Bill Text: NY A02826 | 2011-2012 | General Assembly | Introduced

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Bill Title: Exempts self-employed persons from the MTA payroll tax.

Spectrum: Slight Partisan Bill (Republican 6-3)

Status: (Introduced - Dead) 2012-02-08 - enacting clause stricken [A02826 Detail]

Download: New_York-2011-A02826-Introduced.html

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                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         2826
                              2011-2012 Regular Sessions
                                 I N  A S S E M B L Y
                                   January 20, 2011
                                      ___________
       Introduced  by  M.  of  A.  CALHOUN, CONTE, THIELE, McDONOUGH, JAFFEE --
         Multi-Sponsored by -- M.  of A. BOYLE, CROUCH,  KOLB,  TOWNS  --  read
         once and referred to the Committee on Ways and Means
       AN  ACT to amend the tax law, in relation to the MTA payroll tax and net
         earnings from self-employment; and to  repeal  certain  provisions  of
         such law relating thereto
         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1. Subdivision (e) of section 800 of the tax law is REPEALED.
    2    S 2. Section 801 of the tax law, as added by section 1 of  part  C  of
    3  chapter 25 of the laws of 2009, is amended to read as follows:
    4    S 801. Imposition of tax and rate. (a) For the sole purpose of provid-
    5  ing  an  additional stable and reliable dedicated funding source for the
    6  metropolitan transportation authority and its  subsidiaries  and  affil-
    7  iates to preserve, operate and improve essential transit and transporta-
    8  tion  services  in  the metropolitan commuter transportation district, a
    9  tax is hereby imposed at a rate of thirty-four hundredths (.34)  percent
   10  of  [(1)]  the payroll expense of every employer who engages in business
   11  within the MCTD [and (2) the net earnings from self-employment of  indi-
   12  viduals  that are attributable to the MCTD if such earnings attributable
   13  to the MCTD exceed ten thousand dollars for the tax year].
   14    (b)[(1) An individual having net earnings  from  self-employment  from
   15  activity  both  within and without the metropolitan commuter transporta-
   16  tion district is required to allocate and apportion such net earnings to
   17  the MCTD in the manner required  for  allocation  and  apportionment  of
   18  income under article twenty-two of this chapter.
   19    (2) In the case of individuals with earnings from self-employment, the
   20  net  earnings  from  self  employment  threshold  in  paragraph  two  of
   21  subsection (a) of this section will be computed on an  individual  basis
   22  regardless  of whether that individual filed a joint personal income tax
   23  return.
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD02862-01-1
       A. 2826                             2
    1    (c)] The determination of whether a covered employee is employed with-
    2  in the MCTD will be made by utilizing the rules applicable to the juris-
    3  diction of employment for  purposes  of  the  statewide  wage  reporting
    4  system  under  section  one  hundred  seventy-one-a  of this chapter and
    5  substituting the MCTD for the state in that application.
    6    S 3. Subdivision (b) of section 804 of the tax law is REPEALED.
    7    S 4. This act shall take effect immediately.