Current through Register Vol. 46, No. 12, March 20, 2024
Tax Law, § 260
(a) A request for an order of determination
and apportionment may be made prior to recording a mortgage covering real
property situated partly within and partly without the State. After receiving
such a request and the required documentation, the commissioner shall issue to
the mortgagor, the mortgagee and the State Comptroller an order of
determination and apportionment which will state the portion of the principal
debt or obligation secured by the mortgage which is subject to the taxes
described in Part 642 of this Title. The mortgage may then be recorded and the
tax paid based on such amount.
(b)
When making a request for an order of determination and apportionment prior to
the recording of the mortgage, the following documentation must be sent to the
commissioner:
(1) a copy of the
mortgage;
(2) book values and
appraised values of the property covered by the mortgage, separated into the
following categories:
(i) real property in
the State
(ii) real property
outside the State;
(iii) tangible
personal property located in the State; and
(iv) tangible personal property located
outside State;
(3)
assessed values of the real property located within the State by tax district
as the same appears on the assessment rolls most recent to the date of
recording the mortgage;
(4) a brief
description of each parcel of real property, including the page of the mortgage
where described; and
(5) a
statement of all prior encumbrances upon the property covered by the mortgage,
including a description of each encumbrance, and the amount
outstanding.
(c)
(1) If a mortgage covering property situated
partly within and partly without the State is presented for recording before
such determination and apportionment has been requested:
(i) the taxes described in Part 642 of this
Title must be computed as if such property is situated intirely within this
State; or
(ii) the taxes described
in Part 642 of this Title may be computed based on the apportionment described
in section
649.1
of this part provided that there is presented to the recording officer, along
with the mortgage, a statement in affidavit form, in duplicate, executed by the
mortgagor or his authorized representative, which contains the following
information:
(a) the names and addresses of
the parties to the mortgage;
(b)
the net value of the property covered by the mortgage within this
State;
(c) the net value of the
property covered by the mortgage without this State; and
(d) a mathematical computation of the portion
of the amount secured by the mortgage which is subject to tax.
(2) The commissioner,
upon receiving the statement described at paragraph (1) of this subdivision
from the recording officer, may request from any person having knowledge of the
transaction the documentation described in subdivision (b) of this section,
which such commissioner deems necessary to make a proper order of determination
and apportionment.
(3) A certified
copy of the order of determination and apportionment shall be delivered
personally or by mail to the mortgagor, the mortgagee and the State
Comptroller, and any further taxes which are determined to be due as set forth
in such order must be paid within 10 days after delivery of such certified
copy.
(4) If the taxes paid at the
time of filing the statement described at paragraph (1) of this subdivision
exceed the taxes determined to be payable, the order of determination and
apportionment shall direct the appropriate recording officer to refund to the
person who paid the taxes at the time of filing such statement, the amount of
taxes determined to be overpaid plus applicable interest as described in Part
653 of this Title.
