From the NY Post:
A new analysis of the city's property-tax rolls found that religious institutions, wealthy private colleges, hospitals and other nonprofits -- and even Madison Square Garden -- are exempt from an astonishing $13.5 billion in property taxes.
The Independent Budget Office, which released the review yesterday, reported that, just in the last two years, an extra $1 billion in potential property taxes were placed off limits to city tax collectors.
"Some of the breaks are permanent, and may actually be more than estimated," the IBO said, noting that the city's tax assessors don't have much reason to boost values on buildings they know to exempt.
The lengthy list of those living the zero-tax life ranged from nonprofit institutions ($2 billion in exemptions) to the MTA ($751 million) to Madison Square Garden, still enjoying the fruits of a sweet deal reached during the Koch administration that's now worth $15 million a year.
Incentives for economic development offered through the Industrial Development Agency consumed $368 million in property taxes that might otherwise have been added to the city treasury.
Hospitals and other medical facilities were spared more than $515 million in taxes.
Private schools, colleges and universities saved $430 million in tax levies.
The city itself made the list since it owns more than 7,500 properties that could generate $5 billion in taxes in private hands.