S T A T E   O F   N E W   Y O R K
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                                  1507

                       2011-2012 Regular Sessions

                          I N  A S S E M B L Y

                            January 10, 2011
                               ___________

Introduced by M. of A. TEDISCO -- Multi-Sponsored by -- M. of A. FITZPA-
  TRICK,  OAKS  --  read  once and referred to the Committee on Ways and
  Means

AN ACT to amend the tax law, in relation to authorizing a tax credit for
  individuals who purchase long term health insurance policies

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

  Section  1.  Legislative intent.   The legislature has hitherto recog-
nized the need to increase the availability of private health  insurance
for  long term care services provided in residential health care facili-
ties and community-based settings.   It is the intent  of  this  act  to
further encourage the development of such plans through the provision of
tax credits for individuals who purchase state-sanctioned long term care
health insurance plans.
  S  2. Section 606 of the tax law is amended by adding a new subsection
(h-1) to read as follows:
  (H-1) CREDIT FOR PURCHASE OF LONG TERM CARE HEALTH INSURANCE.  (1)   A
TAXPAYER  WHO  IS  FIFTY-FIVE  YEARS  OF AGE OR OLDER SHALL BE ALLOWED A
CREDIT TO BE CREDITED AGAINST THE TAX IMPOSED  BY  THIS  ARTICLE  IN  AN
AMOUNT  EQUAL  TO  TEN  PERCENT  OF THE ANNUAL PREMIUM PAID ON AND AFTER
JANUARY FIRST, TWO THOUSAND ELEVEN FOR A CONTRACT ISSUED  IN  CONNECTION
WITH  A  HEALTH  INSURANCE  PLAN  FOR  LONG TERM CARE AS PROVIDED FOR IN
SECTION ONE THOUSAND ONE HUNDRED SEVENTEEN OF THE INSURANCE LAW.
  (2)  IN NO EVENT SHALL THE AMOUNT OF THE CREDIT PROVIDED FOR  IN  THIS
SUBSECTION  BE  ALLOWED  IN  EXCESS OF THE TAXPAYER'S TAX FOR SUCH YEAR.
HOWEVER,  IF  THE  AMOUNT  OF  CREDIT  OTHERWISE  ALLOWABLE  UNDER  THIS
SUBSECTION  FOR  ANY  TAXABLE  YEAR  RESULTS  IN SUCH EXCESS AMOUNT, ANY
AMOUNT OF CREDIT NOT DEDUCTIBLE IN SUCH TAXABLE YEAR MAY BE CARRIED OVER
TO THE FOLLOWING YEAR OR YEARS AND MAY BE DEDUCTED FROM  THE  TAXPAYER'S
TAX FOR SUCH YEAR OR YEARS.
  S 3. This act shall take effect immediately.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02051-01-1