CHAPTER 81

SENIOR CITIZENS TAX EXEMPTION

' 81.1 Title

This Chapter shall be known and may be cited as the "Village of Mineola Senior Citizens Tax Exemption Law".

' 81.2 Partial tax exemption for certain persons over 65 years of

age

A. Real property in the Village of Mineola owned by one or more persons, each of whom is 65 years of age or over, or real property owned by husband and wife or by siblings, one of whom is 65 years of age or over, shall be exempt from taxation by the Village to the extent of fifty per centum of the assessed valuation thereof. For the purposes of this Chapter, sibling shall mean a brother or a sister, whether related through half blood, whole blood or adoption.

B. Any exemption provided by this Chapter shall be computed after all other partial exemptions allowed by law have been subtracted from the total amount assessed.

C. The real property tax exemption on real property owned by husband and wife, one of whom is sixty-five years of age or over, once granted, shall not be rescinded solely because of the death of the older spouse so long as the surviving spouse is at least sixty-two years of age.

D. The provision of Section 467 of the Real Property Tax Law, as amended, together with any further acts of the State Legislature amendatory or supplemental thereto, shall apply and govern the determination of the exemption from taxation permitted by this Chapter to the extent herein specified.

' 81.3 Limitations on exemption

No exemption shall be granted:

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 Twenty-One Thousand Five Hundred Dollars ($21,500.00) except as hereinafter provided. Income tax year shall mean the twelve (12) month period for which the owner or owners filed a federal

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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 Paragraph 2 of Subdivision D of this Section, 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 sale or exchange of a capital asset in the same income tax year, net rental income, salary or earning, and net income from self-employment, but shall not include a return of capital, gifts or inheritances or monies earned through employment in the federal foster grandparent program. Any such income shall be offset by all medical and prescription drug expenses actually paid which were not reimbursed or paid for by insurance. 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. [Subd. A. amd. LL #15, 96, 12/18/96; by adding penultimate sentence; amd. LL # 4, 2001, 3/21/2001; amd. LL # 1, 2003, 2/19/2003.]

B. Unless the owner shall have held an exemption under this Chapter for his or her previous residence or unless the title of the property shall have been vested in the owner or one of the owners of the property for at least (12) consecutive months prior to the date of making application for exemption, provided, however, that in the event of the death of either a husband or wife in whose name title of the property shall have been vested at the time of death and then becomes vested solely in the survivor by virtue of devise by or descent from the deceased husband or wife, the time of ownership of the property by the deceased husband or wife shall be deemed also a time of ownership by the survivor and such ownership shall be deemed continuous for the purposes of computing such period of twelve (12) consecutive months. In the event of a transfer by either a husband or wife to the other spouse of all or part of the title to the property, the time of ownership of the property by the transferor spouse shall be deemed also a time of ownership by the transferee spouse and such ownership shall be deemed continuous for the purposes of computing such period of twelve (12) consecutive months. Where property of the owner or owners has been acquired to replace property formerly owned by such owner or owners and taken by eminent domain or other involuntary

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proceeding, except a tax sale, the period of ownership of the former property shall be combined with the period of ownership of the property for which application is made for exemption and such periods of ownership shall be deemed to be consecutive for purposes of this Chapter.

Where a residence is sold and replaced with another within one year and both residences are within the State, the period of ownership of both properties shall be deemed consecutive for purposes of this exemption from taxation. Where the owner or owners transfer title to property which as of the date of transfer was exempt from taxation under the provisions of this Chapter, the reacquisition of title by such owner or owners within nine (9) months of the date of transfer shall be deemed to satisfy the requirement of this Subdivision that the title of the property shall have been vested in the owner or one of the owners for such period of twelve (12) consecutive months. Where, upon or subsequent to the death of an owner or owners, title to property which as of the date of such death was exempt from taxation under such provisions, becomes vested, by virtue of devise or descent from the deceased owner or owners, or by transfer by any other means within nine (9) months after such death, solely in a person or persons who, at the time of such death, maintained such property as a primary residence, the requirement of this Subdivision that the title of the property shall have been vested in the owner or one of the owners for such period of twelve (12) consecutive months shall be deemed satisfied. [Subd. B amd. LL #1, 96, 2/28/96 by replacing 24 months period with 12 months period.]

