N.Y. Real Property Tax Law § 467-l: Rebate for owners of certain real property in the city of New York

§ 467-l. Rebate for owners of certain real property in the city of New

York. 1. Generally. Notwithstanding any provision of any general,

special or local law to the contrary, a city having a population of one

million or more is hereby authorized and empowered to adopt and amend

local laws in accordance with this section to grant a rebate of the

annual tax of an eligible property, in the amount provided in this

section, for the fiscal year beginning on the first of July, two

thousand twenty-one and ending on the thirtieth of June, two thousand

twenty-two to the owner of such eligible property, provided the

qualified gross income of all the owners for whom such property serves

as their primary residence was two hundred fifty thousand dollars or

less in tax year two thousand twenty. Where the eligible property, other

than an eligible property that is a dwelling unit in residential

property held in the cooperative form of ownership, is in arrears in the

payment of real property taxes, assessments, and any other charges that

are made a lien subject to the provisions of chapter three of title

eleven of the administrative code of the city of New York other than

water rents, sewer rents and sewer surcharges, such rebate shall be

applied to any such unpaid real property taxes, assessments, and other

charges on the account of such eligible property. Where the eligible

property is a dwelling unit in residential property held in the

cooperative form of ownership and such residential property is in

arrears in the payment of real property taxes, assessments, and any

other charges that are made a lien subject to the provisions of chapter

three of title eleven of the administrative code of the city of New York

other than water rents, sewer rents and sewer surcharges, such rebate

shall be applied to any unpaid real property taxes, assessments, and

other charges on the account of such residential property in an amount

equal to the proportionate share of the arrears of the dwelling unit.

Notwithstanding any provision of this article to the contrary, an owner

whose property is receiving benefits pursuant to any other section of

this article shall not be prohibited from receiving a rebate authorized

pursuant to this section if such owner is otherwise eligible to receive

such rebate.

2. Definitions. As used in this section the following terms shall have

the following meanings:

a. "Annual tax" means the amount of real property tax that is imposed

on a property for the fiscal year beginning on the first of July, two

thousand twenty-one, determined after reduction for any amount for which

such property is exempt, or which is abated, pursuant to applicable law,

provided that, for a property that is a dwelling unit in residential

property held in the cooperative form of ownership, "annual tax" means

the amount of real property tax that is imposed on such residential

property divided by the number of units within such residential

property, including dwelling units and units used primarily for

professional or commercial purposes, determined after reduction for any

amount for which such property that is a dwelling unit is exempt, or

which is abated, pursuant to applicable law.

b. "Applicant" means an owner of an eligible property who, pursuant to

subdivision six of this section, may apply for the rebate authorized

pursuant to this section.

c. "Commissioner of finance" means the commissioner of finance of a

city having a population of one million or more, or such commissioner's

designee.

d. "Eligible property" means a property that, beginning on or after

June fifteenth, two thousand twenty-two, serves as the primary residence

of the owner of such property, and served as such owner's primary

residence during the ninety days prior to such date.

e. "Erroneous rebate" means:

(i) a rebate that was granted to an owner who was not entitled to a

rebate under this section; or

(ii) a rebate that was granted or calculated in error under this

section.

f. "Owner" means one or more natural persons who, beginning on or

after June fifteenth, two thousand twenty-two, either:

(i) owns a property in fee simple absolute or as a tenant in common, a

joint tenant or a tenant by the entirety;

(ii) is a tenant-stockholder of a cooperative apartment corporation

who resides in a portion of real property owned by such cooperative

apartment corporation, to the extent represented by their share or

shares of stock in such corporation as determined by their proportional

relationship to the total outstanding stock of such corporation,

including such stock owned by such corporation; or

(iii) owns a present interest in a property under a life estate or who

is a beneficial owner under a trust.

g. "Immediate family member" means an owner's spouse, domestic

partner, sibling or child.

h. "Property" means a one, two, or three family residence or a

dwelling unit in residential property held in the cooperative or

condominium form of ownership. "Property" shall not include any vacant

land.

i. "Proportionate share of the arrears of the dwelling unit" is the

quotient of the amount of unpaid real property taxes, assessments, and

other charges of a residential property held in the cooperative form of

ownership divided by the number of units therein, including dwelling

units and units used primarily for professional or commercial purposes.

j. "Qualified gross income" means the adjusted gross income for the

taxable year as reported for federal income tax purposes, or which would

be reported as adjusted gross income if a federal income tax return were

required to be filed. In computing qualified gross income, the net

amount of loss reported on Federal Schedule C, D, E, or F shall not

exceed three thousand dollars per schedule.

k. "Substantially higher" means no more than two hundred seventy-five

thousand dollars.

