2023 New York Laws › RPT - Real Property Tax › Article 5 - Assessment Procedure › Title 1 - General Provisions › 520 - Assessment and Taxation of Exempt Property Upon Transfer of Title.

§  520.  Assessment  and  taxation of exempt property upon transfer of
  title. 1. Whenever any person, association or corporation not  otherwise
  entitled  to  an exemption from taxation acquires title to real property
  which is exempt, in whole or in part, from taxation, such property shall
  be immediately subject to taxation and shall be taxed pro rata  for  the
  unexpired portion of any fiscal year during which said transfer of title
  occurred,  and  shall  be  liable  in  full for taxes in any fiscal year
  commencing subsequent to the date  of  transfer,  as  provided  in  this
  section.
2.  If  within the fiscal year during which a transfer of title occurs
  or within the next succeeding fiscal year, an assessor is made aware  of
  the  fact  that  title  to  real  property  receiving a total or partial
  exemption from taxation has been transferred to a person, corporation or
  association not otherwise entitled to an exemption from taxation, he  or
  she  shall forthwith assess such property at its value as of the date of
  transfer, shall, where appropriate for purposes of article  eighteen  or
  nineteen  of this chapter, reclassify the property, and shall notify the
  new owner of the assessment and of the right of that owner to  a  review
  of  the  assessment and reclassification, if appropriate, as provided by
  title three of article five of this chapter.
3. For purposes of any fiscal year or years during which title to such
  property is transferred, such property shall  be  deemed  to  have  been
  omitted  and  the  assessed  value  thereof  shall  be  entered  on  the
  assessment roll to be used  for  the  next  tax  levy  by  or  for  each
  municipal  corporation  in  which  such  property is located in the same
  manner as provided by title three of article five of this  chapter  with
  respect  to  a  parcel  omitted from the assessment roll of the previous
  year. A pro rata tax shall be extended  against  the  property  for  the
  unexpired portion of each fiscal year. Such real property shall be taxed
  at  the  tax  rate  or  tax  rates  for the fiscal year during which the
  transfer occurred. The amount of tax or taxes levied  pursuant  to  this
  subdivision  shall  be deducted from the aggregate amount of taxes to be
  levied for the fiscal year immediately succeeding the fiscal year during
  which the transfer occurred.
4. For purposes of any fiscal year commencing on or after the date  on
  which  title  to  such property is transferred, if the assessor receives
  notice of such transfer prior to the levy of taxes for said fiscal year,
  the assessed value of such property shall be entered on  the  assessment
  roll  to  be used for the levy of taxes for said fiscal year in the same
  manner as provided by title three of article five of this  chapter  with
  respect to a parcel of property omitted from the assessment roll. If the
  assessor  fails  to receive notice of such transfer until after the levy
  of taxes for said fiscal year or  for  any  reason  fails  to  add  such
  property  to  the  assessment  roll as provided by this subdivision, the
  property shall be deemed to have been omitted and shall be  assessed  as
  provided  in  subdivision  three  of this section and shall be liable in
  full for the taxes levied for said fiscal year.
5. The provisions of this section shall not apply when the transferred
  property is receiving  only  the  school  tax  relief  (STAR)  exemption
  authorized  by  section four hundred twenty-five of this chapter, and no
  other exemption. If the property is receiving the STAR exemption and one
  or more other exemptions, the provisions of  this  section  shall  apply
  only  to  the extent that the property is receiving such other exemption
  or exemptions.