A08556 Summary:

BILL NO    A08556 

SAME AS    Same as S 5710

SPONSOR    Farrell

COSPNSR    

MLTSPNSR   

Amd S32, Tax L

Excludes employees of an attorney, public accountant, certified public
accountant or firm thereof from the definition of tax return preparers.

A08556 Actions:

BILL NO    A08556 

05/28/2009 referred to ways and means
06/17/2009 reported referred to rules
06/17/2009 reported 
06/17/2009 rules report cal.447
06/17/2009 ordered to third reading rules cal.447
06/17/2009 passed assembly
06/17/2009 delivered to senate
06/18/2009 REFERRED TO RULES
01/06/2010 DIED IN SENATE
01/06/2010 RETURNED TO ASSEMBLY
01/06/2010 ordered to third reading cal.608

A08556 Votes:

BILL: A08556  DATE: 06/17/2009  MOTION:                       YEA/NAY: 139/001

Abbate  Y  Cahill  Y  Englebr Y  Hooper  Y  Maisel  Y  Powell  Y  Skartad Y
Alessi  Y  Calhoun Y  Errigo  Y  Hoyt    Y  Markey  Y  Pretlow Y  Spano   Y
Alfano  Y  Camara  Y  Espaill Y  Hyer-Sp Y  Mayerso Y  Quinn   Y  Stirpe  Y
Amedore Y  Canestr Y  Farrell Y  Jacobs  Y  McDonou Y  Rabbitt Y  Sweeney Y
Arroyo  ER Carrozz ER Fields  Y  Jaffee  Y  McEneny Y  Raia    Y  Tedisco Y
Aubry   Y  Castro  Y  Finch   Y  Jeffrie Y  McKevit Y  Ramos   Y  Thiele  Y
Bacalle Y  Christe Y  Fitzpat Y  John    Y  Meng    Y  Reilich Y  Titone  Y
Ball    Y  Clark   Y  Gabrysz Y  Jordan  Y  Miller  ER Reilly  Y  Titus   Y
Barclay Y  Colton  Y  Galef   Y  Kavanag Y  Millman Y  Rive J  Y  Tobacco Y
Barra   Y  Conte   Y  Gantt   Y  Kellner Y  Molinar Y  Rive N  Y  Towns   Y
Barron  ER Cook    Y  Gianari Y  Kolb    Y  Morelle Y  Rive PM Y  Townsen Y
Benedet Y  Corwin  Y  Gibson  Y  Koon    Y  Nolan   ER Robinso ER Walker  Y
Benjami Y  Crespo  Y  Giglio  Y  Lancman Y  Oaks    Y  Rosenth Y  Weinste Y
Bing    Y  Crouch  Y  Glick   Y  Latimer Y  O'Donne Y  Russell ER Weisenb Y
Boyland ER Cusick  Y  Gordon  Y  Lavine  Y  O'Mara  Y  Saladin Y  Weprin  Y
Boyle   NO Cymbrow Y  Gottfri Y  Lentol  Y  Ortiz   Y  Sayward Y  Wright  Y
Bradley Y  DelMont Y  Gunther Y  Lifton  Y  Parment Y  Scarbor ER Zebrows Y
Brennan Y  DenDekk Y  Hawley  Y  Lope PD Y  Paulin  Y  Schimel Y  Mr Spkr Y
Brodsky Y  Destito Y  Hayes   Y  Lope VJ Y  Peoples Y  Schimmi Y
Brook-K Y  Dinowit Y  Heastie Y  Lupardo Y  Peralta Y  Schroed Y
Burling Y  Duprey  Y  Hevesi  Y  Magee   Y  Perry   Y  Scozzaf Y
Butler  Y  Eddingt Y  Hikind  Y  Magnare Y  Pheffer Y  Seminer ER

A08556 Memo:

BILL NUMBER:A8556

TITLE  OF  BILL:    An  act  to  amend the tax law, in relation to those
persons excluded from the definition of tax return preparers

PURPOSE OR GENERAL IDEA  OF  BILL:  This  bill  will  make  a  technical
correction  in  the  definition  of "tax return preparer" in new Tax Law
section 32 subdivision 1 paragraph 14, as enacted by Chapter 159 of 2009
(Budget Bill A.159-B/S.59-B).

SUMMARY OF SPECIFIC PROVISIONS: This bill would amend  paragraph  14  of
subdivision  1  of  Tax  Law  section  32  to  exclude attorneys, public
accountants, and certified public accountants and firms thereof from the
definition of "tax return preparer" for purposes of registration of  tax
preparers under section 32.

JUSTIFICATION:  The  definition  of  "tax  return  preparer"  in Tax Law
section 32 inadvertently results in an  inconsistency  between  Tax  Law
section  32  and Education Law section 7406-a, with respect to registra-
tion of out-of-state CPAs who prepare New York tax returns.    Education
Law  section 7406-a authorizes out-of-state CPAs to perform tax services
(a non-attest service) in New York. An  out-of-state  CPA  who  performs
non-attest services in New York (i.e. preparing a New York tax return in
person,  by  mail,  telephone  or other electronic means), automatically
consents to the jurisdiction, rules and disciplinary  authority  of  the
Board  of  Regents, and to the regulations of the Commissioner of Educa-
tion.

The memorandum of support for Budget Bill A.159-B/S.59-B (Chapter 159 of
2009) asserts that the tax preparer registration provisions in  Tax  Law
section  32 "represent a first effort to establish communication between
tax preparers and DTP, thereby setting the stage for future  cooperative
development  of  standards  to  enhance  the  quality of tax preparation
services in New York State." While this justification is  applicable  to
non-licensed  tax preparers, it fails to recognize that CPAs licensed in
the United States must comply with professional standards for tax prepa-
ration; are educated in taxation and  examined  in  taxation  under  the
Uniform  CPA  examination  (one  of the four sections of the CPA exam is
exclusively in taxation); and that the  CPA  profession  has  maintained
long-standing communication with Department of Taxation and Finance.

PRIOR LEGISLATIVE HISTORY: This is a new bill.

FISCAL IMPLICATIONS:  None.

EFFECTIVE DATE: This act shall take effect immediately.