S T A T E O F N E W Y O R K
________________________________________________________________________
2826
2011-2012 Regular Sessions
I N A S S E M B L Y
January 20, 2011
___________
Introduced by M. of A. CALHOUN, CONTE, THIELE, McDONOUGH, JAFFEE --
Multi-Sponsored by -- M. of A. BOYLE, CROUCH, KOLB, TOWNS -- read
once and referred to the Committee on Ways and Means
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 Subdivision (e) of section 800 of the tax law is REPEALED.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.
LBD02862-01-1
A. 2826 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.