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The NYT Wants NYS To Raise Its Taxes

From the New York Times:

Gov. Paterson’s Warning

October 16, 2009

Gov. David Paterson of New York has finally delivered the painful truth: The state will need to cut spending by $5 billion to preserve its credit rating and keep it from going into default. “Not on my watch,” he vowed.

He also vowed not to raise taxes again, having already increased levies on wealthier New Yorkers — a promise he may have to revisit. And he acknowledged that the $5 billion in cuts — which fall most heavily on educational and health care facilities — may be only a prelude to more pain down the road…

Mr. Paterson will have to do everything he can to goad an irresponsible Legislature into line. No easy task, though he has good arguments on his side. He has already cut $500 million out of his administration’s budget. And the loss of the state’s credit rating could make borrowing vastly more expensive.

Mr. Paterson worried aloud at his press briefing that he sometimes gets a “delusional” response from lawmakers and others who do not see the urgency…

Mr. Paterson’s proposed cuts will inevitably draw fierce opposition from the biggest targets: schools that would suffer $480 million in midyear cuts and health care facilities that would lose $471 million. His scaled-back pension plan for new state employees is also likely to draw strong resistance from the unions.

Other ideas offer only short-term gains: a tax amnesty to encourage people to pay back taxes; a one-time bonus from whoever develops a gambling facility at the Aqueduct racetrack. His no-new-taxes pledge sounds good for now, though it will soon be time to consider a fairer, more progressive tax structure for everyone.

Mr. Paterson has delivered the tough talk. Now Albany’s lawmakers have to do their jobs quickly. It is the only way to keep the state afloat.

And some details, courtesy of the Tax Foundation:

The Facts on New York’s Tax Climate

July 1, 2009

Here are some basic facts on New York’s tax system and how it compares to other states:

New York’s State/Local Tax Burden Second-Highest in Nation

During the past three decades New York has consistently had one of the nation’s highest state/local tax burdens, ranking first or second every year since 1977. Currently estimated at 11.7% of income, New York’s state/local tax burden percentage is the 2nd highest nationwide, well above the national average of 9.7%. New Yorkers pay $6,419 per capita in state and local taxes.

New York’s 2009 Business Tax Climate Ranks 49th

New York ranks 49th in the Tax Foundation’s State Business Tax Climate Index. The Index compares the states in five areas of taxation that impact business: corporate taxes; individual income taxes; sales taxes; unemployment insurance taxes; and taxes on property, including residential and commercial property.

New York’s Individual Income Tax System

New York’s personal income tax system consists of seven brackets with a top rate of 8.97%, kicking in at an income level of $500,00. Among states levying personal income taxes, this top rate ranks the state 8th highest nationally. New York’s 2006 individual income tax collections were $2,003 per person, which ranked highest in the nation. 

But obviously the solution to all of New York’s problems is simply to raise taxes.

This is the kind of economic thinking that has gotten the New York Times company where it is today.

This article was posted by Steve on Friday, October 16th, 2009. Comments are currently closed.

9 Responses to “The NYT Wants NYS To Raise Its Taxes”

  1. Reality Bytes says:

    Hey if it makes so much sense, why don’t they raise the price of their rag & see what happens.

  2. wirenut says:

    RB. Nobody pays for third rate A**wipe. I would rather cleanse with a brick than pick up a NYT! That goes for the pets too!

    • beautyofreason says:

      I prefer the Village Voice, wirenut. At least that paper is free and I can use it as a drop cloth under my easel.

      As for the NYT, it might be an economical alternative to toilet paper which goes for $2.00 a roll at the grocer on my street – but I can’t fathom giving money to the slimes.

    • Reality Bytes says:

      Wire, so, you’re saying Albany is any better? Exactly my point. If NYS should raise taxes then The Slimes should follow suit as well. Their both in dire straits & if what’s good for the goons are good for the transgender, then I think they should go for it.

  3. Rusty Shackleford says:

    It has often been said that politicians opt for new and higher taxes because that presents the least danger to their getting re-elected. Although I can see that argument as legitimate in one sense, it is obviously against the premise as to WHY they get elected in the first place.

    George Bush 1 fell “victim” to this very thing.

    But as astute a youngster as I was, it wasn’t until college that I was presented with the reason why costs go up and why taxes are levied and new ones come around. The government simply cannot say “no”.

    They are, and have been, the biggest enablers in the history of enabling. Although attempted in dribs and drabs, with the welfare reform program signed by Clinton…and the obvious reusults, more people looking for (and finding) work and less on the public payroll, the idea of simply cutting off spending to things that are a financial black hole (pun intended) are never considered. To do so would be political suicide on the basis of it being: racist, politically incorrect, insensitive, unfair, unjust, biased, singled out, disruptive, cruel, etc.

    The really hard choice, the choice to demand that welfare reform get investigated and enforced would result in those politicians being raked over the racism coals for all eternity.

    Is there an answer? Yes, but it means electing officials who do not fear not getting re-elected (as in: term limits).

    Then, those who are able to work but refuse, can either sign up for jobs that the government needs done in order to get paid, or, do without. Still no law against homelessness.

    If we could just get elected officials to abide by and understand the Constitution we might stand a fighting chance. But this is where….as of this past election, I have lost most of my hope. To me, Obama is the cat lady. Yeah, living in the house with hundreds of smelly, messy, mooches that reproduce arbitrarily and often, and the entire household suffers and does without in order to feed the useless, smelly mooches. But the minute you say “no”, the nutso cat lady has a hissy fit and accuses you of the aforementioned crime of insensitivity.

    Not the greatest analogy but the point is made. Nothing else gets done because all effort is given to provide for something that gives nothing in return. Eventually, the powers that be have to come and take all the cats away (mostly to be destroyed) and the cat lady taken to an institution for help.

    But who’s gonna rid us of all the cats? Who’s gonna take the cat lady away?

  4. proreason says:

    Politicians are con artists. It’s that simple.

    They create a “problem”, promise to “fix it”, pass something they can pretend fixes it for “no cost”, and then later, get it paid for by raising taxes, usually in deceiptful ways that hide the burden from the citizens.

    A very large portion of what government does isn’t necessary for the government to do. What the government does do is always inefficient. And it always costs much much more than it should.

    But policiticians are by nature and by trade, con artists. So they are masters at creating new crises, lying about what they did last year, and making spectacualar new promises this year for yet more things that don’t need to be done.

    That’s why they should be thrown in jail for life.

    And poor Paterson, by apparently telling the truth for probably the first time in his life has sealed his death warrant. There will be thousands of other con artists swarming to paint new lies for the citizens of New York tomorrow. They will dance on his grave as the lives of the citizens of the state swirl into the cesspool of dependency.

  5. Rusty Shackleford says:

    But policiticians are by nature and by trade, con artists. So they are masters at creating new crises, lying about what they did last year, and making spectacualar new promises this year for yet more things that don’t need to be done.

    I think you just described the car sales profession.

  6. Media_man says:

    Voters get the leadership they deserve & sometimes better.

    In the case of New York state, I can’t work up much sympathy for these folks. They keep re-electing liberal Democrats to office, so they better fork up dough to keep the public sector unions afloat. I can’t understand the political dynamic that maintains this sorry state of affairs. I guess the people with money move to Florida & the rest of the voters believe they benefit from the welfare state, so they continue to cast their votes for tax & spend politicians.

    And when the state runs out of money, they can look to their Democrat allies in D.C. for a bailout.

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