STATE OF NEW YORK
________________________________________________________________________
7306
2025-2026 Regular Sessions
IN SENATE
April 9, 2025
___________
Introduced by Sen. CLEARE -- read twice and ordered printed, and when
printed to be committed to the Committee on Investigations and Govern-
ment Operations
AN ACT to amend the tax law, in relation to making certain taxpayers
exempt from the city personal income tax of the city of New York
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Paragraphs 1, 2 and 3 of subsection (b) of section 1304 of
2 the tax law, as amended by chapter 345 of the laws of 2023, are amended
3 to read as follows:
4 (1) Resident married individuals filing joint returns and resident
5 surviving spouses. The tax under this section for each taxable year on
6 the city taxable income of every city resident married individual who
7 makes a single return jointly with [his or her] their spouse under
8 subsection (b) of section thirteen hundred six of this article and on
9 the city taxable income of every city resident surviving spouse shall be
10 determined in accordance with the following table:
11 For taxable years beginning after two thousand twenty-six:
12 If the city taxable income is: The tax is:
13 Not over [$21,600 1.18% of the city taxable income
14 Over $21,600 but not $255 plus 1.435% of excess
15 over] $45,000 [over $21,600] 0% of the city
16 taxable income
17 Over $45,000 but not $591 plus 1.455% of excess
18 over $90,000 over $45,000
19 Over $90,000 $1,245 plus 1.48% of excess
20 over $90,000
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD11527-01-5
S. 7306 2
1 (2) Resident heads of households. The tax under this section for each
2 taxable year on the city taxable income of every city resident head of a
3 household shall be determined in accordance with the following table:
4 For taxable years beginning after two thousand twenty-six:
5 If the city taxable income is: The tax is:
6 Not over [$14,400 1.18% of the city taxable income
7 Over $14,400 but not $170 plus 1.435% of excess
8 over $30,000] $32,500 [over $14,400] 0% of the
9 city taxable income
10 Over [$30,000] $32,500 but not $394 plus 1.455% of
11 over $60,000 excess over [$30,000]
12 $32,500
13 Over $60,000 $830 plus 1.48% of excess
14 over $60,000
15 (3) Resident unmarried individuals, resident married individuals
16 filing separate returns and resident estates and trusts. The tax under
17 this section for each taxable year on the city taxable income of every
18 city resident individual who is not a city resident married individual
19 who makes a single return jointly with [his or her] their spouse under
20 subsection (b) of section thirteen hundred six of this article or a city
21 resident head of household or a city resident surviving spouse, and on
22 the city taxable income of every city resident estate and trust shall be
23 determined in accordance with the following table:
24 For taxable years beginning after two thousand twenty-six:
25 If the city taxable income is: The tax is:
26 Not over [$12,000 1.18% of the city taxable income
27 Over $12,000 but not $142 plus 1.435% of excess
28 over $25,000] $32,500 [over $12,000] 0% of the
29 city taxable income
30 Over [$25,000] $32,500 but not $328 plus 1.455% of
31 excess
32 over $50,000 over [$25,000] $32,500
33 Over $50,000 $692 plus 1.48% of excess
34 over $50,000
35 § 2. Paragraph 1 of subsection (a) of section 1304-B of the tax law,
36 as amended by chapter 345 of the laws of 2023, is amended to read as
37 follows:
38 (1) In addition to any other taxes authorized by this article, any
39 city imposing such taxes is hereby authorized and empowered to adopt and
40 amend local laws imposing in any such city for each taxable year begin-
41 ning after nineteen hundred ninety but before two thousand twenty-seven,
42 an additional tax on the city taxable income of every city resident
43 individual, estate and trust, to be calculated for each taxable year as
44 follows: (i) for each taxable year beginning after nineteen hundred
45 ninety but before nineteen hundred ninety-nine, at the rate of fourteen
46 percent of the sum of the taxes for each such taxable year determined
47 pursuant to section thirteen hundred four and section thirteen hundred
48 four-A of this article; and (ii) for each taxable year beginning after
49 nineteen hundred ninety-eight, at the rate of fourteen percent of the
50 tax for such taxable year determined pursuant to such section thirteen
51 hundred four; provided, however, that any taxable income with a tax rate
S. 7306 3
1 of zero percent shall not be subject to any additional tax pursuant to
2 this section.
3 § 3. Subparagraph (A) of paragraph 1, subparagraph (A) of paragraph 2
4 and subparagraph (A) of paragraph 3 of subsection (a) of section 1304-D
5 of the tax law, as added by section 1 of part B of chapter 63 of the
6 laws of 2003, are amended to read as follows:
7 (A) For taxable years beginning in two thousand five:
8 If the city taxable income is: The tax is:
9 Not over [$21,600 2.907% of the city taxable income
10 Over $21,600 but not $628 plus 3.534% of excess
11 over] $45,000 [over $21,600] 0% of the city
12 taxable income
13 Over $45,000 but not $1,455 plus 3.591% of excess
14 over $90,000 over $45,000
15 Over $90,000 but not $3,071 plus 3.648% of excess
16 over $150,000 over $90,000
17 Over $150,000 but not $5,260 plus 4.05% of excess
18 over $500,000 over $150,000
19 Over $500,000 $19,435 plus 4.45% of excess
20 over $500,000
21 (A) For taxable years beginning in two thousand five:
22 If the city taxable income is: The tax is:
23 Not over [$14,400 2.907% of the city taxable income
24 Over $14,400 but not $419 plus 3.534% of excess
25 over $30,000] $32,500 [over $14,400] 0% of the
26 city taxable income
27 Over [$30,000] $32,500 but not $970 plus 3.591% of excess
28 over $60,000 over [$30,000] $32,500
29 Over $60,000 but not $2,047 plus 3.648% of excess
30 over $125,000 over $60,000
31 Over $125,000 but not $4,418 plus 4.05% of excess
32 over $500,000 over $125,000
33 Over $500,000 $19,606 plus 4.45% of excess
34 over $500,000
35 (A) For taxable years beginning in two thousand five:
36 If the city taxable income is: The tax is:
37 Not over [$12,000 2.907% of the city taxable income
38 Over $12,000 but not $349 plus 3.534% of excess
39 over $25,000] $32,500 [over $12,000] 0% of the
40 city taxable income
41 Over [$25,000] $32,500 but not $808 plus 3.591% of excess
42 over $50,000 over [$25,000] $32,500
43 Over $50,000 but not $1,706 plus 3.648% of excess
44 over $100,000 over $50,000
45 Over $100,000 but not $3,530 plus 4.05% of excess
46 over $500,000 over $100,000
47 Over $500,000 $19,730 plus 4.45% of excess
48 over $500,000
49 § 4. This act shall take effect immediately.
