Bill Text: NY A08225 | 2021-2022 | General Assembly | Introduced
Bill Title: Relates to authorizing small business tax-deferred savings accounts for the purpose of improving facilities of such business and for procurement of machinery or equipment.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Introduced - Dead) 2022-06-01 - held for consideration in ways and means [A08225 Detail]
Download: New_York-2021-A08225-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 8225 2021-2022 Regular Sessions IN ASSEMBLY August 25, 2021 ___________ Introduced by M. of A. LAWLER -- read once and referred to the Committee on Ways and Means AN ACT to amend the tax law, in relation to authorizing the creation of small business tax-deferred savings accounts 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 9 of section 208 of the tax 2 law is amended by adding a new subparagraph 27 to read as follows: 3 (27) any deposit made by a small business as defined in section one 4 hundred thirty-one of the economic development law into a small business 5 tax-deferred savings account maintained by a banking organization as 6 defined in subdivision eleven of section two of the banking law and 7 established for the purposes of improving the facilities of such busi- 8 ness or for procurement of machinery or equipment or any interest earned 9 on any small business tax-deferred savings account. 10 § 2. Subdivision 9 of section 208 of the tax law is amended by adding 11 a new paragraph (c-4) to read as follows: 12 (c-4) Entire net income shall include any withdrawal exclusive of 13 interest income made by a small business as defined in section one 14 hundred thirty-one of the economic development law from a small business 15 tax-deferred savings account maintained by a banking organization as 16 defined in subdivision eleven of section two of the banking law and 17 established for the purposes of improving the facilities of such busi- 18 ness or for procurement of machinery or equipment and an additional ten 19 percent of any withdrawals exclusive of interest income from the small 20 business tax-deferred savings account not used for improving the facili- 21 ties of such business or for procurement of machinery or equipment. 22 § 3. Subsection (b) of section 612 of the tax law is amended by adding 23 a new paragraph 43 to read as follows: 24 (43) Any withdrawal exclusive of interest income made by a small busi- 25 ness as defined in section one hundred thirty-one of the economic devel- EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD04066-01-1A. 8225 2 1 opment law from a small business tax-deferred savings account maintained 2 by a banking organization as defined in subdivision eleven of section 3 two of the banking law and established for the purposes of improving the 4 facilities of such business or for procurement of machinery or equipment 5 and an additional ten percent of any withdrawals exclusive of interest 6 income from the small business tax-deferred savings account not used for 7 improving the facilities of such business or for procurement of machin- 8 ery or equipment. 9 § 4. Subsection (c) of section 612 of the tax law is amended by adding 10 a new paragraph 44 to read as follows: 11 (44) Any deposit made by a small business as defined in section one 12 hundred thirty-one of the economic development law into a small business 13 tax-deferred savings account maintained by a banking organization as 14 defined in subdivision eleven of section two of the banking law and 15 established for the purposes of improving the facilities of such busi- 16 ness or for procurement of machinery or equipment or any interest earned 17 on any small business tax-deferred savings account. 18 § 5. This act shall take effect immediately and shall apply to taxable 19 years beginning on or after January 1, 2022.