Bill Text: NY A04431 | 2017-2018 | General Assembly | Introduced

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Bill Title: Relates to making the first one hundred thousand dollars of an individual's private pension non-taxable.

Spectrum: Strong Partisan Bill (Republican 11-1)

Status: (Introduced - Dead) 2018-06-14 - held for consideration in ways and means [A04431 Detail]

Download: New_York-2017-A04431-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________
                                          4431
                               2017-2018 Regular Sessions
                   IN ASSEMBLY
                                    February 2, 2017
                                       ___________
        Introduced by M. of A. KOLB, McDONOUGH, FINCH, FRIEND -- Multi-Sponsored
          by  --  M.  of A. BARCLAY, THIELE, WALTER -- read once and referred to
          the Committee on Ways and Means
        AN ACT to amend the tax law, in relation to making the first one hundred
          thousand dollars of an individuals' private pension non-taxable
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section  1.  Paragraph 3-a of subsection (c) of section 612 of the tax
     2  law, as amended by section 3 of part I of chapter  59  of  the  laws  of
     3  2015, is amended to read as follows:
     4    (3-a)  Pensions  and  annuities  received  by  an  individual [who has
     5  attained the age of fifty-nine and  one-half],  not  otherwise  excluded
     6  pursuant to paragraph three of this subsection, to the extent includible
     7  in  gross  income  for federal income tax purposes, but not in excess of
     8  [twenty] one hundred  thousand  dollars,  which  are  periodic  payments
     9  attributable  to personal services performed by such individual prior to
    10  his retirement from employment, which arise (i) from an employer-employ-
    11  ee relationship or (ii) from contributions to a  retirement  plan  which
    12  are  deductible  for  federal  income  tax  purposes. [However, the term
    13  "pensions and annuities" shall also include distributions received by an
    14  individual who has attained the age of fifty-nine and one-half  from  an
    15  individual  retirement  account  or an individual retirement annuity, as
    16  defined in section four hundred eight of the internal revenue code,  and
    17  distributions  received  by  an  individual  who has attained the age of
    18  fifty-nine and one-half from self-employed individual and owner-employee
    19  retirement plans which qualify under section four  hundred  one  of  the
    20  internal  revenue  code,  whether  or  not  the payments are periodic in
    21  nature. Nevertheless, the] The term "pensions and annuities"  shall  not
    22  include  any lump sum distribution, as defined in subparagraph [(D)] (A)
    23  of paragraph four of subsection (e) of section four hundred two  of  the
    24  internal  revenue code and taxed under section six hundred three of this
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD03238-01-7
        A. 4431                             2
     1  article. Where a husband and wife file a joint state personal income tax
     2  return, the  modification  provided  for  in  this  paragraph  shall  be
     3  computed  as  if  they  were  filing  separate state personal income tax
     4  returns.  Where a payment would otherwise come within the meaning of the
     5  term "pensions and annuities" as set forth  in  this  paragraph,  except
     6  that  such  individual is deceased, such payment shall, nevertheless, be
     7  treated as a pension or annuity for purposes of this paragraph  if  such
     8  payment is received by such individual's beneficiary.
     9    §  2.  This  act  shall take effect immediately and shall be deemed to
    10  have been in full force and effect on and after the first of January  of
    11  the year in which it shall have become a law.