Written by: Ken Valenti
The easing of the transit-supporting payroll tax will bring relief for small businesses and private schools in the Lower Hudson Valley.
But the tax dedicated to the Metropolitan Transportation Authority still weighs on larger companies and hospitals — burdens that opponents of the tax still want to see lifted.
“It’s a start,” Al Samuels, president and chief executive of the Rockland Business Association, said of the change. “It’s a recognition that this (tax) was the wrong way to go.”
Imposed in 2009, the tax affects employers in the 12-county MTA region, which includes the Lower Hudson Valley, served by the transit giant’s Metro-North Railroad. But many suburban business leaders and governments cried foul at the tax from the time it was put in place. It is raising $1.4 billion this year for the MTA.
The tax costs an employer 34 cents for every $100 of payroll.
The changes approved by the Legislature on Wednesday night and Thursday eliminate the tax for taxpayers with payrolls under $1.25 million. They also reduce the rate to 11 per $100 for those with payrolls under $1.5 million. For those with payrolls under $1.75 million, the new rate is 23 cents per $100…
State Sen. Greg Ball, R-Patterson, lauded the development.
“This is amazing news for job creators and families in the Hudson Valley and the 80 percent that no longer have to pay the tax,” he said, adding; “I’m going to redouble my efforts to fight for a complete repeal, and the best way to do that will be to hold the comptroller’s feet to the fire that he conduct a forensic accounting to find the savings necessary.” (READ MORE)
Tags: 40th District, 40th Senate District, 40th Senatorial District, Dutchess County, Governor Andrew Cuomo, Governor Cuomo, Local Government, MTA Payroll Tax, New York 40th District, New York 40th Senate District, New York 40th Senatorial District, New York State Senate, Putnam County, Senator Ball, Senator Greg Ball, Westchester County