As we continue to face uncertain times together our priority in the legislature will always put families first and enact policies that safeguard our communities, take care of our most vulnerable residents and support the workers who make our economy run.  To help all New Yorkers recover and thrive, the 2021-2022 state budget included numerous tax relief measures that will ensure millionaires and big businesses pay their fair share in taxes, created new state tax credits to help small businesses rebuild and reduced taxes for the middle class.

Along with rejecting a proposal to delay middle-class income tax cuts, we implemented changes to provide homeowners save approximately $400 million through a new property tax “circuit breaker.” The policy gives an income tax credit to taxpayers who have lived at the same address for at least six months, have incomes under $250,000, pay more than 6% of their income in property taxes and are enrolled in or eligible for the STAR program. The benefits will be calculated based on the taxpayers’ income and will pay out up to $350 per year. To ensure property taxes are kept in check as well as to better support teachers and students, the 2021-22 state budget increased total school funding by $3.1 billion. Additionally, the budget provides $40 million to extend the low-income housing tax credit for five years.

In order to ensure that the wealthiest New Yorkers pay their fair share in taxes, the budget worked to level the playing field by having millionaires and large corporations pay more. By implementing a fairer tax code, we can ensure that our economic recovery is shared by all – not just the 1%. We also fought to provide relief for small businesses, including $35 million in restaurant return-to-work tax credits for certain independently owned restaurants.

Throughout the pandemic, New Yorkers have come together to support each other, recover and rebuild. In order to maintain this hardworking spirit, we need policies that will support and uplift our families and communities, and the tax relief measures included in the 2021-2022 budget will do exactly that. As we begin our work on the upcoming 2022-23 budget, the we will continue fighting for tax relief and policies that allow New Yorkers to keep more of their hard-earned money.  Finally I am encouraged that Governor Hochul is accelerating the middle class income tax credit which is a start and I look forward to receiving her address this week.

For more information on the circuit breaker program and to see if you’re eligible, visit https://www.tax.ny.gov/

If you have any questions or concerns regarding this or any other community issue, please don’t hesitate to contact my office at mcdonaldj@nyassembly.gov or at 518-455-4474.