New York State Assembly

 
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A06953 Summary:

A06953 Actions:

A06953 Committee Votes:

Committee:WAYS AND MEANS   Chair:Weinstein      
DATE:06/08/2021AYE/NAY:29/5  Action: Favorable refer to committee Rules        
Weinstein
Aye
Ra
Aye
Glick
Aye
Fitzpatrick
Nay
Nolan
Excused
Hawley
Aye
Pretlow
Aye
Montesano
Nay
Perry
Aye
Blankenbush
Aye
Colton
Aye
Norris
Nay
Cook
Aye
Brabenec
Aye
Cahill
Nay
Palmesano
Aye
Aubry
Aye
Byrne
Nay
Cusick
Aye
Ashby
Aye
Benedetto
Aye
Weprin
Aye
Rodriguez
Aye
Ramos
Aye
Braunstein
Aye
McDonald
Aye
Rozic
Aye
Dinowitz
Aye
Joyner
Aye
Magnarelli
Aye
Zebrowski
Aye
Bronson
Aye
Dilan
Aye
Seawright
Aye
Hyndman
Aye

Committee:RULES   Chair:Gottfried      
DATE:06/08/2021AYE/NAY:27/3  Action: Favorable         
Heastie
Excused
Barclay
Aye
Gottfried
Aye
Hawley
Aye
Nolan
Aye
Giglio
Aye
Weinstein
Aye
Blankenbush
Aye
Pretlow
Aye
Norris
Nay
Cook
Aye
Montesano
Nay
Glick
Aye
Ra
Nay
Aubry
Aye
Brabenec
Aye
Englebright
Aye
Dinowitz
Aye
Colton
Aye
Magnarelli
Aye
Perry
Aye
Paulin
Aye
Peoples-Stokes
Aye
Benedetto
Aye
Lavine
Aye
Lupardo
Aye
Zebrowski
Aye
Thiele
Aye
Braunstein
Aye
Dickens
Aye
Davila
Aye

Committee:WAYS AND MEANS   Chair:Weinstein      
DATE:05/23/2022AYE/NAY:25/5  Action: Favorable refer to committee Rules        
Weinstein
Aye
Ra
Aye
Glick
Aye
Fitzpatrick
Nay
Nolan
Aye
Hawley
Aye
Pretlow
Aye
Montesano
Nay
Colton
Aye
Blankenbush
Excused
Cook
Aye
Norris
Nay
Cahill
Nay
Brabenec
Aye
Aubry
Aye
Palmesano
Aye
Cusick
Excused
Byrne
Nay
Benedetto
Aye
Ashby
Aye
Weprin
Aye
Ramos
Excused
Braunstein
Aye
McDonald
Aye
Rozic
Aye
Dinowitz
Aye
Joyner
Aye
Magnarelli
Aye
Zebrowski
Aye
Bronson
Aye
Dilan
Excused
Seawright
Aye
Hyndman
Excused
Walker
Aye
Bichotte Hermel
Aye

Committee:RULES   Chair:Gottfried      
DATE:05/24/2022AYE/NAY:27/2  Action: Favorable         
Heastie
Excused
Barclay
Excused
Gottfried
Aye
Hawley
Aye
Nolan
Aye
Giglio
Aye
Weinstein
Aye
Blankenbush
Aye
Pretlow
Aye
Norris
Nay
Cook
Aye
Montesano
Nay
Glick
Aye
Ra
Aye
Aubry
Aye
Brabenec
Aye
Englebright
Aye
Dinowitz
Aye
Colton
Aye
Magnarelli
Aye
Paulin
Aye
Peoples-Stokes
Aye
Benedetto
Aye
Lavine
Aye
Lupardo
Aye
Zebrowski
Aye
Thiele
Aye
Braunstein
Aye
Dickens
Aye
Davila
Aye
Hyndman
Aye

A06953 Floor Votes:

A06953 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
 submitted in accordance with Assembly Rule III, Sec 1(f)



 
BILL NUMBER: A6953A
 
SPONSOR: Kelles

 
TITLE OF BILL:
 
