By 5 Towns Central Staff

NEW YORK CITY (August 18, 2026)

New York City’s controversial pied-à-terre tax is facing mounting questions from homeowners and elected officials, with the City Council set to hold a hearing Tuesday focused on the rollout and confusion surrounding the new levy.

Councilmember Gale Brewer said residents have been inundated with questions after receiving notices warning that their properties could be subject to the tax. More than 10 pages of questions submitted by homeowners are expected to be addressed during the hearing, along with testimony from co-op organizations. A news conference is scheduled for noon, followed by the hearing at 1 p.m.

The administration of Mayor Zohran Mamdani will not send a representative to testify in person. Instead, City Hall plans to submit written testimony, citing ongoing litigation challenging the tax and its implementation.

The decision has drawn criticism from members of the City Council. Councilmember Frank Morano argued that city officials should appear before lawmakers and directly address residents’ concerns. Speaker Julie Menin also questioned the administration’s absence, pointing out that previous mayoral administrations have participated in oversight hearings even when related lawsuits were pending.

Menin said the Council’s responsibility to conduct oversight remains essential and emphasized that Tuesday’s hearing will give residents and organizations an opportunity to raise their concerns publicly.

The tax targets non-primary residences, including second homes valued above $5 million and condominium and cooperative units valued above $1 million when the owner’s primary residence is outside New York City.

The rollout has generated additional confusion because some homeowners who say they live in their properties full time have also received notices. Brewer cited cases involving residents who received preliminary tax bills of approximately $43,000 and $82,000.

In July, the Department of Finance mailed notices to roughly 17,000 individuals identified as potentially owning taxable second homes. The city also released a much larger database containing more than 900,000 potentially affected properties and addresses, prompting criticism over both accuracy and privacy.

Homeowners seeking an exemption have until September 18 to submit the required documentation. The Mamdani administration has also assigned 24 employees to handle complaints and questions related to the tax.

The policy has already faced legal challenges from homeowners. A court initially issued a temporary restraining order blocking implementation, but that restriction was subsequently lifted, allowing the city to continue moving forward with the program.