Breaking: Co-op / Condo Tax-Abatement Renewal Passes Both Houses in Albany

“Since my tenure in the Assembly began in 2011, I have fought to reduce the outrageously high and inequitable property tax assessments levied on many of our middle-class co-ops in the outer boroughs,” said Braunstein. “This is a major victory for the vast majority of co-op owners in Northeast Queens, including thousands of senior citizens on fixed-incomes. This progressive legislation ends the tax abatement for investors and those who are not using their properties as their primary residence, and transfers the cost savings to our middle-class families and seniors so that they can afford to stay in their homes.” 

“Every four years, New York State has extended a program granting most New York City co-ops and condo owners a 17.5% abatement on their property taxes, in an attempt to make the tax rates more commensurate with those of single-family homeowners," he added. "For many co-op owners, especially those in Northeast Queens who were hit with monstrous tax hikes over the last two years, this program did not accomplish its goal. While more comprehensive reform is still necessary, this legislation helps to ensure that co-op property taxes are comparable to those of single-family residences.”

Wholesale Revision Still Needed
 
"Passage of the legislation is the culmination of a long, hard fight for fairness and equity,” said Stavisky. “For the past 15 years, the City of New York has been providing tax abatements to co-op and condos, in order to address the disparity between property taxes paid by owners of co-ops and private homes. While what is really needed is wholesale revision and reform of the classification system, the abatement we passed in Albany remedies the inequities. In fact, the abatement will increase for most Queens' co-ops because it is based on progressive property tax assessments."
 
She added, "I want to thank the advocates who contacted the legislature. They came to rallies in Queens and City Hall, contacted their legislators and held many forums. We can now focus our efforts on reforming the way co-ops and condos are assessed."

Warren Schreiber, president of the Bay Terrace Community Alliance and co-president of the Presidents Co-op & Condo Council said in a statement that, “Renewal of the co-op/condo property tax and J-51 abatements will allow hundreds of thousands of New Yorkers to continue to enjoy affordable housing,” said  “Without the abatements, financially struggling families may have been forced out of their homes. I want to thank the Albany lawmakers for their unwavering support of the co-op/condo community.”

Under the legislation:

• In fiscal years commencing in 2012, 2013 and 2014, dwelling units in property whose average unit assessed value is less than or equal to $50,000 shall receive a partial abatement of 25%, 26.5% and 28.1% respectively.

• In fiscal years commencing in 2012, 2013 and 2014, dwelling units in property whose average unit assessed value is more than $50,000, but less than or equal to $55,000, shall receive a partial abatement of 22.5%, 23.8.% and 25.2% respectively.

• In fiscal years commencing in 2012, 2013 and 2014, dwelling units in property whose average unit assessed value is more than $55,000, but less than or equal to $60,000, shall receive a partial abatement of 20.0%, 21.2% and 22.5% respectively.

• In fiscal years commencing in 2012, 2013 and 2014, dwelling units in property whose average unit assessed value is more than $60,000, shall receive a partial abatement of 17.5%.

 The benefit schedule for units that received the abatement in fiscal year two thousand twelve, but which are located in a property that does not contain a unit that is the primary residence of the owner of such units is as follows:

• In fiscal years commencing in 2012, 2013 and 2014, dwelling units in property whose average unit assessed value is less than or equal to $15,000 shall receive a partial abatement of 12.5%, 6.25% and no abatement respectively.

• In fiscal years commencing in 2012, 2013 and 2014, dwelling units in property whose average unit assessed value is greater than $15,000 shall receive a partial abatement of 8.75%, 4.375% and no abatement respectively.

 

For more, see our Site Map or join our Archive >>