The city's Law Department has filed two more lawsuits against stores that exploit a perceived loophole in the city's obscene cigarette tax law. You'll recall that New York Smokes, a retail tobacco outlet on Staten Island, was making bank selling customers loose tobacco, which is taxed at a far lower rate than cigarettes. Customers would then roll their own smokes in the store using cigarette stuffing machines, walking out with a pack for about $6—far less than the average $13 price. But then the city cracked down on that enterprise, and now the guv'ment is going after two more shops. more ›

Demonstrators affiliated with the Occupy Wall Street movement interrupted a legislative budget hearing in Albany to make some noise about taxes. The protest interrupted testimony by Taxation & Finance Commissioner Thomas Mattox, who was being questioned about an agreement between T&F and the Inspector General’s office that enabled IG to look at tax returns of state employees. Here's video: more ›

A version of the "Buffett Rule" was introduced today by Senate Democrats after a call by President Obama for the super-rich to start paying their fair share in the State of the Union Address last week. Senator Sheldon Whitehouse, a Democrat from Rhode Island, formally introduced what he's calling the "Paying a Fair Share Act of 2012." Under the law, millionaires would pay a minimum 30 percent effective tax rate, or more than double what millionaire Mitt Romney has been paying. According to the Congressional Research Center, approximately 94,500 taxpayers, a quarter of all U.S. millionaires, pay a lower tax rate than the vast majority of middle-income taxpayers. While potential revenue has yet to be formally calculated, Whitehouse estimates that the law could generate $40-50 billion annually. more ›

A New York inmate will spend more time in prison after filing tax returns claiming he was owed a $890 million refund. The AP reports that the forms were submitted to the IRS from 2006 to 2010 while he was incarcerated, and at one point the inmate was mailed a $327,000 check from the government, but prison officials confiscated it. In other blatant examples of why our tax law needs to be reformed, Mitt Romney paid $44,000 more in taxes than he actually owed. more ›

Because a guy named "Brad" is in the office today, the country has been graced with Mitt Romney's tax returns. They show that in 2010 the candidate earned $21.7 million, and paid $3 million in federal taxes, for an effective tax rate of 13.9%. Romney also gave $2.98 million to charity, $1.5 million of which went to the Mormon Church. Reuters also reports that Romney closed down accounts in Switzerland and the Caymans that year "after an investment advisor decided it could be politically embarrassing to Romney." more ›

Though it's no secret that Mitt Romney's income is made up of residual Bain investments taxed at the low rate of 15%, the candidate admitted it this morning at a campaign stop in Florence, South Carolina. “It’s probably closer to the 15 percent rate than anything,” Romney said. According to the Times, he also loses his speaking fees in the cushions of his couch. “And then I get speaker’s fees from time to time, but not very much.” Yeah, what's $374,327, or nearly 14 times the per capita income of Americans? more ›

Smoking, it'll kill you (even you, casual smoker). But before that it will bring in beaucoup bucks for the government thanks to hefty taxes—or will it? Pols keep raising and adding taxes on smokes here for the dual purpose of making money and pricing people out of their favorite addiction. Its worked pretty swell for a while now, but it seems that those days are ending. State tax collectors were "recently calling around to convenience-store owners, wondering what was up. The $130 million in extra tax that Albany was expecting from a change in the law about cigarette sales on Indian reservations wasn’t happening." more ›

Some people write on their hands, put a note on their fridge, or scream into their cellular phone to remind them to pay the power bill. Comptroller John Liu has New York City's second-most popular tabloid to do the reminding, and yesterday the Post broke a story that the embattled presumptive mayoral candidate owed ConEd $500 and the Tax Department $943; both invoices were left over from his campaign for the Comptroller's office. But reached at his 45th-birthday party/fundraiser last night, Liu said he was grateful for the heads up. "I want to thank The Post for that story," he told the paper. "If, in fact, we do owe that amount, we'll pay it right away." more ›

Yesterday, Councilman James Oddo shared the Independent Budget Office's breakdown of who exactly is the 1% in NYC, as well as who the 10% is and how much they contribute to the city's tax revenue. He explained to us that he wanted to cut through the rhetoric and get at the truth and found the data illuminating: "I represent a lot of people who are 10%, who make $105,000/year." more ›

