Nick Reisman is reporting for State of Politics state lawmakers may take steps this month to increase taxes on upper-income earners as New York attempts to find ways to dig itself out of a deep budget hole created by the COVID-19 pandemic. Assembly Speaker Carl Heastie December 14, raised the possibility of the Legislature holding a session this week to deal with the tax issue. The goal is to avoid a court challenge to a retroactive tax rate increase and possibly passing one before the new year in order to capture more revenue. Lawmakers may also consider a moratorium on evictions as well support for workers who have not been covered by pandemic-related benefits, such as undocumented immigrants, Heastie said. Progressive Democrats are pushing lawmakers and Gov. Andrew M. Cuomo to raise taxes on wealthier New Yorkers through a variety of means, including a tax on second homes in New York City and a tax on stock transfers. But a personal income tax rate increase is perhaps the easiest way to grow revenue. The state budget is expected to pass on March 31, the start of the state's fiscal year. Heastie said the state will need federal aid regardless of the size of the tax increase. "I still think there's a part for us to play," Heastie said, "but the big bucks should come from the federal government." Read the full story at nystateofpolitics [dot] com.