NY governor, David Paterson, has release a web site showing the expected impact of the economic downturn. The budget deficit is projected to grow from $1.5B in 2008-09 to $12.5B 2009-10 which is truly staggering. Putting that in perspective though is the projected Wall Street bonus drop, a very important source of tax revenue, down from $48.2B in 2008 to $27.6B in 2009. It could easily be far below that as there are a reduced number of employees as well as drastically reduced bonuses per individual. Wall Street represents 20% of NY state tax revenue.
To give a wider perspective on the actual, rather than projected, economy the actual tax revenue from the top 20 corporate taxpayers is down 38% for the first two quarters of 2008.