Marty Golden’s bill would repeal the state mansion tax

Brooklyn senator estimates buyers could collectively save $380M

New York /
Apr.April 28, 2017 09:00 AM

On the heels of passing a state budget that excludes Mayor Bill de Blasio’s proposed city mansion tax, state Sen. Marty Golden wants to do away with the state mansion tax altogether.

The Brooklyn lawmaker, a Democrat who caucuses with Republicans, introduced a bill to repeal the state’s existing 1 percent tax on sales of residential property above $1 million. By doing so, he estimated purchases could save $380 million in tax payments, Politico reported.

“The State’s ‘mansion’ tax was imposed in 1988,” Golden wrote in a sponsor’s memo. “Since then, the average price of a home in most parts of the State has at least doubled.” He said the mansion tax has become a “burden on the middle class, who are already struggling to come up with the cash to purchase a moderate sized, constructed and furnished family home.”

The mayor — who’s unsuccessfully pushed for a mansion tax before — now wants a 2.5 percent tax on purchases above $2 million. City Hall estimated the tax would impact 4,500 residential real estate deals, generating $336 million in revenue in 2018.

The $153.1 billion state budget, passed by the legislature on April 9, renewed the millionaires’ tax on residents who earn more than $1 million, but did not include de Blasio’s proposed mansion tax. [Politico]E.B. Solomont


Related Articles

arrow_forward_ios
From left: BSA chairwoman Margery Perlmutter, DRAW Brooklyn founder Alexandros Washburn, New York City Council Member Carlos Menchaca with renderings of the project (Photos via the City of New York, LinkedIn and Arquitectonica)
How a Red Hook developer circumvented the City Council
How a Red Hook developer circumvented the City Council
The bus terminal was built in the 1950s and designed to serve one fourth of the riders it sees today. (Getty)
Port Authority to raze, replace “hell on earth” bus terminal
Port Authority to raze, replace “hell on earth” bus terminal
Financial disclosures show extent of Trump Org losses
Financial disclosures show extent of Trump Org losses
Financial disclosures show extent of Trump Org losses
Will Catsimatidis switch parties? (Getty)
Republican or Democrat? Catsimatidis picks his poison
Republican or Democrat? Catsimatidis picks his poison
Vijay Dandapani, president & CEO, Hotel Association of New York City (Getty)
Hotel owners ask NY for break on tax penalties
Hotel owners ask NY for break on tax penalties
NAR's Vince Malta (Photos via NAR; Pixabay; iStock)
NAR suspends federal political donations after Capitol attack
NAR suspends federal political donations after Capitol attack
President Joe Biden (Getty; iStock)
President Joe Biden’s real estate checklist
President Joe Biden’s real estate checklist
Photo illustration of Sen. Brad Hoylman, who championed the pied-à-terre tax. (Getty)
Pied-à-terre tax revenue estimate slashed by 41%
Pied-à-terre tax revenue estimate slashed by 41%
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...