N.Y. Tax Law Section 171-U
Verification of income eligibility for basic STAR exemption

§ 171-u. * Verification of income eligibility for basic STAR exemption. * NB Effective until January 1, 2026 * Verification of eligibility for STAR exemption. * NB Effective January 1, 2026 * (1) On or after August fifteenth of each year, beginning in two thousand ten, the commissioner shall procure a report or reports identifying all parcels receiving the basic STAR exemption authorized by Real Property Tax Law § 425 (School tax relief (STAR) exemption)section four hundred twenty-five of the real property tax law. The commissioner is authorized to develop procedures necessary to ascertain to the best of his or her ability whether the parcels satisfy the income eligibility requirements for such exemption. Such determination shall be based upon the affiliated income of the parcel for the applicable income tax year, as defined by paragraph (b-1) of subdivision three of Real Property Tax Law § 425 (School tax relief (STAR) exemption)section four hundred twenty-five of the real property tax law. * NB Effective until January 1, 2026 * (1) The commissioner shall verify the eligibility of properties for STAR exemptions in the manner provided by Real Property Tax Law § 425 (School tax relief (STAR) exemption)section four hundred twenty-five of the real property tax law. * NB Effective January 1, 2026 * (2) The commissioner shall further develop procedures by which each assessor shall be notified of his or her findings, stating in each case either that the parcel does or does not meet the income eligibility standard prescribed by law, or that the income-eligibility of such parcel cannot be ascertained, whichever is appropriate. The commissioner shall provide no other information about the income of any person to an assessor. Such reports shall be furnished to assessors prior to the applicable taxable status date or as soon thereafter as is possible. * NB Effective until January 1, 2026 * (2)(a) Notwithstanding any provision of law to the contrary, the commissioner may adopt rules prescribing a uniform statewide system of parcel identification numbers applicable to all “assessing units”, as that term is defined by Real Property Tax Law § 102 (Definitions)section one hundred two of the real property tax law, provided that no such rule shall apply to an assessment roll with a taxable status date occurring prior to January first, two thousand thirteen.

(b)

Notwithstanding the foregoing provisions of this subdivision, the commissioner may, at his or her discretion, adopt rules that are applicable only to “special assessing units,” as that term is defined by Real Property Tax Law § 1801 (Definitions)section eighteen hundred one of the real property tax law, which prescribe an alternative system of parcel identification numbers solely for such special assessing units. * NB Effective January 1, 2026 * (3) Upon receiving such a report, the assessor shall grant the exemption to those parcels which the commissioner determined to be income-eligible (assuming the assessor finds that the remaining eligibility requirements continue to be satisfied), shall deny the exemption to those which the commissioner determined not to be income-eligible, and shall solicit income documentation from the owners of those parcels as to which the commissioner was unable to make a determination. Where the assessor denies the exemption based upon the commissioner’s report, a notice of denial shall be mailed as provided by paragraph (b) of subdivision six of Real Property Tax Law § 425 (School tax relief (STAR) exemption)section four hundred twenty-five of the real property tax law, giving the findings of such department as a reason for such denial. * NB Repealed January 1, 2026 * (4) Where a STAR exemption has been improperly granted on a final assessment roll to a property where the affiliated income exceeds the limitations established by paragraph (b-1) of subdivision three of Real Property Tax Law § 425 (School tax relief (STAR) exemption)section four hundred twenty-five of the real property tax law, the improperly granted exemption shall be corrected in the manner provided by subdivision twelve of Real Property Tax Law § 425 (School tax relief (STAR) exemption)section four hundred twenty-five of the real property tax law. * NB Repealed January 1, 2026 * (5)(a) Notwithstanding any provision of law to the contrary, the commissioner may adopt rules prescribing a uniform statewide system of parcel identification numbers applicable to all “assessing units”, as that term is defined by Real Property Tax Law § 102 (Definitions)section one hundred two of the real property tax law, provided that no such rule shall apply to an assessment roll with a taxable status date occurring prior to January first, two thousand thirteen.

(b)

Notwithstanding the foregoing provisions of this subdivision, the commissioner may, at his or her discretion, adopt rules that are applicable only to “special assessing units,” as that term is defined by Real Property Tax Law § 1801 (Definitions)section eighteen hundred one of the real property tax law, which prescribe an alternative system of parcel identification numbers solely for such special assessing units. * NB Becomes sub (2) on January 1, 2026

Source: Section 171-U — Verification of income eligibility for basic STAR exemption, https://www.­nysenate.­gov/legislation/laws/TAX/171-U (updated May 30, 2025; accessed May 24, 2025).

170
Department of taxation and finance 171
Powers and duties of commissioner of taxation and finance 171–A
Deposit and disposition of revenue 171–A*2
Statewide wage reporting system 171–AA
E-file authorizations collected by tax return preparers 171–B
Verification of income 171–C
Certain overpayments credited against past-due support 171–D
Certain overpayments credited against defaulted governmental education loans 171–E
Certain overpayments credited against national defense/national direct, health professions or nursing student loans 171–F
Certain overpayments credited against outstanding debts owed to a state agency 171–G
Provision of income information 171–H
State directory of new hires 171–I
Enforcement of child support and combined child and spousal support arrears 171–J
Verification of payroll records 171–K
Electronic signature 171–L
Certain overpayments credited against outstanding tax debt owed to the city of New York 171–M
Certain New York city tax overpayments credited against outstanding debts owed to the state of New York 171–N
Certain overpayments credited against outstanding tax debts owed to other states 171–P
Costs or fees imposed by the United States or other states for crediting tax overpayments against outstanding tax debts owed to the state... 171–R
Brownfield credit report 171–T
Reciprocal offset agreements with the United States or other states 171–U
Verification of income eligibility for basic STAR exemption 171–V
Enforcement of delinquent tax liabilities through the suspension of drivers’ licenses 171–W
State support for the local enforcement of past-due property taxes 171–Z
Information sharing with the comptroller regarding unclaimed funds 172
Official seal 173
Review by commissioner 173–A
Hearing rights upon notice and demand 174
Oaths, acknowledgments, subpoenas and commissions to take testimony 174–A
Duration of warrant liens on real property 174–B
Limitation on the time to collect tax liabilities 174–C
Service of income execution without filing a warrant 175
Manner of execution of instruments by the commissioner 176
Transfer of the powers and duties of the comptroller in relation to the assessment or collection of certain taxes 177
Construction 179
Definitions 180
Independent analysis
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Accessed:
May 24, 2025

Last modified:
May 30, 2025

§ 171-U’s source at nysenate​.gov

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