New York City Taxes Higher than Elsewhere
From the Independent Budget Office:
This newly issued report, Comparing State and Local Taxes in Large U.S. Cities, updates and expands Taxing Metropolis, an IBO report issued in 2000 that found that local government taxes claimed a substantially greater share of resources in New York City than in other large U.S. cities. Here we extend the analysis to include all overlapping state as well as local government taxes imposed within cities. We find that New York City’s tax bite is still highest among cities with populations over 1 million.
The report also examines how much of New York City’s extra tax burden is due to the exceptional costs of transfer programs—particularly Medicaid—in our state, including the uniquely large share of costs that must be directly funded by local government.
This new Fiscal Brief is included as an attached pdf file, and is available on IBO’s Web site at http://www.ibo.nyc.ny.us/iboreports/CSALTFINAL.pdf.