Bill Text: NY S04705 | 2023-2024 | General Assembly | Introduced
Bill Title: Establishes the renters' and small homeowners' credit in a city with a population of one million or more.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2024-01-03 - REFERRED TO BUDGET AND REVENUE [S04705 Detail]
Download: New_York-2023-S04705-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 4705 2023-2024 Regular Sessions IN SENATE February 13, 2023 ___________ Introduced by Sen. SANDERS -- read twice and ordered printed, and when printed to be committed to the Committee on Budget and Revenue AN ACT to amend the tax law, in relation to establishing a renters' and small homeowners' tax credit The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Section 606 of the tax law is amended by adding a new 2 subsection (b-1) to read as follows: 3 (b-1) Renters' and small homeowners' credit in a city with a popu- 4 lation of one million or more. 5 (1) For the purposes of this subsection: 6 (A) "Qualified taxpayer" means a resident individual who lives in a 7 city with a population of one million or more who has occupied and paid 8 rent for his or her primary residence in such city for six months or 9 more of the taxable year, is required or chooses to file a return under 10 this article, and (i) is sixty-five years of age or older, (ii) is 11 filing a joint return with a spouse who is sixty-five years of age or 12 older, (iii) is a head of household, (iv) is a married individual filing 13 a joint return with a spouse and has at least one dependent, (v) is a 14 married individual filing a separate return and has at least one depend- 15 ent, or (vi) is a surviving spouse and has at least one dependent. For 16 purposes of this subsection "qualified taxpayer" shall also include the 17 owner of any dwelling with six units or less in a city with a population 18 of one million or more who occupies such dwelling as his or her primary 19 residence for six months or more of the taxable year and who is required 20 or chooses to file a return under this article. An individual cannot be 21 a qualified taxpayer if he or she is an individual with respect to whom 22 a deduction under subsection (c) of section 151 of the internal revenue 23 code is allowable to another taxpayer for the taxable year or pays rent 24 for his or her primary residence to a family member sharing the same 25 primary residence. A family member of an individual is the individual's EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD09536-01-3S. 4705 2 1 spouse, brother, sister, parent, grandparent, child, grandchild, uncle, 2 aunt, nephew, or niece, related to the individual by blood, marriage or 3 adoption. 4 (B) "Residence" means a dwelling in a city with a population of one 5 million or more and may consist of a part of a multi-dwelling or multi- 6 purpose building including a cooperative or condominium, one, two or 7 three family dwellings and rental units within a single dwelling which 8 are either owner-occupied or rented by a qualified taxpayer. Residence 9 includes a trailer or mobile home, used exclusively for residential 10 purposes and defined as real property pursuant to paragraph (g) of 11 subdivision twelve of section one hundred two of the real property tax 12 law. 13 (2) (A) A qualified taxpayer shall be allowed a credit as provided in 14 this subsection against the taxes imposed by this article reduced by the 15 credits permitted by this article. If the credit exceeds the tax as so 16 reduced for such year under this article, the excess shall be treated as 17 an overpayment of tax to be credited or refunded in accordance with the 18 provisions of section six hundred eighty-six of this article, provided, 19 however, that no interest shall be paid thereon. If a qualified taxpayer 20 is not required to file a return pursuant to section six hundred fifty- 21 one of this article but otherwise qualifies for a credit under this 22 subsection, a claim for a credit may be taken on a return filed with the 23 commissioner within three years from the time that a return would have 24 been required to be filed pursuant to such section had such qualified 25 taxpayer had a taxable year ending on December thirty-first. Returns 26 shall be in such form as prescribed by the commissioner. A qualified 27 taxpayer must provide any information the commissioner deems necessary 28 to determine the credit allowed. 29 (B) If more than one qualified taxpayer pays rent for the same primary 30 residence and has a federal adjusted gross income for which a credit 31 would otherwise be due, each such qualified taxpayer shall divide the 32 base amount of the credit allowed for his or her income level by the 33 total number of individuals or married couples filing a joint return who 34 are paying the rent, whether or not eligible for a credit, to determine 35 the amount of credit allowed to that qualified taxpayer. Any additional 36 amount of credit determined based on the number of exemptions claimed by 37 such taxpayer shall not be so divided. 