New York 2025-2026 Regular Session

New York Assembly Bill A03284

Introduced
1/27/25  
Refer
1/27/25  

Caption

Establishes a tax on certain vacant residential properties in the city of New York; provides exemptions for certain vacant properties.

Summary

A03284 would authorize any New York City with a population of one million or more, which in practice means New York City, to adopt a local vacancy tax on residential properties that have been vacant for at least 180 days or are not used as a primary residence. The proposed tax rate would be 1.5% of assessed value for the first two years of vacancy and 3% after two years. The bill also creates a presumption of vacancy unless the owner can show residency or file an exemption request with supporting documentation. The bill includes several exemptions, including newly built homes, properties whose owner died within the prior year, homes under permitted renovation, and homes whose occupants have been moved to a hospital or long-term/supportive care facility with an expectation of return. It also allows the city to create additional exclusions or exemptions, and it directs the city finance commissioner to administer and enforce the tax using existing local tax collection mechanisms. False or fraudulent filings intended to evade the tax would trigger an additional fee equal to 2% of the property’s market value, and the revenue would go into the city treasury and general fund to support a tax credit for properties that do not pay the vacancy tax.

Impact

This bill would amend the state Tax Law by adding a new section authorizing a large city to impose and collect a local tax on vacant residential property. It would expand local taxing authority for qualifying cities, establish statewide parameters for what counts as vacancy, set default tax rates and exemptions, and permit local administration and enforcement through the city’s finance department. The measure would primarily affect residential property owners, landlords, and investors holding vacant units in New York City, while also creating a new revenue stream for the city and a mechanism for redistributing some of those receipts through a tax credit.

Sentiment

Based on the bill text and the absence of recorded committee discussion or votes, the available context suggests the measure is presented as a policy tool to discourage prolonged vacancy and encourage housing use. The structure of the bill indicates a pro-enforcement, pro-housing-supply approach, with detailed exemptions intended to avoid penalizing legitimate temporary vacancies. Because there are no transcripts or vote records provided, there is no documented legislative sentiment beyond the bill’s apparent intent.

Contention

The main points of contention likely concern whether the vacancy tax is an appropriate use of municipal taxing power, how accurately vacancy can be determined, and whether the presumption of vacancy and documentation requirements could burden property owners. Property owners and landlords may object to the tax as punitive or administratively difficult, while housing advocates may support it as a way to bring unused units back into circulation. Potential disputes may also arise over exemptions for renovations, medical absences, and newly built properties, as well as the fairness of the additional penalty for false filings and the use of revenues to fund credits for non-vacant properties.

Companion Bills

No companion bills found.

Previously Filed As

NY A03286

Establishes a tax on certain vacant land in the city of New York; provides exemptions for certain vacant land; establishes a tax credit for certain renovations to certain rent-stabilized properties.

NY S08653

Creates a vacant property classification for vacant and blighted properties; allows for cities with a population of one million or more to levy an additional real property tax on vacant and blighted properties with funds raised from such taxes being used to address homelessness.

NY S0658

Water Safety Requirements for the Rental of Residential and Vacation Properties

NY A753

Concerns expedited process for foreclosing vacant and abandoned residential properties in uncontested actions.

NY S3046

Concerns expedited process for foreclosing vacant and abandoned residential properties in uncontested actions.

NY HB261036

Concerning authorization for a local government to impose taxes on vacant residential properties, and, in connection therewith, allowing a local government to levy an excise tax based on the characteristics of a residential property, allowin...

NY HSB271

A bill for an act establishing a partial exemption on property taxes for certain residential properties sold in disaster areas.

NY HF2341

A bill for an act establishing a partial exemption on property taxes for certain residential properties sold in disaster areas.

NY HB1036

Local Taxes on Vacant Residential Property

NY HB3848

Relating to vacation occupancies in historic properties.

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