senate Bill S4379

Vetoed By Governor
2013-2014 Legislative Session

Exempts proceeds from service award programs for volunteer firefighters and ambulance workers from personal income taxes

download bill text pdf

Sponsored By

Archive: Last Bill Status - Vetoed by Governor


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

do you support this bill?

Actions

view actions (12)
Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Sep 27, 2013 vetoed memo.225
Sep 17, 2013 delivered to governor
Jun 17, 2013 returned to senate
passed assembly
ordered to third reading rules cal.239
substituted for a6765
Jun 11, 2013 referred to ways and means
delivered to assembly
passed senate
Jun 10, 2013 ordered to third reading cal.1195
committee discharged and committed to rules
Mar 25, 2013 referred to investigations and government operations

Votes

view votes

Co-Sponsors

S4379 - Bill Details

See Assembly Version of this Bill:
A6765
Law Section:
Tax Law
Laws Affected:
Amd ยง612, Tax L

S4379 - Bill Texts

view summary

Exempts proceeds from service award programs for volunteer firefighters and ambulance workers from personal income taxes.

view sponsor memo
BILL NUMBER:S4379

TITLE OF BILL: An act to amend the tax law, in relation to exempting
the proceeds from service award programs for volunteer firefighters
and ambulance workers from personal income taxes

PURPOSE:

Render length of service award benefits for volunteer firefighters and
volunteer ambulance workers exempt from NYS income taxes.

SUMMARY OF SPECIFIC PROVISIONS:

Adds a new paragraph, 39, to subsection (c) of section 612 of the Tax
law to render length of service awards authorized under Articles
eleven-A, eleven AA, eleven AAA and eleven AAAA of the General
Municipal Law exempt from New York State income taxes.

JUSTIFICATION:

A Length of Service Award Program (often referred to as LOSAP) is a
valuable tool utilized by many fire companies and ambulance corps to
recruit and retain volunteers. In essence, a LOSAP is a pension or
annuity that volunteers with a certain amount of service can draw upon
attaining a certain age. The plans differ throughout the state, but
the earliest age that a volunteer can collect is 55.

Although the amounts are considerably lower, LOSAP benefits are no
different than pensions that state and municipal workers receive upon
retirement. Like these employees, volunteer firefighters and ambulance
workers serve governmental entities (i.e.; fire districts, towns,
villages, etc.) Yet, unlike state and municipal employees, their LOSAP
benefits are not tax deductible_ This bill seeks to correct this
inequity and is consistent with the NYS Department of Taxation and
Finance position on this issue. It is the Department's position that
service award proceeds are not taxable in certain circumstances and as
the law stands now, does not properly recognize. The importance of
this legislation is particularly acute today, by reason of the
difficulties that volunteer fire companies and ambulance corps have in
attracting and retaining volunteers. Since LOSAP programs are
administered at the local level, there are no financial implications
to the State.

LEGISLATIVE HISTORY:

2011-2012: S.4727
2009-2010: A.4450/S.5420
2007-2008: A.4895-B/S.2026-B
2005-2006: A.957-A/S.1908-A
2003-2004: A.2592/S.4109
2001-2002: A.8737/S.4841
1999-2000: A.11007/S.7642

FISCAL IMPLICATIONS:

None.


EFFECTIVE DATE:

This act shall take effect immediately and apply to taxable years
beginning on and after January 1, 2014.

view full text
download pdf
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  4379

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                             March 25, 2013
                               ___________

Introduced  by  Sen.  BOYLE  -- read twice and ordered printed, and when
  printed to be committed to the Committee on Investigations and Govern-
  ment Operations

AN ACT to amend the tax law, in relation to exempting the proceeds  from
  service  award programs for volunteer firefighters and ambulance work-
  ers from personal income taxes

  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 39 to read as follows:
  (39) THE AMOUNT OF ANY AWARD PAID TO A VOLUNTEER FIREFIGHTER OR VOLUN-
TEER AMBULANCE WORKER FROM A LENGTH OF SERVICE DEFINED CONTRIBUTION PLAN
OR DEFINED BENEFIT PLAN AS PROVIDED FOR IN ARTICLES ELEVEN-A, ELEVEN-AA,
ELEVEN-AAA AND ELEVEN-AAAA OF THE GENERAL MUNICIPAL LAW, TO  THE  EXTENT
THAT  SUCH  AWARD  IS  INCLUDABLE IN GROSS INCOME FOR FEDERAL INCOME TAX
PURPOSES; PROVIDED, HOWEVER, THAT SUCH AWARD IS NOT DISTRIBUTED  IN  THE
FORM OF A LUMP SUM.
  S 2. This act shall take effect immediately and shall apply to taxable
years beginning on and after January 1, 2014.





 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10031-01-3

Comments

Open Legislation comments facilitate discussion of New York State legislation. All comments are subject to moderation. Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity or hate speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Comment moderation is generally performed Monday through Friday.

By contributing or voting you agree to the Terms of Participation and verify you are over 13.