Extends the top state income tax rate to 11.82% for taxpayers whose New York taxable income is over $100,000,000 and establishes new brackets below such top rate, and directs the revenue from such rate increases to foundation aid.
STATE OF NEW YORK
________________________________________________________________________
10363
IN ASSEMBLY
April 29, 2020
___________
Introduced by M. of A. L. ROSENTHAL -- read once and referred to the
Committee on Ways and Means
AN ACT to amend the tax law, in relation to extending the top state
income tax rate; and to amend the state finance law, in relation to
foundation aid funding
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Clauses (iv), (v), (vi), (vii) and (viii) of subparagraph
2 (B) of paragraph 1 of subsection (a) of section 601 of the tax law,
3 clauses (iv), (v), (vi) and (vii) as amended by section 1 of part P of
4 chapter 59 of the laws of 2019, and clause (viii) as added by section 1
5 of part R of chapter 59 of the laws of 2017, are amended to read as
6 follows:
7 (iv) For taxable years beginning in two thousand twenty-one the
8 following rates shall apply:
9 If the New York taxable income is: The tax is:
10 Not over $17,150 4% of the New York taxable income
11 Over $17,150 but not over $23,600 $686 plus 4.5% of excess over
12 $17,150
13 Over $23,600 but not over $27,900 $976 plus 5.25% of excess over
14 $23,600
15 Over $27,900 but not over $43,000 $1,202 plus 5.9% of excess over
16 $27,900
17 Over $43,000 but not over $161,550 $2,093 plus 5.97% of excess over
18 $43,000
19 Over $161,550 but not over $323,200 $9,170 plus 6.33% of excess over
20 $161,550
21 Over $323,200 but not over $19,403 plus 6.85% of excess
22 [$2,155,350] $1,000,000 over $323,200
23 Over $1,000,000 but not over$65,764 plus 9.62% of excess over
24 $5,000,000$1,000,000
25 Over $5,000,000 but not over$450,564 plus 10.32% of excess over
26 $10,000,000$5,000,000
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD14887-02-0
A. 10363 2
1 Over $10,000,000 but not over$966,564 plus 11.32% of excess over
2 $100,000,000$10,000,000
3 Over [$2,155,350 $144,905 plus 8.82% of excess over
4 $2,155,350]
5 $100,000,000$11,154,564 plus 11.82% of excess
6 over $100,000,000
7 (v) For taxable years beginning in two thousand twenty-two the follow-
8 ing rates shall apply:
9 If the New York taxable income is: The tax is:
10 Not over $17,150 4% of the New York taxable income
11 Over $17,150 but not over $23,600 $686 plus 4.5% of excess over
12 $17,150
13 Over $23,600 but not over $27,900 $976 plus 5.25% of excess over
14 $23,600
15 Over $27,900 but not over $161,550 $1,202 plus 5.85% of excess over
16 $27,900
17 Over $161,550 but not over $323,200 $9,021 plus 6.25% of excess over
18 $161,550
19 Over $323,200 but not over $19,124 plus
20 [$2,155,350] $1,000,000 6.85% of excess over $323,200
21 Over $1,000,000 but not over$65,485 plus 9.62% of excess over
22 $5,000,000$1,000,000
23 Over $5,000,000 but not over$450,285 plus 10.32% of excess over
24 $10,000,000$5,000,000
25 Over $10,000,000 but not over$966,285 plus 11.32% of excess over
26 $100,000,000$10,000,000
27 Over [$2,155,350 $144,626 plus 8.82% of excess over
28 $2,155,350]
29 $100,000,000$11,154,285 plus 11.85% of
30 excess over $100,000,000
31 (vi) For taxable years beginning in two thousand twenty-three the
32 following rates shall apply:
33 If the New York taxable income is: The tax is:
34 Not over $17,150 4% of the New York taxable income
35 Over $17,150 but not over $23,600 $686 plus 4.5% of excess over
36 $17,150
37 Over $23,600 but not over $27,900 $976 plus 5.25% of excess over
38 $23,600
39 Over $27,900 but not over $161,550 $1,202 plus 5.73% of excess over
40 $27,900
41 Over $161,550 but not over $323,200 $8,860 plus 6.17% of excess over
42 $161,550
43 Over $323,200 but not over $18,834 plus 6.85% of
44 [$2,155,350] $1,000,000 excess over $323,200
