Cooperative and Condominium Tax Abatement

You may be eligible for the abatement if:

• The unit is your primary residence.
• You do not own more than three residential units in any one development.
• You have filed a real property transfer tax form or deed with the Division of Land Records at www.nyc.gov/acris. (This requirement applies to condominiums. The filing is generally done at the time of purchase, often by a title company or attorney on your behalf.)
• You are not receiving the clergy property tax exemption.
• The unit is not owned by a business, such as an LLC, or held by a sponsor or their successors in interest.

You must have purchased your unit on or before January 5 to qualify for the abatement for the upcoming tax year, which begins on July 1. Those who purchase their units after January 5 can apply for the following tax year. If the unit is owned by a trust, it must be the primary resident of all of the beneficiaries of the trust, trustee, or life estate holder.

Ask your board or managing agent if the development is currently receiving the abatement:

1. If your development is receiving the abatement, but you are not, ask your board or managing agent to apply on your behalf.
2. If the development is not currently receiving the abatement, encourage your board or managing agent to check the eligibility requirements and apply via the Cooperative Condominium Abatement Portal.

The development must be a tax class 2 property.

The development cannot be receiving the J-51 exemption or the 420c, 421a, 421b, or 421g commercial tax benefits. However, you can apply if these benefits are due to expire on June 30 of the tax year in which you are applying.

Properties associated with any of the following are not eligible:

• Housing development fund corporations (HDFC)
• Limited dividend housing companies
• Redevelopment companies
• Mitchell-Lama buildings
• Division of Alternative Management Programs (DAMP)
• Urban Development Action Area Program (UDAAP)

If your development is not currently receiving the abatement, the best way to apply is via the Cooperative Condominium Abatement Portal.

The amount unit owners can save with the abatement depends on the average assessed value of the residential units in the co-op or condo development:

The co-op or condo’s board or managing agents are responsible for applying for the abatement on behalf of the entire development.

For fast, easy processing, apply via the Cooperative Condominium Abatement Portal. If you are not able to file online, you may submit a paper application. (Be advised that paper applications cannot be processed as quickly as online applications.)

You may also be required to submit a prevailing wage affidavit, per the section below.

The abatement must be renewed each year. The co-op or condo’s board or managing agents are responsible for renewing the abatement—not the individual unit owners.

For fast, easy processing, renew via the Cooperative Condominium Abatement Portal. If you are not able to renew online, you may submit a paper application. (Be advised that paper renewals cannot be processed as quickly as online applications.)

Through the renewal process, the agent or board must inform the Department of Finance of any changes in ownership or eligibility. In December, we will mail a letter outlining each unit’s tax savings. The agent or board will use this information to report to us any changes in ownership or eligibility.

You may also be required to submit a prevailing wage affidavit, per the section below.

The deadline to renew the abatement and submit prevailing wage affidavits is February 15.

Certain properties must submit a prevailing wage affidavit to qualify for the cooperative and condominium property tax abatement. The filing period for the upcoming tax year ends on February 15.

To submit a prevailing wage affidavit, building representatives should:

• Look for their developments on the list of developments that must file the affidavit.
• Download the prevailing wage affidavit and complete it.
• Submit a completed affidavit via the cooperative/condominium abatement portal.
• If a property required to file a prevailing wage affidavit, but no longer wishes to receive the co-op/condo abatement, the building representative should complete the co-op/condo tax abatement benefit opt-out form.