senate Bill S2179A

Amended

Establishes the "caregiver's assistance act" giving income tax credits and deductions and a real property tax exemption to certain persons who help seniors

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Bill Status


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

  • 14 / Jan / 2013
    • REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 08 / May / 2013
    • AMEND AND RECOMMIT TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 08 / May / 2013
    • PRINT NUMBER 2179A
  • 15 / May / 2013
    • AMEND AND RECOMMIT TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 15 / May / 2013
    • PRINT NUMBER 2179B
  • 08 / Jan / 2014
    • REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 31 / Mar / 2014
    • AMEND AND RECOMMIT TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 31 / Mar / 2014
    • PRINT NUMBER 2179C

Summary

Establishes the "caregiver's assistance act"; allows a personal income tax credit equal to twenty percent of qualified care expenses in an amount equal to or less than two thousand seventy-five dollars for the taxable year that is paid by taxpayer for the care of a qualifying senior family member; authorizes a basic or an enhanced (STAR) exemption on a pro-rated basis to property where a senior citizen residing with a taxpayer would otherwise meet the eligibility requirements, except for ownership requirements, and where, in the case of an enhanced exemption, the income of the senior and the spouse of the senior considered separately from the remainder of the household would meet the applicable income requirements; provides that such basic or an enhanced exemption shall be on a pro-rated basis.

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Bill Details

Versions:
S2179
S2179A
S2179B
S2179C
Legislative Cycle:
2013-2014
Current Committee:
Senate Investigations And Government Operations
Law Section:
Tax Law
Laws Affected:
Amd §606, Tax L; amd §425, RPT L
Versions Introduced in Previous Legislative Cycles:
2011-2012: S884
2009-2010: S1574

Sponsor Memo

BILL NUMBER:S2179A

TITLE OF BILL: An act to amend the tax law and the real property tax
law, in relation to establishing the "caregiver's assistance act"

PURPOSE: To provide tax credits and exemptions to aid those who
provide informal, unpaid care of their elderly relatives

SUMMARY OF PROVISIONS:

Section one of this bill provides the short title, which is the
"Caregiver's Assistance Act."

Section two of this bill adds a new subsection (ww) to section 606 of
the Tax Law, to provide a refundable credit to qualified taxpayers who
provide informal, unpaid care to senior family members. The credit
amount is 200 of the first $2,400 spent by the taxpayer on behalf of a
senior relative, plus an additional $75 credit for any amount spent in
excess of $2,400. The maximum credit is thus $555. A senior family
member is a person who is 60 years old or older, related to the
taxpayer within the third degree of consanguinity, resides in the
taxpayer's home, and has a New York adjusted gross income of $13,000
or less for a single person, or $20,000 or less for a married couple.
The credit is not available to taxpayers whose adjusted gross income
is $45,000 for a single taxpayer or $60,000 for married taxpayers.

Section three of this bill adds a new paragraph (d) to subdivision 4-a
of section 425 of the Real Property Tax Law to provide a pro-rated
basic or enhanced STAR exemption for the dwelling in which a senior
resides with his or her relative. The exemption is prorated based upon
the percentage of the residence that used by the senior. For example,
if the residence is 1500 square feet and the senior occupies a
150-square foot room, the percentage that is used in the Proration
computation is 100. That percentage is multiplied by the amount of the
basic or enhanced STAR exemption that the senior would have been
allowed if the senior owned the residence to determine the exemption
amount under this new paragraph.

Section four of this bill provides that this act shall take effect on
the first of January next succeeding the date on which it becomes law.

EXISTING LAW: Current law provides none of the enhanced penalties
described in this bill.

JUSTIFICATION: The 2011 "MetLife Study of Caregiving Costs to Working
Caregivers: Double Jeopardy for Baby Boomers Caring for Their
Parents," found that the number of adult children who are providing
financial assistance to or caring for their elderly parents has
tripled over the past 15 years. The cost to these caregivers is
significant. Caregivers who continue to work full-time were found to
be in fair to poor health, while their non-caregiver counterparts were
found to be healthier. Many of these caregivers are forced to give up
their full-time jobs and seek part-time employment. It is estimated
that the lost wages, private pension benefits, and social security for
these caregivers is almost $225,000.


The purpose of this legislation is to not only to recognize the
efforts of families caring for their senior relatives, but also to
provide an incentive for more families to provide the care and to
encourage families currently providing the care to continue to do so
for longer period.