City Councilman James Oddo, one of the few Republicans in the City Council, has been hearing a lot about this Occupy Wall Street stuff. The Daily Politics reports that he was so curious about who really is NYC's 1%—and 10%, for that matter—and how much they pay in NYC taxes that he asked the Independent Budget Office for some details. Oddo shared the IBO's response today, "I think the numbers bear out the argument that we should not be attacking higher-income New Yorkers because their tax dollars fund, in large measure, all the services that New Yorkers have come to rely on." Another thing: don't get him mad. more ›

Jay-Z has now joined his mentor Russell Simmons in his measured support for higher taxes on rich folk such as himself, telling CNN, "I wouldn’t mind paying more taxes if it went to the things that really mattered. If it went to education, people [in] poverty and if it went to the right things." He continued, “It should be clearly defined … where all the money’s being allocated. Because you can understand paying so much for taxes and then things not improving, you’re like, where’s everything going to?” We await the "Jay-Z for OMB director" campaign with bated breath. more ›

New York City's war on small businesses continues unabated: a Mom & Pop MetroCard operation was cruelly cut down, and two roll-your-own cigarette joints that offer Freedom from excessive, lawful excise taxes are being sued by The Man. Thankfully, these actions haven't deterred Jack Wang from opening his own roll-your-own tobacco shop, City Smokes, in Sheepshead Bay. “I don’t want to fight with the city. I don’t want any trouble,” Wang tells the Daily News. “I need to pay the rent. I have no choice.” You hear that, Mayor? He has no choice but to exploit a perceived loophole in the law and spread Liberty and Tar all over this town. more ›

To everyone not reading this on an iPad in the CORE Club: you may have your taxes cut. Earlier today Governor Cuomo along with Republican Senate Majority Leader Dean Skelos and Democratic Assembly Speaker Sheldon Silver hammered out an agreement to that representing "the first major restructuring of the tax code in decades resulting in a tax cut for 4.4 million middle class New Yorkers taxpayers." In a release [pdf], Governor Cuomo says, "We are cutting taxes on middle class New Yorkers and small businesses…This would be lowest tax rate for middle class families in 58 years." Sounds like somebody's gonna need a cheer-up weekend in Bermuda. more ›

At a press conference today, Mayor Bloomberg was asked his opinion about reports that Governor Cuomo is planning to make new tax brackets for rich people. Although the plan is far from finalized, Bloomberg tentatively shared some thoughts about taxes (before his press secretary intervened). "I think you have to look at everything, but fundamentally you cannot tax your ways out of problems," Bloomberg told reporters, according to City Room. "You’ve got to get your expenses under control and build the economic base so that if you have tax revenue increases they should come from expanded — an expanded economy, as opposed to expanded — to tax rates." more ›

Skincare and fitness enthusiast Christie Brinkley apparently owes the IRS $531,720, as the agency recently placed a lien for the same amount on Brinkley's $30 million home in Bridgehampton. "Financially, her accounts are in good shape. This must be some kind of accounting screw up," a source close to Brinkley tells the Post. We've all been there: Whoops! We forgot to pay $500K in taxes, and we haven't watered our ficus in weeks. more ›

Though he's couched his opposition to the renewal of the "Millionaire's Tax" in the lofty language of personal conviction, Governor Cuomo appears to be warming up to the idea of bringing more "fairness" to the tax code in order to bolster an anemic state budget. The Times reports that Democrats in the State Assembly were warned that the governor may call a special session of the legislature on Tuesday, and sources say "leaders were discussing the creation of new tax brackets that would allow them to apply higher tax rates to the state’s top earners" while giving middle-class families a tax cut. Perhaps the governor cares more about polling than he initially let on. more ›

These days, stories of CEOs getting their companies to buy their antique map collections for millions of dollars have us yawning. We need examples of pure, systematic evil to get our bile mojo going. Thankfully the Times supplies it in a profile on how billionaire cosmetic heir Ronald Lauder dodges more taxes than a Black Friday crowd in Delaware. more ›

The 1 percent are all around you! The rallying cry of the Occupy Wall Street types at Zuccotti Park turns out to be incredibly apt here in the NYC Metropolitan area where "Nine of the 10 most heavily taxed neighborhoods in the U.S." just happen to be, according to Internal Revenue Service data. What're we talking about here? Oh, y'know, nothing much. In 2008 the nine zip codes reported "$70.1 billion, or 0.9 percent, of the nation’s total adjusted gross income of $7.98 trillion." more ›

