For example, the unincorporated business tax and the vault tax should ultimately be abolished. Unfortunately, because our problems this year are so serious, I am recommending that we phase in the Mayor's proposed cut in the commercial rent tax. One of the main reasons we need a long-term plan is to ensure that proposed tax cuts are not constantly put off because of the need to balance the current year's budget. We must also help business by continuing and expanding our efforts to reduce and eliminate red tape. Cutting taxes is one way to make doing business in New York City less expensive, but it is not the only one.
Crime forces businesses to spend billions of dollars on security.
Congestion forces businesses to waste time and money moving people and goods. If New York isn't an attractive place to live, it won't be an attractive place to do business. A major contributor to the high cost of doing businness in the City is the high cost of electricity. The State and City should consider ways to provide access to cheaper electricity that is available from many sources. The City should also provide assistance for growth industries, such as biotechnology and multi-media, to develop the basis for job growth in the future.