Judge Blocks New York's Punitive Pied-à-Terre Tax, Defending Homeowners Against Government Overreach
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A Staten Island judge has issued a temporary restraining order halting New York City's controversial pied-à-terre surcharge, protecting homeowners from a burdensome and intrusive new tax while their lawsuit proceeds.
A Staten Island judge on Monday issued a temporary restraining order that pauses the city’s aggressive pied-à-terre tax, a punitive surcharge on high-value second homes, pending a lawsuit filed by three homeowners. The order compels the city to remove the public tax roll and prohibits further notices until a hearing scheduled for August 31, offering much-needed relief from government overreach.
The plaintiffs, Simon Hedley, Rachel O’Brien, and Carmine Morano, allege the city wrongly flagged their primary residences for the tax, which targets non-primary homes valued at $5 million or more and condos and co-ops at $1 million or more. The lawsuit does not challenge the legality of the tax itself but takes aim at the city’s reckless release of a tax roll listing names, addresses, and values of more than 900,000 properties—many of which are not even subject to the surcharge. This careless action demonstrates the dangers of bureaucratic mismanagement and lack of respect for property rights.
"We are very gratified by the judge’s decision, which has vindicated the rights of hundreds of thousands of New York City homeowners who were subjected to a process they never should have been a part of in the first place," said Randy Mastro, the plaintiffs’ attorney, highlighting the importance of standing up to intrusive government policies.
Mayor Zohran Mamdani, speaking at a news conference, insisted the city will "vigorously defend" its position in court. The tax, enacted as part of the state budget and signed into law in May, was promoted by Governor Kathy Hochul as a way to address the city’s budget gap—yet it represents another example of politicians targeting successful citizens to cover for fiscal mismanagement.