Top New York firms that eradicated it through the epidemic are now considering packing their bags of more than $ 7 billion in proposed new state taxes.
Top New York firms that eradicated it through the epidemic are now considering packing their bags of more than $ 7 billion in proposed new state taxes.
At least 20 finance and tech companies are already set to leave for sunny, low-tax Florida, said Kathiran Velde, CEO of the business-backed partnership for New York City.
New York President James Whelan’s powerful real estate board said, “Legislature proposals will take us in the opposite direction by removing the business and tax base.”
If the Democrat-controlled state legislature passed its proposed $ 208 billion tax-and-plan, “New York State would be the most taxed state in the country,” Vayle lamented.
Tech jobs – so easily toggled from “remote” in 2020 – are particularly vulnerable to relocation. “Technology is our most important job creator in New York, and they are already making decisions about not staying in New York,” said Wylde.
Albany pol “seems intent on punishing the rich,” Welde said.
And the cold new tax climate may also mean that high-income New Yorkers who migrate from the city to places like Palm Beach cannot return. “We cannot assume that millionaires and billionaires will return to New York.” Said Vylde.
Big names on Wall Street have already threatened that if Albany implements a stock-transfer tax, proposed in an active bill, they may pack their bags. The state will claim a percentage of the proceeds from the purchase or sale of stock or other security under the measure.
Stacey Cunningham, president of the New York Stock Exchange, said, “While New York remains the center of gravity for the financial industry, many employees of ‘Wall Street’ firms are migrating to Florida, Texas and other states. A Wall Street Journal last month Was written in op-ed.
The New York Stock Exchange is in New York. If Albany lawmakers find their way, however, the center of the global financial industry may need to find a new home, ”she warned.
A Nasdaq spokesman did not provide any message on his plans.
Douglas Sifu, CEO of Manhattan-based high-frequency trader Citu Financial, has called the stock-transfer tax “silly”.
“We have an office in Florida, and we’ll just leave New York State,” he said during a February earnings call. “We will not pay New York State [stock-transfer] Tax.”
Cifu said the Texas legislature is considering a ban on “any type of transaction tax.”
According to reports, Goldman Sachs is considering relocating its asset-management business to Florida, phasing out offices in Palm Beach and Fort Lauderdale. A Goldman representative told The Post Friday, “We are implementing a strategy to locate more jobs in high-value locations across America, but we have no specific plans to announce at this time.”
“Instead of focusing on keeping New York in New York, these irresponsible tax and spending policies will continue to drive our residents out of the state,” said Alexis Weeks, Minister of State for Long Island Republicans.
The exodus may not be limited to asset-light firms, whose workers ply their trades by laptop.
New York’s hometown airline, JetBlue, said in a staff memo obtained by The Post on March 11 that it was “exploring” a set number of roles for existing aid centers in Florida.
Whalen of ReBNY, prophesied a doom through tax increases:
“We have come down this road before. In the 1960s and 1970s, such policies eventually discouraged investment in New York City and led to a lower tax base and fewer resources for the delivery of government services. The results were disastrous – two decades of fiscal problems with rising crime and unacceptable quality of life. “
Leave a Reply