NY Real Prop Tax L § 499-FF (2021)
2021 New York Laws RPT - Real Property Tax Article 4 - Exemptions Title 4-A - Tax Abatement for Certain Commercial Properties in a City of One Million or More Persons 499-FF - Reporting Requirements; Revocation of Abatements.

§ 499-ff. Reporting requirements; revocation of abatements. 1. For the duration  of  the  applicant's  benefit period, the applicant shall file annually with the department of finance, on or before July first of each year, a  certificate  of  continuing  eligibility  confirming  that  the eligible premises are occupied by the tenant who originally executed the lease  and  that  the  eligible premises are being used for the purposes described in the application. In addition, for eligible premises defined in subparagraph (ii) of paragraph (b) or paragraph  (c)  of  subdivision ten  of section four hundred ninety-nine-aa of this title, a certificate of continuing eligibility shall (a) confirm that the percentage  of  the aggregate  floor  area  of  the  eligible  premises occupied or used for industrial and manufacturing activities (exclusive  of  ancillary  uses) has  not been reduced and (b) state separately the current percentage of the aggregate floor area of the eligible premises  used  for  industrial and manufacturing activities, ancillary uses and retail activities. Such certificate  of  continuing eligibility shall be on a form prescribed by the department of finance and shall contain such additional  information as  the  department  of finance shall require. The department of finance shall have the authority to terminate  abatements  granted  pursuant  to this title upon failure of an applicant to file such certificate by such July  first  date.  The  burden  of  proof  shall be on the applicant to establish continuing eligibility for  benefits  and  the  department  of finance shall have the authority to require that statements made in such certificate shall be made under oath.   2.  The  department  of  finance  shall  revoke  any abatement granted pursuant to this title when the tenant who originally executed the lease is no longer occupying the eligible premises. Such revocation  shall  be retroactive  to  the date that such tenant vacated the eligible premises and the department of finance shall require the landlord  to  pay,  with interest, any taxes which become payable as a result of such revocation. The  landlord  shall notify the department of finance within thirty days following the date on which such tenant vacated  the  eligible  premises and,  for failure to comply with this notification requirement, shall be liable for penalty  calculated  for  the  same  period  as  interest  is calculated pursuant to the preceding sentence.   3.  If  any  portion  of  the premises for which an abatement has been granted pursuant to this title ceases to be occupied or used as eligible premises or is occupied by a subtenant, the department of finance  shall reduce  the  abatement granted pursuant to this title by an amount equal to the percentage of such eligible  premises  which  has  ceased  to  be occupied  or  used  as  eligible premises or is occupied by a subtenant. Such reduction shall be retroactive  to  the  date  that  such  premises ceased  to be occupied or used as eligible premises or was occupied by a subtenant, and the department of finance shall require the  landlord  to pay,  with  interest, any taxes which become payable as a result of such reduction. The landlord shall notify the department  of  finance  within thirty  days  following  the  date  on  which  the premises ceased to be occupied or used as eligible premises or was  occupied  by  a  subtenant and,  for failure to comply with this notification requirement, shall be liable for penalty  calculated  for  the  same  period  as  interest  is calculated pursuant to the preceding sentence.   4.  If,  during  the benefit period, any real property tax or water or sewer charge or other lienable charge due and payable with respect to an eligible building shall remain unpaid for at least  one  year  following the  date  upon  which  such  tax  or charge became due and payable, all abatements granted pursuant to this title with respect to such  building shall be revoked, unless within thirty days from the mailing of a notice of  revocation  by  the  department  of  finance  satisfactory  proof is  presented to the department of finance that any and all delinquent taxes and charges owing with respect to such building as of the date  of  such notice  have  been  paid  in  full or are currently being paid in timely installments  pursuant  to  a  written  agreement with the department of finance or other appropriate agency. Any  revocation  pursuant  to  this subdivision shall be effective with respect to real property taxes which become due and payable following the date of such revocation.   5.  The  department of finance may deny, reduce, suspend, terminate or revoke any abatement granted pursuant to this title whenever:  (a) the landlord or the tenant receiving abatement  pursuant  to  this title  fails  to comply with the requirements of this title or the rules promulgated hereunder; or  (b) an application, certificate, report or other document submitted by the applicant contains a false or misleading statement as to a  material fact  or omits to state any material fact necessary in order to make the statement therein not false or misleading, and may declare any applicant who  makes  such  false  or  misleading  statement  or  omission  to  be ineligible  for  future abatement pursuant to this title for the same or other property. In addition, the department of finance shall require the applicant to pay, with penalty  and  interest,  any  abatement  received pursuant to this title as a result of such false or misleading statement or omission of a material fact.   6.  Notwithstanding  any other provision of this title, the department of finance shall deny, terminate or revoke any abatement applied for  or granted  pursuant  to  this  title  upon  a determination that the lease between the landlord and the tenant does  not  constitute  a  bona  fide arm's  length  lease.  In  making  such determination, the department of finance may consider, among other factors,  the  relationship,  if  any, between  the  landlord  and the tenant and whether the business terms of such lease are consistent with the business  terms  generally  found  in leases for comparable space.   7.  (a) If any person described in the statement required by paragraph (b) of subdivision seven of section four hundred ninety-nine-cc of  this title  or  paragraph (b) of this subdivision is finally adjudicated by a court of competent jurisdiction to be guilty of  any  charge  listed  in such  statement,  the  department  of finance shall revoke the abatement granted pursuant to this title  and  shall  require  the  payment,  with interest, of any abatement received pursuant to this title.  (b) The applicant shall, on the certificate of continuing eligibility, state  whether  any  charges  alleging violation by the applicant or any person owning a substantial interest in the eligible  building,  or  any officer, director or general partner of the applicant or person owning a substantial  interest  in  the eligible building, or any person for whom the applicant or person owning a substantial interest  in  the  eligible building  is  an  officer,  director  or general partner, of section two hundred thirty-five of the real property law or any section  of  article one  hundred  fifty of the penal law or any similar arson law of another jurisdiction, are pending. For purposes of this paragraph,  "substantial interest"  shall  have the same meaning as set forth in paragraph (c) of subdivision seven of section four hundred ninety nine-cc of this title.   8. The department  of  finance  shall  revoke  any  abatement  granted pursuant  to  this  title  with  respect to premises leased to a renewal tenant if the applicant shall fail to submit evidence acceptable to  the department  of finance, within the time specified in subdivision four of section four hundred ninety-nine-dd of this title, that the requirements of  section  four  hundred  ninety-nine-cc  of  this  title   concerning expenditures  on improvements have been met within the time specified in such section four hundred ninety-nine-cc. In such event, the  department  of finance shall require the landlord to pay, with penalty and interest, any  abatement  received  pursuant  to  this  title  with respect to the premises in question.