New York: Amnesty Proposed by Governor

New York Governor David Paterson has proposed an Amnesty Program as part of his Deficit Reduction Plan.

The plan includes:

1. A two-year, $5.0 billion savings plan ($3.0 billion in current-year savings);
2. Over five-year financial plan period, cumulative savings of $9.3 billion to help address state’s structural deficit; and
3. Long-term fiscal reforms that Governor Paterson has championed.

The Amnesty program included in the plan is described as the Tax Penalty Forgiveness Program ($250M). The program proposes to reduce penalties on outstanding tax liabilities in exchange for prompt settlement of outstanding claims. The program would run from January 15 to March 15, 2010.

Stay tuned for more developments.