In Albany, Taxes and Red Tape Seize Spotlight in Addressing Housing Crisis

Herrick Partner and Chair of the Tax Department, Louis Tuchman, was quoted in the Commercial Observer in an article discussing how lawmakers in Albany "have very different ideas over how to reduce the cost of living and ensure New York state can continue growing." The debate includes the issue of whether to raise income taxes for city residents earning over a certain threshold as well as to raise the state's corporate tax rate. The governor currently opposes either tax increase arguing that higher tax rates may compel wealthy residents and corporations to relocate to other states. 

Noting that that a corporate exodus would put additional pressure on the city’s commercial real estate market, Louis stated, “[p]eople feel they can work remotely much more effectively than they could 10 years ago. More and more businesses are looking to structure their operations in ways of minimizing their work in New York. I’m not saying it’s right or wrong, but it’s incorrect to say these decisions have no impact on the tax base.” 

Read the full article in the Commercial Observer here. Access may require a subscription.