S T A T E O F N E W Y O R K
________________________________________________________________________
647
2017-2018 Regular Sessions
I N A S S E M B L Y
January 9, 2017
___________
Introduced by M. of A. GUNTHER -- read once and referred to the Commit-
tee on Ways and Means
AN ACT to amend the tax law, in relation to the personal income tax
credit for certain household and dependent care services necessary for
gainful employment
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Paragraph 1 of subsection (c) of section 606 of the tax
law, as amended by section 1 of part M of chapter 63 of the laws of
2000, is amended to read as follows:
(1) A taxpayer shall be allowed a credit as provided herein equal to
the applicable percentage of the credit allowable under section twenty-
one of the internal revenue code for the same taxable year (without
regard to whether the taxpayer in fact claimed the credit under such
section twenty-one for such taxable year). The applicable percentage
shall be the sum of (i) twenty percent and (ii) a multiplier multiplied
by a fraction. For taxable years beginning in nineteen hundred ninety-
six and nineteen hundred ninety-seven, the numerator of such fraction
shall be the lesser of (i) four thousand dollars or (ii) fourteen thou-
sand dollars less the New York adjusted gross income for the taxable
year, provided, however, the numerator shall not be less than zero. For
the taxable year beginning in nineteen hundred ninety-eight, the numera-
tor of such fraction shall be the lesser of (i) thirteen thousand
dollars or (ii) thirty thousand dollars less the New York adjusted gross
income for the taxable year, provided, however, the numerator shall not
be less than zero. For taxable years beginning in nineteen hundred nine-
ty-nine, the numerator of such fraction shall be the lesser of (i)
fifteen thousand dollars or (ii) fifty thousand dollars less the New
York adjusted gross income for the taxable year, provided, however, the
numerator shall not be less than zero. For taxable years beginning after
nineteen hundred ninety-nine, the numerator of such fraction shall be
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01823-01-7
A. 647 2
the lesser of (i) fifteen thousand dollars or (ii) sixty-five thousand
dollars less the New York adjusted gross income for the taxable year,
provided, however, the numerator shall not be less than zero. The
denominator of such fraction shall be four thousand dollars for taxable
years beginning in nineteen hundred ninety-six and nineteen hundred
ninety-seven, thirteen thousand dollars for the taxable year beginning
in nineteen hundred ninety-eight, and fifteen thousand dollars for taxa-
ble years beginning after nineteen hundred ninety-eight. The multiplier
shall be ten percent for taxable years beginning in nineteen hundred
ninety-six, forty percent for taxable years beginning in nineteen
hundred ninety-seven, and eighty percent for taxable years beginning
after nineteen hundred ninety-seven. Provided, however, for taxable
years beginning after nineteen hundred ninety-nine, for a person whose
New York adjusted gross income is less than forty thousand dollars, such
applicable percentage shall be equal to (i) one hundred percent, plus
(ii) ten percent multiplied by a fraction whose numerator shall be the
lesser of [(i)] (A) fifteen thousand dollars or [(ii)] (B) forty thou-
sand dollars less the New York adjusted gross income for the taxable
year, provided such numerator shall not be less than zero, and whose
denominator shall be fifteen thousand dollars. Provided, further, that
[if] FOR TAXABLE YEARS BEGINNING ON OR AFTER JANUARY FIRST, TWO THOUSAND
SEVENTEEN, THE AMOUNT OF CREDIT CALCULATED PURSUANT TO THIS SUBSECTION
SHALL BE INCREASED BY AN ADDITIONAL FIFTY PERCENT; PROVIDED, HOWEVER,
THAT THE CREDIT PROVIDED FOR IN THIS SUBSECTION SHALL NOT BE AVAILABLE
TO TAXPAYERS WHO FILE JOINTLY WITH ADJUSTED GROSS INCOMES IN EXCESS OF
THREE HUNDRED FIFTY THOUSAND DOLLARS, TO TAXPAYERS WHO FILE AS HEADS OF
HOUSEHOLDS WITH ADJUSTED GROSS INCOMES IN EXCESS OF THREE HUNDRED THOU-
SAND DOLLARS, AND TO TAXPAYERS WHO FILE SINGLY WITH ADJUSTED GROSS
INCOMES IN EXCESS OF ONE HUNDRED SEVENTY-FIVE THOUSAND DOLLARS. IF the
reversion event, as defined in this paragraph, occurs, the applicable
percentage shall, for taxable years ending on or after the date on which
the reversion event occurred, be determined using the rules specified in
this paragraph applicable to taxable years beginning in nineteen hundred
ninety-nine. The reversion event shall be deemed to have occurred on the
date on which federal action, including but not limited to, administra-
tive, statutory or regulatory changes, materially reduces or eliminates
New York state's allocation of the federal temporary assistance for
needy families block grant, or materially reduces the ability of the
state to spend federal temporary assistance for needy families block
grant funds for the credit for certain household and dependent care
services necessary for gainful employment or to apply state general fund
spending on the credit for certain household and dependent care services
necessary for gainful employment toward the temporary assistance for
needy families block grant maintenance of effort requirement, and the
commissioner of the office of temporary and disability assistance shall
certify the date of such event to the commissioner, the director of the
division of the budget, the speaker of the assembly and the temporary
president of the senate.
§ 2. This act shall take effect immediately and shall apply to taxable
years beginning on or after January 1, 2017.