§ 230-2. Amount of 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 $26,000, except that if the aforesaid income is more than $26,000, then such real property shall be exempt to the extent provided in the following schedule:

[Amended 11-28-1994 by L.L. No. 7-1994; 2-12-1996 by L.L. No. 1-1996; 10-28-1996 by L.L. No. 6-1996; 2-8-1999 by L.L. No. 2-1999; 3-26-2001 by L.L. No. 4-2001; 1-27-2003 by L.L. No. 1-2003; 2-23-2004 by L.L. No. 1-2004; 2-26-2007 by L.L. No. 2-2007; 10-15-2007 by L.L. No. 8-2007]

(1) 

Exemption schedule.

Annual Income	Percentage of Assessed Valuation Exempt From Taxation
Less than $26,000	50%
Equals $26,000 but less than $27,000	45%
$27,000 or more but less than $28,000	40%
$28,000 or more but less than $29,000	35%
$29,000 or more but less than $29,900	30%
$29,900 or more but less than $30,800	25%
$30,800 or more but less than $31,700	20%
$31,700 or more but less than $32,600	15%
$32,600 or more but less than $33,500	10%
$33,500 or more but less than $34,400	5%

(2) 

The eligible income levels will then increase $1,000 annually through 2009, such that in 2009 there will be a 50% exemption for incomes up to $29,000 and a graduated reduction in exemption for incomes more than $29,000 but less than $37,400.

(3) 

Income shall be offset by all medical and prescription drug expenses actually paid which were not reimbursed or paid by insurance and long-term care insurance premiums actually paid by the owner.

(4) 

Such income shall not include the proceeds of a reverse mortgage, as authorized by § 6-h of the Banking Law, and §§ 280 and 280-a of the Real Property Law; provided, however, that monies used to repay a reverse mortgage may not be deducted from income, and provided additionally that any interest or dividends realized from the investment of reverse mortgage proceeds shall be considered income.

[Added 10-15-2018 by L.L. No. 3-2018]

(5) 

The provisions of this subsection notwithstanding, such income shall not include veterans disability compensation, as defined in Title 38 of the United States Code.

[Added 10-15-2018 by L.L. No. 3-2018]

B. 

Unless the title of the property shall have been vested in the owner or all of the owners of the property for at least 60 consecutive months prior to the date of making application for exemption.

C. 

Unless the property is used exclusively for residential purposes.

D. 

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

Amended 10-9-1982; 2-26-1984; 11-27-1989; 10-9-1990; 12-9-1991; 12-28-1992