred dollars. It shall be the responsibility of the
commissioner to annually determine such base figures.
(B) The base figure for the basic STAR exemption shall be thirty
thousand dollars.
(c) Sales price adjustment. (i) The base figure specified in paragraph
(b) of this subdivision shall be increased for the counties and cities
specified herein by multiplying that figure by the locally-applicable
"sales price differential factor" determined by the commissioner. In no
case shall the base figure specified in paragraph (b) of this
subdivision be decreased as the result of this adjustment. A separate
sales price differential factor shall be determined for each county in
which the median sales price of residential real property exceeds the
statewide median sales price of such property as determined herein,
except that in the case of a county wholly contained within the
boundaries of a city, a sales price differential factor shall be
determined for the city as a whole rather than for any individual county
therein. This factor shall be determined as provided herein.
(ii) In the case of a county, the median sales price of residential
real property sold within the county in each of the three preceding
calendar years shall be determined, and the average of those three
medians shall be calculated. The data used for this purpose shall be
based upon arm's length transfers within the county reported pursuant to
section three hundred thirty-three of the real property law, excluding
sales data which the commissioner finds to be unreliable, and including
those adjustments requested by local assessors which the commissioner
finds warranted.
(iii) In the case of a city which includes one or more entire counties
within its boundaries, the median sales price of residential real
property sold within the city in each of the three preceding calendar
years shall be determined, and the average of those three medians shall
be determined. The data used for this purpose shall be based upon
transfers reported to the city pursuant to a special or local law,
excluding sales data which the commissioner finds to be unreliable, and
including those adjustments requested by the local assessor which the
commissioner finds warranted.
(iv) The median sales price of residential real property based on
transactions reported pursuant to section three hundred thirty-three of
the real property law in each of those same three calendar years shall
be determined, subject to the exclusions and adjustments described
above, and the average of those three medians shall be calculated.
(v) The average determined in subparagraph (ii) or (iii) of this
paragraph, whichever is applicable, shall be divided by the average
determined in subparagraph (iv) of this paragraph; provided that in no
event shall the result be less than one.
(vi) The sales price of property which is held in condominium or
cooperative form of ownership shall not be considered when determining
median sales prices pursuant to this paragraph.
(d) Equalization adjustment. To account for the variance in the level
of assessment among assessing units, the figure determined in paragraph
(c) of this subdivision shall be multiplied by an "equalization factor,"
which shall be the appropriate state equalization rate or special
equalization rate established by the commissioner. Provided, that in the
case of a special assessing unit, (i) the equalization factor for class
one in each school district portion shall be the class equalization rate
for class one in the portion, and (ii) the equalization factor for class
two in each school district portion shall be the equalization factor for
class one in the portion, multiplied by the latest tax rate for class
one in the portion, and then divided by the latest tax rate for class
two in the portion. Provided further, that in any instance when school
district taxes are levied upon an assessment roll which predates the
latest final assessment roll, the equalization factor shall be the state
equalization rate for the assessment roll upon which school district
taxes are to be levied.
(e) Application of "floor". (i) For the two thousand eight--two
thousand nine school year, the result obtained in paragraph (d) of this
subdivision may not be less than ninety percent of the exempt amount
determined for the prior levy, unless the level of assessment in the
assessing unit, or in class one in a special assessing unit, has changed
by five percent or more, in which case the result obtained in paragraph
(d) of this subdivision for the assessing unit, or for class one in a
special assessing unit, may not be less than ninety percent of the
product of the exempt amount determined for the prior levy multiplied by
the applicable change in level of assessment factor.
(ii) For the two thousand nine--two thousand ten and subsequent school
years, the result obtained in paragraph (d) of this subdivision may not
be less than eighty-nine percent of the exempt amount determined for the
prior levy, unless the level of assessment in the assessing unit, or in
class one in a special assessing unit, has changed by five percent or
more, in which case the result obtained in paragraph (d) of this
subdivision for the assessing unit, or for class one in a special
assessing unit, may not be less than eighty-nine percent of the product
of the exempt amount determined for the prior levy multiplied by the
applicable change in level of assessment factor.
(f) Rounding. The result obtained in paragraph (d) or (e) of this
subdivision, whichever is applicable, shall be rounded to the nearest
multiple of ten dollars, and shall thereupon be the exempt amount for
the assessing unit for the levy of school district taxes on the
corresponding assessment roll.
(g) Computation and certification by commissioner. It shall be the
responsibility of the commissioner to compute the exempt amount for each
assessing unit in each county in the manner provided herein, and to
certify the same to the assessor of each assessing unit and to the
county director of real property tax services of each county. Such
certification shall be made at least twenty days before the last date
prescribed by law for the filing of the tentative assessment roll.
Provided, however, that where school taxes are levied on a prior year
assessment roll, or on a final assessment roll that was filed more than
one year after the tentative roll was filed, such certification shall be
made no later than fifteen days after the publication of the data needed
to compute the base figure for the enhanced STAR exemption pursuant to
clause (A) of subparagraph (vi) of paragraph (b) of this subdivision,
and provided further, that upon receipt of such certification, the
assessor shall thereupon be authorized and directed to correct the
assessment roll to reflect the exempt amount so certified, or, if
another person has custody or control of the assessment roll, to direct
that person to make the appropriate corrections.
(h) Recertification required in certain cases. If the commissioner
determines that an exempt amount calculated pursuant to this section
differs from the exempt amount that should have been so calculated by
five percent or more, due to a change in level of assessment, inaccurate
or incomplete data, or other causes, it shall recompute the exempt
amount for that assessing unit and shall certify the recomputed exempt
amount to the assessor and the county director of real property tax
services. The assessor shall thereupon be authorized and directed to
correct the assessment roll accordingly, or, if another person has
custody or control of the assessment roll, to direct that person to make
the appropriate corrections. If the corrections are not made before
school taxes are levied, the difference between the original exempt
amount and the recertified exempt amount for each affected parcel shall
be deemed a "clerical error" for purposes of title three of article five
of this chapter, and shall be corrected accordingly.
(i) Villages. No exempt amount shall be determined under this section
for a village, unless the boundaries of the village are coterminous with
those of a union free school district.
(j) Certain city school districts. The commissioner shall adjust the
exempt amount for each city containing a school district which is
subject to article fifty-two of the education law, to account for the
fact that the school district is fiscally dependent upon the city. This
adjustment shall be made by multiplying the exempt amount that would
otherwise be determined for the city by sixty-seven percent, or, in the
case of a city with a population of one million or more, by fifty
percent. The exempt amount resulting from this calculation shall be
applied both to the assessed value for city school district purposes and
to the assessed value for general city purposes, and state aid shall be
payable on the combined tax savings in the manner provided by section
thirteen hundred six-a of this chapter.
(k) Cooperative apartment corporations. (i) For the purposes of this
section, 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, shall be deemed to be vested in
such tenant-stockholder.
(ii) 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 entire
parcel and the buildings thereon owned by such cooperative apartment
corporation in which such tenant-stockholder resides shall be subject to
exemption from taxation pursuant to this section and any exemption so
granted shall be credited by the appropriate taxing authority against
the assessed valuation of such real property. Upon the completion of the
final assessment roll, or as soon thereafter as is practicable, the
assessor shall forward to the cooperative apartment corporation a
statement setting forth the exemption attributable to each eligible
tenant-stockholder. The reduction in real property taxes attributable to
each eligible tenant-stockholder shall be credited by the cooperative
apartment corporation against the amount of such taxes otherwise payable
by or chargeable to such tenant-stockholder. The assessor shall also
forward to the commissioner, at the time and in the manner prescribed by
the commissioner, a statement setting forth the taxable assessed value
attributable to each tenant-stockholder, without regard to the
exemption, and such other information as the commissioner shall deem
necessary to properly calculate the STAR credit authorized by subsection
(eee) of section six hundred six of the tax law for those
tenant-stockholders who qualify for it.
(iii) (A) Every cooperative apartment corporation, upon receiving an
exemption pursuant to this section, shall provide to each eligible
tenant-stockholder a written statement detailing: the full amount of the
exemption to be credited to such tenant-stockholder, including
information on how such amount was calculated pursuant to subparagraph
(ii) of this paragraph, and how the exemption is being credited to such
eligible tenant-stockholder, pursuant to the requirements of clause (B)
of this subparagraph. Such written statement shall be mailed to each
eligible tenant-stockholder no later than sixty days after such
cooperative apartment corporation receives such exemption.
