Bill Text: NY A03442 | 2023-2024 | General Assembly | Introduced
Bill Title: Increases the real property tax circuit breaker credit income limits to $100,000; removes real property tax rebates from real property taxes that qualify under such credit.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2024-01-03 - referred to ways and means [A03442 Detail]
Download: New_York-2023-A03442-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 3442 2023-2024 Regular Sessions IN ASSEMBLY February 3, 2023 ___________ Introduced by M. of A. STERN -- read once and referred to the Committee on Ways and Means AN ACT to amend the tax law, in relation to the real property tax circuit breaker credit The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subparagraph (E) of paragraph 1 and paragraphs 3 and 7 of 2 subsection (e) of section 606 of the tax law, as amended by chapter 28 3 of the laws of 1987 and subparagraph (E) of paragraph 1 as amended by 4 chapter 105 of the laws of 2006, are amended to read as follows: 5 (E) "Qualifying real property taxes" means all real property taxes, 6 special ad valorem levies and special assessments, exclusive of penal- 7 ties and interest, levied on the residence of a qualified taxpayer and 8 paid during the taxable year less the credit claimed under the former 9 subsection (n-1) of this section. [In addition, for taxable years begin-10ning after December thirty-first, nineteen hundred eighty-four, a quali-11fied taxpayer may elect to include any additional amount that would have12been levied in the absence of an exemption from real property taxation13pursuant to section four hundred sixty-seven of the real property tax14law.] If tenant-stockholders in a cooperative housing corporation have 15 met the requirements of section two hundred sixteen of the internal 16 revenue code by which they are allowed a deduction for real estate 17 taxes, the amount of taxes so allowable, or which would be allowable if 18 the taxpayer had filed returns on a cash basis, shall be qualifying real 19 property taxes. If a residence is owned by two or more individuals as 20 joint tenants or tenants in common, and one or more than one individual 21 is not a member of the household, qualifying real property taxes is that 22 part of such taxes on the residence which reflects the ownership 23 percentage of the qualified taxpayer and members of his household. If a 24 residence is an integral part of a larger unit, qualifying real property 25 taxes shall be limited to that amount of such taxes paid as may be EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD02547-01-3A. 3442 2 1 reasonably apportioned to such residence. If a household owns and occu- 2 pies two or more residences during different periods in the same taxable 3 year, qualifying real property taxes shall be the sum of the prorated 4 qualifying real property taxes attributable to the household during the 5 periods such household occupies each of such residences. If the house- 6 hold owns and occupies a residence for part of the taxable year and 7 rents a residence for part of the same taxable year, it may include both 8 the proration of qualifying real property taxes on the residence owned 9 and the real property tax equivalent with respect to the months the 10 residence is rented. Provided, however, for purposes of the credit 11 allowed under this subsection, qualifying real property taxes may be 12 included by a qualified taxpayer only to the extent that such taxpayer 13 or the spouse of such taxpayer occupying such residence for six months 14 or more of the taxable year owns or has owned the residence and paid 15 such taxes. Provided further, however, qualifying real property taxes 16 shall not include any portion of a real property tax paid that was 17 subsequently returned to the taxpayer by a tax credit or any other real 18 property tax rebate including, but not limited to, the school tax relief 19 credit under subsection (eee) of this section. 20 (3) Determination of credit. (A) For qualified taxpayers who have 21 attained the age of sixty-five years before the beginning of or during 22 the taxable year the amount of the credit allowable under this 23 subsection shall be fifty percent, or in the case of a qualified taxpay- 24 er who has elected to include an additional amount pursuant to subpara- 25 graph (E) of paragraph one of this subsection, twenty-five percent, of 26 the excess of real property taxes or the excess of real property tax 27 equivalent determined as follows: 28 Excess real property taxes are the 29 excess of real property tax equiv- 30 alent or the excess of qualifying 31 real property taxes over the fo- 32 If household gross income for the llowing percentage of household 33 taxable year is: gross income: 34 ----------------------------------- ----------------------------------- 35 [$3,000] $20,000 or less 3 1/2 36 Over [$3,000] $20,000 but not over 4 37 [$5,000] $30,000 38 Over [$5,000] $30,000 but not over 4 1/2 39 [$7,000] $45,000 40 Over [$7,000] $45,000 but not over 5 41 [$9,000] $65,000 42 Over [$9,000] $65,000 but not over 5 1/2 43 [$11,000] $75,000 44 Over [$11,000] $75,000 but not over 