Bill Text: NY S01594 | 2009-2010 | General Assembly | Introduced
Bill Title: Establishes a credit against personal income taxes for certain tuition expenses for taxpayers who qualify for an earned income tax credit, in the amount of 10% of the EIC, up to $500 per eligible dependent child; provides for a modification of gross taxable income for elementary and secondary school tuition for personal income tax purposes.
Spectrum: Partisan Bill (Republican 8-0)
Status: (Introduced - Dead) 2010-01-06 - REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS [S01594 Detail]
Download: New_York-2009-S01594-Introduced.html
S T A T E O F N E W Y O R K
________________________________________________________________________
1594
2009-2010 Regular Sessions
I N S E N A T E
February 3, 2009
___________
Introduced by Sens. GOLDEN, ALESI, DeFRANCISCO, HANNON, O. JOHNSON,
LANZA, MORAHAN, VOLKER -- read twice and ordered printed, and when
printed to be committed to the Committee on Investigations and Govern-
ment Operations
AN ACT to amend the tax law, in relation to a credit against personal
income taxes for certain tuition expenses; to amend the tax law and
the administrative code of the city of New York, in relation to
providing for a modification of elementary and secondary school
tuition for personal income tax purposes; and repealing certain
provisions of such laws relating thereto
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
1 Section 1. Section 606 of the tax law is amended by adding a new
2 subsection (qq) to read as follows:
3 (QQ) TUITION TAX CREDIT. (1) GENERAL. A RESIDENT TAXPAYER SHALL BE
4 ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY THIS ARTICLE, IN THE AMOUNT
