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

                                   744

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                               (PREFILED)

                             January 7, 2015
                               ___________

Introduced  by  Sens.  KENNEDY, AVELLA, LARKIN -- read twice and ordered
  printed, and when printed to be committed to the Committee  on  Veter-
  ans, Homeland Security and Military Affairs

AN  ACT  to  amend  the real property tax law, in relation to the senior
  citizen exemption and veteran disability compensation

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

  Section  1.  Paragraph (a) of subdivision 3 of section 467 of the real
property tax law, as amended by chapter 259 of  the  laws  of  2009,  is
amended to read as follows:
  (a) if the income of the owner or the combined income of the owners of
the  property  for the income tax year immediately preceding the date of
making application for exemption  exceeds  the  sum  of  three  thousand
dollars, or such other sum not less than three thousand dollars nor more
than twenty-six thousand dollars beginning July first, two thousand six,
twenty-seven  thousand dollars beginning July first, two thousand seven,
twenty-eight thousand dollars beginning July first, two thousand  eight,
and  twenty-nine  thousand  dollars  beginning  July first, two thousand
nine, as may be provided by  the  local  law,  ordinance  or  resolution
adopted  pursuant to this section. Income tax year shall mean the twelve
month period for which the owner or  owners  filed  a  federal  personal
income  tax  return,  or  if no such return is filed, the calendar year.
Where title is vested in either the husband or the wife, their  combined
income  may  not  exceed  such sum, except where the husband or wife, or
ex-husband or ex-wife is absent from the property as provided in subpar-
agraph (ii) of paragraph (d) of this subdivision, then only  the  income
of  the spouse or ex-spouse residing on the property shall be considered
and may not exceed such sum. Such income shall include  social  security
and  retirement  benefits, interest, dividends, total gain from the sale
or exchange of a capital asset which may be offset by a  loss  from  the

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

                                                           LBD00882-01-5

S. 744                              2

sale  or  exchange  of  a capital asset in the same income tax year, net
rental income, salary or earnings, and net income from  self-employment,
but  shall not include a return of capital, gifts, inheritances, VETERAN
DISABILITY  COMPENSATION,  AS  DEFINED  IN TITLE 38 OF THE UNITED STATES
CODE, payments made to individuals because of their status as victims of
Nazi persecution, as defined in P.L. 103-286 or  monies  earned  through
employment in the federal foster grandparent program 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.   Furthermore, such income
shall not include the proceeds of a reverse mortgage, as  authorized  by
section  six-h  of  the banking law, and sections two hundred eighty and
two hundred eighty-a of the real property law; provided,  however,  that
monies used to repay a reverse mortgage may not be deducted from income,
and  provided  additionally that any interest or dividends realized from
the investment of reverse mortgage proceeds shall be considered  income.
[The provisions of this paragraph notwithstanding, such income shall not
include  veterans disability compensation, as defined in Title 38 of the
United States Code provided the governing board  of  such  municipality,
after  public  hearing,  adopts  a  local  law,  ordinance or resolution
providing therefor.] In computing net rental income and net income  from
self-employment  no  depreciation  deduction  shall  be  allowed for the
exhaustion, wear and tear of real or  personal  property  held  for  the
production of income;
  S  2.  This act shall take effect immediately and shall apply to those
assessment rolls having a taxable status date on or after January  first
of  the  year  next  succeeding the year in which it shall have become a
law.