§ 7-03 Amount and Duration of Tax Exemption.
RCNY § 7-03
(a)Taxes on prior assessed valuation not subject to exemption. Taxes on prior assessed valuation are not eligible for exemption under the Act. The prior assessed valuation is subject to taxes at the tax rate in effect from time-to-time.
(b)Exemption during construction or reconstruction.
(1)Eligible projects which have received a Preliminary Certificate of Eligibility shall be exempt from taxes (other than assessments for local improvements) upon any increase in assessed valuation over the prior assessed valuation for the period specified in paragraph (2) of this 28 RCNY § 7-03(b).
(2)The period of exemption shall commence upon the first day of the tax year immediately following the taxable status date (January 25th) after the commencement of construction or reconstruction and shall extend for two years after commencement of construction or reconstruction, unless construction or reconstruction is completed in less than two years in which case the period of exemption will terminate on the first day of the first tax year following completion of construction or reconstruction.
(c)Exemption after construction or reconstruction. Following the period specified in paragraph (2) of 28 RCNY § 7-03(b), an increase in assessed valuation over the prior assessed valuation of eligible projects which have received a Final Certificate of Eligibility shall be exempt from taxes (other than assessments for local improvements) for eight consecutive tax years pursuant to the following schedule: Year Percentage of Exemption First100% Second100% Third75% Fourth62.5% Fifth50% Sixth37.5% Seventh25% Eighth12.5%
