Print icon Print

Cooperative and Condominium Tax Abatement

Effective for tax years beginning on or after July 1, 2022, certain properties must submit a prevailing wage affidavit prior to the upcoming tax year to qualify for the Cooperative and Condominium Property Tax Abatement.

Click here for a list of developments that are required to file the prevailing wage affidavit. Click here to read more about the new requirement.

The filing period for the upcoming tax year ends on February 15.

 

Owners of cooperative units and condominiums who meet the requirements for the Cooperative and Condominium Property Tax Abatement can have their property taxes reduced. The amount of the abatement is based on the average assessed value of the residential units in the development.

Abatement percentages are as follows:

Average Assessed Value Benefit Amount Per Year
$50,000 or less 28.1%
$50,001 - $55,000 25.2%
$55,001 - $60,000 22.5%
$60,001 and above 17.5%

Requirements

  • Co-op and condo boards and managing agents must notify the Department of Finance of changes in ownership or eligibility for the Cooperative and Condominium Property Tax Abatement by February 15, or the following business day if February 15 falls on a weekend or holiday.
  • New condominium owners must have filed a real property transfer tax (RPTT) form or deed with the Division of Land Records at www.nyc.gov/acris. For more information, visit the Real Property Transfer Tax page.
  • The co-op or condo unit must be the owner's primary residence. Co-op shareholders and condo unit owners: Please tell your board or managing agent if the unit is your primary residence so that you can receive the abatement.
  • You must have purchased the unit on or before January 5 to qualify for the abatement for the upcoming tax year.  If the unit was purchased after January 5, you can apply for the next tax year.
  • Co-op or condo owners cannot own more than three residential units in any one development and one of the units must be the owner’s primary residence.
  • The property must be classified as a tax class 2 property.
  • Properties that are part of the Urban Development Action Area Program (UDAAP) cannot receive the abatement.
  • Prevailing wage affidavits must be filed for properties that have 30 or more dwelling units and an average assessed unit value of more than $60,000, or that have less than 30 dwelling units and an average assessed unit value of more than $100,000. Click here for a list of developments that are required to file the prevailing wage affidavit. This list is preliminary and will be updated after the release of the tentative property tax roll for tax year 2022-23 in January 2022.
  • Co-op or condo owners cannot be receiving any of the following exemptions or abatements:
    • J-51 exemption
    • 420c, 421a, 421b, or 421g
    • The clergy property tax exemption
    The co-op or condo property cannot be any of the following:
    • a Housing Development Fund Corporation (HDFC)
    • a Limited Dividend Housing Company, Redevelopment Company
    • a Mitchell-Lama Building or
    • in the Division of Alternative Management Programs (DAMP).
  • Units owned by a business (LLC) are not eligible.
  • Units held by sponsors or their successors in interest are not eligible.
  • Units owned by a trust are eligible only if the unit is the primary residence of all of the beneficiaries of the trust, trustee, or life estate holder. 

How to Apply for and Renew Your Abatement

Managing agents and boards of directors must apply for and renew the cooperative and condominium property tax abatement on behalf of their entire development.

The fastest and simplest way to apply for abatements or submit information changes is via the Cooperative/Condominium Abatement Portal (CCAP) or you may mail a paper form.

 

Cooperative/Condominium Abatement Portal (CCAP) Training Video

A training video is available to help you use the Cooperative/Condominium Abatement Portal. The training includes instructions for establishing and providing access to company administrators, which is essential for portfolio management.

Developments Applying for the Abatement for the First Time

Cooperative developments that are filing for the abatement for the first time can:

Condominium developments that are filing for the abatement for the first time can:

New Shareholders or Unit Owners in Developments That Have the Abatement

  • For Renewals and Changes
    For quicker processing, we strongly encourage you to file online using the Cooperative/Condominium Abatement Portal (CCAP). You may use the CCAP portal for submissions during the filing period. For more information and instructions, download the Cooperative Condominium Abatement Portal (CCAP) User Guide.
  • Tax Benefits Letter
    The Department of Finance mails tax benefits letters to boards and managing agents outlining each unit's tax savings in December of each year.
    • Co-op benefit letters outline personal exemptions; the co-op property tax abatement boards and managing agents use this information to distribute benefits to each unit. 
    • Condo benefits letters outline each unit's tax savings for condo property tax abatements in December of each year. Boards and managing agents use this information to identify changes and eligibility for unit owners.
  • Renewals and Changes - Developments without Managing Agents:
    Note: Shareholders and owners of cooperative units and condominiums who do not have a managing agent or board of directors should contact us or call 311 for more information on how to apply. If you are a cooperative shareholder or condominium owner with a managing agent, please contact your managing agent to apply.

    Please note that if you are a co-op shareholder or condo unit owner, you must inform your managing agent or board that your unit is your primary residence so that you can receive the abatement.

New Requirement Update

Chapter 422 of the NYS Laws of 2021 amends Section 467-a of the Real Property Tax Law as follows:

Primary Residency:

  • Adds the unit owner or shareholder as an applicant for the limited purpose of providing information to verify primary residency.

Prevailing Wage:

  • Stipulates that to qualify for the abatement, certain properties must submit an affidavit certifying that all building service employees employed or to be employed at the property shall receive the applicable prevailing wage for the duration of such property’s tax abatement.
  • Defines “building service employee” as any person regularly employed at a building performing work for the care or maintenance of such building.
  • Defines “prevailing wage” as the rate of wages and supplemental benefits paid to workers in the same trade or occupation and annually determined by the New York City Comptroller in accordance with section 234 of the labor law.
  • Stipulates that the Office of the New York City Comptroller is responsible for the compliance of properties subject to the prevailing wage provisions. Information on the Comptroller Office’s administration of prevailing wage provisions can be found at www.comptroller.nyc.gov/wages.
These changes are effective for tax years beginning on or after July 1, 2022.
For more information, please review the frequently asked questions. 

Need Help? Email Us.