City extends deadline for pied-à-terre tax exemption after notice error
New York City pushed the exemption filing deadline to October 6 after the Department of Finance admitted it sent tax notices to over a thousand primary residences by mistake.
In recent court documents, New York City acknowledged that its Department of Finance erroneously sent pied-à-terre tax notices to more than 1,200 properties that serve as owners’ primary residences. The tax targets luxury second homes valued at $5 million or more, as well as certain co-ops and condos worth $1 million or higher that are not primary dwellings. To give affected owners more time, the city moved the exemption filing deadline to October 6, after previously shifting it from late August to September 18.
About 11,000 people have started exemption applications, and 2,900 exemptions have been granted so far. The department plans to issue another 10,800 letters by the end of August to verify primary-residence status. The lawsuit, filed in Staten Island Supreme Court, challenges the city’s rollout of the surcharge.
Why it matters
The mistake could affect thousands of New Yorkers’ tax bills and highlights challenges in implementing the new luxury-home surcharge.
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