New York Faces $2.3 Billion Revenue Shortfall

Earlier this week, Gov. Andrew Cuomo and Comptroller Tom DiNapoli announced the state is facing a $2.3 billion revenue shortfall due to a sharp drop in income tax collections for December and January. The Governor attributed the loss of revenues to the capping of the State and Local Tax (SALT) deduction which was included in the federal tax reform legislation of 2017. Cuomo said the he would be making adjustments to this year’s $175 billion-dollar budget proposal which he unveiled in January, but he wasn’t specific where the cuts may come from.