Village of Montebello, NY Exemption for Senior Citizens

The Village Board of the Village of Montebello, being ever mindful of its responsibility and obligation to provide for the welfare and financial independence of the senior citizens of this Village who have made a vital contribution to the growth, development and progress of our community, intends by the enactment of this article to provide protection for the elderly limited-income homeowner from the increased cost of living. The purpose of this article is to grant a partial exemption from taxation in accordance with a graduated schedule, as provided for in § 467 of the Real Property Tax Law.

§ 167-29 Grant of exemption.

All real property owned by persons 65 years of age or over shall be exempt from Village taxes in accordance with a graduated schedule, as provided for in § 467 of the Real Property Tax Law, provided also that the requirements set forth in § 167-30 below are complied with.

§ 167-30 Qualifications for exemption.

In order to qualify for an exemption, the following requirements must be met:

All of the owners of real property must be 65 years of age or over on the date the application is filed. However, where said property is owned jointly by a husband and wife, only one spouse must be 65 years of age or over on the date of filing the application. Any person otherwise qualifying under this section shall not be denied an exemption if he becomes 65 years of age after taxable status date and before December 31 of the same year.

Title to the property shall have been vested in the owner of the property or, if more than one, in all of the owners, for at least 24 consecutive months prior to the date the application is filed; provided, however, that in the event of the death of either a husband or wife in whose name title of 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 24 months, provided further that 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 24 months, and provided further that 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 proceeding, except a tax sale, and further provided that where a residence is sold and replaced with another within one year and is in the same assessment unit, 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 section.

The property must be used exclusively for residential purposes and occupied in whole or in part by the owner or owners and constitute the legal residence of the owner or owners.

Pursuant to § 467 of the Real Property Tax Law, the percentage of the assessed valuation of real property which is exempt from taxation will be determined on the basis of annual income in accordance with the graduated schedule set forth below. "Annual income" refers to the income of the owner or the combined income of all of the owners for the income tax year immediately preceding the date that the application is filed. Where title of the property is vested in either a husband or wife, annual income is the combined income of the husband and wife. In computing net rental income or 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. Such income shall include social security and retirement benefits, interest, dividends, total gains from sale or exchange of a capital asset in the same tax year, net rental income, salary or earnings, and net income from self-employment but shall not include a return of capital, gifts or inheritances received during the twelve-month period and medical and prescription drug expenses that are not reimbursed or paid by insurance. Veteran's disability compensations shall not be included in the calculation of income limits for the partial tax exemption contained in § 467 of the Real Property Tax Law.

Effective January 2, 2018
Annual Income	Percentage of Assessed Valuation Exempt from Taxation
Less than $29,000	50%
$29,000 but less than $30,000	45%
$30,000 but less than $31,000	40%
$31,000 but less than $32,000	35%
$32,000 but less than $32,900	30%
$32,900 but less than $33,800	25%
$33,800 but less than $34,700	20%
$34,700 but less than $35,600	15%
$35,600 but less than $36,500	10%
$36,500 but less than $37,400	5%

Ownership is limited to dwellings with three or fewer dwelling units or ownership of a single dwelling unit where title is vested in the owner in a dwelling containing four or more dwelling units and the dwelling unit is separately assessed to the individual owner or owners and to trailers or mobile homes which are separately assessed to the owner or owners of the property. Exemptions are not available to corporations, to persons leasing property or to an owner or owners of property with an interest less than a life estate or to cooperative ownership where title is held by a corporation.

§ 167-31 Application for exemption; late filing.

An application for exemption pursuant to this article must be made by the owner or all of the owners of the property on forms prepared by the Assessor's office, and the application must be filed in the Assessor's office on or before taxable status date.

In the event the owner, or all of the owners, of property which has received an exemption pursuant to § 467 of the Real Property Tax Law on the preceding assessment roll fail to file the application pursuant to § 467 on or before the taxable status date, such owner or owners may file the application, executed as if such application had been filed before the taxable status date, with the Assessor at the Town of Ramapo on or before the date for the hearing of complaints.

Any person who has been granted an exemption pursuant to this article on five consecutive completed assessment rolls shall not be subject to the application requirements set forth above and shall be automatically granted an exemption pursuant to this article on such subsequent assessment roll; provided, however, that when tax payment is made by such person, a sworn affidavit on forms prescribed by the State Board of Real Property Services must be included with such payment, which shall state that such person continues to be eligible for such exemption. If such affidavit is not included with the tax payment, the collecting officer shall proceed pursuant to § 551-a of the Real Property Tax Law.

§ 167-32 Amount of exemption.

Upon the determination by the Assessor that the requirements of this article have been met, the exemption shall be allowed in accordance with a graduated schedule, as provided for in § 467 of the Real Property Tax Law, for property which so qualifies. The exemption does not apply to special ad valorem levies or special assessments.

§ 167-33 Burden of proof.

The burden of proof is upon the applicant to show eligibility pursuant to this article and the rules and regulations of the Assessor.

§ 167-34 Cooperative apartment property.

Legislative intent. The Real Property Tax Law provides senior citizens owning "qualifying real property" with a tax exemption. The scope of "qualifying residential real property" did not include cooperative apartments owned by senior citizens. Section 467 of the Real Property Tax Law has been amended to permit towns, by adoption of a local law, to include cooperative housing within the meaning of "qualifying residential real property."

Eligible property. Pursuant to § 467 of the Real Property Tax Law, the percentage of cooperative shares owned by senior citizens in a cooperative apartment corporation shall be eligible to be included in "qualifying residential real property" for the purposes of determining eligibility for a senior citizen's real property tax exemption.

§ 167-35 Penalties for offenses.

Any person convicted of making a willful or false statement in the application for exemption under this article shall be punished by a fine of not more than $100 and shall be disqualified from further exemption for a period of five years.

§ 167-35.1 Effective date.

This article shall take effect immediately and shall apply to taxable status dates occurring on or after January 2, 2018.