N.Y. Education Law § 657: Tax exemption of corporation

§ 657. Tax exemption of corporation. 1. The property, income,

obligations and activities of the corporation shall be exempt from all

taxes and assessments.

2. The state of New York does hereby pledge to and agree with the

holders of the bonds, notes, or other obligations of the corporation

pursuant to this article, or of the state of New York mortgage agency

authorized in section two thousand four hundred six of the public

authorities law for the corporate purposes authorized in section two

thousand four hundred five-a of the public authorities law, or of any

other state entity authorized to issue bonds or notes under the New York

education loan program codified in part V of this article that are

issued for such purpose, and with the holders of such education loans,

that the provisions of law applicable to the New York education loan

program variable rate default reserve fund, the New York education loan

program fixed rate default reserve fund, or the state of New York

mortgage agency New York education loan program default reserve fund, as

applicable, and to the powers of the corporation to receive and deposit

in each such fund the applicable amounts described therein shall not be

amended in a manner adversely affecting the interests of such holders

without adequate provision being made to protect such interests and that

the corporation shall not be required to pay any taxes or assessments

upon any of its property or upon its activities pursuant to the

provisions of this article, or upon any moneys, funds, revenues or other

income held or received by the corporation, and that the obligations and

notes of the corporation and the income therefrom shall at all times be

exempt from taxation, except for estate and gift taxes and taxes on

transfers. Each of the corporation, the state of New York mortgage

agency and any such other public benefit corporation, is authorized to

include this pledge and agreement of the state in any agreements with

the holders of such bonds and with the holders of such education loans.