What Is the NYC Co-op and Condo Tax Abatement?

The NYC Co-op and Condo Tax Abatement is a property tax reduction administered by the NYC Department of Finance under Section 467-a of the Real Property Tax Law. It reduces annual property taxes for eligible co-op shareholders and condo unit owners using the unit as their primary residence. The abatement ranges from 17.5% to 28.1% of the property tax bill, scaled by the average assessed value of units in the building.

Eligibility requires the unit be the owner’s primary residence, owned by an individual rather than an LLC or business entity, with no more than three units owned by the applicant in the same development. The building cannot be receiving J-51, 420-c, 421-a, 421-b, or 421-g benefits. The board or managing agent must apply on behalf of the building each year, typically by mid-February. Buildings with 30 or more units and an average assessed value above $60,000, or fewer than 30 units with average assessed value above $100,000, must also file a Prevailing Wage Affidavit certifying that building service workers receive prevailing wage. Buildings that fail to file lose the abatement for the entire year.

Don’t leave thousands of dollars in tax savings on the table. MD Squared files tax abatement applications, prevailing wage affidavits, and DOF renewals for every building we manage. Our Condo-Coop Property Management service includes a dedicated compliance workflow built around NYC’s filing deadlines so your owners and shareholders capture every available benefit. Get in touch with our team and let us handle your abatement filings.

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