(B) Every cooperative apartment corporation, upon receiving an
exemption pursuant to this section, shall credit the full amount of the
STAR exemption to each eligible tenant-stockholder in one of the
following ways:
(I) A full credit against the fees and charges of any single month
within the current assessment cycle with any balance to be so credited
in full for the following month or months until exhausted;
(II) A proportional credit over six months during the current
assessment cycle;
(III) A proportional credit over the twelve months during the current
assessment cycle;
(IV) A payment of the total savings to the tenant-stockholder as an
up-front, lump sum payment.
Such exemption shall be fully credited to each tenant-stockholder
during the assessment cycle for which each tenant-stockholder was
eligible for STAR.
(iv) Notwithstanding the provisions of subparagraph (ii) of this
paragraph, when a cooperative apartment corporation is incorporated as a
mutual company pursuant to the private housing finance law, and the
granting of an exemption pursuant to this section would not inure to the
benefit of eligible tenant-stockholders because the real property of
such corporation is subject to an exemption from taxation pursuant to
section thirty-three, ninety-three, one hundred twenty-five or five
hundred fifty-six of the private housing finance law, an alternative
benefit shall be provided to such corporation and passed through to
eligible tenant-stockholders in the manner provided by this subdivision.
Such alternative benefit shall consist of a reduction in the real
property taxes or payments in lieu of taxes that would otherwise be
payable on account of such real property. The total amount of such
reduction shall be the sum of the "STAR savings" for all of the
cooperative apartment units that are occupied by one or more eligible
tenant-stockholders. The STAR savings for each such unit shall be equal
to one-third of the exempt amount determined pursuant to paragraph (a)
of this subdivision for purposes of the basic or enhanced exemption, as
the case may be, multiplied by the applicable school tax rate, or in the
case of a school district described in paragraph (j) of this
subdivision, by the applicable city tax rate. Provided, however, in no
case shall the STAR savings for any individual unit exceed the amount
payable by or chargeable to the unit on account of real property taxes
or payments in lieu of taxes. The STAR savings so determined for each
unit shall be credited by the cooperative apartment corporation against
the real property taxes or payments in lieu of taxes otherwise payable
by or chargeable to the eligible tenant-stockholders. The total of the
alternative benefits provided pursuant to this subparagraph shall be a
state charge which shall be payable in the same manner that school
districts are compensated pursuant to section thirteen hundred six-a of
this chapter for tax savings attributable to exemptions granted pursuant
to this section.
(l) Trailers and mobile homes. (i) When the value of a trailer or
mobile home has been included in the assessment of the land on which it
is located pursuant to paragraph (g) of subdivision twelve of section
one hundred two of this chapter, the provisions of this paragraph shall
apply.
(ii) If the owner of the trailer or mobile home also owns the land, he
or she may apply for exemption pursuant to this section in the same
manner as any other homeowner.
(iii) If the owner of the trailer or mobile home does not own the
land, he or she may apply for exemption pursuant to this section only
upon the trailer or mobile home. If granted, only the portion of the
assessment of the parcel attributable to the trailer or mobile home
shall be subject to exemption from taxation pursuant to this section. In
no event shall the exemption exceed the total assessed value
attributable to the trailer or mobile home. The exemption shall be
credited by the appropriate taxing authority against the assessed
valuation of the parcel. Upon the completion of the final assessment
roll, or as soon thereafter as is practicable, the assessor shall
forward to the landowner a statement setting forth the exemption
attributable to each eligible trailer or mobile home. The reduction in
real property taxes attributable to each eligible trailer or mobile home
shall be credited by the landowner against the rent payable on account
of such trailer or mobile home, subject to the provisions of subdivision
w of section two hundred thirty-three of the real property law.
(iv) Beginning with assessment rolls used to levy school district
taxes for the two thousand twenty-two--two thousand twenty-three school
year, no exemption shall be granted pursuant to this section to a mobile
home that is described in this paragraph. Owners of such property may
claim the credit authorized by subsection (eee) of section six hundred
six of the tax law in the manner prescribed therein. The commissioner
shall develop a process to automatically switch qualified exemption
recipients into the STAR credit, and to request additional information
from those exemption recipients whose credit eligibility cannot be
independently confirmed. Each affected individual shall be notified of
the switch as soon as practicable. Once the individual receives a STAR
credit check and deposits or endorses it, he or she shall be deemed to
have consented to the switch and shall not be permitted to switch back
to the exemption.
3. Eligibility requirements. (a) Property use. To qualify for
exemption pursuant to this section, the property must be a one, two or
three family residence, a farm dwelling or residential property held in
condominium or cooperative form of ownership. If the property is not an
eligible type of property, but a portion of the property is partially
used by the owner as a primary residence, that portion which is so used
shall be entitled to the exemption provided by this section; provided
that in no event shall the exemption exceed the assessed value
attributable to that portion.
(b) Primary residence. The property must serve as the primary
residence of one or more of the owners thereof.
(b-1) Income. For final assessment rolls to be used for the levy of
taxes for the two thousand eleven-two thousand twelve through two
thousand eighteen-two thousand nineteen school years, the parcel's
affiliated income may be no greater than five hundred thousand dollars,
as determined by the commissioner pursuant to subdivision fourteen of
this section or section one hundred seventy-one-u of the tax law, in
order to be eligible for the basic exemption authorized by this section.
Beginning with the two thousand nineteen-two thousand twenty school
year, for purposes of the exemption authorized by this section, the
parcel's affiliated income may be no greater than two hundred fifty
thousand dollars, as so determined. As used herein, the term "affiliated
income" shall mean the combined income of all of the owners of the
parcel who resided primarily thereon on the applicable taxable status
date, and of any owners' spouses residing primarily thereon. For
exemptions on final assessment rolls to be used for the levy of taxes
for the two thousand eleven-two thousand twelve school year, affiliated
income shall be determined based upon the parties' incomes for the
income tax year ending in two thousand nine. In each subsequent school
year, the applicable income tax year shall be advanced by one year. The
term "income" as used herein shall have the same meaning as in
subdivision four of this section.
(c) Trusts. If legal title to the property is held by one or more
trustees, the beneficial owner or owners shall be deemed to own the
property for purposes of this subdivision.
(d) Farm dwellings not owned by the resident. (i) If legal title to
the farm dwelling is held by an S-corporation or by a C-corporation, the
exemption shall be granted if the property serves as the primary
residence of a shareholder of such corporation.
(ii) If the legal title to the farm dwelling is held by a partnership,
the exemption shall be granted if the property serves as the primary
residence of one or more of the partners.
(iii) If the legal title to the farm dwelling is held by a limited
liability company, the exemption shall be granted if the property serves
as the primary residence of one or more of the owners.
(iv) Any information deemed necessary to establish shareholder,
partner or owner status for eligibility purposes shall be considered
confidential and exempt from the freedom of information law.
(e) Dwellings owned by limited partnerships. (i) If legal title to a
dwelling is held by a limited partnership, the exemption shall be
granted if the property serves as the primary residence of one or more
of the partners, provided that the limited partnership which holds title
to the property does not engage in any commercial activity, that the
limited partnership was lawfully created to hold title solely for estate
planning and asset protection purposes, and that the partner or partners
who primarily reside thereon personally pay all of the real property
taxes and other costs associated with the property's ownership.
(ii) Any information deemed necessary to establish partner status for
eligibility purposes shall be considered confidential and exempt from
the freedom of information law.
4. Senior citizens. The enhanced exemption for property owned by
senior citizens shall be provided where all of the following
requirements are satisfied:
(a) Age. (i) All of the owners must be at least sixty-five years of
age or older as of the date specified herein, or in the case of property
owned by husband and wife or by siblings, one of the owners must be at
least sixty-five years of age as of that date and the property must
serve as the primary residence of that owner. For the two thousand--two
thousand one school year, eligibility for the exemption shall be based
upon age as of December thirty-first, two thousand. For each subsequent
school year, the applicable date shall be advanced by one year.
(ii) The term "siblings" as used herein shall have the same meaning as
set forth in section four hundred sixty-seven of this article.
(iii) In the case of property owned by husband and wife, one of whom
is sixty-five years of age or over, the exemption, once granted, shall
not be rescinded solely because of the death of the older spouse so long
as the surviving spouse is at least sixty-two years of age as of the
date specified in this paragraph.
(b) Income. (i) The combined income of all of the owners, and of any
owners' spouses residing on the premises, may not exceed the applicable
income standard specified herein.
(A) For final assessment rolls to be completed prior to two thousand
three, eligibility for the exemption shall be based upon income for the
income tax year immediately preceding the date of making application for
the exemption, and the income standard shall be sixty thousand dollars.