5 OF TEN PERCENT OF THE EARNED INCOME CREDIT SUCH TAXPAYER IS ALLOWED
6 UNDER SECTION THIRTY-TWO OF THE INTERNAL REVENUE CODE FOR THE SAME TAXA-
7 BLE YEAR, MULTIPLIED BY THE NUMBER OF DEPENDENTS ATTENDING AN ELEMENTARY
8 OR SECONDARY PUBLIC OR NONPUBLIC SCHOOL ON A FULL-TIME BASIS FOR AT
9 LEAST THREE MONTHS DURING THE REGULAR SCHOOL YEAR, FOR THE EDUCATION OF
10 SUCH DEPENDENT IN GRADES KINDERGARTEN THROUGH TWELVE, PROVIDED THAT SUCH
11 CREDIT SHALL NOT EXCEED FIVE HUNDRED DOLLARS PER DEPENDENT CHILD AND
12 PROVIDED FURTHER THAT SUCH TAXPAYER IS ALLOWED AN EXEMPTION UNDER
13 SECTION SIX HUNDRED SIXTEEN OF THIS ARTICLE FOR SUCH DEPENDENT. THE
14 CREDIT UNDER THIS SUBSECTION SHALL NOT EXCEED THE AMOUNT PAID FOR EACH
15 SUCH DEPENDENT IN TUITION TO SUCH ELEMENTARY OR SECONDARY PUBLIC OR
16 NONPUBLIC SCHOOL FOR SUCH EDUCATION OF SUCH DEPENDENT.
17 (2) DEFINITIONS. (A) "TUITION", AS USED IN THIS SUBSECTION, SHALL MEAN
18 THE AMOUNT ACTUALLY PAID DURING THE TAXABLE YEAR BY THE TAXPAYER FOR THE
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD06321-01-9
S. 1594 2
1 ENROLLMENT OF A DEPENDENT DURING THE REGULAR SCHOOL YEAR AT AN ELEMENTA-
2 RY OR SECONDARY PUBLIC OR NONPUBLIC SCHOOL.
3 (B) "NONPUBLIC SCHOOL", AS USED IN THIS SUBSECTION, SHALL MEAN ANY
4 NON-PROFIT ELEMENTARY OR SECONDARY SCHOOL IN THE STATE OF NEW YORK,
5 OTHER THAN A PUBLIC SCHOOL, WHICH (I) IS PROVIDING INSTRUCTION IN
6 ACCORDANCE WITH ARTICLE SEVENTEEN AND SECTION THIRTY-TWO HUNDRED FOUR OF
7 THE EDUCATION LAW, (II) HAS NOT BEEN FOUND TO BE IN VIOLATION OF TITLE
8 VI OF THE CIVIL RIGHTS ACT OF NINETEEN HUNDRED SIXTY-FOUR, 78 STAT. 252,
9 42 U.S.C. SEC. 2000 (D) AND (III) WHICH IS ENTITLED TO A TAX EXEMPTION
10 UNDER SECTIONS FIVE HUNDRED ONE (A) AND FIVE HUNDRED ONE (C)(3) OF THE
11 INTERNAL REVENUE CODE. THE COMMISSIONER OF EDUCATION SHALL FURNISH TO
12 THE COMMISSIONER BY JANUARY FIRST OF EACH YEAR, A CERTIFIED LIST OF
13 NONPUBLIC SCHOOLS WHICH COMPLY WITH CLAUSE (I) OF THIS SUBPARAGRAPH FOR
14 THE PRECEDING CALENDAR YEAR AND SHALL PROVIDE SUCH OTHER ASSISTANCE WITH
15 RESPECT TO WHETHER NONPUBLIC SCHOOLS COME WITHIN SUCH CLAUSE (I) AS THE
16 COMMISSIONER MAY REQUIRE.
17 (C) "PUBLIC SCHOOL", AS USED IN THIS SUBSECTION, SHALL MEAN ANY
18 ELEMENTARY OR SECONDARY SCHOOL IN THE STATE OF NEW YORK THAT IS SUBJECT
19 TO THE SUPERVISION OF THE COMMISSIONER OF EDUCATION PURSUANT TO SECTION
20 THREE HUNDRED NINE OF THE EDUCATION LAW. PUBLIC SCHOOL SHALL INCLUDE ANY
21 CHARTER SCHOOL ORGANIZED PURSUANT TO ARTICLE FIFTY-SIX OF THE EDUCATION
22 LAW.
23 (D) "REGULAR SCHOOL YEAR", AS USED IN THIS SUBSECTION, SHALL MEAN THE
24 MONTHS OF THE TAXABLE YEAR EXCLUSIVE OF JULY AND AUGUST.
25 S 2. Subsection (j) of section 612 of the tax law is REPEALED and a
26 new subsection (j) is added to read as follows:
