STATE OF NEW YORK
________________________________________________________________________
581
2011-2012 Regular Sessions
IN ASSEMBLY(Prefiled)
January 5, 2011
___________
Introduced by M. of A. WRIGHT, FARRELL, AUBRY, V. LOPEZ, O'DONNELL,
GLICK, BING, HEVESI, MILLMAN, KAVANAGH, BRENNAN, TITONE, KELLNER,
ROSENTHAL, JEFFRIES -- Multi-Sponsored by -- M. of A. BROOK-KRASNY,
COLTON, GOTTFRIED, LANCMAN, SPANO -- read once and referred to the
Committee on Ways and Means
AN ACT to amend the tax law, in relation to providing a renter tax cred-
it
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 1310 of the tax law is amended by adding a new
2 subsection (g) to read as follows:
3 (g) Renter tax credit. (1) (A) Notwithstanding any other provision of
4 law to the contrary, any city having a population of one million or
5 more, acting through its local legislative body, is hereby authorized
6 and empowered to adopt and amend local laws granting in any such city,
7 for taxable years beginning on or after two thousand eleven, a renter
8 tax credit against the city personal income tax for any qualified
9 taxpayer. If any such credit exceeds the tax for such year, such local
10 law may provide that such qualified taxpayer receive, and the comp-
11 troller, subject to a certificate of the commissioner, shall pay as an
12 overpayment, without interest, any excess between such tax as so reduced
13 and the amount of the credit. If a qualified taxpayer is not required to
14 file a return pursuant to a local law enacted pursuant to this article,
15 such local law may provide that such qualified taxpayer may nevertheless
16 receive and the comptroller, subject to a certificate of the commission-
17 er, shall pay as an overpayment the full amount of the credit, without
18 interest. (B) Any credit provided by a local law adopted pursuant to
19 this subsection shall not exceed three hundred dollars.
20 (2) Only one credit per household and per qualified taxpayer shall be
21 allowed per taxable year under this subsection. (A) When two or more
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD03172-01-1
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1 members of a household are able to meet the qualifications for a quali-
2 fied taxpayer, the credit shall be equally divided between or among such
3 individuals unless such individuals file with the New York city tax
4 commission a written agreement among such individuals setting forth a
5 different division. (B) Where any return required to be filed pursuant
6 to the provisions of section thirteen hundred six of this article is
7 combined with any return of tax imposed pursuant to the authority of
8 this chapter or any other law if such tax is administered by the commis-
9 sioner, the credit or the portion of the credit if divided, allowed to
10 the qualified taxpayer may be applied by the commissioner toward any
11 liability for the aforementioned taxes.
12 (3) For purposes of any local law adopted pursuant to this subsection:
13 (A) "Dependent" means an individual described in section one hundred
14 fifty-two of the internal revenue code.
15 (B) "Qualified taxpayer" means a resident individual of the city of
16 New York (i) who has occupied the same qualified residence as a renter
17 or lessee for six months or more during the taxable year, (ii) has
18 attained the age of eighteen, and (iii) who is required or chooses to
19 file a return under this article.
20 (C) "Household" or "members of the household" means a qualified
21 taxpayer and all other persons, not necessarily related, who have the
22 same qualified residence and share its furnishings, facilities and
23 accommodations. Such terms shall include a domestic partner, as defined
24 in section twenty-eight hundred five-q of the public health law, but
25 shall not include a tenant, subtenant, roomer or boarder who is not
26 related to the qualified taxpayer in any degree specified in paragraphs
27 one through eight of subsection (a) of section one hundred fifty-two of
28 the internal revenue code. Provided, however, no person may be a member
29 of more than one household at one time.
30 (D) "Household gross income" means the New York state adjusted gross
31 income of all members of the household for the taxable year. Household
32 gross income shall only include all such income received by all members
33 of the household while members of such household.
34 (E) "Qualified residence" means a dwelling in the city of New York,
35 which is rented or leased, and may consist of a part of a multi-dwelling
36 or multi-purpose building including a cooperative or condominium, and
37 rental units within a single dwelling, provided, however, that such
38 dwelling, or building of which such dwelling is a part, is subject to
39 the real property tax. Qualified residence includes a trailer or mobile
40 home which is rented and used exclusively for residential purposes,
41 which is defined as real property pursuant to paragraph (g) of subdivi-
42 sion twelve of section one hundred two of the real property tax law, and
43 which is subject to the real property tax. Qualified residence shall
44 also include a dwelling owned by a housing company organized and operat-
45 ing pursuant to the provisions of articles two, four, five and eleven of
46 the private housing finance law.
47 (F) "Resident individual" means an individual who is a member of the
48 household and cannot be claimed as a personal exemption on another indi-
49 vidual's income tax return during the taxable year.
