MTA Tax

Just some info on the MTA tax and its effect on Putnam County

Projected financial impact on Putnam County.
895,438,000 x .0034 = 3,044,489.20 excludes self employed (Total Put Co 2006 Payroll)

cty paid 17,778,631in 2007 x .0034 = 60,447 (total govt payroll)

total estimated tax burden of MTA Tax: $3,104,936 (excludes self employed)

MTA tax is unfair burden on local businesses – being asked to subsidize inefficient activity of MTA without any explanation by the MTA of where the money is going.

No accountability or transparency – MTA budget does not reflect the leaner times – everyone else being asked to do more with less

Mortgage Tax currently pays for MTA – now they are looking for additional sources of funding because the mortgage tax revenues are down – should be tightening their belts just like the real estate, mortgage and legal professionals are already doing.

Tax will take millions of dollars out of the hands of local independent businesses (mom and pops), schools, hospitals and charitable organizations

The language in the law that states “An employer is prohibited from deducting from the wages or compensation of an
employee any amount that represents all or any portion of MCTMT.” is naive – businesses, unlike the MTA, cannot count on external bailouts and must balance their books every year. Businesses will compensate for the added tax burden by hiring fewer employees, making less raises/bonuses, offering fewer services, etc.

The MTA tax adds an additional layer of regulation on already-burdened small businesses. Somebody has to account for the amounts deducted from the business’ ledgers – this adds time and expense.

Services remain relatively sparse in Putnam County from the MTA.

Putnam has no real representation to look out for its interests with the MTA.

Form your own opinion.

~ by jennifermaher on June 26, 2009.