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.