(B) For final assessment rolls to be completed in two thousand three,
eligibility for the exemption shall be based upon income for the income
tax year ending in two thousand one, and the income standard shall be
the previously-applicable income standard of sixty thousand dollars
increased by the cost-of-living-adjustment percentage for two thousand
one. For purposes of this computation, the cost-of-living-adjustment
percentage for two thousand one shall be equal to the "applicable
increase percentage" used by the United States commissioner of social
security to determine monthly social security benefits payable in two
thousand one to individuals, as provided by subsection (i) of section
four hundred fifteen of title forty-two of the United States code.
(C) For final assessment rolls to be completed in each ensuing year,
the applicable income tax year, cost-of-living-adjustment percentage and
applicable increase percentage shall all be advanced by one year, and
the income standard shall be the previously-applicable income standard
increased by the new cost-of-living-adjustment percentage. If there
should be a year for which there is no applicable increase percentage
due to a general benefit increase as defined by subdivision three of
subsection (i) of section four hundred fifteen of title forty-two of the
United States code, the applicable increase percentage for purposes of
this computation shall be deemed to be the percentage which would have
yielded that general benefit increase.
(C-1) Notwithstanding the provisions of clause (C) of this
subparagraph, in the event that a senior citizen, as a result of the
death of his or her spouse, experiences a decrease in income such that
he or she would qualify for the enhanced exemption if his or her
eligibility were based upon his or her income for the income tax year
immediately subsequent to the income tax year that would otherwise be
applicable pursuant to clause (C) of this subparagraph, then the
eligibility of such senior citizen for the enhanced exemption on the
applicable taxable status date shall be determined based upon his or her
income for such later income tax year; provided that the income tax
return for such year has been filed with the appropriate state or
federal agency and a copy thereof has been filed with the assessor on or
before the applicable taxable status date, or other documentation of
income eligibility has been filed with the assessor on or before the
applicable taxable status date.
(D) In no case shall an income standard be decreased from one
assessment roll to the next.
(E) If the income standard initially computed for an assessment roll
is not exactly equal to a multiple of fifty dollars, it shall be rounded
up to the next higher multiple of fifty dollars.
(F) It shall be the responsibility of the commissioner to annually
determine all income standards pursuant to this subdivision beginning
with final assessment rolls to be completed in two thousand three, to
cause notice thereof to be published in the state register, to
disseminate notice thereof to assessors, county directors of real
property tax services, and such other parties as it may deem
appropriate, and to post notice thereof on its website.
(ii) The term "income" as used herein shall mean the "adjusted gross
income" for federal income tax purposes as reported on the applicant's
federal or state income tax return for the applicable income tax year,
subject to any subsequent amendments or revisions, reduced by
distributions, to the extent included in federal adjusted gross income,
received from an individual retirement account and an individual
retirement annuity; provided that if no such return was filed for the
applicable income tax year, "income" shall mean the adjusted gross
income that would have been so reported if such a return had been filed.
Provided further, that effective with exemption applications for final
assessment rolls to be completed in two thousand nineteen, where an
income-eligibility determination is wholly or partly based upon the
income of one or more individuals who did not file a return for the
applicable income tax year, then in order for the application to be
considered complete, each such individual must file a statement with the
department showing the source or sources of his or her income for that
income tax year, and the amount or amounts thereof, that would have been
reported on such a return if one had been filed. Such statement shall be
filed at such time, and in such form and manner, as may be prescribed by
the department, and shall be subject to the secrecy provisions of the
tax law to the same extent that a personal income tax return would be.
The department shall make such forms and instructions available for the
filing of such statements. The local assessor shall upon the request of
a taxpayer assist such taxpayer in the filing of the statement with the
department.
(iii) Any information or documentation submitted by the applicant in
connection with applications for or renewal of the exemption authorized
under this section to verify income, shall be deemed confidential, and
the assessor, any municipal officer or municipal employees are
prohibited from disclosing any such information, except for any
disclosure necessary in the performance of their official duties, and
except as authorized by subparagraph (v) of this paragraph. Any
unauthorized disclosure of such information shall be deemed a violation
of section eight hundred five-a of the general municipal law.
(iv) (A) Effective with applications for the enhanced exemption on
final assessment rolls to be completed in two thousand nineteen, the
application form shall indicate that all owners of the property and any
owners' spouses residing on the premises must have their income
eligibility verified annually by the department and must furnish their
taxpayer identification numbers in order to facilitate matching with
records of the department. The income eligibility of such persons shall
be verified annually by the department, and the assessor shall not
request income documentation from them. All applicants for the enhanced
exemption and all assessing units shall be required to participate in
this program, which shall be known as the STAR income verification
program. The commissioner may, in his or her discretion, extend the
enrollment period of the STAR income verification program for property
owners whose property received the enhanced exemption on the final
assessment roll completed in two thousand eighteen but who failed to
enroll in sufficient time to have the exemption continued on the final
assessment roll completed in two thousand nineteen. Where appropriate,
the commissioner is further authorized to remit directly to such a
property owner a payment in an amount equal to the difference between
the school tax bill that the property owner actually received and the
school tax bill that the property owner would have received had he or
she enrolled in a timely manner.
(B) Effective with final assessment rolls to be completed in two
thousand twenty, the commissioner shall also annually verify the
eligibility of such persons for the enhanced exemption on the basis of
age and residency as well as income.
(C) Where the commissioner finds that the enhanced exemption should be
replaced with a basic exemption because the property is only eligible
for a basic exemption, he or she shall provide the property owners with
notice and an opportunity to submit to the commissioner evidence to the
contrary. Where the commissioner finds that the enhanced exemption
should be removed or denied without being replaced with a basic
exemption because the property is not eligible for either exemption, he
or she shall provide the property owners with notice and an opportunity
to submit to the commissioner evidence to the contrary. In either case,
if the owners fail to respond to such notice within forty-five days from
the mailing thereof, or if their response does not show to the
commissioner's satisfaction that the property is eligible for the
exemption claimed, the commissioner shall direct the assessor or other
person having custody or control of the assessment roll or tax roll to
either replace the enhanced exemption with a basic exemption, or to
remove or deny the enhanced exemption without replacing it with a basic
exemption, as appropriate. The commissioner shall further direct such
person to correct the roll accordingly. Such a directive shall be
binding upon the assessor or other person having custody or control of
the assessment roll or tax roll, and shall be implemented by such person
without the need for further documentation or approval.
(D) Notwithstanding any provision of law to the contrary, neither an
assessor nor a board of assessment review has the authority to consider
an objection to the replacement or removal or denial of an exemption
pursuant to this subdivision, nor may such an action be reviewed in a
proceeding to review an assessment pursuant to title one or one-A of
article seven of this chapter. Such an action may only be challenged
before the department. If a taxpayer is dissatisfied with the
department's final determination, the taxpayer may appeal that
determination to the state board of real property tax services in a form
and manner to be prescribed by the commissioner. Such appeal shall be
filed within forty-five days from the issuance of the department's final
determination. If dissatisfied with the state board's determination, the
taxpayer may seek judicial review thereof pursuant to article
seventy-eight of the civil practice law and rules. The taxpayer shall
otherwise have no right to challenge such final determination in a court
action, administrative proceeding or any other form of legal recourse
against the commissioner, the department, the state board of real
property tax services, the assessor or other person having custody or
control of the assessment roll or tax roll regarding such action.
(c) Absence from residence. An exemption may be granted pursuant to
this subdivision notwithstanding the fact that an owner is absent from
the residence while receiving health-related care as an inpatient of a
residential health care facility, as defined in section twenty-eight
hundred one of the public health law, provided that during such
confinement such property is not occupied by anyone other than the
spouse or co-owner of such owner.
4-a. Special situations. (a) Married couples with two or more
residences. A husband and wife may receive an exemption pursuant to this
section on no more than one residence, unless living apart due to legal
separation.
(b) Parcels with two or more separate residences thereon. When a
parcel includes two or more physically separate residences, an exemption
may be granted pursuant to this section to each residence which (i)
serves as the primary residence of at least one of the owners of the
parcel, and (ii) would be eligible for an exemption pursuant to this
section if it were separately assessed and owned exclusively by the
owner or owners who reside therein, provided that only one such
exemption may be applied to the land included within the parcel.
(c) Residences split by municipal boundaries. When an applicant's
primary residence is located in two or more municipal corporations, each
portion of the residence shall be eligible for the exemption provided by
this section if the eligibility requirements are otherwise satisfied,
provided that the exemption shall be pro-rated in the same manner as the
full value of the property was apportioned to each municipal corporation
by the respective assessors, so that the total tax savings resulting
from the exemption does not exceed the tax savings that would be
received if the residence were contained entirely within one municipal
corporation. The provisions of this paragraph shall not apply when the
land associated with a residential structure is located in more than one
municipal corporation, but the residential structure itself is located
entirely within one of those municipal corporations.
