1/8/2020 1 Comment
Real estate taxes have always been a key contributor in funding the city's operations. New York City’s real estate taxes generated the city $31.9 billion over the last fiscal year, according to a recent report by the Real Estate Board of New York (REBNY). NYC Property Taxes generated the city $28 billion alone, enough to cover the salaries of the 300,000 plus full-time employees currently working for the city. Additional revenues generated from real estate related taxes were generated through Property Transfer Taxes ($1.4 billion), Mortgage Recording ($1.0 billion), Commercial Rent ($900 million), and Hotel Room Occupancy ($600 million).
The total amount raised from real estate related taxes alone represented 53% of the City’s total tax revenue, up from 47% of the total tax revenue in 2009. According to the report from REBNY, Personal Income Taxes generated the next largest amount of revenue for the city at 21% of it's total tax revenue.
“This report demonstrates the importance of real estate related tax revenue to our thriving city,” said James Whelan, REBNY President. “A healthy real estate industry is vital to the health of the city, as real estate related taxes make up more than half of all taxes collected. This revenue supports the city’s share of salaries for every single police officer, firefighter, and schoolteacher with billions left over to pay for parks, libraries, and other critical public services that ever New Yorker enjoys. If we want a progressive city, then we need a prosperous city. These findings underscore that policies that limit the amount of tax revenue generated by our industry are counterproductive to improving the lives of New Yorkers they aim to help.”
See REBNY report here
Written by Colin R. O'Leary