Cuomo threatens New Yorkers with tax hikes over COVID-19 shortfalls
By: Carl Campanile (New York Post)
Who would have guessed a total lockdown would result in a total meltdown?
It is rather amazing the acrobatics that Gov. Andrew Cuomo employs to avoid taxing the rich. Naturally Cuomo will blame Trump, Republicans, and Washington for failing to bail out New York. What's wrong with the magic money tree in NYC?
S E E D E D C O N T E N T
Gov. Andrew Cuomo threatened Thursday to increase the burden on New York's already heavily taxed residents if federal lawmakers don't provide funding to offset losses due to the coronavirus crisis.
"This will be a hole in the financial plan so large that it will be impossible to fill," the governor said during a conference call with reporters.
"What would we do to try to fill it? Taxes, cuts, borrowing, early retirements [of government workers]. All of the above."
New York City already holds the dubious distinction of being No. 1 in the nation for the highest combined burden of state and local income taxes, with a total rate of 12.7%, according to the Tax Foundation think tank.
That works out to an average annual bite of $2,877, according to the Tax Foundation.
And last month, the American Legislative Exchange Council ranked the Empire State's economic outlook the worst in the country — for the seventh year in a row — in part due to its hefty taxes.
Cuomo's threat of higher taxes represents a reversal of his previous warning that they would put New York at a competitive disadvantage with other states and lead to an exodus of high-income New Yorkers.
With the state already five months into its fiscal year, Cuomo has so far resisted liberal demands to raise taxes on the rich, amid hopes that President Trump and Congress will agree on a bailout package for state and local governments — or that fellow Democrat Joe Biden will beat Trump in November and ride to the rescue.
Albany lawmakers didn't make any deep cuts when they enacted the state budget on April 1, amid the pandemic, but Cuomo has since withheld funding to local governments and social service providers to help keep the state afloat.
The governor has projected a long-term deficit of $30 billion, due to the deadly impact of COVID-19.
The shortfall for the current fiscal year is about $8 billion, according to EJ McMahon of the Empire Center for Public Policy.
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Notice how an $8 billion shortfall magically becomes a $30 billion deficit? No wonder New York is the financial capitol of the United States.
What's wrong with the magic money tree in NYC?
Nerm, it was all there in your article how:
That means now.
That means in the future if things hold the same way.
Which means he really doesn't want to do this.
So he's waiting to find out the results before making any decisions.
Do you live in NY? I do. Do you want to know what drove rich NYers out of the state first? The cap on our property taxes, imposed on us by Trump, who then took his butt out of here and moved his primary residence to FLA. How convenient.
I hope he likes living in FLA, cause I doubt he can ever come back to his beloved Trump Towers.
Gov. Cuomo doesn't have a sterling record with forecasts. Cuomo is attempting to turn a shortfall into a windfall using scare tactics. That's the same approach Cuomo used for responding to the pandemic. Reality fell far short of Cuomo's forecasts.
No, I live in Minnesota which I've stated many times before. Why should Minnesota bail out New York? Minnesota has to compete with New York for Federal dollars plucked from the magic money tree. Andrew Cuomo only wants to get his bail out before the crisis has passed elsewhere in the country.
Welcome to the Midwest. What Andrew Cuomo complains about is business as usual in the Midwest. New York has a budget problem? Raise taxes, cut programs, and sell bonds just like Midwestern states have to do. Midwestern states haven't had the luxury of spending their way to prosperity.
Why should my state bailout Minnesota? You have the 7th highest tax burden in the country, Nerm.
Minnesota's total tax burden was $5,171, or more than $1,100 above the national average and the seventh highest in the country, according to the analysis. And the state's property tax was ranked 17th highest; sales tax, 12th highest; and income tax, eighth highest.
Hey Kav, how do you feel about bailing out Minn? You live in Florida. Somehow, our friend here, doesn't think we do the same thing as his state does, but he deserves more out of the pot. Interesting.
Minnesota tried and was denied.
Minnesota has a higher median income, higher labor force participation, and less poverty than does New York. As you point out, Minnesota also has lower taxes than New York.
Minnesota:Data USA
New York:Data USA
Minnesota is also a 'giver' state; receiving less Federal spending than taxes paid. Minnesota is much less Federally dependent than New York. But, then, so is Florida.
Minnesota also elected Jesse 'The Body' Ventura governor because of taxes and spending; we've already had our Trump-type revolt. BTW, Ventura was a member of the Reform Party while Governor but is now affiliated with the Green Party. Third parties are viable in Minnesota.
The stats were from 2018 the more current one, 2020 shows MN has moved up to fifth position. You could be number one in a couple of more years.
Maybe so. Maybe not. Minnesota doesn't follow national trends. You don't think the cap on SALT deductions affected Minnesota?
Minnesota also has achieved higher educational performance and educational attainment than New York. Maybe New York should consider becoming more like Minnesota rather than trying to bring Minnesota down to New York's level.
Welcome to the Midwest. Naturally there will be some adjustment but the end result will be progress. Minnesota is a progressive state and not a liberal state, after all.
Seems as though some vacation homeowners may be getting a substantial increase in property taxes.
Keep up the good work and soon you'll be in the top three.
Don't tell Trump and the republicans that you're a progressive state. LOL