NY Tax L § 1566 (2021)
2021 New York Laws TAX - Tax Article 33-B - Tax on Real Estate Tranfers in Towns 1566 - Cooperative Housing Corporation Transfers.

§  1566. Cooperative housing corporation transfers. 1. Notwithstanding   the definition of "controlling interest" contained in subdivision two of   section fifteen hundred  sixty  of  this  article  or  anything  to  the   contrary  contained in subdivision five of section fifteen hundred sixty   of this article, the tax imposed pursuant to this article shall apply to   (a) the original conveyance of shares of stock in a cooperative  housing   corporation  in  connection  with the grant or transfer of a proprietary   leasehold by the cooperative corporation or  cooperative  plan  sponsor,   and (b) the subsequent conveyance of such stock in a cooperative housing   corporation  in  connection  with the grant or transfer of a proprietary   leasehold by the owner thereof. With  respect  to  any  such  subsequent   conveyance  where  the  property  is an individual residential unit, the   consideration for the interest conveyed shall exclude the value  of  any   liens  on  certificates  of  stock  or  other  evidences of an ownership   interest in and a proprietary lease from a  corporation  or  partnership   formed  for the purpose of cooperative ownership of residential interest   in  real  estate  remaining  thereon  at  the  time  of  conveyance.  In   determining  the  tax on a conveyance described in paragraph (a) of this   subdivision, a credit shall be allowed for a proportionate part  of  the   amount  of  any  tax paid upon the conveyance to the cooperative housing   corporation of the real property comprising the cooperative dwelling  or   dwellings  to  the extent that such conveyance effectuated a mere change   of identity or form of ownership of such property and not  a  change  in   the  beneficial  ownership  of  such  property. The amount of the credit   shall be determined by multiplying the  amount  of  tax  paid  upon  the   conveyance  to  the  cooperative  housing  corporation  by  a percentage   representing the extent to which  such  conveyance  effectuated  a  mere   change  of  identity  or  form  of  ownership  and  not  a change in the   beneficial  ownership  of  such  property,  and  then  multiplying   the   resulting  product  by  a  fraction, the numerator of which shall be the   number of shares  of  stock  conveyed  in  a  transaction  described  in   paragraph (a) of this subdivision, and the denominator of which shall be   the  total  number  of  shares  of  stock  of  the  cooperative  housing   corporation (including any stock held by the corporation). In no  event,   however,  shall such credit reduce the tax, on a conveyance described in   paragraph (a) of this subdivision, below zero, nor shall any such credit   be allowed for a tax paid more than twenty-four months prior to the date   on which occurs the first in a series of conveyances of shares of  stock   in  an  offering  of cooperative housing corporation shares described in   paragraph (a) of this subdivision.2. Every cooperative housing corporation shall be required to file  an   information  return  with  the  treasurer by July fifteenth of each year   covering the preceding period of January first  through  June  thirtieth   and  by  January fifteenth of each year covering the preceding period of   July first through December thirty-first. The return shall contain  such   information   regarding  the  conveyance  of  shares  of  stock  in  the   cooperative housing corporation as the  treasurer  may  deem  necessary,   including,  but  not  limited  to,  the  names,  addresses  and employee   identification numbers or social security numbers of the seller and  the   buyer, the number of shares conveyed, the date of the conveyance and the   consideration paid for such conveyance.