Gov. Andrew M. Cuomo on Monday announced a dramatic drop in state income tax revenue of $2.8 billion, which he says will prompt him to revise his 2019-20 budget and reconsider spending on schools, health care and repairs to roads and bridges.
Cuomo, a Democrat, blamed the shortfall on a federal tax plan backed by Republican President Donald Trump. Cuomo said the law's cap on deductions for state and local taxes at $10,000 was to blame and suggested it is, anecdotally, triggering high-earners to leave New York.
“At this point there is no doubt that the budget we put forward is not supported by the revenues,” Cuomo said at a State Capitol news conference. “It’s as serious as a heart attack.”
Cuomo said he’s not certain what areas might need to be cut, but said the biggest spending areas now are education, health care, infrastructure and another phase-in of a previously approved middle-class tax cut.
The hole in revenues in December, which some analysts have called a December surprise, and continued poor performance in January have created a $2.3 billion drop in anticipated revenues, according to the Cuomo administration. Add that to the $500 million drop in revenues for December that the Cuomo administration had previously projected and the revenue hole is $2.8 billion, according to Cuomo Budget Director Robert Mujica.
More
DelMarVa's Premier Source for News, Opinion, Analysis, and Human Interest Contact Publisher Joe Albero at alberobutzo@wmconnect.com or 410-430-5349
12 comments:
Liberals seeing the cause and effect of poor decisions!
Lololol love it let the welfare whores and rats live with each other.
We have the same cap here in MD...
I expect a similar result!
Hmmmm.....the plan was to tax all of the millionaires in NYC, and they left....now there is no way to recoup the money....AOC and her brainwashed, liberal followers and colleagues are all spouting off about the New Green Deal and a re branded and repackaged form of socialism funded by, who else, the rich. Sooooooo.....what happens when the money runs out, Venezuela?
Cuomo and his Democrat Politians are to blame. He cannot blame it on Pres. Trump. Cuomo and his Democrat have created / multiplied this fiasco by being a sanctuary state and giving away free medical etc. to illegals. Serves NY right. Maryland is next.
It's coming. We are almost there. Big businesses have left - do you remember Campbell's soup company once in Salisbury - now in New Jersey. Where will they move next? MD taxes are high but not as high as NJ.
Anyone recall the success of O'Malley's millionaire tax? Bueller? Bueller?
let happen New York City will be a third world country of its own. Lets see all the people in power and politics cry when there isnt any more money to steal from the people
The Eastern Shore of Maryland should succeed now!
another clueless DEM...what on earth does he expect???
It is not The tax law change. It is that the taxpayers can get the same and better services at much cheaper price.
Saw this coming
Md going down the exact rode people
Wake up
Post a Comment