3. Primary residence. Any local law adopted pursuant to this section

shall establish a process by which an owner of a property shall

demonstrate primary residence, provided that such local law shall not

require such demonstration from an owner who receives a real property

tax exemption pursuant to section four hundred twenty-five of this title

or a school tax relief credit pursuant to subsection (eee) of section

six hundred six of the tax law for such property for the fiscal year

commencing on the first of July, two thousand twenty-two.

4. Amount of rebate. The amount of the rebate to be provided by the

commissioner of finance shall be the lesser of one hundred fifty dollars

or the annual tax imposed on the property.

5. Qualification for rebate for recipients of STAR credit or

exemption. The owner of an eligible property who receives a real

property tax exemption pursuant to section four hundred twenty-five of

this title or a school tax relief credit pursuant to subsection (eee) of

section six hundred six of the tax law for the fiscal year commencing on

the first of July, two thousand twenty-two and satisfies the

requirements described in subdivision one of this section shall not be

required to file, and shall not file, an application for the rebate

authorized pursuant to this section. To the extent the commissioner of

finance determines that such an owner is not entitled to the rebate

authorized pursuant to this section, the commissioner shall send to such

owner a notice of denial of the rebate.

6. Qualification for rebate for owners of an eligible property who are

not recipients of STAR credit or exemption. a. Generally. The owner of

an eligible property who does not receive a real property tax exemption

pursuant to section four hundred twenty-five of this title or a school

tax relief credit pursuant to subsection (eee) of section six hundred

six of the tax law for the fiscal year commencing on the first of July,

two thousand twenty-two may file an application for the rebate

authorized pursuant to this section, provided that, such owner satisfies

the requirements described in subdivision one of this section, and

provided, further, that for an eligible property that serves as the

primary residence of more than one owner, all such owners shall jointly

file an application for such rebate. Notwithstanding any provision of

any general, special or local law to the contrary, an application for a

rebate authorized pursuant to this section shall be filed by electronic

means on or before the date or dates established in the local law

adopted pursuant to this section. Upon a showing by an applicant that

filing an application by electronic means is not practicable for reasons

including but not limited to lack of access to, or ability to use, the

technology needed to file by electronic means, the commissioner of

finance may grant a waiver of the requirement to file such application

by electronic means. No rebate shall be granted pursuant to this section

unless the owner files such application within the time period or time

periods prescribed by the local law adopted pursuant to this section. No

more than one application shall be submitted for an eligible property.

b. Approval or denial of application. If the commissioner of finance

determines that an applicant is entitled to the rebate authorized

pursuant to this section, the commissioner shall approve such

application, notify such applicant of such approval, and grant such

rebate to such applicant. If the commissioner of finance determines that

an applicant is not entitled to the rebate authorized pursuant to this

section, the commissioner shall send to each such applicant a notice of

denial of such application. Such notice of denial shall specify the

reason for such denial and shall be sent in a manner to be provided in

local laws or in rules promulgated by the commissioner of finance.

Failure to send any such notice of denial or the failure of any

applicant to receive such notice shall not affect such denial and shall

not prevent the levy, collection and enforcement of taxes on the

property of such applicant.

c. Review of submission. The burden shall be on the applicant to

establish that the property is the primary residence of such applicant,

that the qualified gross income of all the owners for whom such property

serves as their primary residence is two hundred fifty thousand dollars

or less and that any other requirements relating to the granting of the

rebate are satisfied.

d. Oath. The commissioner of finance shall have the authority to

require that statements made in connection with any application filed

pursuant to this section be made under oath. Such application shall

contain the following declaration: "I certify that all information

contained in this application is true and correct to the best of my

knowledge and belief. I understand that willful making of any false

statement of material fact herein will subject me to the provisions of

law relevant to the making and filing of false instruments and will

render this application null and void." Such application shall also

state that the applicant agrees to comply with and be subject to any

rules promulgated by the commissioner of finance pursuant to this

section.

