[HISTORY: Adopted by the Town Board of the Town of Islip 10-20-1998 by L.L. No. 3-1998; amended in its entirety 1-23-2024 by L.L. No. 2-2024. Subsequent amendments noted where applicable.]
A. 
Real property owned by one or more persons with disabilities, or real property owned by a married person or a married couple, or by siblings, at least one of whom has a disability, and whose income for the income tax year, as defined by § 459-c of the Real Property Tax Law, is limited by reason of such disability shall be exempt from taxation to the maximum extent of 50% of the assessed valuation thereof as hereinafter provided.
B. 
For the purpose of this chapter the maximum income eligibility level is provided in § 48G-5 of this chapter (represented in the hereinbelow schedule as "M"), and the assessed valuation shall be reduced to the extent provided in the following schedule:
Annual Income
Percentage of Assessed Valuation Exempt From Taxation
More than (M) but less than (M + $1,000)
45%
(M + $1,000 or more) but less than (M + $2,000)
40%
(M + $2,000 or more) but less than (M + $3,000)
35%
(M + $3,000 or more) but less than (M + $3,900)
30%
(M + $3,900 or more) but less than (M + $4,800)
25%
(M + $4,800 or more) but less than (M + $5,700)
20%
(M + $5,700 or more) but less than (M + $6,600)
15%
(M + $6,600 or more) but less than (M + $7,500)
10%
(M + $7,500 or more) but less than (M + $8,400)
5%
As used in this chapter, the following terms shall have the meanings indicated:
INCOME —The adjusted gross income for federal income tax purposes as reported on the applicant's federal or state income tax return for the applicable income tax year, subject to any subsequent amendments or revisions; provided that if no such return was filed for the applicable income tax year, the applicant's income shall be determined based on the amounts that would have so been reported if such a return had been filed; and provided, further, that when determining income, the following conditions shall be applicable
A. 
Any social security benefits that were excluded from the applicant's federally adjusted gross income shall be considered income;
B. 
Any tax-exempt interest or dividends that were excluded from the applicant's federally adjusted gross income shall be considered income;
C. 
Any distributions received from an individual retirement account or individual retirement annuity that were included in the applicant's federal adjusted gross income shall be considered income; and
D. 
Any losses that were applied to reduce the applicant's federal adjusted gross income shall be subject to the following limitations:
(1) 
The net amount of loss reported on federal Schedule C, D, E or F shall not exceed $3,000 per schedule;
(2) 
The net amount of any other separate category of loss shall not exceed $3,000;
(3) 
The aggregate amount of all losses shall not exceed $15,000.
PERSON WITH A DISABILITY —One who has a physical or mental impairment, not due to current use of alcohol or illegal drug use, which substantially limits such person's ability to engage in one or more major life activities, such as caring for one's self, performing manual tasks, walking, seeing, hearing, speaking, breathing, learning and working, and who is certified to receive social security disability insurance (SSDI) or supplemental security income (SSI) benefits under the federal Social Security Act; or is certified to receive railroad retirement disability benefits under the federal Railroad Retirement Act; or has received a certificate from the State Commission for the Blind and Visually Handicapped stating that such person is legally blind. An award letter from the Social Security Administration or the Railroad Retirement Board or a certificate from the State Commission for the Blind and Visually Handicapped shall be submitted as proof of disability
SIBLING —A brother or a sister, whether related through half blood, whole blood or adoption
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; provided, however, that no parcel may receive an exemption for the same municipal tax purpose pursuant to both this chapter and § 467 of the Real Property Tax Law.
Exemption from taxation for school purposes shall not be granted in the case of real property where a child resides if such child attends a public school of elementary or secondary education.
No exemption shall be granted:
A. 
If the income of the owner or the combined income of the owners of the property for the applicable income tax year as defined by § 459-c of the Real Property Tax Law exceeds the maximum income sum of $50,000. Where title is vested in a married person, the owner's and spouse's combined income may not exceed such sum, except that, where the spouse or ex-spouse is absent from the property due to divorce, legal separation or abandonment, then only the income of the spouse or ex-spouse residing on the property shall be considered and may not exceed such sum.
B. 
Unless the property is used exclusively for residential purposes; provided, however, that in the event that 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.
C. 
Unless the real property is the legal residence of and is occupied in whole or in part by the disabled person; except where the disabled person is absent from the residence while receiving health-related care as an inpatient of a residential health care facility, as defined in § 2801 of the Public Health Law, provided that any income accruing to that person shall be considered income for purposes of this section only to the extent that it exceeds the amount paid by such person or spouse or sibling of such person for care in the facility.
A. 
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 or her share or 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 property 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 exemption 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.
Application for such exemption must be made annually by the owner, or all of the owners, of the property on forms prescribed by the State Board and shall be filed in the Assessor's office on or before the appropriate taxable status date; provided, however, that proof of a permanent disability need be submitted only in the year exemption pursuant to this section is first sought or the disability is first determined to be permanent.
At least 60 days' prior to the appropriate taxable status date, the 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 the taxable status date and be approved in order for the exemption to continue to be granted. Failure to mail such application form, 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.
Notwithstanding any other provision of law to the contrary, the provisions of this chapter shall apply to real property held in trust solely for the benefit of a person or persons who would otherwise be eligible for a real property tax exemption, pursuant to § 48G-1, were such person or persons the owner or owners of such real property.
This chapter shall apply to assessment rolls prepared on the basis of taxable status dates occurring on or after January 1, 2024.