be mayor, Gov. Kathy Hochul’s tone on taxes has become suspiciously ambiguous. Despite making claims to the contrary, it is clear the door is open for a tax hike.
The progressive wing of the state’s Democratic Party is quick to point out their tax plans are aimed at wealthy New Yorkers, and the dialogue around any potential tax hike appears to be limited to corporations. Don’t be fooled, though. It’s already a massive uphill battle attracting and retaining job-creating businesses here, and as outmigration continues to plague our tax base, revenue-hungry progressives will turn to everyday New Yorkers to make up the difference while businesses inevitably flee. The number of residents moving out of New York exceeded the number of those moving in by approximately 900,000 from 2021 to 2024, which included net losses of close to 300,000 each in 2021 and 2022.
It is beyond brazen for the liberal Democrat camp to even insinuate a tax hike, considering New York’s cartoonishly broken tax system. According to the Tax Foundation, New York ranks dead last in overall tax competitiveness. This is likely due to the fact the state suffers the worst individual income tax rates, 47th worst property tax rates and 42nd worst sales tax rates. How could you even begin to consider compounding this crisis with additional tax hikes? It is ridiculous to even entertain the notion.
The Assembly Minority Conference wholly rejects Albany’s tax-and-spend mentality. That’s why I introduced bill A.7417, which eliminates the state’s portion of sales tax on motor fuel and diesel fuel, exempts household products from state sales tax, exempts personal care products from state sales tax and exempts ready-to-eat foods sold at grocery stores, restaurants, diners, taverns, food trucks, catered food and food sold at food courts from state sales tax. Under my bill, localities would also be permitted to follow suit.
Additionally, Assemblyman Ra, our Conference’s ranking member on the Ways and Means Committee, sponsors bill A.8752, which would exempt the first $50,000 of income for businesses that employ fewer than 20 employees from being taxed.
To us, affordability is more than a buzzword. The governor is quick to toss that word around, but her actions do little to back up her words. New York, by most every measure, is not affordable. If we are going to restore our state to the financial capital of the world, we should start by making it desirable for residents, visitors, investors and businesses alike. Right now, it is far from it, and the governor is doing little to change that unfortunate reality.
Will Barclay (R,C,I-Pulaski) is the Assembly Minority Leader.