Donald Trump just declared war on New York City’s newest tax policy, and he’s not holding back. The President addressed the controversial pied-à-terre tax and revealed his plans to potentially intervene at the federal level.
Donald Trump decried New York City’s pied-à-terre tax
Donald Trump criticized New York City’s pied-à-terre tax on Tuesday, exploring whether the federal government can legally block it. He posted on Truth Social that the tax on nonprimary residences “doesn’t work in America, and must be stopped, NOW!” Trump called the policy a “dangerous political ‘experiment’ in New York will destroy what was once a great City and State.”
His statement came one day after a Staten Island judge temporarily blocked the new policy. Mayor Zohran Mamdani and the New York State legislature passed the tax in late May. New York City government quickly filed a motion to seek an appeal of that order, per CNBC.
Mamdani expressed confidence in the city’s legal position at a Monday press conference. He stated, “We are confident in our position.” He added that the surcharge on secondary homes worth more than $5 million will “help fund safer streets” and “stronger schools.”
Trump also claimed the levy is spurring thousands of people to flee to more tax-friendly regions. His claim echoes warnings that followed Mamdani’s election as the city’s mayor. Citadel CEO Ken Griffin previously threatened to move his business to Miami after Mamdani unveiled the tax.
The pied-à-terre tax would raise taxes on second properties valued at $1 million or more. More valuable residences would face higher rates under the plan backed by Mamdani and Governor Kathy Hochul. Mamdani initially said the policy would raise $500 million in revenue. NYC Comptroller Mark Levine later estimated the figure could fall to between $340 million and $380 million.
Three NYC residents recently filed a lawsuit challenging the city’s distribution of a homeowner list. Judge Wayne Ozzi temporarily blocked the city from taking further action connected to that list. An attorney for Mamdani subsequently filed a motion for permission to appeal the ruling.
Originally reported by Vritti Johar on Mandatory.com.