An act to amend the tax law, in relation to authorizing the county of
Cortland to impose a tax on real estate transfers; and providing for the
repeal of such provisions upon expiration thereof
 
 
PURPOSE OR GENERAL IDEA OF BILL:
 
Amending Article 31 of the New York State Tax law to permit Cortland
County to Impose a Tax on the Transfer of Real Property
 
 
SUMMARY OF PROVISIONS:
 
Cortland County Legislature requested an Amendment to New York State Tax
Law authorizing the County to impose and collect a local transfer tax of
one dollars ($1.00) when the consideration exceeds five hundred dollars
($500.00), at the rate of one dollar for each five hundred dollars, or
fractional part thereof,
 
 
DIFFERENCE BETWEEN ORIGINAL AND AMENDED VERSION (IF APPLICABLE):
 
 
JUSTIFICATION:
 
County of Cortland passed a resolution No 45-21
 
PRIOR LEGISLATIVE HISTORY:
 
NONE
 
 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
 
UNDETERMINED
 
 
EFFECTIVE DATE:
IMMEDIATELY

A06953 Text:

 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                         6953--A
 
                               2021-2022 Regular Sessions
 
                   IN ASSEMBLY
 
                                     April 14, 2021
                                       ___________
 
        Introduced by M. of A. KELLES -- read once and referred to the Committee
          on  Ways  and  Means  --  committee  discharged, bill amended, ordered
          reprinted as amended and recommitted to said committee
 
        AN ACT to amend the tax law, in relation to authorizing  the  county  of
          Cortland  to  impose a tax on real estate transfers; and providing for
          the repeal of such provisions upon expiration thereof
 
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section 1. The tax law is amended by adding a new article 31-H to read
     2  as follows:
     3                                ARTICLE 31-H
     4                        TAX ON REAL ESTATE TRANSFERS
     5                          IN THE COUNTY OF CORTLAND
     6  Section 1449-aaaaaa. Definitions.
     7          1449-bbbbbb. Imposition of tax.
     8          1449-cccccc. Payment of tax.
     9          1449-dddddd. Liability for tax.
    10          1449-eeeeee. Exemptions.
    11          1449-ffffff. Credit.
    12          1449-gggggg. Cooperative housing corporation transfers.
    13          1449-hhhhhh. Designation of agents.
    14          1449-iiiiii. Liability of recording officer.
    15          1449-jjjjjj. Refunds.
    16          1449-kkkkkk. Deposit and disposition of revenue.
    17          1449-llllll. Judicial review.
    18          1449-mmmmmm. Apportionment.
    19          1449-nnnnnn. Miscellaneous.
    20          1449-oooooo. Returns to be secret.
    21          1449-pppppp. Foreclosure.
    22    §  1449-aaaaaa.  Definitions. When used in this article, unless other-
    23  wise expressly stated:
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD10824-02-1
        A. 6953--A                          2
 
