S7484A-2011 Actions

• Aug 17, 2012: APPROVAL MEMO.9
• Aug 17, 2012: SIGNED CHAP.430
• Aug 6, 2012: DELIVERED TO GOVERNOR
• Jun 21, 2012: returned to senate
• Jun 21, 2012: passed assembly
• Jun 21, 2012: ordered to third reading rules cal.594
• Jun 21, 2012: substituted for a10732
• Jun 21, 2012: referred to ways and means
• Jun 21, 2012: DELIVERED TO ASSEMBLY
• Jun 21, 2012: PASSED SENATE
• Jun 21, 2012: ORDERED TO THIRD READING CAL.1480
• Jun 21, 2012: COMMITTEE DISCHARGED AND COMMITTED TO RULES
• Jun 18, 2012: PRINT NUMBER 7484A
• Jun 18, 2012: AMEND AND RECOMMIT TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
• May 25, 2012: REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS

S7484A-2011 Meetings

S7484A-2011 Calendars

S7484A-2011 Votes

S7484A-2011 Memo

BILL NUMBER:S7484A

TITLE OF BILL:
An act
in relation to a certain agreement for a payment in lieu of taxes

PURPOSE:
Relates to payments in lieu of taxes made by certain entities for
property located at 176 Rinaldi Boulevard, Poughkeepsie, New York

SUMMARY OF PROVISIONS:
Section 1. Makes provisions for payments in lieu of taxes made by
certain entities for specified properties and relates to eligibility
for real property tax credit.

Section 2. Effective date.

JUSTIFICATION:
Qualified Empire Zone Enterprises (QEZE) are vital businesses within
our communities that encourage job growth and foster economic
development. As an incentive to participate, these entities qualify
for tax exemptions and refunds. For example, under New York State tax
law, a QEZE tenant that is responsible for property taxes under its
lease is eligible for a refund for paid property taxes. Payments by a
lessee made pursuant to a PILOT agreement qualify as property taxes
that are eligible for this refund.

Nevertheless, there has been a recent policy shift within the New York
State Tax Department of Finance (NYSTDF) regarding this type of
agreement. NYSTDF has denied credit for lessee payments as a result
of them not being a "party to" the PILOT agreement between the
landlord and the tax jurisdiction. As a result, lessees who have been
approved for the tax credit, have paid taxes consistent with their
lease agreements, and have been audited by the state during the
relevant time period, are now being assessed for credits awarded in
prior years and face denials in future years.

These entities have complied with the spirit of the law, and have
relied on the tax credit as a significant component of their budgets.
Such a policy not only creates a disincentive for these businesses to
continue their work in our communities, but jeopardizes their current
fiscal integrity.

PRIOR LEGISLATIVE HISTORY:
New bill.

FISCAL IMPLICATIONS:
None.

EFFECTIVE DATE:
This act shall take effect immediately and shall apply to taxable
years beginning on and after January 1, 2008.

S7484A-2011 Text

 S T A T E   O F   N E W   Y O R K
 
 7484--A
 I N  SENATE
 May 25, 2012
 
 Introduced  by  Sen.  SALAND -- read twice and ordered printed, and when
 printed to be committed to the Committee on Investigations and Govern
 ment  Operations  --  committee  discharged,  bill  amended,   ordered
 reprinted as amended and recommitted to said committee
 

AN ACT in relation to a certain agreement for a payment in lieu of taxes
 

THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM
 BLY, DO ENACT AS FOLLOWS:

 

Section 1.  Notwithstanding  the  provisions  of  subdivision  (e)  of
 section 15 of the tax law, any payment in lieu of taxes made by a quali
 fied  empire zone enterprise to the state, a municipal corporation, or a
 public benefit corporation pursuant to its lease agreement for  property
 located at 176 Rinaldi Boulevard, Poughkeepsie, New York with a landlord
 that  is  a  party  to  a payment in lieu of taxes agreement between the
 landlord and the state, municipal corporation, or public benefit  corpo
 ration  shall  be deemed, for the purposes of subdivision (e) of section
 15 of the tax law, to have been made pursuant to a payment  in  lieu  of
 taxes agreement with the state, municipal corporation, or public benefit
 corporation.  Such qualified empire zone enterprise shall be eligible to
 claim the real property tax credit provided by section 15 of the tax law
 provided that for each of such periods, the landlord  has  not  filed  a
 claim  for  the  real  property  tax credit for such payments nor made a
 payment in lieu of taxes to the state, municipal corporation, or  public
 benefit  corporation pursuant to its agreement with the state, municipal
 corporation, or public benefit corporation for such payments.   Notwith
 standing  any section of law to the contrary, such credit shall be based
 upon the payments in lieu of taxes and employment of the tenant.
 

S 2. This act shall take effect immediately and shall apply to taxable
 years beginning on and after January 1, 2008.
 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD16007-02-2

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