NYS High Court Reinstates City’s Property Tax Lawsuit

A much-needed overhaul of New York City’s tax system may have moved closer to the necessary steps being taken after New York State’s highest court reinstated a 2017 lawsuit filed by the advocacy group Tax Equity Now New York. In the lawsuit against the city and the state, the coalition of property owners, renters, and economic justice organizations argued that “property taxes in the city place a higher burden on rental properties than homes, violating the state’s real property tax law;” and that “real estate in districts where most residents are people of color are overtaxed, violating the federal fair housing law.” Currently the 43-year-old system “fails to assess tax more uniformly as a percentage of market value,” but this decision by the court is seen as a “step in the right direction of property tax equality.” The importance of bringing an end to lower assessments for the city’s expensive coops and providing relief to the over-taxed rental apartment buildings” was also pointed out. However, it would result in some property owners, especially in more white areas, seeing an increase in their property taxes, while others, especially in more non-white areas, will see them go down. Despite the win for the advocacy group, the lawsuit now goes back to the lower court, “and then determinations are going to be made.”

Source:    https://www.thecity.nyc/2024/03/19/unfair-property-tax-lawsuit-high-court-rules/