Gov. Andrew Cuomo on Sunday called for a 4 percent small business tax cut and a student loan forgiveness program, the latest in a flurry of proposals as he unveils his 2015 agenda.
The tax cut would lower the rate for small businesses from 6.5 percent to 2.5 percent over a three-year period. When phased-in fully the cut would reduce overall taxes by about $32 million for 42,000 taxpayers. The new rate, if approved by lawmakers, would be the lowest paid by small businesses since the tax was imposed in 1917.
“Small businesses are the engine of opportunity,” Cuomo said in a statement announcing the proposal.
Cuomo has announced several proposals in recent days as he prepares to deliver his state of the state address on Wednesday, the same day he’ll unveil his proposed state budget.
Also Sunday Cuomo announced a $43 million student loan forgiveness program which would help a projected 7,100 graduates. The program would ensure that the first two years of a borrower’s repayments are covered after they graduate.