LEGISLATIVE HISTORY: 2011-2012: S.884 - Referred to Investigations
and Government Operations 2009-2010: S.1574 - Reported to Finance
2008: S.489 - Reported to Finance 2007: S.489 - Reading 2005-2006:
S.1194 - Reported to Finance

FISCAL IMPLICATIONS: To be determined

EFFECTIVE DATE: This act shall take effect on the first of January
next succeeding the date on which it becomes law.

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

                                 2179--A

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 14, 2013
                               ___________

Introduced  by  Sen.  GOLDEN -- read twice and ordered printed, and when
  printed to be committed to the Committee on Investigations and Govern-
  ment  Operations  --  committee  discharged,  bill  amended,   ordered
  reprinted as amended and recommitted to said committee

AN  ACT  to amend the tax law and the real property tax law, in relation
  to establishing the "caregiver's assistance act"

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

  Section  1.  Short  title. This act shall be known and may be cited as
the "caregiver's assistance act".
  S 2. Section 606 of the tax law is amended by adding a new  subsection
(ww) to read as follows:
  (WW)  ELDER  CARE  CREDIT.  (1)  A  TAXPAYER SHALL BE ALLOWED A CREDIT
AGAINST THE TAX IMPOSED UNDER SECTION SIX HUNDRED ONE OF THIS PART EQUAL
TO TWENTY PERCENT OF QUALIFIED CARE EXPENSES IN AN AMOUNT  EQUAL  TO  OR
LESS  THAN  TWO  THOUSAND FOUR HUNDRED DOLLARS FOR THE TAXABLE YEAR THAT
ARE PAID BY THE TAXPAYER FOR THE CARE  OF  A  QUALIFYING  SENIOR  FAMILY
MEMBER.  A TAXPAYER WITH QUALIFIED CARE EXPENSES PURSUANT TO THE PRECED-
ING SENTENCE WHICH ARE IN EXCESS OF TWO HUNDRED FORTY  DOLLARS  FOR  ANY
TAXABLE  YEAR  SHALL  RECEIVE  AN  ADDITIONAL SEVENTY-FIVE DOLLAR CREDIT
AGAINST THE TAX IMPOSED UNDER SECTION SIX HUNDRED ONE OF THIS  PART.  IF
THE CREDIT OR CREDITS PROVIDED PURSUANT TO THIS SECTION SHALL EXCEED THE
TAXPAYER'S  TAX FOR SUCH TAXABLE YEAR, THE EXCESS SHALL BE TREATED AS AN
OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED  IN  ACCORDANCE  WITH  THE
PROVISIONS  OF SECTION SIX HUNDRED EIGHTY-SIX OF THIS ARTICLE, PROVIDED,
HOWEVER, THAT NO INTEREST SHALL BE PAID THEREON.  IF A TAXPAYER  IS  NOT
REQUIRED  TO  FILE  A RETURN PURSUANT TO SECTION SIX HUNDRED ONE OF THIS
PART, A TAXPAYER MAY NEVERTHELESS RECEIVE AND THE  COMPTROLLER,  SUBJECT
TO  A  CERTIFICATE  OF THE COMMISSIONER, SHALL PAY AS AN OVERPAYMENT THE
FULL AMOUNT OF THE CREDIT OR CREDITS, WITHOUT INTEREST. NO CREDIT  SHALL
BE  GRANTED  UNDER  THIS  SUBSECTION IF THE TAXPAYER'S NEW YORK ADJUSTED

