Take action: Tell your lawmaker it's the worst time for small business taxes to rise
NFIB is urging New York State elected officials to take action on unemployment insurance (UI) before tax increases take effect in the spring of 2021. Without action, small businesses could see tax increases from $200 to $1,000 per employee depending on an employer’s experience rating. This could not come at a worse time for New York’s small businesses that are already struggling with decreased consumer demand, depleted savings accounts, sinking revenue, and hefty loans due to the pandemic and resulting statewide economic shutdown.
State-mandated shutdown orders forced thousands of small businesses to close their doors in the interest of public health, and many had to lay-off workers through no fault of their own. The lay-offs negatively impact an employer’s experience rating, resulting in higher UI taxes. Additionally, New York State’s UI trust fund has paid out nearly $40 billion in benefits and the state has already borrowed nearly $8 billion from the federal government. The depleted UI trust fund and borrowing money trigger an across-the-board UI tax increase for all employers.
With thousands of small businesses on the brink of collapse and fighting for survival, the UI system cannot be replenished through higher taxes on Main Street businesses. Now is the time for Albany to act to prevent these astronomical tax increases from taking effect in 2021.
We need your help to deliver this message to Albany! Please take a moment to contact New York State lawmakers today. Your voice is needed now more than ever in Albany.