Protecting NY’s Prosperity: BCW Joins Statewide Coalition Against Proposed Tax Hikes

The Business Council of Westchester (BCW) recently added its voice to a powerful statewide coalition of 30 trade, business, and research organizations, urging New York’s leadership to reject tax increases in the Fiscal Year 2027 budget negotiations.

In a formal letter addressed to Gov. Kathy Hochul, Senate Majority Leader Andrea Stewart-Cousins, and Assembly Speaker Carl Heastie, the coalition warned that the proposed One-House tax measures would undermine New York’s economic stability at a critical juncture.

While the Governor’s initial Executive Budget earned praise for prioritizing fiscal discipline, the legislative proposals currently on the table represent a sharp pivot toward higher costs. For Westchester’s business community, from global corporations to local freelancers, the stakes couldn’t be higher.

The proposed tax package that the BCW opposes includes:

• Higher Corporate Tax Rates: Increasing the burden on the engines of our local economy.
• Targeting High Earners & Partnerships: Risking the flight of capital and talent to more competitive states.
• R&E Decoupling: A “hidden” tax hike that would retroactively penalize innovation and research, stifling the growth of our tech and biotech sectors.
• Real Estate & Financial Burdens: New taxes on transfers and financial institutions that could stall housing development and investment.

“At a time when affordability remains a top concern and employers are actively deciding where to invest, hire, and grow, this approach risks pushing New York further out of alignment with competing states,” the coalition stated in the letter.

New York cannot tax its way to prosperity. With the state having already raised taxes in three of the last five budget cycles, another round of increases would only serve to make the Hudson Valley—and the state at large—more expensive and less competitive.

Rather than temporary revenue gains from tax hikes, the BCW and its partners are calling for:

1. Structural reforms to control state spending.
2. Incentives for innovation by maintaining federal R&E cost-recovery rules.
3. A focus on the “Economic Ecosystem”—strengthening public safety, quality of life, and job creation.

As budget negotiations intensify in Albany, the BCW remains at the forefront of the fight to protect Westchester’s economic future. We will continue to collaborate with our statewide partners to ensure that the final FY 2027 budget reflects a commitment to a pro-growth, affordable New York.

Stay tuned to the BCW for further updates as we advocate for a budget that works for business.

Click here to read the coalition’s letter.