New York City's Second-Home Tax Can Resume: Appellate Panel Overturns Lower Court Ruling
New York City Mayor Zohran Mamdani's second-home tax won a significant court victory on November 4. A panel of Brooklyn appellate judges ruled that the city can resume collecting the new tax on high-end second homes, reversing a lower court ruling that had halted it. The panel found that the property owners who brought the initial lawsuit did not have legal standing, saying they had failed to demonstrate injury as a result of the city's actions.
The surcharge, known as the pied-à-terre tax, applies to New York City properties not used as primary residences and valued at more than $5 million, and to co-ops valued at $1 million or more; it does not apply if the home is rented or a relative of the owner lives there most of the time. The tax, endorsed by Governor Kathy Hochul, is a key part of the affordability agenda in Mamdani's fiscal 2027 budget proposal, unveiled as a way to help close the city's budget gap. The city expects it to yield an estimated $500 million in annual revenue.
Randy Mastro, an attorney for the property owners, did not dispute the legality of the tax itself in the initial suit. He warned that the ultimate day of reckoning for the surcharge will occur next month, when its constitutionality will be decided. The tax also faces two other pending lawsuits seeking to invalidate it. The city says it will continue rolling out the tax.
Related: NYC Pied-a-Terre Tax Revenue at Risk as More Than Half of Appeals Succeed
(Source: CNN)
Source: CNN
Published by GSM · USA (original Chinese edition)
Photo: 图：纽约市政厅。Kidfly182 摄，CC BY-SA 4.0，经 Wikimedia Commons。GSM 城市固定图库。 / Photo: New York City Hall. By Kidfly182, CC BY-SA 4.0, via Wikimedia Commons. GSM city asset library.
- 2026-10-11NYC Pied-a-Terre Tax Revenue at Risk as More Than Half of Appeals Succeed
- 2026-11-04New York City's Second-Home Tax Can Resume: Appellate Panel Overturns Lower Court RulingThis story