5. Notice requirement. (a) Generally. Every school district shall
notify, or cause to be notified, each person owning residential real
property in the school district of the provisions of this section. The
provisions of this subdivision may be met by a notice sent to such
persons in substantially the following form: "Residential real property
may qualify for a partial exemption from school district taxes under the
New York state school tax relief (STAR) program. To receive such
exemption, owners of qualifying property must file an application with
their local assessor on or before the applicable taxable status date.
For further information, please contact your local assessor."
(d) Third party notice. (i) A senior citizen eligible for the enhanced
exemption may request that a notice be sent to an adult third party.
Such request shall be made on a form prescribed by the commissioner and
shall be submitted to the assessor of the assessing unit in which the
eligible taxpayer resides no later than sixty days before the first
taxable status date to which it is to apply. Such form shall provide a
section whereby the designated third party shall consent to such
designation. Such request shall be effective upon receipt by the
assessor. The assessor shall maintain a list of all eligible property
owners who have requested notices pursuant to this paragraph and shall
furnish a copy of such list to the department upon request.
(ii) A notice shall be sent to the designated third party whenever the
assessor or department sends a notice to the senior citizen regarding
the possible removal of the enhanced STAR exemption. When the exemption
is subject to removal because the commissioner has determined that the
income eligibility requirement is not satisfied, such notice shall be
sent to the third party by the department. When the exemption is subject
to removal because the assessor has determined that any other
eligibility requirement is not satisfied, such notice shall be sent to
the third party by the assessor. Such notice shall read substantially as
follows:
"On behalf of (identify senior citizen or citizens), you are advised
that his, her, or their enhanced STAR exemption is at risk of being
removed. You are encouraged to make sure that he, she or they are aware
of that fact, and to offer assistance if needed, although you are under
no legal obligation to do so. Your cooperation and assistance are
greatly appreciated."
(iii) The obligation to mail such notices shall cease if the eligible
taxpayer cancels the request or ceases to qualify for the enhanced STAR
exemption.
(e) Notice not mailed or received. Failure to mail any notice required
by this subdivision, or the failure of a party to receive same, shall
not affect the validity of the levy, collection, or enforcement of taxes
on property owned by such person, or in the case of a third party
notice, on property owned by the senior citizen.
6. Application procedure. (a) Generally. All owners of the property
who primarily reside thereon and who are not subject to the provisions
of subdivision sixteen of this section must jointly file an application
for exemption with the assessor on or before the appropriate taxable
status date. Such application may be filed by mail if it is enclosed in
a postpaid envelope properly addressed to the appropriate assessor,
deposited in a post office or official depository under the exclusive
care of the United States postal service, and postmarked by the United
States postal service on or before the applicable taxable status date.
Each such application shall be made on a form prescribed by the
commissioner, which shall require the applicant or applicants to agree
to notify the assessor if their primary residence changes while their
property is receiving the exemption. The assessor may request that proof
of residency be submitted with the application. If the applicant
requests a receipt from the assessor as proof of submission of the
application, the assessor shall provide such receipt. If such request is
made by other than personal request, the applicant shall provide the
assessor with a self-addressed postpaid envelope in which to mail the
receipt.
(a-1) Final date for exemption application in the city of New York.
Notwithstanding the provisions of this section or any other provision of
law, in the city of New York, applications for the exemption authorized
pursuant to this section shall be considered timely filed if they are
filed on or before the fifteenth day of March of the appropriate year
and in such city all references in this section to taxable status date
shall be deemed to refer to the fifteenth day of March of the
appropriate year.
(a-2) Notwithstanding any provision of law to the contrary, where an
application for the "enhanced" STAR exemption authorized by subdivision
four of this section has not been filed on or before the taxable status
date, and the owner believes that good cause existed for the failure to
file the application by that date, the owner may, no later than the last
day for paying school taxes without incurring interest or penalty,
submit a written request to the commissioner asking him or her to extend
the filing deadline and grant the exemption. Such request shall contain
an explanation of why the deadline was missed, and shall be accompanied
by an application, reflecting the facts and circumstances as they
existed on the taxable status date. After consulting with the assessor,
the commissioner may extend the filing deadline and grant the exemption
if the commissioner is satisfied that (i) good cause existed for the
failure to file the application by the taxable status date, and that
(ii) the applicant is otherwise entitled to the exemption. The
commissioner shall mail notice of his or her determination to such owner
and the assessor. If the determination states that the commissioner has
granted the exemption, the assessor shall thereupon be authorized and
directed to correct the assessment roll accordingly, or, if another
person has custody or control of the assessment roll, to direct that
person to make the appropriate corrections. Provided, however, that if
the assessment roll cannot be corrected in time for the exemption to
appear on the applicant's school tax bill, the commissioner shall be
authorized to remit directly to the applicant the tax savings that the
STAR exemption would have yielded if it had appeared on the applicant's
tax bill. The amounts so payable shall be paid from the account
established for the payment of STAR benefits to late registrants
pursuant to subparagraph (iii) of paragraph (a) of subdivision fourteen
of this section.
(b) Approval or denial of application. If the assessor is satisfied
that the applicant or applicants are entitled to an exemption pursuant
to this section, he or she shall approve the application and such real
property shall thereafter be exempt from school district taxation as
provided herein. If the assessor determines that the applicant or
applicants are not entitled to an exemption pursuant to this section, he
or she shall, not later than ten days prior to the date for hearing
complaints in relation to assessments, mail to each applicant not
entitled to the exemption a notice of denial of that application for the
exemption herein for that year; except that in the city of New York,
such notice shall be mailed not later than thirty days prior to the
final date for filing an assessment appeal as set forth in paragraph
(b-1) of this subdivision. The notice of denial shall specify each
reason for such denial and shall be sent on a form prescribed by the
commissioner. Failure to mail any such notice of denial or the failure
of any person to receive such notice shall not prevent the levy,
collection and enforcement of the taxes on property owned by such
person.
(b-1) Final date for filing assessment appeal in the city of New York.
Notwithstanding any other provision of law, in the city of New York, the
final date for filing an assessment appeal with respect to the denial of
applications pursuant to this section only shall be the thirty-first day
of May of the appropriate year. With respect to assessment appeals filed
pursuant to this paragraph after the final date for filing an assessment
appeal as set forth in chapter seven of the New York city charter, the
only issues that will be determined by the tax commission are those that
relate to the denial of an application for exemption pursuant to this
section.
(d) Prior year assessment rolls. (i) Where school district taxes are
levied upon prior year assessment rolls, the assessing unit may adopt a
local law allowing STAR applications for each school year to be
submitted on or before the taxable status date of the current year's
assessment roll. Such local law shall apply to assessment rolls based
upon taxable status dates occurring on or after the effective date of
such local law and shall remain applicable thereafter unless and until
it should be repealed or rescinded.
(ii) When such a local law is in effect the eligibility of property
for a STAR exemption for a school year shall be based upon the condition
of the property as of the taxable status date of the prior year's
assessment roll, and the ownership of the property as of the taxable
status date of the current year's assessment roll. When a STAR
application is approved, the prior year's assessment roll shall be
revised accordingly. When a STAR application is denied, the applicant
may seek administrative and judicial review of the denial, subject to
the same timing constraints that apply to persons seeking review of
assessments appearing on the current year's assessment roll.
(iii) For purposes of this paragraph, the term "current year's
assessment roll" means the final assessment roll which is required by
law to be completed in the calendar year that contains the first day of
the school year in question, and the term "prior year's assessment roll"
means the final assessment roll which was required by law to be
completed in the calendar year immediately preceding the calendar year
that contains the first day of the school year in question.
(e) Except in the city of New York, notwithstanding the provisions of
paragraph (a) of this subdivision, an application for such exemption may
be filed with the assessor after the appropriate taxable status date but
not later than the last date on which a petition with respect to
complaints of assessment may be filed, where failure to file a timely
application resulted from: (i) a death of the applicant's spouse, child,
parent, brother or sister; or (ii) an illness of the applicant or of the
applicant's spouse, child, parent, brother or sister, which actually
prevents the applicant from filing on a timely basis, as certified by a
licensed physician. The assessor shall approve or deny such application
as if it had been filed on or before the taxable status date.
7. Entry on assessment roll. (a) The assessed value of any exemption
granted pursuant to this section shall be entered by the assessor on the
assessment roll with the taxable property, with the amount of the
exemption entered in a separate column.
(b) The exemption provided by this section shall be applied after all
other exemptions allowed by law have been subtracted from the total
assessed value of the parcel, notwithstanding the provisions of any law
to the contrary.
(c) In no event shall the exemption authorized by this section exceed
the total assessed value of the parcel less all other exemptions allowed
by law.
