* § 1438-e. Exemptions. 1. The following shall be exempt from the
payment of the real estate transfer tax imposed by this article:

(a) The state of New York, or any of its agencies, instrumentalities,
political subdivisions, or public corporations (including a public
corporation created pursuant to an agreement or compact with another
state or the Dominion of Canada); and

(b) The United Nations, the United States of America or any of its
agencies or instrumentalities.

2. The tax shall not apply to any of the following conveyances:

(a) Conveyances to the United Nations, the United States of America,
the state of New York, or any of their instrumentalities, agencies or
political subdivisions (or any public corporation, including a public
corporation created pursuant to agreement or compact with another state
or the Dominion of Canada);

(b) Conveyances which are or were used to secure a debt or other
obligation;

(c) Conveyances which, without additional consideration, confirm,
correct, modify or supplement a deed previously recorded;

(d) Conveyances of real property without consideration and otherwise
than in connection with a sale, including deeds conveying realty as bona
fide gifts;

(e) Conveyances given in connection with a tax sale;

(f) Conveyances to effectuate a mere change of identity or form of
ownership or organization where there is no change in beneficial
ownership, other than conveyances to a cooperative housing corporation
of the real property comprising the cooperative dwelling or dwellings;

(g) Conveyances which consist of a deed of partition;

(h) Conveyances given pursuant to the federal bankruptcy act;

(i) Conveyances of real property which consist of the execution of a
contract to sell real property without the use or occupancy of such
property or the granting of an option to purchase real property without
the use or occupancy of such property;

(j) Conveyances of real property or a portion or portions of real
property that are the subject of one or more of the following
development restrictions:

(1) agricultural, conservation, scenic, or an open space easement,

(2) covenants or restrictions prohibiting development where the
property or portion of property being conveyed has had its development
rights permanently removed,

(3) a purchase of development rights agreement where the property or
portion of property being conveyed has had its development rights
permanently removed,

(4) a transfer of development rights agreement, where the property
being conveyed has had its development rights removed,

(5) real property subject to any locally adopted land preservation
agreement, provided said exemption is included in the local law imposing
the tax authorized by this article;

(k) Conveyances of real property, where the property is viable
agricultural land as defined in subdivision seven of section three
hundred one of the agriculture and markets law and the entire property
to be conveyed is to be made subject to one of the development
restrictions provided for in subparagraph two of paragraph (j) of this
subdivision provided that said development restriction precludes the
conversion of the property to a non-agricultural use for at least eight
years from the date of transfer, and said development restriction is
evidenced by an easement, agreement, or other suitable instrument which
is to be conveyed to the town simultaneously with the conveyance of the
real property; or

(l) Conveyances of real property for open space, parks, or historic
preservation purposes to any not-for-profit tax exempt corporation
operated for conservation, environmental, or historic preservation
purposes.

3. An exemption from the tax which is equal to the median sales price
of residential real property within the applicable county, as determined
by the office of real property services pursuant to section four hundred
twenty-five of the real property tax law, shall be allowed on the
consideration of the conveyance of improved or unimproved real property
or an interest therein.

* NB Repealed December 31, 2026