Albany Bill Would Let New York City Add 25% Corporate Tax Surcharge

Overview

• Allied lawmakers filed legislation to authorize New York City to impose a surcharge of up to 25% on corporate tax liability, with Assemblywoman Diana Moreno and Sen. Kristen Gonzalez leading the push.
• The bill lists its fiscal impact as to be determined, leaving the potential revenue for closing the city’s budget gap unspecified.
• Mayor Zohran Mamdani has pressed for state-level hikes on millionaires or the corporate rate and has described a 9.5% property-tax increase as a last resort.
• Business groups warn the city’s highest combined corporate rate, cited at 17.44% when surcharges are included, could rise to roughly 22.48% under the proposal, arguing this would weaken competitiveness.
• Gov. Kathy Hochul has said she opposes broad-based tax increases this year, adding a significant hurdle to the measure’s chances in Albany.