Bill Text: NY A09290 | 2013-2014 | General Assembly | Introduced

New York Assembly Bill 9290 (Prior Session Legislation)

Introduced

Bill Title: Relates to providing a tax credit to farmers who sell or rent their agricultural land to a young farmer.

Spectrum: Slight Partisan Bill (Democrat 21-11)

Status: (Introduced - Dead) 2014-04-08 - referred to ways and means [A09290 Detail]

Download: New_York-2013-A09290-Introduced.html

                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         9290
                                 I N  A S S E M B L Y
                                     April 8, 2014
                                      ___________
       Introduced  by  M.  of  A.  MAGEE, CROUCH, FINCH, GUNTHER, HAWLEY, OTIS,
         ROSENTHAL, RUSSELL,  SKOUFIS,  STIRPE,  BARCLAY,  JAFFEE,  MAGNARELLI,
         SEPULVEDA,  PEOPLES-STOKES,  TITONE  -- Multi-Sponsored by -- M. of A.
         BUTLER, CAMARA, CERETTO, COOK, DUPREY, GOTTFRIED, LUPARDO,  LUPINACCI,
         McLAUGHLIN,  ROBINSON, SIMANOWITZ, THIELE, WEISENBERG -- read once and
         referred to the Committee on Ways and Means
       AN ACT to amend the tax law, in relation to providing a  tax  credit  to
         farmers who sell or rent their agricultural land to a young farmer
         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1. Section 210 of the tax law  is  amended  by  adding  a  new
    2  subdivision 49 to read as follows:
    3    49.  CREDIT  FOR FARMERS WHO SELL OR RENT THEIR AGRICULTURAL LAND TO A
    4  YOUNG FARMER.  (A) ALLOWANCE OF CREDIT. A TAXPAYER THAT IS  AN  AGRICUL-
    5  TURAL  BUSINESS  PRINCIPALLY ENGAGED IN FARMING, AS SUCH TERM IS DEFINED
    6  IN PARAGRAPH NINETEEN OF SUBDIVISION (B) OF SECTION ELEVEN  HUNDRED  ONE
    7  OF  THIS  CHAPTER  SHALL  BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY
    8  THIS ARTICLE FOR THE SALE OR RENT OF THEIR AGRICULTURAL LANDS TO A YOUNG
    9  FARMER, AS DEFINED IN THIS SECTION. SUCH CREDIT SHALL BE TEN PERCENT  OF
   10  THE PURCHASE PRICE OR RENTAL AMOUNT OF THE AGRICULTURAL LANDS.
   11    (B)  FOR  PURPOSES  OF  THIS  SUBDIVISION, "YOUNG FARMER" SHALL MEAN A
   12  FARMER WHO HAS NOT PRODUCED AN AGRICULTURAL PRODUCT FOR  MORE  THAN  TEN
   13  CONSECUTIVE  YEARS, WHERE AGRICULTURAL PRODUCT MEANS ANY AGRICULTURAL OR
   14  AQUACULTURAL PRODUCT OF THE SOIL OR WATER, INCLUDING BUT NOT LIMITED  TO
   15  FRUITS,  VEGETABLES, EGGS, DAIRY PRODUCTS, MEAT AND MEAT PRODUCTS, POUL-
   16  TRY AND POULTRY PRODUCTS,  FISH  AND  FISH  PRODUCTS,  GRAIN  AND  GRAIN
   17  PRODUCTS, HONEY, NUTS, PRESERVES, MAPLE SAP PRODUCTS, APPLE CIDER, FRUIT
   18  JUICE, HORTICULTURAL SPECIALTIES, AND CHRISTMAS TREES AND WHO WILL MATE-
   19  RIALLY  AND  SUBSTANTIALLY  PARTICIPATE IN THE PRODUCTION OF AN AGRICUL-
   20  TURAL PROJECT.
   21    (C) PRIOR TO SALE, THE SELLER SHALL CONVEY TO THE DEPARTMENT OF  AGRI-