     1    1. "Person" means an individual,  partnership,  society,  association,
     2  joint  stock  company, corporation, estate, receiver, trustee, assignee,
     3  referee or any other person acting  in  a  fiduciary  or  representative
     4  capacity,  whether appointed by a court or otherwise, any combination of
     5  individuals,  and  any  other form of unincorporated enterprise owned or
     6  conducted by two or more persons.
     7    2. "Controlling interest" means (a) in  the  case  of  a  corporation,
     8  either  fifty  percent or more of the total combined voting power of all
     9  classes of stock of such corporation, or fifty percent or  more  of  the
    10  capital,  profits  or  beneficial  interest in such voting stock of such
    11  corporation, and (b) in the case of a partnership, association, trust or
    12  other entity, fifty percent or more of the capital, profits  or  benefi-
    13  cial interest in such partnership, association, trust or other entity.
    14    3.  "Real  property"  means every estate or right, legal or equitable,
    15  present or future, vested or contingent, in lands, tenements or  heredi-
    16  taments, including buildings, structures and other improvements thereon,
    17  which  are located in whole or in part within the county of Cortland. It
    18  shall not include rights to sepulture.
    19    4. "Consideration" means the price actually paid  or  required  to  be
    20  paid for the real property or interest therein, including payment for an
    21  option  or  contract to purchase real property, whether or not expressed
    22  in the deed and whether paid or required to be paid by money,  property,
    23  or  any  other  thing  of  value.  It  shall include the cancellation or
    24  discharge of an indebtedness or obligation. It shall  also  include  the
    25  amount  of  any  mortgage, purchase money mortgage, lien or other encum-
    26  brance, whether or not the underlying indebtedness is assumed  or  taken
    27  subject to.
    28    (a)  In the case of a creation of a leasehold interest or the granting
    29  of an option with use and  occupancy  of  real  property,  consideration
    30  shall  include, but not be limited to, the value of the rental and other
    31  payments attributable to the use and occupancy of the real  property  or
    32  interest therein, the value of any amount paid for an option to purchase
    33  or  renew  and the value of rental or other payments attributable to the
    34  exercise of any option to renew.
    35    (b) In the case of a creation of a  subleasehold  interest,  consider-
    36  ation  shall  include,  but not be limited to, the value of the sublease
    37  rental payments attributable to the use and occupancy of the real  prop-
    38  erty,  the value of any amount paid for an option to renew and the value
    39  of rental or other payments attributable to the exercise of  any  option
    40  to  renew  less  the  value of the remaining prime lease rental payments
    41  required to be made.
    42    (c) In the case of a controlling interest in any entity that owns real
    43  property, consideration shall mean the fair market  value  of  the  real
    44  property or interest therein, apportioned based on the percentage of the
    45  ownership interest transferred or acquired in the entity.
    46    (d)  In the case of an assignment or surrender of a leasehold interest
    47  or the assignment or surrender of an option or contract to purchase real
    48  property, consideration shall not include the  value  of  the  remaining
    49  rental  payments required to be made pursuant to the terms of such lease
    50  or the amount to be paid for the real property pursuant to the terms  of
    51  the option or contract being assigned or surrendered.
    52    (e) In the case of (1) the original conveyance of shares of stock in a
    53  cooperative housing corporation in connection with the grant or transfer
    54  of a proprietary leasehold by the cooperative corporation or cooperative
    55  plan  sponsor  and (2) the subsequent conveyance by the owner thereof of
    56  such stock in a cooperative housing corporation in connection  with  the
        A. 6953--A                          3
 
