Bill Text: NY S04751 | 2019-2020 | General Assembly | Introduced

Bill Title: Allows taxpayers to subtract interest paid on an education loan and education debt from federal adjusted gross income.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2019-03-22 - REFERRED TO BUDGET AND REVENUE [S04751 Detail]

Download: New_York-2019-S04751-Introduced.html

                STATE OF NEW YORK
                               2019-2020 Regular Sessions
                    IN SENATE
                                     March 22, 2019
        Introduced  by  Sen.  PARKER -- read twice and ordered printed, and when
          printed to be committed to the Committee on Budget and Revenue
        AN ACT to amend the tax  law,  in  relation  to  modifications  reducing
          federal adjusted gross income
          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.  (A)  an  amount equal to the interest paid by the taxpayer during
     4  the taxable year on any qualified education  loan  to  the  extent  such
     5  interest is deductible in accordance with 26 U.S.C § 221 for federal tax
     6  purposes;  and  (B)  an  amount equal to the amount of interest payments
     7  paid by the taxpayer on education debt during the taxable year.  For the
     8  purposes of subparagraph (B), the term "educational debt" shall mean any
     9  loan which was or is administered by the financial aid office of a  two-
    10  year  or four-year college at which the taxpayer, or a dependent of such
    11  taxpayer, was enrolled as an undergraduate student and  which  loan  has
    12  been  secured  through  a  state student loan program, a federal student
    13  loan program or a commercial lender and  which  loan  was  obtained  and
    14  expended  solely  for  the purposes of paying tuition and other expenses
    15  directly related to such undergraduate student  enrollment.  A  taxpayer
    16  shall  not  be  eligible  for  a  deduction  for the same expenses under
    17  subparagraph (A) and subparagraph (B) of this paragraph.
    18    § 2. This act shall take effect immediately and  shall  be  deemed  to
    19  have  been  in  full  force and effect on and after January first of the
    20  calendar year in which it takes effect, and shall apply to the tax  year
    21  commencing on and after such date.
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.