Assemblyman Steve Hawley (R,I,C – Batavia) submitted a motion for an open, transparent vote to ease the overwhelming tax burden on New York’s small-business owners, but was denied by the downstate-driven Assembly Majority. The bill, of which Hawley is the sponsor, seeks to eliminate the vendor re-registration fee to collect sales tax while providing a refund to those who have paid the fee. The legislation is stuck in the Ways & Means Committee, denying New Yorkers the opportunity to see which legislators truly support our state’s small- business owners.
“Business owners should not have to pay for the privilege of collecting sales tax on behalf of the state,” said Hawley. “The vendor re-registration fee is yet another disincentive to own and operate a business in New York. We had the opportunity today to show this state’s job creators that we are ready to re-open New York for business, and, by denying a vote on this measure, we have failed to do so.”
The Tax Foundation’s “2011 State Business Tax Climate Index” ranked New York the worst in the nation. The 2008-09 Enacted Budget authorized the New York State Department of Taxation and Finance to require all 585,000 vendors that collect state sales tax to re-register and pay a $50 registration fee. While it is set to expire next year, many business owners fear that it will be extended and permanently added to New York’s revenue stream.