     1  grant  or  transfer  of  a  proprietary leasehold for a cooperative unit
     2  other than an individual residential unit, consideration shall include a
     3  proportionate share of the unpaid principal of any mortgage on the  real
     4  property  of  the cooperative housing corporation comprising the cooper-
     5  ative dwelling or dwellings. Such share shall be determined by multiply-
     6  ing the total unpaid principal of the mortgage by a fraction, the numer-
     7  ator of which shall be the number of shares of stock being  conveyed  in
     8  the  cooperative  housing  corporation  in  connection with the grant or
     9  transfer of a proprietary leasehold and the denominator of  which  shall
    10  be the total number of shares of stock in the cooperative housing corpo-
    11  ration.
    12    5.  "Conveyance"  means  the  transfer or transfers of any interest in
    13  real property by  any  method,  including  but  not  limited  to,  sale,
    14  exchange,  assignment, surrender, mortgage foreclosure, transfer in lieu
    15  of foreclosure, option,  trust  indenture,  taking  by  eminent  domain,
    16  conveyance upon liquidation or by a receiver, or transfer or acquisition
    17  of a controlling interest in any entity with an interest in real proper-
    18  ty.  Transfer of an interest in real property shall include the creation
    19  of a leasehold or sublease only where (a) the sum of  the  term  of  the
    20  lease  or sublease and any options for renewal exceeds forty-nine years,
    21  (b) substantial capital improvements are or may be made by  or  for  the
    22  benefit of the lessee or sublessee, and (c) the lease or sublease is for
    23  substantially  all  of  the  premises  constituting  the  real property.
    24  Notwithstanding the foregoing, conveyance of  real  property  shall  not
    25  include  the  creation,  modification,  extension, spreading, severance,
    26  consolidation, assignment, transfer, release or satisfaction of a  mort-
    27  gage;  a  mortgage  subordination agreement, a mortgage severance agree-
    28  ment, an instrument given to perfect or correct a recorded mortgage;  or
    29  a release of lien of tax pursuant to this chapter or the internal reven-
    30  ue code.
    31    6.  "Interest in the real property" includes title in fee, a leasehold
    32  interest, a beneficial interest, an encumbrance, development rights, air
    33  space and air rights, or any other interest with the  right  to  use  or
    34  occupancy  of  real  property  or the right to receive rents, profits or
    35  other income derived from real property. It shall also include an option
    36  or contract to purchase real property. It shall not include a  right  of
    37  first refusal to purchase real property.
    38    7.  "Grantor"  means the person making the conveyance of real property
    39  or interest therein. Where the conveyance consists of a transfer  or  an
    40  acquisition  of  a controlling interest in an entity with an interest in
    41  real property, "grantor" means the entity with an interest in real prop-
    42  erty or a shareholder  or  partner  transferring  stock  or  partnership
    43  interest.
    44    8.  "Grantee"  means  the person who obtains real property or interest
    45  therein as a result of a conveyance.
    46    9. "Recording officer" means the county clerk of the county  of  Cort-
    47  land.
    48    10.  "Treasurer" means the chief fiscal officer of the county of Cort-
    49  land.
    50    § 1449-bbbbbb. Imposition of tax. Notwithstanding any other provisions
    51  of law to the contrary, the county of Cortland, acting through its local
    52  legislative body, is hereby authorized and empowered to adopt and  amend
    53  local  laws  imposing  in  such  county a tax on each conveyance of real
    54  property or interest therein when the consideration exceeds five hundred
    55  dollars, at the rate of one dollar for  each  five  hundred  dollars  or
    56  fractional  part  thereof.    Such local law may apply to any conveyance
        A. 6953--A                          4
 
     1  occurring on or after the date designated by such legislative body,  but
     2  shall  not  apply  to conveyances made on or after such date pursuant to
     3  binding written contracts entered into prior to such date, provided that
     4  the  date  of  execution  of  such  contract is confirmed by independent
     5  evidence such as the recording of the contract, payment of a deposit  or
     6  other facts and circumstances as determined by the treasurer.
     7    § 1449-cccccc. Payment of tax. 1. The real estate transfer tax imposed
     8  pursuant to this article shall be paid to the treasurer or the recording
     9  officer  acting as the agent of the treasurer. Such tax shall be paid at
    10  the same time as the real estate transfer tax imposed by  article  thir-
    11  ty-one of this chapter is required to be paid. Such treasurer or record-
    12  ing  officer  shall  endorse  upon  each  deed or instrument effecting a
    13  conveyance a receipt for the amount of the tax so paid.
    14    2. A return shall be required to  be  filed  with  such  treasurer  or
    15  recording  officer  for purposes of the real estate transfer tax imposed
    16  pursuant to this article at the same time as a return is required to  be
    17  filed  for  purposes  of the real estate transfer tax imposed by article
    18  thirty-one of this chapter. The return, for purposes of the real  estate
    19  transfer  tax  imposed pursuant to this article, shall be a photocopy or
    20  carbon copy of the real estate transfer tax return required to be  filed
    21  pursuant  to  section  fourteen  hundred nine of this chapter.  However,
    22  when an apportionment is required to be made pursuant to  section  four-
    23  teen  hundred  forty-nine-mmmmmm  of  this  article, a supplemental form
    24  shall also be required to be filed. The real estate transfer tax returns
    25  and supplemental forms required to be filed  pursuant  to  this  section
    26  shall  be  preserved for three years and thereafter until such treasurer
    27  or recording officer orders them to be destroyed.
    28    3. The recording officer shall not record an  instrument  effecting  a
    29  conveyance unless the return required by this section has been filed and
    30  the  tax  imposed  pursuant  to  this  article  shall  have been paid as
    31  provided in this section.
    32    § 1449-dddddd. Liability for tax. 1.  The  real  estate  transfer  tax
    33  shall  be  paid by the grantor. If the grantor has failed to pay the tax
    34  imposed pursuant to this article or if the grantor is exempt  from  such
    35  tax,  the  grantee shall have the duty to pay the tax. Where the grantee
    36  has the duty to pay the tax because the grantor has failed to pay,  such
    37  tax  shall  be  the  joint  and several liability of the grantor and the
    38  grantee.
    39    2. For the purpose of the proper administration of this article and to
    40  prevent evasion of the tax hereby authorized, it shall be presumed  that
    41  all  conveyances  are taxable. Where the consideration includes property
    42  other than money, it shall be presumed that  the  consideration  is  the
    43  fair  market  value  of  the  real property or interest therein.   These
    44  presumptions shall prevail until the contrary is proven, and the  burden
    45  of proving the contrary shall be on the person liable for payment of the
    46  tax.
    47    §  1449-eeeeee.  Exemptions.  1.  The  following  shall be exempt from
    48  payment of the real estate transfer tax:
    49    (a) The state of New York, or any of its agencies,  instrumentalities,
    50  political  subdivisions,  or  public  corporations  (including  a public
    51  corporation created pursuant to agreement or compact with another  state
    52  or the Dominion of Canada).
    53    (b)  The  United  Nations, the United States of America and any of its
    54  agencies and instrumentalities.
    55    The exemption of such governmental bodies or persons shall not, howev-
    56  er, relieve a grantee from them of liability for the tax.
        A. 6953--A                          5
 
