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Exemption for persons with disabilities—Income requirements

You cannot receive the exemption for persons with disabilities if the income of the owner, or the combined income of all the owners, exceeds the maximum income limit set by the locality.

If you are married, the income of your spouse must be included in the total unless your spouse is absent from the residence due to a legal separation or abandonment. The income of a non-resident former spouse, who retains an ownership interest after the divorce, is not included. If the "sliding-scale" option is in effect, you must meet that income limitation; contact the assessor to determine what the income limits are.

Income is to be reported on the basis of the latest preceding "income tax year" prior to the date of application. This usually is the preceding calendar year.

Proof of income

If a Federal or New York State income tax return was filed for any of the owners of the property or their spouses for the preceding year, copies of such return should be submitted with their application.

Income includes

  • disability payments
  • all Social Security payments
  • salary and wages (including bonuses)
  • interest (including non-taxable interest on state and local bonds)
  • total dividends
  • net earnings from farming, rentals, business or profession (including amounts claimed as depreciation for income tax purposes)
  • income from estates or trusts
  • gains from sales and exchanges
  • the total amount received from governmental or private retirement or pension plans
  • annuity payments (excluding amounts representing a return of capital)
  • alimony
  • unemployment insurance payments
  • workers compensation
  • etc.

Income does not include

  • Supplemental Security Income
  • moneys received pursuant to the federal Foster Grandparent Program
  • welfare payments
  • inheritances
  • a return of capital
  • reparation payments received by Holocaust survivors

Municipalities have the option to permit applicants to subtract from their incomes all medical and prescription drug expenses that are not reimbursed or paid by insurance.

If the owner is an inpatient in a residential health care facility, the owner's other income is not considered income in determining exemption eligibility if it does not exceed the amount paid by such owner, spouse, or co-owner for care at the facility. Proof from the facility of the amount paid for an owner's care must be submitted with the exemption application.

Social Security payments received by an owner as representative payee of another is not considered income. If the recipient can prove that the monies he or she receives are paid on behalf of another, such as the recipient's disabled adult child, those monies received in a fiduciary capacity are not considered income to the recipient.