2023 New York Laws › TAX - Tax › Article 31-H - Tax on Real Estate Transfers in the County of Madison › 1449-AAAAAA - Definitions.

§   1449-aaaaaa.  Definitions.  When  used  in  this  article,  unless
otherwise expressly stated:
1. "Person" means an individual,  partnership,  society,  association,
joint  stock  company, corporation, estate, receiver, trustee, assignee,
referee or any other person acting  in  a  fiduciary  or  representative
capacity,  whether appointed by a court or otherwise, any combination of
individuals, and any other form of unincorporated  enterprise  owned  or
conducted by two or more persons.
2.  "Controlling  interest"  means  (a)  in the case of a corporation,
either fifty percent or more of the total combined voting power  of  all
classes  of  stock  of such corporation, or fifty percent or more of the
capital, profits or beneficial interest in such  voting  stock  of  such
corporation, and (b) in the case of a partnership, association, trust or
other  entity,  fifty  percent  or  more  of  the  capital,  profits  or
beneficial interest in such partnership,  association,  trust  or  other
entity.
3.  "Real  property"  means every estate or right, legal or equitable,
present  or  future,  vested  or  contingent,  in  lands,  tenements  or
hereditaments,  including  buildings,  structures and other improvements
thereon, which are located in whole or in  part  within  the  county  of
Madison. It shall not include rights to sepulture.
4.  "Consideration"  means  the  price actually paid or required to be
paid for the real property or interest therein, including payment for an
option or contract to purchase real property, whether or  not  expressed
in  the deed and whether paid or required to be paid by money, property,
or any other thing of  value.  It  shall  include  the  cancellation  or
discharge  of  an  indebtedness or obligation. It shall also include the
amount  of  any  mortgage,  purchase  money  mortgage,  lien  or   other
encumbrance,  whether  or  not the underlying indebtedness is assumed or
taken subject to.
(a) In the case of a creation of a leasehold interest or the  granting
of  an  option  with  use  and occupancy of real property, consideration
shall include, but not be limited to, the value of the rental and  other
payments  attributable  to the use and occupancy of the real property or
interest therein, the value of any amount paid for an option to purchase
or renew and the value of rental or other payments attributable  to  the
exercise of any option to renew.
(b)   In   the   case  of  a  creation  of  a  subleasehold  interest,
consideration shall include, but not be limited to,  the  value  of  the
sublease  rental  payments  attributable to the use and occupancy of the
real property, the value of any amount paid for an option to  renew  and
the  value  of  rental or other payments attributable to the exercise of
any option to renew less the value of the remaining prime  lease  rental
payments required to be made.
(c) In the case of a controlling interest in any entity that owns real
property,  consideration  shall  mean  the fair market value of the real
property or interest therein, apportioned based on the percentage of the
ownership interest transferred or acquired in the entity.
(d) In the case of an assignment or surrender of a leasehold  interest
or the assignment or surrender of an option or contract to purchase real
property,  consideration  shall  not  include the value of the remaining
rental payments required to be made pursuant to the terms of such  lease
or  the amount to be paid for the real property pursuant to the terms of
the option or contract being assigned or surrendered.
(e) In the case of (1) 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 (2) the subsequent conveyance by the owner  thereof  of

such  stock  in a cooperative housing corporation in connection with the
grant or transfer of a proprietary  leasehold  for  a  cooperative  unit
other than an individual residential unit, consideration shall include a
proportionate  share of the unpaid principal of any mortgage on the real
property  of  the  cooperative  housing   corporation   comprising   the
cooperative  dwelling  or  dwellings.  Such share shall be determined by
multiplying the total unpaid principal of the mortgage  by  a  fraction,
the  numerator  of  which  shall  be the number of shares of stock being
conveyed in the cooperative housing corporation in connection  with  the
grant  or  transfer  of  a  proprietary leasehold and the denominator of
which shall be the total number of shares of stock  in  the  cooperative
housing corporation.
5.  "Conveyance"  means  the  transfer or transfers of any interest in
real property by  any  method,  including  but  not  limited  to,  sale,
exchange,  assignment, surrender, mortgage foreclosure, transfer in lieu
of foreclosure, option,  trust  indenture,  taking  by  eminent  domain,
conveyance upon liquidation or by a receiver, or transfer or acquisition
of  a  controlling  interest  in  any  entity  with  an interest in real
property. Transfer of an interest in real  property  shall  include  the
creation  of  a leasehold or sublease only where (a) the sum of the term
of the lease or sublease and any options for renewal exceeds  forty-nine
years, (b) substantial capital improvements are or may be made by or for
the benefit of the lessee or sublessee, and (c) the lease or sublease is
for  substantially  all  of the premises constituting the real property.
Notwithstanding the foregoing, conveyance of  real  property  shall  not
include  the  creation,  modification,  extension, spreading, severance,
consolidation,  assignment,  transfer,  release  or  satisfaction  of  a
mortgage;  a  mortgage  subordination  agreement,  a  mortgage severance
agreement,  an  instrument  given  to  perfect  or  correct  a  recorded
mortgage;  or  a  release of lien of tax pursuant to this chapter or the
internal revenue code.
6. "Interest in the real property" includes title in fee, a  leasehold
interest, a beneficial interest, an encumbrance, development rights, air
space  and  air  rights,  or any other interest with the right to use or
occupancy of real property or the right to  receive  rents,  profits  or
other income derived from real property. It shall also include an option
or  contract  to purchase real property. It shall not include a right of
first refusal to purchase real property.
7. "Grantor" means the person making the conveyance of  real  property
or  interest  therein. Where the conveyance consists of a transfer or an
acquisition of a controlling interest in an entity with an  interest  in
real  property,  "grantor"  means  the  entity  with an interest in real
property or a shareholder or partner transferring stock  or  partnership
interest.
8.  "Grantee"  means  the person who obtains real property or interest
therein as a result of a conveyance.
9. "Recording officer"  means  the  county  clerk  of  the  county  of
Madison.
10.  "Treasurer"  means  the  chief  fiscal  officer  of the county of
Madison.