Expect to pay more for dollar cabs

Posted on June 1, 2009 by


A Sunny Harlem Morning, originally uploaded by CarbonNYC.

Of course livery taxis haven’t been a dollar — well in all the time that I’ve lived in New York. I can remember when they were $4 to $5 dollars. Nowadays depending on the cabby you will pay as much as $8 for a local trip. Expect to pay even more now that the Legislature has approved a tax hike on livery cabs, corporate black cars, and limousines.

The timing of the tax couldn’t be worst as cabbies are already suffering from higher gas prices, fewer customers, and the impending summer months. This tax hike is not going to be a drop in the bucket either. Starting Monday 8.37% is to be collected by the driver and forwarded to the state by the car service or the base with which a driver is affiliated.

A separate transit-funding bill approved earlier this year imposes a 50-cent surcharge on each trip in a yellow cab to help subsidize subway, bus and commuter train service provided by the Metropolitan Transportation Authority.
That hike goes into effect in January.

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Posted in: Business/Finance