     1    2. The tax shall not apply to any of the following conveyances:
     2    (a)  Conveyances  to the United Nations, the United States of America,
     3  the state of New York, or any of their  instrumentalities,  agencies  or
     4  political  subdivisions  (or  any public corporation, including a public
     5  corporation created pursuant to agreement or compact with another  state
     6  or the Dominion of Canada);
     7    (b) Conveyances which are or were used to secure a debt or other obli-
     8  gation;
     9    (c)  Conveyances  which,  without  additional  consideration, confirm,
    10  correct, modify or supplement a prior conveyance;
    11    (d) Conveyances of real property without consideration  and  otherwise
    12  than  in  connection with a sale, including conveyances conveying realty
    13  as bona fide gifts;
    14    (e) Conveyances given in connection with a tax sale;
    15    (f) Conveyances to effectuate a mere change of  identity  or  form  of
    16  ownership  or organization where there is no change in beneficial owner-
    17  ship, other than conveyances to a cooperative housing corporation of the
    18  real property comprising the cooperative dwelling or dwellings;
    19    (g) Conveyances which consist of a deed of partition;
    20    (h) Conveyances given pursuant to the federal bankruptcy act;
    21    (i) Conveyances of real property which consist of the execution  of  a
    22  contract  to  sell  real  property  without the use or occupancy of such
    23  property or the granting of an option to purchase real property  without
    24  the use or occupancy of such property; and
    25    (j)  Conveyances  of  an  option or contract to purchase real property
    26  with the use or occupancy of such property where  the  consideration  is
    27  less than two hundred thousand dollars and such property was used solely
    28  by  the  grantor as his personal residence and consists of a one, two or
    29  three-family house, an individual residential condominium  unit  or  the
    30  sale  of  stock  in a cooperative housing corporation in connection with
    31  the grant or transfer of a proprietary leasehold covering an  individual
    32  residential cooperative unit.
    33    § 1449-ffffff. Credit. A grantor shall be allowed a credit against the
    34  tax  due  on a conveyance of real property to the extent tax was paid by
    35  such grantor on a prior creation of a leasehold of all or a  portion  of
    36  the  same  real  property or on the granting of an option or contract to
    37  purchase all or a portion of the same real property,  by  such  grantor.
    38  Such  credit  shall  be  computed  by  multiplying  the  tax paid on the
    39  creation of the leasehold or on the granting of the option  or  contract
    40  by  a fraction, the numerator of which is the value of the consideration
    41  used to compute such tax paid which is not yet due to  such  grantor  on
    42  the  date  of the subsequent conveyance (and which such grantor will not
    43  be entitled to receive after such date), and the denominator of which is
    44  the total value of the consideration used to compute such tax paid.
    45    § 1449-gggggg. Cooperative housing corporation transfers. 1.  Notwith-
    46  standing the definition of "controlling interest" contained in  subdivi-
    47  sion  two  of section fourteen hundred forty-nine-aaaaaa of this article
    48  or anything to the contrary contained in  subdivision  five  of  section
    49  fourteen  hundred  forty-nine-aaaaaa  of  this  article, the tax imposed
    50  pursuant to this article shall apply to (a) the original  conveyance  of
    51  shares  of stock in a cooperative housing corporation in connection with
    52  the grant or transfer of a  proprietary  leasehold  by  the  cooperative
    53  corporation  or cooperative plan sponsor, and (b) the subsequent convey-
    54  ance of such stock in a cooperative housing  corporation  in  connection
    55  with the grant or transfer of a proprietary leasehold by the owner ther-
    56  eof.   With respect to any such subsequent conveyance where the property
        A. 6953--A                          6
 