C. Unless the property 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 Chapter.

D. Unless the real property is the legal residence of and is occupied in whole or in part by the owner or by all of the owners of the property: except where:

1. An owner is absent from the residence while receiving health‑related care as an inpatient of a residential health care facility, as defined in Section Twenty‑Eight Hundred One of the Public Health Law, provided that any income accruing to that person shall only be income only to the extent that it exceeds the amount

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§ 81.3 MUNICIPAL CODE

paid by such owner, spouse, or co‑owner for care in the facility, and provided further, that during such confinement such property is not occupied by other than the spouse or co‑owner of such owner; or,

2. the real property is owned by a husband and/or wife, or an ex‑husband and/or an ex‑wife, and either is absent from the residence due to divorce, legal separation or abandonment and all

other provisions of this Chapter are met provided that where an exemption was previously granted when both resided on the property, then the person remaining on the real property is sixty‑two years of age or over.

§ 81.3-A Exemtpion applicable to cooperative apartments

A. For the purposes of this Chapter, title to that portion of real property owned by a cooperative apartment corporation in which a tenant-stockholder of such corporation resides and which is represented by his shares of stock in such corporation as determined by its or their proportional relationship to the total outstanding stock of the corporation, including that owned by the corporation, shall be deemed to be vested in such tenant-stockholder.

B. That proportion of the assessment of such real roperty owned by a cooperative apartment corporation determined by the relationship of such real property vested in such tenant-stockholder to such entire parcel and the buildings thereon owned by such cooperative apartment corporation in which such tenant-stockholder resides shall be subject to exemtion from taxation pursuant to this Chapter and any exemption so granted shall be credited by the appropriate taxing authority against the assessed valuation of such real property; the reduction in real property taxes realized thereby shall be credited by the cooperative apartment corporation against the amount of such taxes otherwise payable by or chargeable to such tenant-stockholder. [§ 81.3-A added LL #5, 96, 5/15/96.]

§ 81.4 Graduated exemption

A. The maximum income eligibility level as provided in § 81.3 of this Chapter shall be increased to the extent provided in the following Schedule:

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SENIOR CITIZENS TAX EXEMPTION ' 81.6

Percentage Assessed

Valuation Exempt From

Annual Income Taxation

Less than $21,500.00 50 per centum

More than $21,500.00 but less than $22,500.00 45 per centum

More than $22,500.00 but less than $23,500.00 40 per centum

More than $23,500.00 but less than $24,500.00 35 per centum

More than $24,500.00 but less than $25,400.00 30 per centum

More than $25,400.00 but less than $26,300.00 25 per centum

More than $26,300.00 but less than $27,200.00 20 per centum

More than $27,200.00 but less than $28,100.00 15 per centum

More than $28,100.00 but less than $29,000.00 10 per centum

More than $29,000.00 but less than $29,900.00 5 per centum

[' 81.4 amd. LL #10, 97, 10/8/97; LL #4,2001, 3/21/2001 by increasing graduated exemption; LL #1, 2003, 2/19/2003.]

' 81.5 Notice of eligibility

The Village shall notify or cause to be notified, each person owning residential real property in the Village of the provisions of this Chapter. The provisions of this Section may be met by a notice or legend sent on or with each tax bill to such persons reading "You may be eligible for senior citizen tax exemptions. For information please call or write . . . ", followed by the name, telephone number and/or address of the person or department selected by the Village to explain the provisions of this Chapter. Failure to notify, or cause to be notified, any person who is in fact, eligible to receive the exemption provided by this Chapter or

the failure of such person to receive the same shall not prevent the levy, collection and enforcement of the payment of the taxes on property owned by such person.

' 81.6 Application for exemption

A. Application for such exemption must be made by the owner,

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or all of the owners of the property, on forms prescribed by the State Board to be furnished by the Village Assessor's Office and shall furnish the information and be executed in the manner required or prescribed in such forms, and shall be filed in such Assessor's office on or before the appropriate taxable status date. Notwithstanding any other provision of law, any person otherwise qualifying under this Chapter shall not be denied the exemption under this Chapter if he or she becomes sixty‑five years of age after the appropriate taxable status date and on or before December thirty‑first of the same year.

