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Cooperative and Condominium Tax Abatement

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

  • 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.
  • Property must be classified as a Class 2 property.
  • Properties that are part of the Urban Development Action Area Program (UDAAP) cannot receive the abatement.
  • Co-op or condo owners cannot be receiving any of the following exemptions or abatements:
    • J-51 exemption
    • 420c, 421a, 421b, or 421g
    • Cooperative properties are not eligible for the Clergy exemption
    The co-op or condo property cannot be:
    • a Housing Development Fund Corporation (HDFC);
    • a Limited Divided Housing Companies, Redevelopment Company;
    • a Mitchell-Lama Building or
    • in the Division of Alternative Management Programs (DAMP) Program.
  • 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 the beneficiary of the trust, trustee, or life estate holder.

How to Apply

Shareholders/Owners of cooperative units and condominiums without a managing agent or board of directors, please email the Department of Finance or contact 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.

  • Developments Applying for the Abatement for the First Time
    Cooperative and condominium developments that are filing for the abatement for the first time should complete the Cooperative and Condominium Property Tax Abatement for 2019/20 application which is due by February 15, 2019.

  • New Shareholders or Unit Owners In Developments That Have the Abatement
    If you are a co-op shareholder or condo unit owner, please tell your managing agent or board if your unit is your primary residence so that you can receive the abatement.
  • Co-op Tax Benefits Letter
    Finance mails Co-op Tax Benefits Letters to boards and managing agents outlining each unit's tax savings for personal exemptions and the co-op property tax abatement in December of each year. Boards and managing agents use this information to distribute benefits to each unit.
  • Condo Abatement Tax Benefits Letter
    Finance mails Condo Tax Benefits Letters to boards and managing agents outlining 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.
  • For Renewals and Changes
    The Managing Agents should complete the Cooperative / Condominium Property Tax Abatement Renewal and Change Form.

Renewal and Changes / Online Filing Change Form

Managing agents are legally required to renew the Cooperative and Condominium abatement for their properties every year. You can file online using the  Online Change Form. For more information and instructions, download the Online Change Form Guide

All condominium new owner updates must be submitted to the City Register by filing a Real Property Transfer Tax (RPTT) using the ACRIS system. Read more about the Real Property Transfer Tax (RPTT).


New! Online Filing now provides the Tax Benefit Breakdown Report. Your updates/changes will be reflected on a weekly basis viewable on Mondays with changes from the previous week/ up to Friday 5pm. Any submissions after 5pm on Fridays will show on the following Monday. This report will provide you with a likeness of the official report that will be mailed to you.

In December of each year, the Department of Finance mails Tax Benefit reports to boards and managing agents outlining each unit's tax savings for personal exemptions and the Cooperative and Condominium property tax abatement. Beginning in December, the Department of Finance will mail Tax Benefit reports to condominium boards and managing agents with each unit's Cooperative and Condominium property tax abatement.

If there are no changes to the Tax Benefit report, managing agents can renew the abatement for all eligible unit owners by checking the box on the online form stating that there are no changes.

If there are changes or updates to any units, managing agent must submit all changes, then sign and submit the form online. If a Change Form was already submitted to the Department of Finance for the upcoming tax year (e.g. 18/19) and there are no other changes, managing agents do not have to resubmit the form.

Change forms will satisfy the annual renewal requirement.

Cooperative and Condominium Tax Benefit Changes are due on February 15, 2019.

Managing agents, follow these steps to submit your changes successfully:

  • Remember that owners with more than three units within a development are not eligible for the abatement.
  • Refer to your most recent benefit breakdown report when making updates.
  • Before submitting, confirm that the information you have provided for each unit is correct, especially apartment number, Social Security number, and name.
  • You will need to upload documentation, such as a stock certificate, if units have been combined or added, or if any sponsors or shares have changed. Stock certificates must be typed (not handwritten).
  • If you are the building’s new managing agent, please upload a signed copy of your contract.
  • If you must submit a paper change form, type your updates rather than hand-writing them.

 


 

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