Opinion: Repeal New York's Unfair Ton-Mile Tax
Over the years, New York state has developed a well-deserved reputation as an unfriendly place to do business. For nearly two years, the New York State Motor Truck Association has been trying to change that image and bring sense and rationality to the way trucks are taxed.
We have a unique proposal to repeal one tax on the industry but increase another to make up for lost revenue. We have been joined in this mission by the Business Council, Teamsters union, Food Industry Alliance and NFIB, all of whom recognize the benefit of repealing New York’s ton-mile tax.
However, as this year’s state budget process drags on through the summer, the economy of upstate is still waiting for this boost to consumers and job-seekers alike.
Major grocery chains, industrial plants and mom-and-pop retail stores all bear the cost of shipping products. The ton-mile tax unnecessarily adds to these costs. Eighty-six percent of all freight movement in the state is by truck. Nearly 100% of what you eat, wear and use every day was, at some point, carried on a truck.
It is not that goods aren’t being shipped into or through New York, but that they are being hauled by out-of-state carriers. These out-of-state truckers do not share equally in the costs imposed on those based in the state.
The New York State Motor Truck Association has proposed the repeal of the ton-mile tax, but at the same time we want to increase registration fees for trucks. We are willing to pay our fair share of taxes, but we don’t want to pay $8 million in administrative costs just to pay our tax bill.
Paying state auditors to travel to Florida or Arizona during the winter and the Jersey shore in May, June or July does not make sense when registration fees can be collected from truckers around the country without tax collectors leaving Albany.
Repealing this tax is good for trucking, good for manufacturing and good for the consumer. We need the ton-mile tax repealed — it just makes sense.
