NY Real Prop Tax L § 1306-A (2021)
2021 New York Laws RPT - Real Property Tax Article 13 - Special Provisions Relating to School Districts 1306-A - Effect of School Tax Relief (Star) Exemption Upon School District Taxes; State Aid.

§  1306-a.  Effect  of  school tax relief (STAR) exemption upon school district taxes; state aid. 1. Levy of taxes; determination of taxes due. The amount of taxes to be levied for any school year shall be determined without regard to the fact that state aid will be  payable  pursuant  to this  section.  In  addition,  the tax rate for any school year shall be determined as if no  parcels  were  exempt  from  taxation  pursuant  to section  four hundred twenty five of this chapter. However, the tax rate so determined shall be applied to the taxable  assessed  value  of  each parcel  after  accounting  for  all applicable exemptions, including the exemption  authorized  by  section  four  hundred  twenty-five  of  this chapter.   2.  Tax savings. (a) (i) The tax savings for each parcel receiving the exemption authorized by section four hundred twenty-five of this chapter shall be computed by subtracting the amount actually levied against  the parcel  from  the  amount  that  would  have  been levied if not for the exemption, provided  however,  that  for  the  two  thousand  eleven-two thousand  twelve  through  two  thousand  eighteen-two thousand nineteen school years, the tax savings applicable to any "portion" (which as used herein shall mean that part of an assessing unit located within a school district) shall not exceed the tax savings applicable to that portion in the prior school year multiplied by one hundred two  percent,  with  the result  rounded  to  the  nearest  dollar;  and  provided  further  that beginning with the two  thousand  nineteen-two  thousand  twenty  school year:  (A)  for  purposes  of  the  exemption authorized by section four hundred twenty-five of this chapter, the tax savings applicable  to  any portion shall not exceed the tax savings for the prior year, and (B) for purposes  of  the  credit  authorized by subsection (eee) of section six hundred six of the tax law, the tax savings applicable  to  any  portion shall not exceed the tax savings applicable to that portion in the prior school  year  multiplied  by  one  hundred  two percent, with the result rounded to the nearest dollar. The tax savings attributable to the basic and enhanced exemptions shall be calculated separately. It shall be  the responsibility  of the commissioner to calculate tax savings limitations for purposes of this subdivision.  (ii) The tax savings applicable to a  portion  for  the  two  thousand ten-two  thousand  eleven school year shall be determined by multiplying the exempt amount applicable to the portion for the two thousand ten-two thousand eleven school year by the tax rate applicable  to  the  portion for  the two thousand ten-two thousand eleven school year, with separate calculations for the basic and enhanced exemptions.  (iii) Where a school tax rate was changed in the midst  of  the  prior school  year,  an  annualized  school  tax  rate  shall be used for this purpose. The annualized tax rate for this purpose shall be determined by calculating the average of the tax rates  in  effect  at  various  times during  the school year, weighted according to the length of time during which they were respectively applicable.  (b) A statement shall then be placed on the tax bill for the parcel in substantially the following form: "Your tax savings this year  resulting from the New York state school tax relief (STAR) program is $_______."   3.  State  aid. (a) The total tax savings duly provided by each school district pursuant to this section shall be a state charge,  which  shall be payable as provided herein.  (b) A school district seeking state aid pursuant to this section shall submit  an  application  therefor  to  the commissioner. The application shall include such information as the commissioner shall require.  (c) Upon approving an application  for  state  aid  pursuant  to  this section,  the commissioner shall compute and certify to the commissioner of education the amounts payable to the school district. Such state  aid  shall  be  payable  upon  the audit and warrant of the state comptroller from vouchers certified and approved by the commissioner  of  education, as  provided  by section thirty-six hundred nine-e of the education law, as applicable.  (d)  The  commissioner may audit an application for state aid pursuant to this section within one year after authorizing  payment  thereon.  If the  commissioner  should discover that a school district has received a greater or lesser amount of such aid than it should have  received,  the commissioner  shall  so  notify the school district, and shall cause the next payment  of  such  aid  to  the  school  district  to  be  adjusted accordingly.  (e)  When  an  improperly  granted  exemption  has been revoked in the manner provided by section four hundred twenty-five of this chapter, the aid payable to the school district pursuant to  this  section  shall  be reduced  by  the  amount  of  the  taxes  attributable  to  the  revoked exemption.   4. Installment payments. When school taxes are payable in installments pursuant to law, the tax savings  provided  by  this  section  shall  be applied proportionally against the respective installments.   5.  Untimely  payment of taxes. (a) When taxes on a property receiving the exemption authorized by section four  hundred  twenty-five  of  this chapter  are  not  paid  in a timely manner, interest, penalties and any other applicable charges shall be imposed only against the  balance  due after  the  tax savings provided by this section have been deducted from the taxes owed.  (b) When a county, city  or  town  is  required  by  section  thirteen hundred thirty or thirteen hundred thirty-two of this chapter, or by any other  general or special law, to make a payment to a school district on account of unpaid school taxes, the tax savings provided by this section shall be deducted from the amount so payable.   6. When the commissioner determines, at least twenty days prior to the levy of school district taxes, that an advance credit  of  the  personal income  tax credit authorized by subsection (eee) of section six hundred six of the tax law will be provided to the owners of a  parcel  in  that school  district,  he  or  she  shall so notify the assessor, the county director of real property tax  services,  and  the  authorities  of  the school  district,  who  shall  cause a statement to be placed on the tax bill for the parcel in substantially the following form:  "An  estimated STAR  check has been or will be mailed to you by the NYS Tax Department. Any overpayment or underpayment can  be  reconciled  on  your  next  tax return or STAR credit check."   Notwithstanding  any  provision  of  law to the contrary, in the event that the parcel in question had been granted a  STAR  exemption  on  the assessment  roll upon which school district taxes are to be levied, such exemption shall be deemed null and  void,  shall  be  removed  from  the assessment  roll,  and  shall  be  disregarded  when  the  parcel's  tax liability is  determined.  The  assessor  or  other  local  official  or officials  having  custody and control of the data file used to generate school district tax rolls and tax bills shall be authorized and directed to  change  such  file  as  necessary  to  enable  the  school  district authorities   to   discharge  the  duties  imposed  upon  them  by  this subdivision.   7. Inconsistent laws superseded. The provisions of this section  shall apply  to  all school districts, notwithstanding any provision of law to the contrary.