Albany (April 15, 2014) – New York has reclaimed its place at
the very bottom of a national economic ranking and it should be a warning to
lawmakers in Albany that the status quo isn’t working, said the National Federation of Independent Business
(NFIB) today.
“The
tax cuts that the Governor proposed this year are pretty narrowly tailored for
manufacturers and corporations, and while small business owners support them this
report should be a reminder to Albany that we’ve got a long way to go before
we’re really competitive,” said NFIB
State Director Mike Durant.
The
American Legislative Exchange Council this morning released its 2014 Rich
States-Poor States Economic Outlook Index, which weighs a number of factors,
including rates, labor laws and regulations.
New York this year ranks dead last among all 50 states, replacing
Vermont at the bottom of the barrel.
“This
is one of many national rankings that signal to business investors that New
York is a really tough place to earn a living by running a business,” said
Durant.
The
report notes New York’s sky-high income, corporate and property taxes. Governor Cuomo this year proposed a budget
that addresses corporate taxes, especially for manufacturers. But on income and property taxes, the Governor’s
program falls short.
“On
taxes we still have two strikes,” said Durant.
“Until our leaders in Albany recognize that punishing income means
punishing work, we’re going to remain at the bottom. Small businesses mostly pay the income tax,
not the corporate tax, and on that side of the ledger we haven’t moved the
needle.
“The
Governor’s budget proposes to freeze property taxes but only for some New
Yorkers based on income,” he continued.
“That means that other New Yorkers, especially small business owners,
will have to make up the difference. A
real economic program would seek to reduce taxes for everyone instead of
picking winners and losers.”
This
year’s Rich State-Poor State ranking doesn’t reflect the Governor’s FY 2014
budget. Next year there may be
incremental progress, said Durant.
“But
we’re not competing with the other basket cases,” said Durant. “Other states, like Indiana and Michigan,
have jumped up sharply in the rankings because they’ve made a decision that
it’s more important to have a big economy than a big government. We need to be in that league, and we’re no
where close.”
To learn
more about NFIB please visit www.nfib.com.
