Establishes a personal income tax credit for a portion of a taxpayer's residential real property taxes which exceeds a certain percentage of the taxpayer's household gross income; provides that the taxpayer shall have resided in such residential real property for not less than 10 years; provides that such credit shall not apply to taxpayers whose household gross income exceeds $250,000 or who have received the school tax relief exemption on such real property.
STATE OF NEW YORK
________________________________________________________________________
1324
2015-2016 Regular Sessions
IN SENATE
January 12, 2015
___________
Introduced by Sen. MONTGOMERY -- read twice and ordered printed, and
when printed to be committed to the Committee on Investigations and
Government Operations
AN ACT to amend the tax law, in relation to establishing the maximum
residential real property, personal income tax credit
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 (vv-1) to read as follows:
3 (vv-1) Maximum residential real property tax credit. (1) Definitions.
4 For the purposes of this subsection:
5 (A) "Qualified taxpayer" means a resident individual of the state who
6 owns the residential real property in which he or she resides, and has
7 resided in such residential real property for not less than ten years.
8 (B) "Household" means the taxpayer or taxpayers and all other persons,
9 not necessarily related, who all reside in the residential real property
10 owned by the taxpayer or taxpayers, and share its furnishings, facili-
11 ties and accommodations; provided that no person may be a member of more
12 than one household at one time.
13 (C) "Household gross income" means the aggregate adjusted gross income
14 of all members of the household for the taxable year; provided that such
15 term shall only include all such income received by all members of the
16 household while members of such household.
17 (D) "Net real property tax" means the real property taxes assessed on
18 the residential real property owned and occupied by the taxpayer or
19 taxpayers after any exemption or abatement received pursuant to the real
20 property tax law.
21 (2) Credit. A qualified taxpayer shall be allowed a credit against the
22 taxes imposed by this article, equal to seventy percent of the amount
23 which the taxpayer's net real property tax exceeds the taxpayer's maxi-
24 mum real property tax, as determined by paragraph three of this
25 subsection. If such credit exceeds the tax for such taxable year, as
26 reduced by the other credits permitted by this article, the qualified
27 taxpayer may receive, and the comptroller, subject to a certificate of
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD03030-01-5
S. 1324 2
1 the department, shall pay as an overpayment, without interest, any
2 excess between such tax as so reduced and the amount of the credit. If a
3 qualified taxpayer is not required to file a return pursuant to section
4 six hundred fifty-one of this article, a qualified taxpayer may never-
5 theless receive and the comptroller, subject to a certificate of the
6 department, shall pay as an overpayment the full amount of the credit,
7 without interest.
8 (3) Maximum real property tax. A qualified taxpayer's maximum real
9 property tax shall be determined as follows:
10 Household gross incomeMaximum real property tax
11 Less than twenty-fivefour percent of the
12 thousand dollarshousehold gross income
13 More than twenty-fivefive percent of the
14 thousand dollars, buthousehold gross income
15 less than or equal to
16 fifty thousand dollars
17 More than fifty thousandsix percent of the
18 dollars, but less than orhousehold gross income
19 equal to one hundred
20 thousand dollars
21 More than one hundredseven percent of
22 thousand dollars, butthe household
23 less than or equal togross income
24 one hundred fifty
25 thousand dollars
26 More than one hundredeight percent of
27 fifty thousand dollars,the household
28 but less than or equalgross income
29 to two hundred thousand
30 dollars
31 More than two hundrednine percent
32 thousand dollars, butof the house-
33 less than or equal tohold gross
34 two hundred fiftyincome
35 thousand dollars
36 More than two hundredno limitation
37 fifty thousand
38 dollars
39 (4) Exclusions from eligibility. No credit shall be granted under this
40 subsection:
41 (A) If the qualified taxpayer's household gross income exceeds two
42 hundred fifty thousand dollars; or
43 (B) The qualified taxpayer received the school tax relief exemption,
44 pursuant to section four hundred twenty-five of the real property tax
45 law, during the taxable year.
46 § 2. This act shall take effect on the first of January next succeed-
47 ing the date on which it shall have become a law, and shall apply to
48 taxable years commencing on or after such date.
