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Governor David Paterson has been talking about New York's grim financial situation pretty much since he took office. Now, with Wall Street's troubles and the overall recession, he offered a $121.1 billion executive budget that closes a $15.4 billion budget deficit for this year and next.
Notably, education will face a cut of $700 million next year (or 3.3%); the NY Times reports, "Increased aid for operating expenses and pre-kindergarten that had been expected as part of the settlement of a long-running lawsuit of school aid would be delayed by four years under the plan." Medicaid growth would be limited and NYC will end up without $650 million in aid.
The Daily News summarized some of the proposed taxes in addition to the so-called obesity tax:
- An "iPod tax" that charges state and local sales tax for "digitally delivered entertainment services" - in other words, that new Beyonce song you download.Other fees/taxes proposed, via Capital Confidential—"Local fee for hiring a public retirees, a bad check fee, and higher vehicle safety fines"—which also notes that today is the 235th anniversary of the Boston Tea Party.
- State sales tax at movie theaters, sporting events, taxis, buses, limousines and cable and satellite TV and radio.
- Costlier driving with the repeal of the 8-cents-per-gallon sales tax cap on motor and diesel motor fuel, plus and increase in the auto rental tax.
- Tuition increases as SUNY and CUNY, $620 and $600 a year respectively.
- A 50 cent tax on cigars. The current tax is equal to 37% of the wholesale price, or 34 cents a cigar.
- No more sales tax break on clothes and shoes worth $110 or less, except during two weeks a year.
- Higher taxes on wine, beer and flavored malt beverages. He would also impose an 18% tax on non-nutritional drinks like soda.
- The rich would pay more for luxury items through an additional 5% tax imposed on cars costing more than $60,000, aircraft costing more than $500,000, yachts costing at least $200,000 and jewelry and furs costing in excess of $20,000.
- In addition, a host of a fees, including those related to motor vehicle licensing and registration, parks and auto insurance, would go up, as would various state-imposed fines.
Paterson said, "For years, record revenues from Wall Street allowed State spending to increase at an unsustainable rate. With the financial services industry in the midst of an unprecedented crisis, we must fundamentally reevaluate what our State can afford to spend. Change is unavoidable, and the proposals I have put forward today begin the difficult process of adapting to a new fiscal reality. Just like thousands of families across New York, our State government needs to tighten its belt and limit spending to what we can afford."
More details on the budget here. Paterson presented the budget a month early, and he is optimistic the Legislature (which is still without a Senate leader) will be able to pass it. Assemblyman James Tedisco, who heads the Republican caucus, told the Times, “The good is that he is holding the line on spending. The bad is that there are $4 billion in new taxes and fees and that will hit the middle class right in the solar plexus.” Assembly Speaker Sheldon Silver, who told the Daily News he supports raising the income tax on the wealthy, said, "I'd rather have a broad-based tax than nickel and dime various constituencies in this state.
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fuck a duck and wish it good luck, damn
this one stood out:
Higher taxes on wine, beer and flavored malt beverages.
shittums
All this, but they cut the state workforce by 500? out of 200,000?! This is where the bulk of the problem is. Families are leaving as are businesses, but the state still would rather tax us all to death than do anything to make the state more efficient or competitive.
cool!
time to move the hell out of nyc
Hold on. So now I'm gonna have to pay state and city tax on a .99 cent iTunes download?
FVCK YOU, COCK-EYED UNFAITHFUL COKEHEAD!
we're so fucked
hello, connecticut!
"Just like thousands of families across New York, our State government needs to tighten its belt and limit spending to what we can afford," Said the man who wasted taxpayer money on needlessly renaming a bridge.
he forgot the 10% tax on any funds given to people whose glasses or bottles of medicine you broke.
People pay for music downloads?
Is that 50 cent tax on cigars on top of or in addition to the existing tax? And will it apply to out-of-state internet purchases? Another half-buck for Gurkha Grand Age Perfectos may force me to go back to Cohiba XV 645s.
LUXURY TAX
PAY $75
LOL at that "ipod tax".
how about a tax on saggy jeans?
#7: are you talking about the Triboro bridge?
i passed by the other day and saw signs all over saying it has been renamed to Robert Kennedy bridge.
please tell me how much we wasted on that
"Higher taxes on wine, beer and flavored malt beverages"
He must be mad. I refuse to pay these ludicrous taxes on my booze. I'm going cross state lines.
