A former New York City deputy mayor sued to block Mayor Zohran Mamdani’s pied-à-terre tax, and a Staten Island judge granted a temporary restraining order pausing its rollout. The tax applies a surcharge on non-primary residences valued at $5 million or more, and condos or co-ops worth $1 million or more.
The city appealed within hours of the ruling, automatically staying the judge’s order while the case proceeds. The lawsuit centers on homeowners who say the city wrongly flagged their primary residences as subject to the surcharge. The tax was enacted as part of the state budget in May to help close New York City’s budget gap.
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