STATE OF NEW YORK
________________________________________________________________________
635
2025-2026 Regular Sessions
IN ASSEMBLY(Prefiled)
January 8, 2025
___________
Introduced by M. of A. KIM, PAULIN, SIMON, OTIS, STIRPE, ZINERMAN,
LUPARDO, HEVESI, BRAUNSTEIN, EACHUS, STERN, BENEDETTO, DeSTEFANO,
SLATER, FORREST, JACOBSON -- Multi-Sponsored by -- M. of A. LEVENBERG
-- 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 for
qualified caregiving expenses; and to provide for the repeal of such
provisions upon the expiration thereof
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 (rrr) to read as follows:
3 (rrr) Caregiving tax credit. (1) For taxable years beginning on or
4 after January first, two thousand twenty-six, a qualified caregiver
5 shall be allowed a credit against the tax imposed by this article for a
6 portion of the total purchase price paid for a qualified caregiving
7 expense by such a qualified caregiver for performing caregiving duties
8 provided to a qualified family member that resided within this state.
9 (2) For purposes of this section (A) "qualified caregiving expense"
10 means payments made by the qualified caregiver for goods and services
11 which are provided to or for the benefit of the qualifying family member
12 or to assist the qualified caregiver in caring for the qualifying family
13 member. Such expenses include, but are not limited to, home health agen-
14 cy services, adult day care, companionship services, personal care
15 attendant services, homemaker services, respite care, health care equip-
16 ment, assistive devices and supplies, home modification, transportation,
17 legal or financial services, and assistive technology.
18 (B) "qualified family member" means an individual who is: (i) at least
19 eighteen years of age during a taxable year; (ii) a resident of New York
20 state; (iii) requires assistance with at least one activity of daily
21 living (ADL), as certified by a licensed health care practitioner; and
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD00187-01-5
A. 635 2
1 (iv) is an individual who qualifies as a dependent, spouse, domestic
2 partner as defined by section four of the workers' compensation law,
3 sibling, partner, parent or other relation by blood or marriage, includ-
4 ing an in-law, grandparent, grandchild, step-parent, aunt, uncle, niece,
5 or nephew of the qualified caregiver.
6 (C) "qualified caregiver" means an individual who is a New York state
7 resident taxpayer for the taxable year. In the case of a joint return,
8 the term includes the individual and the individual's spouse. The quali-
9 fied caregiver claiming the credit must have a federal adjusted gross
10 income of seventy-five thousand dollars or less for an individual and
11 one hundred fifty thousand dollars or less for a couple, and incur
12 uncompensated expenses directly related to the care of a qualified fami-
13 ly member. In addition, qualified caregivers must provide care to one or
14 more eligible qualified family members during the taxable year, and be
15 eligible to receive a credit against the family caregiver's state tax
16 liability for the taxable year.
17 (3) The credit established pursuant to this subsection shall be
18 allowed for the taxable year in which the qualified caregiver incurred
19 the qualified caregiving expense. The credit established under this
20 subsection shall not exceed fifty percent of the total amount expended,
21 and shall not exceed three thousand five hundred dollars.
22 (4) If the allowable amount of the credit exceeds the taxes otherwise
23 due under this article for the taxable year, the unused amount of the
24 credit is waived, and may not be refunded, carried forward or otherwise
25 used to offset taxes.
26 (5) Eligible qualified caregivers shall apply for the credit through
27 the department. The commissioner, in consultation with the commissioner
28 of the department of health and the director of the office for the
29 aging, shall issue a certification for an approved application to the
30 taxpayer that states the amount of the credit allocated to the taxpayer
31 and the allocation year.
32 (6) The aggregate amount of tax credits allowed pursuant to the
33 authority of this subsection shall be thirty-five million dollars each
34 year during the period two thousand twenty-six through two thousand
35 twenty-eight. Such aggregate amount of credits shall be allocated by the
36 department on a first come first serve basis in order of priority based
37 upon the date of filing an application for allocation of credit with the
38 department. Once the credits allocated exceed the limit established in
39 this subsection, the commissioner shall cease to allocate and certify
40 tax credits to taxpayers.
41 (7) The commissioner may require a qualified taxpayer to furnish the
42 following information in support of the taxpayer's claim for credit
43 under this subsection: household adjusted gross income, the name of the
44 eligible family member and the eligible family member's identifying
45 information including social security numbers, and all other information
46 which may be required by the commissioner to determine the credit.
47 (8) The commissioner, after consulting with the commissioner of the
48 department of health and the director of the office for the aging, shall
49 by October thirty-first, two thousand twenty-five promulgate regulations
50 necessary and appropriate to carry out the purposes of this subsection.
51 Notwithstanding any other provisions to the contrary in the state admin-
52 istrative procedure act, such rules and regulations may be adopted on an
53 emergency basis if necessary to meet such October thirty-first, two
54 thousand twenty-five deadline.
55 (9) The department shall submit to the governor, the temporary presi-
56 dent of the senate, and the speaker of the assembly an annual report by
A. 635 3
1 February first of each year evaluating the effectiveness of the caregiv-
2 ing tax credit provided by this subsection. Such report shall be based
3 on data available from the application filed with the department for any
4 caregiving credits. Notwithstanding any provision of law to the contra-
5 ry, the information contained in the report shall be public information.
6 The report shall include recommendations for changes in the calculation
7 or administration of the credit proposed by the department, in consulta-
8 tion with the department of health and the office for the aging, that
9 are deemed useful and appropriate.
10 § 2. This act shall take effect immediately and shall apply to taxable
11 years commencing on and after January 1, 2026; provided that the
12 provisions of this act shall expire and be deemed repealed on December
13 31, 2028.
