Staten Island judge issues temporary block on NY Mayor Mamdani’s pied-à-terre tax rollout News
Bingjiefu He, CC BY-SA 4.0, via Wikimedia Commons
Staten Island judge issues temporary block on NY Mayor Mamdani’s pied-à-terre tax rollout

New York Supreme Court Judge Wayne Ozzi of Richmond County issued a temporary restraining order (TRO) on Monday blocking Mayor Mamdani’s  pied-à-terre tax, a surcharge targeting high-value residential properties owned by non-primary residents that was set to take effect this month.

The order demanded the administration stop publicly posting a Supplemental Roll detailing at least 900,000 property owners’ names, addresses, and property values. It also forbade the City from imposing or collecting the surcharge without first making individual determinations as to whether the property is a primary residence.

The TRO came down after a hearing in the August 7 lawsuit initiated by a group of NY homeowners against the City, Mayor Mamdani, the NY Department of Finance (NY DOF), and NY DOF Commissioner Richard Lee. Represented by former First Deputy Mayor Randy Mastro, the plaintiffs challenged the implementation of a new state law entitled, “The City Surcharge on Property That Does Not Serve as a Primary Residence”, through which the City publicly posted the Supplemental Roll and mailed notices to 17,000 residents stating that they may be subject to the surcharge if they fail to secure an exemption.

The key claim in the complaint was that the City contravened statutory requirements by shifting the burden to residents to prove exempt status instead of making an initial assessment and determination. The complaint also condemned other actions such as the City only using federal and state tax returns to make primary residence determinations.

The pied-à-terre tax first appeared in the City’s 2026-27 budget which the NY State Legislature approved in May 2026. It was originally proposed by Governor Kathy Hochul to support Mayor Mamdani’s goal to decrease the NYC budget gap. The City announced the implementation of the surcharge in July 2026, targeting the more affluent members of society in an effort to collect “critical revenue to fund [NYC] parks, schools, and libraries.” It generally applies to homes worth more than $5 million and is expected to generate at least $500 million a year.

Mixed reactions to the surcharge reflected and foreshadowed the ongoing lawsuits between homeowners and the city. On August 11, U.S. President Donald Trump posted on Truth Social, calling the tax “a dangerous political ‘experiment’ in New York [that] will destroy what was once a great City and State.” Conversely, the Fiscal Policy Institute heralds the measure, calling it an “important step in building a tax code that reflects the city’s immense wealth and can fund deep investments in its workforce, housing, and transit infrastructure.”

Arguments for and against the City’s implementation procedure will come to a head on August 31. However, the City is not waiting until then to take action. Represented by attorney Geoffrey E. Curfman, the defendants filed an Affirmation of Intention to File for Permission to Appeal, triggering an automatic stay of Judge Ozzi’s TRO.

As the August 31 date approaches, Mayor Mamdani is committed to persevering, stating: “There are few things more certain in New York City than death, taxes, and Randy Mastro filing a lawsuit against this administration . . . we look forward to vigorously defend our city’s position.”

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