Bill Text: NY A04595 | 2021-2022 | General Assembly | Introduced
Bill Title: Imposes additional tax on certain business income and on business income included in an individual's New York taxable income.
Spectrum: Partisan Bill (Democrat 40-0)
Status: (Introduced - Dead) 2022-01-05 - referred to ways and means [A04595 Detail]
Download: New_York-2021-A04595-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 4595 2021-2022 Regular Sessions IN ASSEMBLY February 4, 2021 ___________ Introduced by M. of A. KELLES -- read once and referred to the Committee on Ways and Means AN ACT to amend the tax law, in relation to the imposition of additional tax on certain business income and on business income included in an individual's New York taxable income The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The tax law is amended by adding two new sections 209-N and 2 608 to read as follows: 3 § 209-N. Additional tax. 1. There is imposed an additional tax on a 4 taxpayer's business income base, as defined in section two hundred ten 5 of this article, at a rate equal to the difference between (i) the rate 6 of tax imposed in subparagraph (b) of paragraph one of section 11 of the 7 Internal Revenue Code (26 U.S. Code § 11(1)(b)), as in effect for the 8 year two thousand sixteen, and (ii) the current rate of tax imposed in 9 paragraph (b) of section 11 of the Internal Revenue Code (26 U.S. Code § 10 11(1)(b)). 11 2. The additional tax under this section shall be administered, and 12 penalties shall be imposed, under the same provisions of this article as 13 the tax imposed under section two hundred nine of this article. 14 § 608. Additional tax. 1. There is imposed an additional tax upon the 15 amount of an individual's New York taxable income that corresponds to 16 any deduction taken pursuant to section 199A of the Internal Revenue 17 Code (26 U.S. Code § 199A), or any successor provision thereto. This 18 section shall not apply to a taxpayer with a federal taxable income 19 below the threshold amount, as defined in section 199A(e) of the Inter- 20 nal Revenue Code, plus fifty thousand dollars for single filers or one 21 hundred thousand dollars in the case of a joint return. 22 2. The rate of such additional tax shall be equal to the highest 23 federal income tax rates in effect for the taxable year that would apply 24 to the amount deducted under section 199A of the Internal Revenue Code EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD07723-01-1A. 4595 2 1 (26 U.S. Code § 199A), or any successor provision thereto, but for the 2 application of such section. 3 3. The amount of an individual's New York taxable income that corre- 4 sponds to the amount of any deduction taken pursuant to section 199A of 5 the Internal Revenue Code (26 U.S. Code § 199A) is the amount that bears 6 the same relationship to the taxpayer's total New York taxable income as 7 the amount deducted under section 199A of the Internal Revenue Code (26 8 U.S. Code § 199A) bears to the taxpayer's total federal taxable income 9 as determined without regard to such deduction. 10 4. The additional tax under this section shall be administered, and 11 penalties shall be imposed, in the same manner as the other taxes 12 imposed by this article. 13 § 2. This act shall take effect immediately and shall apply to tax 14 year 2021.