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Hochul Leaves Door Open to Corporate Tax Hike, Rules Out Raising Income Taxes

Politico reports quiet talks about a corporate rate increase, which she links to uncertainty from Trump-era federal shifts.

Overview

  • The governor told Fox 5 she will not raise personal income taxes and is reviewing other revenue sources.
  • Politico reported that state officials are discussing a possible increase in the corporate tax rate, with any decision to be taken through the budget process.
  • Hochul said budget pressures stem from federal policy changes under President Trump, citing a lack of clarity on future impacts.
  • Progressives pressed for new revenues after Zohran Mamdani’s win, with proposals such as universal childcare that her budget office estimates would exceed $10 billion when fully phased in.
  • Republican Rep. Elise Stefanik and business groups criticized the reported corporate tax discussions, warning of higher costs for families and reduced affordability.