New York City Mayor Zohran Mamdani is threatening to raise property taxes by 9.5% unless the state government agrees to his demand to raise taxes on the city’s wealthiest residents.
Property taxes are the city’s largest revenue source, and the mayor does not require input from the state governor to enact an increase. However, raising taxes on city residents can only be done by the state government. Mamdani’s insistence on a new wealth tax is opposed by New York State Gov. Kathy Hochul, who is seeking re-election this year.
NBC New York reports the proposed property tax would be the city’s first hike since the late 2000s, with the Democratic Socialist mayor claiming that action would raise $3.7 billion to cover the acute budget deficit.
“If we do not go down the first path, the city will be forced down a second, more harmful path,” said Mamdani in a news conference. “Faced with no other choice…we would have to raise property taxes. We would also have to raid our reserves.”
Mamdani’s threatened property tax increase came one day after Hochul announced she would provide the city with an additional $1.5 billion to cover its expenses.
“I’m not supportive of property tax increase, I don’t know that that’s necessary,” Hochul said when informed of Mamdani’s threat, which he insisted was a “last resort” option.
“I agree that this is not something that should be on the table,” Mamdani said. “However, the city has very limited tools by which it can reach the legal requirement of a balanced budget in both this fiscal year and the next fiscal year.”
Mr. Mayor, instead of constantly dragging more money out of the taxpayer, how about you learn to get by with what you have. Or, heaven forbid, you find a way to need even less taxpayer money to run your city by implementing keen new cost saving strategies and ideas that would ultimately benefit everyone.
I am not sticking up for the guy because Im not sure what kind of mayor he will be. However what I know as fact is he inherited a multi billion deficit and no one told him… I sold co ops in NYC for years and one thing I do know, is those apartments are very under taxed…you might be surprised at what a 10 million dollar co op or condo pays in property taxes….Im sure this mayor would be open to suggestions…Personally I suggest a KILL THE DEFICIT LOTTERY….4 times a year til its paid off….pls also be prepared for the federal situation…we are more in debt than ever…..
The law only allows for a yearly 6% property tax increase, although maybe he can get around it by raising the tax rate over the present rate which is around $20.00 per $$100.00 of assessed value. Increasing property taxes will apply added pressure on elderly homeowners who will be forced to sell because they can no longer afford to stay in NYC.
Since government believes that they have a cash cow in taxpayers they have never learned how to reduce spending. The NYC budget is higher than the combined budgets of Chicago, Los Angeles and Houston. So, wouldn’t make sense to look at budget fiscal responsibility as the first place to go to cover expenses? In the long run, what does it matter NYC will do what it wants to do anyway.
Politicians and political parties promise more than they can deliver, gullible voters eat it up, and as long as the politicians can spread dirt about each other and promise more than anyone even wants, enough voters will elect them and then spend three and a half years complaining, just to have the promises made right before election day.
Elections have consequences. Democrats tax and spend so brace yourselves. This idiot will destroy NY by the time you all get rid of him.
Personally, myself and all the other real Americans in the country are laughing our asses off. We are enjoying watching communism play out there and implode the city just like Venezuela did.
in NY state, there are discounts on property taxes for the elderly, poor and veterans (3 separate discounts) so I think the poor elderly will be ok. Also most of them have sold and a lot of them are still in stabalized rentals…and a lot of them have rentals within the building….
This is no different than what our reality is in this country anyways. If the wealthy won’t pay up, we all have to.
The wealthy are already paying more taxes as their tax rate is higher and the amount taxed is also higher.
They are not paying more taxes….they just got another big break with the big beautiful bill that just passed.(this is income taxes) …most of the very rich have houses out of the city…..everyone has to pay property taxes…and as I mentioned before in NY there are discounts for the elderly, poor and military (3 separate discounts)….New York City buildings have relatively low property taxes compared to other cities and compared to their values…
Don’t the wealthy already pay a hugely disproportionate amount of taxes in America?
The situation is that tenants will have to pay higher Rents because if the taxes will increase 9.5% the Rent will be higher. The owners of properties will not pay 9.5% Taxes, TENANTS will.
Isn’t it amazing that cutting government’s budget is simply not an option? It’s as if he thinks he’s a feudal lord over the serfs.
he inherited over a billion dollar deficit that no one told him about
I guess he didn’t do his homework before he ran.
Where is the accountability in government? We all have to do our I.R.S taxes and show what we’ve made.Why is it the government doesn’t and show it out to the general public? Just ask sometime where the taxes actually go.