Hold on to your wallets, here comes the assembly backed by the unions to take more of what you have. Another reason why it is imperative to keep control of the senate. As much as I disagree with a lot of what they do, at least the senate Republicans are trying to stop this insanity.

Plan Would Double Income Taxes for N.Y.’s Wealthiest - May 19, 2008 - The New York Sun
Plan Would Double Income Taxes for N.Y.’s Wealthiest

Days before a state commission unveils its recommendations for imposing a cap on local property tax increases, Assembly Democrats are lining up behind another plan that would distribute money from the state’s wealthiest residents to middle-class homeowners in the form of a property tax cut.

Under a plan advanced by the labor-backed Working Families Party, the wealthiest New Yorkers would see their state personal income taxes more than double.

Marginal income between $500,000 and $1 million would be taxed at a rate of 9.35%. Between $1 million and $5 million, the rate would go up to 10.35%. From $5 million to $10 million, the rate would be 11.85%. Income above $10 million would be taxed at $13.85%, which is more than double the current rate of 6.85%.

Party officials said the tax hike would generate $6.5 billion a year for the state and would apply to just fewer than 100,000 filers.

The money would be used to pay for a property tax break for households with up to $250,000 in gross adjusted income. The plan would give rebates to homeowners when their taxes consume a certain percentage of their income. The rebate would cover 70% of the taxes owed above the percentage cap, which would range between 5% and 9% of income.

The speaker of the Assembly, Sheldon Silver, who supports a tax increase on the state’s wealthiest residents, has not taken a position on the Working Families Party plan. Several Assembly Democrats have indicated their support for the labor party’s proposal.

Senate Republicans have said they would oppose increasing the personal income tax.

A special state commission led by the Nassau County executive, Thomas Suozzi, is expected this week to recommend a property tax cap that would prevent school districts from raising taxes by more than 3% to 4% a year.