I am so excited! I just got this news from the freelancers union.
"Governor Paterson just approved a UBT tax cut for freelancers worth up to $3,400." !!!!!!
Okay, for those of you who aren't jumping up and down and screaming/don't know what this means, the UBT is New York City’s Unincorporated Business Tax. And basically it was created to collect tax revenue from business that were structured to get out of corporate taxes. It unfortunately also taxed the self-employed/independent workers. Before all you non-freelancers get worked up, you should know that the freelancers do pay a boatload of taxes. At the federal level we pay both the employer and employee portions of social security, we pay regular federal, state and city personal income taxes and we were paying the UBT. BUT even though we had to pay the UBT we didn't get any of the benefits. The state does not consider us employees so we can't get unemployment, workers comp, or help from the Dept of Labor if someone stiffs us on a job.