Co-op and Condo Tax Rates Decline Slightly

As members of the city’s Advisory Commission on Property Tax Reform continues to hear testimony from expert witnesses in the last weeks before making its highly anticipated reform proposals, the city’s Department of Finance has finally finalized tax rates for the current fiscal year, which runs from July 1, 2018 to June 30, 2019. Co-ops and condos are, marginally, the winners. Comparisons between tax rates for the last fiscal year and the current fiscal year for the four property classes, as reported by the law firm Stroock & Stroock & Lavan, are as follows: 

Class 1 (1- to 3-family residences): up slightly from 20.385 percent to 20.919 percent. 

Class 2 (4-family or more residences, including co-ops and condos): down slightly from 12.719 to 12.612 percent. 

Class 3 (utility properties): up slightly from 11.891 percent to 12.093 percent. 

Class 4 (commercial properties): unchanged at 10.514 percent. 

The Advisory Commission on Property Tax Reform is expected to make its final recommendations early in 2019, which could lead to the first major reforms to the city’s opaque and lopsided property tax system in two decades. Among the changes the commission is considering, according to Bloomberg, are higher tax rates for co-ops and condos.