By Sabina Mollot
A day after Mayor de Blasio released his executive budget, a handful of local elected officials took the opportunity to push for legislation that would eliminate the Commercial Rent Tax for about 3,400 small business owners in Manhattan.
The bill, which is sponsored by Council Members Dan Garodnick and Helen Rosenthal, was first announced in 2015, and at this point has 35 co-sponsors in the Council.
If passed it would raise the threshold of rent retailers who must pay the tax from those paying $250,000 a year to $500,000 year. The tax, which was first implemented in 1963, only applies to Manhattan businesses between Chambers Street and 96th Street. Garodnick has said raising the rent threshold would help 40 percent of the businesses owners now paying the tax while only costing the city six percent of the revenue the tax brings in, about $4.5 million.
Natasha Amott, the owner of Whisk, a kitchen related goods shop in Flatiron, where the announcement on the bill was made last Thursday, said her CRT costs her $15,000 a year. This is on top of the $315,000 she pays in rent each year and another standard corporate tax.