B. Notwithstanding Subdivision A of this Section, an application for such exemption may be filed with the Assessor after the appropriate taxable status date but not later than the last date on which a petition with respect to complaints of assessment may be filed, where failure to file a timely application resulted from (1) a death of the applicant's spouse, child, parent, brother or sister, or (2) an illness of the applicant or of the applicant's spouse, child, parent, brother or sister, which actually prevents the applicant from filing on a timely basis, as certified by a licensed physician. The Assessor shall approve or deny such application as if it had been filed on or before the taxable status date.

' 81.7 Notice to applicants

A. At least sixty (60) days prior to the appropriate taxable status date, the Village Assessor shall mail to each person who was granted exemption pursuant to this Chapter on the latest completed assessment roll an application form and a notice that such application must be filed on or before taxable status date and be approved in order for the exemption to be granted. The Village Assessor shall, within three (3) days of the completion and filing of the tentative assessment roll, notify by mail any applicant who has included with his or her application at least one self‑ addressed prepaid envelope, of the approval or denial of the application; provided, however, that the Village Assessor shall, upon the receipt and filing of the application, send by mail notification of receipt to any applicant who has included two of such envelopes with the application. Where an applicant is entitled to a notice of denial pursuant to this Section such notice shall be on a form prescribed by the State Board and shall state the reasons for such denial and shall further state that the applicant may have such determination reviewed in the manner provided by law. Failure to mail any such application form or notices or the failure of such person to receive any of the same shall not prevent the levy,

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collection and enforcement of the payment of the taxes on property owned by such person.

B. Any person who has been granted exemption pursuant to this Chapter on five (5) consecutive completed assessment rolls, including any years when the exemption was granted to a property owned by a husband and/or wife while both resided in such property, shall not be subject to the requirements set forth in Subdivision A of this Section. However, said person shall be mailed an application form and a notice informing him or her of his or her rights. Such exemption shall be automatically granted on each subsequent assessment roll. Provided, however, that when tax payment is made by such person a sworn affidavit must be included with such payment which shall state that such person continues to be eligible for such exemption. Such affidavit shall be on a form prescribed by the State Board. If such affidavit is not included with the tax payment, the collecting officer shall proceed pursuant to Section Five Hundred Fifty-One-a of the Real Property Tax Law.

§ 81.8 Acceptance of applications after taxable status date

Notwithstanding the provisions of §§ 81.5 and 81.6 of this Chapter, the Assessor may accept applications for renewal of exemptions pursuant to this Chapter after the taxable status date.

In the event the owner, or all of the owners, of property which has received an exemption pursuant to this Chapter on the preceding assessment roll fail to file the application required pursuant to this Chapter on or before the taxable status date, such owner or owners, may file the application, executed as if such application had been filed on or before the taxable status date, with the Assessor on or before the date for the hearing of complaints.

§ 81.10 Penalties and forfeiture

Any conviction of having made any wilful false statement in the application for such exemption, shall be punishable by a fine of not more than One Hundred Dollars ($100.00) and shall disqualify the applicant or applicants from further exemption for a period of five (5) years.

§ 81.11 Effective date

This local law shall become effective upon filing with the

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Secretary of State, but in no event earlier than January 1, 1996. [§ 81.11 added LL #1, 96, 2/28/96.]

Authority: Real Prop Tax L § 467.

HISTORICAL NOTE

Senior citizens tax exemption was originally granted by LL #11, 1977 and was subsequently amended by LL #12, 1980; LL #9, 1982; LL # 9 & 10, 1983; LL #7, 1986; LL #6, 1989; LL #8, 1990; LL #11, 1991 and LL #7, 1992; LL #3, 1994 and was revised in this codification to reflect changes in RPTL § 467; it was amended by LL #2, 1995, 3/22/95, LL #1, 1996, 2/28/96, LL #5, 1996, 5/15/96 and LL #15, 1996, 12/18/96.

References:

All the provisions of RPTL § 467, including amendments are applicable to municipalities which have enacted an aged exemption, and although municipalities may choose to revoke the exemption in its entirety, they may not vary its statutory terms while continuing to grant it. 4 Op Counsel SBEA # 104.

Graduated exemption. RPTL § 467(1)[b].

Return of capital from investment in mutual fund is not "income", but taxpayer may not deduct depreciation in computing rental income; but may offset capital gains by capital losses. Engle v Talarico, 1972, 39 AD2d 362; affd 33 NY2d 237 (except as to use of depreciation). See Real Property Tax Law § 567 for recent amendments which are almost yearly.

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