Establishes a capped real property school tax rate for persons seventy years of age or older who meet the eligibility requirements for the enhanced school tax relief exemption.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A2533
SPONSOR: Englebright (MS) TITLE OF BILL:
An act to amend the real property tax law, in relation to establishing a
capped real property school tax rate for persons seventy years of age or
older who meet the eligibility requirements for the enhanced STAR
exemption
PURPOSE OR GENERAL IDEA OF BILL:
To create a fixed real property school tax rate for real property owners
seventy (70) years of age or older who qualify for the enhanced STAR
exemption.
SUMMARY OF PROVISIONS:
This bill amends the real property tax law by establishing a fixed real
property school tax rate for persons seventy years of age or over who
meet the requirements for the enhanced STAR exemption. The enhanced STAR
exemption is available for the primary residences of senior citizens
with yearly household incomes not exceeding the state- wide standard.
1: (a) Under the bill, residential real property owned and occupied by:
individuals who are 70 years of age or over; or by husband and wife, one
of whom is 70 years of age or older and meets each of the requirements
for the enhanced STAR exemption, shall be eligible for a fixed real
property school tax rate;
(b) "fixed real property school tax rate" shall mean the lower of: (i)
the real property school tax rate established on the taxable status date
immediately following the date on which an eligible person attains the
age of 70 years; or
(ii) the real property school tax rate established on any taxable status
date after an eligible person attains the age of 70 years; and
(c) the fixed real property school tax rate shall be determined annually
for each eligible person.
2: The bill requires eligible persons to apply annually for the fixed
rate in a manner and form determined by the school district. The bill
also requires eligible persons to submit proof of age.
3: Every school district shall notify residential real property owners
of the provisions of this bill.
DIFFERENCE BETWEEN ORIGINAL AND AMENDED VERSION (IF APPLICABLE):JUSTIFICATION:
By the time New Yorkers attain the age of seventy, they typically no
longer have dependents in the New York State school system. This bill is
designed to benefit New York's senior citizens who are seventy years of
age or older by freezing real property school tax rates. By providing a
fixed school tax rate to persons aged seventy or older, this bill
ensures some tax relief to persons no longer reaping the benefits that
the real property school tax provides.
PRIOR LEGISLATIVE HISTORY:
2005-06 A4641-B reported referred to ways and means
2007-08 A1894 reported referred to ways and means; S3533 referred to
ways and means
2009-10 A3139 referred to real property taxation; S2051 referred to
aging
2011-12 A3943 referred to real property taxation; S2998 referred to
local government
2013-14 A1212 referred to real property taxation; S1767 referred to
aging
2015-16 A1472 referred to real property taxation; S1480 reported and
committed to finance
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
None to the State.
EFFECTIVE DATE:
This act shall take effect on the first of January next succeeding the
date on which it shall have become a law and shall apply to assessment
rolls prepared on the basis of taxable status dates occurring on or
after such date.
STATE OF NEW YORK
________________________________________________________________________
S. 3195 A. 2533
2017-2018 Regular Sessions
SENATE - ASSEMBLY
January 20, 2017
___________
IN SENATE -- Introduced by Sens. LAVALLE, GALLIVAN, MURPHY, RITCHIE,
SERINO, SEWARD, YOUNG -- read twice and ordered printed, and when
printed to be committed to the Committee on Aging
IN ASSEMBLY -- Introduced by M. of A. ENGLEBRIGHT, MONTESANO, BENEDETTO,
ABBATE, PAULIN -- Multi-Sponsored by -- M. of A. GUNTHER, LUPARDO,
MAGEE, McDONOUGH, RA, RAIA, RAMOS, THIELE -- read once and referred to
the Committee on Real Property Taxation
AN ACT to amend the real property tax law, in relation to establishing a
capped real property school tax rate for persons seventy years of age
or older who meet the eligibility requirements for the enhanced STAR
exemption
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The real property tax law is amended by adding a new
2 section 431 to read as follows:
3 § 431. Persons seventy years of age or over; capped real property
4 school tax rate. 1. (a) Residential real property owned and occupied by
5 one or more persons, each of whom is seventy years of age or over and
6 meets each of the requirements for the enhanced exemption for senior
7 citizens set forth in section four hundred twenty-five of this article,
8 or residential real property owned and occupied by husband and wife, one
9 of whom is seventy years of age or over and meets each of the require-
10 ments for the enhanced exemption for senior citizens set forth in
11 section four hundred twenty-five of this article, shall be eligible for
12 the capped real property school tax rate set forth in this section,
13 provided the school district, after public hearing, adopts a resolution
14 providing therefor.
15 (b) For purposes of this section, the term "capped real property
16 school tax rate" shall mean the lower of:
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD03170-01-7
S. 3195 2 A. 2533
1 (i) the real property school tax rate established on the taxable
2 status date next succeeding the date on which an eligible person attains
3 the age of seventy years; or
4 (ii) the real property school tax rate established on any taxable
5 status date subsequent to the date on which an eligible person attains
6 the age of seventy years, which is lower than the real property school
7 tax rate established pursuant to subparagraph (i) of this paragraph.
8 (c) The capped real property school tax rate shall be determined annu-
9 ally for each eligible person seventy years of age or older in accord-
10 ance with the provisions of paragraphs (a) and (b) of this subdivision.
11 2. Any person eligible for the capped real property school tax rate
12 shall apply annually for such capped rate. Such application shall be
13 made in a manner and form determined by the state board and shall
14 require proof of the applicant's age. Such application shall be filed
15 with the local assessor on or before the taxable status date for such
16 district.
17 3. Every school district shall notify, or cause to be notified, each
18 person owning residential real property in the school district of the
19 provisions of this section. The provisions of this subdivision may be
20 met by a notice sent to such persons in substantially the following
21 form: "Residential real property owned by persons seventy years of age
22 or older may be eligible for a capped real property school tax rate. To
23 receive such capped rate, eligible owners of qualifying property must
24 file an application with their local assessor on or before the applica-
25 ble taxable status date. For further information, please contact your
26 local assessor."
27 4. A school district which provides a capped real property school tax
28 rate for persons seventy years of age or over pursuant to this section
29 shall be eligible for reimbursement by the department of education, as
30 approved by the commissioner of education, in consultation with the
31 commissioner of taxation and finance, for one hundred percent of the
32 direct cost to such school district resulting from the implementation of
33 this section. Such direct cost shall be calculated pursuant to regu-
34 lations of the commissioner of education, in consultation with the
35 commissioner of taxation and finance. A claim for such reimbursement
36 shall be made by such school district in a manner and form prescribed by
37 the commissioner of education.
38 § 2. This act shall take effect on the first of January next succeed-
39 ing the date on which it shall have become a law and shall apply to
40 assessment rolls prepared on the basis of taxable status dates occurring
41 on or after such date.
