§ 1402-b. Supplemental tax in cities having a population of one million or more. (a) In addition to the taxes imposed by sections fourteen hundred two and fourteen hundred two-a of this article, a tax is hereby imposed on each conveyance of residential real property or interest therein within any city in this state having a population of one million or more when the consideration for the conveyance is two million dollars or more. For purposes of this section, residential real property shall include any premises that is or may be used in whole or in part as a personal residence, and shall include a one, two, or three-family house, an individual condominium unit, or a cooperative apartment unit. Such tax shall be paid at the same time and in the same manner as the taxes imposed by sections fourteen hundred two and fourteen hundred two-a of this article.

Terms Used In N.Y. Tax Law 1402-B

  • Consideration: means the price actually paid or required to be paid for the real property or interest therein, including payment for an option or contract to purchase real property, whether or not expressed in the deed and whether paid or required to be paid by money, property, or any other thing of value. See N.Y. Tax Law 1401
  • Conveyance: means the transfer or transfers of any interest in real property by any method, including but not limited to sale, exchange, assignment, surrender, mortgage foreclosure, transfer in lieu of foreclosure, option, trust indenture, taking by eminent domain, conveyance upon liquidation or by a receiver, or transfer or acquisition of a controlling interest in any entity with an interest in real property. See N.Y. Tax Law 1401
  • Grantee: means the person who obtains real property or interest therein as a result of a conveyance. See N.Y. Tax Law 1401
  • Grantor: The person who establishes a trust and places property into it.
  • Grantor: means the person making the conveyance of real property or interest therein. See N.Y. Tax Law 1401
  • Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land.
  • Real property: means every estate or right, legal or equitable, present or future, vested or contingent, in lands, tenements or hereditaments, including buildings, structures and other improvements thereon, which are located in whole or in part within the state of New York. See N.Y. Tax Law 1401

The rate of such tax shall be:

(1) one-quarter of one percent of the consideration or part thereof attributable to the residential real property when such consideration for the entire conveyance is at least two million dollars but less than three million dollars;

(2) one-half of one percent of the consideration or part thereof attributable to the residential real property when such consideration for the entire conveyance is at least three million dollars but less than five million dollars;

(3) one and one-quarter percent of the consideration or part thereof attributable to the residential real property when such consideration for the entire conveyance is at least five million dollars but less than ten million dollars;

(4) two and one-quarter percent of the consideration or part thereof attributable to the residential real property when such consideration for the entire conveyance is at least ten million dollars but less than fifteen million dollars;

(5) two and one-half percent of the consideration or part thereof attributable to the residential real property when such consideration for the entire conveyance is at least fifteen million dollars but less than twenty million dollars;

(6) two and three-quarters percent of the consideration or part thereof attributable to the residential real property when such consideration for the entire conveyance is at least twenty million dollars but less than twenty-five million dollars; and

(7) two and nine-tenths percent of the consideration or part thereof attributable to the residential real property when such consideration for the entire conveyance is at least twenty-five million dollars.

(b) Notwithstanding the provisions of subdivision (a) of section fourteen hundred four of this article, the tax imposed by this section shall be paid by the grantee. If the grantee has failed to pay the tax imposed by this article at the time required by section fourteen hundred ten of this article or if the grantee is exempt from such tax, the grantor shall have the duty to pay the tax. Where the grantor has the duty to pay the tax because the grantee has failed to pay, such tax shall be the joint and several liability of the grantor and the grantee.

(c) Except as otherwise provided in this section, all the provisions of this article relating to or applicable to the administration, collection, determination and distribution of the tax imposed by section fourteen hundred two of this article shall apply to the tax imposed under the authority of this section with such modifications as may be necessary to adapt such language to the tax so authorized. Such provisions shall apply with the same force and effect as if those provisions had been set forth in this section except to the extent that any provision is either inconsistent with a provision of this section or not relevant to the tax authorized by this section.

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