Agreement Reached on New State Tax Rates

Gov. Andrew Cuomo, Majority Leader Skelos, and Assembly Speaker Silver reached an agreement on Tuesday for new state tax rates. 

Under the new tax code, 4.4 million New Yorkers will receive a tax break. Those making over $2 million will be paying the highest tax rate of 8.97 percent, up from 8.82 percent in the 2009 tax code. Middle-class taxpayers would see $690 million in total tax cuts if the new tax rates are approved.

“We are cutting taxes on middle-class New Yorkers and small businesses, which will inject nearly $1 billion into our economy,” stated Gov. Cuomo in a press release. “This would be lowest tax rate for middle-class families in 58 years.”

Under the agreement the state would generate $1.9 billion in additional revenue. The new tax structure will expire in 2014.