N.Y. Comp. Codes R. & Regs. tit. 20 § 361.1

Current through Register Vol. 46, No. 45, November 2, 2024

Section 361.1 - Releases of liens

Under articles 10, 10-C and 26 of the Tax Law, the State Tax Commission is authorized to issue releases of liens imposed by said articles on real property of decedents. Such releases will be issued, upon application therefor, in accordance with the following rules:

(a) Where an order has been entered exempting an estate from the taxes imposed by article 10, 10-C or 26, a release will be issued for any real property disclosed in the proceeding.

(b) Where an order has been entered assessing a tax under article 10, 10-C or 26, a release will be issued for any real property set forth in the return of the estate, provided the tax which is a lien on such real property, together with interest thereon, is paid.

(c) Where a proceeding to assess a tax under article 10, 10-C or 26 is pending at the time of the application, and an adequate estimated payment on account of the tax has been made, a release will be issued.

(d) Where no order fixing the tax or exempting the estate has been entered, no proceeding is pending and no estimated tax paid under article 10, 10-C or 26, the following procedure should be followed:

(1) Where the application is made by the executor, administrator, trustee, or beneficiary of an estate, the application must be accompanied by an affidavit setting forth the date of decedent's death, all the decedent's property subject to tax, the allowable deductions, the persons interested in the estate and the amount of the distributive share of each beneficiary. If it appears from such affidavit that no tax is due, a release will be promptly issued but if it appears therefrom that a tax is due, it must be paid before a release will be issued.

(2) Where the application is made by any other person, it must be accompanied by an affidavit setting forth the relationship, directly or indirectly, of the applicant to the decedent and to any person interested in the estate, and the reason the applicant seeks the release. Such affidavit shall also set forth the date of the decedent's death, all of decedent's property subject to tax, the allowable deductions, the persons interested in the estate and the amount of the distributive share of each beneficiary. In the event that any of the facts set forth in the preceding sentence are not known and cannot reasonably be ascertained, the affidavit should state the reason why such information cannot be set forth. The affidavit should also outline the proceedings, if any, in the Surrogate's Court in regard to the decedent's estate, the assessed value of the real property for which a release is sought, (i) at the time of decedent's death, and (ii) as shown on the last preceding assessment roll, and the names of owners of such real property after the decedent's death, so far as they appear upon the public records. A release will be issued dependent upon the facts in each case upon such conditions as will not jeopardize the revenues of the State.

(e) Each application for a release must be accompanied by the statutory fee of $2 with respect to article 10, and $10 with respect to articles 10-C and 26, made payable to the State Tax Commission, and:

(1) where acceptable to the clerk of the county in which the real property is situated, the section, block, and lot numbers, and/or the book of deeds or liber number (including the page number), tax map number (where applicable), and the complete address of the property; or

(2) in those counties where the information in paragraph (1) of this subdivision is not acceptable, the legal description (metes and bounds) of the real property, in duplicate.

The application must be made to the State Tax Commission, and filed with the New York State Department of Taxation and Finance, Audit Division-Estate Tax Section, State Campus, Albany, NY 12227.

N.Y. Comp. Codes R. & Regs. Tit. 20 § 361.1