Assemblywoman Kathleen Murray recently reminded New Yorkers to watch their mailboxes for the advance payments soon to be sent directly to them under the recent federal income tax cut plan.

"Most New Yorkers will receive a refund, and are thinking about how it should be spent. With the new school year almost upon us, many will undoubtedly spend at least a portion of the rebate on clothes and other back-to-school items for children, but I hope they will also consider saving or investing a part of the total amount," said Murray.

School expenditures would help state and local sales tax collections, and, according to the Manhattan Institute for Policy Research, if taxpayers use 20 percent of the money for retail purchases, state and local sales tax collections will increase more than $40 million.

More good news for taxpayers comes in the form of a phased-in reduction in tax brackets accompanying the tax-cut plan. The child credit will be doubled from $500 to $1,000 and the "marriage penalty" will be eliminated by increasing standard deductions and broadening the 15 percent tax bracket for joint filers. The cuts will save taxpayers an estimated $1.2 trillion by the federal fiscal year 2011. New Yorkers will save more than $89 billion, or about 7.4 percent.