Requires the real property transfer tax return relating to residential property sold or purchased by a limited liability company to include information on the ownership of such company.
STATE OF NEW YORK
________________________________________________________________________
7190
2019-2020 Regular Sessions
IN ASSEMBLY
April 11, 2019
___________
Introduced by M. of A. ZEBROWSKI, COLTON, WRIGHT, DAVILA, COOK -- read
once and referred to the Committee on Ways and Means
AN ACT to amend the tax law and the administrative code of the city of
New York, in relation to real property transfer tax returns of limited
liability companies
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivision (a) of section 1409 of the tax law, as amended
2 by chapter 309 of the laws of 1996, is amended to read as follows:
3 (a) A joint return shall be filed by both the grantor and the grantee
4 for each conveyance whether or not a tax is due thereon other than a
5 conveyance of an easement or license to a public utility as defined in
6 subdivision two of section one hundred eighty-six-a of this chapter or
7 to a public utility which is a provider of telecommunication services as
8 defined in subdivision one of section one hundred eighty-six-e of this
9 chapter, where the consideration is two dollars or less and is clearly
10 stated as actual consideration in the instrument of conveyance. When the
11 grantor or grantee of a deed for residential real property containing
12 one- to four-family dwelling units is a limited liability company, the
13 joint return shall not be accepted for filing unless it is accompanied
14 by a document which identifies the names and business addresses of all
15 members, managers, and any other authorized persons, if any, of such
16 limited liability company and the names and business addresses or, if
17 none, the business addresses of all shareholders, directors, officers,
18 members, managers and partners of any limited liability company or other
19 business entity that are to be the members, managers or authorized
20 persons, if any, of such limited liability company. The identification
21 of such names and addresses shall not be deemed an unwarranted invasion
22 of personal privacy pursuant to article six of the public officers law.
23 If any such member, manager or authorized person of the limited liabil-
24 ity company is itself a limited liability company or other business
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD06386-01-9
A. 7190 2
1 entity, the names and addresses of the shareholders, directors, offi-
2 cers, members, managers and partners of the limited liability company or
3 other business entity shall also be disclosed until full disclosure of
4 ultimate ownership by natural persons is achieved. For purposes of this
5 subdivision, the terms "members", "managers", "authorized person",
6 "limited liability company" and "other business entity" shall have the
7 same meaning as those terms are defined in section one hundred two of
8 the limited liability company law. The return shall be filed with the
9 recording officer before the instrument effecting the conveyance may be
10 recorded. However, if the tax is paid to the commissioner pursuant to
11 section fourteen hundred ten of this article, the return shall be filed
12 with such commissioner at the time the tax is paid. In that instance, a
13 receipt evidencing the filing of the return and the payment of tax shall
14 be filed with the recording officer before the instrument effecting the
15 conveyance may be recorded. The recording officer shall handle such
16 receipt in the same manner as a return filed with the recording officer.
17 § 2. Section 11-2105 of the administrative code of the city of New
18 York is amended by adding a new subdivision h to read as follows:
19 h. When the grantor or grantee of a deed for residential real property
20 containing one- to four-family dwelling units is a limited liability
21 company, the joint return shall not be accepted for filing unless it is
22 accompanied by a document which identifies the names and business
23 addresses of all members, managers, and any other authorized persons, if
24 any, of such limited liability company and the names and business
25 addresses or, if none, the business addresses of all shareholders,
26 directors, officers, members, managers and partners of any limited
27 liability company or other business entity that are to be the members,
28 managers or authorized persons, if any, of such limited liability compa-
29 ny. The identification of such names and addresses shall not be deemed
30 an unwarranted invasion of personal privacy pursuant to article six of
31 the public officers law. If any such member, manager or authorized
32 person of the limited liability company is itself a limited liability
33 company or other business entity, the names and addresses of the share-
34 holders, directors, officers, members, managers and partners of the
35 limited liability company or other business entity shall also be
36 disclosed until full disclosure of ultimate ownership by natural persons
37 is achieved. For purposes of this subdivision, the terms "members",
38 "managers", "authorized person", "limited liability company" and "other
39 business entity" shall have the same meaning as those terms are defined
40 in section one hundred two of the limited liability company law.
41 § 3. This act shall take effect immediately.
