Bill Text: NY A03897 | 2023-2024 | General Assembly | Introduced
Bill Title: Relates to the child and dependent care credit; increases the percentage of the federal credit.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced) 2024-01-03 - referred to ways and means [A03897 Detail]
Download: New_York-2023-A03897-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 3897 2023-2024 Regular Sessions IN ASSEMBLY February 8, 2023 ___________ Introduced by M. of A. FAHY -- read once and referred to the Committee on Ways and Means AN ACT to amend the tax law, in relation to the child and dependent care credit The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Paragraph 1 of subsection (c) of section 606 of the tax 2 law, as amended by section 1 of part M of chapter 63 of the laws of 3 2000, is amended to read as follows: 4 (1) A taxpayer shall be allowed a credit as provided herein equal to 5 the applicable percentage of the credit allowable under section twenty- 6 one of the internal revenue code for the same taxable year (without 7 regard to whether the taxpayer in fact claimed the credit under such 8 section twenty-one for such taxable year). The applicable percentage 9 shall be the sum of (i) twenty percent and (ii) a multiplier multiplied 10 by a fraction. For taxable years beginning in nineteen hundred ninety- 11 six and nineteen hundred ninety-seven, the numerator of such fraction 12 shall be the lesser of (i) four thousand dollars or (ii) fourteen thou- 13 sand dollars less the New York adjusted gross income for the taxable 14 year, provided, however, the numerator shall not be less than zero. For 15 the taxable year beginning in nineteen hundred ninety-eight, the numera- 16 tor of such fraction shall be the lesser of (i) thirteen thousand 17 dollars or (ii) thirty thousand dollars less the New York adjusted gross 18 income for the taxable year, provided, however, the numerator shall not 19 be less than zero. For taxable years beginning in nineteen hundred nine- 20 ty-nine, the numerator of such fraction shall be the lesser of (i) 21 fifteen thousand dollars or (ii) fifty thousand dollars less the New 22 York adjusted gross income for the taxable year, provided, however, the 23 numerator shall not be less than zero. For taxable years beginning after 24 nineteen hundred ninety-nine, the numerator of such fraction shall be 25 the lesser of (i) fifteen thousand dollars or (ii) sixty-five thousand EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD03480-01-3A. 3897 2 1 dollars less the New York adjusted gross income for the taxable year, 2 provided, however, the numerator shall not be less than zero. The denom- 3 inator of such fraction shall be four thousand dollars for taxable years 4 beginning in nineteen hundred ninety-six and nineteen hundred ninety- 5 seven, thirteen thousand dollars for the taxable year beginning in nine- 6 teen hundred ninety-eight, and fifteen thousand dollars for taxable 7 years beginning after nineteen hundred ninety-eight. The multiplier 8 shall be ten percent for taxable years beginning in nineteen hundred 9 ninety-six, forty percent for taxable years beginning in nineteen 10 hundred ninety-seven, and eighty percent for taxable years beginning 11 after nineteen hundred ninety-seven. Provided, however, for taxable 12 years beginning after nineteen hundred ninety-nine, for a person whose 13 New York adjusted gross income is less than forty thousand dollars, such 14 applicable percentage shall be equal to (i) one hundred percent, plus 15 (ii) ten percent multiplied by a fraction whose numerator shall be the 16 lesser of (i) fifteen thousand dollars or (ii) forty thousand dollars 17 less the New York adjusted gross income for the taxable year, provided 18 such numerator shall not be less than zero, and whose denominator shall 19 be fifteen thousand dollars. Provided, however, for taxable years 20 beginning on or after January first, two thousand twenty-three, the 21 applicable percentage shall be one hundred ten percent for all New York 22 adjusted gross incomes up to fifty thousand dollars. Provided, further, 23 that if the reversion event, as defined in this paragraph, occurs, the 24 applicable percentage shall, for taxable years ending on or after the 25 date on which the reversion event occurred, be determined using the 26 rules specified in this paragraph applicable to taxable years beginning 27 in nineteen hundred ninety-nine. The reversion event shall be deemed to 28 have occurred on the date on which federal action, including but not 29 limited to, administrative, statutory or regulatory changes, materially 30 reduces or eliminates New York state's allocation of the federal tempo- 31 rary assistance for needy families block grant, or materially reduces 32 the ability of the state to spend federal temporary assistance for needy 33 families block grant funds for the credit for certain household and 34 dependent care services necessary for gainful employment or to apply 35 state general fund spending on the credit for certain household and 36 dependent care services necessary for gainful employment toward the 37 temporary assistance for needy families block grant maintenance of 38 effort requirement, and the commissioner of the office of temporary and 39 disability assistance shall certify the date of such event to the 40 commissioner, the director of the division of the budget, the speaker of 41 the assembly and the temporary president of the senate. 42 § 2. This act shall take effect immediately and shall apply to taxable 43 years beginning on or after January 1, 2023.
