Mamdani's Estate Tax Proposal Criticized. Even your corpse the city wants to tax!!!
Ralph Yozzo
The New York Post article from March 13, 2026, criticizes a proposal by New York City Mayor Zohran Mamdani to drastically overhaul the state's estate tax. The editorial and reporting characterize the plan as an "extreme" measure that targets middle-class families rather than just the wealthy.
Core Components of the Proposal
Mamdani's plan, which was circulated in a memo to state lawmakers as part of budget negotiations, includes two major changes:
Lowering the Exemption Threshold: The plan would slash the estate tax exemption from the current $7 million down to just $750,000.
Raising the Top Tax Rate: It would increase the top estate tax rate from 16% to 50%.
Impact and Criticism
The article highlights several key concerns and criticisms regarding the proposal:
Targeting the Middle Class: The Post argues that by dropping the exemption to $750,000, the tax would no longer just hit the "ultra-rich." Instead, it would capture middle-class families whose primary asset is often a family home in New York City or its suburbs, where property values frequently exceed that threshold.
Erosion of Generational Wealth: Critics cited in the piece argue that the 50% top rate and low threshold would make it significantly harder for average New Yorkers to pass down assets, savings, and homes to their heirs, effectively "taxing them out of their inheritance."
Lowest Threshold in the US: If enacted, New York’s $750,000 exemption would be the lowest in the country.
Budget Context: The mayor claims these changes could generate roughly $4 billion in revenue to help close the city's projected $5.4 billion budget deficit.
Broader Context
The article frames this proposal as part of Mamdani's wider "tax the rich" agenda, which also includes a 1% property tax surcharge on homes over $5 million and increased corporate taxes. The Post suggests that because Governor Kathy Hochul has resisted direct income tax hikes, Mamdani is turning to more "radical" property and estate tax measures that could alienate a broader base of New York voters.