Establishes an adjustment of income for certain taxpayers equal to the amount of principal and interest paid by the taxpayer on certain educational loans.
STATE OF NEW YORK
________________________________________________________________________
9089
IN ASSEMBLY
January 18, 2018
___________
Introduced by M. of A. RA -- read once and referred to the Committee on
Ways and Means
AN ACT to amend the tax law, in relation to an adjustment of income for
educational 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 44 to read as follows:
3 (44) In the case of a taxpayer owing money on an educational loan,
4 there shall be allowed an adjustment for the taxable year of an amount
5 equal to the principal and interest paid by the taxpayer during the
6 taxable year on any educational loan incurred at an institution of high-
7 er education. The maximum adjustment allowed in a given taxable year
8 shall be as follows:
9 (A) eight thousand dollars for resident married individuals filing
10 joint returns and resident surviving spouses;
11 (B) six thousand dollars for resident heads of households; and
12 (C) four thousand dollars for resident unmarried individuals, resident
13 married individuals filing separate returns and resident estates and
14 trusts.
15 A taxpayer shall be eligible for the adjustment only if his or her
16 income is at or below the following amounts:
17 (A) one hundred sixty thousand dollars for resident married individ-
18 uals filing joint returns and resident surviving spouses;
19 (B) one hundred twenty thousand dollars for resident heads of house-
20 holds; and
21 (C) eighty thousand dollars for resident unmarried individuals, resi-
22 dent married individuals filing separate returns and resident estates
23 and trusts.
24 For purposes of this paragraph:
25 (A) "Educational loan" shall have the same meaning as provided by
26 subdivision four of section six hundred twenty of the education law;
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD14111-01-8
A. 9089 2
1 (B) "Institution of higher education" shall have the same meaning as
2 provided by paragraph three of subsection (t) of section six hundred six
3 of the tax law.
4 § 2. This act shall take effect immediately and apply to taxable years
5 beginning on and after January 1, 2018.
