Unionized employees can now deduct their dues on their state income tax under a measure signed by Governor CuomoThe provision which was part of the new state budget creates a union dues deduction for New York taxpayers who itemize deductions at the state level equal to the amount currently disallowed at the federal level due to the 2 percent floor. In a statement the governor said New York is fighting even harder to preserve union jobs and uplift the middle class at a time when unions are under attack on the national level.