S T A T E O F N E W Y O R K
________________________________________________________________________
2898
2009-2010 Regular Sessions
I N A S S E M B L Y
January 21, 2009
___________
Introduced by M. of A. SCHIMMINGER, COLTON, DelMONTE, HOOPER -- Multi-
Sponsored by -- M. of A. BING, CHRISTENSEN, GALEF, HIKIND, KOON,
LAVINE, MARKEY, MAYERSOHN, McENENY, J. RIVERA, N. RIVERA, WEISENBERG
-- read once and referred to the Committee on Ways and Means
AN ACT to amend the tax law, in relation to the amount of the unified
credit for purposes of the estate tax
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subsection (a) of section 951 of the tax law, as amended by
section 1 of part A of chapter 407 of the laws of 1999, is amended to
read as follows:
(a) Dates. For purposes of this article, any reference to the internal
revenue code means the United States Internal Revenue Code of 1986, with
all amendments enacted on or before July twenty-second, nineteen hundred
ninety-eight, and, unless specifically provided otherwise in this arti-
cle, any reference to December thirty-first, nineteen hundred seventy-
six or January first, nineteen hundred seventy-seven contained in the
provisions of such code which are applicable to the determination of the
tax imposed by this article shall be read as a reference to June thirti-
eth, nineteen hundred seventy-eight or July first, nineteen hundred
seventy-eight, respectively. Notwithstanding the foregoing, the unified
credit against the estate tax provided in section two thousand ten of
the internal revenue code shall, for purposes of this article, be the
amount allowed by such section [under the applicable federal law in
effect on the decedent's date of death. Provided, however, the amount of
such credit allowable for purposes of this article shall not exceed the
amount allowable as if the federal unified credit did not exceed the tax
due under section two thousand one of the internal revenue code on a
federal taxable estate of one million dollars] WITH ALL AMENDMENTS
ENACTED ON OR BEFORE JUNE SEVENTH, TWO THOUSAND ONE.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD03948-01-9
A. 2898 2
S 2. Section 952 of the tax law is amended by adding a new subsection
(c) to read as follows:
(C) NOTWITHSTANDING ANY OTHER PROVISION OF THIS ARTICLE TO THE CONTRA-
RY, FOR ESTATES OF DECEDENTS DYING ON OR AFTER JANUARY FIRST, TWO THOU-
SAND THIRTEEN, THE TAX IMPOSED BY THIS SECTION SHALL BE ZERO.
S 3. Subsection (a) of section 971 of the tax law, as added by section
17 of part A of chapter 389 of the laws of 1997, is amended to read as
follows:
(a) Returns by executor. (1) Residents. In the case of the estate of
every individual dying on or after February first, two thousand, BUT
BEFORE JANUARY FIRST, TWO THOUSAND THIRTEEN, who at his or her death was
a resident of New York state, if his or her executor is required to file
a return with respect to the federal estate tax [(determined as if the
limitation contained in subsection (a) of section nine hundred fifty-one
of this article were applicable in determining whether such executor is
required to file such federal return)], the executor shall make a return
with respect to the estate tax imposed by section nine hundred fifty-two
of this article.
(2) Nonresidents. In the case of the estate of every individual DYING
BEFORE JANUARY FIRST, TWO THOUSAND THIRTEEN, who at his or her death was
not a resident of New York state, if his or her executor is required to
file a return with respect to the federal estate tax [(determined as if
the limitation contained in subsection (a) of section nine hundred
fifty-one of this article were applicable in determining whether such
executor is required to file such federal return)] and if such individ-
ual's federal gross estate includes real or tangible personal property
having an actual situs in New York state, the executor shall make a
return with respect to the estate tax imposed by section nine hundred
sixty of this article.
S 4. Section 1022 of the tax law, as added by chapter 190 of the laws
of 1990, is amended to read as follows:
S 1022. Imposition of tax. A tax is hereby imposed upon every genera-
tion-skipping transfer which includes New York property in an amount
computed by multiplying the maximum amount allowable as a credit for
state generation-skipping transfer taxes under section two thousand six
hundred four of the internal revenue code by a fraction, the numerator
of which is the value of the New York property included in the genera-
tion-skipping transfer and the denominator of which is the value of all
the property included in the generation-skipping transfer. The person
liable for payment of the federal generation-skipping transfer tax shall
be liable for the tax imposed by this section. NOTWITHSTANDING ANY
OTHER PROVISION OF THIS ARTICLE TO THE CONTRARY, FOR GENERATION-SKIPPING
TRANSFERS MADE ON OR AFTER JANUARY FIRST, TWO THOUSAND THIRTEEN, THE TAX
IMPOSED BY THIS SECTION SHALL BE ZERO.
S 5. This act shall take effect January 1, 2011, and sections one
through three of this act shall apply to estates of decedents dying on
or after such date.