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Mamdani’s Tax Gambit Faces Pushback From Business Leaders and State Officials

A threatened 9.5% property‑tax increase would flow through to utility bills, heightening affordability concerns.

Overview

  • Mayor Zohran Mamdani is pressing Albany to authorize higher taxes on millionaires and corporations, warning he will pursue a 9.5% city property‑tax rate increase if state approval does not come.
  • Governor Kathy Hochul opposes the mayor’s income and corporate tax hikes this year, leaving the fate of his request with a skeptical Legislature.
  • Partnership for New York City CEO Steve Fulop cautions that raising the corporate rate to 11.5% could disadvantage New York City versus New Jersey and encourage relocations across the Hudson.
  • The state Public Service Commission confirms that Con Edison and National Grid pass property‑tax costs to customers, so a citywide increase would likely raise energy bills.
  • Mamdani’s $127 billion preliminary budget cites a roughly $5.4 billion two‑year gap, and City Council leaders have labeled the proposed property‑tax increase dead on arrival.