45 Over $1,000,000 but not over$65,195 plus 9.62% of excess over
46 $5,000,000$1,000,000
47 Over $5,000,000 but not over$449,995 plus 10.32% of excess over
48 $10,000,000$5,000,000
49 Over $10,000,000 but not over$965,995 plus 11.32% of excess over
50 $100,000,000$10,000,000
51 Over [$2,155,350 $144,336 plus 8.82% of excess over
52 $2,155,350]
53 $100,000,000$11,153,995 plus 11.82% of excess
54 over $100,000,000
55 (vii) For taxable years beginning in two thousand twenty-four the
56 following rates shall apply:
A. 10363 3
1 If the New York taxable income is: The tax is:
2 Not over $17,150 4% of the New York taxable income
3 Over $17,150 but not over $23,600 $686 plus 4.5% of excess over
4 $17,150
5 Over $23,600 but not over $27,900 $976 plus 5.25% of excess over
6 $23,600
7 Over $27,900 but not over $161,550 $1,202 plus 5.61% of excess over
8 $27,900
9 Over $161,550 but not over $323,200 $8,700 plus 6.09% of excess over
10 $161,550
11 Over $323,200 but not over $18,544 plus 6.85% of
12 [$2,155,350] $1,000,000 excess over $323,200
13 Over $1,000,000 but not over$64,905 plus 9.62% of excess over
14 $5,000,000$1,000,000
15 Over $5,000,000 but not over$449,705 plus 10.32% of excess over
16 $10,000,000$5,000,000
17 Over $10,000,000 but not over$965,705 plus 11.32% of excess over
18 $100,000,000$10,000,000
19 Over [$2,155,350 $144,047 plus 8.82% of excess over
20 $2,155,350]
21 $100,000,000$11,153,705 plus 11.82% of excess
22 over $100,000,000
23 (viii) For taxable years beginning after two thousand twenty-four the
24 following rates shall apply:
25 If the New York taxable income is: The tax is:
26 Not over $17,150 4% of the New York taxable income
27 Over $17,150 but not over $23,600 $686 plus 4.5% of excess over
28 $17,150
29 Over $23,600 but not over $27,900 $976 plus 5.25% of excess over
30 $23,600
31 Over $27,900 but not over $161,550 $1,202 plus 5.5% of excess over
32 $27,900
33 Over $161,550 but not over $323,200 $8,553 plus 6.00% of excess over
34 $161,550
35 Over $323,200 but not over $18,252 plus 6.85% of
36 $1,000,000 excess over $323,200
37 Over $1,000,000 but not over$64,613 plus 9.62% of excess over
38 $5,000,000$1,000,000
39 Over $5,000,000 but not over$449,413 plus 10.32% of excess over
40 $10,000,000$5,000,000
41 Over $10,000,000 but not over$965,413 plus 11.32% of excess over
42 $100,000,000$10,000,000
43 Over $100,000,000$11,152,554 plus 11.82% of excess
44 over $100,000,000
45 § 2. Clauses (iv), (v), (vi), (vii) and (viii) of subparagraph (B) of
46 paragraph 1 of subsection (b) of section 601 of the tax law, clauses
47 (iv), (v), (vi) and (vii) as amended by section 2 of part P of chapter
48 59 of the laws of 2019, and clause (viii) as added by section 2 of part
49 R of chapter 59 of the laws of 2017, are amended to read as follows:
50 (iv) For taxable years beginning in two thousand twenty-one the
51 following rates shall apply:
52 If the New York taxable income is: The tax is:
53 Not over $12,800 4% of the New York taxable income
54 Over $12,800 but not over $17,650 $512 plus 4.5% of excess over
55 $12,800
56 Over $17,650 but not over $20,900 $730 plus 5.25% of excess over
A. 10363 4
1 $17,650
2 Over $20,900 but not over $32,200 $901 plus 5.9% of excess over
3 $20,900
4 Over $32,200 but not over $107,650 $1,568 plus 5.97% of excess over
5 $32,200
6 Over $107,650 but not over $269,300 $6,072 plus 6.33% of excess over
7 $107,650
8 Over $269,300 but not over $16,304 plus 6.85% of
9 [$1,616,450] $1,000,000 excess over $269,300
10 Over $1,000,000 but not over$66,357 plus 9.62% of excess over
11 $5,000,000$1,000,000
12 Over $5,000,000 but not over$451,157 plus 10.32% of excess over
13 $10,000,000$5,000,000
14 Over $10,000,000 but not over$967,157 plus 11.32% of excess over
15 $100,000,000$10,000,000
16 Over [$1,616,450 $108,584 plus 8.82% of excess over
17 $1,616,450]
18 $100,000,000$11,155,157 plus 11.82% of excess
19 over $100,000,000
