Albany, NY – March 20, 2009 – (RealEstateRama) — Statement from New York State Association of REALTORS President Daniel J. Hartnett: The New York State Association of REALTORS and its more than 56,000 members strongly oppose any increase to the personal income tax (PIT) and urge lawmakers to make the difficult, yet necessary, decision to cut costs to balance the state’s budget, instead of continuing an overreliance on taxing the residents of this state.
REALTORS across New York understand very well the crippling tax burden Empire State residents face on a daily basis. In addition to paying the highest property taxes in the nation, New Yorkers also bear the burden of the nation’s highest real estate closing costs. Each and every day, New Yorkers are grossly taxed on gasoline, hotel and motel stays, vehicle registrations, telephone service, cable television access, and even to simply drive on our roads – all in addition to high sales taxes.
The plan under consideration by New York’s leaders in Albany would further exacerbate the problem of New York’s state and local governments spending beyond their means, and the ability of their residents to enjoy the fruits of their labor as excessive taxation erodes their standard of living. Increasing the income tax is clearly a short-term approach to a long-term problem that requires drastic overhaul to the state’s method of budgeting.
Just yesterday, state legislative leaders announced that projected tax revenues are expected to be $2.2 billion lower than previously anticipated due to significant declines in personal income taxes caused by job losses, declining wages, a drop in sales taxes due to declining consumption, and reduced revenues in business taxes due to diminishing economic activity and profitability. This clearly demonstrates that in today’s economy imposing additional taxes will not close budget gaps caused by overspending.
New York’s crushing tax burden is a contributing factor to the exodus from our state. In fact according to recent census data, New York was one of only four states that failed to grow in population since 2005. Further increases in taxes and state spending will only make worse New York’s current viscous cycle of loss of industry, jobs and residents, resulting in a decrease in state tax revenue followed by an increase in the overall tax burden on a smaller pool of New York residents.
Albany lawmakers should be adopting policies that seek to promote economic development and attract new businesses and individuals, not give our current residents even more reasons to flee.
The New York State Association of REALTORS is a not-for-profit trade organization representing more than 56,000 of New York state’s real estate professionals. The term REALTOR is a registered trademark, which identifies real estate professionals who subscribe to a strict code of ethics as members of the National Association of REALTORS. These REALTORS are also members of the New York State Association of REALTORS as well as their local board or association of REALTORS.
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Salvatore I. Prividera Jr.
Director of Communications
and Marketing
