Bill Text: NY A03437 | 2021-2022 | General Assembly | Amended
Bill Title: Establishes a tax credit for rent paid on the personal residence of certain taxpayers who lease the taxpayer's primary residence during the taxable year and who pay rent with respect to such residence in excess of thirty percent of such taxpayer's gross income for such taxable year.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2022-08-03 - print number 3437a [A03437 Detail]
Download: New_York-2021-A03437-Amended.html
STATE OF NEW YORK ________________________________________________________________________ 3437--A 2021-2022 Regular Sessions IN ASSEMBLY January 26, 2021 ___________ Introduced by M. of A. L. ROSENTHAL -- read once and referred to the Committee on Ways and Means -- recommitted to the Committee on Ways and Means in accordance with Assembly Rule 3, sec. 2 -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the tax law, in relation to establishing a tax credit for rent paid on the personal residence of certain taxpayers 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 (nnn) to read as follows: 3 (nnn) Rent relief credit. (1) Allowance of credit. A qualified taxpay- 4 er shall be allowed a credit to be computed as provided in paragraph two 5 of this subsection against the tax imposed by this article. 6 (2) Computation of credit. (A) Except as provided in subparagraphs (B) 7 and (C) of this paragraph the amount of the credit allowed under this 8 subsection shall be as follows: 9 (i) One hundred percent of the excess of thirty percent of the taxpay- 10 er's gross income such taxpayer pays in rent for such taxable year for 11 taxpayers whose gross income is twenty-five thousand dollars or less; 12 (ii) Seventy-five percent of the excess of thirty percent of the 13 taxpayer's gross income such taxpayer pays in rent for such taxable year 14 for taxpayers whose gross income is greater than twenty-five thousand 15 dollars but less than fifty thousand dollars; 16 (iii) Fifty percent of the excess of thirty percent of the taxpayer's 17 gross income such taxpayer pays in rent for such taxable year for 18 taxpayers whose gross income is fifty thousand dollars or greater but 19 less than seventy-five thousand dollars; 20 (iv) Twenty-five percent of the excess of thirty percent of the 21 taxpayer's gross income such taxpayer pays in rent for such taxable year EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD00934-02-2A. 3437--A 2 1 for taxpayers whose gross income is seventy-five thousand dollars or 2 greater but less than one hundred thousand dollars; or 3 (v) Zero percent of the excess of thirty percent of the taxpayer's 4 gross income such taxpayer pays in rent for such taxable year for 5 taxpayers whose gross income is one hundred thousand dollars or greater. 6 (B) Notwithstanding the provisions of subparagraph (A) of this para- 7 graph, where the primary residence of a taxpayer is located in an area 8 for which, under the rule published in the federal register on November 9 sixteenth of two thousand sixteen (81 Fed. Reg. 80567), the small area 10 fair market rent is used for purposes of the federal housing choice 11 voucher program the amount of the credit allowed under this subsection 12 shall be as follows: 13 (i) One hundred percent of the excess of thirty percent of the taxpay- 14 er's gross income such taxpayer pays in rent for such taxable year for 15 taxpayers whose gross income is twenty-five thousand dollars or less; 16 (ii) Seventy-five percent of the excess of thirty percent of the 17 taxpayer's gross income such taxpayer pays in rent for such taxable year 18 for taxpayers whose gross income is greater than twenty-five thousand 19 dollars but less than fifty thousand dollars; 20 (iii) Fifty percent of the excess of thirty percent of the taxpayer's 21 gross income such taxpayer pays in rent for such taxable year for 22 taxpayers whose gross income is fifty thousand dollars or greater but 23 less than seventy-five thousand dollars; 24 (iv) Twenty-five percent of the excess of thirty percent of the 25 taxpayer's gross income such taxpayer pays in rent for such taxable year 26 for taxpayers whose gross income is seventy-five thousand dollars or 27 greater but less than one hundred twenty-five thousand dollars; or 28 (v) Zero percent of the excess of thirty percent of the taxpayer's 29 gross income such taxpayer pays in rent for such taxable year for 30 taxpayers whose gross income is one hundred twenty-five thousand dollars 31 or greater. 32 (C) Notwithstanding the provisions of subparagraph (A) or (B) of this 33 paragraph, where the rent of the primary residence of a taxpayer is 34 subsidized under a federal, state, local or tribal program, the amount 35 of the credit allowed under this subsection shall be equal to one- 36 twelfth of the amount of rent paid by such taxpayer that is not subsi- 37 dized under any such program during the taxable year with respect to 38 such residence. 39 (3) Limitation on amount of credit. For the purposes of determining 40 the amount of the credit allowed under this subsection, with respect to 41 a primary residence for the taxable year, there shall not be taken into 42 account rent in excess of an amount equal to one hundred fifty percent 43 of the fair market rent, including the utility allowance, applicable to 44 such residence, as most recently published, as of the beginning of the 45 taxable year, by the United States department of housing and urban 46 development. 47 (4) Application of credit. If the amount of the credit allowed under 48 this subsection for any taxable year shall exceed the taxpayer's tax for 49 such year, the excess shall be treated as an overpayment of tax to be 50 credited or refunded in accordance with the provisions of section six 51 hundred eighty-six of this article, provided, however, that no interest 52 shall be paid thereon. 53 (5) Administration. The commissioner shall have the authority to 54 promulgate such rules and regulations as may be necessary for the proc- 55 essing, determination and granting of credits under this subsection.A. 3437--A 3 1 (6) Definitions. As used in this subsection, the following terms shall 2 have the following meanings: 3 (A) "Qualified taxpayer" shall mean an individual who leases the indi- 4 vidual's primary residence during the taxable year and who pays rent 5 with respect to such residence in excess of thirty percent of such 6 taxpayer's gross income for such taxable year. 7 (B) "Rent" shall include any amount paid for utilities. 8 (C) "Gross income" shall mean the federal adjusted gross income of a 9 taxpayer. 10 § 2. This act shall take effect on the first of January next succeed- 11 ing the date on which it shall have become a law, and shall apply to 12 taxable years commencing on and after such date. Effective immediately, 13 the addition, amendment and/or repeal of any rule or regulation neces- 14 sary for the implementation of this act on its effective date are 15 authorized to be made and completed on or before such effective date.
