STATE OF NEW YORK
________________________________________________________________________
4202--B
2025-2026 Regular Sessions
IN SENATE
February 3, 2025
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Introduced by Sens. COMRIE, COONEY, JACKSON, STAVISKY -- read twice and
ordered printed, and when printed to be committed to the Committee on
Budget and Revenue -- committee discharged, bill amended, ordered
reprinted as amended and recommitted to said committee -- recommitted
to the Committee on Budget and Revenue in accordance with Senate Rule
6, sec. 8 -- committee discharged, bill amended, ordered reprinted as
amended and recommitted to said committee
AN ACT to amend the tax law, in relation to authorizing a personal
income tax deduction for student loan payments
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subsection (c) of section 612 of the tax law is amended by
2 adding a new paragraph 51 to read as follows:
3 (51) Payment not in excess of five thousand dollars actually paid by
4 an eligible borrower for student loan repayment, to the extent not
5 deductible in determining federal adjusted gross income and not reim-
6 bursed. For the purposes of this paragraph, the following terms have
7 the following meanings:
8 (i) "Student loans" means any indebtedness incurred by the taxpayer
9 solely for any qualified education loan to the extent provided in
10 section 221 of the Internal Revenue Code.
11 (ii) "Eligible borrower" shall mean a taxpayer who has incurred
12 indebtedness on student loans as defined in subparagraph (i) of this
13 paragraph on behalf of the taxpayer, the taxpayer's spouse, or any
14 dependent of the taxpayer as of the time the indebtedness was incurred.
15 (iii) "Qualified education payment" shall mean any payment made by a
16 taxpayer, an employer on behalf of a taxpayer, or through a payroll
17 deduction arrangement, toward:
18 (A) qualified education loans; or
19 (B) contributions to a qualified tuition program pursuant to section
20 529 of the Internal Revenue Code.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD00109-04-6
S. 4202--B 2
1 (iv) A taxpayer shall be allowed to exclude from New York adjusted
2 gross income up to five thousand dollars annually in qualified education
3 payments.
4 § 2. This act shall take effect immediately and shall apply to taxable
5 years beginning on or after January 1, 2028.
