Ranzenhofer joins colleagues to unveil Family Tax Relief Act
- Restores STAR rebate checks for millions of New Yorkers
- Increases tax credits to help struggling middle-class families
Albany, N.Y. – State Senator Michael H. Ranzenhofer (R, C, I – Amherst) joined members of the Senate Republican Conference today to unveil the Family Tax Relief Act. The plan would restore the STAR property tax rebate check program and increase tax breaks that have not kept pace with inflation for more than 25 years.
"New York homeowners pay some of the highest property taxes in the nation. While the tax cap has been slamming the door on spikes in property tax increases since being enacted two years ago, more still needs to be done to help middle-class families and seniors on a fixed income. Restoring the STAR rebate check program will deliver hundreds of dollars in property tax relief to the average New York homeowner,” said Ranzenhofer.
The Family Tax Relief Act would also double the value of the Dependent Exemption; increase the Child Tax Credit; provide an additional $500 child tax credit; and increase the value of the Dependent Care Credit.
The current $1,000 value of the Dependent Exemption was last updated in 1987. At that time, a gallon of gasoline was 89 cents and a first-class stamp was 22 cents. Since then, inflation has reduced the value of the Dependent exemption to essentially nothing. The Family Tax Relief Act would adjust many similar family tax credits after their value has been eroded significantly over the years.
“Middle-class families are struggling with soaring prices for health insurance, college tuition and gasoline, while many of the tax credits and exemptions haven’t been able to keep up. The Family Tax Relief Act has the potential to give a major economic boost to New Yorkers by increasing tax breaks that have not kept pace with inflation,” said Ranzenhofer.
For a family with an annual income of $55,000 and two children, the total increase in tax savings would be $1,036. A family making $100,000 a year with two children would have their tax savings increased by $812. A single parent with one child and an income of $45,000 per year would see an increased tax savings of $811 under the plan.
The U.S. Commerce Department recently reported retail sales across the country slowed down after the federal payroll tax was increased and consumers took home less money in their paychecks. According to the IRS, the payroll tax hike took $83 a month away from an individual with an annual salary of $50,000; $125 a month from a worker making $75,000 and $166 a month from someone earning $100,000 a year.
The 2013 Family Tax Relief Act builds on the progress of tax relief actions over the last two years, enacting an historic property tax cap reducing income tax rates to the lowest levels in more than half a century.
The 61st Senate District encompasses: the Towns of Amherst, Clarence, and Newstead and the Villages of Akron and Williamsville in Erie County; all of Genesee County; and the Towns of Chili and Riga, the Village of Churchville and part of the City of Rochester in Monroe County.