Authorizes municipalities to grant a real property tax credit during the first year a veteran or veterans become eligible for the alternative veterans tax exemption.
BILL NUMBER:S7421 REVISED 06/07/12
TITLE OF BILL: An act to amend the real property tax law, in relation to authorizing municipalities to establish a property tax credit for the first taxable year in which an alternative veterans exemption is granted
PURPOSE: To authorize municipalities to grant a real property tax credit during the first year a veteran becomes eligible for the alternative veterans real property tax exemption.
SUMMARY OF PROVISIONS: Section 1 of the bill adds a new paragraph (c-1) to subdivision 2 of section 458-a of the real property tax law to authorize counties, towns and villages to, at local option, provide a real property tax credit applicable during the first year in which qualifying residential real property becomes exempt. Such credit shall not exceed two hundred fifty dollars from each entity, or seven hundred fifty dollars in total.
JUSTIFICATION: New York State Real Property Tax Law authorizes counties, towns and villages to offer an "Alternative Veterans Exemption" whereby qualified veterans are given a property tax exemption ranging from 15-50% of their primary property's non-school property taxes. Unfortunately, because of constraints within the Real Property Tax Law, a veteran will be forced to wait between nine and 21 months to get the financial benefit of the exemption for which he or she is qualified. In addition to placing their physical health in jeopardy, military service also places a significant financial strain on a service member and their family. Allowing this credit in the first year a veteran becomes eligible for the alternative veterans real property tax exemption would lessen the financial burden caused by the significant waiting period.
LEGISLATIVE HISTORY: New bill.
FISCAL IMPLICATIONS: None to state.
LOCAL FISCAL IMPLICATIONS: None imposed, as the decision to offer this credit is at local option.
EFFECTIVE DATE: This act shall take effect immediately.
STATE OF NEW YORK ________________________________________________________________________ 7421 IN SENATE May 11, 2012 ___________Introduced by Sen. JOHNSON -- read twice and ordered printed, and when printed to be committed to the Committee on Veterans, Homeland Securi- ty and Military Affairs AN ACT to amend the real property tax law, in relation to authorizing municipalities to establish a property tax credit for the first taxa- ble year in which an alternative veterans exemption is granted THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Subdivision 2 of section 458-a of the real property tax law is amended by adding a new paragraph (c-1) to read as follows: (C-1) IN ADDITION TO THE EXEMPTIONS PROVIDED BY PARAGRAPHS (A), (B) AND (C) OF THIS SUBDIVISION, A COUNTY, TOWN OR VILLAGE MAY BY LOCAL LAW ESTABLISH AND IMPLEMENT A REAL PROPERTY TAX CREDIT APPLICABLE DURING THE FIRST YEAR IN WHICH QUALIFYING RESIDENTIAL REAL PROPERTY BECOMES EXEMPT PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION. THE AMOUNT OF SUCH CREDIT SHALL NOT EXCEED TWO HUNDRED FIFTY DOLLARS FOR EACH VETERAN WHO OWNS THE QUALIFYING RESIDENTIAL REAL PROPERTY; PROVIDED THAT IN NO EVENT SHALL THE CREDIT GRANTED TO ANY SUCH REAL PROPERTY EXCEED SEVEN HUNDRED FIFTY DOLLARS. S 2. This act shall take effect immediately.EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD15763-02-2