MINORITY LEADER JAMES N. TEDISCO
December 18, 2008
"declaring war" on New York's middle class families
Characterizing it as a "gut punch" to New York's middle class already hurting from a terrible economy, home foreclosures and loss of real wages, Assembly Minority Leader Jim Tedisco (R,C,I-Schenectady-Saratoga) today warned that the 137 tax and fee increases within Governor Paterson's 2009-10 Executive Budget will cost the average New York family an extra $3,875.48 annually.
The analysis, compiled by the Assembly Minority Ways and Means Committee, found that Governor Paterson's 137 tax and fee increases - imposed on everything from digital music downloads to soda - could potentially lead to the loss of one-in-ten jobs. An itemized breakdown of the impact Governor Paterson's 137 tax and fee increases would have on the average family of four is attached with this news release.
"These 137 tax and fee increases sought by Governor Paterson mean state government is digging even deeper into the pockets of New York's middle class families, many of whom are already reeling from the recession. His tax and fee hikes send absolutely the worst possible message, at the worst possible time, for middle class families who are losing their jobs, losing their houses and seeing their incomes and home values decline," Tedisco said.
"While families cut back and make sacrifices, Governor Paterson would have state government take even more, ultimately deepening and prolonging the recession. All these tax and fee hikes are like declaring war on New York's middle class families," Tedisco stated.
The following are some of the products and services Governor Paterson's Executive Budget would raise taxes or fees on: cable and satellite television; pay per view movies; cigars; discount coupons; haircuts; beauty salons; health clubs; weight loss programs; fishing; camping; malt-flavored beverages; digital music downloads; drinks from non-diet soda to Gatorade, Hawaiian Punch and Hi-C; beer; wine; car rentals; limousine services; taxis; movies; health insurance; seed dealers; parents of children with special needs; boilers; explosives; horse entrance fees; sporting events; gasoline; clothing; jewelry; footwear; automobile purchases; registration and driving fees.
"According to Stephen Kagann, former state chief economist, every $100 million in new taxes imposed during a recession leads to a loss of 11,400 private sector jobs. Governor Paterson's tax and fee hikes total $6 billion, meaning a loss of 600,000 jobs. When added to the administration's forecast of 180,000 jobs expected to be lost in 2009, it is a very real possibility that one-in-ten jobs in New York State could be threatened. That isn't doomsday - it's an economic apocalypse," Tedisco concluded.
Editor's Note: Click here to view an itemized breakdown of the $3,875.48 cost to the average New York family from Governor Paterson's tax and fee increases.