Yonkers Metropolis Council President Republican endorsed Candidate Ron Matten. Study extra at: www.Ron4Yonkers.com
YONKERS, NY— March 31, 2021 — On Monday. March twenty ninth, the Yonkers Metropolis Council Democrats, led by Council President Khader voted in assist of the biggest tax hike in New York State historical past. The poorly worded decision is ripe with inaccuracies and exaggeration. This SuperTax Plan consists of six payments designed to confiscate $50 billion {dollars} from New York’s economic system.
It raises the tax charges on annual incomes of $300,000. Yonkers is just one of two municipalities within the state which have a private revenue tax. The Yonkers revenue tax price is 16.75% of your New York State tax obligation. This simply makes it dearer to reside in New York State and Yonkers. The end result could be an exodus of high-income earners from Yonkers and the State, leading to much less income over time.
The second proposed disaster could be so as to add a tax surcharge on capital positive aspects. The federal authorities taxes capital positive aspects at a decrease price than bizarre revenue. The justification for that is that the dividends paid to shareholders (homeowners) have already been taxed as soon as and an funding yield doesn’t take into account inflation created by the Federal Reserve. The Democrats on our council are in assist of a surcharge to make the federal capital positive aspects price equal to the earned revenue price. Seniors could be negatively impacted, as they obtain funding revenue into retirement. The wealthy would be certain that they spend lower than 183 days in New York, qualifying as nonresidents and preserving their revenue.
Our democratic pals within the council are in assist of elevating the inheritance tax. That is along with the property tax. Mainly, they’re demanding that the inheritor pay tax on inheritances over $2 million. This might embody a childhood residence or belongings on a household enterprise. How do you keep away from the onerous tax? You merely depart the state.
What number of instances are you able to tax a greenback of revenue? If it had been as much as the democratic council members, at the very least twice. The decision helps a wealth tax. This wealth tax could be a tax on belongings together with inventory, bonds, and company possession. How does one keep away from a penalty for being profitable? Transfer to Florida, Texas, or Nevada.
The Council Democrats assist including a New York State surcharge to New York companies to boost their federal tax charges to pre-Trump charges. I remind you that pre-Trump, the US had the second highest company tax charges on the globe. However this new price would solely affect companies in New York State. Why would a company need to keep in NY and pay a 14% surcharge? What number of jobs would a 14% surcharge price the State?
And at last, our council pals wish to add a transaction tax on each Wall Road commerce. I ought to remind you that our pensions, 401Ks, and retirement accounts are funded by means of inventory and bond holdings. A fund trades these belongings to supply the perfect returns for retirees. This could additionally improve the spreads on the small investor, making buying and selling much less worthwhile. Our pals would have you ever imagine that the center class doesn’t commerce shares and bonds.
This short-sighted decision helps laws designed to trigger the wealthiest taxpayers and job producers to go away the State. This isn’t the “Put money into our New York Act,” however “The Exodus of our New Yorkers Act.” It’s estimated that $34 billion in revenue already left the world throughout 2020.
New York State is receiving $50 billion in rescue funds. The State’s fund stability is definitely $8.5 billion larger than final yr, and revenues are up over projections, with out the rescue bundle. New York State doesn’t have a income downside, however a spending downside, which is usually the case with one occasion rule.
This proposal would give New York Metropolis residents the very best tax burden within the nation. Yonkers, the one different municipality within the State with a private revenue tax wouldn’t be far behind.
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Ronald Matten is the Republican endorsed candidate for Yonkers Metropolis Council President. He resides within the Metropolis of Yonkers.
