Gov. Kathy Hochul on Tuesday shot down a request by Mayor Zohran Mamdani and City Council Speaker Julie Menin to change a tax credit to help fill a $5.4 billion city budget deficit.
Mamdani and Menin had asked state lawmakers to authorize changes to the pass-through entity tax, or PTET, which allows some business people to keep state and local tax deductions that were limited by a 2017 federal tax law. The mayor and speaker said the changes would generate an estimated $1 billion in revenue for the city.
But Hochul said she sees the proposed PTET cut as a personal tax increase…