senate Bill S1931A

Amended

Provides an income tax credit for three years to a taxpayer who purchases a new primary residence for one million dollars or less

download pdf

Sponsor

Co-Sponsors

Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
view actions

actions

  • 09 / Jan / 2013
    • REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 19 / Mar / 2013
    • AMEND AND RECOMMIT TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 19 / Mar / 2013
    • PRINT NUMBER 1931A
  • 16 / Apr / 2013
    • AMEND AND RECOMMIT TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 16 / Apr / 2013
    • PRINT NUMBER 1931B
  • 08 / Jan / 2014
    • REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 12 / Feb / 2014
    • AMEND AND RECOMMIT TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 12 / Feb / 2014
    • PRINT NUMBER 1931C

Summary

Provides an income tax credit for three years to a taxpayer who purchases a new primary residence for one million dollars or less.

do you support this bill?

Bill Details

See Assembly Version of this Bill:
A6262
Versions:
S1931
S1931A
S1931B
S1931C
Legislative Cycle:
2013-2014
Current Committee:
Senate Investigations And Government Operations
Law Section:
Tax Law
Laws Affected:
Amd ยง606, Tax L
Versions Introduced in Previous Legislative Cycles:
2011-2012: S1266A, S1266A
2009-2010: S3900C, S3900C

Sponsor Memo

BILL NUMBER:S1931A

TITLE OF BILL: An act to amend the tax law, in relation to providing
a personal income tax credit for the purchase of a new home

PURPOSE OR GENERAL IDEA OF BILL: To provide purchasers of newly
constructed one- or two-family residences, including condos and
co-ops, with a $5,000 state tax credit returned to the homeowner
within the year after purchase. This tax credit will stimulate New
York's economy as well as provide incentive to those considering a
home purchase.

JUSTIFICATION: Sales of existing U.S. homes in December 2009 plunged
17% - the biggest decline since records began in 1968 - to a 5.45
million annual rate from 6.54 million pace the prior month, according
to the National Association of Realtors, and median sales prices rose
for the first time in two years, reflecting fewer first-time buyers.
For New York State, a decline in building permits - from 34,500 in
June 2008 to 6,400 in June 2009 -reflected a major decrease in home
sales. Single family homes in New York State fell by 16.2% alone in
February 2009.

The federal government has provided home purchasers with a tax credit
for first-time homebuyers and is extending this program up to mid
2010. Since 2006, median home prices in the state have dropped by more
than thirty thousand dollars from $245,201 to $215,000.

The residential home construction industry has a positive impact on
New York State's economy. This bill would help revitalize the economy
while encouraging home ownership by allowing first-time home buyers to
utilize a State tax credit on top of the federal government's
tax-credit.

PRIOR LEGISLATIVE HISTORY: 2009-2010: S.3900 - Referred to Finance
2011-2012: S.1266-A - Referred to Investigation and Government
Operations.

FISCAL IMPLICATIONS: $4 million in Fiscal year 2012-2014. Cost would
be offset the additional taxes generated by the construction of new
homes.

EFFECTIVE DATE: This act shall take effect on the thirtieth day after
it has become a law and shall apply to contracts executed after the
effective date.

view bill text
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 1931--A

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                               (PREFILED)

                             January 9, 2013
                               ___________

Introduced  by Sens. ADDABBO, ESPAILLAT -- read twice and ordered print-
  ed, and when printed to be committed  to  the  Committee  on  Investi-
  gations  and  Government  Operations  --  committee  discharged,  bill
  amended, ordered reprinted as amended and recommitted to said  commit-
  tee

AN  ACT to amend the tax law, in relation to providing a personal income
  tax credit for the purchase of a new home

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  Section  606  of  the  tax law is amended by adding a new
subsection (vv) to read as follows:
  (VV) REAL PROPERTY PURCHASE CREDIT. (1) A TAXPAYER SHALL BE ALLOWED  A
CREDIT  AS  PROVIDED  IN THIS SUBSECTION AGAINST THE TAX IMPOSED BY THIS
ARTICLE FOR THE PURCHASE OF ELIGIBLE REAL PROPERTY. THE  AMOUNT  OF  THE
CREDIT SHALL BE FIVE THOUSAND DOLLARS.  ANY AMOUNT OF THE TAX CREDIT NOT
USED  IN  THE  TAXABLE  YEAR IN WHICH THE RESIDENCE WAS PURCHASED MAY BE
CARRIED FORWARD FOR THREE YEARS UNTIL THE FULL AMOUNT OF THE CREDIT  HAS
BEEN ALLOWED AND ANY AMOUNT NOT USED SHALL LAPSE.
  (2)  IF  BEFORE  THE END OF A ONE YEAR PERIOD BEGINNING ON THE DATE OF
PURCHASE OF SUCH ELIGIBLE REAL PROPERTY BY THE TAXPAYER:
  (I) THE TAXPAYER DISPOSES OF SUCH TAXPAYER'S INTEREST IN SUCH ELIGIBLE
REAL PROPERTY, OR
  (II) SUCH ELIGIBLE REAL PROPERTY CEASES TO BE USED  AS  THE  PRINCIPAL
RESIDENCE OF THE TAXPAYER,
THE TAXPAYER'S TAX IMPOSED BY THIS ARTICLE FOR THE TAXABLE YEAR IN WHICH
SUCH DISPOSITION OR CESSATION OCCURS SHALL BE INCREASED BY THE RECAPTURE
PERCENTAGE  OF  THE  CREDIT  AS  DETERMINED BY REGULATION ADOPTED BY THE
COMMISSIONER, FOR ALL PRIOR TAXABLE YEARS WITH RESPECT TO SUCH CREDIT.
  (3) IN THE CASE OF A HUSBAND AND WIFE WHO FILE A JOINT FEDERAL RETURN,
BUT WHO ARE REQUIRED TO DETERMINE  THEIR  STATE  TAXES  SEPARATELY,  THE

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04507-03-3

S. 1931--A                          2

CREDIT  ALLOWED  PURSUANT  TO THIS SUBSECTION MAY BE APPLIED AGAINST THE
TAX IMPOSED OF EITHER OR DIVIDED BETWEEN THEM AS THEY MAY ELECT.
  (4) FOR THE PURPOSES OF THIS SUBSECTION, THE TERM "ELIGIBLE REAL PROP-
ERTY" SHALL MEAN A NEWLY CONSTRUCTED ONE OR TWO FAMILY RESIDENCE IN THIS
STATE, WHICH HAS NOT BEEN PREVIOUSLY OCCUPIED, PURCHASED FOR ONE MILLION
DOLLARS  OR  LESS  AND THAT IS THE PRIMARY RESIDENCE OF THE TAXPAYER. TO
QUALIFY AS ELIGIBLE REAL PROPERTY, THE TAXPAYER MUST RESIDE IN THE PROP-
ERTY AS A PRINCIPAL RESIDENCE FOR AT LEAST ONE YEAR AFTER  THE  PURCHASE
OF SUCH ELIGIBLE REAL PROPERTY.
  S  2.  This  act shall take effect on the thirtieth day after it shall
have become a law and shall apply to eligible  real  property  purchased
pursuant  to contracts of sale executed after the effective date of this
act.

Comments

Open Legislation comments facilitate discussion of New York State legislation. All comments are subject to moderation. Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity or hate speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Comment moderation is generally performed Monday through Friday.

By contributing or voting you agree to the Terms of Participation and verify you are over 13.