     1  is an individual residential unit, the consideration  for  the  interest
     2  conveyed  shall  exclude the value of any liens on certificates of stock
     3  or other evidences of an ownership interest in and a  proprietary  lease
     4  from  a corporation or partnership formed for the purpose of cooperative
     5  ownership of residential interest in real estate  remaining  thereon  at
     6  the time of conveyance. In determining the tax on a conveyance described
     7  in  paragraph  (a)  of this subdivision, a credit shall be allowed for a
     8  proportionate part of the amount of any tax paid upon the conveyance  to
     9  the  cooperative housing corporation of the real property comprising the
    10  cooperative dwelling or dwellings to the  extent  that  such  conveyance
    11  effectuated a mere change of identity or form of ownership of such prop-
    12  erty and not a change in the beneficial ownership of such property.  The
    13  amount  of  the  credit shall be determined by multiplying the amount of
    14  tax paid upon the conveyance to the cooperative housing corporation by a
    15  percentage representing the extent to which such conveyance  effectuated
    16  a  mere  change of identity or form of ownership and not a change in the
    17  beneficial ownership of such property, and then multiplying the  result-
    18  ing product by a fraction, the numerator of which shall be the number of
    19  shares  of stock conveyed in a transaction described in paragraph (a) of
    20  this subdivision and the denominator of which shall be the total  number
    21  of shares of stock of the cooperative housing corporation (including any
    22  stock  held by the corporation). In no event, however, shall such credit
    23  reduce the tax, on a conveyance  described  in  paragraph  (a)  of  this
    24  subdivision,  below zero, nor shall any such credit be allowed for a tax
    25  paid more than twenty-four months prior to the date on which occurs  the
    26  first  in  a  series of conveyances of shares of stock in an offering of
    27  cooperative housing corporation shares described  in  paragraph  (a)  of
    28  this subdivision.
    29    2.  Every cooperative housing corporation shall be required to file an
    30  information return with the treasurer by July  fifteenth  of  each  year
    31  covering the preceding period of January first through June thirty-first
    32  and  by  January fifteenth of each year covering the preceding period of
    33  July first through December thirty-first. The return shall contain  such
    34  information  regarding  the conveyance of shares of stock in the cooper-
    35  ative housing corporation as the treasurer may deem  necessary,  includ-
    36  ing,  but  not limited to, the names, addresses and employee identifica-
    37  tion numbers or social security numbers of the grantor and the  grantee,
    38  the  number  of  shares  conveyed,  the  date  of the conveyance and the
    39  consideration paid for such conveyance.
    40    § 1449-hhhhhh. Designation of agents. The treasurer is  authorized  to
    41  designate  the  recording  officer  to  act as its agent for purposes of
    42  collecting the tax authorized  by  this  article.  The  treasurer  shall
    43  provide  for  the  manner  in which such person may be designated as its
    44  agent subject to such terms and conditions as it  shall  prescribe.  The
    45  real  estate  transfer  tax  shall  be paid to such agent as provided in
    46  section fourteen hundred forty-nine-cccccc of this article.
    47    § 1449-iiiiii. Liability of recording  officer.  A  recording  officer
    48  shall  not  be  liable  for  any inaccuracy in the amount of tax imposed
    49  pursuant to this article that he shall  collect  so  long  as  he  shall
    50  compute and collect such tax on the amount of consideration or the value
    51  of  the  interest conveyed as such amounts are provided to him or her by
    52  the person paying the tax.
    53    § 1449-jjjjjj. Refunds. Whenever the treasurer  shall  determine  that
    54  any moneys received under the provisions of the local law enacted pursu-
    55  ant  to  this article were paid in error, it may cause such moneys to be
    56  refunded pursuant to  such  rules  and  regulations  it  may  prescribe,
        A. 6953--A                          7
 
