Posted on 02/05/2019 7:12:57 AM PST by SeekAndFind
The state of New York may be falling behind some states when it comes to quality of life issues. But there's one category where New York excels at; taxing its citizens.
New York leads the nation in taxes, a dubious distinction not lost on wealthy residents of the state. So it's puzzling why the Governor would be surprised when expected revenues fall a little short; about $2.3 billion short.
Cuomo attributed the revenue drop in December and January largely to the new federal tax code, as well as volatility in the stock market and other uncertainties.
“That’s a $2.3 billion drop in revenues. That’s as serious as a heart attack. This is worse than we had anticipated,” the governor said in Albany.
“This reduction must be addressed in this year’s budget.”
In a rare joint appearance with Cuomo, state Comptroller Tom DiNapoli confirmed the deteriorating finances.
“This is the most serious revenue shock the state has faced in many years,” he said.
He urged Cuomo and the Legislature to sock more money away in the state’s rainy day fund to prepare for the worst.
Cuomo had planned to spend $176 billion — including about $100 billion in federal funds — in the new fiscal year that starts on April 1.
Cuomo’s preliminary analysis claims much of the impact is coming from a drop in revenues from the state’s highest income earners most impacted by the loss of write-offs of state and local tax deductions, known as SALT.
It isn't just the loss of write offs, although that may have contributed to another problem that Cuomo mentioned in passing:
(Excerpt) Read more at americanthinker.com ...
One percent of the state’s top income earners provide 46 percent of the state’s personal income tax revenues, officials said.
Cuomo said Albany can’t go to the well and tax the wealthy again because that would only worsen the situation, citing “anecdotal” evidence that high-income New Yorkers are already fleeing the state to lower-tax jurisdictions.
He offered no figures to back up the claim.
A pretty good figure is that $2.3 billion budget shortfall. The rich can't pay taxes if they're not there. And Cuomo's state government is giving them every possible incentive to leave.
Next up you’ll have a stroke when it doubles after that abortion of an abortion bill you signed.
Remember Cuomo encouraged decent, hard working pro life people to leave New York. Looks like many did just that.
Simple liberal solution....RAISE THE TAXES AGAIN!
Andrew, you AIN’T SEEN NOTHIN’ YET!
I guess they want to try to extract money from millionaires before they can get the moving vans loaded up.
Well I’m sure all the revenue the Amazon hipsters will generate will make up for the shortfall. Oh wait, he and DeBlasio gave away the ranch to get them to move to Long Island City.
As for the rich fleeing the state, they just ruin the next place they move to.
Just lower the taxes and the problem is solved...
Yep - left NY State in ‘74 for the military and never lived there again...last I knew, like Kalifornia, the State also taxes a portion of military retirement if one was ever stationed there...being retired in MS, where none of our SS/retirement funds are taxed, I could afford to live in NY even though we’re very comfortable now.
I think the above is why NY didn’t require one to renew driver licenses while one was in the military - kept the potential tax ties alive...
If they arrest all the rich folks and put them in prison, then they can’t leave the state. Has Cuomo thought of this yet?
$2.3 out of $176B proposal. A hair over 1%?!
OMG, how will New York survive?
Last September he was blaming the weather, er, climate for people leaving NY https://www.whec.com/news/going-south-cuomo-blames-weather-for-ny-population-decline/5085044/
RE: Has Cuomo thought of this yet?
Shhhh... don’t give him ideas. But we can start with an EXIT TAX ( oh oh, I just gave him another idea. MY BAD ).
“Cuomo said Albany can’t go to the well and tax the wealthy again because that would only worsen the situation, citing “anecdotal” evidence that high-income New Yorkers are already fleeing the state to lower-tax jurisdictions.”
So one has to wonder if this will “sink in” with Ms. Occasional Kotex? The truth is, to “give” the “less fortunate” “everything,” you could actually confiscate ALL THE WEALTH of the “rich,” and you still could not get enough money to “complete the giving.”
We are in the process of closing on a “second home” in Nevada, and we are keeping a close eye on housing values here in CA, because we are concerned that “second place” California will see exactly the same conditions here as are being reported in NY. And with the departure of the wealthy, we will see housing prices depress, because Mexicans can’t afford $2 million homes.
The rich don’t matter. They will always find a way out.
Its the middle class that Cuomo and the regressive are destroying.
Flee or be Fleeced! It's their choice!
This is ALL about the State and local tax deduction going away. Cuomo even admitted that yesterday.
Now that high-income New Yorkers are going to have to pay THEIR FAIR SHARE of NY’s crazy taxes instead of deducting it from their Federal Taxes, the smart ones are moving their residency and money to lower tax states.
The rest are in for a VERY rude awakening in the next few weeks, as they learn how much this is going to personally cost them.
$2 Billion+ is a LOT of money in revenue to lose, and it is going to get far worse.
This is what theft and burglary gets you. Continually attacking the rich and making them the bad guys does two things - it dissuades the poor from earning more money (which you want) and it makes the rich leave your state (which you don’t want).
Of course Cuomo promptly attacks the tax cuts as the reason he can’t run the state (as if a 2 year warning wasn’t enough - and he’s got the analysts so they knew and he spent the money anyway so he could make it a political football)
I’m sure Cuomo, Commadant DeBlasio and Cortez would love to just take the money at gunpoint now and will probably attempt it as that’s what happened in Venezuela.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.