27 (J) TUITION TAX DEDUCTION. (1) GENERAL. AN INDIVIDUAL SHALL BE ENTI-
28 TLED TO SUBTRACT FROM HIS OR HER FEDERAL ADJUSTED GROSS INCOME AN AMOUNT
29 NOT EXCEEDING THE AMOUNT SHOWN IN THE TABLE SET FORTH IN THIS PARAGRAPH,
30 MULTIPLIED BY THE NUMBER OF DEPENDENTS ATTENDING AN ELEMENTARY OR
31 SECONDARY PUBLIC OR NONPUBLIC SCHOOL ON A FULL-TIME BASIS FOR AT LEAST
32 THREE MONTHS DURING THE REGULAR SCHOOL YEAR FOR THE EDUCATION OF SUCH
33 DEPENDENT IN GRADES KINDERGARTEN THROUGH TWELVE, PROVIDED SUCH INDIVID-
34 UAL IS ALLOWED AN EXEMPTION UNDER SECTION SIX HUNDRED SIXTEEN OF THIS
35 PART FOR SUCH DEPENDENT. PROVIDED, FURTHER, THAT THE DEDUCTION UNDER
36 THIS PARAGRAPH SHALL NOT EXCEED THE AMOUNT PAID FOR EACH SUCH DEPENDENT
37 IN TUITION TO SUCH ELEMENTARY OR SECONDARY PUBLIC OR NONPUBLIC SCHOOL
38 FOR SUCH EDUCATION OF SUCH DEPENDENT.
39 (A) FOR THE TAXABLE YEAR BEGINNING JANUARY 1, 2009,
40 IF THE FEDERAL THE AMOUNT
41 ADJUSTED GROSS ALLOWABLE FOR EACH
42 INCOME IS: DEPENDENT IS:
43 LESS THAN $115,000 $2,500
44 115,000--119,999 2,150
45 120,000--124,999 1,800
46 125,000--129,999 1,450
47 130,000--134,999 1,100
48 135,000--139,999 750
49 140,000--144,999 400
50 145,000--149,999 50
51 150,000 AND OVER 0
52 (B) FOR THE TAXABLE YEAR BEGINNING JANUARY 1, 2010,
53 IF THE FEDERAL THE AMOUNT
54 ADJUSTED GROSS ALLOWABLE FOR EACH
55 INCOME IS: DEPENDENT IS:
S. 1594 3
1 LESS THAN $115,000 $5,000
2 115,000--119,999 4,300
3 120,000--124,999 3,600
4 125,000--129,999 2,900
5 130,000--134,999 2,200
6 135,000--139,999 1,500
7 140,000--144,999 800
8 145,000--149,999 100
9 150,000 AND OVER 0
10 (C) FOR THE TAXABLE YEARS BEGINNING JANUARY 1, 2011,
11 IF THE FEDERAL THE AMOUNT
12 ADJUSTED GROSS ALLOWABLE FOR EACH
13 INCOME IS: DEPENDENT IS:
14 LESS THAN $115,000 $7,500
15 115,000--119,999 6,450
16 120,000--124,999 5,400
17 125,000--129,999 4,350
18 130,000--134,999 3,300
19 135,000--139,999 2,250
20 140,000--144,999 1,200
21 145,000--149,999 150
22 150,000 AND OVER 0
23 (D) FOR THE TAXABLE YEAR BEGINNING JANUARY 1, 2012 AND THEREAFTER,
24 IF THE FEDERAL THE AMOUNT
25 ADJUSTED GROSS ALLOWABLE FOR EACH
26 INCOME IS: DEPENDENT IS:
27 LESS THAN $115,000 $10,000
28 115,000--119,999 8,750
29 120,000--124,999 7,500
30 125,000--129,999 6,250
31 130,000--134,999 5,000
32 135,000--139,999 3,750
33 140,000--144,999 2,500
34 145,000--149,999 1,250
35 150,000 AND OVER 0
36 (2) HUSBAND AND WIFE. IN DETERMINING THE APPLICABLE FEDERAL ADJUSTED
37 GROSS INCOME OF A HUSBAND AND WIFE WHO FILE JOINTLY ON THEIR FEDERAL
38 TAX RETURN, WHETHER OR NOT THEY FILE SEPARATE NEW YORK STATE RETURNS,
