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ll The remaining 10 agricultural building exemptions totaling $932,000 were for farm buildings and/or structures. Eight exemptions totaling $691,000 either lacked all documentation, or the documentation on file was insufficient. For example, three exemptions totaling $299,000 were not supported by any annually updated proof-of-income documentation and one exemption totaling $145,000 was not supported with the original exemption application or any documentation to demonstrate the exemption computation, as required. Veteran – We reviewed 22 veteran exemptions totaling $921,000 on properties with assessed values of approximately $2.5 million. Six exemptions totaling $480,000 lacked the required supporting documentation, as follows: ll Three exemptions totaling $340,000 did not have the veteran military service evidence for which the exemptions were granted. For example, a 100 percent eligible funds3 exemption was granted to a resident with property assessed at $100,800. However, the Assessors did not have any proof of military service, discharge, disability rating or use of eligible funds that may have been used to purchase the property, as statutorily required. Further, one of these exemptions was also not supported by any current renewal form on file. ll Three additional exemptions totaling $140,000 were also not supported with current renewal forms. Senior Citizen – We reviewed 15 senior citizen exemptions totaling $600,000 on properties with assessed values of $1.6 million and found that, other than minor exceptions which we discussed with officials, they were generally properly supported. In conclusion, when the Assessors do not properly document exemptions as required or periodically review and monitor them to ensure eligibility remains appropriate, the risk of illegitimate exemptions increases. Exemptions reduce the taxable assessed value of a property and, therefore, reduce the property owner’s tax payment and shift the tax burden to other property owners. What Do We Recommend? The Assessors should: 1. Ensure all applicants provide adequate supporting documentation before granting exemptions. 2. Maintain documentation to support eligibility for all exemptions. 3 The Eligible Funds Exemption reduces the assessed value of a property that a veteran purchased with "eligible funds" (typically up to a maximum of $5,000) that the veteran received upon discharge from active duty. Of f ic e of t he New York State Comptroller 3