Bill Text: NY S01545 | 2021-2022 | General Assembly | Introduced


Bill Title: Relates to additional exclusions for entire net income; includes deductions pursuant to IRC section 163.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced) 2021-01-13 - REFERRED TO BUDGET AND REVENUE [S01545 Detail]

Download: New_York-2021-S01545-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                          1545

                               2021-2022 Regular Sessions

                    IN SENATE

                                    January 13, 2021
                                       ___________

        Introduced  by Sens. BENJAMIN, KAPLAN -- read twice and ordered printed,
          and when printed to be committed to the Committee on Budget and Reven-
          ue

        AN ACT to amend the tax law and the administrative code of the  city  of
          New York, in relation to exclusions of the entire net income

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. Paragraph (b) of subdivision 9 of section 208  of  the  tax
     2  law  is  amended  by  adding  two new subparagraphs 27 and 28 to read as
     3  follows:
     4    (27) The amount disallowed as a deduction pursuant to paragraph one of
     5  subsection (j) of section 163 of the internal revenue code.
     6    (28) Any amount deducted by reason of a carry  forward  of  disallowed
     7  business interest pursuant to paragraph two of subsection (j) of section
     8  163 of the internal revenue code.
     9    §  2.  Subparagraphs  21  and  22 of paragraph (b) of subdivision 8 of
    10  section 11-652 of the administrative code  of  the  city  of  New  York,
    11  subparagraph  21 as added by section 3-a of part KK of chapter 59 of the
    12  laws of 2018, subparagraph 22 as amended by chapter 121 of the  laws  of
    13  2020,  are amended and two new subparagraphs 23 and 24 are added to read
    14  as follows:
    15    (21) the amount of any federal deduction allowed pursuant  to  section
    16  250(a)(1)(A) of the internal revenue code[.];
    17    (22)  For  taxable  years  beginning  in two thousand nineteen and two
    18  thousand twenty, the amount of the  increase  in  the  federal  interest
    19  deduction allowed pursuant to section 163(j)(10) of the internal revenue
    20  code[.];
    21    (23) the amount disallowed as a deduction pursuant to paragraph one of
    22  subsection (j) of section 163 of the internal revenue code;

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD04976-02-1

        S. 1545                             2

     1    (24)  any  amount  deducted by reason of a carry forward of disallowed
     2  business interest pursuant to paragraph two of subsection (j) of section
     3  163 of the internal revenue code.
     4    §  3. Paragraph 1 of subdivision (b) of section 1503 of the tax law is
     5  amended by adding a new subparagraph (W) to read as follows:
     6    (W) the amount disallowed as a deduction pursuant to paragraph one  of
     7  subsection (j) of section 163 of the internal revenue code.
     8    §  4. Paragraph 2 of subdivision (b) of section 1503 of the tax law is
     9  amended by adding a new subparagraph (Z) to read as follows:
    10    (Z) any amount deducted by reason of a  carry  forward  of  disallowed
    11  business interest pursuant to paragraph two of subsection (j) of section
    12  163 of the internal revenue code.
    13    § 5. This act shall take effect immediately and apply to taxable years
    14  beginning on or after January 1, 2021.
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