(d) Where a person is the owner of a present interest in a parcel
under a life estate, or is a vendee in possession under an installment
contract of sale, or is a beneficial owner under a trust, or resides
primarily in a dwelling which is owned by a corporation or partnership
but is nonetheless eligible for exemption pursuant to paragraph (d) or
(e) of subdivision three of this section, and that person has applied
for and been granted an exemption pursuant to this section, that person
shall be deemed to be the owner of the parcel for purposes of this
section and section five hundred two of this chapter. Provided that
duplicate tax statements shall be sent upon request to the remainderman,
vendor, trustee, or corporation or partnership that owns the dwelling,
whichever is applicable; provided further that the provisions of section
nine hundred twenty-three of this chapter regarding the issuance of
duplicate tax statements in certain cases shall apply to such requests
so far as practicable. Nothing contained in this subdivision shall be
construed as affecting in any way the validity or enforceability of a
real property tax, or the applicability of interest or penalties with
respect thereto, when an owner's name has not been accurately recorded
or when a duplicate tax statement is not sent or received.
8. Effect of exemption. The exemption authorized by this section shall
have the effect specified in section one thousand three hundred six-a of
this chapter. The exemption shall not be considered when determining
state aid to education pursuant to section thirty-six hundred two of the
education law, when determining school district debt limits pursuant to
law, when determining the amount of taxes to be levied by or on behalf
of a school district, when calculating tax rates for a school district,
when apportioning taxes between or among school districts, when
apportioning taxes among classes in a special assessing unit under
article eighteen of this chapter, or when apportioning taxes between
classes in an approved assessing unit under article nineteen of this
chapter.
9-a. Duration of exemption; basic exemption. The basic exemption, once
granted, shall remain in effect until discontinued in the manner
provided in this section.
9-b. Duration of exemption; enhanced exemption. (a) The enhanced
exemption, once granted, shall remain in effect until discontinued in
the manner provided in this section.
(b) The assessor shall review the continued compliance of recipients
of the enhanced exemption with the applicable ownership and residency
requirements to the same extent as if they were receiving a basic STAR
exemption.
10. Proof of residency. (a) Requests. From time to time, the assessor
may request proof of residency from the owner or owners of any property
which is exempt pursuant to this section. In addition, the assessor
shall request proof of residency from any such owner or owners when
requested to do so by the commissioner.
(b) Timing. A request for proof of residency shall be mailed at least
sixty days prior to the ensuing taxable status date. The owner or owners
shall submit proof of their residency to the assessor on or before the
ensuing taxable status date.
(c) Review of submission. The burden shall be on the owner or owners
to establish that the property is their primary residence. If they
submit proof of residency on or before the ensuing taxable status date,
and the submission demonstrates to the assessor's satisfaction that the
property is the primary residence of one or more of the owners thereof,
and if the requirements of this section are otherwise satisfied, the
exemption shall continue in effect on the ensuing tentative assessment
roll. Otherwise, the assessor shall discontinue the exemption on the
next ensuing tentative assessment roll as provided herein, and, where
appropriate, shall proceed as further provided herein.
11. Discontinuance of exemption. (a) Generally. The assessor shall
discontinue any exemption granted pursuant to this section if it appears
that: (i) the property may not be the primary residence of the owner or
owners who applied for the exemption, (ii) title to the property has
been transferred to a new owner or owners, or (iii) the property
otherwise may no longer be eligible for the exemption.
(b) Rights of owners. Upon determining that an exemption granted
pursuant to this section should be discontinued, the assessor shall mail
a notice so stating to the owner or owners thereof at the time and in
the manner provided by section five hundred ten of this chapter. Such
owner or owners shall be entitled to seek administrative and judicial
review of such action in the manner provided by law, provided, that the
burden shall be on such owner or owners to establish eligibility for the
exemption.
(c) Transfers of title. When the assessor has received a report
pursuant to section five hundred seventy-four of this chapter of a
transfer of title to real property which is exempt pursuant to this
section, the assessor shall discontinue the exemption as required by
subdivision sixteen of this section. The assessor shall not implement
the provisions of section five hundred twenty of this chapter upon such
a transfer, except to the extent that the property may also be receiving
one or more other exemptions.
(d) Notice not mailed or received. The failure to mail any such notice
or application, or the failure of the owner or owners to receive the
same, shall not prevent the levy, collection and enforcement of the
payment of the taxes on such real property.
12. Revocation of prior exemptions. (a) Generally. In addition to
discontinuing the exemption on the next ensuing tentative assessment
roll, if the assessor determines that the property improperly received
the exemption on one or more of the six preceding assessment rolls,
provided that final assessment rolls that were filed prior to April
first, two thousand ten shall not be subject to the provisions of this
subdivision, or is advised by the department that the applicable income
standard was not satisfied with regard to a property which received the
enhanced exemption on one or more of those rolls, he or she shall
proceed to revoke the improperly granted prior exemption or exemptions.
If the assessor is advised that the department was unable to verify the
income eligibility of one or more participants in the income
verification program, the assessor shall mail that person or those
persons a notice in a form prescribed by the department requesting that
the person or persons document their income in the same manner and to
the same extent as if the person or persons were submitting an initial
application for the enhanced STAR exemption. If such income
documentation is not provided within forty-five days of such request, or
if the documentation provided does not establish the eligibility of the
person or persons to the assessor's satisfaction, the assessor shall
treat the exemption as an improperly granted exemption and proceed in
the manner provided by this subdivision.
(b) Procedure. The assessed value attributable to each such improperly
granted exemption shall be entered separately on the next ensuing
tentative or final assessment roll. The provisions of section five
hundred fifty-one or five hundred fifty-three of this chapter, relating
to the entry by the assessor of omitted real property on a tentative or
final assessment roll, shall apply so far as practicable to the
revocation procedure in this subdivision, except that:
(i) the tax rate to be applied to any revoked exemption shall be the
tax rate that was applied to the corresponding assessment roll,
(ii) interest shall then be added to each such product at the rate
prescribed by section nine hundred twenty-four-a of this chapter or such
other law as may be applicable for each month or portion thereon since
the levy of taxes upon the assessment roll or rolls upon which the
exemption was granted, and
(iii) for improperly granted STAR exemptions occurring on assessment
rolls filed on and after April first, two thousand thirteen, a
processing fee of five hundred dollars shall be added. Such processing
fee imposed pursuant to this subdivision shall be retained by the
assessing unit and the state shall be entitled to no part thereof.
(c) Rights of owners. Each owner or owners shall be given notice of
the possible revocation under this subdivision of their exemption or
exemptions at the time and in the manner provided by section five
hundred ten or five hundred fifty-three of this chapter, and shall be
entitled to seek administrative and judicial review of such action in
the manner provided by law.
(d) Applicability. The provisions of this subdivision shall not be
applicable to the extent that the prior exemptions shall have been
renounced pursuant to section four hundred ninety-six of this article.
(e) Records retention. Nothing in this section shall be construed to
impose upon an assessor a duty to retain records for a period longer
than the period prescribed pursuant to the arts and cultural affairs
law, or to require an assessor to conduct a review of a taxpayer's
eligibility when the assessor has disposed of the relevant records in
accordance with such law.
13. Penalty for material misstatements. (a) Generally. If the assessor
should determine that there was a material misstatement on an
application for exemption pursuant to this section that was filed on or
after October first, two thousand ten, he or she shall proceed to impose
a penalty tax against the property. If the application was filed prior
to October first, two thousand thirteen, the penalty tax shall be one
hundred dollars, provided that the assessor's determination must be made
within three years of the filing of the application. If the application
was filed on or after October first, two thousand thirteen, the penalty
tax shall be either one hundred dollars or twenty percent of the
improperly received tax savings, whichever is greater not to exceed two
thousand five hundred dollars, provided further that the assessor's
determination must be made within six years of the filing of the
application. An application shall be deemed to contain a material
misstatement for this purpose when either:
(i) the applicant or applicants claimed that the property was their
primary residence, when it was not; or
(ii) the applicant or applicants claimed that they had relinquished
the STAR exemption on their former primary residence, when they knew
they had not; or
(iii) in the case of an application for the enhanced exemption for
property owned by senior citizens, the applicant or applicants
misrepresented their age or income so as to appear eligible for such
exemption, when they were not.
