S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3864
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 30, 2025
                                ___________
 
 Introduced by M. of A. DiPIETRO -- read once and referred to the Commit-
   tee on Real Property Taxation
 
 AN ACT to amend the real property tax law, in relation to a property tax
   exemption  for  active duty service members of the armed forces of the
   United States
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  The section heading of section 458-a of the real property
 tax law, as added by chapter 525 of the laws of 1984, is amended to read
 as follows:
   Veterans; ACTIVE MILITARY; alternative exemption.
   § 2. Paragraphs (c) and (d) of subdivision 1 of section 458-a  of  the
 real  property  tax  law, paragraph (c) as amended by chapter 100 of the
 laws of 1988, paragraph (d) as amended by chapter 899  of  the  laws  of
 1985, are amended and a new paragraph (h) is added to read as follows:
   (c)  "Qualified  owner" means a veteran, the spouse of a veteran [or],
 the unremarried surviving spouse of a veteran OR AN ACTIVE DUTY  SERVICE
 MEMBER  OF  THE  ARMED  FORCES OF THE UNITED STATES.   Where property is
 owned by more than one qualified owner, the exemption to which  each  is
 entitled  may  be  combined.  Where  a  veteran  is also the unremarried
 surviving spouse  of  a  veteran,  such  person  may  also  receive  any
 exemption to which the deceased spouse was entitled.
   (d)  "Qualifying  residential real property" means property owned by a
 qualified owner which is  used  exclusively  for  residential  purposes;
 provided  however, that in the event any portion of such property is not
 so used exclusively for residential  purposes  but  is  used  for  other
 purposes,  such  portion  shall be subject to taxation and the remaining
 portion only shall  be  entitled  to  the  exemption  provided  by  this
 section.  Such  property must be the primary residence of the veteran or
 unremarried surviving spouse of  the  veteran  OR  ACTIVE  DUTY  SERVICE
 MEMBER,  unless  the  veteran  or unremarried surviving spouse OR ACTIVE
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD07810-01-5
              

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 DUTY SERVICE MEMBER is absent from the property due to  medical  reasons
 or institutionalization. In the event the veteran OR ACTIVE DUTY SERVICE
 MEMBER  dies  and  there is no unremarried surviving spouse, "qualifying
 residential  real  property" shall mean the primary residence owned by a
 qualified owner prior to death, provided that the title to the  property
 becomes  vested  in the dependent [father or mother] PARENT or dependent
 child or children under twenty-one years of age of a veteran  OR  ACTIVE
 DUTY  SERVICE MEMBER by virtue of devise by or descent from the deceased
 qualified owner, provided that the property is the primary residence  of
 one or all of the devisees.
   (H)  "ACTIVE  DUTY SERVICE MEMBER" SHALL MEAN AN INDIVIDUAL PERFORMING
 ACTIVE MILIARY SERVICE IN THE ARMED FORCES OF THE UNITED STATES  AS  SET
 FORTH IN SUBDIVISION EIGHT OF SECTION ONE OF THE MILITARY LAW.
   § 3. Paragraph (b) of subdivision 2 of section 458-a of the real prop-
 erty tax law,  as amended by chapter 473 of the laws of 2004, is amended
 to read as follows:
   (b)  In  addition  to  the exemption provided by paragraph (a) of this
 subdivision, where the veteran OR ACTIVE DUTY SERVICE MEMBER served in a
 combat theatre or combat zone of operations, as documented by the  award
 of a United States campaign ribbon or service medal, or the armed forces
 expeditionary  medal, navy expeditionary medal, marine corps expedition-
 ary medal, or global war on terrorism  expeditionary  medal,  qualifying
 residential  real  property  also  shall  be exempt from taxation to the
 extent of ten percent of the assessed value of such property;  provided,
 however,  that such exemption shall not exceed eight thousand dollars or
 the product of eight thousand dollars multiplied  by  the  latest  state
 equalization  rate  for  the assessing unit, or in the case of a special
 assessing unit, the class ratio, whichever is less.
   § 4. Subdivisions 8 and 9 of section 458-a of the  real  property  tax
 law, subdivision 8 as amended by chapter 538 of the laws of 2015, subdi-
 vision  9  as amended by section 83 of part PP of chapter 56 of the laws
 of 2022, are amended to read as follows:
   8. Notwithstanding the provisions of paragraph (c) of subdivision  one
 of  this  section  and  subdivision three of this section, the governing
 body of any municipality may, after public hearing, adopt a  local  law,
 ordinance  or  resolution  providing that where a veteran, the spouse of
 the veteran [or], unremarried surviving spouse OR  ACTIVE  DUTY  SERVICE
 MEMBER already receiving an exemption pursuant to this section sells the
 property  receiving the exemption and purchases property within the same
 county, or in the case of a city having a population of one  million  or
 more  persons,  within  the  same  city, the assessor shall transfer and
 prorate, for the remainder of the fiscal year, the  exemption  received.
 The  prorated  exemption  shall  be based upon the date the veteran, the
 spouse of the veteran [or], unremarried surviving spouse OR ACTIVE  DUTY
 SERVICE MEMBER obtains title to the new property and shall be calculated
 by  multiplying  the  tax  rate  or rates for each municipal corporation
 which levied taxes, or for which taxes were levied, on  the  appropriate
 tax  roll  used  for  the fiscal year or years during which the transfer
 occurred times the previously granted exempt amount times  the  fraction
 of  each  fiscal  year  or years remaining subsequent to the transfer of
 title. Nothing in this section shall be construed to remove the require-
 ment that any such veteran, the spouse of the veteran [or],  unremarried
 surviving spouse OR ACTIVE DUTY SERVICE MEMBER transferring an exemption
 pursuant  to this subdivision shall reapply for the exemption authorized
 pursuant to this section on or before the following taxable status date,
 in the event such veteran, the spouse of the veteran  [or],  unremarried
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 surviving  spouse  OR  ACTIVE  DUTY SERVICE MEMBER wishes to receive the
 exemption in future fiscal years.
   9. The commissioner shall develop in consultation with the commission-
 er  of  the  New  York  state  department of veterans' services, AND THE
 UNITED STATES DEPARTMENT OF DEFENSE, a listing of documents to  be  used
 to  establish  eligibility under this section, including but not limited
 to, MILITARY SERVICE RECORDS OR a certificate of  release  or  discharge
 from  active  duty  also  known as a DD-214 form or an Honorable Service
 Certificate/Report of Casualty from the department  of  defense.    Such
 information  shall  be  made  available  to  each  county, city, town or
 village assessor's office, or congressional chartered  veterans  service
 officers  who  request such information. The listing of acceptable mili-
 tary records shall be made available on the  internet  websites  of  the
 department  of  veterans'  services  and the office of real property tax
 services.
   § 5. This act shall take effect immediately.