N.Y. RPT Law § 1805 — New York Code / Act RPT / Article 18 / Section 1805
Limitation on increases of assessed value of individual parcels
Status: in_force

§ 1805. Limitation on increases of assessed value of individual\nparcels.  1. The assessor of any special assessing unit shall not\nincrease the assessment of any individual parcel classified in class one\nin any one year, as measured from the assessment on the previous year's\nassessment roll, by more than six percent and shall not increase such\nassessment by more than twenty percent in any five-year period. The\nfirst such five-year period shall be measured from the individual\nassessment appearing on the assessment roll completed in nineteen\nhundred eighty; provided that if such parcel would not have been subject\nto the provisions of this subdivision in nineteen hundred eighty had\nthis subdivision then been in effect, the first such five-year period\nshall be measured from the first year after nineteen hundred eighty in\nwhich this subdivision applied to such parcel or would have applied to\nsuch parcel had this subdivision been in effect in such year.\n  If, in respect to any individual parcel classified in class one on the\nassessment roll completed and applicable for the year nineteen hundred\neighty-two, the assessment for the year nineteen hundred eighty-one\nexceeds by more than twenty percent the assessment for the year nineteen\nhundred eighty, such assessor shall compute the actual assessments to be\nentered on assessment rolls applicable to the years nineteen hundred\neighty-two through nineteen hundred ninety as follows:\n  (a) compute the maximum permissible assessments for the years nineteen\nhundred eighty-one through nineteen hundred eighty-five pursuant to the\nlimitations contained hereinabove as if the provisions of this\nsubdivision were in effect and applicable for assessment rolls prepared\nin the year nineteen hundred eighty-one;\n  (b) subtract the maximum permissible assessment for the year nineteen\nhundred eighty-one as computed in paragraph (a) hereof from the actual\nassessment entered on the assessment roll completed and applicable for\nthe year nineteen hundred eighty-one and divide such result by four;\n  (c) the assessment for the year nineteen hundred eighty-two shall be\nthe maximum permissible assessment for such year as computed pursuant to\nsuch paragraph (a) minus the quotient determined pursuant to paragraph\n(b) hereinabove;\n  (d) the assessment for the year nineteen hundred eighty-three shall be\nthe maximum permissible assessment for such year as computed pursuant to\nsuch paragraph (a) minus the quotient determined pursuant to paragraph\n(b) hereinabove;\n  (e) the assessment for the year nineteen hundred eighty-four shall be\nthe maximum permissible assessment for such year as computed pursuant to\nsuch paragraph (a) minus the quotient determined pursuant to paragraph\n(b) hereinabove;\n  (f) the assessment for the year nineteen hundred eighty-five shall be\nthe maximum permissible assessment for such year as computed pursuant to\nsuch paragraph (a) minus the quotient determined pursuant to paragraph\n(b) hereinabove;\n  (g) commencing and applicable in the years nineteen hundred eighty-six\nthrough nineteen hundred ninety, the limitations contained hereinabove\nshall be computed as measured against the maximum permissible\nassessments for the years nineteen hundred eighty-one through nineteen\nhundred eighty-five as computed in paragraph (a) hereinabove and as\nmeasured against the actual assessments for the years occurring after\nnineteen hundred eighty-five.\n  2. The assessment roll of a special assessing unit wholly contained\nwithin a city shall identify those parcels classified in class two which\nhave fewer than eleven residential units. The assessor of any such\nspecial assessing unit shall not increase the assessment of any parcel\nso identified in any one year, as measured from the actual assessment on\nthe previous year's assessment roll, by more than eight percent and\nshall not increase such assessment by more than thirty percent in any\nfive-year period. The first such five-year period shall be measured from\nthe individual assessment appearing on the assessment roll completed in\nnineteen hundred eighty-one provided that, if such parcel would not have\nbeen subject to the provisions of this subdivision in nineteen hundred\neighty-one had this subdivision then been in effect, the first such\nfive-year period shall be measured from the first year after nineteen\nhundred eighty-one in which this subdivision applied to such parcel or\nwould have applied to such parcel had this subdivision been in effect in\nsuch year.\n  If, in respect to any parcel so identified on the assessment roll\ncompleted and applicable for the year nineteen hundred eighty-four, the\nactual assessment for the year nineteen hundred eighty-three exceeds by\nmore than thirty percent the assessment for the year nineteen hundred\neighty-one, such assessor shall compute the actual assessments to be\nentered on assessment rolls applicable to the years nineteen hundred\neighty-four through nineteen hundred ninety-two as follows:\n  (a) compute the maximum permissible assessments for the years nineteen\nhundred eighty-two through nineteen hundred eighty-seven pursuant to the\nlimitations contained hereinabove as if the provisions of this\nsubdivision were in effect and applicable for assessment rolls prepared\nin the year nineteen hundred eighty-two;\n  (b) subtract the maximum permissible assessment for the year nineteen\nhundred eighty-two as computed in paragraph (a) hereof from the lesser\nof the actual or transition assessment entered on the assessment roll\ncompleted and applicable for the year nineteen hundred eighty-two;\n  (c) subtract the maximum permissible assessment for the year nineteen\nhundred eighty-three as computed in such paragraph (a) from the lesser\nof the actual or transition assessment entered on the assessment roll\ncompleted and applicable for the year nineteen hundred eighty-three;\n  (d) add such results of the computations prescribed by paragraphs (b)\nand (c) hereof as are greater than zero and divide such sum by four;\n  (e) the assessment for the year nineteen hundred eighty-four shall be\nthe maximum permissible assessment for such year as computed pursuant to\nsuch paragraph (a) minus the quotient determined pursuant to paragraph\n(d) hereinabove;\n  (f) the assessment for the year nineteen hundred eighty-five shall be\nthe maximum permissible assessment for such year as computed pursuant to\nsuch paragraph (a) minus the quotient determined pursuant to paragraph\n(d) hereinabove;\n  (g) the assessment for the year nineteen hundred eighty-six shall be\nthe maximum permissible assessment for such year as computed pursuant to\nsuch paragraph (a) minus the quotient determined pursuant to paragraph\n(d) hereinabove;\n  (h) the assessment for the year nineteen hundred eighty-seven shall be\nthe maximum permissible assessment for such year as computed pursuant to\nsuch paragraph (a) minus the quotient determined pursuant to paragraph\n(d) hereinabove;\n  (i) commencing and applicable in the years nineteen hundred\neighty-eight through nineteen hundred ninety-two, the limitations\ncontained hereinabove shall be computed as measured against the maximum\npermissible assessments for the years nineteen hundred eighty-three\nthrough nineteen hundred eighty-seven as computed in paragraph (a)\nhereinabove and as measured against the actual assessments for the years\noccurring after nineteen hundred eighty-seven.