39 FOR PURPOSES OF THE TABLE SET FORTH IN PARAGRAPH ONE OF THIS
40 SUBSECTION, THE FEDERAL ADJUSTED GROSS INCOME OF A HUSBAND AND WIFE
41 SHALL BE THE AGGREGATE OF THEIR FEDERAL ADJUSTED GROSS INCOMES FOR THE
42 TAXABLE YEAR. THE HUSBAND OR WIFE TAXPAYER WHO CLAIMS AN EXEMPTION FOR
43 THE DEPENDENT ON HIS OR HER NEW YORK STATE INCOME TAX RETURN SHALL BE
44 ALLOWED TO TAKE THE DEDUCTION PRESCRIBED IN PARAGRAPH ONE OF THIS
45 SUBSECTION.
46 (3) DEFINITIONS. (A) "TUITION", AS USED IN THIS SUBSECTION, SHALL MEAN
47 THE AMOUNT ACTUALLY PAID DURING THE TAXABLE YEAR BY THE TAXPAYER FOR THE
48 ENROLLMENT OF A DEPENDENT DURING THE REGULAR SCHOOL YEAR AT AN ELEMENTA-
49 RY OR SECONDARY PUBLIC OR NONPUBLIC SCHOOL.
50 (B) "NONPUBLIC SCHOOL", AS USED IN THIS SUBSECTION, SHALL MEAN ANY
51 NON-PROFIT ELEMENTARY OR SECONDARY SCHOOL IN THE STATE OF NEW YORK,
52 OTHER THAN A PUBLIC SCHOOL, WHICH (I) IS PROVIDING INSTRUCTION IN
53 ACCORDANCE WITH ARTICLE SEVENTEEN AND SECTION THIRTY-TWO HUNDRED FOUR OF
54 THE EDUCATION LAW, (II) HAS NOT BEEN FOUND TO BE IN VIOLATION OF TITLE
S. 1594 4
1 VI OF THE CIVIL RIGHTS ACT OF NINETEEN HUNDRED SIXTY-FOUR, 78 STAT.
2 252, 42 U.S.C. SEC. 2000 (D) AND (III) WHICH IS ENTITLED TO A TAX
3 EXEMPTION UNDER SECTIONS FIVE HUNDRED ONE (A) AND FIVE HUNDRED ONE (C)
4 (3) OF THE INTERNAL REVENUE CODE. THE COMMISSIONER OF EDUCATION SHALL
5 FURNISH TO THE COMMISSIONER BY JANUARY FIRST OF EACH YEAR, A CERTIFIED
6 LIST OF NONPUBLIC SCHOOLS WHICH COMPLY WITH CLAUSE (I) OF THIS SUBPARA-
7 GRAPH FOR THE PRECEDING CALENDAR YEAR AND SHALL PROVIDE SUCH OTHER
8 ASSISTANCE WITH RESPECT TO WHETHER NONPUBLIC SCHOOLS COME WITHIN SUCH
9 CLAUSE (I) AS THE COMMISSIONER MAY REQUIRE.
10 (C) "PUBLIC SCHOOL", AS USED IN THIS SUBSECTION, SHALL MEAN ANY
11 ELEMENTARY OR SECONDARY SCHOOL IN THE STATE OF NEW YORK THAT IS SUBJECT
12 TO THE SUPERVISION OF THE COMMISSIONER OF EDUCATION PURSUANT TO SECTION
13 THREE HUNDRED NINE OF THE EDUCATION LAW. PUBLIC SCHOOL SHALL INCLUDE ANY
14 CHARTER SCHOOL ORGANIZED PURSUANT TO ARTICLE FIFTY-SIX OF THE EDUCATION
15 LAW.
16 (D) "REGULAR SCHOOL YEAR", AS USED IN THIS SUBSECTION, SHALL MEAN THE
17 MONTHS OF THE TAXABLE YEAR EXCLUSIVE OF JULY AND AUGUST.
18 (4) ADDITIONAL INFORMATION. ANY CLAIM FOR A MODIFICATION UNDER THIS
19 SUBSECTION SHALL BE ACCOMPANIED BY SUCH INFORMATION AS THE COMMISSIONER
20 MAY REQUIRE.
21 S 3. Subdivision (j) of section 11-1712 of the administrative code of
22 the city of New York is REPEALED and a new subdivision (j) is added to
23 read as follows:
