Bill > S05906

This bill amends the General Municipal Law to modify how New York City and its counties calculate real estate tax limitations, specifically allowing them to include a reserve for uncollectible taxes starting from July 1, 2025. The bill defines "uncollectible" taxes as amounts that taxpayers cannot or will not pay, and permits the city to set aside funds to account for these unpaid taxes when determining their annual tax levy. Importantly, the bill specifies that this reserve for uncollectible taxes cannot include various existing tax abatements or exemptions, which are detailed by referencing multiple sections of the Real Property Tax Law. This change provides New York City with more flexibility in budgeting and accounting for potential tax revenue shortfalls, while ensuring that standard tax exemptions and abatements are not counted as uncollectible taxes. The bill is designed to give city financial planners a more accurate tool for projecting and managing real estate tax revenues, and it takes effect immediately upon passage.

Government Affairs

https://www.nysenate.gov/legislation/bills/2025/S5906