S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  5158--A
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 6, 2017
                                ___________
 
 Introduced  by  M. of A. CRESPO, SEPULVEDA, RIVERA, PICHARDO, RODRIGUEZ,
   RAMOS, ARROYO, DAVILA, GOODELL  --  read  once  and  referred  to  the
   Committee  on  Ways  and Means -- recommitted to the Committee on Ways
   and Means in accordance with Assembly Rule  3,  sec.  2  --  committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to said committee
 
 AN ACT to amend the tax law, in relation to installment payments for the
   earned  income credit; and to authorize and direct the commissioner of
   taxation and finance to conduct a  feasibility  and  impact  study  on
   monthly payments of the earned income tax credit
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The commissioner of taxation and finance is hereby  author-
 ized  and  directed to study and report on the feasibility and impact of
 using an installment  payment  plan  for  earned  income  credits.  Such
 commissioner shall include in the study and subsequent report a detailed
 analysis  of  a  plan  where  an  earned  income  tax credit pursuant to
 subsection (d) of section 606 of the  tax  law  or  an  enhanced  earned
 income tax credit pursuant to subsection (d-1) of section 606 of the tax
 law  is distributed to the taxpayer as follows: (i) for amounts equal to
 or less than two hundred dollars, the payment or refund shall be made in
 a lump sum, (ii) for amounts in excess of two hundred dollars  and  less
 than  two  thousand four hundred dollars, the payment or refund shall be
 two hundred dollars a month for the number of months equal to the  total
 amount  thereof  divided  by two hundred and rounded down to the nearest
 whole number, and the remaining balance of such payment or refund  shall
 be made in the first month thereafter, and (iii) for amounts equal to or
 greater  than  two  thousand four hundred dollars, the payment or refund
 shall be paid in equal monthly payments equal to the total amount there-
 of divided by twelve. The commissioner of  taxation  and  finance  shall
 prepare a report on his or her findings to be submitted to the temporary
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD08176-02-8

 A. 5158--A                          2
 
 president  of  the senate, the speaker of the assembly and the chairs of
 the assembly ways and means committee and the senate  finance  committee
 within 180 days after the effective date of this act.
   §  2. Section 686 of the tax law is amended by adding a new subsection
 (j) to read as follows:
   (J) EARNED INCOME TAX CREDIT.-- AN EARNED INCOME TAX  CREDIT  PURSUANT
 TO  SUBSECTION  (D)  OF  SECTION  SIX  HUNDRED SIX OF THIS ARTICLE OR AN
 ENHANCED EARNED INCOME  TAX  CREDIT  PURSUANT  TO  SUBSECTION  (D-1)  OF
 SECTION SIX HUNDRED SIX OF THIS ARTICLE SHALL BE PAID TO THE TAXPAYER AS
 FOLLOWS:  (I) FOR AMOUNTS EQUAL TO OR LESS THAN TWO HUNDRED DOLLARS, THE
 PAYMENT  OR  REFUND  SHALL  BE  MADE  IN A LUMP SUM, (II) FOR AMOUNTS IN
 EXCESS OF TWO HUNDRED DOLLARS AND LESS THAN TWO  THOUSAND  FOUR  HUNDRED
 DOLLARS,  THE PAYMENT OR REFUND SHALL BE TWO HUNDRED DOLLARS A MONTH FOR
 THE NUMBER OF MONTHS EQUAL TO THE TOTAL AMOUNT THEREOF  DIVIDED  BY  TWO
 HUNDRED  AND ROUNDED DOWN TO THE NEAREST WHOLE NUMBER, AND THE REMAINING
 BALANCE OF SUCH PAYMENT OR REFUND SHALL BE MADE IN THE FIRST MONTH THER-
 EAFTER, AND (III) FOR AMOUNTS EQUAL TO OR GREATER THAN TWO THOUSAND FOUR
 HUNDRED DOLLARS, THE PAYMENT OR REFUND SHALL BE PAID  IN  EQUAL  MONTHLY
 PAYMENTS EQUAL TO THE TOTAL AMOUNT THEREOF DIVIDED BY TWELVE.
   §  3.  This act shall take effect immediately; provided, however, that
 section two of this act shall take effect one year after it  shall  have
 become  a  law.  Effective immediately, the commissioner of taxation and
 finance is authorized to make any addition, amendment and/or  repeal  of
 any  rule  or regulation necessary for the implementation of this act on
 its effective date on or before such date.