Connecticut Post 080304
Dodd targets double taxing in New York
Legislation to fight system
Tuesday, August 03, 2004 -
FAIRFIELD - Standing on a train platform, Sen. Chris Dodd, D-Conn., said Monday that he will introduce legislation in September to stop New York's practice of double taxing the incomes of Connecticut telecommuters who work for New York-based companies.
"This is the 21st century, Dodd said, pledging to put an end to a practice that allows two states to tax the incomes of people for the same working day.
The legislation, called the "Telecommuter Tax Fairness Act", would mandate that states only tax workers who are physically present and working in their states.
He said that traditionally the state where the work is being done is the state that collects the taxes. Dodd said he and Sen. Joe Lieberman, D-Conn., will introduce legislation in September to correct the problem, while U.S. Rep. Christopher Shays, R-4, will introduce similar legislation in the House.
Joining Dodd on the platform were New Haven resident Edward Zelinsky, Nicole Belson Goluboff, a Scarsdale, N.Y.-based attorney and several other telecommuters and advocates.
Zelinsky, a law professor who works in New York, said when he works from his home grading papers, doing research or writing, the state of New York "pretends that I'm working in New York.
Tim Schantz, an Old Greenwich resident who also telecommutes to New York City, said he also has been double taxed under this public policy.
"It's basically a form of state tyranny, Schantz said. "It's the reason we fought the Revolution.
"We're hoping it won't come to that, said Mark Roffman, a New Haven telecommuter.
Roffman, like many of the people at the conference, said he was being double-taxed without representation in New York. He said he wasn't using New York services on the days he works from home, so he shouldn't be paying taxes on those days. All of the telecommuters said they should pay taxes to New York on the days they work there.
Belson Boluboff, who identified herself as a telecommuting advocate, said New York's policy has to be changed because it discourages people from telecommuting.
She said at a time when the region's roads are overburdened and air pollution continues to be a primary concern, New York's policy encourages people to head into the city rather than working from home.
Boluboff said that New York is not only going after Connecticut residents, but is also taxing the incomes of residents in Maine, Tennessee and California.
A representative of New York's Department of Taxation and Finance said she would pass on questions about the state's policies to the proper person, but no one contacted the Connecticut Post on Monday to respond.