24 (J) TUITION TAX DEDUCTION. (1) GENERAL. AN INDIVIDUAL SHALL BE ENTI-
25 TLED TO SUBTRACT FROM HIS OR HER FEDERAL ADJUSTED GROSS INCOME AN AMOUNT
26 NOT EXCEEDING THE AMOUNT SHOWN IN THE TABLE SET FORTH IN THIS PARAGRAPH,
27 MULTIPLIED BY THE NUMBER OF DEPENDENTS ATTENDING AN ELEMENTARY OR
28 SECONDARY PUBLIC OR NONPUBLIC SCHOOL ON A FULL-TIME BASIS FOR AT LEAST
29 THREE MONTHS DURING THE REGULAR SCHOOL YEAR FOR THE EDUCATION OF SUCH
30 DEPENDENT IN GRADES KINDERGARTEN THROUGH TWELVE, PROVIDED SUCH INDIVID-
31 UAL IS ALLOWED AN EXEMPTION UNDER SECTION 11-1716 OF THIS SUBCHAPTER FOR
32 SUCH DEPENDENT. PROVIDED, FURTHER, THAT THE DEDUCTION UNDER THIS PARA-
33 GRAPH SHALL NOT EXCEED THE AMOUNT PAID FOR EACH SUCH DEPENDENT IN
34 TUITION TO SUCH ELEMENTARY OR SECONDARY PUBLIC OR NONPUBLIC SCHOOL FOR
35 SUCH EDUCATION OF SUCH DEPENDENT.
36 (A) FOR THE TAXABLE YEAR BEGINNING JANUARY 1, 2009,
37 IF THE FEDERAL THE AMOUNT
38 ADJUSTED GROSS ALLOWABLE FOR EACH
39 INCOME IS: DEPENDENT IS:
40 LESS THAN $115,000 $2,500
41 115,000--119,999 2,150
42 120,000--124,999 1,800
43 125,000--129,999 1,450
44 130,000--134,999 1,100
45 135,000--139,999 750
46 140,000--144,999 400
47 145,000--149,999 50
48 150,000 AND OVER 0
49 (B) FOR THE TAXABLE YEAR BEGINNING JANUARY 1, 2010,
50 IF THE FEDERAL THE AMOUNT
51 ADJUSTED GROSS ALLOWABLE FOR EACH
52 INCOME IS: DEPENDENT IS:
53 LESS THAN $115,000 $5,000
54 115,000--119,999 4,300
S. 1594 5
1 120,000--124,999 3,600
2 125,000--129,999 2,900
3 130,000--134,999 2,200
4 135,000--139,999 1,500
5 140,000--144,999 800
6 145,000--149,999 100
7 150,000 AND OVER 0
8 (C) FOR THE TAXABLE YEARS BEGINNING JANUARY 1, 2011,
9 IF THE FEDERAL THE AMOUNT
10 ADJUSTED GROSS ALLOWABLE FOR EACH
11 INCOME IS: DEPENDENT IS:
12 LESS THAN $115,000 $7,500
13 115,000--119,999 6,450
14 120,000--124,999 5,400
15 125,000--129,999 4,350
16 130,000--134,999 3,300
17 135,000--139,999 2,250
18 140,000--144,999 1,200
19 145,000--149,999 150
20 150,000 AND OVER 0
21 (D) FOR THE TAXABLE YEAR BEGINNING JANUARY 1, 2012 AND THEREAFTER,
22 IF THE FEDERAL THE AMOUNT
23 ADJUSTED GROSS ALLOWABLE FOR EACH
24 INCOME IS: DEPENDENT IS:
25 LESS THAN $115,000 $10,000
26 115,000--119,999 8,750
27 120,000--124,999 7,500
28 125,000--129,999 6,250
29 130,000--134,999 5,000
30 135,000--139,999 3,750
31 140,000--144,999 2,500
32 145,000--149,999 1,250
33 150,000 AND OVER 0
34 (2) HUSBAND AND WIFE. IN DETERMINING THE APPLICABLE FEDERAL ADJUSTED
35 GROSS INCOME OF A HUSBAND AND WIFE WHO FILE JOINTLY ON THEIR FEDERAL TAX
