{"id":2545121,"date":"2026-01-20T14:32:01","date_gmt":"2026-01-20T19:32:01","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/hochul-defies-mamdani-with-new-budget-featuring-tax-on-zyn-but-not-the-rich\/"},"modified":"2026-01-20T14:36:35","modified_gmt":"2026-01-20T19:36:35","slug":"hochul-defies-mamdani-with-new-budget-featuring-tax-on-zyn-but-not-the-rich","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/hochul-defies-mamdani-with-new-budget-featuring-tax-on-zyn-but-not-the-rich\/","title":{"rendered":"Hochul defies Mamdani with new budget featuring tax on Zyn but not the rich"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">28<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fhochul-defies-mamdani-with-new-budget-featuring-tax-on-zyn-but-not-the-rich%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2545121&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>New York Gov. Kathy Hochul unveiled a $260 billion state budget that avoids raising income taxes on the wealthy while proposing a 75% excise tax on <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/walzs-zyn-tax-becomes-meme-worthy-campaign-issue-washington-examiner\/\" title=\"Walz&#039;s ... ... becomes meme-worthy campaign issue - Washington Examiner\">tobacco-free nicotine pouches<\/a> like Zyn. The plan keeps the 7.25% corporate tax rate for businesses with more then $5 million in profit for three more years and increases Medicaid spending by 11.4%, with $38.2 billion committed to healthcare next fiscal year. Hochul&#8217;s budget adds about $4.5 billion for child-care initiatives, including $210 million to expand pre-K for four-year-olds and a new program to provide preschool for two-year-olds in New York City. The nicotine-pouch tax is justified by state officials as both a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/the-5-different-mask-policies-held-by-dr-fauci-in-11-months\/\" title=\"The 5 Different Mask Policies Held By Dr. Fauci In 11 Months\">public-health measure<\/a> and a revenue source; estimates suggest Zyn-related sales have reached into the billions. the proposal signals a break with progressive NYC Mayor Zohran Mamdani, who has urged higher taxes on the rich to pay for global child care. The Democratic-controlled legislature will now consider the package as Hochul faces a competitive reelection season and a primary challenge from lt. Gov. Antonio Delgado.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<p><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><\/p>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-header-search-button-mob dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-mobile-search-icon td-icon-search\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div class=\"tdb-drop-down-search\" aria-labelledby=\"td-header-search-button\">\n<div class=\"tdb-drop-down-search-inner\">\n<form method=\"get\" class=\"tdb-search-form\" action=\"https:\/\/www.washingtonexaminer.com\/\"><\/form>\n<div class=\"tdb-aj-search\"><\/div>\n<\/div>\n<\/div>\n<p><a href=\"http:\/\/www.washingtonexaminer.com\/#\" role=\"button\" aria-label=\"Search\" class=\"tdb-head-search-btn dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-search-icon td-icon-search\"><\/i><\/a><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<h1 class=\"tdb-title-text\">Hochul defies Mamdani with new <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/larry-hogan-passes-on-challenging-maryland-governor-wes-moore\/\" title=\"Larry Hogan passes on challenging Maryland ...ernor Wes Moore\">budget featuring tax<\/a> on Zyn but not the rich<\/h1>\n<div><\/div>\n<div class=\"tdb-title-line\"><\/div>\n<\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div id=\"Brid_2478553\" class=\"tpd-featured-video bridtv\"><\/div>\n<p>Gov. <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/kathy-hochul\/\">Kathy Hochul<\/a> (D-NY) is unveiling her $260 billion state budget on Tuesday, an ambitious proposal that includes a tax on nicotine products like Zyn but skips an <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/democrats-may-be-forced-to-scrap-tax-increases-from-their-budget-due-to-sinemas-opposition-report\/\" title=\"Democrats May Be Forced To Scrap ... Increases From Their Budget Due To Sinema\u2019s Opposition: REPORT\">income tax hike<\/a>.<\/p>\n<p>The budget proposal signals Hochul&rsquo;s defiance of <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/new-york-city\/\">New York City<\/a> Mayor <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/zohran-mamdani\/\">Zohran Mamdani<\/a>, who wants to tax the rich as part of his economic agenda. Hochul argued otherwise.<\/p>\n<div class=\"recommended-stories\">\n<h2>Recommended Stories<\/h2>\n<ul>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/news\/campaigns\/4424381\/boomer-texas-millennial-candidates-battle-ages\/\">OK boomer: Texas millennial candidates welcome battle of the ages<\/a><\/li>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/news\/campaigns\/congressional\/4424694\/bill-cassidy-challenger-trump-preferred-gop-senate-candidate\/\">Bill Cassidy challenger digs in against Trump&rsquo;s preferred GOP Senate candidate &nbsp;<\/a><\/li>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/news\/entertainment\/4423932\/miami-beach-mayor-disgusted-nightclub-playing-kanye-west-song\/\">Miami Beach mayor &#8216;disgusted&#8217; by nightclub playing Kanye West song<\/a><\/li>\n<\/ul>\n<\/div>\n<div class=\"article-paywall\">\n<p>&ldquo;I don&rsquo;t believe in raising taxes for the sake of raising taxes,&rdquo; she said last week. &ldquo;What is served by that? We have high taxes already predating my time. We have enough revenues to do what we want to do and what we need to do to support our state. So, beyond that, I don&rsquo;t see a justification.&rdquo;<\/p>\n<p>That said, Hochul intends to crack down on tobacco-free nicotine pouches, most notably including Zyn, by requiring a 75% excise tax. The same tax rate is applied to cigarettes and other tobacco products, which are currently taxed at $5.35 per pack.<\/p>\n<p>It remains unclear at this time how much money <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/new-york\/\">New York<\/a> would obtain from its proposed tax on Zyn.