Overview
- Both the Assembly and Senate propose raising taxes on the wealthiest residents and corporations, moves estimated to steer roughly $5 billion to New York City through new revenue and aid.
- Legislative plans endorse increasing NYC corporate tax rates to 10.8% for financial firms and 10.62% for other businesses, a change pegged to generate up to $1.5 billion.
- Personal income tax proposals target earners above $5 million, with Assembly Democrats eyeing about $2 billion and Senate Democrats projecting $5.2 billion by combining rate hikes with other changes.
- Gov. Kathy Hochul opposes new taxes and argues existing revenues are sufficient, as negotiations with legislative leaders now proceed toward the April 1 state budget deadline.
- Mayor Zohran Mamdani continues to threaten a 9.5% city property-tax increase without state action, drawing pushback from business leaders warning of investment risks and support from religious leaders urging taxes on the rich.