20 (v) For taxable years beginning in two thousand twenty-two the follow-
21 ing rates shall apply:
22 If the New York taxable income is: The tax is:
23 Not over $12,800 4% of the New York taxable income
24 Over $12,800 but not over $17,650 $512 plus 4.5% of excess over
25 $12,800
26 Over $17,650 but not over $20,900 $730 plus 5.25% of excess over
27 $17,650
28 Over $20,900 but not over $107,650 $901 plus 5.85% of excess over
29 $20,900
30 Over $107,650 but not over $269,300 $5,976 plus 6.25% of excess over
31 $107,650
32 Over $269,300 but not over $16,079 plus 6.85% of excess
33 [$1,616,450] $1,000,000 over $269,300
34 Over $1,000,000 but not over$66,132 plus 9.62% of excess over
35 $5,000,000$1,000,000
36 Over $5,000,000 but not over$450,932 plus 10.32% of excess over
37 $10,000,000$5,000,000
38 Over $10,000,000 but not over$966,932 plus 11.32% of excess over
39 $100,000,000$10,000,000
40 Over [$1,616,450 $108,359 plus 8.82% of excess over
41 $1,616,450]
42 $100,000,000$11,154,932 plus 11.82% of excess
43 over $100,000,000
44 (vi) For taxable years beginning in two thousand twenty-three the
45 following rates shall apply:
46 If the New York taxable income is: The tax is:
47 Not over $12,800 4% of the New York taxable income
48 Over $12,800 but not over $17,650 $512 plus 4.5% of excess over
49 $12,800
50 Over $17,650 but not over $20,900 $730 plus 5.25% of excess over
51 $17,650
52 Over $20,900 but not over $107,650 $901 plus 5.73% of excess over
53 $20,900
54 Over $107,650 but not over $269,300 $5,872 plus 6.17% of excess over
A. 10363 5
1 $107,650
2 Over $269,300 but not over $15,845 plus 6.85% of excess
3 [$1,616,450] $1,000,000 over $269,300
4 Over $1,000,000 but not over$65,898 plus 9.62% of excess over
5 $5,000,000$1,000,000
6 Over $5,000,000 but not over$450,698 plus 10.32% of excess over
7 $10,000,000$5,000,000
8 Over $10,000,000 but not over$966,698 plus 11.32% of excess over
9 $100,000,000$10,000,000
10 Over [$1,616,450 $108,125 plus 8.82% of excess over
11 $1,616,450]
12 $100,000,000$11,154,698 plus 11.82% of excess
13 over $100,000,000
14 (vii) For taxable years beginning in two thousand twenty-four the
15 following rates shall apply:
16 If the New York taxable income is: The tax is:
17 Not over $12,800 4% of the New York taxable income
18 Over $12,800 but not over $17,650 $512 plus 4.5% of excess over
19 $12,800
20 Over $17,650 but not over $20,900 $730 plus 5.25% of excess over
21 $17,650
22 Over $20,900 but not over $107,650 $901 plus 5.61% of excess over
23 $20,900
24 Over $107,650 but not over $269,300 $5,768 plus 6.09% of excess over
25 $107,650
26 Over $269,300 but not over $15,612 plus 6.85% of excess
27 [$1,616,450] $1,000,000 over $269,300
28 Over $1,000,000 but not over$65,665 plus 9.62% of excess over
29 $5,000,000$1,000,000
30 Over $5,000,000 but not over$450,465 plus 10.32% of excess over
31 $10,000,000$5,000,000
32 Over $10,000,000 but not over$966,465 plus 11.32% of excess over
33 $100,000,000$10,000,000
34 Over [$1,616,450 $107,892 plus 8.82% of excess over
35 $1,616,450]
36 $100,000,000$11,154,465 plus 11.82% of excess
37 over $100,000,000
38 (viii) For taxable years beginning after two thousand twenty-four the
39 following rates shall apply:
40 If the New York taxable income is: The tax is:
41 Not over $12,800 4% of the New York taxable income
42 Over $12,800 but not over $17,650 $512 plus 4.5% of excess over
43 $12,800
44 Over $17,650 but not over $20,900 $730 plus 5.25% of excess over
45 $17,650
46 Over $20,900 but not over $107,650 $901 plus 5.5% of excess over
47 $20,900
48 Over $107,650 but not over $269,300 $5,672 plus 6.00% of excess over
49 $107,650
50 Over $269,300 but not over $15,371 plus 6.85% of
51 $1,000,000 excess over $269,300
52 Over $1,000,000 but not over$65,424 plus 9.62% of excess over
53 $5,000,000$1,000,000
54 Over $5,000,000 but not over$ 450,224 plus 10.32% of excess over
55 $10,000,000$5,000,000
