In May 2026, New York enacted a new pied-à-terre tax, an annual surcharge on certain high-value New York City residential properties that do not qualify as a primary residence. Since then, New York City has begun implementing the tax and has issued notices to property owners who may be subject to the surcharge. According to the Department of Finance, these notices began mailing on July 24, 2026. Property owners should note that the original 30 day response period is based on the date of the notice, not the date the notice is received.
On August 1, 2026, New York City announced that the deadline to apply for an exemption from the surcharge has been extended to September 18, 2026. The extension applies to homeowners who received a Department of Finance notice stating that they “may be subject to” the new tax and believe they qualify for an exemption.
Additionally, New York City published a supplemental market value roll on July 24, 2026, identifying properties that may potentially be subject to review under the surcharge program.
The City’s rollout of the new surcharge has created uncertainty for many property owners. If you have received a notice, or if you are unsure whether your property may be subject to the surcharge, we recommend addressing the issue promptly. The exemption filing process is completed online through the Department of Finance website. Property owners must create or access an NYC.ID account in order to submit an exemption application. The extension of the filing deadline provides additional time to evaluate your situation, gather supporting information, and determine whether an exemption is available. While receipt of a notice does not necessarily mean the tax applies, it should not be ignored. If you have any questions or concerns about the new surcharge and how you may be affected, please contact your DDK team or connect with us here.
