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Who cares
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Sponsors
2 Co-sponsors
History
- Print number 6312a
- Amend (t) and recommit to finance
- Notice of committee consideration - requested
- Reported and committed to finance
- Referred to investigations and government operations
- Referred to rules
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Changes the rate of the metropolitan commuter transportation mobility tax
In Assembly Committee · Ways And Means · Sponsor Fred Thiele
Full text
The text isn't available here yet. Check nysenate.gov.
Sponsor's memo
Title of bill
An act to amend the tax law, in relation to the rate of the metropolitan commuter transportation mobility tax; to amend chapter 25 of the laws of 2009, amending the tax law and the administrative code of the city of New York relating to the metropolitan commuter transportation mobility tax, and the education law, in relation to the imposition of such tax upon and reimbursement thereof to public and private elementary and secondary schools
Purpose or general idea of bill
This legislation lowers the amounts of the MTA payroll tax for the seven MTA Counties not constituting the City of New York as well as exempts sole proprietors making under $100,000, as well as exempting BOCES as well as all non public and private elementary and secondary schools.
Summary of provisions
Section 1 lowers the MTA Payroll tax in the counties of Dutchess, Orange, Putnam, Suffolk and Rockland to .093 percent, and lowers the MTA Payroll tax to .2265% in Nassau and Westchester counties. This section also exempts self employed individuals who make under $100,000 a year. Section 2 exempts all BOCES as well as non public and private elementary and secondary schools from the MTA payroll tax. Section 3 Includes in the definition of school district language pertaining to non public and private elementary and secondary schools. Section 4 is the effective date of this legislation.
Read the full memo (677 words)
Justification
The MTA payroll tax places an equal tax burden on all of the 12 MTA Counties. This equal tax burden is unfair as the Counties outside the City of New York do not have equivalent services as the 5 boroughs. In the 5 boroughs the MTA provides service via Trains, Buses and Subways, while also the vast majority of residents and businesses make use of these services. Nassau County has buses and trains provided by the MTA, also ridership in Nassau County is higher than those of the other non New York City MTA counties. This high percentage of ridership is also true in Westchester County where the MTA provides train service. The Counties of Dutchess, Orange, Putnam, Suffolk and Rockland all only have access to trains, as well as smaller riderships. This legislation seeks to more equitably charge the MTA payroll tax by continuing the tax rate as is in the 5 boroughs, while reducing it in the remaining 7 MTA counties in 2 different amounts based on services provided and ridership. Further this bill also protects hard working sole proprietors making under $100,000 who without this change in law are unjustly being forced to pay a payroll tax, when they are the only individual on the payroll. Under the current MTA Tax public schools are reimbursed for their expenses incurred by this tax, while excluding non public and private schools. This bill enables all BOCES as well as non-public and private elementary and secondary schools to be entitled to the same reimbursements as public school districts.
The MTA can take cost saving measures to help make up for the fiscal impact of this bill. In fact an October 2004 report put out by the New York State Comptroller identified 2,746 workers which had a total budget of $708.9 million, which were shown to be in various redundant positions. This is but one example of which the MTA should be implementing, to mitigate this tax.
Legislative history
New Bill.
Fiscal implications
This legislation would save Dutchess county approximately $12.69 million, Nassau County approximately $40.4 million, Orange county approximately $11.35 million, Putnam County approximately $2.67 million, Rockland County approximately $7.31 million, Suffolk County approximately $71.44 million, and Westchester County approximately $34.39 for a total savings of approximately $187.54 million. Further this legislation would cost approximately $5,650,000 for the reimbursement for private and non-public schools.
Effective date
This act shall take effect on January 1, 2010, however if this act shall become a law after such date it shall take effect immediately and be deemed to have been in full force and effect after January 1, 2010.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.