Bulletin: NY000514

Date:
December 10, 2012
To:
All New York State Agents, Office Counsel and Managers
RE:
Mortgage Tax decision of Interest Federal Credit Union. Hudson Valley Federal Credit Union, Plaintiff v New York State Department of Taxation and Finance et al., Defendants

In Hudson Valley Federal Credit Union v NYS Dept of Taxation, the New York State Court of Appeals has recently prohibited a Federal Credit Union from claiming an exemption from the Mortgage Recording Tax.  Below you will find a link to the New York State Department of Taxation and Finance Technical Memorandum on this issue.  Pursuant to TSB-M-12(1)R, Federal Credit Unions are subject to all mortgage taxes except for the specific exemption for the special additional mortgage tax provided in NY Tax Law Section 253.1-a(a).

 

 

TSB-M-12(1)R Click to view

THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER  AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.

References

Bulletins Replaced:
None
Related Bulletins:
NY000508 Mortgage Tax decision of Interest Federal Credit Union
Underwriting Manual:
None
Exceptions Manual:
None
Forms:
None