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD05880-02-3

S. 2179--A                          2

GROSS INCOME IS GREATER THAN FORTY-FIVE THOUSAND DOLLARS  FOR  A  SINGLE
TAXPAYER  OR  SIXTY  THOUSAND  DOLLARS  FOR MARRIED TAXPAYERS, OR IF THE
TAXPAYER HAS CLAIMED THE CREDIT FOR CERTAIN HOUSEHOLD AND DEPENDENT CARE
SERVICES AUTHORIZED IN THIS SECTION.
  (2) AS USED IN THIS SUBSECTION:
  (A)  "TAXPAYER"  IS  A RESIDENT INDIVIDUAL OF THIS STATE, BUT THE TERM
DOES NOT INCLUDE A NONRESIDENT TAXPAYER OR A PART-YEAR RESIDENT  TAXPAY-
ER.
  (B)  "QUALIFYING  SENIOR  FAMILY MEMBER" IS A RELATIVE OF THE TAXPAYER
WITHIN THE THIRD DEGREE OF CONSANGUINITY WHO RESIDES WITH  THE  TAXPAYER
AND WHO IS SIXTY YEARS OR OLDER AND WHOSE NEW YORK ADJUSTED GROSS INCOME
IS THIRTEEN THOUSAND DOLLARS OR LESS FOR A SINGLE FAMILY MEMBER OR TWEN-
TY  THOUSAND  OR  LESS  FOR  MARRIED FAMILY MEMBERS. A QUALIFYING SENIOR
FAMILY MEMBER INCLUDES A PERSON WHO OTHERWISE MEETS  THE  QUALIFICATIONS
SPECIFIED  IN THE PRECEDING SENTENCE BUT WHO OCCUPIES A SEPARATE ROOM OR
ROOMS IN OR AT THE RESIDENCE OF THE TAXPAYER,  SUCH  AS  THOSE  COMMONLY
REFERRED TO AS MOTHER-IN-LAW APARTMENTS, BUT SHALL NOT INCLUDE A TENANT,
SUBTENANT,  ROOMER  OR  BOARDER  WHO  PAYS  A LEASE OR RENTAL FEE TO THE
TAXPAYER FOR THE SPACE.
  (C) "QUALIFIED CARE EXPENSES" ARE PAYMENTS MADE BY  THE  TAXPAYER  FOR
GOODS  AND  SERVICES  NECESSARY  TO  ALLOW  THE QUALIFYING SENIOR FAMILY
MEMBER TO BE MAINTAINED IN THE  TAXPAYER'S  RESIDENCE  WHICH  GOODS  AND
SERVICES  ARE:  (I)  PROVIDED  TO  OR  FOR THE BENEFIT OF THE QUALIFYING
SENIOR FAMILY MEMBER OR TO ASSIST THE TAXPAYER IN CARING FOR THE  QUALI-
FYING  SENIOR  FAMILY MEMBER; OR PROVIDED BY AN ORGANIZATION OR AN INDI-
VIDUAL NOT RELATED TO THE  TAXPAYER  OR  THE  QUALIFYING  SENIOR  FAMILY
MEMBER;  AND  (II)  NOT COMPENSATED FOR BY INSURANCE OR FEDERAL OR STATE
PROGRAMS. SUCH EXPENSES INCLUDE, BUT ARE NOT  LIMITED  TO,  HOME  HEALTH
AGENCY  SERVICES,  ADULT DAY CARE, COMPANIONSHIP SERVICES, PERSONAL CARE
ATTENDANT SERVICES, HOMEMAKER SERVICES, RESPITE CARE, HEALTH CARE EQUIP-
MENT AND SUPPLIES, HOME  MODIFICATION,  OR  ANY  SERVICES  NECESSARY  TO
PROVIDE  HELP  IN  TWO  OR  MORE  ACTIVITIES IN DAILY LIVING, OR FOR THE
PROVISION OF ASSISTIVE DEVICES.
  (3) WHEN TWO OR MORE MEMBERS OF A HOUSEHOLD  MEET  THE  QUALIFICATIONS
FOR A CREDIT OR CREDITS PURSUANT TO THIS SUBSECTION, THE CREDIT OR CRED-
ITS  SHALL  BE  EQUALLY DIVIDED BETWEEN OR AMONG SUCH INDIVIDUALS UNLESS
SUCH INDIVIDUALS FILE WITH THE COMMISSIONER A WRITTEN AGREEMENT  SETTING
FORTH  A  DIFFERENT DIVISION.   WHERE A JOINT INCOME TAX RETURN HAS BEEN
FILED PURSUANT TO THIS CHAPTER BY A TAXPAYER AND HIS OR HER  SPOUSE  (OR
WHERE  BOTH SPOUSES ARE TAXPAYERS AND HAVE FILED SUCH JOINT RETURN), WHO
QUALIFY FOR SUCH CREDIT OR  CREDITS,  THE  CREDIT  OR  CREDITS,  OR  THE
PORTION  THEREOF  IF DIVIDED, TO WHICH THE HUSBAND AND WIFE ARE ENTITLED
SHALL BE APPLIED AGAINST THE TAX OF BOTH  SPOUSES  AND  ANY  OVERPAYMENT
SHALL  BE  MADE  TO  BOTH SPOUSES. WHERE ANY RETURN REQUIRED TO BE FILED
PURSUANT TO THIS CHAPTER IS COMBINED WITH  ANY  RETURN  OF  TAX  IMPOSED
PURSUANT  TO  THE AUTHORITY OF THIS CHAPTER OR ANY OTHER LAW IF SUCH TAX
IS ADMINISTERED BY THE  COMMISSIONER,  THE  CREDIT  OR  CREDITS  OR  THE
PORTION  THEREOF  IF  DIVIDED, ALLOWED TO THE TAXPAYER MAY BE APPLIED BY
THE COMMISSIONER TOWARD ANY LIABILITY FOR THE AFOREMENTIONED TAXES.
  (4) NO CREDIT OR CREDITS OR PORTION THEREOF  SHALL  BE  GRANTED  UNDER
THIS  SUBSECTION  WITH  RESPECT  TO CARE PROVIDED IN A RESIDENCE THAT IS
WHOLLY EXEMPTED FROM REAL PROPERTY TAXATION OR TO AN INDIVIDUAL  WHO  IS
NOT  A RESIDENT INDIVIDUAL OF THE STATE FOR THE ENTIRE TAXABLE YEAR. THE
RIGHT TO CLAIM A CREDIT OR CREDITS OR  A  PORTION  THEREOF,  WHERE  SUCH
CREDIT  OR  CREDITS  HAVE  BEEN  DIVIDED UNDER THIS SUBSECTION, SHALL BE
PERSONAL TO THE QUALIFIED TAXPAYER AND SHALL  NOT  SURVIVE  HIS  OR  HER

