New York Property Tax Exemption

A New York property tax exemption is a valuable tax benefit that lowers a property’s assessed value, which in turn reduces the amount of property taxes owed each year.

New York State, along with counties, cities, towns, villages, and school districts, offers a wide range of exemptions to qualifying property owners.

These programs are designed to ease the tax burden for homeowners who meet specific eligibility requirements, including senior citizens, veterans, individuals with disabilities, clergy members, and nonprofit organizations.

Property tax exemptions in New York are generally granted based on factors such as how the property is used, the owner’s age, income, or disability status, military service, or to encourage socially beneficial activities, such as investing in renewable energy improvements.

Because many exemptions are locally administered, eligibility rules and benefit amounts can vary significantly by location, including differences between New York City and other municipalities across the state.

Common New York Property Tax Exemptions

School Tax Relief (STAR) Program

The STAR program provides property tax relief for owner-occupied primary residences and is one of the most widely used property tax benefits in New York.

• Basic STAR: Available to most homeowners who use the property as their primary residence. New applicants generally receive the benefit as a STAR credit, paid as a check from the state.
• Enhanced STAR: Offers a larger benefit to eligible senior homeowners age 65 or older who meet specific income limits. This program is intended to provide additional relief to retirees on fixed incomes.

Note: Some long-time participants may still receive STAR as an exemption applied directly to their property tax bill, but new applicants typically receive the credit.

Senior Citizen Homeowners’ Exemption (SCHE)

This is a local-option exemption, meaning availability and income limits are set by the municipality.

• Available to homeowners age 65 or older
• Can reduce a home’s assessed value by up to 50%, depending on household income
• The property must be the owner’s primary residence

Disabled Homeowners’ Exemption (DHE)

Similar in structure to the SCHE, this exemption assists low-income homeowners with qualifying disabilities.

• Assessment reductions vary based on income
• Local governments determine income thresholds and benefit levels
• The property must generally be owner-occupied and used as a primary residence

Veterans Exemptions

New York offers several veterans-related exemptions for eligible service members and their families.

• Available to veterans who served during qualified periods of war or conflict
• May also apply to spouses, unremarried surviving spouses, or Gold Star parents
• Provides a partial reduction in assessed value for the veteran’s primary residence
• Additional benefits may be available for combat veterans or veterans with service-connected disabilities

Clergy Exemption

This exemption applies to certain active, disabled, or retired clergy members, as well as their unremarried surviving spouses.

• Reduces the assessed value of a qualifying residence
• Eligibility requirements vary by municipality

Not-for-Profit Exemptions

Properties owned by religious, charitable, educational, or other nonprofit organizations may qualify for full or partial exemptions.

• Property must be owned and used exclusively (or primarily) for exempt purposes
• Exemptions are subject to local approval and ongoing compliance reviews

Green Energy Exemptions

To encourage renewable energy adoption, New York offers exemptions for eligible energy improvements.

• Applies to solar, wind, geothermal, and other qualifying systems
• Exempts the increase in assessed value resulting from the improvement
• Typically lasts for 15 years
• Some local governments may opt out, so local verification is essential

How to Apply for New York Property Tax Exemptions

Most property tax exemptions require homeowners to apply directly with their local assessor’s office. For properties located in New York City, applications are handled by the NYC Department of Finance.

• Application deadlines are critical and are often March 15 in many jurisdictions (though dates may vary)
• Documentation such as proof of age, income, residency, disability status, or military service may be required
• Many exemptions must be renewed periodically, especially those based on income

Recommendation: File Electronically When Available

Whenever possible, homeowners are strongly encouraged to apply for property tax exemptions electronically. Online filing options—offered by the NYS Department of Taxation and Finance, local assessor offices, or the NYC Department of Finance—provide several advantages:

• Faster submission and processing
• Immediate confirmation that your application was received
• Reduced paperwork and fewer errors
• Easier access to renewal forms and status updates

Electronic filing is especially helpful for programs like STAR, where online enrollment and updates streamline the process and help ensure the timely delivery of benefits.

Learn More

For official forms, eligibility details, and filing options, property owners should:

• Contact their local assessor’s office, or
• Visit the New York State Department of Taxation and Finance website for statewide guidance and online services

Taking advantage of available exemptions—and filing electronically when possible—can significantly reduce annual property tax costs and simplify the application process.