7. Denial and revocation of rebate. a. Generally. The commissioner of

finance shall deny an application for a rebate or revoke any rebate

authorized pursuant to this section if it appears that: (i) the property

does not serve as the primary residence of the owner who has applied for

such rebate or who received the real property tax exemption pursuant to

section four hundred twenty-five of this title or a school tax relief

credit pursuant to subsection (eee) of section six hundred six of the

tax law for such property for the fiscal year commencing on the first of

July, two thousand twenty-two, (ii) prior to the granting of the rebate

authorized pursuant to this section, title to the property has been

transferred to a new owner other than to an immediate family member for

whom the property serves as the primary residence until, at a minimum,

the date on which such rebate is granted, or (iii) the property is

otherwise no longer eligible for the rebate.

b. Rights of owners. Upon determining that a rebate authorized

pursuant to this section shall be revoked, the commissioner of finance

shall send a notice so stating to the affected owner at the time and in

the manner to be provided in the local law adopted pursuant to this

section. Granting a rebate authorized pursuant to this section, denying

a rebate pursuant to subdivision five of this section, denying an

application for a rebate pursuant to paragraph b of subdivision six of

this section, or revoking a rebate granted pursuant to this section

shall constitute a final determination of the commissioner of finance,

unless, within ninety days, the owner seeks administrative review by the

commissioner of finance of such determination, provided that the burden

shall be on the owner to establish eligibility for the rebate. The

failure to grant a rebate authorized pursuant to this section to an

owner who is not required to submit an application pursuant to

subdivision five of this section and who does not receive a notice of

denial pursuant to such subdivision shall constitute a final

determination by the commissioner of finance unless such owner seeks

administrative review by such commissioner of such determination no

later than the first of July, two thousand twenty-three.

8. Restriction on rebate for married couples with two or more

residences. The rebate authorized by this section shall be granted on no

more than one property owned by a married couple, unless such spouses

are living apart due to legal separation.

9. Record of ownership of an eligible property. Any local law adopted

pursuant to this section shall require that ownership of an eligible

property be recorded with the city register, the Richmond county clerk,

or the automated city register information system by the thirtieth of

June, two thousand twenty-two.

10. Proof of residency and information regarding qualified gross

income. In accordance with subdivisions one and three of this section,

the commissioner of finance may request proof of residency and

information relating to qualified gross income from any owner seeking to

receive a rebate authorized pursuant to this section.

11. Rebate returned for re-issuance. The commissioner of finance may

provide a credit against the annual tax of an eligible property in the

amount of the rebate when an owner of an eligible property requests that

a check in the amount of the rebate be re-issued to such owner, except

that no such credit shall be provided later than two years from the date

the rebate is granted.

12. Recovery of erroneous rebate. a. If the commissioner of finance

determines that an owner received an erroneous rebate, the commissioner

of finance shall recover such erroneous rebate, within six years of the

granting of such rebate, by deducting the amount of such erroneous

rebate from any refund otherwise payable to the owner of such property,

and any balance of the amount of such erroneous rebate remaining unpaid

shall constitute a tax lien on the property of such owner as of the due

and payable date provided on the tax bill mailed by the commissioner of

finance containing such amount. If such amount is not paid by such due

and payable date, interest at the rate applicable to delinquent real

property taxes on such property shall be charged and collected on such

amount from the due and payable date provided on such notice to the date

of payment. Such tax lien shall be enforceable in accordance with the

provisions of law relating to the enforcement of tax liens in any such

city. No lien created pursuant to this section shall be enforced against

a subsequent purchaser for value in good faith, provided that the

purchase occurred prior to the date the amount of the erroneous rebate

was entered on the statement of account for such property. Such

authority shall supplement any other authority of the commissioner of

finance to enforce payment of the erroneous rebate by the owner of such

property.

b. To the extent a rebate was granted or calculated in error under

this section, the amount of the erroneous rebate shall be equal to the

difference between the amount of the rebate originally granted and the

amount to which the owner was entitled.

13. Penalty for material misstatements. a. Generally. If the

commissioner of finance determines, within three years from the granting

of a rebate authorized pursuant to this section, that there was a

material misstatement in an application filed pursuant to this section

and that such misstatement provided the basis for the granting of a

rebate under this section, the commissioner of finance shall proceed to

impose a penalty tax against the property of five hundred dollars in

addition to recovering the amount of any erroneous rebate under

subdivision twelve of this section. An application shall be deemed to

contain a material misstatement for this purpose when either:

(1) the applicant claimed the property was his, her or their primary

residence, when it was not;

(2) the applicant claimed that the applicant owned the property, when

the applicant did not; or

(3) the applicant claimed that the qualified gross income of all the

owners for whom such property serves as their primary residence was two

hundred fifty thousand dollars or less, when the qualified gross income

of such owners was a substantially higher amount.

b. Procedure. When the commissioner of finance determines that a

penalty tax shall be imposed, the penalty tax shall be entered on the

next ensuing tentative or final assessment roll. Each owner shall be

given notice of the possible imposition of a penalty tax, and shall be

entitled to seek administrative and judicial review of such action in

the manner provided by law.

14. Non-disclosure. The information contained in applications filed

with the commissioner of finance pursuant to subdivision six of this

section shall not be subject to disclosure under article six of the

public officers law.