senate Bill S3382A

Vetoed

Provides for a deduction from personal gross income for expenses incurred in the adoption of a child in the foster care system

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Bill Status


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

  • 01 / Feb / 2013
    • REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 18 / Mar / 2013
    • NOTICE OF COMMITTEE CONSIDERATION - REQUESTED
  • 11 / Apr / 2013
    • NOTICE OF COMMITTEE CONSIDERATION - WITHDRAWN
  • 16 / Apr / 2013
    • REPORTED AND COMMITTED TO FINANCE
  • 04 / Jun / 2013
    • 1ST REPORT CAL.999
  • 05 / Jun / 2013
    • 2ND REPORT CAL.
  • 10 / Jun / 2013
    • ADVANCED TO THIRD READING
  • 11 / Jun / 2013
    • PASSED SENATE
  • 11 / Jun / 2013
    • DELIVERED TO ASSEMBLY
  • 11 / Jun / 2013
    • REFERRED TO WAYS AND MEANS
  • 08 / Jan / 2014
    • DIED IN ASSEMBLY
  • 08 / Jan / 2014
    • RETURNED TO SENATE
  • 08 / Jan / 2014
    • REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 14 / Jan / 2014
    • AMEND AND RECOMMIT TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 14 / Jan / 2014
    • PRINT NUMBER 3382A
  • 29 / Apr / 2014
    • REPORTED AND COMMITTED TO FINANCE
  • 11 / Jun / 2014
    • COMMITTEE DISCHARGED AND COMMITTED TO RULES
  • 11 / Jun / 2014
    • ORDERED TO THIRD READING CAL.1289
  • 11 / Jun / 2014
    • PASSED SENATE
  • 11 / Jun / 2014
    • DELIVERED TO ASSEMBLY
  • 11 / Jun / 2014
    • REFERRED TO WAYS AND MEANS
  • 19 / Jun / 2014
    • SUBSTITUTED FOR A2378B
  • 19 / Jun / 2014
    • ORDERED TO THIRD READING RULES CAL.434
  • 19 / Jun / 2014
    • PASSED ASSEMBLY
  • 19 / Jun / 2014
    • RETURNED TO SENATE
  • 05 / Dec / 2014
    • DELIVERED TO GOVERNOR
  • 17 / Dec / 2014
    • VETOED MEMO.556

Summary

Provides for a deduction from personal gross income for expenses incurred in the adoption of a child in the foster care system.

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Bill Details

See Assembly Version of this Bill:
A2378B
Versions:
S3382
S3382A
Legislative Cycle:
2013-2014
Law Section:
Tax Law
Laws Affected:
Amd ยง612, Tax L
Versions Introduced in 2011-2012 Legislative Cycle:
S6458, A9221

Sponsor Memo

BILL NUMBER:S3382A

TITLE OF BILL: An act to amend the tax law, in relation to providing
for a deduction from personal gross income for expenses incurred in
the adoption of a child in the foster care system

PURPOSE OR GENERAL IDEA OF THE BILL:

In order to decrease the length of wait time for adoption of children
in the foster care system and to create incentives to decrease the
number of children in foster care waiting to be adopted, this
legislation creates a tax deduction for all expenses incurred by the
family adopting children from the foster care system.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1: Subsection (c) of section 612 of the tax law is amended by
adding a new paragraph 39 which lists income tax deductibles for
eligible families adopting a child in the foster care system.

Section 2: Provides for immediate effective date and shall apply to
all taxable years beginning on or after the first of January in the
year in which it shall have become law.

JUSTIFICATION:

Currently, New York State has over 23,000 children in custody in its
foster care system. For a large number of these children, returning to
their natural parents is impossible. In 2011, there were over 6,400
foster care children waiting to be adopted and the median years each
has to wait to be adopted is close to 4.5 years. At an annual cost to
New York State of over $33,000 per child in state custody, it is
obvious that New York State government must do more to create
incentives for families interested in adopting a child in the foster
care system. This legislation gives adoptive families an income tax
deduction for all the expenses incurred in such an adoption. In
addition, it is a well understood dynamic that the longer a child is
in the foster care system, the slimmer the chances for adoption. As
children age in state custody it becomes a negative for them because
families tend to adopt younger children. Therefore New York must do
more to place these children in healthy, loving and nurturing home
environments. At a total annual cost of over $759 million dollars to
maintain the 23,000 in state custody, it is clearly in the best
interest of these children and to New York taxpayers to create
incentives to reduce the number of children in government custody.

PRIOR LEGISLATIVE HISTORY:

New Legislation.

FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENT:

Currently, New York spends over $33,000 annually for each child in the
foster care system. In 2011, there were over 6,400 foster care
children waiting to be adopted, but only about 7% or about 417
children were actually adopted. Allowing families to deduct the
estimated $2,000 to $10,000 in expenses incurred to adopt a child


reduces the amount paid in taxes to NYS by less than $600 per each
adoption. Obviously, it makes enormous economic sense to lose $600 per
adoption in tax collection by creating incentives to remove children
from state custody at the current yearly cost of over $33,000 per
child.

Based on 2009 total adoptions from the foster care system, which
placed 2,100 children with adoptive families, New York State tax
collection would be reduced by about one million dollars. However,
with over 23,000 children in State custody, during any given year, at
the stated annual cost per child of over $33,000, the state will
actually achieve savings in excess of the Projected decrease in tax
revenue for each child adopted due to the incentives provided in this
legislation.

EFFECTIVE DATE:

This bill will take effect immediately.

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

                                 3382--A

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            February 1, 2013
                               ___________

Introduced  by  Sens. HASSELL-THOMPSON, MONTGOMERY, PARKER -- read twice
  and ordered printed, and when printed to be committed to the Committee
  on Investigations and Government  Operations  --  recommitted  to  the
  Committee  on  Investigations  and Government Operations in accordance
  with Senate Rule 6, sec. 8  --  committee  discharged,  bill  amended,
  ordered reprinted as amended and recommitted to said committee

AN  ACT  to  amend the tax law, in relation to providing for a deduction
  from personal gross income for expenses incurred in the adoption of  a
  child in the foster care system

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

  Section 1.  Subsection (c) of section 612 of the tax law is amended by
adding a new paragraph 41 to read as follows:
  (41) THE AMOUNT OF ADOPTION FEES INCLUDING ANY  AND  ALL  MEDICAL  AND
LEGAL  FEES, COURT COSTS AND ANY OTHER RELATED EXPENSES PAID OR INCURRED
BY A TAXPAYER DURING THE TAXABLE YEAR IN CONNECTION WITH THE ADOPTION OF
A CHILD IN THE FOSTER CARE SYSTEM.
  S 2. This act shall take effect immediately and  shall  apply  to  all
taxable  years beginning on or after the first of January in the year in
which it shall have become a law.




 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02560-05-4

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