Story perspectives

Judge Halts Mamdani’s Pied-à-Terre Tax Rollout, Orders List Removed

By Drooid · Sep 30, 2026, 6:00 AM UTC · How we work

Summary

Judge Halts Tax

Judge halted Mayor Zohran Mamdani’s pied-à-terre tax rollout.
Justice Wayne Ozzi ruled the rollout violated homeowners’ due-process rights and ordered the list removed.
Ozzi required the city to replace the 900,000-property online roll with a limited taxable-home list.
Seventeen thousand mailed notices were canceled and must be reissued after individualized determinations.
Mayor Mamdani’s office will invoke a stay of injunction and continue tax, backed by Governor Kathy Hochul.

Summary

Wynn Ross Sue

Steve Wynn and former Commerce Secretary Wilbur Ross filed a lawsuit alleging the surcharge discriminates against non-residents.
The suit says the surcharge violates the New York State Constitution by targeting out-of-city owners who already pay taxes elsewhere.
Mastro’s separate action challenges only the city’s rollout, not the underlying statute.
The city hired two dozen staffers to manage the surge in appeals after the lawsuits.

History

Historical Context

1998 New York City “Mansion Tax” enacted, imposing a 1% levy on residential sales above $1 million, generating $2.5 billion in revenue for the city. Mayor Rudy Giuliani and the City Council defended the measure, and State Court of Appeals upheld its constitutionality in 2000, citing a $1 billion budget gap. Challenges by Mayor Zohran Mamdani, Governor Kathy Hochul, Steve Wynn and Wilbur Ross echo Mansion Tax fights, contesting New York City's surcharges on nonresident owners. The 1998 Mansion Tax precedent suggests courts will scrutinize procedural fairness, likely forcing New York City to redesign its nonresident property levy and fund appeals.

1 of 3

Judge Halts Tax

Judge halted Mayor Zohran Mamdani’s pied-à-terre tax rollout.
Justice Wayne Ozzi ruled the rollout violated homeowners’ due-process rights and ordered the list removed.
Ozzi required the city to replace the 900,000-property online roll with a limited taxable-home list.
Seventeen thousand mailed notices were canceled and must be reissued after individualized determinations.
Mayor Mamdani’s office will invoke a stay of injunction and continue tax, backed by Governor Kathy Hochul.

1 / 3