   22  CULTURE  AND  MARKETS, AN EASEMENT, THE TERMS OF WHICH LIMIT DEVELOPMENT
   23  OF THE LAND TO AGRICULTURAL BUSINESS, PRINCIPALLY FARMING, AS SUCH  TERM
   24  IS  DEFINED  IN  PARAGRAPH NINETEEN OF SUBDIVISION (B) OF SECTION ELEVEN
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD13527-07-4
       A. 9290                             2
    1  HUNDRED ONE OF THIS CHAPTER. THE EASEMENT SHALL EXPIRE NOT LESS THAN TEN
    2  YEARS FROM THE DATE OF SALE.
    3    S  2. Section 606 of the tax law is amended by adding a new subsection
    4  (ccc) to read as follows:
    5    (CCC) CREDIT FOR THE SALE OR RENT OF  AGRICULTURAL  LAND  TO  A  YOUNG
    6  FARMER.  (1)  ALLOWANCE OF CREDIT. A TAXPAYER WHOSE FEDERAL GROSS INCOME
    7  FROM FARMING FOR THE TAXABLE YEAR  IS  AT  LEAST  TWO-THIRDS  OF  EXCESS
    8  FEDERAL  GROSS  INCOME SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED
    9  BY THIS ARTICLE FOR THE SALE OR RENT OF AGRICULTURAL LAND  OR  EQUIPMENT
   10  TO  A  YOUNG FARMER, AS DEFINED BY SECTION TWO HUNDRED TEN OF THIS CHAP-
   11  TER. SUCH CREDIT SHALL BE TEN PERCENT OF THE PURCHASE  PRICE  OF  RENTAL
   12  AMOUNT  OF  THE  AGRICULTURAL LAND, AND SHALL BE ALLOWED NOTWITHSTANDING
   13  SUBSECTION (KK) OF THIS SECTION.
   14    (2) DEFINITIONS. FOR PURPOSES OF THIS SUBSECTION, THE FOLLOWING  DEFI-
   15  NITIONS SHALL APPLY:
   16    (A)  "EXCESS  FEDERAL  GROSS INCOME" MEANS THE AMOUNT OF FEDERAL GROSS
   17  INCOME FROM ALL SOURCES FOR THE TAXABLE YEAR REDUCED BY THE SUM, NOT  TO
   18  EXCEED THIRTY THOUSAND DOLLARS, OF THOSE ITEMS INCLUDED IN FEDERAL GROSS
   19  INCOME WHICH CONSIST OF:
   20    (I) EARNED INCOME,
   21    (II) PENSION PAYMENTS, INCLUDING SOCIAL SECURITY PAYMENTS,
   22    (III) INTEREST, AND
   23    (IV) DIVIDENDS.
   24    (B)  FOR  PURPOSES  OF  THIS PARAGRAPH, THE TERM "EARNED INCOME" SHALL
   25  MEAN WAGES, SALARIES, TIPS AND OTHER EMPLOYEE  COMPENSATION,  AND  THOSE
   26  ITEMS  OF  GROSS  INCOME  WHICH ARE INCLUDIBLE IN THE COMPUTATION OF NET
   27  EARNINGS FROM SELF-EMPLOYMENT.  FOR  THE  PURPOSES  OF  THIS  PARAGRAPH,
   28  PAYMENTS  FROM  THE STATE'S FARMLAND PROTECTION PROGRAM, ADMINISTERED BY
   29  THE DEPARTMENT OF AGRICULTURE AND MARKETS, SHALL BE INCLUDED AS  FEDERAL
   30  GROSS INCOME FROM FARMING.
   31    (3)  APPLICATION  OF CREDIT. IF THE AMOUNT OF THE CREDIT ALLOWED UNDER
   32  THIS SUBSECTION FOR ANY TAXABLE YEAR SHALL EXCEED THE TAXPAYER'S TAX FOR
   33  SUCH YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF  TAX  TO  BE
   34  CREDITED  OR  REFUNDED  IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX
   35  HUNDRED EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO  INTEREST
   36  SHALL BE PAID THEREON.
   37    S 3. This act shall take effect immediately and shall apply to taxable
   38  years beginning on and after January 1, 2015.