Bill Text: NY S06573 | 2013-2014 | General Assembly | Introduced
Bill Title: Relates to increasing a pension exemption.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2014-02-07 - REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS [S06573 Detail]
Download: New_York-2013-S06573-Introduced.html
S T A T E O F N E W Y O R K ________________________________________________________________________ 6573 I N S E N A T E February 7, 2014 ___________ Introduced by Sen. RITCHIE -- 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 increasing a pension exemption THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. Paragraph 3-a of subsection (c) of section 612 of the tax 2 law, as amended by chapter 760 of the laws of 1992, is amended to read 3 as follows: 4 (3-a) Pensions and annuities received by an individual who has 5 attained the age of fifty-nine and one-half, not otherwise excluded 6 pursuant to paragraph three of this subsection, to the extent includible 7 in gross income for federal income tax purposes, but not in excess of 8 [twenty] SEVENTY-FIVE thousand dollars, which are periodic payments 9 attributable to personal services performed by such individual prior to 10 his retirement from employment, which arise (i) from an employer-employ- 11 ee relationship or (ii) from contributions to a retirement plan which 12 are deductible for federal income tax purposes. However, the term 13 "pensions and annuities" shall also include distributions received by an 14 individual who has attained the age of fifty-nine and one-half from an 15 individual retirement account or an individual retirement annuity, as 16 defined in section four hundred eight of the internal revenue code, and 17 distributions received by an individual who has attained the age of 18 fifty-nine and one-half from self-employed individual and owner-employee 19 retirement plans which qualify under section four hundred one of the 20 internal revenue code, whether or not the payments are periodic in 21 nature. Nevertheless, the term "pensions and annuities" shall not 22 include any lump sum distribution, as defined in subparagraph (A) of 23 paragraph four of subsection (e) of section four hundred two of the 24 internal revenue code and taxed under section six hundred three of this 25 article. Where a husband and wife file a joint state personal income tax 26 return, the modification provided for in this paragraph shall be 27 computed as if they were filing separate state personal income tax EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD13952-01-4 S. 6573 2 1 returns. Where a payment would otherwise come within the meaning of the 2 term "pensions and annuities" as set forth in this paragraph, except 3 that such individual is deceased, such payment shall, nevertheless, be 4 treated as a pension or annuity for purposes of this paragraph if such 5 payment is received by such individual's beneficiary. 6 S 2. This act shall take effect on the first of January next succeed- 7 ing the date on which it shall have become a law.