MTA Payroll Tax Struck Down

Judge R. Bruce Cozzens on Wednesday said the tax "does not serve a substantial state interest"

Wednesday, Aug 22, 2012  |  Updated 10:04 PM EDT
View Comments (
)
|
Email
|
Print
MTA Payroll Tax Struck Down

Getty Images

advertisement

A New York state supreme court judge has ruled that the Metropolitan Transportation Authority's controversial payroll mobility tax is unconstitutional.

Judge R. Bruce Cozzens on Wednesday said the tax "does not serve a substantial state interest" and therefore needed home rule messages, which allows the state to engage in local matters.
 
The tax charges employers in the metro region 34 cents for every $100 of payroll. It was passed in 2009 to avert service cuts as the MTA faced a record deficit.
 
The ruling was a victory for Nassau County which had filed suit against the state legislature for enacting the tax.
 
The MTA, which operates the Long Island and Metro-North railroads, and the New York City transit system, says it "will vigorously appeal" the ruling.
 

Get the latest from NBC 4 New York anywhere, anytimeiPhone/iPad App | SMS AlertsTwitter | Facebook | Google+ | Instagram | RSS

Get the latest headlines sent to your inbox!
View Comments (
)
|
Email
|
Print
Leave Comments
What's New
Follow us on Instagram!
We post photos taken by our news team... Read more
Follow Us
Sign up to receive news and updates that matter to you.
Send Us Your Story Tips
Check Out