Presidential election year rhetoric may not seem relevant for New Yorkers. After all, the Empire State has supported the Democratic candidate in ten of the last twelve presidential elections. But the policy proposals tossed around this cycle — like hiking the corporate tax rate from 21% to 28% — will hit closer to home than many might realize, affecting families across New York.
Contrary to popular belief, increasing the corporate tax rate hurts everyday workers, especially in high-cost states like New York.
A new report released by The Alliance for Competitive Taxation, or ACT, and the nonpartisan Tax Foundation found that raising the corporate tax rate to 28% would reduce cumulative wages for New Yorkers by at least $2.7 billion annually over the next ten years, with losses potentially reaching as high as $6.5 billion. Each worker in New York would lose up to nearly $800 a year, on average. Those living in New York’s most expensive areas could lose close to double this........