Property Tax Alert: New York

June 2004

The State Board of Real Property Services establishes ceilings for transportation property of railroads annually, and taxes are subsequently extended against the lower of the ceiling or the assessment placed on the property by the local assessor. The Rail Infrastructure Investment Act of 2002 mandated certain changes in the calculation of railroad ceilings that will lower them. The changes include increased depreciation for tracks. The increased depreciation is automatic for 2003, but railroad companies are required to file an application to obtain increased depreciation starting in 2004.

Please contact Rash & Associates for more information.