NYC PROPERTY ASSESSMENT AND
TAXATION MASTERY EXAM
QUESTIONS AND ANSWERS
1. In NYC property tax classification, which class includes most vacant land that is not located
in a residential zone?
A. Class 1
B. Class 4
C. Class 3
D. Class 2
Answer: B
Conceptual Explanation: Class 4 consists of all other real property, including office
buildings, factories, stores, hotels, and vacant land not in Class 1.
2. Which specific section of the New York State Real Property Tax Law requires that
cooperatives and condominiums be valued as if they were rental apartment buildings?
A. Section 421-a
B. Section 730
C. Section 489
,D. Section 581
Answer: D
Conceptual Explanation: Section 581 of the Real Property Tax Law (and Section 339-y of
the RPL) mandates that condos and co-ops be valued as rental properties for assessment
purposes.
3. For Class 1 properties, the assessed value (AV) is calculated by multiplying the market value
by what percentage?
A. 15%
B. 45%
C. 6%
D. 20%
Answer: C
Conceptual Explanation: The assessment ratio for Class 1 properties is currently set at
6% of the market value.
4. What is the annual assessment increase cap for a Class 1 property in New York City?
A. 2% per year and 10% over five years
B. 6% per year and 20% over five years
C. 5% per year and 15% over five years
D. 8% per year and 30% over five years
, Answer: B
Conceptual Explanation: State law limits Class 1 assessment increases to 6% in a single
year and 20% over a five-year period.
5. Which date serves as the Taxable Status Date for real property in New York City?
A. January 1st
B. January 5th
C. March 1st
D. July 1st
Answer: B
Conceptual Explanation: The Taxable Status Date in NYC is January 5th. Property
condition and ownership on this date determine the assessment for the upcoming tax year.
6. A ‘Transitional Assessment’ applies to which property classes in NYC?
A. Class 1 and Class 2
B. All classes
C. Class 1 only
D. Class 2 and Class 4
Answer: D
TAXATION MASTERY EXAM
QUESTIONS AND ANSWERS
1. In NYC property tax classification, which class includes most vacant land that is not located
in a residential zone?
A. Class 1
B. Class 4
C. Class 3
D. Class 2
Answer: B
Conceptual Explanation: Class 4 consists of all other real property, including office
buildings, factories, stores, hotels, and vacant land not in Class 1.
2. Which specific section of the New York State Real Property Tax Law requires that
cooperatives and condominiums be valued as if they were rental apartment buildings?
A. Section 421-a
B. Section 730
C. Section 489
,D. Section 581
Answer: D
Conceptual Explanation: Section 581 of the Real Property Tax Law (and Section 339-y of
the RPL) mandates that condos and co-ops be valued as rental properties for assessment
purposes.
3. For Class 1 properties, the assessed value (AV) is calculated by multiplying the market value
by what percentage?
A. 15%
B. 45%
C. 6%
D. 20%
Answer: C
Conceptual Explanation: The assessment ratio for Class 1 properties is currently set at
6% of the market value.
4. What is the annual assessment increase cap for a Class 1 property in New York City?
A. 2% per year and 10% over five years
B. 6% per year and 20% over five years
C. 5% per year and 15% over five years
D. 8% per year and 30% over five years
, Answer: B
Conceptual Explanation: State law limits Class 1 assessment increases to 6% in a single
year and 20% over a five-year period.
5. Which date serves as the Taxable Status Date for real property in New York City?
A. January 1st
B. January 5th
C. March 1st
D. July 1st
Answer: B
Conceptual Explanation: The Taxable Status Date in NYC is January 5th. Property
condition and ownership on this date determine the assessment for the upcoming tax year.
6. A ‘Transitional Assessment’ applies to which property classes in NYC?
A. Class 1 and Class 2
B. All classes
C. Class 1 only
D. Class 2 and Class 4
Answer: D
