“NEW YORK JUST CAN’T SEEM TO LET YOU GO”

“NEW YORK JUST CAN’T SEEM TO LET YOU GO”

snow bird

By: Jeffrey M. Fetter


Some New York snowbirds change their residency to Florida for many reasons, including the fact that Florida does not have an estate or an income tax imposed on its residents. But, New York just does not like to lose its residents go putting the snowbird through an exhaustive exercise of changing everything about their lives to ensure they are truly no longer New York residents (voting registration, vehicle registrations, club memberships, being outside New York for at least 183 days per year, etc., etc.).


One of the “strategies” that former New Yorkers would utilize to ensure that they still had a physical place to return to when they were in New York after they changed their residences was to create an LLC that would own their former principal residence. New York cannot impose an estate tax on a nonresident’s “intangible property”, only “tangible property” like Commercial Real Estate owned by the non-resident in the Empire State. But, an LLC is certainly not tangible property; it’s ownership in a business, like stock. Right? Maybe not.


In Advisory Opinion TSB-A-15(1)M, the Department of Taxation concluded that a Single Member Limited Liability Company ( “SMLLC”) that owned real property, although completely disregarded for state and federal income taxes, is not treated as “Intangible Property” for purposes of the estate tax and as a result, the Commercial Real Estate is treated as being owned by the owner or the SMLLC and is subject to New York’s Estate Taxes. However, if the LLC is taxed as a corporation or as a multi-member LLC (i.e. a partnership), it is not treated in the same manner. Although advisory opinions are binding only on the taxpayer requesting the opinion, this careful planning is required.

New York just hates to lose you. Sometimes it’s nice to be wanted – other times, not so nice.


For more information, please feel free to contact me.

CLIENT ALERT: Protect Your Property from Deed Fraud in Florida

August 21, 2025
Stewart M. McGough, Esq. Deed fraud is increasing rapidly in Florida. Criminals have been forging property deeds to unlawfully transfer ownership and sell properties without the real owner's knowledge. Any property owner may be affected, including homeowners, and the legal costs to reverse this type of fraud can be substantial. To help combat this risk, Florida law now requires each county Clerk of Court to provide a Property Alert Service . This free service notifies you when a document such as a deed is filed under your name or your property's legal description. Steps You Should Take Register for Property Alerts Visit the official Florida Court Clerks website: https://www.flclerks.com/page/PropertyAlertServices Choose Your County (or Counties) Click the link for each county where you own property. Complete the online registration with your name and property information. Watch for Notifications If someone files a deed involving your property, you will receive an alert by email, text, or phone depending on the county. If the filing is legitimate, no action is needed. If it appears fraudulent, contact the Clerk immediately and consult an attorney to prevent the deed from being recorded. Why This Matters Deed fraud can occur silently and without warning. Registering for alerts gives you immediate notice so you can respond before the fraud is finalized and your property is illegally transferred.  Please take a few minutes to register today. This simple step can protect your property and avoid major legal complications.

Important Notice for New York State LLCs

August 8, 2024
By: Nicholas J. Graham, Esq. Limited Liability Companies ("LLC") have been authorized in New York since 1994. When the law was first enacted, an LLC could not have perpetual existence like corporations. This limitation was removed in 1997. If your LLC was established under the old New York State law that imposed a 30-year lifespan, it's crucial to be aware of the approaching expiration of your company's duration. Originally, LLCs in New York were required to specify a limited duration, commonly set at 30 years. Many of these companies are now reaching the end of this period and must take action to continue operating. Special attention should be given to LLC's formed between 1994 and 1997, as they were likely established with a 30-year lifespan. What Has Changed? The law in New York has evolved, and LLCs are no longer bound by the 30-year limit. Pursuant to NY LLC law §701(1), businesses now have the option to exist perpetually, providing greater flexibility and stability for long-term planning. However, this change is not automatic for existing LLCs that were originally set up with a 30-year term. What You Need to Do To ensure your LLC can continue its operations beyond the original 30-year term, you need to file an amended Articles of Organization with the New York Department of State. This amendment should update the duration of your LLC to perpetual, or to another term if desired. Steps to Amend Your Articles of Organization: Prepare the Amendment: Draft an amendment to your LLC's Articles of Organization. This document should clearly state the new duration of the LLC, typically set to "perpetual." File the Amendment: Submit the amended Articles of Organization to the New York Department of State. This can usually be done online or by mail. Ensure that you include the necessary filing fee. Update Internal Documents: Reflect the change in your LLC's operating agreement and any other internal documents to ensure consistency and compliance. Notify Members and Stakeholders: Inform all members and relevant stakeholders of the change to ensure everyone is aware of the updated status of the LLC. Why It Matters Failing to update your LLC’s duration could result in the automatic dissolution of the company once the original 30-year term expires. This could lead to significant disruptions in business operations and potential legal complications. By taking proactive steps to amend your Articles of Organization, you can ensure the continuity of your LLC and take advantage of the flexibility offered by the current laws. Need Assistance? The Scolaro Law Firm specializes in helping businesses navigate changes in regulatory requirements. If you need assistance with amending your Articles of Organization or have any questions regarding your LLC's status, please contact us. Our experienced team is here to provide the guidance and support you need to keep your business running smoothly. This article is intended to be for informational and discussion purposes only and is not to be construed as legal advice or as a legal opinion on which certain actions should or should not be taken.