Statement on Tax Relief Commission

ALBANY, NY (12/10/2013)(readMedia)-- "The recommendations of Governor Cuomo's Tax Relief Commission contain several provisions strongly supported by The Business Council of New York State. These include a significant restructuring of the corporate franchise tax, broad-based business tax rate reductions, and expedited business relief from the "Section 18-a" assessment on energy purchases. The proposal also includes an income tax credit targeting manufacturers, based on the amount of real property taxes paid in New York state - a mechanism that focuses this credit on employers with significant in-state investments.

"The Business Council applauds Governor Cuomo's leadership to bring about meaningful tax reform for New York businesses. This package will provide significant tax relief to employers statewide. In a state with numerous tax challenges, this is a significant, encouraging step forward. We will continue to work to improve the state's economic competitiveness and advocate for tax and regulatory relief as well as administrative reforms that improve the state's economic climate.

"When fully implemented, the package will provide about $500 million in permanent, annual business tax relief, as well as an estimated $100 million in business savings from expedited phase-out of energy assessments over the next two years.

"The business tax reform component also includes a merger of the state's corporate franchise tax and bank tax, which will extend income apportionment methodologies that benefit businesses with significant jobs and capital investments in New York state. This proposal contains other technical reforms broadly supported by Business Council members.

"The report also recommends significant reforms to the state's estate tax, including a higher exemption and a lower top rate. Fully implemented, this will produce $600 million in permanent, annual tax reductions that will benefit small business and farm owners, and help retain wealth in communities across New York state.

"As a member the Governor Cuomo's New York State Tax Relief Commission, I was honored to serve with former Governor George Pataki and former state Comptroller Carl McCall to create a plan that will make a real difference for businesses in our state. The Business Council looks forward to working with Governor Cuomo and leaders in Albany to implement the Commission's recommendations."

Tax Relief Commission Report