A04791 Summary:
| BILL NO | A04791 |
| SAME AS | No Same As |
| SPONSOR | Smullen |
| COSPNSR | |
| MLTSPNSR | |
| Relates to conducting studies on personal income tax brackets and the corporate franchise tax. | |
A04791 Actions:
| BILL NO | A04791 | |||||||||||||||||||||||||||||||||||||||||||||||||
| 02/23/2023 | referred to ways and means | |||||||||||||||||||||||||||||||||||||||||||||||||
| 06/08/2023 | held for consideration in ways and means | |||||||||||||||||||||||||||||||||||||||||||||||||
| 01/03/2024 | referred to ways and means | |||||||||||||||||||||||||||||||||||||||||||||||||
A04791 Memo:
Go to topNEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
TITLE OF BILL: An act creating a tax simplification and fairness study to look at the personal income tax brackets and the corporate franchise tax PURPOSE OR GENERAL IDEA OF BILL: To examine the current tax system to see if there would be a benefit to simplifying the entire system by eliminating all of-the various tax credits and taxing all individuals and businesses at the same, lower rate SUMMARY OF PROVISIONS: Section 1. Directs the commissioner of Taxation and Finance to conduct a study to examine how income tax brackets and corresponding dollar amounts could be proportionately reduced if all of the personal income tax credits were eliminated and personal income tax receipts were fore- casted to be revenue neutral Section 2. Directs the Commissioner of Taxation and Finance to conduct a study to examine how the corporate franchise tax could be proportionate- ly reduced if all of the tax credits were eliminated and the corporate franchise tax receipts were forecasted to be revenue neutral. Section 3. Requires the commissioner to report on the results of the studies within 180 days of the bill becoming law Section 4. Effective date JUSTIFICATION: The New York State tax system has been further complicated by the numer- ous tax credits available to certain categories of taxpayers. By direct- ing the Department of Taxation & Finance to put together figures outlin- ing what the tax rates would be without all of the credits, this bill would explore the possibility of removing these tax credits and moving towards a flat tax. PRIOR LEGISLATIVE HISTORY: A7142 of 2021-22 Referred to Ways and Means A5850 of 2019-20 Held in Ways and Means (Barclay) A6013 of 2017-18 Held for consideration in Ways & Means (Barclay) FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS: Minimal EFFECTIVE DATE: Immediately
A04791 Text:
Go to topSTATE OF NEW YORK ________________________________________________________________________ 4791 2023-2024 Regular Sessions IN ASSEMBLY February 23, 2023 ___________ Introduced by M. of A. SMULLEN -- read once and referred to the Commit- tee on Ways and Means AN ACT creating a tax simplification and fairness study to look at the personal income tax brackets and the corporate franchise tax The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The commissioner of taxation and finance shall conduct a 2 study to examine the corresponding income tax brackets and dollar 3 amounts that could be enacted if a proportionate reduction in the 4 personal income tax bracket and dollar amounts as provided in section 5 601 of the tax law for taxable years beginning after 2013 and before 6 2025 and for taxable years beginning after 2025, if all of the personal 7 income tax credits provided in section 606 of the tax law were elimi- 8 nated and personal income tax receipts were forecasted to be revenue 9 neutral based on current law. 10 § 2. The commissioner of taxation and finance shall conduct a study to 11 examine the corresponding reduction in the imposition of the corporate 12 franchise tax that could be enacted if a proportionate reduction in the 13 imposition of the corporate franchise tax as provided by sections 209 14 and 210 of the tax law, if all the credits provided in section 210-B of 15 the tax law were eliminated and the corporate franchise tax receipts 16 were forecasted to be revenue neutral based on current law. 17 § 3. The commissioner of taxation and finance shall report on the 18 results of the studies in section one and section two within one hundred 19 eighty days after this act shall have become a law. 20 § 4. This act shall take effect immediately. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD09613-01-3