Statement from Former Governor Andrew M. Cuomo in Response to Zohran Mamdani's Proposal to Roll Back the PTET Benefit

"Zohran Mamdani’s latest budget gimmick is exactly the wrong approach for New York City’s fiscal challenges.

“My administration enacted the Pass-Through Entity Tax (PTET) because New York families and businesses were under attack by Republicans in Washington when they capped the SALT deduction, targeting New York and other Democratic states. It was double taxation — taxing New Yorkers on the very taxes they already paid to support their schools, police, firefighters, hospitals, infrastructure, and basic services.

“PTET was not created as a loophole. It was created as a lawful, common-sense shield to protect New Yorkers from an unfair federal tax assault and to keep jobs, investment, small businesses, professional partnerships, and taxpayers in New York.

“Now Mamdani wants to take the Washington Republican tax attack and have City Hall compound it in the name of "fairness." It is not "fairness" to make New York less competitive, less affordable, and less attractive to the people and businesses who pay the bills and create the jobs.

“New York City cannot tax its way out of every problem. We have seen this movie before: When government raises costs in an already high-tax city and state, people and businesses have choices. They leave; jobs leave; investment leaves; and working families are left paying the price.

“Governor Hochul is right to reject this proposal. Albany should not make New Yorkers collateral damage for New York City’s inability to control spending. We should be fighting Washington to fully restore SALT — not surrendering one of the few tools New York has to protect itself in the meantime.

“Strong government means making hard choices: managing expenses, setting priorities, protecting essential services, and growing the economy. It does not mean dressing up a tax increase as a loophole closure and pretending there will be no consequences."