Residents of New York pay some of the highest property taxes in the nation, according to Census Data and lists compiled by the nonprofit Tax Foundation. However, the state does offer exemptions for people who use their homes as their primary residence as well as exemptions for senior citzens, veterans, and people with disabilties.
New York state law requires all properties in each municipality (except in New York City and Nassau County) to be assessed at a uniform percentage of market value each year. This means that your assessment will be equal to some set percentage of market value as determined by your local assessor's office and that your property will be re-assessed every year. If you disagree with your assessment there are ways to protest it.
New York Property Tax Rates
Your property tax bill will equal your final assessment amount multiplied by the local property tax rate. New York property tax rates are set by local governments and therefore vary by location. The state has a website where you can search for your city and see tax rates, exemption amounts, and other information.
Property Tax Reductions and Exemptions
Property tax exemptions reduce the assessment of your property's value, which is what your property tax bill is based on. New York allows local governments to give out several different exemptions. New York has exemptions for senior citizens, veterans, and the disabled. There is also the STAR (School Tax Relief) exemption, which is an exemption for residential property that is used as the owner’s primary residence. Each locality decides whether or not to offer these exemptions, so they may not be available everywhere in the state.
- Senior Citizen Exemptions: New York State law allows local governments and school districts to give qualifying senior citizens up to a 50% reduction in the assessed value of their residential property. To qualify, you must be 65 or older and meet certain income limitations and other requirements. Localities also have the option of granting an exemption of less than 50% to senior citizens whose incomes exceed the income limits. Localities can do this by creating a system where the exemption slowly fades out as income increases.
- Veterans who purchase their property using money from their pensions, insurance settlements, or bonuses can receive an exemption that reduces their assessments. The amount of the exemption is determined by each locality. Local governments are also allowed to give exemptions to veterans who served during wartime or received an expeditionary metal. A third exemption is allowed specifically for Cold War veterans.
- Exemptions for the Disabled: State law allows exemptions for disabled persons who have documented evidence of their disability and meet certain income limitations and other requirements as determined by each locality. The basic exemption is equal to 50% off the value of the property. Localities can also offer exemptions of less than 50% for people whose income exceeds the set limits.
- STAR Exemptions: New Yorkers who own and live in their one, two, or three-family home, condo, cooperative apartment, manufactured home, or farm dwelling are eligible for a STAR exemption on their primary residence. The basic star exemption is equal to $30,000 off the full value of a home for school taxes only. There are also enhanced STAR exemptions for senior citizens who meet income limitations.