Cuomo another Democrat who never tried to produce anything other then regulations and government power.

Rate-fink Cuomo in tax-hike powwow

By FREDRIC U. DICKER and ERIK KRISS

ALBANY — Gov. Cuomo met with legislative leaders last night in a bid to hammer out an agreement on raising income taxes in the face of growing opposition, while some Senate Republicans signaled they might be open to backing new revenues, sources said.

Cuomo remains opposed to continuing an 8.97 percent “temporary” state income-tax rate on high-wage earners that’s set to revert to the pre-2009 rate of 6.85 percent Jan. 1.

But he is advocating a series of tax rates above 6.85 percent for “millionaires” that grow progressively higher at $500,000 increments from $1 million to $2.5 million in earnings, the sources said yesterday.

The sources cited a potential 8.82 percent rate under discussion for $2 million earners, coupled with reductions for taxpayers who make under $125,000 and potential cuts in the MTA tax and business taxes.

But the leaders and Cuomo — who famously ran for governor on a pledge toopposenew taxes — hadn’t settled on any numbers as of last night.

In a statement yesterday, Cuomo suggested “multiple brackets and rates increasing on a graduated basis throughout and indexed to inflation.”

“Simply put,” he said, “to me ‘fairness’ dictates that the more you make, the more you pay and the higher your income, the higher your rate.”

He also suggested “tax credits that can incentivize private-sector growth.”

Cuomo is calculating that Republican senators — trying to protect a razor-thin 32-30 majority in an election year — are facing enormous pressure to back a “millionaires tax” that would fund a middle-class tax cut as well as enough school aid and Medicaid funding to hold the line on local property taxes.

But Cuomo also wants to prod early agreement on new revenues in the face of as much as $3.8 billion in deficits over the next 16 months, in part to avoid having to shoulder the responsibility himself next month.

“If the governor doesn’t get an agreement with the Legislature now, he’ll be left alone holding the bag in January, when he’ll have to present his budget to the Legislature with recommendations on how to close the budget deficit,” said a source close to the administration. “If he can get them to agree before then, it’ll make the process a whole lot easier and less politically risky for him.’’

Mayor Bloomberg, the state Conservative Party and business advocates suggested the state needs to control spending before raising taxes.

“You cannot tax your ways out of problems,” Bloomberg said. “You’ve got to get your expenses under control.”

State Conservative Chairman Michael Long, whose party provides key support to Senate Republicans, sent a letter yesterday to state Senate Majority Leader Dean Skelos (R-LI), urging him to resist any new taxes.

“New York has a spending problem that will not be resolved if any attempt to increase taxes is done when you return to Albany this week,” Long wrote.