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Former New York Times reporter Alex Berenson discusses Amazon’s attempt to censor his book before Tesla CEO Elon Musk’s tweet caused the tech giant to reverse its decision and sell his book. Fox News medical correspondent Dr. Marc Siegel later talks about the possible second wave of coronavirus in the fall.
Many employees at New York City hedge funds and other investment firms are now scattered around the region, working from home. Some view that as an opportunity to avoid a New York City tax, tax specialists say.
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The city's 4% unincorporated business tax raises about $2 billion a year for the city by taxing investment-fund managers, law firms and other individually owned businesses, based on the portion of sales or services performed within the city.
As employees sheltered at homes in the Hamptons or in the suburbs, a group of hedge funds and other investment-management firms have begun using apps to track where their New York-based employees are working day to day. Their goal is to show that a large portion of the fees paid to investment managers were for services performed outside the city and therefore not subject to the city tax.
The city is already forecasting a $359 million decline in collections of the unincorporated business tax compared with the $2.14 billion in last year's budget, without taking into account actions of companies looking to shift accounting of sales outside the city.
NEW YORK MAY BE CHALLENGED OVER QUARANTINED WORKERS' TAX REVENUES
"We are concerned about the potential impact of the shift of employees out of the city and will adjust upcoming forecasts if it becomes a trend that affects city revenue," said Laura Feyer, a spokeswoman for the mayor. "Meanwhile, we will continue to make responsible budget choices and advocate for federal government support."