Lawmakers are expected to vote today on a budget extender bill which includes adding a new $1.60 state tax to packs of cigarettes. Taxes on other tobacco products would also increase from 46% of the wholesale price to 75%, and, sorry smokers, packs sold on Indian reservations in the state will not be immune. If passed, the tax could raise an estimated $440 million for the state (up from the $290 million estimation this weekend). But many smokers and tobacco merchants are upset at the proposed tax hike. more ›

Instead of that staggering $1 tax on cigarettes Paterson proposed earlier in the year, the state may be seeing a whopping $1.60 tax per pack of smokes. The proposal is laced into an emergency budget bill to be voted for on Monday, and Paterson says it would bring in an extra $290 million to close the budget gap and keep Albany from shutting down. more ›

In an attempt to close the budget gap, lawmakers are considering two new plans to raise fees on New Yorkers. The plan proposes raising the fees on buying cars and taking out a mortgage. "These two proposals are being seriously considered by us," Senate Transportation Committee Chairman Martin Dilan told the Daily News. more ›

Under Gov. Paterson's plan to rescue the MTA from a $400 million budget shortfall, New York City businesses would see a payroll tax increase by 59 percent, surging from .34 percent for every $100 of payroll to .54 percent. Meanwhile, the payroll tax in suburban areas would be cut in half. more ›

Mayor Bloomberg unveiled the 2010 fiscal year budget yesterday and acknowledged that that his proposed sales tax hike, which would raise the tax rate to 8.875%, is no fun. During the press conference, he said, "It is true that sales tax, if you have the same rate, is a regressive tax, but the bottom line is, the people that have more money buy a lot more things, and they spend a lot more of it. Is it a good tax? No. None of these taxes are good taxes... I'm not happy about raising any tax." more ›

The NY Post reports that Governor Paterson "and legislative Democrats have secretly agreed on an $8 billion, two- year tax hike on individuals making more than $500,000 a year," based on sources, who also say the plan would end in 2010...when Paterson would run for re-election. more ›

With all of the headlines going to the plethora of angles to come out of the big Election Night fallout, Mayor Bloomberg took the opportunity yesterday to drop a bombshell on us: personal income taxes for city residents could be going up as much as 15%. That idea came out of the mayor's press conference yesterday addressing the grim state of the city economy where he also revealed that the previously promised $400 tax rebate would no longer be happening. That's a move that even #1 Bloomberg ally Speaker Quinn said she was troubled by. more ›