Pied-à-terre tax basics
The new non-primary residence property surcharge, or pied-à-terre tax, was put in place as part of New York state’s fiscal year 2026-2027 budget.
The budget legislation authorizes New York City to impose a surcharge on residential property that does not serve as a primary residence, effective for fiscal years beginning July 1, 2026, to June 30, 2031.
The surcharge applies to one- to three-family homes valued at $5 million or more, as well as condominiums and co-ops valued at $1 million or more, when their owners maintain a separate primary residence. Properties that are the primary residence of the property owner, a tenant, or a subtenant are not subject to the surcharge.
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