[Adopted 2-21-2017 by L.L. No. 1-2017]
The colloquial name of this local law, which is the adoption
and implementation of New York State Real Property Tax Law § 485-b
by the Town of Yorktown, shall be the "Business Improvement Exemption
Law."
This local law, using § 485-b of the Real Property
Tax Law, authorizes a partial exemption from real property taxation
for commercial, business or industrial property constructed, altered,
installed or improved on or after the effective date of this local
law. The cost of such construction, alteration, installation or improvement
must exceed $10,000, with no cap or limit on the construction costs.
Ordinary maintenance and repairs do not qualify for the exemption.
The property must not be receiving or have received any exemption
authorized by the New York State Real Property Tax Law with respect
to the same improvements, unless during the period of the prior exemption,
payments in lieu of taxes were made in amounts that were at least
equal to the taxes that would have been paid had the property been
receiving the § 485-b exemption. This local law does not
limit the exemption by specific geographical areas and to sectors
and subsectors of businesses as defined in the North American Industry
Classification System.
The exemption applies to charges imposed upon real property
by or on behalf of the Town of Yorktown for municipal purposes and
to special ad valorem levies, except those levied for fire district,
fire-protection district or fire alarm district purposes. The exemption
does not apply to costs incurred for ordinary maintenance and repairs
or to property used primarily for residential purposes other than
hotels or motels. Utility properties that are owned or leased shall
be excluded from this exemption.
As set forth in the chart below, the exemption in the first
year is 50% of the increase in the assessed value attributable to
the improvement. The exemption amount then decreases by 5% in each
of the next nine years. This declining percentage continues to be
applied to the increase in assessed value determined in the first
year of the exemption, unless there is a change in level of assessment
for an assessment roll of 15% or more, as certified by the State Board
of Real Property Services, in which case an adjustment is required.
|
Year of Exemption
|
Percentage of Exemption
|
|---|---|
|
1
|
50%
|
|
2
|
45%
|
|
3
|
40%
|
|
4
|
35%
|
|
5
|
30%
|
|
6
|
25%
|
|
7
|
20%
|
|
8
|
15%
|
|
9
|
10%
|
|
10
|
5%
|
Application for the exemption must .be made to the Town Assessor
using Form RP-485-b. The RP-485-b application must be filed in the
Town Assessor's office on or before the taxable status date of May
1 and within one year from the date of the issuance. of the permanent
certificate of occupancy for which the exemption is sought. Subsequent
separate and different improvements on the property will require additional
applications for the exemption.
Once the exemption has been granted, the exemption may continue
for the authorized period, provided that the eligibility requirements
continue to be satisfied. It is not necessary to reapply for the exemption
after the initial year in order for the exemption to continue.
