New York Gov. Andrew Cuomo said on Thursday that the state may need to increase taxes to fill in budget holes if federal lawmakers do not provide funding to offset losses from the coronavirus pandemic.
"This will be a hole in the financial plan so large that it will be impossible to fill," the governor said during a conference call with reporters. "What would we do to try to fill it? Taxes, cuts, borrowing, early retirements [of government workers]. All of the above."
New York City already holds the top spot for having the highest state and local income taxes, with a total rate of 12.7%, according to the Tax Foundation.
The governor is predicting a long-term deficit of $30 billion from the impact of COVID-19. The deficit for the current fiscal year is $8 billion, according to EJ McMahon of the Empire Center for Public Policy.
🔦 Cuomo has thus far resisted demands to raise taxes on the wealthy, instead holding out for a bailout package for state and local governments.