Politics on the Hudson

Political news in the Lower Hudson Valley, New York state.


Courts deal setback to tax collection plan

Posted by: Nick Reisman - Posted in Uncategorized on Sep 01, 2010

On the heels of Tuesday’s federal court ruling, a state Appellate Court ruled today that New York cannot collect the $4.35 tax on cigarettes sold on all Indian reservations.

The dual rulings come on the day New York planned to collect taxes from cigarettes sold to non-tribal people on reservations, a long sought source of revenue for the cash-strapped state. New York expects to receive as much as $200 million from the tax.

The Seneca and Cayuga people are also suing the state in federal court challenging the legality of the measure, which was approved earlier this year.

The two delays in collecting the tax is a setback to Gov. David Paterson’s plan to collect the money from the wholesale distributors of cigarettes onto reservations. Retail lobbyists have pushed the governor and the state to follow through on the plan after a tax increase on cigarettes sold elsewhere was went into effect on July 1.

Seneca officials approved of the state court ruling today.

“We are extremely relieved that now all Indian nations within New York are protected from the State’s collection efforts, while efforts continue in both State and Federal Courts to continue our challenge of the State’s misguided taxing scheme,” said Seneca Nation of Indians President Barry E. Snyder Sr. in a statement.

Assembly Minority Leader Brian Kolb, R-Canandaiuga, Ontario County, said in a statement the federal court ruling was a “slap in the face” to upstate.

“Delaying our state from enforcing the law and collecting the tax – whether the delay is for two weeks, two days, or two hours - constitutes justice denied for Upstate, especially given the fact that the United States Supreme Court already has authorized the collection of taxes on cigarettes sold on Native American lands to non-Native American Indians,” Kolb said.

 
 
 
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2 Responses to “Courts deal setback to tax collection plan”


  1. robert

    Assembly Minority Leader Brian Kolb, R-Canandaiuga, Ontario County, said in a statement the federal court ruling was a “slap in the face” to upstate.

    Wow .. really? He must be in a different upstate than I am. I think 90% of the people around here support the indians rights. Smokers, and nonsmokers alike. These albany beauracrats are so out of touch with reality its pathetic. I can only assume he is on the Union payroll like the rest of them. I can feel a lot of anger and resentment growing in the communinty over the way our state handles its affairs. Its over spending, over borrowing, over taxing, over regulating, dysfunctional mess that has been reduced to nothing more than a proxy for the public unions that feed its campaign coffers.

    Assembly Minority Leader Brian Kolb, R-Canandaiuga, Ontario County

    uggh .. what kind of republican are you?

  2. cleanupnynow

    Seems like David Paterson is losing another battle in court.

    David Paterson should just end the misery and just RESIGN NOW.

    David Paterson simply has no ability to govern. In fact, “The Democratic Conference: Organizational and Operational Structure Report” is an eyewitness account of Paterson’s DYSFUNCTIONAL governing nature while Senate Minority Leader.

    http://www.politico.com/static/PPM110_demreportfinal.html

    Paterson’s office was criticized for PATRONAGE, LACK OF LEADERSHIP, INDECISIVENESS and INFIGHTING, set against a backdrop of general CHAOS – in other words the office was a ZOO. Those interviewed in the report indicated that its chief of staff the disorganized Michael Jones-Bey had no management skills, was neglectful in his duties – often boozing it up with staff and coming to the office with a hangover – and should be relieved of his position.

    Amazingly, for running such a DYSFUNCTIONAL CHAOTIC office, the disorganized Michael Jones-Bey was hand picked by David Paterson to mismanage the Division of Minority & Women Owned Business Development (MWBE) at Empire State Development Corporation.

    Now that’s the Paterson Way – being rewarded for your incompetence.

    New Yorkers do not deserve to be punished any further by David Paterson’s presence.

    David Paterson needs to RESIGN NOW – not tomorrow, not next week, not next month but just – RESIGN NOW.



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