Exempts primary residential property purchased by first-time homebuyers meeting certain income and purchase price requirements from the tax on real estate transfers in the town of Southold, county of Suffolk.
Ayes (57): Addabbo, Avella, Ball, Bonacic, Boyle, Breslin, Carlucci, DeFrancisco, Diaz, Dilan, Farley, Felder, Flanagan, Gallivan, Gianaris, Gipson, Golden, Griffo, Grisanti, Hannon, Hoylman, Klein, Krueger, Lanza, Larkin, Latimer, LaValle, Libous, Little, Marcellino, Marchione, Martins, Maziarz, Montgomery, Nozzolio, O'Brien, O'Mara, Parker, Peralta, Perkins, Ranzenhofer, Ritchie, Rivera, Robach, Sampson, Sanders, Savino, Serrano, Seward, Skelos, Squadron, Stavisky, Stewart-Cousins, Tkaczyk, Valesky, Young, Zeldin
Excused (4): Espaillat, Hassell-Thomps, Kennedy, Smith
TITLE OF BILL: An act to amend the tax law, in relation to exempting primary residential property purchased by first-time homebuyers meeting certain income and purchase price requirements from the tax on real estate transfers in the town of Southold, county of Suffolk
PURPOSE: To amend subdivision 4 of Section 1449-ee of the tax law to add the town of Southold to those towns within the Peconic Bay region that have a first-time homebuyer's exemption from the Peconic Bay real estate transfer tax.
SUMMARY OF PROVISIONS:
Section 1. Amends tax law 1449-ee(4) to add the town of Southold to the towns granting a first-time homebuyers exemption from the Peconic Bay Real Estate Tax;
Amends subdivision (a)(1) to continue Southampton, East Hampton and Shelter Island as towns where the price limit of the exemption will be 120 percent of the purchase price limit defined by SONYMA;
Adds subdivision (a)(2) to add Southold as a town where the maximum price to qualify for the exemption will be 60 percent of the purchase price limit defined by SONYMA.
Section 2. Sets forth the effective date.
JUSTIFICATION: The five towns of eastern Suffolk County comprise what is known as the Peconic Bay region. The region has a tax on real property transfers, the proceeds of which go to the respective towns' Community Preservation funds. In 2008, at the request of East Hampton, Southampton and Shelter Island, chapter 349 amended the tax law allowing an exemption from the tax in those three towns for first-time homebuyers subject to income and price limitations.
The town of Southold is now requesting to be included in the first-time homebuyers program at an eligible price limit of 60 percent of the SONYMA limit which would provide a maximum price of $399.048. This legislation will assist low and moderate income residents of Southold to have the opportunity to enjoy home ownership.
LEGISLATIVE HISTORY: New bill.
FISCAL IMPLICATIONS: None to the State.
EFFECTIVE DATE: This act shall take effect immediately, provided, that the amendments to section 1449-ee of the tax law made by section 1 of this act shall not affect the repeal of such section and shall be deemed repealed therewith.
STATE OF NEW YORK ________________________________________________________________________ S. 6965 A. 9316 S E N A T E - A S S E M B L Y April 9, 2014 ___________IN SENATE -- Introduced by Sen. LAVALLE -- read twice and ordered print- ed, and when printed to be committed to the Committee on Investi- gations and Government Operations IN ASSEMBLY -- Introduced by M. of A. PALUMBO, THIELE -- read once and referred to the Committee on Ways and Means AN ACT to amend the tax law, in relation to exempting primary residen- tial property purchased by first-time homebuyers meeting certain income and purchase price requirements from the tax on real estate transfers in the town of Southold, county of Suffolk THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Subdivision 4 of section 1449-ee of the tax law, as added by chapter 349 of the laws of 2008, is amended to read as follows: 4. Primary residential property purchased by one or more persons, each of whom is a first-time homebuyer shall be exempt from the payment of the real estate transfer tax, in the towns of Southampton, East Hampton
[and], Shelter Island AND SOUTHOLD, provided that: (a)(1) IN THE TOWNS OF SOUTHAMPTON, EAST HAMPTON AND SHELTER ISLAND, the primary residential property is within one hundred twenty percent of the purchase price limits defined by the state of New York mortgage agency low interest rate mortgage program in the non-target one family categories for Suffolk county in effect on THE contract date for the sale of such property; (2) IN THE TOWN OF SOUTHOLD, THE PRIMARY RESIDENTIAL PROPERTY IS WITH- IN SIXTY PERCENT OF THE PURCHASE PRICE LIMITS DEFINED BY THE STATE OF NEW YORK MORTGAGE AGENCY LOW INTEREST RATE MORTGAGE PROGRAM IN THE NON- TARGET ONE FAMILY CATEGORIES FOR SUFFOLK COUNTY IN EFFECT ON THE CONTRACT DATE FOR THE SALE OF SUCH PROPERTY; and (b) the buyer's household income does not exceed the income limits defined by the state of New York mortgage agency low interest rate mort- gage program in the non-target, one and two person household category for Suffolk county in effect on the contract date for the sale of such property.EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD14177-01-4 S. 6965 2 A. 9316
S 2. This act shall take effect immediately, provided, that the amend- ments to section 1449-ee of the tax law made by section one of this act shall not affect the repeal of such section and shall be deemed repealed therewith.