"An "iPod tax" that charges state and local sales tax for "digitally delivered entertainment services" - in other words, that new Beyonce song you download."
lol considering few even pay for itunes songs, this won't exactly pick up too much dough.
With the state of the economy he should have some pity on us folks and LOWER the booze prices... Sometimes it's the only thing keeping me from jumping off something.
Okay, now is the time for any escort services that Paterson has utilized to come forward and knock his blind a$$ out of office.
What this article failed to mention, however, was that as the rest of us get fvcked up the a$$ repeatedly by Paterson's taxes and other service cuts, the poor will thrive as increases to welfare are expected.
So why not just tell us flat out that working people, people who make money and pay taxes, are no longer welcome in NYS, while the crackheads who pop out babies to up their checks are given a raise.
How messed up is that?
"Hold on. So now I'm gonna have to pay state and city tax on a .99 cent iTunes download?"
Apple already charges tax on this, so I don't understand... is this an ADDITIONAL tax? If not, this isn't new at all. Though it would affect Amazon digital downloads as they don't have a "physical presence" in this state for the Amazon Digital Services LLC.
iPod tax will simply encourage more piracy. It's one thing to pay sales tax that makes a 99 cent song $1.07, but if they force a tax specifically for music and a song ends up being $1.20, more NYers will flee iTunes and visit The Pirate Bay.
#13: Renaming the Triborough reportedly cost $4 million.
over 4 million was wasted on renaming the damn bridge. makes me sick.
How?
Four million dollars, how?
In new signs?
Yo no comprendo.
Why not tax for clothing ABOVE $110? wtf!
Start fixing up your resumé, Paterson. At this rate, you're going to be lucky to find 100 New Yorkers willing to vote for you at the next election.
State
City
MTA
fun times nowadays huh?
Why not tax for clothing ABOVE $110? wtf!
Items below $110 were exempt. You always had to pay for stuff above $110.
http://en.wikipedia.org/wiki/Sales_taxes_in_the_United_States#New_York
All this, but they cut the state workforce by 500? out of 200,000?!
Teachers, principals, school nurses, bus drivers etc. are employees of local school districts. The proposal calls for cutting state aid to schools by $700 million. Presumably those districts will make up for some of that income loss by laying people off.
The same is probably true for what appears to be a $1B cut in Medicaid. Doctors, nurses etc are hospital, not state, employees but they'll still be laid off.
Firs the Amazon tax, now an additional itunes tax? FUCK YOU PATERSON!
My guess is it's actually rather expensive short term to cut civil servant jobs - health care, pension, unemployment, etc. It may actually be cheaper to keep them in their jobs producing something than deal with the cost of firing them at this point.
Don't believe it? Check this out - http://www.nytimes.com/2008/06/22/nyregion/22disclosure.html
And this - section C3
http://goer.state.ny.us/cna/current/cseaasu/02app07.cfm
Just saying maybe they are considering cost of civil servant layoffs, but decided it was more efficient to cut other areas.
25, if you include non direct employees like you are stating, then we have over 2 million state employees. Again, something is wrong when the government of a state has grown to this size.
Ever since the Amazon tax went into effect, I don't think I've bought more than $50 of merchandise at Amazon. I've headed for Newegg, Overstock.com and other sites that refuse to knuckle under to the state. So, Paterson, just how much extra revenue are you getting off that?
Same. Amazon lost me as a customer when they gave in to the tax. I will not shop with them until they take the tax away. In theory, this is a lose- lose situation. Amazon loses me a customer and NYS doesn't collect tax from Amazon - at least from me.
"Higher taxes on wine, beer and flavored malt beverages. "
No, no, no, no, no! How about higher taxes on bottle service, any drink that ends with "=tini", and booze served any place with a velvet rope and bouncer? It can be called the douchebag tax.
Democraps never learn
The iPod tax was ridiculous, but the tax on booze is the only thing that really stung. It's bad enough going through a recession, but having to do it sober? Cut us a break once in a while.
lol 11
"time to move the hell out of nyc"
Come to NJ where you can see baby hitler!
People are all for taxing the shit out of other people, but what happens when the revenue source(s) dry up? They come after you and your money to fill the gap. Learn from this.
"Local fee for hiring a public retirees"
How is this "fee" not discriminatory? I'm sure the AARP crowd is gonna fight this one!
"People are all for taxing the shit out of other people, but what happens when the revenue source(s) dry up? They come after you and your money to fill the gap. Learn from this."
That sums it all up perfectly, glenn.