Bill Text: NY A04886 | 2019-2020 | General Assembly | Introduced

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Bill Title: Repeals provisions relating to the elimination of the personal income tax deduction for percentage depletion and makes technical corrections.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2020-01-08 - referred to ways and means [A04886 Detail]

Download: New_York-2019-A04886-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________
                                          4886
                               2019-2020 Regular Sessions
                   IN ASSEMBLY
                                    February 5, 2019
                                       ___________
        Introduced by M. of A. CUSICK -- read once and referred to the Committee
          on Ways and Means
        AN  ACT  to amend the tax law and the administrative code of the city of
          New York, in relation to  making  technical  corrections  thereto;  to
          repeal  subsection  (i)  of section 612 of the tax law relating to the
          elimination of  the  personal  income  tax  deduction  for  percentage
          depletion;  and  to  repeal certain provisions of the tax law relating
          thereto
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section 1. Subsection (i) of section 612 of the tax law is REPEALED.
     2    §  2. Subdivision (i) of section 11-1712 of the administrative code of
     3  the city of New York, as amended by chapter 333 of the laws of 1987,  is
     4  amended to read as follows:
     5    (i)  In  the case of mines, oil and gas wells and other natural depos-
     6  its, any allowance for percentage  depletion  pursuant  to  section  six
     7  hundred  thirteen  or  section  six  hundred  thirteen A of the internal
     8  revenue code shall be added to federal adjusted gross  income.  However,
     9  with  respect  to  the  property  as  to  which such addition to federal
    10  adjusted gross income is required, an allowance for depletion  shall  be
    11  subtracted  from  federal adjusted gross income in the amount that would
    12  be deductible under section six hundred  eleven  of  such  code  if  the
    13  deduction for an allowance for depletion were computed without reference
    14  to  such section six hundred thirteen or section six hundred thirteen A.
    15  [With respect to the computation of depletion pursuant to this  subdivi-
    16  sion, the basis for such computation shall be the basis for state income
    17  tax  purposes  provided  for  in  subsection  (i) of section six hundred
    18  twelve of the tax law.] The portion of any gain from the sale  or  other
    19  disposition  of  such  property  having a higher adjusted basis for city
    20  income tax purposes than for federal income tax purposes, that does  not
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD00107-01-9
        A. 4886                             2
     1  exceed  such  difference  in  basis,  shall  be  subtracted from federal
     2  adjusted gross income.
     3    §  3.  Paragraph 10 of subsection (b) of section 612 of the tax law is
     4  REPEALED.
     5    § 4. Paragraph 13 of subsection (c) of section 612 of the tax  law  is
     6  REPEALED.
     7    § 5. Subsection 4 of section 618 of the tax law, as amended by section
     8  9  of  part  C  of chapter 25 of the laws of 2009, is amended to read as
     9  follows:
    10    (4) There shall be added or  subtracted  (as  the  case  may  be)  the
    11  modifications  described  in  paragraphs  (6)[, (10)], (17), (18), (19),
    12  (20), (21), (22), (23), (24), (25), (26), (27), (29), (38) and  (39)  of
    13  subsection (b) and in paragraphs (11)[, (13)], (15), [(19),] (20), (21),
    14  (22),  (23),  (24), (25), (26) and (28) of subsection (c) of section six
    15  hundred twelve of this part.
    16    § 6. Subsection 4 of section 618 of the tax law, as separately amended
    17  by section 5 of part HH-1 of chapter 57 of the laws of 2008 and  section
    18  9  of  part  C  of chapter 25 of the laws of 2009, is amended to read as
    19  follows:
    20    (4) There shall be added or  subtracted  (as  the  case  may  be)  the
    21  modifications  described  in  paragraphs  (6)[, (10)], (17), (18), (19),
    22  (20), (21), (22), (23), (24), (25), (26), (27), [(28),] (29),  (38)  and
    23  (39)  of  subsection  (b)  and in paragraphs (11)[, (13)], (15), [(19),]
    24  (20), (21), (22), (23), (24), (25), (26) and (28) of subsection  (c)  of
    25  section six hundred twelve of this part.
    26    §  7.  This  act  shall take effect immediately and shall apply to all
    27  taxable years beginning on or after January 1, 2019; provided  that  the
    28  amendments to subsection 4 of section 618 of the tax law made by section
    29  five  of  this  act  shall be subject to the expiration and reversion of
    30  such subsection pursuant to section 8 of chapter  782  of  the  laws  of
    31  1988,  as  amended, when upon such date the provisions of section six of
    32  this act shall take effect.