Senate Bill S6249

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

                                  6249

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                            October 28, 2009
                               ___________

Introduced  by  Sens.  MORAHAN, BONACIC, FOLEY, GOLDEN, HANNON, LAVALLE,
  MONSERRATE, PADAVAN, SALAND, VOLKER -- read twice and ordered printed,
  and when printed to be committed to the Committee on Rules

AN ACT to amend the tax law, in relation to the MTA payroll tax and  net
  earnings  from  self-employment;  and  to repeal certain provisions of
  such law relating thereto

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

  Section 1. Subdivision (e) of section 800 of the tax law is REPEALED.
  S  2.  Section  801 of the tax law, as added by section 1 of part C of
chapter 25 of the laws of 2009, is amended to read as follows:
  S 801. Imposition of tax and rate. (a) For the sole purpose of provid-
ing an additional stable and reliable dedicated funding source  for  the
metropolitan  transportation  authority  and its subsidiaries and affil-
iates to preserve, operate and improve essential transit and transporta-
tion services in the metropolitan commuter  transportation  district,  a
tax  is hereby imposed at a rate of thirty-four hundredths (.34) percent
of [(1)] the payroll expense of every employer who engages  in  business
within  the MCTD [and (2) the net earnings from self-employment of indi-
viduals that are attributable to the MCTD if such earnings  attributable
to the MCTD exceed ten thousand dollars for the tax year].
  (b)[(1)  An  individual  having net earnings from self-employment from
activity both within and without the metropolitan  commuter  transporta-
tion district is required to allocate and apportion such net earnings to
the  MCTD  in  the  manner  required for allocation and apportionment of
income under article twenty-two of this chapter.
  (2) In the case of individuals with earnings from self-employment, the
net  earnings  from  self  employment  threshold  in  paragraph  two  of
subsection  (a)  of this section will be computed on an individual basis
regardless of whether that individual filed a joint personal income  tax
return.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD14801-01-9
              

S. 6249                             2

  (c)] The determination of whether a covered employee is employed with-
in the MCTD will be made by utilizing the rules applicable to the juris-
diction  of  employment  for  purposes  of  the statewide wage reporting
system under section one  hundred  seventy-one-a  of  this  chapter  and
substituting the MCTD for the state in that application.
  S 3. Subdivision (b) of section 804 of the tax law is REPEALED.
  S 4. This act shall take effect immediately.