N.Y. Public Authorities Law § 2490-n: Exemption from taxes, assessments and certain fees

§ 2490-n. Exemption from taxes, assessments and certain fees. 1. It is

hereby determined that the creation of the authority and the carrying

out of its corporate purposes is in all respects for the benefit of the

people of the state and is a public purpose and the authority shall be

regarded as performing a governmental function in the exercise of the

powers conferred upon it by this title and shall not be required to pay

any taxes or assessments upon any property owned by it or under its

jurisdiction, control or supervision or upon its activities, or any

filing, recording or transfer fees or taxes in relation to instruments

filed, recorded or transferred by it or on its behalf. The construction,

use, occupation or possession of any property owned by the authority,

including improvements thereon, by any person or public corporation

under a lease, lease and sublease or any other agreement shall not

operate to abrogate or limit the foregoing exemption, notwithstanding

that the lessee, user, occupant or person in possession shall claim

ownership for federal income tax purposes. The authority shall be deemed

a public authority for the purposes of section four hundred twelve of

the real property tax law.

2. Any bonds issued pursuant to this title together with the income

therefrom as well as the property of the authority shall be exempt from

taxes, except for transfer and estate taxes. The state hereby covenants

with the purchasers and with all subsequent holders and transferees of

bonds issued by the authority pursuant to this title, in consideration

of the acceptance of and payment for the bonds, that the bonds of the

authority issued pursuant to this title and the income therefrom and all

revenues, moneys, and other property pledged to secure the payment of

such bonds shall at all times be free from taxation, except for transfer

and estate taxes.