56 Over $10,000,000 but not over$966,224 plus 11.32% of excess over
A. 10363 6
1 $100,000,000$10,000,000
2 Over $100,000,000$11,154,224 plus 11.82% of excess
3 over $100,000,000
4 § 3. Clauses (iv), (v), (vi), (vii) and (viii) of subparagraph (B) of
5 paragraph 1 of subsection (c) of section 601 of the tax law, clauses
6 (iv), (v), (vi) and (vii) as amended by section 3 of part P of chapter
7 59 of the laws of 2019, and clause (viii) as added by section 3 of part
8 R of chapter 59 of the laws of 2017, are amended to read as follows:
9 (iv) For taxable years beginning in two thousand twenty-one the
10 following rates shall apply:
11 If the New York taxable income is: The tax is:
12 Not over $8,500 4% of the New York taxable income
13 Over $8,500 but not over $11,700 $340 plus 4.5% of excess over
14 $8,500
15 Over $11,700 but not over $13,900 $484 plus 5.25% of excess over
16 $11,700
17 Over $13,900 but not over $21,400 $600 plus 5.9% of excess over
18 $13,900
19 Over $21,400 but not over $80,650 $1,042 plus 5.97% of excess over
20 $21,400
21 Over $80,650 but not over $215,400 $4,579 plus 6.33% of excess over
22 $80,650
23 Over $215,400 but not over $13,109 plus 6.85% of excess
24 [$1,077,550] $1,000,000 over $215,400
25 Over $1,000,000 but not over$66,855 plus 9.62% of excess over
26 $5,000,000$1,000,000
27 Over $5,000,000 but not over$451,655 plus 10.32% of excess over
28 $10,000,000$5,000,000
29 Over $10,000,000 but not over$967,655 plus 11.32% of excess over
30 $100,000,000$10,000,000
31 Over [$1,077,550 $72,166 plus 8.82% of excess over
32 $1,077,550]
33 $100,000,000$11,155,655 plus 11.82% of excess
34 over $100,000,000
35 (v) For taxable years beginning in two thousand twenty-two the follow-
36 ing rates shall apply:
37 If the New York taxable income is: The tax is:
38 Not over $8,500 4% of the New York taxable income
39 Over $8,500 but not over $11,700 $340 plus 4.5% of excess over
40 $8,500
41 Over $11,700 but not over $13,900 $484 plus 5.25% of excess over
42 $11,700
43 Over $13,900 but not over $80,650 $600 plus 5.85% of excess over
44 $13,900
45 Over $80,650 but not over $215,400 $4,504 plus 6.25% of excess over
46 $80,650
47 Over $215,400 but not over $12,926 plus 6.85% of excess
48 [$1,077,550] $1,000,000 over $215,400
49 Over $1,000,000 but not over$66,672 plus 9.62% of excess over
50 $5,000,000$1,000,000
51 Over $5,000,000 but not over$ 451,472 plus 10.32% of excess over
52 $10,000,000$5,000,000
53 Over $10,000,000 but not over$967,472 plus 11.32% of excess over
54 $100,000,000$10,000,000
55 Over [$1,077,550 $71,984 plus 8.82% of excess over
56 $1,077,550]
A. 10363 7
1 $100,000,000$11,155,472 plus 11.82% of excess
2 over $100,000,000
3 (vi) For taxable years beginning in two thousand twenty-three the
4 following rates shall apply:
5 If the New York taxable income is: The tax is:
6 Not over $8,500 4% of the New York taxable income
7 Over $8,500 but not over $11,700 $340 plus 4.5% of excess over
8 $8,500
9 Over $11,700 but not over $13,900 $484 plus 5.25% of excess over
10 $11,700
11 Over $13,900 but not over $80,650 $600 plus 5.73% of excess over
12 $13,900
13 Over $80,650 but not over $215,400 $4,424 plus 6.17% of excess over
14 $80,650
15 Over $215,400 but not over $12,738 plus 6.85% of excess
16 [$1,077,550] $1,000,000 over $215,400
17 Over $1,000,000 but not over$66,484 plus 9.62% of excess over
18 $5,000,000$1,000,000
19 Over $5,000,000 but not over$ 451,284 plus 10.32% of excess over
20 $10,000,000$5,000,000
21 Over $10,000,000 but not over$967,284 plus 11.32% of excess over
22 $100,000,000$10,000,000
23 Over [$1,077,550 $71,796 plus 8.82% of excess over
24 $1,077,550]
25 $100,000,000$11,155,284 plus 11.82% of excess
26 over $100,000,000
27 (vii) For taxable years beginning in two thousand twenty-four the
28 following rates shall apply:
29 If the New York taxable income is: The tax is:
30 Not over $8,500 4% of the New York taxable income
