Abbott Courts New York Firms With 0% Income Tax as Mamdani Pushes $5 Million Home Levy
Updated
Updated · Fox News · May 12
Abbott Courts New York Firms With 0% Income Tax as Mamdani Pushes $5 Million Home Levy
3 articles · Updated · Fox News · May 12
Texas is intensifying its pitch to businesses and wealthy residents unsettled by New York tax proposals, with Gov. Greg Abbott casting the state as a lower-tax refuge for capital and jobs.
Abbott’s office is highlighting Texas’ no state income tax, lighter regulation and recent corporate wins, including Dell Technologies’ board vote last week to move its legal home from Delaware to Texas.
The push comes as New York Mayor Zohran Mamdani advances higher taxes on non-primary residences worth more than $5 million and other progressive measures aimed at wealthy property owners and executives.
Ken Griffin, whose Citadel is planning a $6 billion Manhattan tower, said the firm is reassessing that project after Mamdani spotlighted his $238 million penthouse, while continuing to expand in Florida.
Texas says its output per person rose more than 10% from 2021 to 2024, framing the contest as a broader fight over whether high-tax cities risk losing firms, jobs and tax revenue.
With finance giants building new hubs in the south, is the era of a single dominant financial capital like New York over?
As billionaires flee high-tax cities, can social equity goals survive without the wealth needed to fund them?
Texas and Florida are winning the race for capital, but are they prepared for the affordability and infrastructure crises that follow?
New York vs. Texas: The High-Stakes Battle Over Wealth Taxes, Business Migration, and Economic Dominance
Overview
The report highlights the growing economic rivalry between New York and Texas, driven by their contrasting tax strategies. New York City, facing a major fiscal deficit, has introduced new tax measures like the pied-à-terre tax targeting wealthy residents, with strong support from city leaders such as Mayor Zohran Mamdani and Governor Kathy Hochul. In contrast, Texas is aggressively promoting its pro-business environment and actively recruiting firms from high-tax states. These opposing approaches are shaping business decisions and migration patterns, as each state seeks to attract and retain both capital and talent in a changing economic landscape.