§ 980-a. Tax credits for contributions to certain funds. 1. (a) A
municipal corporation that has established a fund pursuant to
subdivision forty-four of section sixteen hundred four of the education
law, subdivision twelve-b of section seventeen hundred nine of the
education law, subdivision fifty-four of section twenty-five hundred
ninety-h of the education law, or section six-t or six-u of the general
municipal law, may adopt a local law, or in the case of a school
district, a resolution, authorizing a tax credit to be provided pursuant
to this section for contributions to such fund. For purposes of this
section, a municipal corporation that has established such a fund and
authorized such a credit shall be referred to as a "participating"
municipal corporation.

(b) On and after a date specified in the local law or resolution
adopted by a participating municipal corporation pursuant to paragraph
(a) of this subdivision, the owner or owners of real property shall be
allowed a credit against the real property taxes of a participating
municipal corporation that have been imposed upon such property. The
amount of such credit shall equal ninety-five percent, or such lesser
allowable percentage credit as may have been established pursuant to
paragraph (c) of this subdivision, of the amount contributed by one or
more of the owners of such property during the "associated credit year"
as defined in this section, to any or all of the funds established by
such municipal corporation, subject to the limit established pursuant to
paragraph (c) of this subdivision, if any.

(c) The participating municipal corporation may establish a limit upon
the amount or percentage of such credit to be allowed in any given
fiscal year, in which case the amount of such credit shall not exceed
any limit so established. Any such limit shall be adopted by local law,
or in the case of a school district, by resolution, which local law or
resolution may either be the same as or separate from the local law or
resolution that initially authorized the credit. Once such a limit has
been adopted, it may be amended or repealed thereafter by local law, or
in the case of a school district, by resolution, provided that any such
amendment or repeal shall only apply to taxes of the participating
municipal corporation for fiscal years commencing after the adoption of
such local law or resolution. A copy of any local law or resolution
establishing, amending or repealing such a limit shall be provided to
the collecting officer who collects the taxes of the participating
municipal corporation.

2. For purposes of this section, the "associated credit year" shall be
the twelve-month period during which the owner of the property has made
a contribution described in subdivision one of this section that ends on
the last day prescribed by law on which the taxes of the participating
municipal corporation may be paid without interest or penalties, subject
to the following:

(a) Where such taxes are payable in installments, such twelve-month
period shall end on the last day prescribed by law on which the first
installment of such taxes may be paid without interest or penalties.

(b) Where a participating municipal corporation is a city school
district that is subject to article fifty-two of the education law, such
twelve-month period shall end on the last day prescribed by law on which
city taxes may be paid without interest or penalties, or if applicable,
on the last day prescribed by law on which the first installment of such
taxes may be paid without interest or penalties.

(c) Each such twelve-month period shall be determined without regard
to the possibility that the period prescribed by law for paying such
taxes without interest or penalties may be extended due to a delay in
the first publication of the collecting officer's notice as provided by
sections thirteen hundred twenty-two or thirteen hundred twenty-four of
this chapter or a comparable law, or due to an executive order issued in
connection with a state disaster emergency as provided by subdivision
two of section nine hundred twenty-five-a of this chapter.

3. The credit authorized by this section shall be administered as
follows:

(a) The administrator of the fund or its designated agent shall, upon
receiving a contribution to the fund specified in subdivision one of
this section during a credit year, furnish the property owner with an
acknowledgement in duplicate. Such acknowledgement shall be provided on
a form prescribed by the commissioner and shall specify the amount of
the contribution, the name and address of the donor, the date the
contribution was received, the authorized signature of the administrator
or agent, and such other information as the commissioner shall require.

(b) After receiving such an acknowledgement, the property owner may
present it to the appropriate collecting officer on or before the last
day prescribed by law on which taxes may be paid without interest or
penalty, together with a credit claim on a form prescribed by the
commissioner. Such credit claim form shall contain the name of the
property owner or owners, the date and amount of the contributions made
to the account during the associated credit year, the address of the
property to which the credit claim relates, and such other information
as the commissioner shall require. Notwithstanding any provision of law
to the contrary, the collecting officer shall thereupon be authorized
and directed to grant the property owner a tax credit equal to
ninety-five percent, or such lesser allowable percentage credit as may
have been established pursuant to paragraph (c) of subdivision one of
this section, of the amount of the contributions made during the
associated credit year as specified on the acknowledgement, and to
reduce the tax liability on the parcel accordingly, provided that such
credit may not exceed any percentage credit or other limit established
by the participating municipal corporation pursuant to paragraph (c) of
subdivision one of this section, if such a limit has been established,
and may not exceed the property taxes due or paid that are attributable
to the participating municipal corporation. Where taxes are payable in
installments, if the credit exceeds the amount of the first installment,
the excess shall be applied to future installments until exhausted. The
participating municipal corporation may adopt a local law, or in the
case of a school district, a resolution, providing that where a property
owner submits a credit claim form to the collecting officer prior to the
collecting officer's receipt of the tax warrant, or such other date as
may be specified in such local law or resolution, the associated
property tax bill shall reflect a reduction in the tax liability equal
to the credit authorized by this section; provided however that if the
collecting officer is not employed by the participating municipal
corporation, such local law or resolution shall not take effect unless
and until the governing body of the municipal corporation that employs
the collecting officer has adopted a resolution agreeing thereto. The
department of financial services, in consultation with the department,
shall promulgate regulations related to the adjustment of mortgage
escrow accounts to reflect the credits provided pursuant to this
section.

(c) If the property owner fails to present the acknowledgment and
credit claim form to the collecting officer on or before the last day
prescribed by law on which taxes may be paid without interest or
penalty, he or she may present the same to the chief fiscal officer or
chief financial officer of the participating municipal corporation, or
to a member of his or her staff. Such officer shall thereupon be
authorized and directed to grant the property owner a refund of property
taxes in the amount of the credit, which amount shall be equal to
ninety-five percent, or such lesser allowable percentage credit as may
have been established pursuant to paragraph (c) of subdivision one of
this section, of the total contributions made during the associated
credit year, provided that such refund shall not exceed the property
taxes that have been paid on the property or any percentage credit or
other limit established pursuant to paragraph (c) of subdivision one of
this section, if any, and may not exceed the property taxes due or paid
that are attributable to the participating municipal corporation.
Provided further, that no interest shall be payable on such refund if
paid within forty-five days of the receipt of the acknowledgment and
credit claim form. The owner of the property may file such refund claim
with the authorized officer at any time during the three year period
beginning immediately after the last day such taxes were payable without
interest or penalty.

4. The amount of the itemized deduction that may be claimed by a
taxpayer under section six hundred fifteen of the tax law with respect
to the taxes paid on such property may not exceed the amount of the
taxes of a participating municipal corporation that have been imposed
upon such property minus the amount of the credit provided pursuant to
this section.