S T A T E   O F   N E W   Y O R K
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                                  2210

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                            February 13, 2009
                               ___________

Introduced  by  Sen.  DIAZ  --  read twice and ordered printed, and when
  printed to be committed to the Committee on Aging

AN ACT to amend the real property tax  law,  in  relation  to  excluding
  certain  expenditures for medical care from the definition of "income"
  for the purpose of a tax abatement for rent-controlled and rent  regu-
  lated property occupied by senior citizens

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

  Section 1. Paragraph c of subdivision 1 of section 467-b of  the  real
property  tax  law,  as  amended  by chapter 500 of the laws of 2001, is
amended to read as follows:
  c. "Income" means income from  all  sources  after  deduction  of  all
income  and  social  security  taxes  and  includes  social security and
retirement benefits, supplemental security income and  additional  state
payments,  public  assistance  benefits, interest, dividends, net rental
income, salary or earnings, and net  income  from  self-employment,  but
shall  not  include  gifts or inheritances, payments made to individuals
because of their status as victims of Nazi persecution,  as  defined  in
P.L.  103-286,  or increases in benefits accorded pursuant to the social
security act or a public or private pension paid to any  member  of  the
household which increase, in any given year, does not exceed the consum-
er  price  index  (all  items  United States city average) for such year
which take effect after the date of eligibility of head of the household
receiving benefits hereunder whether received by the head of the  house-
hold  or any other member of the household  AND ANY SUCH INCOME SHALL BE
OFFSET BY ALL MEDICAL AND PRESCRIPTION DRUG EXPENSES ACTUALLY PAID WHICH
WERE NOT REIMBURSED OR PAID FOR BY INSURANCE, IF THE GOVERNING BOARD  OF
A MUNICIPALITY, AFTER A PUBLIC HEARING, ADOPTS A LOCAL LAW, ORDINANCE OR
RESOLUTION PROVIDING THEREFOR;

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD03233-01-9

S. 2210                             2
              

  S 2. Paragraph f of subdivision 1 of section 467-c of the real proper-
ty tax law, as amended by chapter 500 of the laws of 2001, is amended to
read as follows:
  f.  "Income"  means income received by the eligible head of the house-
hold combined with the income of all other members of the household from
all sources after deduction of all income and social security taxes  and
includes  without  limitation,  social security and retirement benefits,
supplemental security  income  and  additional  state  payments,  public
assistance  benefits, interest, dividends, net rental income, salary and
earnings, and net income from self employment,  but  shall  not  include
gifts  or  inheritances,  payments  made to individuals because of their
status as victims of Nazi persecution as defined in  P.L.  103-286,  nor
increases  in benefits accorded pursuant to the social security act or a
public or private pension paid to any  member  of  the  household  which
increase,  in  any  given year, does not exceed the consumer price index
(all items United States city average) for such year which  take  effect
after  the eligibility date of an eligible head of the household receiv-
ing benefits hereunder whether received by  the  eligible  head  of  the
household  or  any  other  member  of the household  AND ANY SUCH INCOME
SHALL BE OFFSET BY ALL MEDICAL AND PRESCRIPTION DRUG  EXPENSES  ACTUALLY
PAID  WHICH WERE NOT REIMBURSED OR PAID FOR BY INSURANCE, IF THE GOVERN-
ING BOARD OF A MUNICIPALITY, AFTER A PUBLIC HEARING, ADOPTS A LOCAL LAW,
ORDINANCE OR RESOLUTION PROVIDING THEREFOR.  When the eligible  head  of
the  household  has  retired on or after the commencement of the taxable
period and prior to the  date  of  making  an  application  for  a  rent
increase  exemption  order/tax  abatement  certificate  pursuant to this
section, such person's income shall be adjusted by excluding  salary  or
earnings  and projecting such person's retirement income over the entire
taxable period.
  S 3. This act shall take effect immediately, provided that the  amend-
ment  to paragraph c of subdivision 1 of section 467-b of the real prop-
erty tax law, made by section one of this  act,  shall  not  affect  the
expiration of such section and shall be deemed to expire therewith.