Senate Bill S6270

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   6270
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                               May 11, 2017
                                ___________
 
 Introduced  by  Sen.  SERINO -- read twice and ordered printed, and when
   printed to be committed to the Committee on Aging
 
 AN ACT to amend the real property tax  law,  in  relation  to  excluding
   interest  on  individual  retirement  accounts from taxable income for
   seniors

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Paragraph (a) of subdivision 3 of section 467 of the real
 property tax law, as amended by chapter 259 of  the  laws  of  2009,  is
 amended to read as follows:
   (a) if the income of the owner or the combined income of the owners of
 the  property  for the income tax year immediately preceding the date of
 making application for exemption  exceeds  the  sum  of  three  thousand
 dollars, or such other sum not less than three thousand dollars nor more
 than twenty-six thousand dollars beginning July first, two thousand six,
 twenty-seven  thousand dollars beginning July first, two thousand seven,
 twenty-eight thousand dollars beginning July first, two thousand  eight,
 and  twenty-nine  thousand  dollars  beginning  July first, two thousand
 nine, as may be provided by  the  local  law,  ordinance  or  resolution
 adopted  pursuant to this section. Income tax year shall mean the twelve
 month period for which the owner or  owners  filed  a  federal  personal
 income  tax  return,  or  if no such return is filed, the calendar year.
 Where title is vested in either the husband or the wife, their  combined
 income  may  not  exceed  such sum, except where the husband or wife, or
 ex-husband or ex-wife is absent from the property as provided in subpar-
 agraph (ii) of paragraph (d) of this subdivision, then only  the  income
 of  the spouse or ex-spouse residing on the property shall be considered
 and may not exceed such sum. Such income shall include  social  security
 and  retirement  benefits, interest, dividends, total gain from the sale
 or exchange of a capital asset which may be offset by a  loss  from  the
 sale  or  exchange  of  a capital asset in the same income tax year, net
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD11702-01-7

 S. 6270                             2
 
 rental income, salary or earnings, and net income from  self-employment,
 but shall not include a return of capital, gifts, inheritances, payments
 made  to  individuals  because of their status as victims of Nazi perse-
 cution,  as  defined  in  P.L.  103-286,  INTEREST  EARNED ON INDIVIDUAL
 RETIREMENT ACCOUNTS AS DEFINED IN TITLE 26 OF THE UNITED STATES CODE  or
 monies  earned  through  employment  in  the  federal foster grandparent
 program and  any  such  income  shall  be  offset  by  all  medical  and
 prescription  drug  expenses  actually paid which were not reimbursed or
 paid for by insurance, if the governing board of a municipality, after a
 public hearing, adopts a local law, ordinance  or  resolution  providing
 therefor.   Furthermore, such income shall not include the proceeds of a
 reverse mortgage, as authorized by section six-h of the banking law, and
 sections two hundred eighty and two hundred eighty-a of the real proper-
 ty law; provided, however, that monies used to repay a reverse  mortgage
 may  not  be  deducted  from  income, and provided additionally that any
 interest or dividends realized from the investment of  reverse  mortgage
 proceeds  shall  be  considered income. The provisions of this paragraph
 notwithstanding, such  income  shall  not  include  veterans  disability
 compensation,  as defined in Title 38 of the United States Code provided
 the governing board of such municipality, after public hearing, adopts a
 local law, ordinance or resolution providing therefor.  In computing net
 rental income  and  net  income  from  self-employment  no  depreciation
 deduction  shall be allowed for the exhaustion, wear and tear of real or
 personal property held for the production of income;
   § 2. This act shall take effect immediately.