Purpose of Audit

The purpose of our audit was to review the Town’s property tax exemption process for the period January 1, 2015 through August 25, 2016.

Background

The Town of Ulster is located in Ulster County and has a population of approximately 12,000. The Town is governed by a five-member Town Board, which appoints the Town Tax Assessor. Budgeted appropriations for 2016 totaled approximately $15.9 million.

Key Findings

• The Tax Assessor did not properly grant and monitor property tax exemptions.
• The Tax Assessor did not file Transfer of Exempt Real Property forms with the county for four of eight properties that were sold.

Key Recommendations

• Review all property tax exemptions on an annual basis to verify that proper documentation is maintained.
• File the Transfer of Exempt Real Property forms for the four properties with exemptions that were transferred in 2015 to recover the prorated portion of 2015 taxes.