Bill Text: NY A05629 | 2013-2014 | General Assembly | Introduced

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Bill Title: Exempts up to twelve thousand dollars of retirement and social security benefits from the definition of income.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2014-01-08 - referred to real property taxation [A05629 Detail]

Download: New_York-2013-A05629-Introduced.html

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                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         5629
                              2013-2014 Regular Sessions
                                 I N  A S S E M B L Y
                                     March 4, 2013
                                      ___________
       Introduced  by  M.  of  A.  ENGLEBRIGHT -- read once and referred to the
         Committee on Real Property Taxation
       AN ACT to amend the real property tax law, in relation to  exempting  up
         to  twelve thousand dollars of retirement and social security benefits
         from the definition of income
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section  1.  Paragraph (a) of subdivision 3 of section 467 of the real
    2  property tax law, as amended by chapter 259 of  the  laws  of  2009,  is
    3  amended to read as follows:
    4    (a) if the income of the owner or the combined income of the owners of
    5  the  property  for the income tax year immediately preceding the date of
    6  making application for exemption  exceeds  the  sum  of  three  thousand
    7  dollars, or such other sum not less than three thousand dollars nor more
    8  than twenty-six thousand dollars beginning July first, two thousand six,
    9  twenty-seven  thousand dollars beginning July first, two thousand seven,
   10  twenty-eight thousand dollars beginning July first, two thousand  eight,
   11  and  twenty-nine  thousand  dollars  beginning  July first, two thousand
   12  nine, as may be provided by  the  local  law,  ordinance  or  resolution
   13  adopted  pursuant to this section. Income tax year shall mean the twelve
   14  month period for which the owner or  owners  filed  a  federal  personal
   15  income  tax  return,  or  if no such return is filed, the calendar year.
   16  Where title is vested in either the husband or the wife, their  combined
   17  income  may  not  exceed  such sum, except where the husband or wife, or
   18  ex-husband or ex-wife is absent from the property as provided in subpar-
   19  agraph (ii) of paragraph (d) of this subdivision, then only  the  income
   20  of  the spouse or ex-spouse residing on the property shall be considered
   21  and may not exceed such sum. Such income shall include  social  security
   22  and  retirement  benefits, interest, dividends, total gain from the sale
   23  or exchange of a capital asset which may be offset by a  loss  from  the
   24  sale  or  exchange  of  a capital asset in the same income tax year, net
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD09380-01-3
       A. 5629                             2
    1  rental income, salary or earnings, and net income from  self-employment,
    2  but  shall  not include a return of capital, SOCIAL SECURITY AND RETIRE-
    3  MENT BENEFITS OF THE AMOUNT UP TO TWELVE THOUSAND DOLLARS, gifts, inher-
    4  itances, payments made to individuals because of their status as victims
    5  of Nazi persecution, as defined in P.L. 103-286 or monies earned through
    6  employment in the federal foster grandparent program and any such income
    7  shall  be  offset by all medical and prescription drug expenses actually
    8  paid which were not reimbursed or paid for by insurance, if the  govern-
    9  ing board of a municipality, after a public hearing, adopts a local law,
   10  ordinance  or  resolution providing therefor.   Furthermore, such income
   11  shall not include the proceeds of a reverse mortgage, as  authorized  by
   12  section  six-h  of  the banking law, and sections two hundred eighty and
   13  two hundred eighty-a of the real property law; provided,  however,  that
   14  monies used to repay a reverse mortgage may not be deducted from income,
   15  and  provided  additionally that any interest or dividends realized from
   16  the investment of reverse mortgage proceeds shall be considered  income.
   17  The  provisions of this paragraph notwithstanding, such income shall not
   18  include veterans disability compensation, as defined in Title 38 of  the
   19  United  States  Code  provided the governing board of such municipality,
   20  after public hearing,  adopts  a  local  law,  ordinance  or  resolution
   21  providing  therefor.  In computing net rental income and net income from
   22  self-employment no depreciation  deduction  shall  be  allowed  for  the
   23  exhaustion,  wear  and  tear  of  real or personal property held for the
   24  production of income;
   25    S 2. This act shall take effect immediately and shall apply to assess-
   26  ment rolls prepared on the basis of taxable status dates occurring on or
   27  after the thirty-first day of December after this act shall have  become
   28  a law.