     1  provided  any  application  for  such refund is filed with the treasurer
     2  within two years from the date the erroneous payment  was  made.    When
     3  making  any  findings  or determinations the treasurer may rely upon any
     4  findings  or  determinations of the commissioner and any rules and regu-
     5  lations promulgated pursuant to article thirty-one of this chapter.
     6    § 1449-kkkkkk. Deposit and disposition of revenue. All taxes collected
     7  or received by the treasurer or his  duly  authorized  agent  under  the
     8  provisions  of  the  local law enacted pursuant to this article shall be
     9  deposited in accordance with provisions of a local law  adopted  by  the
    10  legislative  body of the county of Cortland which local law shall desig-
    11  nate proper officers to be responsible for deposit of revenue  collected
    12  or  received  under this article. Such local law shall also provide that
    13  any officer designated to collect,  receive,  or  deposit  such  revenue
    14  shall  maintain  a  system  of accounts showing the revenue collected or
    15  received from the tax imposed pursuant to this article. Such  local  law
    16  shall  also provide that all revenue derived from the imposition of such
    17  tax shall be deposited into the general fund of the county  of  Cortland
    18  and  shall  be  used  for purposes deemed appropriate by the legislative
    19  body of the county of Cortland.
    20    § 1449-llllll. Judicial review. 1.  Any  final  determination  of  the
    21  amount  of  any  tax  payable under section fourteen hundred forty-nine-
    22  cccccc of this article shall be  reviewable  for  error,  illegality  or
    23  unconstitutionality or any other reason whatsoever by a proceeding under
    24  article seventy-eight of the civil practice law and rules if application
    25  therefor  is  made  to  the  supreme  court within four months after the
    26  giving of the notice of such  final  determination,  provided,  however,
    27  that  any such proceeding under article seventy-eight of the civil prac-
    28  tice law and rules shall not be instituted unless (a) the amount of  any
    29  tax  sought  to be reviewed, with such interest and penalties thereon as
    30  may be provided for by local law shall be first deposited and  there  is
    31  filed  an undertaking, issued by a surety company authorized to transact
    32  business in this state and approved by the superintendent  of  financial
    33  services of this state as to solvency and responsibility, in such amount
    34  as  a  justice  of the supreme court shall approve to the effect that if
    35  such proceeding be dismissed or the tax confirmed  the  petitioner  will
    36  pay  all  costs  and charges which may accrue in the prosecution of such
    37  proceeding or (b) at the option of the petitioner, such undertaking  may
    38  be in a sum sufficient to cover the taxes, interest and penalties stated
    39  in  such  determination,  plus  the  costs  and charges which may accrue
    40  against it in the prosecution of the  proceeding,  in  which  event  the
    41  petitioner  shall  not be required to pay such taxes, interest or penal-
    42  ties as a condition precedent to the application.
    43    2. Where any tax imposed hereunder shall have been erroneously,  ille-
    44  gally  or  unconstitutionally  assessed or collected and application for
    45  the refund or revision thereof duly made to the proper fiscal officer or
    46  officers, and such officer or officers shall have made  a  determination
    47  denying  such refund or revision, such determination shall be reviewable
    48  by a proceeding under article seventy-eight of the  civil  practice  law
    49  and  rules;  provided,  however,  that (a) such proceeding is instituted
    50  within four months after the giving of the notice of such denial, (b)  a
    51  final  determination  of  tax  due  was  not previously made, and (c) an
    52  undertaking is filed with the proper fiscal officer or officers in  such
    53  amount  and  with  such sureties as a justice of the supreme court shall
    54  approve to the effect that if such proceeding be dismissed  or  the  tax
    55  confirmed,  the  petitioner  will  pay  all  costs and charges which may
    56  accrue in the prosecution of such proceeding.
        A. 6953--A                          8
 
