Main financial and technology companies analyzing the exodus from New York due to the proposed tax increase

New York’s top firms dealing with the pandemic are now considering packing their bags for more than $ 7 billion in proposed new state taxes.

At least 20 finance and technology companies are ready to leave for sunny, low-tax Florida, said Kathyrn Wylde, executive director of the business-backed Association for New York City.

“The Legislature’s proposals will take us in the opposite direction by moving away from the business and tax base required to do that,” said powerful New York Real Estate Board Chairman James Whelan.

If the Democratic-controlled state legislature approves its proposed $ 208 billion tax and spending plan, “New York State will be the highest-taxed state in the country,” Wylde lamented.

Tech jobs, which were so easily moved to “remote” in 2020, are particularly vulnerable to relocation. “Technology is our most important job creator in New York right now, and they are already making decisions about not staying in New York,” Wylde said, declining to name names.

Albany politicians appear to be intent on “punishing the rich,” Wylde said.

And the new cold tax climate could also mean that high-income New Yorkers who temporarily fled the city to places like Palm Beach may not return. “We cannot assume that millionaires and billionaires will return to New York.” Wylde said.

The big names on Wall Street have already threatened to pack their bags if Albany enacts a stock transfer tax, which is proposed in an active bill. The state would claim a percentage of the proceeds from each purchase or sale of shares, or other collateral, under the measure.

“While New York remains a center of gravity for the financial industry, many employees of ‘Wall Street’ firms are migrating to Florida, Texas, and other states with hospitable tax policies,” Stacey Cunningham, president of the Stock Exchange from New York, he wrote in a Wall Street Journal op-ed last month.

“The New York Stock Exchange belongs to New York. However, if Albany legislators have their way, the center of the global financial industry may need to find a new home, ”he warned.

A Nasdaq spokesperson did not return a message about its plans.

The CEO of Manhattan-based high-frequency trader Virtu Financial, Douglas Cifu, has called the stock transfer tax “silly.”

“We have an office in Florida, and we would just leave New York state,” he said during an earnings call in February. “We would never pay anything from New York State [stock-transfer] tax.”

Cifu added that the Texas legislature is considering banning “any type of transaction tax.”

Goldman Sachs is considering moving its asset management business to Florida, seeking offices in Palm Beach and Fort Lauderdale, according to reports. A Goldman representative told The Post on Friday: “We are executing on the strategy of placing more jobs in high-value locations throughout the United States, but we have no specific plans to announce at this time.”

State Senator Alexis Weik, a Long Island Republican, said, “Instead of focusing on keeping New Yorkers in New York, these irresponsible tax and spending policies will continue to drive our residents out of the state.”

The exodus may not be confined to asset-poor companies whose workers carry out their trades with a laptop.

New York’s hometown airline JetBlue said in a March 11 memo to employees obtained by The Post that it was “exploring” moving “a number of roles to be determined to existing support centers in Florida.”

REBNY’s Whelan offered a prediction of the end of the world if the tax increases materialize:

“We have traveled this path before. In the 1960s and 1970s, those policies finally discouraged investment in New York City and led to a reduced tax base and fewer resources for government service delivery. The results were devastating: two decades of fiscal problems coupled with rising crime and an unacceptable quality of life. “


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