NEW YORK CITY-Residential property taxes will go up by 7% and the per-room hotel tax will temporarily increase by 0.875% after the City Council’s 33 to 18 vote Thursday to approve both increases. The two tax hikes are expected to bring in $650 million in revenue for the city.

Technically, the property tax increase rescinds an earlier 7% reduction in the tax rate. The average property tax increase citywide for a single-family home will be $118, while for co-ops with 10 or more units in the building, the average citywide increase will be $162, according to figures from the City Council. The hotel tax hike will average $3 per night.

“The economic crisis has forced all of us in government to reassess our priorities, so that we can balance the budget in the face of record revenue shortfalls,” says Speaker Christine C. Quinn in a statement. “By taking the responsible approach today, we can generate nearly three quarters of a billon dollars, money that will go to funding NYPD’s cadet classes and to employment programs and foreclosure prevention programs. These investments stand in stark contrast to decisions made in the wake of the fiscal crisis of 1975, when the city was forced to reduce the size of the police force by 20%.”

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.