     1    3. In any proceedings instituted pursuant to this  article  the  rules
     2  and regulations of the commissioner shall be applied where applicable.
     3    § 1449-mmmmmm. Apportionment. The local law adopted by the legislative
     4  body  of the county of Cortland shall provide for a method of apportion-
     5  ment for determining the amount of tax due whenever the real property or
     6  interest therein is situated within and without the county of Cortland.
     7    § 1449-nnnnnn. Miscellaneous. The local law adopted by the legislative
     8  body of the county of Cortland may contain such other provisions as such
     9  legislative body deems necessary for the proper  administration  of  the
    10  tax  imposed  pursuant  to this article, including provisions concerning
    11  the determination of tax, the imposition of  interest  on  underpayments
    12  and  overpayments and the imposition of civil penalties. Such provisions
    13  shall be identical to the corresponding provisions of  the  real  estate
    14  transfer  tax  imposed  by article thirty-one of this chapter, so far as
    15  such provisions can be made applicable to the tax  imposed  pursuant  to
    16  this article.
    17    §  1449-oooooo.  Returns  to  be  secret. 1. Except in accordance with
    18  proper judicial order or as otherwise  provided  by  law,  it  shall  be
    19  unlawful  for  the treasurer or any officer or employee of the county of
    20  Cortland or any person engaged or retained by such county  on  an  inde-
    21  pendent  contract  basis  to  divulge  or  make  known in any manner the
    22  particulars set forth or disclosed in any return required under a  local
    23  law  enacted  pursuant  to  this  article. However, that nothing in this
    24  section shall prohibit the recording officer from making a  notation  on
    25  an  instrument effecting a conveyance indicating the amount of tax paid.
    26  No recorded instrument effecting a  conveyance  shall  be  considered  a
    27  return for purposes of this section.
    28    2.  The officers charged with the custody of such returns shall not be
    29  required to produce any of them or evidence  of  anything  contained  in
    30  them  in  any action or proceeding in any court, except on behalf of the
    31  county in any action or proceeding involving the collection of a tax due
    32  under a local law enacted pursuant to this article to which such  county
    33  or an officer or employee of such county is a party or a claimant, or on
    34  behalf  of any party to any action or proceeding under the provisions of
    35  a local law enacted pursuant to this article when the returns  or  facts
    36  shown thereby are directly involved in such action or proceeding, in any
    37  of  which  events the court may require the production of, and may admit
    38  in evidence, so much of said returns or of the facts shown  thereby,  as
    39  are pertinent to the action or proceeding and no more.
    40    3.  Nothing  herein  shall  be construed to prohibit the delivery to a
    41  grantor or grantee of an instrument effecting a conveyance or  the  duly
    42  authorized representative of a grantor or grantee of a certified copy of
    43  any  return  filed in connection with such instrument or to prohibit the
    44  publication of statistics so classified as to prevent the identification
    45  of particular returns and the items thereof, or the  inspection  by  the
    46  legal  representatives  of such county of the return of any taxpayer who
    47  shall bring action to set aside or review the tax based thereon.
    48    4. Any officer or employee of such county who willfully  violates  the
    49  provisions of this section shall be dismissed from office and be incapa-
    50  ble  of  holding  any  public  office in this state for a period of five
    51  years thereafter.
    52    § 1449-pppppp. Foreclosure. Where the conveyance consists of a  trans-
    53  fer  of property made as a result of an order of the court in a foreclo-
    54  sure proceeding ordering the sale of such property, the referee or sher-
    55  iff effectuating such transfer shall not be liable for any  interest  or
        A. 6953--A                          9

     1  penalties  that are authorized pursuant to this article or article thir-
     2  ty-seven of this chapter.
     3    §  2.  This  act shall take effect immediately and shall expire and be
     4  deemed repealed seven years after such date.