NY Real Prop Tax L § 485-J-5 (2021)
2021 New York Laws RPT - Real Property Tax Article 4 - Exemptions Title 2 - Private Property 485-J*5 - Residential Investment Exemption; Certain Cities.

* §  485-j.  Residential  investment  exemption;  certain  cities.  1. Residential real property constructed on  or  after  the  first  day  of January,  two thousand five in cities with a population of not less than sixty thousand six hundred and not more than  sixty-one  thousand  based upon  the  two  thousand federal census may be exempt from city taxation and special ad valorem levies as provided in this section.   2. (a) (i) Such real property shall be exempt for a period of one year to the extent of fifty per centum of  the  increase  in  assessed  value thereof  attributable  to such construction and for an additional period of nine years provided, however, that the extent of such exemption shall be decreased by five per centum each year during such additional  period of  nine  years and such exemption shall be computed with respect to the "exemption base". The exemption base shall be the increase  in  assessed value  as  determined  in  the  initial  year  of  such  ten year period following the filing of an original application, except as  provided  in subparagraph (ii) of this paragraph.  (ii)  In  any year in which a change in level of assessment of fifteen percent or more is certified for a final assessment roll pursuant to the rules of the commissioner, the exemption base shall be multiplied  by  a fraction,  the  numerator  of which shall be the total assessed value of the parcel on such final  assessment  roll  (after  accounting  for  any physical  or  quantity  changes  to  the  parcel  since  the immediately preceding assessment roll), and the denominator of which  shall  be  the total  assessed  value  of the parcel on the immediately preceding final assessment roll. The  result  shall  be  the  new  exemption  base.  The exemption  shall  thereupon  be  recomputed to take into account the new exemption base, notwithstanding the fact that the assessor receives  the certification of the change in level of assessment after the completion, verification  and  filing of the final assessment roll. In the event the assessor does not have custody of the roll when  such  certification  is received,  the  assessor  shall  certify the recomputed exemption to the local officers having custody and control of the roll,  and  such  local officers  are  hereby  directed  and  authorized to enter the recomputed exemption certified by the assessor on the roll. The assessor shall give written notice of such recomputed exemption to the property  owner,  who may,   if   he  or  she  believes  that  the  exemption  was  recomputed incorrectly, apply for a correction in  the  manner  provided  by  title three  of  article  five  of this chapter for the correction of clerical errors.  (iii) The following table shall illustrate the computation of the city tax exemption:        Year of exemption                      Percentage of exemption                1                                       50                2                                       45                3                                       40                4                                       35                5                                       30                6                                       25                7                                       20                8                                       15                9                                       10               10                                        5  (b) No such exemption shall be granted unless:  (i) such construction was commenced on  or  after  the  first  day  of January,  two  thousand  five  or such later date as may be specified by local law;  (ii) the residential real  property  is  situate  in  a  city  with  a population of not less than sixty thousand six hundred and not more than sixty-one thousand based upon the two thousand federal census;  (iii)  the cost of such construction exceeds the sum of sixty thousand dollars or such greater amount as may be specified by local law; and  (iv)  such  construction  is  completed  as  may  be  evidenced  by  a certificate  of occupancy or other appropriate documentation as provided by the owner.  (c) For purposes of this  section  the  term  construction  shall  not include ordinary maintenance and repairs.   3.  Such exemption shall be granted only upon application by the owner of such real property on a form prescribed  by  the  commissioner.  Such application shall be filed with the assessor of a city with a population of  not less than sixty thousand six hundred and not more than sixty-one thousand based upon the two thousand federal census  on  or  before  the appropriate  taxable  status  date of such city and within one year from the date of completion of such construction.   4. If the assessor is satisfied that the applicant is entitled  to  an exemption  pursuant  to  this  section,  he  or  she  shall  approve the application and such real  property  shall  thereafter  be  exempt  from taxation  and  special  ad valorem levies by a city with a population of not less than sixty thousand six hundred and  not  more  than  sixty-one thousand  based upon the two thousand federal census as provided in this section commencing with the assessment roll prepared after  the  taxable status  date  referred  to  in  subdivision  three  of this section. 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 shown in a separate column.   5. The provisions of this section shall apply to real property used as the primary residence of the owner.   6. In the event that real property granted an  exemption  pursuant  to this  section  ceases  to  be  used primarily for eligible purposes, the exemption granted pursuant to this section shall cease.   7. A city with a population  of  not  less  than  sixty  thousand  six hundred and not more than sixty-one thousand based upon the two thousand federal  census  may,  by  local law, reduce the per centum of exemption otherwise allowed pursuant to this section; provided,  however,  that  a project  in course of construction and exemptions existing prior in time to passage of any such local law  shall  not  be  subject  to  any  such reduction  so  effected.  Such  city upon reduction of the per centum of exemption pursuant to this subdivision may  thereafter,  by  local  law, increase  the per centum of exemption up to any per centum not exceeding the maximum allowed  by  subdivision  two  of  this  section,  provided, however,  that  any  such  local  law  shall  apply only to construction commenced subsequent to the effective date of such local law. A copy  of all  such  local  laws  shall  be  filed  with  the commissioner and the assessor of the city.   8. A city with a population  of  not  less  than  sixty  thousand  six hundred and not more than sixty-one thousand based upon the two thousand federal  census may, by local law, establish a date for the commencement of effectiveness of exemption offered pursuant to this section  and  may provide  that  the  provisions  of  this  section  shall  apply  only to construction having a greater value than that specified  by  subdivision two  of  this  section,  provided,  however,  that such amount shall not exceed three hundred twenty-five thousand dollars.   9. (a) A city with a population of not less than  sixty  thousand  six hundred and not more than sixty-one thousand based upon the two thousand federal  census  may, by local law, establish a board to be known as the  residential incentive board. The  membership  and  composition  of  such board shall be set forth in the local law.  (b)  The  residential  incentive  board  shall  present  a plan to the legislative body of a city with a population  of  not  less  than  sixty thousand six hundred and not more than sixty-one thousand based upon the two  thousand federal census concerning the various types of residential real property which should  be  granted  eligibility  for  an  exemption pursuant  to  subdivision  one  of  this section. In addition, such plan shall identify specific geographic areas within  which  such  exemptions should  be  offered.  In developing the plan required by this paragraph, the board shall consider the  planning  objectives  of  a  city  with  a population of not less than sixty thousand six hundred and not more than sixty-one  thousand  based  upon  the  two  thousand federal census, the necessity of the exemption to the attraction or retention of home owners and the economic benefit to the area of  providing  exemptions  to  home owners.  (c) In addition, the board may make recommendations to the legislative body  of  a  city  with a population of not less than sixty thousand six hundred and not more than sixty-one thousand based upon the two thousand federal census with respect to actions it deems desirable to improve the economic climate therein.   10. If a city with a population of not less than  sixty  thousand  six hundred and not more than sixty-one thousand based upon the two thousand federal  census  establishes  a residential incentive board, pursuant to subdivision nine of this section, such city may, by local law,  restrict real  property  eligible  to  receive  the  exemption  to  real property constructed for those purposes identified in the plan presented  by  the board.  Such local law shall restrict the availability of such exemption to the specific geographic areas identified in the plan presented by the board.   11. Any city which adopts an exemption pursuant to this section  shall cause  information  relating  to  the  availability  of  such exemption, including requirements and application procedures, to be attached to all building permit applications and copies of  such  information  shall  be posted  in  a  conspicuous  location in any office or offices where such permits and applications for permits are issued and processed.   * NB There are 5 § 485-j's