\n  3. If the assessment appearing on an assessment roll completed on or\nafter January first, nineteen hundred eighty-two for any parcel not\nsubject to the provisions of subdivision one or two of this section,\nother than a parcel classified in class three, is greater than the\nassessment appearing on the previous year's assessment roll the assessor\nshall determine a transition assessment for such parcel for the first\nassessment roll on which such greater assessment appears and for each of\nthe succeeding four assessment rolls by computing the difference between\nsuch greater assessment and the assessment appearing on such previous\nyear's assessment roll and adding the following percentages of such\ndifference to the assessment appearing on such previous year's\nassessment roll: in the first year, twenty percent; in the second year,\nforty percent; in the third year, sixty percent; in the fourth year,\neighty percent; and in the fifth year, one hundred percent. If the\nassessment of a parcel is increased during a period for which transition\nassessments have been established because of any prior assessment\nincreases, such new increase shall be phased-in over a five-year period\nas set forth in this subdivision, and such phased-in increases shall be\nadded to the transitional assessments previously established for the\nprior increase; provided, however, that if in any year any such\ntransition assessment exceeds the actual assessment for such year, taxes\nimposed on such parcel for such year shall be based on such lesser\nactual assessment. Notwithstanding the foregoing, during the period of\nany such transition, the assessment roll shall contain an entry of the\nfull amount of such greater assessment which shall be used by the\ncommissioner in its determination of class ratios pursuant to paragraph\n(b) of subdivision one of section twelve hundred two of this chapter. In\nestablishing state equalization rates, class equalization rates, special\nstate equalization rates and special state equalization ratios under\narticle twelve, article twelve-A and article twelve-B of this chapter,\nthe commissioner shall use the transition assessments as provided for in\nthis subdivision in its determinations, or where the actual assessment\nis the lesser, such actual assessment shall be so used.\n  4. Notwithstanding the provisions of subdivision three of this section\nno transition assessment shall be computed for any individual parcel for\na year in which subdivision one or two of this section were applicable\nto such parcel, nor for any real property owned by the state and which\nis subject to taxation pursuant to title two of article five of this\nchapter, nor for any real property for which a statute provides that a\nstate equalization rate or special equalization rate shall be employed\nto determine the assessed value or the taxable assessed value.\n  5. Nothing in this section shall prevent placing on the assessment\nroll new property, additions to or improvements of existing property or\nformerly exempt property or the full or partial removal from the roll of\nproperty by reason of fire, demolition, destruction or new exemption and\nsuch increase or decrease in value shall not be included in the\ncomputation of the limitations prescribed by this section. Any parcel\nwhich would be assessed at a greater amount but for the provisions of\nsubdivision one or two of this section shall be excluded from any survey\nor computation made by any body or officer for the purpose of\ndetermining a level of assessment to be used in the administrative or\njudicial review of assessments including, but not limited to, class\nratios computed pursuant to paragraph (b) of subdivision one of section\ntwelve hundred two of this chapter, ratios computed by selection of\nparcels or from actual sales of real property under the provisions of\nsubdivision three of section seven hundred twenty of this chapter, and\nresidential assessment ratios computed pursuant to section seven hundred\nthirty-eight of this chapter, but not including state equalization rates\nor class equalization rates. In the event that a parcel appearing on the\nassessment roll completed in nineteen hundred eighty or any subsequent\nroll is subdivided or consolidated with another, such assessor shall\nmake an appropriate allocation of the assessed value of such parcel in\nthe determination of the limitations prescribed in this section.\n  6. Notwithstanding any provision of law to the contrary, in any\nspecial assessing unit wholly contained within a city, beginning with\nthe assessment roll completed in two thousand five and for each\nsubsequent assessment roll, the assessor shall not increase the\nassessment of any existing property classified in class two that has\nfewer than eleven residential units, with respect to any increase in\nvalue attributable to additions to or improvements of such property that\nwere not reflected on the assessment roll for a previous year, by more\nthan one-third of the amount that such assessment would increase, in the\nabsence of this subdivision, with respect to any increase in value\nattributable to additions to or improvements of such property that were\nnot reflected on the assessment roll for a previous year.\nNotwithstanding the provisions of subdivision five of this section, the\nremainder of the increase in value attributable to such additions or\nimprovements that were not reflected on the assessment roll for a\nprevious year shall be subject to the limitations on increases provided\nin subdivision two of this section. This subdivision shall not apply to\nthe construction of a new building or structure. This subdivision shall\nnot apply where, as a result of such additions to or improvements of the\nexisting property, there are more than ten residential units in such\nproperty.\n