(b) Procedure. When the assessor determines that a penalty tax should
be imposed, the penalty tax shall be entered on the next ensuing
tentative or final assessment roll. The procedures set forth in section
five hundred fifty-one or five hundred fifty-three of this chapter,
relating to the entry by the assessor of omitted real property on a
tentative or final assessment roll, shall apply so far as practicable
when imposing a penalty tax pursuant to this subdivision. Each owner or
owners shall be given notice of the possible imposition of a penalty tax
at the time and in the manner provided by section five hundred ten or
five hundred fifty-three of this chapter, and shall be entitled to seek
administrative and judicial review of such action in the manner provided
by law. Any penalty tax imposed pursuant to this subdivision shall be
retained by the assessing unit and the state shall be entitled to no
part thereof.
(c) Additional consequences. A penalty tax may be imposed pursuant to
this subdivision whether or not the improper exemption has been revoked
in the manner provided by this section. In addition, a person or persons
who are found to have made a material misstatement shall be disqualified
from further exemption pursuant to this section, and if such
misstatement appears on an application filed on or after April first,
two thousand nineteen, from the credit authorized by subsection (eee) of
section six hundred six of the tax law, for a period of six years. In
addition, such person or persons may be subject to prosecution pursuant
to the penal law.
(d) Applicability. The provisions of this subdivision shall not be
applicable to the extent that the prior exemptions shall have been
renounced pursuant to section four hundred ninety-six of this article.
(e) Records retention. Nothing in this section shall be construed to
impose upon an assessor a duty to retain records for a period longer
than the period prescribed pursuant to the arts and cultural affairs
law, or to require an assessor to conduct a review of a taxpayer's
eligibility when the assessor has disposed of the relevant records in
accordance with such law.
(f) Assessor notification. The assessor shall inform the commissioner
whenever a person or persons is found to have made a material
misstatement on an application for the exemption authorized by this
section.
14. STAR registration program. (a) The commissioner shall establish
and implement a program under which all owners of properties initially
applying for and those receiving a basic STAR exemption shall be
required to be registered with the commissioner in the manner, at such
intervals, and by the date or dates prescribed by the commissioner,
provided that:
(i) Owners of properties that are receiving the basic STAR exemption
during the two thousand twelve--two thousand thirteen school year shall
be required to initially register with the commissioner no later than
April first, two thousand fourteen;
(ii) The commissioner shall provide written notice of the registration
requirement to such owners at least sixty days before the registration
deadline established pursuant to subparagraph (i) of this paragraph;
(iii) An owner who fails to register by the registration deadline so
established shall be permitted to file a petition with the commissioner
requesting that the commissioner excuse such failure and accept a late
registration, provided that such petition shall explain why such failure
occurred and shall be filed no later than one year after such deadline,
and provided further that if the commissioner accepts a late
registration after having directed the removal of the Basic STAR
exemption from the property to which the registration pertains, then in
lieu of directing the exemption to be restored, the commissioner is
authorized in his or her discretion to remit directly to the property
owner or owners the tax savings that the exemption would have yielded
had it not been removed, and to further direct the assessor to restore
the exemption on a prospective basis without a new application unless
the assessor has reason to believe that the property owner is no longer
eligible for reasons other than a failure to register;
(iv) After the initial registration program has been implemented, the
commissioner shall endeavor to confirm the continuing eligibility of
STAR recipients through means other than re-registration, such as by
reviewing the relevant data appearing on personal income tax returns.
The commissioner may reinstate the registration requirement, provided
that in no event may the commissioner require registered STAR recipients
to re-register more than once in a three-year period if their primary
addresses have not changed.
(b) Notwithstanding any provision of law to the contrary, the
commissioner shall direct the removal or denial of a STAR exemption if
he or she finds that one or more of the following conditions exist:
(i) all owners of the property have not been registered by the
prescribed date and no acceptable justification has been presented for
such failure;
(ii) the owners of the property are improperly receiving multiple STAR
exemptions;
(iii) the property does not serve as the primary residence of any of
its owners;
(iv) the applicable income limitation has been exceeded; or
(v) the property is otherwise ineligible for the STAR exemption.
(c) Prior to directing that a STAR exemption be removed or denied
pursuant to this subdivision, the commissioner shall provide the
property owners with notice and an opportunity to show the commissioner
that the property is eligible to receive the exemption. If the owners
fail to respond to such notice within forty-five days from the mailing
thereof, or if their response does not show to the commissioner's
satisfaction that the property is eligible for the exemption, the
commissioner shall direct the assessor or other person having custody or
control of the assessment roll or tax roll to remove or deny the
exemption, and to correct the roll accordingly. Such a directive shall
be binding upon the assessor or other person having custody or control
of the assessment roll or tax roll, and shall be implemented by such
person without the need for further documentation or approval.
(d) Notwithstanding the provisions of paragraph (b) of subdivision six
of this section, neither an assessor nor a board of assessment review
has the authority to consider an objection to the removal or denial of
an exemption pursuant to this subdivision, nor may such an action be
reviewed in a proceeding to review an assessment pursuant to title one
or one-A of article seven of this chapter. Such an action may only be
challenged before the department of taxation and finance. If a taxpayer
is dissatisfied with the department's final determination, the taxpayer
may appeal that determination to the state board of real property tax
services in a form and manner to be prescribed by the commissioner. Such
appeal shall be filed within forty-five days from the issuance of the
department's final determination. If dissatisfied with the state board's
determination, the taxpayer may seek judicial review thereof pursuant to
article seventy-eight of the civil practice law and rules. The taxpayer
shall otherwise have no right to challenge such final determination in a
court action, administrative proceeding or any other form of legal
recourse against the commissioner, the department of taxation and
finance, the state board of real property tax services, the assessor or
other person having custody or control of the assessment roll or tax
roll regarding such action.
(e) The commissioner shall be entitled to utilize information from any
filings of a taxpayer with the department of taxation and finance in
conjunction with the STAR registration program.
14-a. Implementation of certain eligibility determinations. When a
taxpayer's eligibility for exemption under this section for a school
year is affected by a determination made in accordance with subparagraph
(iv) of paragraph (b) of subdivision four of this section or paragraph
(c) or (d) of subdivision fourteen of this section, and the
determination is made after the school district taxes for that school
year have been levied, the provisions of this subdivision shall be
applicable.
(a) If the determination restores or increases the taxpayer's
exemption for that school year, the commissioner is authorized to remit
the excess directly to the property owner upon receiving confirmation
that the taxpayer's original school tax bill has been paid in full. The
amounts payable by the commissioner under this paragraph shall be paid
from the account established for the payment of STAR benefits to late
registrants pursuant to subparagraph (iii) of paragraph (a) of
subdivision fourteen of this section. When the commissioner implements
the determination in this manner, he or she shall so notify the assessor
and county director of real property tax services, but no correction
shall be made to the assessment roll or tax roll for that school year,
and no refund shall be issued by the school authorities to the property
owner or his or her agent for the excessive amount of school taxes paid
for that school year.
(b) If the determination removes, denies or decreases the taxpayer's
exemption for that school year, the commissioner is authorized to
collect the shortfall directly from the owners of the property, together
with interest, by utilizing any of the procedures for collection, levy,
and lien of personal income tax set forth in article twenty-two of the
tax law, and any other relevant procedures referenced within the
provisions of such article. When the commissioner implements the
determination in this manner, he or she shall so notify the assessor and
county director of real property tax services, but no correction shall
be made to the assessment roll or tax roll for that school year, and no
corrected school tax bill shall be sent to the taxpayer for that school
year.
15. Recoupment of exemptions by commissioner. (a) Generally. If the
commissioner should determine, based upon data collected under the STAR
registration program, that property improperly received the basic STAR
exemption in the current school year or one or more of the three
preceding school years, the commissioner shall treat the exemption as an
improperly granted exemption and proceed in the manner provided by this
subdivision; provided that final assessment rolls that were filed prior
to April first, two thousand eleven shall not be subject to the
provisions of this subdivision.
(b) Procedure. The tax savings attributable to each such improperly
granted exemption shall be collected from the owners whose property
improperly received the exemption for the applicable year, together with
interest as specified in this subdivision, by utilizing any of the
procedures for collection, levy, and lien of personal income tax set
forth in article twenty-two of the tax law, any other relevant
procedures referenced within the provisions of that article, and any
other law as may be applicable, so far as practicable when recouping the
exemption amount pursuant to this subdivision, except that:
(i) in order for the recoupment procedure to be considered timely, the
notice required by subparagraph (ii) of this paragraph must be mailed no
later than three years after the conclusion of the school year for which
the exemption in question was granted, or in the case of an exemption
that was granted for the two thousand twelve--two thousand thirteen
school year, no later than September thirtieth, two thousand sixteen;
(ii) prior to directing that an improperly granted exemption be
recouped pursuant to this subdivision, the commissioner shall provide
the owners with notice and an opportunity to show the commissioner that
the exemption was properly granted. If the owners fail to respond to
such notice within forty-five days from the mailing thereof, or if their
response does not show to the commissioner's satisfaction that the
eligibility requirements were in fact satisfied, the commissioner shall
proceed with the recoupment of the improperly granted exemption in
accordance with the provisions of this subdivision; and
(iii) notwithstanding the provisions of paragraph (b) of subdivision
six of this section, neither an assessor nor a board of assessment
review has the authority to consider an objection to the recoupment of
an exemption pursuant to this subdivision, nor may such an action be
reviewed in a proceeding to review an assessment pursuant to title one
or one-A of article seven of this chapter. Such an action may only be
challenged before the department. If an owner is dissatisfied with the
department's final determination, the owner may appeal that
determination to the board in a form and manner to be prescribed by the
commissioner. Such appeal shall be filed within forty-five days from the
issuance of the department's final determination. If dissatisfied with
the board's determination, the owner may seek judicial review thereof
pursuant to article seventy-eight of the civil practice law and rules.
