Wednesday, August 04, 2010


I know everyone is aware that New York's budget finally passed by now.
The knuckleheads in Albany finalized one of the latest budgets in our state's history Tuesday night. So what did we get after about four months of negotiation overtime?

The approved legislation will raise roughly $1 billion, primarily by incre
asing taxes on clothing and businesses. Isn't that just what we need? I suppose it's nothing compared to whats been pulled out of our schools, hospitals and infrastructure.
For those of you making hundreds of thousands in the stock market; great news! They
resisted adding a new tax that had been proposed for hedge fund employees. Although the hedgefund tax would only seem right, the fear that the 30% of these folks who still live in New York State would flee to Connecticut was to scary.

Why Connecticut? That state is encouraging firms to leave New York, promising a more favorable tax regime, a strategy often seen when local governments race to the bottom to attract business.

In a quote in The Wall Street Journal Tim Selby, president of the 'NY Hedge Fund Roundtable' said it was: “More painful than necessary for the legislature…to come around on this issue. Nevertheless they got to the right result.” He added that he did not think Connecticut was done in its pursuit, and that New York “should be more proactive in developing a better relationship with the hedge-fund community.”

A portion of the very people who helped bring on the financial collapse to Wall St, got their way. How will the state close the gap? By increasing its revenue share from video gambling machines, and allow New York’s casinos to stay open longer.

Kinda funny to contrast the blue collar gambling in casinos and the white collar gambling on Wall St in the same budget. Having visited Turning Stone a few weeks ago, I'll tell ya...not too many high rollers from Manhattan gambling in those smoke filled Poker Rooms.


Anonymous said...

why would they go to Turning Stones when Foxwoods and Mohegan are closer and nicer? Once again, Ct. wins.

Anonymous said...

I bet Hedge Fund Harry Wilson is thrilled with the Senate inaction on the additional tax. We'll just continue to burden the middle class withtax breaks for the wealthiest 3%.
Who would Harry be watching out for in the Comp office?