31 Over $8,500 but not over $11,700 $340 plus 4.5% of excess over
32 $8,500
33 Over $11,700 but not over $13,900 $484 plus 5.25% of excess over
34 $11,700
35 Over $13,900 but not over $80,650 $600 plus 5.61% of excess over
36 $13,900
37 Over $80,650 but not over $215,400 $4,344 plus 6.09% of excess over
38 $80,650
39 Over $215,400 but not over $12,550 plus 6.85% of excess
40 [$1,077,550] $1,000,000 over $215,400
41 Over $1,000,000 but not over$66,296 plus 9.62% of excess over
42 $5,000,000$1,000,000
43 Over $5,000,000 but not over$ 451,096 plus 10.32% of excess over
44 $10,000,000$5,000,000
45 Over $10,000,000 but not over$967,096 plus 11.32% of excess over
46 $100,000,000$10,000,000
47 Over [$1,077,550 $71,608 plus 8.82% of excess over
48 $1,077,550]
49 $100,000,000$11,155,096 plus 11.82% of excess
50 over $100,000,000
51 (viii) For taxable years beginning after two thousand twenty-four the
52 following rates shall apply:
53 If the New York taxable income is: The tax is:
54 Not over $8,500 4% of the New York taxable income
55 Over $8,500 but not over $11,700 $340 plus 4.5% of excess over
A. 10363 8
1 $8,500
2 Over $11,700 but not over $13,900 $484 plus 5.25% of excess over
3 $11,700
4 Over $13,900 but not over $80,650 $600 plus 5.50% of excess over
5 $13,900
6 Over $80,650 but not over $215,400 $4,271 plus 6.00% of excess over
7 $80,650
8 Over $215,400 but not over $12,356 plus 6.85% of
9 $1,000,000 excess over $215,400
10 Over $1,000,000 but not over$66,102 plus 9.62% of excess over
11 $5,000,000$1,000,000
12 Over $5,000,000 but not over$450,902 plus 10.32% of excess over
13 $10,000,000$5,000,000
14 Over $10,000,000 but not over$966,902 plus 11.32% of excess over
15 $100,000,000$10,000,000
16 Over $100,000,000$11,154,902 plus 11.82% of excess
17 over $100,000,000
18 § 4. Section 171-a of the tax law, as separately amended by chapters
19 481 and 484 of the laws of 1981, is amended by adding a new subdivision
20 3 to read as follows:
21 3. Notwithstanding subdivision one of this section or any other
22 provision of law to the contrary, any increase in the taxes imposed
23 pursuant to section six hundred one of this chapter attributable to the
24 difference in the rate of such taxes for taxable years beginning in and
25 after two thousand twenty-one and the rate of such taxes for taxable
26 years beginning in two thousand twenty shall be deposited in the state
27 lottery fund, created pursuant to section ninety-two-c of the state
28 finance law, as such taxes are received. The amount for administrative
29 costs shall be determined by the commissioner to represent reasonable
30 costs of the department in administering, collecting, determining and
31 distributing such taxes. Of the total revenue collected or received
32 under such sections of this chapter, the comptroller shall retain in his
33 hands such amount as the commissioner may determine to be necessary for
34 refunds or reimbursements under such sections of this chapter out of
35 which amount the comptroller shall pay any refunds or reimbursements to
36 which taxpayers shall be entitled under provisions of such sections. The
37 commissioner and the comptroller shall maintain a system of accounts
38 showing the amount of revenue collected or received from each of the
39 taxes imposed by such sections.
40 § 5. Section 92-c of the state finance law is amended by adding a new
41 subdivision 3-a to read as follows:
42 3-a. Moneys in such fund deposited pursuant to the provisions of
43 subdivision three of section one hundred seventy-one-a of the tax law
44 shall be appropriated or transferred only for foundation aid pursuant to
45 section thirty-six hundred two of the education law.
46 § 6. This act shall take effect immediately, provided, however, that
47 section four of this act shall take effect January 1, 2021 and shall
48 apply to taxable years beginning on and after such date.
