Livery cab drivers: New tax will hurt business

Brooklyn livery cab drivers say a new tax, which will take effect Monday, may kill their businesses.

The increased tax of 8.375 percent is expected to generate more than $25 million to help close the New York City budget gap. Livery cab drivers say they already lose money frequently when riders can't pay the flat fares in full and will struggle to pay this additional tax.

The tax will also affect limousines and black cabs. Taxi drivers say the flat rate based on distance may be changed in order to incorporate the new charge.

Fernando Mateo, a livery cab spokesperson, has encouraged livery cab drivers to ignore the new tax.

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