New York imposes a 1 percent mansion tax on residential sales of $1 million or more under NY Tax Law Section 1402-a. The tax is paid by the buyer at closing and applies broadly across Westchester County to single-family homes, condos, and co-ops.
The mansion tax is collected by the NY Department of Taxation and Finance through the Real Property Transfer Tax process. It applies to one to three family homes, condos, and cooperatives sold for $1 million or more. NY State raised an additional progressive supplemental tax on NYC sales of $2 million plus, but Westchester sales remain at the flat 1 percent. Buyers pay at closing on Form TP-584, alongside the state real estate transfer tax of $4 per $1,000 paid by the seller. Westchester County does not add a local mansion tax.
Underreporting or evasion exposes buyers to the unpaid tax plus penalty and interest. Title insurance and recording offices flag the issue at closing, so most violations are caught up front.
See how New Rochelle's mansion tax (measure ula) rules stack up against other locations.
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