50 (4) No credit shall be granted under this subsection:
51 (A) If household gross income, in the case of a resident individual,
52 exceeds forty-three thousand dollars.
53 (B) If household gross income, in the case of two or more resident
54 individuals, or in the case of one resident individual having one
55 dependent, exceeds fifty-four thousand dollars.
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1 (C) If household gross income, in the case of two or more resident
2 individuals having one dependent, or in the case of one resident indi-
3 vidual having two dependents, exceeds sixty-five thousand dollars.
4 (D) If household gross income, in the case of two or more resident
5 individuals having two or more dependents, or in the case of one resi-
6 dent individual having three or more dependents, exceeds seventy-five
7 thousand dollars.
8 (E) To an individual with respect to whom a deduction under subsection
9 (c) of section one hundred fifty-one of the internal revenue code is
10 allowable to another taxpayer for the taxable year.
11 (F) To an individual who is not a resident individual of the city for
12 the entire taxable year.
13 (G) For purposes of this paragraph, beginning on January first, two
14 thousand ten, household gross income shall be adjusted annually, on
15 January first, by the percentage change in the average cost-of-living
16 index in the period January first through December thirty-first of the
17 immediate prior year compared with the same period for the year prior to
18 that. For purposes of this subparagraph, the "cost-of-living index" is
19 the average of the monthly consumer-price-index figures for the stated
20 twelve-month period, relative to the United States as a whole, issued by
21 the United States department of labor.
22 (5) If a qualified taxpayer is not required to file a return pursuant
23 to section thirteen hundred six of this article, a claim for a credit
24 may be taken on a return filed with the commissioner within three years
25 from the time it would have been required that a return be filed pursu-
26 ant to such section had the qualified taxpayer had a taxable year ending
27 on December thirty-first. Returns under this paragraph shall be in such
28 form as shall be prescribed by the commissioner, which shall make avail-
29 able such forms and instructions for filing such returns.
30 (6) The commissioner may require a qualified taxpayer to furnish the
31 following information in support of his or her claim for credit under
32 this subsection: household gross income, rent paid, name and address of
33 owner or managing agent of the property rented, the names of members of
34 the household and other qualifying taxpayers occupying the same resi-
35 dence and their identifying numbers including social security numbers,
36 household gross income, size and nature of property claimed as residence
37 and all other information which may be required by the commissioner to
38 determine the credit.
39 (7) The provisions of article twenty-two of this chapter, including
40 the provisions of section six hundred fifty-three, six hundred fifty-
41 eight and six hundred fifty-nine and the provisions of part six of such
42 article relating to procedure and administration, including the judicial
43 review of the decisions of the tax appeals tribunal, except so much of
44 section six hundred eighty-seven of such article which permits a claim
45 for credit or refund to be filed after the period provided for in para-
46 graph five of this subsection and except sections six hundred fifty-sev-
47 en, six hundred eighty-eight and six hundred ninety-six of such article,
48 shall apply to the provisions of this subsection in the same manner and
49 with the same force and effect as if the language of those provisions
50 had been incorporated in full into this subsection and had expressly
51 referred to the credit allowed or returns filed under this subsection,
52 except to the extent that any such provision is either inconsistent with
53 a provision of this subsection or is not relevant to this subsection. As
54 used in such sections and such part, the term "taxpayer" shall include a
55 qualified taxpayer under this subsection and, notwithstanding the
56 provisions of subsection (e) of section six hundred ninety-seven of this
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1 chapter, where a qualified taxpayer has protested the denial of a claim
2 for credit under this subsection and the time to file a petition for
3 redetermination of a deficiency or for refund has not expired, he or she
4 shall, subject to such conditions as may be set by the commissioner,
5 receive such information (A) which is contained in any return filed
6 under this article by a member of his or her household for the taxable
7 year for which the credit is claimed, and (B) which the commissioner
8 finds is relevant and material to the issue of whether such claim was
9 properly denied. The commissioner shall have the authority to promulgate
10 such rules and regulations as may be necessary for the processing,
11 determination and granting of credits and refunds under this subsection.
12 (8) Notwithstanding any other provision of this article, the credit
13 allowed by a local law enacted under this subsection shall be determined
14 after the determination and application of any other credits permitted
15 under the provisions of this article.
16 (9) A local law enacted pursuant to this subsection shall be applica-
17 ble with respect to any taxable year only if it has been enacted on or
18 before July thirty-first of such year. A certified copy of such local
19 law shall be mailed by registered mail to the state department of taxa-
20 tion and finance at its office in Albany within fifteen days of its
21 enactment. However, the state department of taxation and finance may
22 allow additional time for such certified copy to be mailed if it deems
23 such action to be consistent with its duties under this article.
24 § 2. This act shall take effect immediately and shall apply to taxable
25 years beginning on and after January 1, 2011.
