Section 13 - [Exemption from taxation for victims or targets of Nazi persecution](a)Exemption from taxation for victims or targets of Nazi persecution. Notwithstanding any provision of law to the contrary, amounts received (including accumulated interest) by victims or targets of Nazi persecution from an eligible settlement fund, or from an eligible grantor trust established for the benefit of such victims or targets as set forth in this section, whether or not includable in income for federal income tax purposes, shall be exempt from all state and local taxes imposed on or measured by income. Provided however, that this exemption shall not apply to amounts received from assets acquired with such assets or with the proceeds from the sale of such assets. For the purposes of this section, "victims or targets of Nazi persecution" means any individual, corporation, partnership, sole proprietorship, unincorporated association, community, congregation, group, organization, or other entity persecuted or targeted for persecution by the Nazi Regime because of race, religion, ethnicity, sexual orientation, national origin, or physical or mental disability or handicap, or the heirs, successors, administrators, executors, affiliates, or assignees of such victims or targets, or any other claimant receiving funds from an eligible settlement fund, or from an eligible grantor trust established for the benefit of such victims or targets. An eligible settlement fund is an entity that is treated for federal income tax purposes as a designated or qualified settlement fund, as such term is defined in section 468B of the internal revenue code and the regulations thereunder, which is established for the principal purpose of resolving and satisfying claims arising from or in connection with any act or omission in any way relating to the Holocaust, World War II and its prelude and aftermath, victims or targets of Nazi persecution, transactions with or actions of the Nazi Regime, or treatment of refugees fleeing Nazi persecution by or in the Swiss Confederation. An eligible grantor trust is a grantor trust which is established for the principal purpose of resolving and satisfying such claims. (b) Exemption from taxation for qualified settlement funds established for the benefit of victims or targets of Nazi persecution by or in the Swiss Confederation. Notwithstanding any other provision of law to the contrary, an entity that is treated for federal income tax purposes as a designated or qualified settlement fund, as such term is defined in section 468B of the internal revenue code and the regulations thereunder, or a grantor trust, either of which is established for the principal purpose of resolving and satisfying claims arising from or in connection with any act or omission in any way relating to the Holocaust, World War II and its prelude and aftermath, victims or targets of Nazi persecution, transactions with or actions of the Nazi Regime, treatment of refugees fleeing Nazi persecution, by or in the Swiss Confederation, shall be exempt from all taxes imposed on or measured by income, the commercial rent tax imposed by the city of New York and all sales and use taxes whether imposed by the State or any local jurisdiction or municipality.