NYC Property Tax Update – new tax rates & bills – client alert

Michael E. LefkowitzManaging Member, Rosenberg & Estis, P.C.

The New York City Council just set the tax rates for the 2019/20 tax year. All tax rates increased except Tax Class 2 apartment buildings. The New York City Department of Finance (DOF) recalculated the 2019/20 taxes using the new rates and is now sending out the new tax bills for payment due January 1, 2020. You can see your latest property tax bill on DOF’s new website here.

The 2019/20 property tax rates are:

  • Class 1: 21.167% (1-3 family homes). Last year was 20.919%.
  • Class 2: 12.473% (apartment buildings). Last year was 12.612%.
  • Class 3: 12.536% (utilities). Last year was 12.093%.
  • Class 4: 10.537% (commercial). Last year was 10.514%.

Ben Williams, a member at Rosenberg & Estis, P.C. and head of our Property Tax Department, was recently featured in the New York Law Journal discussing the new tax rates and how commercial property tax rates were supposed to drop, but instead increased. Ben previously discussed in GlobeSt how the new HSTPA rent laws will affect property taxes going forward.

2019 property tax protests

The Tax Commission is currently finishing its review of 2019 applications, and our Property Tax Department had a very successful year. DOF will publish next year’s assessments in less than two months, so please let us know if you’d like us to review your properties to see if tax protests are viable.

Upcoming deadlines in 2020

  • January 1: second half or third quarter property tax payment due for tax year 2019/20.
  • January 5: If your property has a Not-for-profit, ICIP, or CERP tax exemption and abatement, CCU renewal forms must be filed with DOF using this link.
  • January 15: DOF publishes the 2020/21 “tentative” assessments
  • February 15: managing agents must file coop/condo tax abatement renewals & changes with this link.
  • March 1: property tax protest deadline to file Tax Commission applications
  • June 1: RPIE-2019 filing due, and it may include new questions regarding a commercial vacancy

Under Ben’s leadership, R&E successfully finished the 2019/20 NYC property tax protest season and is preparing cases for the upcoming protests in January. Please reach out to Ben with any questions

Contributing Advisors

Richard L. SussmanMember, Rosenberg & Estis, P.C.