New York Lawmakers Weigh Business Tax Hike

Lawmakers are debating increasing the levy on some New York City businesses, according to state Senator Brad Hoylman-Sigal, a Manhattan Democrat.

Such a move would have Albany lawmakers again looking to companies to help fund the MTA’s capital budget.

Last year, the legislature increased the payroll tax on the largest New York City businesses to 0.6% from 0.34% to bring in about $1.1 billion.

“Plans to increase the payroll mobility tax to make up the difference are extremely unfair because it would place the enormous burden of funding a regional transit system serving 12 counties in New York and two other states entirely on New York City,” Hoylman-Sigal said in a statement.

The MTA, which operates the city’s subways, buses and commuter rail lines, was planning to borrow against the $1 billion in yearly congestion pricing revenue to help raise $15 billion to upgrade subway signals and tracks, make the system more accessible and extend the Second Avenue subway into Harlem.

“We want to make sure that the MTA capital plan is in place,” Weprin said. “So we will be working diligently to get substitute revenue for the billion dollars over the next couple of days. And I’m optimistic that’s going to happen.”

(Image: Sean Pavone/Adobe Stock)