Terms We're Using Here
Tax Class -- New York City's property tax system has four classes of real property. For complicated reasons each class applies a different tax rate to a different percentage of market value. Here's more information on that.
Class 1 -- Small residential; one, two or three-familiy homes and most residentially-zoned vacant land.
Class 2 -- Large residential, including condos and co-iops, but not hotels.
Class 4 -- All commercial properties
(Class 3 is not considered here; it involves property of utilities.)
Land and Building value -- These are the values that the City Assessors say are actual market values.
Current tax bill -- The full annual property tax bill for that parcel, including land and buildings.
6-20% Limitation -- The rule that assessments of Class 1 parcels may not increase more than 6% in a current year, or more than 20% over a five-year period. There is a similar rule for class 2, called the "8-30% limitation".
With 75% BR LVT -- What the property tax bill would be if the tax system lowered taxes on buildings by 25%, and made up the revenue with an increased levy on land value.
With the Real Deal -- What the property tax bill would be if the City eliminated the following taxes: income, sales, buildings, general corporate, commercial occupancy, unincorporated businesses and hotels -- and made up the revenue with an increased levy on land value. For 2006-07, this rate is 24.04% That might seem high, but remember, that is the figure that meets the revenue goal applied to what the city SAYS the land is worth -- not its true market value.
PSF -- Per square foot -- a useful way to compare land value.