S. 2179--A                          3

DEATH, BUT SUCH RIGHT MAY BE EXERCISED ON BEHALF OF A CLAIMANT BY HIS OR
HER LEGAL GUARDIAN OR ATTORNEY IN FACT DURING HIS OR HER LIFETIME.
  (5)  THE  COMMISSIONER MAY REQUIRE A TAXPAYER TO FURNISH AS SUPPORT OF
HIS OR HER CLAIM FOR CREDIT UNDER THIS SUBSECTION RECEIPTS FOR QUALIFIED
CARE EXPENSES OR OTHER SUCH PROOFS  OF  PAYMENT  AS  SHALL  SATISFY  THE
COMMISSIONER.
  S  3.  Subdivision  4-a of section 425 of the real property tax law is
amended by adding a new paragraph (d) to read as follows:
  (D) PERSON WHO IS AT LEAST SIXTY-FIVE YEARS OF AGE.   A  BASIC  OR  AN
ENHANCED  EXEMPTION  SHALL  BE PROVIDED ON A PRO-RATED BASIS TO PROPERTY
WHERE A PERSON WHO IS AT LEAST SIXTY-FIVE YEARS  OF  AGE  RESIDES  IN  A
RESIDENCE  THAT  IS  OWNED  AND OCCUPIED BY A RELATIVE WHO IS WITHIN THE
THIRD DEGREE OF  CONSANGUINITY  WOULD  OTHERWISE  MEET  THE  ELIGIBILITY
REQUIREMENTS  SET  FORTH  IN SUBDIVISIONS THREE OR FOUR OF THIS SECTION,
EXCEPT FOR OWNERSHIP REQUIREMENTS, AND WHERE, IN THE CASE OF AN ENHANCED
EXEMPTION, THE INCOME OF THE SENIOR AND THE SPOUSE OF THE SENIOR CONSID-
ERED SEPARATELY FROM THE REMAINDER  OF  THE  HOUSEHOLD  WOULD  MEET  THE
INCOME  REQUIREMENTS SET FORTH IN SUBDIVISION FOUR OF THIS SECTION. SUCH
BASIC OR AN ENHANCED EXEMPTION SHALL BE PROVIDED ON A PRO-RATED BASIS TO
THE PROPERTY AS FOLLOWS: MULTIPLY THE EXEMPTION THAT WOULD BE GRANTED TO
THE PROPERTY AS A WHOLE IF THE PROPERTY WERE ELIGIBLE FOR THE  BASIC  OR
THE  ENHANCED  EXEMPTION, AS APPLICABLE, BY A FRACTION, THE NUMERATOR OF
WHICH IS THE SQUARE FOOTAGE OF THE ROOM OR ROOMS USED BY SUCH PERSON WHO
IS AT LEAST SIXTY-FIVE YEARS OF AGE FOR LIVING SPACE, AND THE  DENOMINA-
TOR  OF  WHICH  IS  THE TOTAL SQUARE FOOTAGE OF THE RESIDENCE. EXCEPT AS
PROVIDED IN THIS PARAGRAPH, OR AS INCONSISTENT WITH THE PURPOSES OF THIS
PARAGRAPH, ALL OTHER REQUIREMENTS OF THIS SECTION SHALL BE APPLICABLE TO
SUCH PRO-RATED BASIC OR ENHANCED EXEMPTION. THE  EXEMPTION  PROVIDED  BY
THIS PARAGRAPH SHALL BE IN ADDITION TO ANY EXEMPTION PLACED ON THE PROP-
ERTY PURSUANT TO SUBDIVISION THREE OR FOUR OF THIS SECTION.
  S  4. This act shall take effect on the first of January next succeed-
ing the date on which it shall have become a law.

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