38 (C) A qualified taxpayer shall be allowed the credit under this 39 subsection or the credit under subsection (e) of this section, whichever 40 is the higher amount. 41 (3) (A) For any qualified taxpayer who is sixty-five years of age or 42 older with a filing status of single, the amount of the credit allowed 43 pursuant to this paragraph shall be determined in accordance with the 44 following tables: 45 For taxable years beginning in 2023, 46 if federal adjusted gross income is: The credit shall be: 47 $25,000 or less $110 48 Over $25,000 but not over $40,000 $90 49 Over $40,000 but not over $50,000 $70 50 For taxable years beginning in or 51 after 2024, if federal adjusted gross 52 income is: The credit shall be: 53 $25,000 or less $220S. 4705 3 1 Over $25,000 but not over $40,000 $180 2 Over $40,000 but not over $50,000 $140 3 (B) For any other qualified taxpayer, the amount of the credit allowed 4 pursuant to this paragraph shall be determined in accordance with the 5 following tables; provided, however, that a qualified taxpayer who is a 6 married individual filing a separate New York income tax return shall 7 receive one-half of the base amount of the credit plus any additional 8 amount for which such taxpayer would be eligible based on the income and 9 number of exemptions claimed by such taxpayer: 10 For taxable years beginning in 2023, 11 if federal adjusted gross income is: The credit shall be: 12 $25,000 or less $80 plus an amount 13 equal to $35 14 multiplied by a 15 number which is one 16 less than the number 17 of exemptions for 18 which the taxpayer 19 (or in the case 20 of a married couple 21 filing a joint return, 22 taxpayers) is entitled 23 to a deduction for the 24 taxable year for federal 25 income tax purposes 26 under subsections (b) 27 and (c) of section 151 28 of the internal revenue code 29 Over $25,000 but not over $45,000 $65 plus an amount 30 equal to $24 31 multiplied by a number 32 which is one less than 33 the number of exemptions 34 for which the taxpayer 35 (or in the case of 36 a married couple filing a 37 joint return, taxpayers) 38 is entitled to a 39 deduction for the taxable 40 year for federal income 41 tax purposes under 42 subsections (b) and (c) 43 of section 151 of the 44 internal revenue code 45 Over $45,000 but not over $65,000 $55 plus an amount 46 equal to $12 multiplied 47 by a number which is one 48 less than the number 49 of exemptions for 50 which the taxpayer (or 51 in the case of a married 52 couple filing a joint return, 53 taxpayers) is entitledS. 4705 4 1 to a deduction for the 2 taxable year for federal 3 income tax purposes under 4 subsections (b) and (c) 5 of section 151 of the 6 internal revenue code 7 Over $65,000 but not over $100,000 $45 plus an amount 8 equal to $12 multiplied 9 by a number which is one 10 less than the number 11 of exemptions for which 12 the taxpayer (or in the 13 case of a married couple 14 filing a joint return, 15 taxpayers) is entitled to 16 a deduction for the taxable 17 year for federal income tax 18 purposes under subsections 19 (b) and (c) of section 151 20 of the internal revenue code 21 For taxable years beginning in or 22 after 2024, if federal adjusted gross 23 income is: The credit shall be: 24 $25,000 or less $160 plus an 25 amount equal to $70 26 multiplied by a number which 27 is one less than the 28 number of exemptions 29 for which the taxpayer 30 (or in the case of a 31 married couple filing a 32 joint return, taxpayers) 33 is entitled to a deduction 34 for the taxable year for 35 federal income tax purposes 36 under subsections (b) and 37 (c) of section 151 of the 38 internal revenue code 39 Over $25,000 but not over $45,000 $130 plus an amount 40 equal to $48 41 multiplied by a number 42 which is one less than 43 the number of exemptions 44 for which the taxpayer 45 (or in the case of 46 a married couple filing 47 a joint return, taxpayers) 48 is entitled to a deduction 49 for the taxable year for 50 federal income tax purposes 51 under subsections (b) 52 and (c) of section 151 53 of the internal revenue codeS. 4705 5 1 Over $45,000 but not over $65,000 $110 plus an amount 2 equal to $24 multiplied 3 by a number which is one 4 less than the number 5 of exemptions for 6 which the taxpayer (or 7 in the case of a married 8 couple filing a joint return, 9 taxpayers) is entitled to a 10 deduction for the taxable 11 year for federal income tax 12 purposes under subsections 13 (b) and (c) of section 151 14 of the internal revenue code 15 Over $65,000 but not over $100,000 $90 plus an amount 16 equal to $24 multiplied 17 by a number which is one 18 less than the number 19 of exemptions for 20 which the taxpayer (or 21 in the case of a married 22 couple filing a joint return, 23 taxpayers) is 24 entitled to a deduction 25 for the taxable year for 26 federal income tax purposes 27 under subsections (b) and 28 (c) of section 151 of the 29 internal revenue code 30 § 2. This act shall take effect immediately.
