STATE OF NEW YORK
________________________________________________________________________
7225
2019-2020 Regular Sessions
IN ASSEMBLY
April 15, 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 insurance law, in relation to the
tax credits for premiums paid for long-term care insurance
The People of the State of New York, represented in Senate and Assem-
bly, do enact as follows:
1 Section 1. Subdivision 1 of section 190 of the tax law, as amended by
2 section 102 of part A of chapter 59 of the laws of 2014, is amended to
3 read as follows:
4 1. General. A taxpayer shall be allowed a credit not to exceed one
5 thousand dollars for each policy of insurance, against the tax imposed
6 by this article equal to [twenty percent] the amount of the premium paid
7 during the taxable year for long-term care insurance. In order to quali-
8 fy for such credit, the taxpayer's premium payment must be for the
9 purchase of or for continuing coverage under a long-term care insurance
10 policy that qualifies for such credit pursuant to section one thousand
11 one hundred seventeen of the insurance law.
12 § 2. Paragraph (a) of subdivision 14 of section 210-B of the tax law,
13 as added by section 17 of part A of chapter 59 of the laws of 2014, is
14 amended to read as follows:
15 (a) General. A taxpayer shall be allowed a credit, not to exceed one
16 thousand dollars for each policy of insurance, against the tax imposed
17 by this article equal to [twenty percent] the amount of the premium paid
18 during the taxable year for long-term care insurance. In order to quali-
19 fy for such credit, the taxpayer's premium payment must be for the
20 purchase of or for continuing coverage under a long-term care insurance
21 policy that qualifies for such credit pursuant to section one thousand
22 one hundred seventeen of the insurance law.
23 § 3. Paragraph 1 of subsection (aa) of section 606 of the tax law, as
24 amended by section 1 of part P of chapter 61 of the laws of 2005, is
25 amended to read as follows:
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD06655-01-9
A. 7225 2
1 (1) Residents. A taxpayer shall be allowed a credit, not to exceed one
2 thousand dollars for each policy of insurance, against the tax imposed
3 by this article equal to [twenty percent] the amount of the premium paid
4 during the taxable year for long-term care insurance. In order to quali-
5 fy for such credit, the taxpayer's premium payment must be for the
6 purchase of or for continuing coverage under a long-term care insurance
7 policy that qualifies for such credit pursuant to section one thousand
8 one hundred seventeen of the insurance law. If the amount of the credit
9 allowable under this subsection for any taxable year shall exceed the
10 taxpayer's tax for such year, the excess may be carried over to the
11 following year or years and may be deducted from the taxpayer's tax for
12 such year or years.
13 § 4. Paragraph 1 of subdivision (m) of section 1511 of the tax law, as
14 amended by section 21 of part B of chapter 58 of the laws of 2004, is
15 amended to read as follows:
16 (1) A taxpayer shall be allowed a credit, not to exceed one thousand
17 dollars for each policy of insurance, against the tax imposed by this
18 article equal to [twenty percent] the amount of the premium paid during
19 the taxable year for long-term care insurance. In order to qualify for
20 such credit, the taxpayer's premium payment must be for the purchase of
21 or for continuing coverage under a long-term care insurance policy that
22 qualifies for such credit pursuant to section one thousand one hundred
23 seventeen of the insurance law.
24 § 5. Paragraph 1 of subsection (g) of section 1117 of the insurance
25 law, as amended by chapter 417 of the laws of 2001, is amended to read
26 as follows:
27 (1) Except for certain group contracts described in paragraph four of
28 this subsection, in order for premium payments for long-term care insur-
29 ance to qualify for purposes of section one hundred ninety, subdivision
30 [twenty-five-a] fourteen of section two hundred [ten] ten-B, subsection
31 (aa) of section six hundred six[, subsection (k) of section one thousand
32 four hundred fifty-six] and subsection (m) of section one thousand five
33 hundred eleven of the tax law, the long-term care insurance must be
34 approved by the superintendent pursuant to this subsection. Prior to
35 approving any such insurance, the superintendent shall conclude that it
36 meets minimum standards, including minimum loss ratio standards under
37 this section or section three thousand two hundred twenty-nine of this
38 chapter and is a qualified long-term care insurance contract as defined
39 in section 7702B of the internal revenue code.
40 § 6. This act shall take effect on the first of January next succeed-
41 ing the date on which it shall have become a law.