{"id":197375,"date":"2021-03-09T04:36:43","date_gmt":"2021-03-09T01:36:43","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/federal-pandemic-relief-eliminates-nys-deficit\/"},"modified":"2021-03-09T04:36:43","modified_gmt":"2021-03-09T01:36:43","slug":"federal-pandemic-relief-eliminates-nys-deficit","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/federal-pandemic-relief-eliminates-nys-deficit\/","title":{"rendered":"#federal pandemic relief eliminates NYS deficit"},"content":{"rendered":"

“#federal pandemic relief eliminates NYS deficit<\/strong>”
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The $1.9 trillion COVID-19 relief package passed by the US Senate wipes out New York State\u2019s projected budget deficit \u2014 possibly negating the need for hefty tax hikes or spending cuts, Senate Majority Leader Chuck Schumer\u2019s office said Monday.<\/p>\n

\u201cOk. Thanks to @SenSchumer NYS budget deficit for this year is\u2026..Zero, nada, niete, zilch (NY terms),\u201d Schumer spokes<\/a>man Angelo <\/a>Roefaro tweeted.<\/p>\n

The American Rescue Plan provides state government coffers with $12.6 billion in unrestricted aid, a measure championed by Schumer, the New York senior senator. The measure passed the Senate in a 50-49 vote and is expected to clear the Democratic-led House of Representatives on Tuesday and delivered to President Biden for app<\/a>roval.<\/p>\n

Asked if the geyser of pandemic relief eliminates the needs for tax hikes or spending cuts, Roefaro told The Post, \u201cthe statement speaks for itself.\u201d<\/p>\n

Facing a multi-billion budget gap and a restive left flank in the state Legislature calling for massive tax increases on the rich, Cuomo proposed raising incomes taxes for the wealthiest New Yorkers to a top rate of 10.86%, up from 8.82%. New York City residents well-to-do pay a combined top state and local income tax rate of 14.7%, the highest rate in the nation.<\/p>\n

But one budget analyst said there\u2019s now no need for any tax increases at all with the geyser of federal stimulus funding flowing to New York from Washington.<\/p>\n

\u201cThere\u2019s no need for a tax increase,\u201d said EJ McMahon of the Empire Center for Public Policy, who has long claimed that Cuomo was overstating New York\u2019s fiscal woes.<\/p>\n

He said the income tax on the wealthy proposed by Cuomo as part of his executive budget plan is \u201cno longer necessary.\u201d<\/p>\n

McMahon said the federal aid is so large that it\u2019s enough to avoid major tax hikes for the next two fiscal years.<\/p>\n

Asked about Schumer\u2019s office claim, Cuomo budget spokesman Freeman Klopott referred to the governor\u2019s comments on Sunday, when he said that tax hikes are still on the table despite the influx of funeral funding.<\/p>\n

\u201cIt is on the table\u2026. It is the difference between $12.5 and $15 [billion]. And don\u2019t get me wrong, the $12.5 billion is very, very helpful. But as you know, because I\u2019ve said it a hundred and fifty times, we needed $15 billion in my opinion,\u201d Cuomo said.<\/p>\n

\u201cSo we do have a gap there, and tax increases are on the table. And they\u2019re on the table for the Assembly and the Senate, I\u2019m not speaking for them, they can speak for themselves, but yes, they are on the table, because you have damage to repair.\u201d<\/p>\n

Cuomo expressed concern about what happens when the one-time infusion of federal cash disappears. Spending has increased during the pandemic despite an economic recession triggered by safety lockdown, a drop in tax revenues and massive layoffs.<\/p>\n

McMahon said Cuomo is right to be concerned about what happens beyond the next budget cycle or two. The governor and state lawmakers must craft a new budget by April 1.<\/p>\n

But McMahon is also concerned that Cuomo \u2014 battered and weakened by multiple sex harassment allegations and nursing home scandals \u2014 might acquiesce more to lawmakers\u2019 tax and spending wishes than he has in the past. Prominent Democrats \u2014 including Senate Majority Leader Andrea Stewart Cousins (D-Yonkers) \u2014 are calling on him to resign.<\/p>\n

\u201cThe question is whether he\u2019ll try to buy friends. Folks on the left would love to shake him down,\u201d McMahon said.\n <\/p><\/div>\n