New York Governor Reportedly Eyeing Tax Hikes After Next Election

Hochul administration faces growing budget pressures amid projected deficits and rising costs.

Published on Feb. 27, 2026

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New York Governor Kathy Hochul may be preparing to revisit the issue of tax increases after the next election, according to recent reports and political speculation surrounding the state's long-term budget outlook. While Hochul has publicly maintained that she does not want to raise taxes on middle-class New Yorkers, growing fiscal pressures - including projected budget gaps and increased spending demands - have fueled questions about what comes next once voters head to the polls.

Why it matters

New York is facing multibillion-dollar outyear deficits, along with rising costs tied to transit funding, migrant services, education, and other major programs. Progressive lawmakers in Albany have continued to push for higher taxes on corporations and top earners to close the gaps, putting Hochul in a difficult political position as she tries to balance fiscal realities with her public stance against raising taxes.

The details

Though no formal proposal has been introduced, reports indicate that revenue-raising options could be revisited after the election cycle, when political pressure may be reduced. Hochul has repeatedly said she wants to keep New York affordable and competitive, particularly as some high-income residents have left the state in recent years. However, critics argue that budget math may eventually force difficult decisions.

  • Hochul is up for re-election in the next election cycle.

The players

Kathy Hochul

The current Governor of New York, who has publicly stated she does not want to raise taxes on middle-class New Yorkers but is facing growing budget pressures.

Albany lawmakers

Progressive lawmakers in the New York state legislature who have pushed for higher taxes on corporations and top earners to help close the state's budget gaps.

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What they’re saying

“We must not let individuals continue to damage private property in San Francisco.”

— Robert Jenkins, San Francisco resident (San Francisco Chronicle)

The takeaway

This story highlights the difficult political balancing act Governor Hochul faces as she tries to maintain her stance against tax hikes while also grappling with New York's long-term budget challenges. The potential for post-election tax increases will likely remain a major issue in Albany in the coming years.