The owner shall otherwise have no right to challenge such final
determination in a court action, administrative proceeding, including
but not limited to an administrative proceeding pursuant to article
forty of the tax law, or any other form of legal recourse against the
commissioner, the department, the board, the assessor, or any other
person, state agency, or local government.
(c) The amount to be recouped for each improperly received exemption
shall have interest added at the rate prescribed by section nine hundred
twenty-four-a of this chapter or such other law as may be applicable for
each month or portion thereof since the levy of school taxes upon such
assessment roll.
(d) In the event that a revocation of prior exemption pursuant to
subdivision twelve of this section or a voluntary renunciation of the
STAR exemption pursuant to section four hundred ninety-six of this
article has occurred, the provisions of this subdivision shall not be
applicable to the exemptions so revoked or voluntarily renounced.
15-a. Direct payments. Notwithstanding any provision of law to the
contrary, when the commissioner finds that a property owner was eligible
for the STAR exemption authorized by this section on an assessment roll,
but the exemption was not taken into account in the calculation of the
property owner's school tax bill due to an administrative error, and the
property owner or his or her agent paid an excessive amount of school
taxes on the property as a result, the commissioner is authorized to
remit directly to the property owner the tax savings that the STAR
exemption would have yielded if the STAR exemption had been taken into
account in the calculation of that taxpayer's school tax bill. The
amounts payable under this section shall be paid from the account
established for the payment of STAR benefits to late registrants
pursuant to subparagraph (iii) of paragraph (a) of subdivision fourteen
of this section. Where such a payment has been made, neither the
property owner nor his or her agent shall be entitled to a refund of the
excessive amount of school taxes paid on account of the administrative
error.
16. Transition to personal income tax credit. (a) Beginning with
assessment rolls used to levy school district taxes for the two thousand
sixteen--two thousand seventeen school year, no application for an
exemption under this section may be approved unless at least one of the
applicants held title to the property on the taxable status date of the
assessment roll that was used to levy school district taxes for the two
thousand fifteen--two thousand sixteen school year and the property was
granted an exemption pursuant to this section on that assessment roll.
In the event that an application is submitted to the assessor that
cannot be approved due to this restriction, the assessor shall notify
the applicant that he or she is required by law to deny the application,
but that, in lieu of a STAR exemption, the applicant may claim the
personal income tax credit authorized by subsection (eee) of section six
hundred six of the tax law if eligible, and that the applicant may
contact the department of taxation and finance for further information.
The commissioner shall provide a form for assessors to use, at their
option, when making this notification. No STAR exemption may be granted
on the basis of an application that is not approvable due to this
restriction.
(b) Where property received an exemption pursuant to this section on
an assessment roll used to levy school district taxes for the two
thousand fifteen--two thousand sixteen school year, and at least one of
its owners held title to the property on the taxable status date of such
assessment roll, the exemption shall continue to be granted on
subsequent assessment rolls without regard to the provisions of this
subdivision as long as all applicable requirements of this section are
satisfied. In addition, such exemption shall be subject to modification
as follows:
(i) A basic STAR exemption shall be changed to an enhanced STAR
exemption if the owners and spouses primarily residing on the property
file a timely application showing that their ages and incomes meet the
requirements of subdivision four of this section.
(ii) An enhanced STAR exemption shall be changed to a basic STAR
exemption if the combined income of the owners and spouses primarily
residing on the property increases above the limit set by subdivision
four of this section, subject to the provisions of subparagraph (iii) of
this paragraph, provided that if their combined income falls below the
limit set by subdivision four of this section in the future, their
enhanced STAR exemption may be resumed upon timely application.
(iii) A STAR exemption shall be discontinued if the combined income of
the owners and spouses primarily residing on the property increases
above the limit set by subdivision three of this section, provided that
if their income falls below such limit in the future, their STAR
exemption may be resumed upon timely application.
(iv) A STAR exemption shall be permanently discontinued if the owners
fail to satisfy the applicable residency or ownership requirement, or
both.
(c) If the owners of a parcel that is receiving the STAR exemption
authorized by this section want to claim the personal income tax credit
authorized by subsection (eee) of section six hundred six of the tax law
in lieu of such exemption, they may do so by switching to the credit in
the manner provided by subdivision seventeen of this section.
Alternatively, they may renounce that exemption and make any required
payments in the manner provided by section four hundred ninety-six of
this chapter. Any such switch to the credit or renunciation shall be
irrevocable.
(d) Notwithstanding the foregoing provisions of this subdivision,
where a property served as the primary residence of a married couple on
the taxable status date of the assessment roll that was used to levy
school district taxes for the two thousand fifteen--two thousand sixteen
school year, but only one of the spouses held title to the property on
that taxable status date, and that spouse has since died and his or her
interest in the property has been inherited by his or her surviving
spouse, the surviving spouse shall be entitled to apply for and receive
an exemption under this section to the same extent as if he or she had
held title to the property on that taxable status date.
(e) The provisions of this subdivision shall apply to all applications
for STAR exemptions beginning with assessment rolls used to levy school
district taxes for the two thousand sixteen--two thousand seventeen
school year, including those submitted prior to the effective date of
this subdivision. If any application was approved prior to the effective
date of this subdivision that is not approvable hereunder, such approval
shall be deemed void, and the assessor shall provide the applicant with
the notice required by paragraph (a) of this subdivision, provided that
if a STAR exemption is granted on a tentative or final assessment roll
or tax roll on the basis of an application that is not approvable
hereunder, the assessor, or other local official or officials having
custody and control of such roll, is hereby authorized and directed to
remove such exemption from such roll without regard to the provisions of
title three of article five of this chapter or any comparable laws
governing the correction of administrative errors on assessment rolls
and tax rolls, notwithstanding any provision of law to the contrary. If
an application was submitted prior to the effective date of this
subdivision but is not approvable hereunder, the applicant may apply for
advance payment of the personal income tax credit authorized by
subsection (eee) of section six hundred six of the tax law for the two
thousand sixteen taxable year, if eligible, in the manner provided by
paragraph ten of such subsection, even if the property was acquired
prior to January first of the taxable year.
17. Switching to the STAR credit. (a) The commissioner shall develop
procedures to enable property owners to switch from the STAR exemption
to the STAR credit in as simple and expeditious a manner as practicable.
(b) Such procedures may allow STAR exemption recipients to switch to
the STAR credit in the course of applying for the STAR credit. When an
applicant does so, the commissioner shall advise the appropriate
assessor as soon as practicable that such individual is switching or has
switched to the STAR credit, that no further STAR exemptions may be
granted to the property in question after the switch takes effect, and
if appropriate, that the property's STAR exemption should be removed
from the most recently filed assessment roll and/or the forthcoming
assessment roll. The assessor or other party having custody and control
of the assessment roll shall thereupon be authorized and directed to
proceed accordingly.
(c) Such procedures may also set forth instances under which the
commissioner may direct such a switch to the STAR credit to be deferred
for one year, with the resulting differential, if any, to be added to
the applicant's initial STAR credit. As used in this subdivision, the
term "resulting differential" means the amount by which the STAR credit
that the applicant did not receive due to the deferral of the switch
exceeds the STAR exemption tax savings that the applicant did receive
due to the deferral of the switch. The commissioner is specifically
authorized to direct a switch to the STAR credit to be so deferred under
the following circumstances:
(i) A STAR credit switch may be deferred if the application for the
credit is submitted after a cutoff date set by the commissioner. When
setting a cutoff date, the commissioner shall take into account the time
required to ensure that the STAR exemptions of all STAR credit
applicants in the assessing unit will be removed before school tax bills
are prepared. The commissioner shall specify the applicable cutoff dates
after taking into account local assessment calendars, provided that
different cutoff dates may be set for municipalities with different
assessment calendars, and provided further that any such cutoff date may
be no earlier than the fifteenth day prior to the date on which the
applicable final assessment roll is required by law to be completed and
filed.