If you had a part of your adolescence in or around the city in the past fifteen years you probably spent a night or two (or five) at Sahara East, the East Village joint where the hookahs were cheap and underage drinking was frequently ignored by the surly staff. But, it seems, those days are over. EV Grieve notes that the hookah lounge has been seized by the taxman. Now where will 16-year-old kids go to feel adult while coughing up flavored smoke, sneaking joints in the back and sipping Heinekens? more ›

We've all been there: you stroll into the bodega that is Epicerie Boulud, casually pick up some charcuterie because you're craving some cured meats then WHAM: they add an unlawful sales tax to your country pâté. State law prevents certain foods from being taxed, but the Post reports that the tax code itself is so confusing that many businesses don't know when it applies. Want proof that the 99% is getting the shaft? A soda tax is discussed before a pâté tax is. more ›

That General Electric managed to essentially pay no taxes in 2010 (despite $5.1 billion in profits) is old news—so it is not surprising, but is incredibly disheartening, to learn that GE is far from alone in finding ways around U.S. tax law. A study out today from the group Citizens for Tax Justice shows that between 2008 and 2010, 30 companies managed to pay no federal income tax, despite earning a combined $160.3 billion in profits. Good thing House Ways and Means committee chairman Dave Camp (R-MI) wants to rewrite the tax code so the top corporate tax rate is 25 percent (down from 35), right? more ›

Ron Paul, fierce defender of liberty (there are exceptions!) is having a tough time distinguishing himself from the rest of the GOP field before tonight's debate in Las Vegas. So yesterday, Paul released his "bold, ambitious, Plan To Restore America" [pdf] that would eliminate $1 trillion in government spending his first year in office. Man, weren't things great before the Department of Education, the Department of Energy in the late 70s? more ›

According to a new poll conducted by the Siena Research Institute [pdf], 72% of voting New Yorkers favor hiking taxes on those making $1 million or more annually. 83% of Democrats support the measure, but 70% of independents and 55% of Republicans do as well. “It is supported by more than two-thirds of voters from every region of the state," pollster Steven Greenberg says. So why is Governor Cuomo death threats or no, still opposed to extending New York's so-called "Millionaire's Tax?" more ›

Warren Buffett, "very decent" billionaire who wants higher taxes, isn't worried about a double-dip recession. The Oracle of Omaha told Andrew Ross Sorkin, "It's very, very unlikely we'll go back into a recession... We're coming out of a recession." So there! more ›

Billionaire interior decorator Michael Bloomberg feels that he and his fellow wealthy Americans pay plenty of taxes, thank you, and that Warren Buffett is a drama queen. "I think a lot of it is just theater," the mayor said today on Meet the Press. "If Warren Buffett made his money from ordinary income rather than capital gains his tax rate would be a lot higher than his secretaries…in fact a very small percentage of this country pay a big chunk of the taxes." Bloomberg would seem to have a point except for the fact that most of the rich don't earn money from wages: at least 60% of their income comes from capital gains. more ›

Besides slowing down Don't Ask, Don't Tell and the formation of telecom monopolies, if there's one thing the Justice Department can't resist, it's $16 muffins or $7 Beef Wellington bites. A report [pdf] released by the DOJ's inspector general found that in conferences it hosted from 2007 through 2009, the department paid way too much for coffee, candybars, and a bunch of other overpriced food that the lawyers need to feel special. more ›

While President Obama's call to tax the wealthy at the same proportion of the middle class is strongly supported by moderates and independents, politicians of all stripes whose districts have moats around them aren't so sure about this whole "fairness" thing. Among them is important apple juice-purifier Chuck Schumer, who told CBS, “$250,000 makes you really rich in Mississippi but it doesn’t make you rich at all in New York." Indeed: the check average at the Whole Foods on Bowery last month was $245,325. more ›

Over the weekend, a recently-retired Republican staffer of 28 years wrote an article about why he was leaving his party and his job, citing, among many other things, his belief that "the GOP cares solely and exclusively about its rich contributors." An exclusive look at the biannual fundraising and strategy conference held by billionaire GOP benefactors Charles and David Koch, shows why. Mother Jones reports that before Charles Koch names the 32 donors of $1 million or more in the last year who supported their right-wing causes, he promises that the 2012 election will be the "mother of all wars" against "Saddam Hussein." Specifically, Koch said: more ›