Judge Issues Temporary Halt to NYC Second-Home Tax Amid Lawsuit
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A New York State Supreme Court judge granted a temporary restraining order that pauses the rollout of the city's proposed tax on second homes, and the mayor's administration announced it will appeal the decision.
A New York State Supreme Court judge on Staten Island granted a temporary restraining order on Monday that stops the implementation of the city’s proposed tax on second homes owned by wealthy residents. The order follows a lawsuit filed last week by a group of homeowners who claim the rollout was mishandled.
The tax, introduced by Governor Kathy Hochul and supported by Mayor Zohran Mamdani, was projected to raise about $500 million annually to help close a municipal budget gap. The judge did not rule on the tax’s legality, but the injunction delays its enforcement.
Mayor Mamdani’s administration said it will file an appeal within hours of the ruling.
"Justice Ozzi’s decision 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.