Tax & Budget

New York City Taxes Ripe for Reform

January 13, 2015. The City of New York taxes its wealthiest residents much less than middle- and low-income residents, and state and local officials should fix three major City tax breaks that expire this year, according to a new report from the Fiscal Policy Institute (FPI). In a sweeping report that reviews decades of tax changes and trends, FPI pinpoints inequities, tallies the cost of broken tax breaks, and urges tax reforms that reflect today’s economy and current challenges. A … (read more)

Mayor de Blasio Can Make Lasting Change with Nonprofit Living Wages and Career Opportunities

December 16, 2014. In recent years, there have been increased conversations at both the City and State level to address growing wage inequality through the provision of a living wage. However, one important segment of the workforce historically has been left out of these conversations– nonprofit employees. This op-ed by Jennifer Jones-Austin, CEO/Executive Director, Federation of Protestant Welfare Agencies and James Parrott, Deputy Director and Chief Economist, Fiscal Policy Institute describes how the Social Services Career Ladder project will address … (read more)

Fiscal Policy Institute Names Ron Deutsch as Interim Executive Director

November 17, 2014. The Board of Directors of the Fiscal Policy Institute announced today that it has appointed Albany veteran Ron Deutsch as Interim Executive Director effective immediately.

After a year of dedicated service, Dr. Frederick G. Floss has decided to return to his position as professor of economics and finance at Buffalo State College but will continue to work with the organization as a Senior Fellow.

“Income inequality and tax fairness will be two of the most important issues … (read more)

FPI proposes a tax on the most expensive NYC pied-à-terre residential units

September 22, 2014. By James Parrott, FPI Deputy Director and Chief Economist.

Introduction

In the context of the continued global concentration of income and wealth, a growing number of ultra-luxury residences in New York City are being bought by people who are not full-time city residents. For many such owners, a Manhattan pied-à-terre is one among several residences they own around the world for occasional use. Some owners see it as an investment, or simply as a place to park … (read more)

70% of Fortune 500 Companies Use Offshore Tax Havens

June 9, 2014. In 2013, 70% of Fortune 500 companies used tax havens. More of these companies were based in New York than in any other state, depriving New York of considerable tax revenue.

The practice of “booking profits” in foreign countries where there are few or no taxes is examined in a new study released yesterday by U.S. Public Interest Research Group (USPIRG) and Citizens for Tax Justice (CTJ), “Offshore Shell Games 2014: The Use of Offshore Tax (read more)

NYS Can Help Low-income Working Families with Children by Increasing its Earned Income Tax Credit

May 20, 2014. It comes as no surprise to working families that New York State’s tax system is fundamentally unfair. Low- and middle-income workers pay, on average, a much higher share of their income in state and local taxes than the highest income earners. According to analysis by the Washington, D.C.-based Institute on Taxation and Economic Policy, the 40% of New York’s tax filers with the lowest incomes pay at least 10% of their income in state and local taxes … (read more)

De Blasio Pulls Off Deft Budget-Balancing Parlay

May 19, 2014. In this op-ed in The Chief, James Parrott discusses Mayor de Blasio’s Executive Budget and the impact of the UFT labor settlement.… (read more)

Statement on New York City Budget Accounting Action

May 12, 2014. Today’s joint announcement by Mayor de Blasio and Comptroller Stringer clarifies a City budget accounting question regarding an obligation the City incurred in connection with the recent labor settlement with the United Federation of Teachers.  The payments in question pertain to UFT members retiring after June 30, 2014 and cover wage increases for the first two years (2009 and 2010) of the recently settled contract.

Officials of both the Mayor’s and the Comptroller’s offices have confirmed that … (read more)

Another View on Mayor de Blasio’s FY 2015 New York City Executive Budget

May 9, 2014. Understandably, much of the commentary on Mayor de Blasio’s FY 2015 Executive Budget has dealt with the financial impact of the recent UFT contract if applied across the entire 350,000-person unionized city workforce.  It is, afterall, by far the most significant labor deal in City history, potentially affecting the entire workforce for 7 years, and 150,000 of those workers for an additional two years going back to 2009 and 2010.

Some observers can’t quite grasp that Bill … (read more)

The Significance of the TWU and UFT Labor Contracts

May 7, 2014.

This commentary by FPI’s James Parrott on the new New York City labor contracts was requested by CUNY’s Joseph S. Murphy Institute and appears on their new blog.

For the first time in nearly five years, major labor agreements were recently reached covering public sector workers in New York City. On April 17, Transport Workers Union (TWU) Local 100 concluded a new 5-year contract dating from January 2012 covering 34,000 workers at the Metropolitan Transportation Authority (MTA), … (read more)