January 7, 2000
'Upstate Economic Agenda': Repeal of key taxes; tax credits; brownfield incentives
Governor Pataki's proposed "21st Century Upstate Economic Agenda" urges repeal of the state's Gross Receipts Tax on energy.
Additional elements of his economic growth incentive include:
Additional energy tax changes
- Taxation of all energy companies based on net income.
- Repeal of the current utility franchise tax based on gross receipts and dividends.
- Phasing out of excess property taxes imposed on energy corporations.
Initiatives targeting upstate
- Creation of "Upstate High Technology Enterprise Zones" with special tax advantages, including employment credits and R&D credits.
- Authorization of an Upstate Urban Job Creation Tax Credit.
Other tax changes
- Reduction in the state income tax rate on small business from 7.5 percent to 6.85 percent.
- Repeal of the entity-level tax on S corporations.
- Authorization of up to $40 million in tax credits for the clean-up of brownfield sites, to encourage their use as industrial locations.
- Use of state funds to reduce property taxes on rail companies that make a commitment to continued service and capital investment.