Bill Text: NY S04310 | 2013-2014 | General Assembly | Amended


Bill Title: Makes a reduced rate of interest applicable to certain additions of tax resulting from discovery after filing an estate tax return of certain assets belonging to the decedent held by the state comptroller as abandoned property.

Sponsorship: Partisan Bill (Republican 1)

Status: (Introduced - Dead) 2013-06-20 - SUBSTITUTED BY A5960A [S04310 Detail]

Download: New_York-2013-S04310-Amended.html
                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                        4310--A
                              2013-2014 Regular Sessions
                                   I N  S E N A T E
                                    March 20, 2013
                                      ___________
       Introduced  by  Sen.  MARCELLINO  -- read twice and ordered printed, and
         when printed to be committed to the Committee  on  Investigations  and
         Government  Operations  -- committee discharged, bill amended, ordered
         reprinted as amended and recommitted to said committee
       AN ACT to amend the tax law, in relation to making  a  reduced  rate  of
         interest  applicable  to  certain  additions  to tax resulting from an
         executor's discovery after the date for filing an estate tax return of
         certain assets belonging to the decedent held by the state comptroller
         as abandoned property; and to amend chapter 389 of the  laws  of  1997
         amending  the  tax  law and other laws relating to the estate and gift
         tax, and chapter 190 of the laws of 1990 amending the tax law relating
         to certain taxes, fees, and other impositions, in relation to rates of
         interest for certain estates
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section  1. The tax law is amended by adding a new section 991 to read
    2  as follows:
    3    S 991. INTEREST ACCRUAL RELIEF  FOR  ADDITIONAL  TAX  ATTRIBUTABLE  TO
    4  NEWLY-DISCOVERED ABANDONED PROPERTY. NOTWITHSTANDING ANY OTHER PROVISION
    5  OF  LAW,  IN COMPUTING THE INTEREST DUE ON AN ADDITION TO TAX OWED BY AN
    6  ESTATE ATTRIBUTABLE TO THE  INCLUSION  IN  THE  ESTATE'S  FEDERAL  GROSS
    7  ESTATE  OF  AN  ASSET HELD BY THE COMPTROLLER AS ABANDONED PROPERTY, THE
    8  COMMISSIONER SHALL APPLY THE INTEREST  RATE  USED  BY  THE  COMPTROLLER,
    9  PURSUANT TO SECTION FOURTEEN HUNDRED FIVE OF THE ABANDONED PROPERTY LAW,
   10  IN  COMPUTING  THE  INTEREST DUE ON SUCH ABANDONED PROPERTY WHILE IN THE
   11  COMPTROLLER'S POSSESSION (INCLUDING A ZERO RATE IF THE  COMPTROLLER  DID
   12  NOT PAY INTEREST ON SUCH PROPERTY) IF, AS OF THE DATE PRESCRIBED FOR THE
   13  FILING  OF  A  RETURN REQUIRED BY THIS ARTICLE, INCLUDING ANY EXTENSIONS
   14  GRANTED FOR FILING, INFORMATION PERTAINING TO  THE  ASSET  HAD  NOT  YET
   15  APPEARED  IN  THE  PUBLIC  RECORDS  OF ABANDONED PROPERTY REQUIRED TO BE
   16  MAINTAINED BY THE COMPTROLLER PURSUANT TO SECTION FOURTEEN  HUNDRED  ONE
   17  OF THE ABANDONED PROPERTY LAW.
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD09097-03-3
       S. 4310--A                          2
    1    S  2. Section 35 of part A of chapter 389 of the laws of 1997 amending
    2  the tax law and other laws relating to  the  estate  and  gift  tax,  is
    3  amended to read as follows:
    4    S  35.    All  provisions  of  law repealed or deleted by sections one
    5  through thirty-four of this act, and of the regulations  adopted  there-
    6  under,  in respect to the assessment, payment, determination, collection
    7  and refund of taxes or other impositions imposed thereunder, the  filing
    8  of returns and preservation of records for the purposes of such taxes or
    9  impositions,  the  secrecy  of  returns, and the disposition of revenues
