Bill Text: NY A06450 | 2013-2014 | General Assembly | Introduced
Bill Title: Enhances tax incentives for the purchase of long-term care insurance policies; provides a credit of 75% of premium paid for the first year, 50% for the second year and 25% in the third year.
Spectrum: Partisan Bill (Democrat 12-0)
Status: (Introduced - Dead) 2014-01-08 - referred to ways and means [A06450 Detail]
Download: New_York-2013-A06450-Introduced.html
S T A T E O F N E W Y O R K ________________________________________________________________________ 6450 2013-2014 Regular Sessions I N A S S E M B L Y April 1, 2013 ___________ Introduced by M. of A. MORELLE, JAFFEE, TITONE, DenDEKKER, SCHIMMINGER, RUSSELL -- Multi-Sponsored by -- M. of A. BARRON, BRENNAN, GUNTHER, HOOPER, MAISEL, SWEENEY, WEISENBERG, WRIGHT -- read once and referred to the Committee on Ways and Means AN ACT to amend the tax law, in relation to long-term care insurance tax credits THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. Subdivision 1 of section 190 of the tax law, as amended by 2 section 17 of part B of chapter 58 of the laws of 2004, is amended to 3 read as follows: 4 1. General. A taxpayer shall be allowed a credit against the tax 5 imposed by this article, other than the taxes and fees imposed by 6 sections one hundred eighty and one hundred eighty-one of this article, 7 equal to [twenty] SEVENTY-FIVE percent of the premium paid during the 8 taxable year [for] IN WHICH THE long-term care insurance WAS PURCHASED, 9 FIFTY PERCENT OF THE PREMIUM PAID IN THE FOLLOWING YEAR AND TWENTY-FIVE 10 PERCENT OF THE PREMIUM PAID IN THE THIRD YEAR. In order to qualify for 11 such credit, the taxpayer's premium payment must be for the purchase of 12 or for continuing coverage under a long-term care insurance policy that 13 qualifies for such credit pursuant to section one thousand one hundred 14 seventeen of the insurance law. 15 S 2. Paragraph 1 of subsection (aa) of section 606 of the tax law, as 16 amended by section 1 of part P of chapter 61 of the laws of 2005, is 17 amended to read as follows: 18 (1) Residents. A taxpayer shall be allowed a credit against the tax 19 imposed by this article equal to [twenty] SEVENTY-FIVE percent of the 20 premium paid during the taxable year [for] IN WHICH THE long-term care 21 insurance WAS PURCHASED, FIFTY PERCENT OF THE PREMIUM PAID IN THE 22 FOLLOWING YEAR AND TWENTY-FIVE PERCENT OF THE PREMIUM PAID IN THE THIRD 23 YEAR. In order to qualify for such credit, the taxpayer's premium EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD06553-01-3 A. 6450 2 1 payment must be for the purchase of or for continuing coverage under a 2 long-term care insurance policy that qualifies for such credit pursuant 3 to section one thousand one hundred seventeen of the insurance law. If 4 the amount of the credit allowable under this subsection for any taxable 5 year shall exceed the taxpayer's tax for such year, the excess may be 6 carried over to the following year or years and may be deducted from the 7 taxpayer's tax for such year or years. 8 S 3. Paragraph 1 of subsection (k) of section 1456 of the tax law, as 9 amended by section 20 of part B of chapter 58 of the laws of 2004, is 10 amended to read as follows: 11 (1) A taxpayer shall be allowed a credit against the tax imposed by 12 this article equal to [twenty] SEVENTY-FIVE percent of the premium paid 13 during the taxable year [for] IN WHICH THE long-term care insurance WAS 14 PURCHASED, FIFTY PERCENT OF THE PREMIUM PAID IN THE FOLLOWING YEAR AND 15 TWENTY-FIVE PERCENT OF THE PREMIUM PAID IN THE THIRD YEAR. In order to 16 qualify for such credit, the taxpayer's premium payment must be for the 17 purchase of or for continuing coverage under a long-term care insurance 18 policy that qualifies for such credit pursuant to section one thousand 19 one hundred seventeen of the insurance law. 20 S 4. Paragraph 1 of subdivision (m) of section 1511 of the tax law, as 21 amended by section 21 of part B of chapter 58 of the laws of 2004, is 22 amended to read as follows: 23 (1) A taxpayer shall be allowed a credit against the tax imposed by 24 this article equal to [twenty] SEVENTY-FIVE percent of the premium paid 25 during the taxable year [for] IN WHICH THE long-term care insurance WAS 26 PURCHASED, FIFTY PERCENT OF THE PREMIUM PAID IN THE FOLLOWING YEAR AND 27 TWENTY-FIVE PERCENT OF THE PREMIUM PAID IN THE THIRD YEAR. In order to 28 qualify for such credit, the taxpayer's premium payment must be for the 29 purchase of or for continuing coverage under a long-term care insurance 30 policy that qualifies for such credit pursuant to section one thousand 31 one hundred seventeen of the insurance law. 32 S 5. Paragraph (a) of subdivision 25-a of section 210 of the tax law, 33 as amended by section 18 of part B of chapter 58 of the laws of 2004, is 34 amended to read as follows: 35 (a) A taxpayer shall be allowed a credit against the tax imposed by 36 this article equal to [twenty] SEVENTY-FIVE percent of the premium paid 37 during the taxable year [for] IN WHICH THE long-term care insurance WAS 38 PURCHASED, FIFTY PERCENT OF THE PREMIUM PAID IN THE FOLLOWING YEAR AND 39 TWENTY-FIVE PERCENT OF THE PREMIUM PAID IN THE THIRD YEAR. In order to 40 qualify for such credit, the taxpayer's premium payment must be for the 41 purchase of or for continuing coverage under a long-term care insurance 42 policy that qualifies for such credit pursuant to section one thousand 43 one hundred seventeen of the insurance law. 44 S 6. This act shall take effect immediately and shall apply to long- 45 term care insurance contracts purchased or entered into on and after 46 January 1, 2014.