In response to New York State’s “Tax Freedom Day,” Assemblyman Joe Giglio (R,I,C-Gowanda) today renewed his call for real tax relief for the already overburdened middle-class families and small businesses of New York.
Tax Freedom Day refers to the day when taxpayers have paid off their combined federal, state and local tax obligations. This year, the National Tax Freedom Day arrived on April 13, 2009. However, according to the non-partisan, independent Tax Foundation, because of the crushing combined state and local tax burden, New York’s Tax Freedom Day falls 12 days later, on Saturday, April 25, 2009. New York is the nation’s third latest day, tying with New Jersey and only one day earlier than Connecticut.
“The fact that New York is among the last states to reach Tax Freedom Day, is just further proof that we are an overtaxed, overburdened state,” stated Giglio. “Our overwhelming property, income, business and energy taxes have pushed our residents to their limit. It is time for change in Albany, and I urge the Assembly majority and Governor Paterson to see the signs and listen to the voices of overburdened New Yorkers.”
A recent Wall Street Journal editorial called New York “the tax capital of the world;” the article stated that New York’s 2009-10 State Budget’s tax hike “will lift the top state tax rate to 8.97 percent and the New York City rate to 12.62 percent. Since capital gains and dividends are taxed as ordinary income, New York will impose the nation’s highest taxes on investment income...”¹
This realization was joined by an Empire Center for New York State Policy report that showed how the 2009-10 State Budget’s personal income tax hike would indeed damage New York’s economy, the report stated that, “New York’s $4 billion ‘temporary’ personal income tax increase will cost the state at least 15,500 private sector jobs...” ²
“The relationship between job-killing taxes and our state’s stagnant business climate has been made clear, when taxes are raised, business and residents leave. The solution to mending our broken economy and improving the situation for residents across the state is delivering real tax relief to middle-class families and businesses,” said Giglio. “I will continue to be your voice in Albany, and look forward to the day when these excessive levels of taxation are lifted from the backs of hardworking New Yorkers.”
1 Wall Street Journal, April 11, 2009, “The Tax Capital of the World”
2 Empire Center for New York State Policy, March 31, 2009, “A Job-Killing Budget”