S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________

                                         6380

                              2009-2010 Regular Sessions

                                 I N  A S S E M B L Y

                                     March 3, 2009
                                      ___________

       Introduced  by  M. of A. BING, KELLNER -- Multi-Sponsored by -- M. of A.
         BROOK-KRASNY, CAHILL,  DelMONTE,  PEOPLES,  SPANO  --  read  once  and
         referred to the Committee on Ways and Means

       AN  ACT  to  amend the tax law, in relation to providing a tax credit to
         individuals for up to two hundred dollars of expenses related  to  the
         development and posting of an open source or free license program

         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:

    1    Section 1. Section 606 of the tax law  is  amended  by  adding  a  new
    2  subsection (qq) to read as follows:
    3    (QQ)  OPEN  SOURCE  OR  FREE  LICENSE  CREDIT. (1) A TAXPAYER SHALL BE
    4  ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED IN THIS SUBSECTION, AGAINST
    5  THE TAX IMPOSED PURSUANT TO SECTION SIX HUNDRED ONE OF  THIS  PART.  THE
    6  AMOUNT  OF  CREDIT  SHALL  EQUAL  UP  TO  TWENTY  PERCENT  OF  THE TOTAL
    7  OUT-OF-POCKET EXPENSES OF THE TAXPAYER USED  IN  THE  DEVELOPMENT  OF  A
    8  PROGRAM  THAT  IS  PROVIDED  TO  THE PUBLIC UNDER AN OPEN SOURCE OR FREE
    9  SOFTWARE LICENSE, UP TO A MAXIMUM OF TWO HUNDRED DOLLARS.
   10    (2) FOR THE PURPOSES OF THIS SUBSECTION, A PROGRAM SHALL  QUALIFY  FOR
   11  THE  CREDIT PROVIDED BY THIS SUBSECTION IF THE CODE FOR SUCH PROGRAM HAS
   12  BEEN RELEASED UNDER AN OPEN SOURCE LICENSE RECOGNIZED BY THE OPEN SOURCE
   13  INITIATIVE, OR HAS BEEN RELEASED UNDER A FREE  SOFTWARE  LICENSE  RECOG-
   14  NIZED BY THE FREE SOFTWARE FOUNDATION.
   15    (3) THIS SUBSECTION SHALL APPLY TO ANY INDIVIDUAL FOR ANY TAXABLE YEAR
   16  ONLY IF SUCH INDIVIDUAL ELECTS TO HAVE THIS SECTION APPLY FOR SUCH TAXA-
   17  BLE YEAR. AN ELECTION TO HAVE THIS SECTION APPLY MAY NOT BE MADE FOR ANY
   18  TAXABLE YEAR IF SUCH ELECTION IS IN EFFECT WITH RESPECT TO SUCH INDIVID-
   19  UAL FOR ANY OTHER TAXABLE YEAR AND PERTAINING TO THE SAME PROGRAM OR ANY
   20  PORTION THEREOF.
   21    (4)  IN  NO  EVENT  SHALL  THE  AMOUNT  OF THE CREDIT PROVIDED BY THIS
   22  SUBSECTION EXCEED THE TAXPAYER'S TAX FOR THE TAXABLE YEAR.  HOWEVER,  IF
   23  THE AMOUNT OF CREDIT OTHERWISE ALLOWABLE PURSUANT TO THIS SUBSECTION FOR

        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD09314-02-9
       A. 6380                             2

    1  ANY TAXABLE YEAR RESULTS IN SUCH EXCESS AMOUNT, ANY AMOUNT OF CREDIT NOT
    2  DEDUCTIBLE  IN  SUCH  TAXABLE  YEAR MAY BE CARRIED OVER TO THE FOLLOWING
    3  YEAR OR YEARS AND MAY BE DEDUCTED FROM THE TAXPAYER'S TAX FOR SUCH  YEAR
    4  OR YEARS.
    5    S 2. This act shall take effect immediately and shall apply to taxable
    6  years  beginning  on  and after the first of January next succeeding the
    7  date on which it shall have become a law.