New York City\u2019s rollout of its new pied-\u00e0-terre tax is facing mounting legal pushback, with homeowners accusing the Mamdani administration of bypassing state requirements. <\/p>\n
A group of homeowners is suing the city and the Department of Finance over how officials launched the surcharge, which applies to certain second homes valued at $5 million or more. The plaintiffs say the city wrongly flagged primary residences as secondary homes, potentially subjecting them to the new tax.<\/p>\n
In a letter to Justice Wayne Ozzi, attorney Randy Mastro, representing three homeowners and a former first deputy mayor, accused the city of \u201csharp practices\u201d and attempting to sidestep a temporary restraining order that was issued. <\/p>\n
The judge\u2019s order blocks the city from enforcing deadlines or taking further action based on notices sent to roughly 17,000 property owners until a hearing scheduled for Aug. 31.<\/p>\n
\u201cThe City Respondents\u2019 threat to continue implementing the Surcharge is obviously a vow to ignore the prohibitory portions of this Court\u2019s TRO order. That is lawless,\u201d Mastro wrote.<\/p>\n
The city filed an affirmation asserting that its notice of intent to appeal triggers an automatic stay under state law, allowing it to continue implementing the tax. <\/p>\n
Mastro disputes that interpretation, citing Second Department case law that limits automatic stays to orders requiring affirmative action, not prohibitory injunctions like the one issued in this case.<\/p>\n
Mayor Zohran Mamdani defended the city\u2019s position on Monday, saying the surcharge is both legal and necessary.<\/p>\n
“We are confident in our position,” Mamdani said after the judge’s ruling on Monday, “that is a confidence coming from both the legality of the city’s actions as well as the importance of a surcharge on secondary homes worth more than $5 million, a surcharge that will help fund safer streets, that will help fund stronger schools, and it will help fund the city that New Yorkers deserve.”<\/p>\n
The pied-\u00e0-terre surcharge is expected to generate about $500 million annually to help close the city\u2019s budget gap. It applies to high-value second homes and certain condos and co-ops valued at more than $1 million.<\/p>\n
A hearing on the lawsuit is set for Aug. 31. Homeowners who believe they were incorrectly flagged have until Sept. 18 to apply for an exemption.<\/p>\n","protected":false},"excerpt":{"rendered":"New York City\u2019s rollout of its new pied-\u00e0-terre tax is facing mounting legal pushback, with homeowners accusing the…\n","protected":false},"author":2,"featured_media":318999,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[38],"tags":[128,9,24,63,129,131,130],"class_list":["post-318998","post","type-post","status-publish","format-standard","has-post-thumbnail","category-the-bronx","tag-bronx","tag-new-york","tag-new-york-city","tag-nyc","tag-the-bronx","tag-the-bronx-headlines","tag-the-bronx-news"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/318998","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=318998"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/318998\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/318999"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=318998"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=318998"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=318998"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}