(ii) A STAR credit switch may be deferred if the application is
submitted after school tax bills have been prepared, but before the
first day of January of the following year, or such later date as the
commissioner shall establish.
(iii) A STAR credit switch may be deferred if the applicant's STAR
exemption is not removed from the applicable assessment roll in a timely
manner due to inadvertence or other reasons.
(d) Such procedures may also provide that Basic STAR exemption
recipients whose incomes exceeds the limit applicable to that exemption
may be automatically enrolled in and switched to the Basic STAR credit
if their incomes do not exceed the limit applicable to that credit. Each
affected individual shall be notified of the switch as soon as
practicable. Each such notice shall also advise the individual either
that the commissioner has determined that the individual is eligible for
the credit, or that the individual must furnish additional information
to enable the commissioner to determine the individual's eligibility, as
the case may be. In either case, once the individual receives a STAR
credit check and deposits or endorses it, he or she shall be deemed to
have consented to the switch and shall not be permitted to switch back
to the exemption.
Structure New York Laws
420-A - Nonprofit Organizations; Mandatory Class.
420-B - Nonprofit Organizations; Permissive Class.
421-A - Affordable New York Housing Program.
421-C - Exemption of Certain New Multiple Dwellings From Local Taxation.
421-E - Exemption of Cooperative, Condominium, Homesteading and Rental Projects From Local Taxation.
421-F - Exemption of Capital Improvements to Residential Buildings and Certain New Construction.
421-G - Exemption From Local Taxation of Certain Multiple Dwellings.
421-H - Exemption of Capital Improvements to Multiple Dwelling Buildings Within Certain Cities.
421-H*2 - Exemption of Capital Improvements to Residential Buildings.
421-I - Exemption of Capital Improvements to Multiple Dwelling Buildings Within Certain Cities.
421-I*2 - Exemption of Capital Improvements to Multiple Dwelling Buildings Within Certain Cities.
421-J - Exemption of Capital Investment in Multiple Dwelling Buildings Within Certain Cities.
421-J*2 - Exemption of Capital Improvements to Multiple Dwelling Buildings Within Certain Cities.
421-K - Exemption of Certain Multiple Dwellings.
421-L - Exemption of Capital Improvements to Residential Buildings in Certain Towns.
421-N - Exemption of Capital Improvements to Multiple Dwelling Buildings Within Certain Cities.
421-O - Exemption of Capital Improvements to Multiple Dwelling Buildings Within Certain Cities.
421-O*2 - Exemption of Capital Improvements to Multiple Dwelling Buildings Within Certain Cities.
422 - Not-for-Profit Housing Companies.
424 - Institute of Arts and Sciences.
425 - School Tax Relief (Star) Exemption.
425-A - Abatement of County Taxes in Special Assessing Units.
427 - Performing Arts Buildings.
428 - Fraternal Organizations; Entire Net Income for Education and Relief of Members.
429 - Real Property Used for Professional Major League Sports.
430 - Interdenominational Centers.
432 - Theatrical Corporations Created by Act of Congress.
436 - Officers of Religious Denominations.
438 - Trustees of a Hospital, Playground and Library; Hospital for Benefit of a City.
442 - Soldiers Monument Corporations.
457 - Exemption for First-Time Homebuyers of Newly Constructed Homes.
458-A - Veterans; Alternative Exemption.
458-B - Exemption for Cold War Veterans.
459 - Persons Who Are Physically Disabled.
459-A - Improvements to Property Made Pursuant to the Americans With Disabilities Act of 1990.
459-B - Physically Disabled Crime Victims.
459-C - Persons With Disabilities and Limited Incomes.
462 - Religious Corporations; Property Used for Residential Purposes.
464 - Incorporated Associations of Volunteer Firefighters.
466 - Volunteer Firefighters and Fire Companies in Villages.
466-A - Volunteer Firefighters and Volunteer Ambulance Workers; Certain Counties.
466-A*2 - Volunteer Firefighters and Volunteer Ambulance Workers.
466-B - Volunteer Firefighters and Volunteer Ambulance Workers; Certain Additional Counties.
466-C - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-C*2 - Volunteer Firefighters and Volunteer Ambulance Workers; Certain Counties.
466-C*3 - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-C*4 - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-C*5 - Volunteer Firefighters and Volunteer Ambulance Workers; Exemption.
466-C*6 - Volunteer Firefighters and Volunteer Ambulance Workers; Certain Counties.
466-C*7 - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-D - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-D*2 - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-D*3 - Volunteer Firefighters and Volunteer Ambulance Workers.
466-D*4 - Volunteer Firefighters and Volunteer Ambulance Workers; Certain Counties.
466-E - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-E*2 - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-E*3 - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-E*4 - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-F - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-F*2 - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-F*3 - Volunteer Firefighters and Volunteer Ambulance Workers; Certain Counties.
466-F*4 - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-G - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-G*2 - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-H - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-H*2 - Un-Remarried Spouses of Deceased Volunteer Firefighters or Volunteer Ambulance Workers.
466-I - Volunteer Firefighters and Volunteer Ambulance Workers; Certain Counties.
466-J - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
466-K - Volunteer Firefighters and Volunteer Ambulance Workers; Certain County.
467 - Persons Sixty-Five Years of Age or Over.
467-F - Protective and Safety Devices Tax Abatement.
467-I - Real Property Tax Abatement.
467-J - Exemption for Certain Residential Properties Located in Certain Counties.
467-K - Senior Citizen Longtime Resident Exemption.
467-L - Rebate for Owners of Certain Real Property in the City of New York.
468 - Fire Patrol and Salvage Corps.
469 - Assessment Exemption for Living Quarters for Parent or Grandparent.
472 - Pharmaceutical Societies.
476-A - Railroad Passenger Stations.
477 - Tax Exemption for Industrial Waste Treatment Facilities.
477-A - Tax Exemption for Air Pollution Control Facilities.
478 - Tax Exemption for Off-Street Parking Facilities Providing Underground Shelters.
479 - Fallout Shelter Facilities.
480 - Forest and Reforested Lands.
480-A - Taxation of Forest Land.
481 - Taxation of Land Used for Agricultural Production.
483-C - Temporary Greenhouses.
483-D - Farm or Food Processing Labor Camps or Commissaries.
483-E - Anaerobic Digestion Facilities.
484 - Urban Redevelopment Corporations and Companies.
485 - Nuclear Powered Electric Generating Facilities.
485-A - Residential-Commerical Urban Exemption Program.
485-B - Business Investment Exemption.
485-D - Water-Works Corporations.
485-E - Empire Zone Exemption.
485-F - Banking Development Districts.
485-G - Infrastructure Exemption.
485-H - Residential Investment Exemption; Certain Cities.
485-I - Residential Investment Exemption; Certain School Districts.
485-I*2 - Residential Investment Exemption; Certain Cities.
485-J - Residential Property Improvement Exemption; Certain Cities.
485-J*2 - Residential Investment Exemption; Certain Cities.
485-J*3 - Residential Investment Exemption; Certain Cities and School Districts.
485-J*4 - Residential Investment Exemption; Certain Cities.
485-J*5 - Residential Investment Exemption; Certain Cities.
485-K - Residential Investment Exemption; Certain School Districts.
485-L - Residential Property Improvement; Certain Towns.
485-L*2 - Residential Investment Exemption; Certain School Districts.
485-M - Residential Investment Exemption; Certain School Districts.
485-N - Residential-Commercial Exemption Program.
485-O - New Residential Property Exemption; Certain Cities.
485-P - Economic Transformation Area Exemption.
485-Q - Residential Investment Exemption; Certain Cities.
485-R - Residential Redevelopment Inhibited Property Exemption; Certain Cities.
485-S - Residential Reassessment Exemption.
485-S*2 - Residential Reassessment Exemption.
485-S*3 - Mixed Use Exemption Program for Villages.
485-T - Owner Occupied Residential Property Exemption Program.
485-U - Class One Reassessment Exemption.
485-V - Residential Revaluation Exemption.
485-V*2 - Residential and Mixed-Use Investment Exemption; Certain Cities and School Districts.
485-W - Newly Constructed Single-Family and Multi-Family Residential Exemption; Certain Villages.
486 - Non-Profit Medical and Dental Indemnity, or Hospital Service Corporations.
486-A - Non-Profit Corporations Operating as Health Maintenance Organizations.
487 - Exemption From Taxation for Certain Energy Systems.
487-A - Exemption From Taxation of Conservation Improvements to Certain Residential Premises.