NY Lawmakers Push Hochul to Raise Taxes on Wealthy

Proposed income tax hikes on $5M+ earners, higher corporate rates, and mansion tax increases put pressure on governor

Published on Mar. 10, 2026

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New York Democratic lawmakers are seeking to raise income taxes on filers earning at least $5 million, put increased pressure on Gov. Kathy Hochul (D) to find new revenue sources as she continues to publicly oppose tax hikes. They also want to increase rates for larger corporations and levy higher 'mansion tax' rates on real estate sold or transferred in New York City.

Why it matters

The tax proposals from the state legislature go further than what Gov. Hochul has proposed in her budget plan, creating a potential standoff over the state's fiscal priorities and approach to raising revenue.

The details

The majorities in the state Senate and Assembly released their one-house budget resolutions late Monday evening with the tax proposals. While state lawmakers have pushed for tax increases on the wealthy and corporations in the past, Hochul has so far resisted calls for broad-based tax hikes, instead focusing on spending cuts and federal aid to balance the budget.

  • The state legislature released their one-house budget resolutions on March 10, 2026.

The players

Kathy Hochul

The Democratic governor of New York who has publicly opposed tax hikes so far.

New York State Senate

The state's upper legislative chamber, controlled by Democrats, that released a budget resolution proposing tax increases.

New York State Assembly

The state's lower legislative chamber, also controlled by Democrats, that released a budget resolution proposing tax increases.

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What’s next

The state legislature and governor's office will need to negotiate a final state budget that resolves the differences over tax policy.

The takeaway

The competing budget proposals from the Democratic-controlled legislature and governor's office set up a potential showdown over the state's fiscal priorities and approach to raising revenue, with lawmakers pushing for more aggressive tax increases on the wealthy and corporations.