S T A T E O F N E W Y O R K
________________________________________________________________________
23--A
2015-2016 Regular Sessions
I N S E N A T E
(PREFILED)
January 7, 2015
___________
Introduced by Sens. LAVALLE, DeFRANCISCO, FLANAGAN, FUNKE, GRIFFO,
MARCHIONE, RANZENHOFER, SEWARD -- read twice and ordered printed, and
when printed to be committed to the Committee on Investigations and
Government Operations -- recommitted to the Committee on Investi-
gations and Government Operations in accordance with Senate Rule 6,
sec. 8 -- committee discharged, bill amended, ordered reprinted as
amended and recommitted to said committee
AN ACT to amend the tax law, in relation to the definition of "allowable
college tuition expenses" and the tax credit allowed for such expenses
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subparagraph (A) of paragraph 2 of subsection (t) of
section 606 of the tax law, as amended by section 1 of part N of chapter
85 of the laws of 2002, is amended to read as follows:
(A) The term "allowable college tuition expenses" shall mean the
amount of qualified college tuition expenses of eligible students paid
by the taxpayer during the taxable year[,]. THE AMOUNT OF QUALIFIED
COLLEGE TUITION EXPENSES SHALL BE limited [to] AS FOLLOWS: FOR TAXABLE
YEARS BEGINNING AFTER TWO THOUSAND AND BEFORE TWO THOUSAND EIGHTEEN, ten
thousand dollars for each such student; FOR TAXABLE YEARS BEGINNING IN
TWO THOUSAND EIGHTEEN, TWELVE THOUSAND DOLLARS FOR EACH STUDENT; FOR
TAXABLE YEARS BEGINNING IN TWO THOUSAND NINETEEN, FOURTEEN THOUSAND
DOLLARS FOR EACH STUDENT; FOR TAXABLE YEARS BEGINNING IN TWO THOUSAND
TWENTY, SIXTEEN THOUSAND DOLLARS FOR EACH STUDENT; FOR TAXABLE YEARS
BEGINNING IN TWO THOUSAND TWENTY-ONE, EIGHTEEN THOUSAND DOLLARS FOR EACH
STUDENT; AND FOR TAXABLE YEARS BEGINNING AFTER TWO THOUSAND TWENTY-ONE,
TWENTY THOUSAND DOLLARS PER STUDENT;
S 2. Paragraph 4 of subsection (t) of section 606 of the tax law, as
added by section 1 of part DD of chapter 63 of the laws of 2000, is
amended to read as follows:
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD00956-02-6
S. 23--A 2
(4) Amount of credit. [If allowable college tuition expenses are less
than five thousand dollars, the amount of the credit provided under this
subsection shall be equal to the applicable percentage of the lesser of
allowable college tuition expenses or two hundred dollars. If allowable
college tuition expenses are five thousand dollars or more, the amount
of the credit provided under this subsection shall be equal to the
applicable percentage of the allowable college tuition expenses multi-
plied by four percent.]
THE AMOUNT OF THE CREDIT SHALL BE DETERMINED IN ACCORDANCE WITH THE
FOLLOWING SCHEDULES:
(A) FOR TAXABLE YEARS BEGINNING AFTER TWO THOUSAND AND BEFORE TWO
THOUSAND EIGHTEEN:
IF ALLOWABLE COLLEGE TUITION THE TAX CREDIT IS EQUAL TO:
EXPENSES ARE:
LESS THAN FIVE THOUSAND DOLLARS THE APPLICABLE PERCENTAGE OF THE
LESSER OF ALLOWABLE COLLEGE TUITION
EXPENSES OR TWO HUNDRED DOLLARS
FIVE THOUSAND DOLLARS OR MORE THE APPLICABLE PERCENTAGE OF
ALLOWABLE COLLEGE TUITION EXPENSES
MULTIPLIED BY FOUR PERCENT
(B) FOR TAXABLE YEARS BEGINNING IN TWO THOUSAND EIGHTEEN:
IF ALLOWABLE COLLEGE TUITION THE TAX CREDIT IS EQUAL TO:
EXPENSES ARE:
LESS THAN SIX THOUSAND DOLLARS THE LESSER OF ALLOWABLE COLLEGE
TUITION EXPENSES OR TWO HUNDRED
FORTY DOLLARS
SIX THOUSAND DOLLARS OR MORE THE ALLOWABLE COLLEGE TUITION
EXPENSES MULTIPLIED BY FOUR PERCENT
(C) FOR TAXABLE YEARS BEGINNING IN TWO THOUSAND NINETEEN:
IF ALLOWABLE COLLEGE TUITION THE TAX CREDIT IS EQUAL TO:
EXPENSES ARE:
LESS THAN SEVEN THOUSAND DOLLARS THE LESSER OF ALLOWABLE COLLEGE
TUITION EXPENSES OR TWO HUNDRED
EIGHTY DOLLARS
SEVEN THOUSAND DOLLARS OR MORE THE ALLOWABLE COLLEGE TUITION
EXPENSES MULTIPLIED BY FOUR PERCENT
(D) FOR TAXABLE YEARS BEGINNING IN TWO THOUSAND TWENTY:
IF ALLOWABLE COLLEGE TUITION THE TAX CREDIT IS EQUAL TO:
EXPENSES ARE:
LESS THAN EIGHT THOUSAND DOLLARS THE LESSER OF ALLOWABLE COLLEGE
TUITION EXPENSES OR THREE HUNDRED
TWENTY DOLLARS
EIGHT THOUSAND DOLLARS OR MORE THE ALLOWABLE COLLEGE TUITION
EXPENSES MULTIPLIED BY FOUR PERCENT
(E) FOR TAXABLE YEARS BEGINNING IN TWO THOUSAND TWENTY-ONE:
IF ALLOWABLE COLLEGE TUITION THE TAX CREDIT IS EQUAL TO:
EXPENSES ARE:
LESS THAN NINE THOUSAND DOLLARS THE LESSER OF ALLOWABLE COLLEGE
TUITION EXPENSES OR THREE HUNDRED
SIXTY DOLLARS
NINE THOUSAND DOLLARS OR MORE THE ALLOWABLE COLLEGE TUITION
EXPENSES MULTIPLIED BY FOUR PERCENT
(F) FOR TAXABLE YEARS BEGINNING AFTER TWO THOUSAND TWENTY-ONE:
IF ALLOWABLE COLLEGE TUITION THE TAX CREDIT IS EQUAL TO:
EXPENSES ARE:
LESS THAN TEN THOUSAND DOLLARS THE LESSER OF ALLOWABLE COLLEGE
S. 23--A 3
TUITION EXPENSES OR FOUR HUNDRED
DOLLARS
TEN THOUSAND DOLLARS OR MORE THE ALLOWABLE COLLEGE TUITION
EXPENSES MULTIPLIED BY FOUR PERCENT
Such applicable percentage shall be twenty-five percent for taxable
years beginning in two thousand one, fifty percent for taxable years
beginning in two thousand two, seventy-five percent for taxable years
beginning in two thousand three and one hundred percent for taxable
years beginning after two thousand three.
S 3. This act shall take effect immediately and shall apply to taxable
years beginning on or after January 1, 2018.