36 RETURN, WHETHER OR NOT THEY FILE SEPARATE NEW YORK STATE RETURNS, FOR
37 PURPOSES OF THE TABLE SET FORTH IN PARAGRAPH ONE OF THIS SUBDIVISION,
38 THE FEDERAL ADJUSTED GROSS INCOME OF A HUSBAND AND WIFE SHALL BE THE
39 AGGREGATE OF THEIR FEDERAL ADJUSTED GROSS INCOMES FOR THE TAXABLE YEAR.
40 THE HUSBAND OR WIFE TAXPAYER WHO CLAIMS AN EXEMPTION FOR THE DEPENDENT
41 ON HIS OR HER NEW YORK CITY INCOME TAX RETURN SHALL BE ALLOWED TO TAKE
42 THE DEDUCTION PRESCRIBED IN PARAGRAPH ONE OF THIS SUBDIVISION.
43 (3) DEFINITIONS. (A) "TUITION", AS USED IN THIS SUBDIVISION, SHALL
44 MEAN THE AMOUNT ACTUALLY PAID DURING THE TAXABLE YEAR BY THE TAXPAYER
45 FOR THE ENROLLMENT OF A DEPENDENT DURING THE REGULAR SCHOOL YEAR AT AN
46 ELEMENTARY OR SECONDARY PUBLIC OR NONPUBLIC SCHOOL.
47 (B) "NONPUBLIC SCHOOL", AS USED IN THIS SUBDIVISION, SHALL MEAN ANY
48 NON-PROFIT ELEMENTARY OR SECONDARY SCHOOL IN THE STATE OF NEW YORK,
49 OTHER THAN A PUBLIC SCHOOL, WHICH (I) IS PROVIDING INSTRUCTION IN
50 ACCORDANCE WITH ARTICLE SEVENTEEN AND SECTION THIRTY-TWO HUNDRED FOUR
51 OF THE EDUCATION LAW, (II) HAS NOT BEEN FOUND TO BE IN VIOLATION OF
52 TITLE VI OF THE CIVIL RIGHTS ACT OF NINETEEN HUNDRED SIXTY-FOUR, 78
53 STAT. 252, 42 U.S.C. SEC. 2000 (D) AND (III) WHICH IS ENTITLED TO A TAX
54 EXEMPTION UNDER SECTIONS FIVE HUNDRED ONE (A) AND FIVE HUNDRED ONE (C)
S. 1594 6
1 (3) OF THE INTERNAL REVENUE CODE. THE COMMISSIONER OF EDUCATION SHALL
2 FURNISH TO THE COMMISSIONER BY JANUARY FIRST OF EACH YEAR, A CERTIFIED
3 LIST OF NONPUBLIC SCHOOLS WHICH COMPLY WITH CLAUSE (I) OF THIS SUBPARA-
4 GRAPH FOR THE PRECEDING CALENDAR YEAR AND SHALL PROVIDE SUCH OTHER
5 ASSISTANCE WITH RESPECT TO WHETHER NONPUBLIC SCHOOLS COME WITHIN SUCH
6 CLAUSE (I) AS THE COMMISSIONER MAY REQUIRE.
7 (C) "PUBLIC SCHOOL", AS USED IN THIS SUBDIVISION, SHALL MEAN ANY
8 ELEMENTARY OR SECONDARY SCHOOL IN THE STATE OF NEW YORK THAT IS SUBJECT
9 TO THE SUPERVISION OF THE COMMISSIONER OF EDUCATION PURSUANT TO SECTION
10 THREE HUNDRED NINE OF THE EDUCATION LAW. PUBLIC SCHOOL SHALL INCLUDE ANY
11 CHARTER SCHOOL ORGANIZED PURSUANT TO ARTICLE FIFTY-SIX OF THE EDUCATION
12 LAW.
13 (D) "REGULAR SCHOOL YEAR", AS USED IN THIS SUBDIVISION, SHALL MEAN THE
14 MONTHS OF THE TAXABLE YEAR EXCLUSIVE OF JULY AND AUGUST.
15 (4) ADDITIONAL INFORMATION. ANY CLAIM FOR A MODIFICATION UNDER THIS
16 SUBDIVISION SHALL BE ACCOMPANIED BY SUCH INFORMATION AS THE COMMISSIONER
17 MAY REQUIRE.
18 S 4. This act shall take effect immediately and shall apply to taxable
19 years beginning on or after January 1, 2009.
