485-L - Residential property improvement; certain towns.

* § 485-l.   Residential   property  improvement;  certain  towns.  1.  Construction of improvements to residential real property  initiated  on  or  after  the  first day of January, two thousand seven in towns with a  population of not less than one hundred thousand and not more  than  one  hundred  twenty-five  thousand in counties with a population of not less  than nine  hundred  fifty  thousand  and  not  more  than  nine  hundred  seventy-five  thousand may be exempt from county, city, town, village or  school district taxation as provided in this section.    2. (a)(i) Such real property shall be exempt for a period of one  year  to  the extent of one hundred per centum of the increase in the assessed  value thereof attributable to such construction and  for  an  additional  period  of  four  years  provided,  however,  that  the  extent  of such  exemption shall be decreased by twenty per centum each year during  such  additional  period  of  four  years and such exemption shall be computed  with respect to the "exemption base." For purposes of this section,  the  exemption   base  shall  be  the  increase  in  assessed  value  due  to  improvements as determined by the assessor in the initial year  of  such  five year period following the filing of an original application.    (ii)  The  following  table  illustrates  the  computation  of the tax  exemption:               Year of Exemption     Percentage of the Exemption                       1                      100                       2                       80                       3                       60                       4                       40                       5                       20    (b) In addition to the criteria set out in  subdivision  one  of  this  section,  no  exemption  shall  be  granted unless: (i) The value of the  construction exceeds ten thousand dollars;    (ii) The construction is documented by a building permit, if  required  for such improvements, or other appropriate documentation as required by  the assessor; and    (iii) Such construction takes place on a one or two-family residential  dwelling where the assessor has previously reduced the assessment of the  dwelling  because  of  a decrease in value attributed by the assessor to  physical damage to the dwelling resulting from soil subsidence; and    (iv) The extent of such repairs eligible for the  exemption  shall  be  limited  to  such  construction  upon  a  one  or two-family residential  dwelling where the assessor has previously reduced the assessment of the  dwelling because of a decrease in value attributed by  the  assessor  to  physical damage to the dwelling resulting from soil subsidence.    (c)  For  purposes  of  this section, "improvements" shall not include  ordinary maintenance and repairs.    3. Such exemption shall be granted upon application by  the  owner  of  such  real  property  upon  a  form  prescribed  by the state board. The  application shall be filed with the assessor of the town  on  or  before  the  taxable status date for that town and within one year from the date  of completion of the improvements.    4. If the assessor is satisfied that the applicant is entitled to  the  exemption  pursuant  to  this  section,  the  assessor shall approve the  application and the  real  property  shall  thereafter  be  exempt  from  taxation  and  special  ad  valorem  taxes by a town as provided by this  section commencing with the assessment roll prepared after  the  taxable  status  date  referred  to  in  subdivision  three  of this section. The  assessed value of any exemption granted pursuant to this  section  shall  be  entered  by  the  assessor  on  the assessment roll with the taxable  property, with the amount of the exemption shown in a separate column.5. During the term of the exemption granted pursuant to  this  section  if  title  to  the  real  property granted an exemption pursuant to this  section is transferred or if the property ceases to be used for eligible  purposes, the exemption granted pursuant to this section shall cease.    6.  A town with a population of not less than one hundred thousand and  not more than one hundred  twenty-five  thousand  in  a  county  with  a  population  of  not  less  than nine hundred fifty thousand and not more  than nine hundred seventy-five thousand may, by local law,  establish  a  date  for  the  commencement  of  effectiveness of the exemption offered  pursuant to this section. A copy of the local laws shall be  filed  with  the  state  board,  the assessor of the town, the clerk of the town, and  the secretary of state.    * NB There are 2 § 485-l's