New York Mayor Zohran Mamdani teased on Wednesday that he plans to “tax the richest New Yorkers and most profitable corporations” as a fulfillment of one of his campaign promises.
The move is meant to address the $12 billion budget deficit passed down by former New York Mayor Eric Adams, according to his progressive successor, who directly blamed Adams for the city’s “serious fiscal crisis.”
“The Adams administration dramatically and intentionally understated the problem. The budget gaps are twice as high year after year,” Mamdani said at a press conference. “Notably, Mayor Adams underestimated known budget expenses so he could show fiscal year 2026 was balanced. These are not differences in opinion between accountants. They are measured to the tune of more than $7 billion beyond what he published.”
Mamdani also targeted former Democratic New York Gov. Andrew Cuomo, one of his mayoral rivals, for “extracting” the city’s financial resources during his 10 years in office.
He explained that the city did not receive the “same proportion of state funds” between fiscal 2010 and fiscal 2022, resulting in a $21.2 billion gap in fiscal 2022. Cuomo served as governor for most of that time. Mamdani said the state owes the city $8 billion in revenue.
“While we did not create this crisis, we will solve it, and we will do so without balancing the budget on the backs of working people,” he added.
Mamdani did not disclose any specific cost-cutting measures when pressed by reporters.
“Right now, we are not entertaining the idea of cuts,” he responded to a question about cuts to the police department. “What we are talking about are savings and efficiencies that can be made, but not getting into the place where New Yorkers have to question whether essential quality services will be delivered to them. That will continue.”
More details will presumably be announced when City Hall releases a preliminary budget that balances fiscal 2026 and fiscal 2027, as required by law, next month.
A higher income tax on wealthy residents is a key part of Mamdani’s economic agenda to address the city’s high living costs.
HOCHUL DEFIES MAMDANI WITH NEW BUDGET FEATURING TAX ON ZYN BUT NOT THE RICH
Gov. Kathy Hochul (D-NY) recently broke with Mamdani on the matter when she announced New York’s $260 billion budget, which did not include an income tax hike. However, it featured an extension for the state’s 7.25% corporate tax rate for another three years.
On Wednesday, Mamdani said he would work closely with Hochul and state legislature leaders to balance the city’s budget deficit.