Bill Text: NY S06800 | 2021-2022 | General Assembly | Amended

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Bill Title: Relates to treatment of gains from qualified opportunity zones in calculating taxable income; removes exclusion of gains on property in qualified opportunity zones in calculation of income.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Engrossed - Dead) 2022-05-24 - referred to ways and means [S06800 Detail]

Download: New_York-2021-S06800-Amended.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                         6800--A

                               2021-2022 Regular Sessions

                    IN SENATE

                                      May 17, 2021
                                       ___________

        Introduced by Sens. GIANARIS, KRUEGER -- read twice and ordered printed,
          and when printed to be committed to the Committee on Budget and Reven-
          ue -- recommitted to the Committee on Budget and Revenue in accordance
          with  Senate  Rule  6,  sec.  8 -- committee discharged, bill amended,
          ordered reprinted as amended and recommitted to said committee

        AN ACT to amend the tax law and the administrative code of the  city  of
          New York, in relation to treatment of gains from qualified opportunity
          zones in calculating taxable 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 a new subparagraph 28 to read as follows:
     3    (28)  the  amount  of  gain excluded from federal gross income for the
     4  taxable year by subparagraph (c) of paragraph (1) of subsection  (a)  of
     5  section 1400Z-2 of the internal revenue code.
     6    §  2. Subdivision 9 of section 208 of the tax law is amended by adding
     7  a new paragraph (u) to read as follows:
     8    (u) For tax years beginning on or after January  first,  two  thousand
     9  twenty-two,  upon the sale or exchange of property with respect to which
    10  the taxpayer has made the election under subparagraph (c)  of  paragraph
    11  (1)  of  subsection (a) of section 1400Z-2 of the internal revenue code,
    12  the basis of such property under this article shall be determined as  if
    13  the taxpayer had not made such election.
    14    § 3. Subsection (b) of section 612 of the tax law is amended by adding
    15  a new paragraph 44 to read as follows:
    16    (44)  the  amount  of  gain excluded from federal gross income for the
    17  taxable year by subparagraph (c) of paragraph (1) of subsection  (a)  of
    18  section 1400Z-2 of the internal revenue code.
    19    §  4. Section 612 of the tax law is amended by adding a new subsection
    20  (y) to read as follows:

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD11490-03-2
        S. 6800--A                          2

     1    (y) Qualified opportunity zones.  For tax years beginning on or  after
     2  January  first,  two  thousand  twenty-two, upon the sale or exchange of
     3  property with respect to which the taxpayer has made the election  under
     4  subparagraph  (c)  of paragraph (1) of subsection (a) of section 1400Z-2
     5  of  the  internal  revenue  code,  the basis of such property under this
     6  article shall be determined  as  if  the  taxpayer  had  not  made  such
     7  election.
     8    §  5. Paragraph 2 of subdivision (b) of section 1503 of the tax law is
     9  amended by adding a new subparagraph (AA) to read as follows:
    10    (AA)  the amount of gain excluded from federal gross  income  for  the
    11  taxable  year  by subparagraph (c) of paragraph (1) of subsection (a) of
    12  section 1400Z-2 of the internal revenue code.
    13    § 6. Section 1503 of the tax law is amended by adding a  new  subdivi-
    14  sion (d) to read as follows:
    15    (d)  For  tax  years beginning on or after January first, two thousand
    16  twenty-two, upon the sale or exchange of property with respect to  which
    17  the  taxpayer  has made the election under subparagraph (c) of paragraph
    18  (1) of subsection (a) of section 1400Z-2 of the internal  revenue  code,
    19  the  basis of such property under this article shall be determined as if
    20  the taxpayer had not made such election.
    21    § 7. Paragraph (a) of subdivision 8 of section 11-602 of the  adminis-
    22  trative code of the city of New York is amended by adding a new subpara-
    23  graph 16 to read as follows:
    24    (16)  the  amount  of  gain excluded from federal gross income for the
    25  taxable year by subparagraph (c) of paragraph (1) of subsection  (a)  of
    26  section 1400Z-2 of the internal revenue code.
    27    § 8. Section 11-602 of the administrative code of the city of New York
    28  is amended by adding a new subdivision 11 to read as follows:
    29    11.  For  tax  years beginning on or after January first, two thousand
    30  twenty-two, upon the sale or exchange of property with respect to  which
    31  the  taxpayer  has made the election under subparagraph (c) of paragraph
    32  (1) of subsection (a) of section 1400Z-2 of the internal  revenue  code,
    33  the  basis of such property under this article shall be determined as if
    34  the taxpayer had not made such election.
    35    § 9. Paragraph (a) of subdivision 8 of section 11-652 of the  adminis-
    36  trative code of the city of New York is amended by adding a new subpara-
    37  graph 17 to read as follows:
    38    (17)  the  amount  of  gain excluded from federal gross income for the
    39  taxable year by subparagraph (c) of paragraph (1) of subsection  (a)  of
    40  section 1400Z-2 of the internal revenue code.
    41    §  10.  Subdivision  8 of section 11-652 of the administrative code of
    42  the city of New York is amended by adding a new paragraph (u) to read as
    43  follows:
    44    (u) For tax years beginning on or after January  first,  two  thousand
    45  twenty-two,  upon the sale or exchange of property with respect to which
    46  the taxpayer has made the election under subparagraph (c)  of  paragraph
    47  (1)  of  subsection (a) of section 1400Z-2 of the internal revenue code,
    48  the basis of such property under this article shall be determined as  if
    49  the taxpayer had not made such election.
    50    § 11. Subdivision (b) of section 11-1712 of the administrative code of
    51  the  city of New York is amended by adding a new paragraph 40 to read as
    52  follows:
    53    (40) the amount of gain excluded from federal  gross  income  for  the
    54  taxable  year  by subparagraph (c) of paragraph (1) of subsection (a) of
    55  section 1400Z-2 of the internal revenue code.
        S. 6800--A                          3

     1    § 12. Section 11-1712 of the administrative code of the  city  of  New
     2  York is amended by adding a new subdivision (w) to read as follows:
     3    (w)  For  tax  years beginning on or after January first, two thousand
     4  twenty-two, upon the sale or exchange of property with respect to  which
     5  the  taxpayer  has made the election under subparagraph (c) of paragraph
     6  (1) of subsection (a) of section 1400Z-2 of the internal  revenue  code,
     7  the  basis of such property under this article shall be determined as if
     8  the taxpayer had not made such election.
     9    § 13. This act shall take effect immediately and shall apply to  taxa-
    10  ble years beginning on or after January 1, 2022.