<\/p>\n<p>The brand&rsquo;s parent company, Philip Morris International, generated more than $1.88 billion in net revenue in 2024. While last year&rsquo;s <a href=\"https:\/\/amzn.to\/3YuVZYV\" >final sales haven&#038;rsquo<\/a>;t been released yet, <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.forbes.com\/sites\/tylerroush\/2025\/01\/16\/fda-approves-zyn-pouches-for-sale-as-less-harmful-alternative-to-cigarettes\/\"><em>Forbes<\/em> estimated<\/a> at the start of 2025 that Zyn product sales would exceed $2.9 billion after the <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/fda\/\">Food and Drug Administration<\/a> approved the nicotine pouches for sale in the United States based on their lower health risks compared to traditional tobacco products.<\/p>\n<p>New York Budget Director Blake Washington called Zyn a &ldquo;gateway drug&rdquo; in arguing that the nicotine product should be taxed.<\/p>\n<p>&ldquo;The state of New York pays for the fallout of bad public health decisions, so using Zyn, there&rsquo;s symmetry in taxing those types of products,&rdquo; Washington said this week. &ldquo;It just gives us more resources to fund the interventions [and] have people not use them in the first place. If you tax people too much on their Zyn, maybe they&rsquo;ll stop using it.&rdquo;<\/p>\n<p>Furthermore, the governor intends to extend the 7.25% corporate tax rate for another three years. The increased tax rate applies to corporations that make over $5 million in profits. It was originally implemented by former Gov. <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/andrew-cuomo\/\">Andrew Cuomo<\/a> and later renewed by Hochul.<\/p>\n<p>Mamdani is expected to continue pressing Albany to raise income taxes on the wealthy, especially considering the state lost $10.3 billion in overall federal aid under the <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/trump-administration\/\">Trump administration<\/a>. If the federal government continues pulling funding from New York, Hochul retains the option of raising taxes.<\/p>\n<p>The federal funding cuts resulted in a $3 billion loss for the Essential Plan, a state-run health insurance program for adults who don&rsquo;t qualify for Medicaid. Hochul&rsquo;s plan raises Medicaid spending by 11.4%. Her budget office committed $38.2 billion to healthcare in the coming fiscal year.<\/p>\n<p>The budget proposal is a sizable increase from the $254 billion budget in New York last year. The increase is driven by Hochul&rsquo;s allocation of $4.5 billion toward the state&rsquo;s child care programs. The funding includes $210 million to make pre-kindergarten accessible for 4-year-olds statewide. The money will also go toward a new &ldquo;2-Care&rdquo; preschool program for all 2-year-olds in New York City.<\/p>\n<p>Hochul and Mamdani made a <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/policy\/infrastructure\/4411594\/hochul-mamdani-free-child-care-2-year-olds\/\">significant announcement<\/a> together earlier this month about investing government resources in child care programs.<\/p>\n<p>The progressive push for universal child care is led by Mamdani, a self-described democratic socialist with whom Hochul has allied herself. However, the alliance between the two may not last due to their political differences.<\/p>\n<p>After Hochul&rsquo;s annual State of the State address last week, Mamdani and his allies called on her to raise taxes. The mayor campaigned on taxing New Yorkers who earn more than $1 million per year to theoretically pay for universal child care.<\/p>\n<p>Mamdani <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/policy\/infrastructure\/4424448\/zohran-mamdani-collaborates-ms-rachel-promote-free-buses\/\">recently partnered<\/a> with Ms. Rachel, a left-wing children&rsquo;s entertainer on YouTube, to push his agenda by singing songs to toddlers about universal child care and free buses.<\/p>\n<p>Before becoming mayor at the start of the year, Mamdani <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/news\/4361888\/ms-rachel-mamdani-inauguration-committee\/\">appointed<\/a> Ms. Rachel to his inaugural committee. Ms. Rachel, whose real name is Rachel Griffin Accurso, has drawn criticism for her anti-Israel views &mdash; something she shares with New York City&rsquo;s first Muslim mayor.<\/p>\n<p>The $260 billion budget proposal will be considered by New York&rsquo;s Democratic-controlled legislature for approval in the coming weeks.<\/p>\n<p><strong><a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/news\/campaigns\/state\/4417067\/kathy-hochul-policy-agenda-state-of-the-state-strengthen-democratic-ticket\/\">HOCHUL ROLLS OUT POLICY AGENDA DURING STATE OF THE STATE TO STRENGTHEN TOP OF THE TICKET FOR DEMOCRATS<\/a><\/strong><\/p>\n<p>Hochul faces a tough reelection bid this year, with Lt. Gov. Antonio Delgado (D-NY) running against her in the Democratic primary in June. From there, the victor will advance to the general election.<\/p>\n<p>The Democratic governor started delivering her budget address at 1 p.m. Tuesday. A number of the proposals within the state budget were revealed in her recent State of the State address.<\/p>\n<\/div>\n<\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Hochul bucks Mamdani: taxes Zyn, spares rich<\/p>\n","protected":false},"author":2159,"featured_media":2545122,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2026\/01\/AP26013786212867.jpg?w=696","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[39075,56552,71515],"class_list":["post-2545121","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","tag-kathy-hochul","tag-mamdani","tag-new-york-state-budget"],"fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2026\/01\/AP26013786212867.jpg?w=696","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2545121","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/2159"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2545121"}],"version-history":[{"count":3,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2545121\/revisions"}],"predecessor-version":[{"id":2545128,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2545121\/revisions\/2545128"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2545122"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2545121"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2545121"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2545121"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}