New York Governor Kathy Hochul was confronted about a new study that found the wealthy fled the city in droves between 2010 and 2022. The Citizen Budget Commission (CBC) found that New York’s share of millionaires in the U.S. declined from 12.7 percent to 8.7 percent between 2019 and 2022.

Concerns Over Taxation

The study’s findings have raised concerns about the state’s taxation policies and their impact on high-net-worth individuals. Governor Hochul was asked if she thought the situation had improved since 2022. She attributed the decline to the COVID-19 pandemic and the elimination of the State and Local Tax Deduction during the Donald Trump administration.

Hochul stated that she is working to prevent wealthy residents and businesses from leaving the city by not raising taxes on high-net-worth individuals and companies. She emphasized the importance of expanding the economic pie rather than relying on taxation.

The governor also addressed the luxury housing market, specifically the pied-à-terre tax, which targets individuals who own second homes in New York valued at $5 million or more. Hochul clarified that the tax is intended for wealthy individuals who do not make New York their primary residence, such as Russian oligarchs and Saudi princes.

Original reporting: Fox News (HLL/CB) — read the source article.