Bill Text: NY A01830 | 2023-2024 | General Assembly | Introduced


Bill Title: Provides a tax credit for qualified caregiving expenses.

Spectrum: Moderate Partisan Bill (Democrat 18-3)

Status: (Introduced) 2024-01-03 - referred to ways and means [A01830 Detail]

Download: New_York-2023-A01830-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                          1830

                               2023-2024 Regular Sessions

                   IN ASSEMBLY

                                    January 23, 2023
                                       ___________

        Introduced  by  M.  of  A.  KIM,  PAULIN,  SIMON,  THIELE, OTIS, STIRPE,
          GUNTHER, SILLITTI, ZINERMAN, LUPARDO, HEVESI -- 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  for
          qualified  caregiving  expenses; and to provide for the repeal of such
          provisions upon the expiration thereof

          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 (ooo) to read as follows:
     3    (ooo) Caregiving tax credit. (1) For taxable  years  beginning  on  or
     4  after  January  first,  two  thousand twenty-four, a qualified caregiver
     5  shall be allowed a credit against the tax imposed by this article for  a
     6  portion  of  the  total  purchase  price paid for a qualified caregiving
     7  expense by such a qualified caregiver for performing  caregiving  duties
     8  provided to a qualified family member that resided within this state.
     9    (2)  For  purposes  of this section (A) "qualified caregiving expense"
    10  means payments made by the qualified caregiver for  goods  and  services
    11  which are provided to or for the benefit of the qualifying family member
    12  or to assist the qualified caregiver in caring for the qualifying family
    13  member. Such expenses include, but are not limited to, home health agen-
    14  cy  services,  adult  day  care,  companionship  services, personal care
    15  attendant services, homemaker services, respite care, health care equip-
    16  ment, assistive devices and supplies, home modification, transportation,
    17  legal or financial services, and assistive technology.
    18    (B) "qualified family member" means an individual who is: (i) at least
    19  eighteen years of age during a taxable year; (ii) a resident of New York
    20  state; (iii) requires assistance with at least  one  activity  of  daily
    21  living  (ADL),  as certified by a licensed health care practitioner; and
    22  (iv) is an individual who qualifies as  a  dependent,  spouse,  domestic
    23  partner  as  defined  by  section four of the workers' compensation law,

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD00292-01-3

        A. 1830                             2

     1  sibling, partner, parent or other relation by blood or marriage, includ-
     2  ing an in-law, grandparent, grandchild, step-parent, aunt, uncle, niece,
     3  or nephew of the qualified caregiver.
     4    (C)  "qualified caregiver" means an individual who is a New York state
     5  resident taxpayer for the taxable year. In the case of a  joint  return,
     6  the term includes the individual and the individual's spouse. The quali-
     7  fied  caregiver  claiming  the credit must have a federal adjusted gross
     8  income of seventy-five thousand dollars or less for  an  individual  and
     9  one  hundred  fifty  thousand  dollars  or  less for a couple, and incur
    10  uncompensated expenses directly related to the care of a qualified fami-
    11  ly member. In addition, qualified caregivers must provide care to one or
    12  more eligible qualified family members during the taxable year,  and  be
    13  eligible  to  receive  a credit against the family caregiver's state tax
    14  liability for the taxable year.
    15    (3) The credit  established  pursuant  to  this  subsection  shall  be
    16  allowed  for  the taxable year in which the qualified caregiver incurred
    17  the qualified caregiving expense.  The  credit  established  under  this
    18  subsection  shall not exceed fifty percent of the total amount expended,
    19  and shall not exceed three thousand five hundred dollars.
    20    (4) If the allowable amount of the credit exceeds the taxes  otherwise
    21  due  under  this  article for the taxable year, the unused amount of the
    22  credit is waived, and may not be refunded, carried forward or  otherwise
    23  used to offset taxes.
    24    (5)  Eligible  qualified caregivers shall apply for the credit through
    25  the department. The commissioner, in consultation with the  commissioner
    26  of  the  department  of  health  and  the director of the office for the
    27  aging, shall issue a certification for an approved  application  to  the
    28  taxpayer  that states the amount of the credit allocated to the taxpayer
    29  and the allocation year.
    30    (6) The aggregate amount  of  tax  credits  allowed  pursuant  to  the
    31  authority  of  this subsection shall be thirty-five million dollars each
    32  year during the period two thousand  twenty-four  through  two  thousand
    33  twenty-six.  Such  aggregate amount of credits shall be allocated by the
    34  department on a first come first serve basis in order of priority  based
    35  upon the date of filing an application for allocation of credit with the
    36  department.  Once  the credits allocated exceed the limit established in
    37  this subsection, the commissioner shall cease to  allocate  and  certify
    38  tax credits to taxpayers.
    39    (7)  The  commissioner may require a qualified taxpayer to furnish the
    40  following information in support of his or her claim  for  credit  under
    41  this subsection: household adjusted gross income, the name of the eligi-
    42  ble  family  member  and  his  or  her identifying information including
    43  social security numbers, and all other information which may be required
    44  by the commissioner to determine the credit.
    45    (8) The commissioner, after consulting with the  commissioner  of  the
    46  department of health and the director of the office for the aging, shall
    47  by  October  thirty-first,  two  thousand  twenty-three promulgate regu-
    48  lations necessary and appropriate to carry  out  the  purposes  of  this
    49  subsection.  Notwithstanding any other provisions to the contrary in the
    50  state administrative procedure act, such rules and  regulations  may  be
    51  adopted  on an emergency basis if necessary to meet such October thirty-
    52  first, two thousand twenty-three deadline.
    53    (9) The department shall submit to the governor, the temporary  presi-
    54  dent  of the senate, and the speaker of the assembly an annual report by
    55  February first of each year evaluating the effectiveness of the caregiv-
    56  ing tax credit provided by this subsection. Such report shall  be  based

        A. 1830                             3

     1  on data available from the application filed with the department for any
     2  caregiving  credits. Notwithstanding any provision of law to the contra-
     3  ry, the information contained in the report shall be public information.
     4  The  report shall include recommendations for changes in the calculation
     5  or administration of the credit proposed by the department, in consulta-
     6  tion with the department of health and the office for  the  aging,  that
     7  are deemed useful and appropriate.
     8    § 2. This act shall take effect immediately and shall apply to taxable
     9  years  commencing  on  and  after  January  1,  2024;  provided that the
    10  provisions of this act shall expire and be deemed repealed  on  December
    11  31, 2026.
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