New York City's pied-à-terre tax can continue its planned rollout while it faces a legal challenge, an appellate judge ruled Thursday.
The ruling comes after Staten Island Judge Wayne Ozzi on Monday issued a temporary restraining order briefly halting the levy on second homes above a certain value. The tax has become a hallmark policy of New York City Mayor Zohran Mamdani.
Mamdani's government filed a motion to seek an appeal, triggering an automatic stay. Earlier Thursday, NYC asked the appeals court to confirm that auto-pause, arguing Ozzi's ruling "threatens to derail the City's time-sensitive implementation of a new surcharge."
The lawsuit was filed by three city residents challenging the legality of the rollout, not the tax policy itself. Their suit highlights the city's distribution of a list showing information on thousands of homeowners, and mailed notices informing 17,000 people on that list that they may be subject to the new tax.
