Bill Text: NY S08202 | 2019-2020 | General Assembly | Introduced
Bill Title: Creates deduction from franchise tax and personal income tax for costs of acquiring or improving child care facility operated for profit; creates deduction from corporation tax, franchise tax, personal income tax and tax on banks for costs of acquiring or improving child care facility operated primarily for children of taxpayer's employees.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2020-04-15 - REFERRED TO BUDGET AND REVENUE [S08202 Detail]
Download: New_York-2019-S08202-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 8202 IN SENATE April 15, 2020 ___________ Introduced by Sen. PARKER -- read twice and ordered printed, and when printed to be committed to the Committee on Budget and Revenue AN ACT to amend the tax law, in relation to providing tax deductions for expenditures made to purchase, construct, renovate or remodel child care facilities 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 188-a to 2 read as follows: 3 § 188-a. Deduction for creation or improvement of child care facili- 4 ties. A taxpayer operating a child care facility within the state prima- 5 rily for the children of such taxpayer's employees, shall be allowed a 6 deduction from taxable income for any expenditure made to acquire, 7 construct, renovate or remodel such child care facility or the equipment 8 therein. The deduction created by this section shall be deducted over 9 twenty-four months commencing in the month in which such acquisition, 10 construction, renovation or remodeling is put into service. The 11 deduction provided by this section shall be in lieu of any other allow- 12 ance for the exhaustion of such property used in a trade or business 13 held for the production of income, including a reasonable allowance for 14 obsolescence pursuant to section one hundred sixty-seven or one hundred 15 eighty-eight of the internal revenue code. 16 § 2. Subdivision 9 of section 208 of the tax law is amended by adding 17 two new paragraphs (u) and (v) to read as follows: 18 (u) A taxpayer operating a child care facility for profit, shall be 19 allowed a deduction from entire net income for any expenditure made to 20 acquire, construct, renovate or remodel such child care facility or the 21 equipment therein. The deduction created by this paragraph shall be 22 deducted over sixty months commencing in the month in which such acqui- 23 sition, construction, renovation or remodeling is put into service. 24 (v) A taxpayer operating a child care facility within the state prima- 25 rily for the children of such taxpayer's employees, shall be allowed a 26 deduction from the entire net income for any expenditure made to 27 acquire, construct, renovate or remodel such child care facility or the EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD07464-01-9S. 8202 2 1 equipment therein. The deduction created by this paragraph shall be 2 deducted over twenty-four months commencing in the month in which such 3 acquisition, construction, renovation or remodeling is put into service. 4 The deduction provided by this paragraph shall be in lieu of any other 5 allowance for the exhaustion of such property used in a trade or busi- 6 ness held for the production of income, including a reasonable allowance 7 for obsolescence pursuant to section one hundred sixty-seven or one 8 hundred eighty-eight of the internal revenue code. 9 § 3. Subsection (c) of section 612 of the tax law is amended by adding 10 two new paragraphs 17 and 18 to read as follows: 11 (17) Any expenditure made by a taxpayer operating a child care facili- 12 ty for profit, to acquire, construct, renovate or remodel such child 13 care facility or the equipment therein. The deduction created by this 14 paragraph shall be deducted over sixty months commencing in the month in 15 which such acquisition, construction, renovation or remodeling is put 16 into service. 17 (18) Any expenditure made by a taxpayer operating a child care facili- 18 ty within the state primarily for the children of such taxpayer's 19 employees, to acquire, construct, renovate or remodel such child care 20 facility or the equipment therein. The deduction created by this para- 21 graph shall be deducted over twenty-four months commencing in the month 22 in which such acquisition, construction, renovation or remodeling is put 23 into service. The deduction provided by this paragraph shall be in lieu 24 of any other allowance for the exhaustion of such property used in a 25 trade or business held for the production of income, including a reason- 26 able allowance for obsolescence pursuant to section one hundred sixty- 27 seven or one hundred eighty-eight of the internal revenue code. 28 § 4. This act shall take effect immediately.