§ 56-04 Administration of Abatement.
RCNY § 56-04
(a)An MCI tax abatement will be for a term of one tax year and is not renewable for any subsequent tax years. An MCI tax abatement or a portion thereof cannot be carried over to the next tax year if the MCI tax abatement reduces the tax liability to an amount below $0. An MCI tax abatement is not refundable but applied only as a credit.
(b)The date an approved MCI tax abatement is applied depends on the date the MCI tax abatement application is received by the department. An approved application received by the department before May 15th of a calendar year will be applied in the tax year starting on July 1st of that calendar year. Approved applications received on or after May 15th of a calendar year will be applied in the tax year starting on July 1st of the following calendar year.
(c)An MCI tax abatement will not reduce or offset any other tax benefit provided, calculated or approved by the City of New York or the State of New York. The MCI tax abatement will be applied prior to the application of SCRIE or DRIE credits or J-51 program abatements.
(d)An MCI tax abatement is compatible with other tax benefits unless specifically prohibited by statute. A building is not eligible to receive an abatement if it receiving benefits under Sections 420-c, 421-a, and 421-g of the Real Property Tax Law, or any other provision that prohibits the receipt of other benefits.
(e)If multiple applications are submitted for the same tax lot, the MCI tax abatement will be calculated using the number of units specified in the MCI order issued by DHCR applicable to the building that is the subject of the individual application.
(f)If an MCI tax abatement is approved for a building that is included within multiple tax lots, each lot will be allocated a fraction of the abatement proportional to each lot's percentage of the total combined actual assessed value of the lots for the tax year that the abatement is applied.
(g)If an apportionment or merger occurs after an MCI order is issued by DHCR, the department will make the appropriate allocation of the MCI tax abatement to the successor tax lots.
(h)In enacting the MCI tax abatement the department in no way intends to affect the legal status of any apartment in an eligible building. Should it ever be determined that the receipt of an MCI tax abatement will affect the legal status of an apartment in a building, such as subjecting a decontrolled apartment to rent regulation, the building owner may withdraw its pending application for an MCI tax abatement or renounce an MCI tax abatement that has been received. Such renunciation by the building owner shall be deemed to void the MCI tax abatement ab initio. If an eligible building owner renounces an MCI tax abatement received, the building owner shall have thirty (30) days to pay the revised tax bill without interest being imposed. (Added City Record 7/11/2018, eff. 8/10/2018)
