N.Y. Tax Law § 264 — Tax on prior advance mortgages

§ 264. Tax on prior advance mortgages. Whenever any part of the\namount of the principal indebtedness which is or under any contingency\nmay be secured by a mortgage recorded prior to July first, nineteen\nhundred and six, is advanced after July first, nineteen hundred and six,\nthe tax prescribed by section two hundred and fifty-three of this\narticle is hereby imposed on the amount of principal indebtedness so\nadvanced, which tax shall be payable at the same time and in the same\nmanner as taxes imposed by section two hundred and fifty-nine of this\narticle, and all the provisions of section two hundred and fifty-nine in\nrelation to the time and manner of paying such tax, the filing of\nstatements in relation to the time and amount of such advances, and\npenalties for failure to file the same shall apply to advances made\nunder this section and the payment of a tax thereon, except that if the\nmortgagor is not a corporation, such statements shall be filed by the\nowner of the mortgage, who, for failure to do so, shall be subject to\nthe penalties prescribed by such section. In case said mortgage was\ngiven to secure the payment of a series of bonds, the mortgagor may, at\nthe time of paying such tax, present to the recording officer, the bonds\nrepresenting the portion of the principal indebtedness secured by said\nmortgage upon which the tax is to be paid, and also file with said\nrecording officer a statement verified by the mortgagor or an officer or\nduly authorized agent or attorney of the mortgagor specifying that said\nbonds, so presented, are the bonds representing that portion of the\nprincipal indebtedness secured by said mortgage upon which the tax is to\nbe paid and that said bonds are secured by a mortgage recorded in said\noffice stating the date of said mortgage and the liber and page of the\nrecord of the same. It shall be the duty of such recording officer to\nindorse upon each of said bonds, so presented to him, a statement signed\nby him to the effect that the tax imposed by this article on that\nportion of the principal indebtedness secured by said mortgage\nrepresented by said bonds has been paid, and said statement shall be\nconclusive proof of such payment. Notwithstanding the exception\ncontained in section two hundred and fifty-four, the record owner of any\nmortgage recorded prior to July first, nineteen hundred and six, other\nthan a corporate trust mortgage, may file in the office of the recording\nofficer where such mortgage is first recorded a statement in form and\nsubstance as required by section two hundred and fifty-four of this\narticle, except that it shall specify and state the amount of all\nadvancements made thereon prior to said date, giving the date and amount\nof each advancement and the amount of such prior advancements remaining\nunpaid, and thereby elect that the same be taxed under this article; and\nany mortgagor or mortgagee under a corporate trust mortgage given to\nsecure a series of bonds or the owner of any such bond or bonds secured\nthereby may file in the office of the recording officer where such\nmortgage is first recorded a statement in form and substance as required\nby section two hundred and fifty-four of this article, except that it\nshall specify the serial number, the date and amount of each bond and\notherwise sufficiently describe the same to identify it as being secured\nby such mortgage, and thereby elect that such bond or bonds be taxed\nunder this article, and such bond or bonds shall be taxed upon the whole\namount thereof notwithstanding the provisions of section two hundred and\nsixty of this article. A tax shall thereupon, in the case of mortgages\nother than corporate trust mortgages, be computed, levied and collected\nupon the amount of the principal debt or obligation represented by said\nunpaid prior advancements at the time of filing such statement, or, in\nthe case of a corporate trust mortgage, upon the amount of the bond or\nbonds specified in the statement filed, at the rate prescribed by\nsection two hundred and fifty-three of this article. Said bonds\nrepresenting prior advancements under corporate trust mortgages and\ntaxed as herein provided may be presented to the recording officer,\nwhose duty it is to collect said tax, for indorsement and he shall\nthereupon indorse upon each of said bonds a statement, attested by his\nsignature, of the payment of the tax as provided in this section in\nrespect to bonds representing subsequent advancements, and the record\nowner of any other mortgage taxed upon prior advancements as herein\nprovided may present said mortgage to the recording officer and\nthereupon such officer shall note upon the same the filing of the\nstatement and the amount of the tax paid, attested by his signature. In\nall such cases the recording officer shall note on the margin of the\nrecord of such mortgage the filing of such statement and the amount of\nthe tax paid, and, in case of bonds secured by corporate trust\nmortgages, the serial number of each such bond. The words "bond" and\n"bonds" as used in this section shall be deemed to embrace all notes or\nother evidences of indebtedness secured by mortgages taxable under this\nsection. In case of any mortgage taxable under this section, the\nportion of the indebtedness secured thereby upon which the tax imposed\nby this section is paid, and such portion only, shall be exempt from\ntaxation under the provisions of section two hundred and fifty-one of\nthis article. Whenever the tax imposed by section two hundred and\nsixty-four of this article as said section existed prior to May\nthirteenth, nineteen hundred and seven, has been paid with respect to\nany mortgage, no additional tax shall accrue on such mortgage under this\nsection as hereby enacted and such mortgage and the debt or obligation\nsecured thereby, shall continue to be entitled to the exemptions and\nimmunities conferred by this article and all of the provisions of this\narticle shall remain applicable to such mortgage. All taxes imposed by\nor which became due, payable or collectible on or before the thirtieth\nday of June, nineteen hundred and six, pursuant to chapter seven hundred\nand twenty-nine of the laws of nineteen hundred and five, and all taxes\nwhich under section two hundred and fifty-eight of this chapter became\ndue and payable on the thirtieth day of July, nineteen hundred and six,\nand all other taxes, if any, which were imposed by chapter seven hundred\nand twenty-nine of the laws of nineteen hundred and five on any mortgage\nrecorded prior to the first day of July, nineteen hundred and six, in\nrespect to any period ending on or before the first day of July,\nnineteen hundred and six, shall be imposed, become due, be payable and\ncollectible and shall be paid over and distributed in the same manner,\nand with the same force and effect as if this article had not been\nenacted; and for the purpose of collecting, paying over, distributing\nand enforcing any such taxes, chapter seven hundred and twenty-nine of\nthe laws of nineteen hundred and five shall be deemed to be in force,\nand the lien for such taxes shall attach and such taxes shall be levied\nand collected as provided in chapter seven hundred and twenty-nine of\nthe laws of nineteen hundred and five, anything herein contained to the\ncontrary notwithstanding.\n