Weighing Two Plans in Albany Budget Fight
(NYT) — New legislation proposed by state lawmakers would temporarily eliminate a sales tax exemption on clothing, expand hours for video lottery machines and require online travel companies to collect sales taxes on hotel rooms — measures that the lawmakers said were needed to finalize a state budget.
The legislation, which Democratic leaders in the State Senate and Assembly drafted late Saturday after negotiations with Gov. David A. Paterson broke down again on Friday, will also subject the earnings of hedge fund managers who work in New York State but live elsewhere to the state’s income tax. The bill would also cap or delay an array of business tax breaks and shorten the period after which the state can seize abandoned property. Legislative officials estimated that this would raise $200 million.