   10  shall continue in effect with respect to all such taxes  or  impositions
   11  accrued  up to the effective date of this section[.]; PROVIDED, HOWEVER,
   12  THAT, IN COMPUTING THE INTEREST DUE ON AN ADDITION TO  TAX  OWED  BY  AN
   13  ESTATE  ATTRIBUTABLE TO THE INCLUSION IN THE ESTATE'S GROSS ESTATE OF AN
   14  ASSET HELD BY THE STATE COMPTROLLER AS ABANDONED PROPERTY,  THE  COMMIS-
   15  SIONER OF TAXATION AND FINANCE SHALL APPLY THE INTEREST RATE USED BY THE
   16  COMPTROLLER,  PURSUANT TO SECTION 1405 OF THE ABANDONED PROPERTY LAW, IN
   17  COMPUTING THE INTEREST DUE ON SUCH ABANDONED PROPERTY WHILE IN THE COMP-
   18  TROLLER'S POSSESSION (INCLUDING A ZERO RATE IF THE COMPTROLLER  DID  NOT
   19  PAY  INTEREST  ON  SUCH  PROPERTY) IF, AS OF THE DATE PRESCRIBED FOR THE
   20  FILING OF A RETURN, INCLUDING ANY EXTENSIONS GRANTED FOR FILING,  INFOR-
   21  MATION  PERTAINING  TO  THE  ASSET  HAD  NOT  YET APPEARED IN THE PUBLIC
   22  RECORDS OF ABANDONED PROPERTY REQUIRED TO BE  MAINTAINED  BY  THE  STATE
   23  COMPTROLLER PURSUANT TO SECTION 1401 OF THE ABANDONED PROPERTY LAW.
   24    S  3.  Paragraph 1 of subdivision (i) of section 385 of chapter 190 of
   25  the laws of 1990 amending the tax law relating to certain  taxes,  fees,
   26  and  other impositions, as amended by section 71 of part A of chapter 56
   27  of the laws of 1998, is amended to read as follows:
   28    (1) All provisions of articles 10-A, 10-B, 10-C and section 962 of the
   29  tax law (as repealed by section  one  hundred  eight  of  this  act)  in
   30  respect  to  the  imposition, rates, appraisal and valuation of estates,
   31  filing of tax, assessment, determination, payment, collection and refund
   32  of the taxes imposed or administered thereunder, the filing  of  reports
   33  and  returns,  the  final federal determinations, imposition of interest
   34  and penalties, the jurisdiction of surrogates' courts, provisions relat-
   35  ing to appeals and the disposition of revenues and fees  shall  continue
   36  in effect with respect to all such taxes accrued on or before the effec-
   37  tive  date  of  this  act,  except that (A) section 249-u of the tax law
   38  shall not be applicable after the effective date of this act,  (B)  with
   39  respect  to any of the provisions of article 10-C thereof relating to an
   40  appraiser, the appraiser shall  be  the  commissioner  of  taxation  and
   41  finance  or  his  designee on and after such date, and (C) the fee for a
   42  release of lien imposed by subdivision c of section  249-bb,  which  was
   43  applicable  to  estates  of decedents subject to tax under article 26 of
   44  the tax law by reason of section 962 thereof, shall not  be  applicable;
   45  PROVIDED  THAT,  WITH  REGARD  TO  AN  ADDITION TO TAX OWED BY AN ESTATE
   46  ATTRIBUTABLE TO THE INCLUSION IN THE ESTATE'S FEDERAL GROSS ESTATE OF AN
   47  ASSET HELD BY THE STATE COMPTROLLER AS ABANDONED PROPERTY,  NO  INTEREST
   48  SHALL  ACCRUE  FOR ANY PERIOD OF TIME IN WHICH THE STATE COMPTROLLER DID
   49  NOT PAY INTEREST ON THE ASSET IF, AS OF  THE  DATE  PRESCRIBED  FOR  THE
   50  FILING  OF A RETURN, INCLUDING ANY EXTENSIONS GRANTED FOR FILING, INFOR-
   51  MATION PERTAINING TO THE ASSET  HAD  NOT  YET  APPEARED  IN  THE  PUBLIC
   52  RECORDS  OF  ABANDONED  PROPERTY  REQUIRED TO BE MAINTAINED BY THE STATE
   53  COMPTROLLER PURSUANT TO SECTION 1401 OF THE ABANDONED PROPERTY LAW;
   54    S 4. This act shall take effect immediately and shall apply to estates
   55  of decedents dying on or after June 1, 1944, provided that no refunds or
   56  credit shall be granted as a result of any provision of this act.
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