The Invest in Our New York Act is a package of six bills hiking state taxes by $50 billion a year.
Numbers out of context are meaningless. Why not raise taxes by $200 billion, or heck, $90 trillion? But in the context of the New York state budget, $50 billion is an unprecedented hike. Without the pandemic and lockdowns, the state likely would have taken in $90 billion in taxes this coming fiscal year, meaning the bill’s proponents want to raise taxes by close to 60 percent.
A sample of the new taxes: first, on high-income labor. A single filer with $1 million in income would see a 23 percent state tax hike, to 8.41 percent, up from 6.85. A filer making $10 million would see a 48 percent hike, to 12.14 percent, up from 8.82 percent.
Author(s): Nicole Gelinas
Publication Date: 28 February 2021
Publication Site: NY Post
State lawmakers in Albany, New York are considering imposing a tax on financial transactions. If they go through with it, the iconic New York Stock Exchange might actually leave the Empire State.
The tax legislation in question was recently proposed by state Senator Julia Salazar and several of her Democratic colleagues. It would impose a 0.5 percent tax on stock trades and smaller taxes on bond and derivative trades. These levies may sound minor, but they add up when applied across millions of trades—and Salazar says the tax would raise $12-29 billion in revenue.
“The New York Stock Exchange belongs in New York,” NYSE President Stacey Cunningham writes in a new Wall Street Journal Op-Ed. “If Albany lawmakers get their way, however, the center of the global financial industry may need to find a new home.”
“Financial transaction taxes have a dismal track record,” she continued. “They never live up to the promises about how much revenue they’ll raise. They damage capital markets and destroy high-paying jobs.”
Author(s): Brad Polumbo
Publication Date: 11 February 2021
Publication Site: Foundation for Economic Education