NYC mayor promote millionaires' tax to help fix transit woes

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NYC mayor promote millionaires' tax to help fix transit woes

New York Mayor Bill de Blasio, a Democrat seeking re-election this year, proposed a tax on the wealthy to pay for repairs to the city's deteriorating subway system.

The new tax proposal could be a hard sell for de Blasio, the Times notes.

Past year de Blasio floated a mansion tax to help pay for affordable housing for seniors.

"I was an invited guest and spoke at the mayor's event because I'm one of four appointees on the MTA board", Vanterpool said, explaining that she supported the mayor's proposal.

Combined with a 2017 federal income tax rate of 39.6 percent, married couples in New York City with incomes in excess of $1 million already pay a combined income tax rate of 50.35 percent, with those over $2 million at almost 53 percent.

The chairman of the state authority, Joseph Lhota, has called for the city and state to split the bill for an $800 million rescue package.

This latest tax hike would also require Albany's approval.

De Blasio on Sunday unveiled an election-year pitch to raise $800 million a year for mass transit by soaking the rich with a almost 14 percent tax increase on high-income Big Apple residents. "There is no doubt that we need a long-term dedicated funding stream", he said.

De Blasio's plan calls for an increase to the city's highest income tax from 3.9 percent to 4.4 percent, an increase of nearly 13 percent.

Cuomo and his newly appointed MTA chairman Joe Lhota, in separate statements issued Sunday, noted that de Blasio's plan would require legislative approval that could take up to a year to garner approval.

"You can't delay an emergency plan to stop delays", said Lhota in a statement on Monday, according to NY1.

Cuomo declared a "state of emergency" for the subway system in June.

For his annual State of the State speech in 2018, Mr. Cuomo's office was exploring how it might introduce different forms of so-called congestion pricing, including fees on for-hire vehicles, according to a Cuomo administration official who was not authorized to discuss the matter publicly. "If the city wants to up its contribution to help shore up the subways for commuters and their families - which we support - it certainly has the means to do that".

De Blasio will still demand that the state pay $8 billion toward the MTA's current capital plan, the paper reported. That new tax rate for would be 4.41 percent and would effect an estimated 32,000 New Yorkers.

John Raskin, executive director of the Riders Alliance, was more receptive.

The new tax would raise about $700 million to $800 million per year, with more than $500 million going toward capital costs for subways and buses and about $250 million for the half-price MetroCard program, city officials said.

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