Metro

Cuomo backs panel’s $2B tax-cut proposal

The state will consider tax cuts that include relief for renters here and a property-tax freeze outside New York City, Gov. Cuomo said Tuesday.

Cuomo — who is running for re-election next year — voiced support for a “renter’s credit” after a commission he hand-picked unveiled a plan to freeze property taxes for two years, slash corporate and utility taxes and dramatically cut the so-called “death tax” on inheritances.

Cuomo said the recommendations of the panel, co-chaired by former GOP Gov. George Pataki, will spur business growth and help shed New York’s image as one of the highest-taxed places in the nation.

The tax-relief package would cost $2 billion over three years and is achievable in a $135 billion budget, the governor said.

New York already has a property-tax cap that limits rate increases to 2 percent a year.

Under the new proposal, homeowners would see their rates frozen for two years if their local government remains within the 2-percent cap and takes other measures to reduce spending.

New York City owners would be excluded from that benefit.

But if they’re poor enough, they might qualify for another credit the panel proposed extending around the state to those who devote a large share of their income toward paying property taxes.

The specifics on that deal were still to be developed.

Cuomo also offered residents here a first-ever tax credit for renters, though he gave no specifics on how it would work or how much it would cost.

Other states already offer rebates to low-income renters, but many are modest. California, for example, returns $60 a year to individual renters earning up to $35,659 and $120 to couples making as much as $71,318.

In other parts of the 13-page proposal, the commission suggested cutting the corporate tax rate from 7.1 percent to 6.5 percent and eliminating a surcharge on utility bills in 2014 for business customers instead of in 2018.

Those with large estates thinking of high-tailing to Florida to escape the state’s 16-percent inheritance tax would get a huge dual break: the so-called “death tax” would be reduced to 10 percent and the amount excluded would soar from $1 million to $5.2 million.

The proposal caught flak from local business leaders, who claimed the city got short shrift. Partnership for New York City CEO Kathryn Wylde said the plan does not address the Big Apple’s high income-tax burden compared to other international cities.

Mayor-elect Bill de Blasio transition office issued a statement saying he would “review” the recommendations, but was more focused on his own plan to boost income taxes on the wealthy to finance universal pre-K classes.