Cuomo plans NY tax change to avoid $1.5B hit on taxpayers
ALBANY, N.Y. (AP) -- Gov. Andrew Cuomo's top budget official says the Democrat wants to separate the state's tax rates from the federal rates to keep New Yorkers from a $1.5 billion income tax increase.
Budget Director Robert Mujica told lawmakers during Thursday's joint Senate and Assembly budget hearing on taxes that Cuomo plans to detail the proposal in an amendment to the spending plan he released last month.
Mujica testified that Cuomo's move would decouple the state tax code from the federal government's to restore deductibility many New Yorkers stand to lose under the new federal tax overhaul.
The Republican-controlled Senate passed a similar plan last month.
During the four-hour hearing lawmakers also questioned state officials about new taxes and fees included in Cuomo's $168 billion budget proposal.