Senator Fuschillo Announces Senate Passage of New Job Creation Legislation

Charles J. Fuschillo Jr.

May 31, 2012

2012 NEW JOBS-NY Plan Would Create Jobs, Cut Taxes, and Control State Spending

     Senator Charles J. Fuschillo, Jr. (R-Merrick) announced that the New York State Senate recently passed new job creation legislation which would reward businesses for creating jobs, cut business taxes, and make New York State more economically competitive. Senator Fuschillo supported the legislation in the Senate.

     “Creating jobs and promoting economic development needs to be priority number one at a time when over 103,000 Long Islanders unemployed. Cutting taxes, reducing business costs, and rewarding job creation would enable businesses to invest more money into business development, encourage them to hire new employees, and help our economy grow. This legislation would achieve all of those objectives and is another step in the right direction for New York State,” said Senator Fuschillo.

     The 2012 NEW JOBS-NY Job Creation Plan includes:

     Job-Creating Tax Cuts and Business Development Assistance:

     • Small businesses would see the “small business corporate tax rate” cut from 6.5 percent to 5.2 percent- a reduction of approximately 20 percent.

     • Small businesses that pay under the personal income tax would also receive a 10 percent tax credit if they have at least one employee and a business income of less than $250,000.

     • The 500 percent increase in the 18a assessment that raised utility costs for New Yorkers, which Senator Fuschillo strongly opposed, would be repealed one year ahead of schedule. The tax would be phased out by 2013 instead of 2014 under the plan, helping to reduce energy costs and boost the economy.

     • A new “angel investor” tax credit program would be created to help ensure that promising business start-ups have access to the investment capital they need to grow and expand.

     New Incentives for Job Creation:

     • The “Hire-Now-NY” tax incentive would provide businesses with a tax credit of up to $5,000 for each new job they create. The tax credit would increase to up to $8,000 if the business hires someone off the unemployment rolls.

     • Businesses could receive an enhanced “Hire-A-Vet” tax credit of up to $10,000 if they hire a veteran returning home from military service.

     Regulatory Reform and Taxpayer Protection:

     • Make state agencies more responsive when issuing permits or professional licenses to help improve the State’s economic climate and cut through bureaucratic red tape. State agencies would be required to publicly disclose their response times and how long applicants can expect to wait for approval. If approval takes more than 134 percent of the average processing time, applicants would get a refund.

     • Make it far more difficult for Albany to raise taxes by amending the state constitution to require a two-thirds “super majority” vote, rather than a simple majority, for any tax increase.

     • Enact a cap on state spending to ensure fiscal responsibility and improve the state’s overall economic climate.

     The plan would build on the successes of last year and a half which have helped point New York State back in the right direction, including two consecutive on-time state budgets which closed $13 billion in budget deficits without raising taxes or fees; new job creation and economic development measures; tax cuts for middle class families; and beginning the repeal of the MTA payroll tax.