New York passes Mamdani's pied-a-terre tax. Here's who pays and how much

New York City residents with second homes may soon face a hefty tax bill as state lawmakers have approved a controversial "pied-a-terre tax" aimed at bridging the city's budget gap. The tax, set to target nonprimary residences valued at $1 million or more, is expected to generate significant revenue for the city. Critics argue that the tax unfairly targets wealthy individuals and could drive up housing costs for existing residents, while proponents claim it will help alleviate the financial burden on taxpayers. As the city grapples with its budget, the fate of these second homes hangs in the balance, raising questions about the future of luxury real estate in the Big Apple.

State lawmakers passed a tax on nonprimary residences in New York City in order to help close the city's budget gap. The so-called pied-a-terre tax will be imposed on second homes valued at $1 million ...