Bill > S06968

This bill modifies existing tax and real property tax laws to remove tax-exempt status from not-for-profit corporations if they or their officers, members, or employees are convicted of criminal facilitation under Article 115 of the New York Penal Law. Specifically, the bill amends several sections of the tax law and real property tax law to add a provision that revokes tax-exempt status for organizations where a criminal facilitation conviction occurs. Criminal facilitation generally refers to actions that help or enable the commission of a crime, even if the person does not directly commit the crime themselves. The bill applies to various types of tax-exempt organizations, including those organized for religious, charitable, scientific, literary, or educational purposes. By introducing these changes, the legislation aims to discourage criminal activities within not-for-profit organizations by imposing a significant financial penalty in the form of loss of tax-exempt status, which could substantially impact an organization's financial viability and operational capabilities.

Budget and Finance

https://www.nysenate.gov/legislation/bills/2025/S6968