6 45 [$14,000] $85,000 46 Over [$14,000] $85,000 but not over 6 1/2 47 [$18,000] $100,000 48 Notwithstanding the foregoing provisions, the maximum credit deter- 49 mined under this subparagraph may not exceed the amount determined in 50 accordance with the following table: 51 If household gross income for the 52 taxable year is: The maximum credit is: 53 ----------------------------------- -----------------------------------A. 3442 3 1 [$1,000] $5,000 or less $375 2 Over [$1,000] $5,000 but not over $358 3 [$2,000] $10,000 4 Over [$2,000] $10,000 but not over $341 5 [$3,000] $15,000 6 Over [$3,000] $15,000 but not over $324 7 [$4,000] $20,000 8 Over [$4,000] $20,000 but not over $307 9 [$5,000] $25,000 10 Over [$5,000] $25,000 but not over $290 11 [$6,000] $30,000 12 Over [$6,000] $30,000 but not over $273 13 [$7,000] $35,000 14 Over [$7,000] $35,000 but not over $256 15 [$8,000] $40,000 16 Over [$8,000] $40,000 but not over $239 17 [$9,000] $45,000 18 Over [$9,000] $45,000 but not over $222 19 [$10,000] $50,000 20 Over [$10,000] $50,000 but not over $205 21 [$11,000] $55,000 22 Over [$11,000] $55,000 but not over $188 23 [$12,000] $60,000 24 Over [$12,000] $60,000 but not over $171 25 [$13,000] $65,000 26 Over [$13,000] $65,000 but not over $154 27 [$14,000] $70,000 28 Over [$14,000] $70,000 but not over $137 29 [$15,000] $75,000 30 Over [$15,000] $75,000 but not over $120 31 [$16,000] $80,000 32 Over [$16,000] $80,000 but not over $103 33 [$17,000] $86,000 34 Over [$17,000] $86,000 but not over $ 86 35 [$18,000] $100,000 36 (B) For all other qualified taxpayers the amount of the credit allow- 37 able under this subsection shall be fifty percent of excess real proper- 38 ty taxes or the excess of the real property tax equivalent determined as 39 follows: 40 Excess real property taxes are the 41 excess of real property tax equiv- 42 alent or the excess of qualifying 43 real property taxes over the 44 If household gross income for the following percentage of household 45 taxable year is: gross income: 46 ----------------------------------- ----------------------------------- 47 [$3,000] $20,000 or less 3 1/2 48 Over [$3,000] $20,000 but not over 4 49 [$5,000] $30,000 50 Over [$5,000] $30,000 but not over 4 1/2 51 [$7,000] $45,000 52 Over [$7,000] $45,000 but not over 5 53 [$9,000] $65,000A. 3442 4 1 Over [$9,000] $65,000 but not over 5 1/2 2 [$11,000] $75,000 3 Over [$11,000] $75,000 but not over 6 4 [$14,000] $85,000 5 Over [$14,000] $85,000 but not over 6 1/2 6 [$18,000] $100,000 7 Notwithstanding the foregoing provisions, the maximum credit deter- 8 mined under this subparagraph may not exceed the amount determined in 9 accordance with the following table: 10 If household gross income for the 11 taxable year is: The maximum credit is: 12 ----------------------------------- ----------------------------------- 13 [$1,000] $5,000 or less $75 14 Over [$1,000] $5,000 but not over $73 15 [$2,000] $10,000 16 Over [$2,000] $10,000 but not over $71 17 [$3,000] $15,000 18 Over [$3,000] $15,000 but not over $69 19 [$4,000] $20,000 20 Over [$4,000] $20,000 but not over $67 21 [$5,000] $25,000 22 Over [$5,000] $25,000 but not over $65 23 [$6,000] $30,000 24 Over [$6,000] $30,000 but not over $63 25 [$7,000] $35,000 26 Over [$7,000] $35,000 but not over $61 27 [$8,000] $40,000 28 Over [$8,000] $40,000 but not over $59 29 [$9,000] $45,000 30 Over [$9,000] $45,000 but not over $57 31 [$10,000] $50,000 32 Over [$10,000] $50,000 but not over $55 33 [$11,000] $55,000 34 Over [$11,000] $55,000 but not over $53 35 [$12,000] $60,000 36 Over [$12,000] $60,000 but not over $51 37 [$13,000] $65,000 38 Over [$13,000] $65,000 but not over $49 39 [$14,000] $70,000 40 Over [$14,000] $70,000 but not over $47 41 [$15,000] $75,000 42 Over [$15,000] $75,000 but not over $45 43 [$16,000] $80,000 44 Over [$16,000] $80,000 but not over 45 [$17,000] $86,000 $43 46 Over [$17,000] $86,000 but not over $41 47 [$18,000] $100,000 48 (7) No credit shall be granted under this subsection: 49 (A) If household gross income for the taxable year exceeds [eighteen] 50 one hundred thousand dollars. 51 (B) To a property owner unless: (i) the property is used for residen- 52 tial purposes, (ii) not more than twenty percent of the rental income, 53 if any, from the property is from rental for nonresidential purposes andA. 3442 5 1 (iii) the property is occupied as a residence in whole or in part by one 2 or more of the owners of the property. 3 (C) To a property owner who owns real property, the full value of 4 which exceeds [eighty-five] one hundred fifty thousand dollars. 5 (D) To a tenant if the adjusted rent for the residence exceeds [four6hundred fifty] one thousand dollars per month on average. 7 (E) To an individual with respect to whom a deduction under subsection 8 (c) of section one hundred fifty-one of the internal revenue code is 9 allowable to another taxpayer for the taxable year. 10 (F) With respect to a residence that is wholly exempted from real 11 property taxation. 12 (G) To an individual who is not a resident individual of the state for 13 the entire taxable year. 14 § 2. This act shall take effect immediately.
