Tax & Budget

New York’s Millionaires Will Get a $12 Billion Federal Tax Cut Next Year

Download PDF   On July 4, 2025, President Donald Trump signed into law the federal reconciliation legislation known as the “One Big Beautiful Bill Act” (OBBBA), which enacted $4.5 trillion of tax cuts and reduced federal outlays for Medicaid and SNAP by $1.2 trillion. Democrats have decried the bill as tax cuts for billionaires while Republicans have defended it as middle-class tax relief. The Fiscal Policy Institute has previously analyzed the national distribution of the OBBBA’s benefits, finding that the act broadly benefits the [...]

2025-11-20T11:41:34-05:00November 20th, 2025|Fact Sheets, Featured on Home, Tax Policy|
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Governor Hochul Commits $106 Million to Fighting Hunger During Federal Shutdown

With the federal shutdown entering its thirtieth day, it is now expected that federal funding for SNAP benefits (food stamps) will run out at the end of October. This morning, Governor Hochul announced an additional $65 million in funding for charitable food assistance, bringing overall state funding for emergency food assistance to $106 million. We commend the governor for her efforts to keep New Yorkers fed while the federal government gambles with human lives. The best way to ensure that the forty-two [...]

2025-10-30T12:46:55-04:00October 30th, 2025|Blog, Featured on Home, Social Policy, State Budget, Statements|
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New Data Confirm Tax Flight Is A Myth

New York State often faces calls for higher tax revenue, whether due to concerns over revenue shortfalls or a desire to increase public spending. This brief assesses the soundness of raising revenue through the Personal Income Tax, examining the fiscal stability of such revenue, fundamental fairness considerations, and responses to common arguments against raising the state income tax.

2025-10-10T11:44:10-04:00October 9th, 2025|Economic Trends & Policy, Featured on Home, Migration, Policy & Research, Reports, Briefs and Presentations, Tax Policy|
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FPI Briefing on the Federal Budget Reconciliation Bill

The OBBBA spending cuts are concentrated in Medicaid and food stamps (SNAP), with devastating effects for New Yorkers. The bill will cut federal funding to the  New York State budget by approximately $10 billion annually and kick 1.5 million New Yorkers off their health insurance, more than doubling the statewide uninsured population. On top of the direct fiscal costs to New York State, the OBBBA will cut an additional $13 billion in funding to New York’s healthcare system.

2025-07-15T21:20:21-04:00July 10th, 2025|Blog, Featured on Home, Policy & Research, State Budget, Tax & Budget|
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Financial Plan Analysis of FY 2026 Enacted Budget

On Friday, June 13, New York State’s Division of the Budget released its financial plan for this year’s enacted State budget. The financial plan forecasts a national economic slowdown over the next four years as well as dramatic federal budget cuts. These forecasts indicate that the State will likely need to implement tax increases to manage the fallout from federal economic and fiscal policy.

, 2025-06-16T01:04:58-04:00June 16th, 2025|Financial Plans & Cash Reports, State Budget|
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New York Will Lose $15.4 Billion Per Year Under The “One Big Beautiful Bill Act”

The OBBBA spending cuts are concentrated in Medicaid and food stamps (SNAP), with devastating effects for New Yorkers. The bill will cost the New York State government $15.4 billion annually and kick 1.5 million New Yorkers off their health insurance, more than doubling the statewide uninsured population.

2025-06-05T14:57:05-04:00June 4th, 2025|Featured on Home, Policy & Research, State Budget, Statements|
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Budget Breakdown: Fiscal Year 2026 Enacted Budget

The Enacted Budget, while it contains few significant new policy initiatives, allows state spending to recover some of the lost ground from a decade of austerity policies in the 2010s. The most important policy measure in the budget is a long overdue increase in unemployment insurance benefits that will better prepare the State economy for a possible recession (discussed in detail below). The bad news is that the Enacted Budget contains serious fiscal errors, including permanent tax cuts and one-time payments that will cost $3 billion in fiscal year 2026 alone.

2025-06-05T14:46:55-04:00May 14th, 2025|Featured on Home, State Budget, Tax & Budget|
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