NY Senate to Disallow Tax Increases on Businesses and Provide Maximum Benefits for Unemployed New Yorkers

By Yehudit Garmaise

State Sen. Simcha Felder and the Senate Democratic Majority passed legislation yesterday that will provide financial relief to both small business owners and unemployed New Yorkers.

First, the number of New Yorkers who filed unemployment claims throughout the pandemic increased dramatically, as businesses struggled to keep their doors open.

The increased unemployment claims could significantly increase taxes for New York businesses, however state Sen. Simcha Felder and the Senate Democratic Majority remain firm in their commitment to relieve the tax burden on businesses statewide.

Yesterday, the NY Senate passed legislation that will disallow any increases in unemployment insurance taxes for businesses across the state for the 2022 and 2023 fiscal years. 

The new law, which was introduced by state Sen. Anna M. Kaplan (D-North Hills) will save employers who are still struggling to recover economically thousands of dollars, state Sen. Felder said.

Without increasing taxes on businesses, the new legislation, at the same time, increases the maximum unemployment benefits workers who have lost their jobs can receive.

“This important legislation will provide much-needed relief from dramatic increases in unemployment insurance taxes at a time when businesses can afford them the least,” said state Sen. Felder. “This legislation also provides a sensible increase to unemployment benefits, which are lifelines to families who are struggling to buy food and other necessities.

“As people everywhere struggle with COVID-19’s resulting economic crisis, this measure will help both small business owners and unemployed New Yorkers when they need it the most.”