2023 New York Laws › TAX - Tax › Article 31-A - Tax on Real Property Transfers for Transportation Assistance › 1428-B - Cooperative Housing Corporation Transfers.

§    1428-b.    Cooperative    housing   corporation   transfers.   1.
  Notwithstanding the definition of "controlling  interest"  contained  in
  subdivision  two of section fourteen hundred twenty-four of this article
  or anything to the contrary contained in  subdivision  five  of  section
  fourteen  hundred  twenty-four 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 thirty-first
  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 grantor and the
  grantee, the number of shares conveyed, the date of the  conveyance  and
  the consideration paid for such conveyance.