Assembly Actions -
Senate Actions - UPPERCASE
|Feb 03, 2020
referred to budget and revenue
Senate Bill S7629
2019-2020 Legislative Session
Archive: Last Bill Status - In Senate Committee Budget And Revenue Committee
- In Committee Assembly
- On Floor Calendar Assembly
- Passed Assembly
- Delivered to Governor
- Signed By Governor
2019-S7629 (ACTIVE) - Details
2019-S7629 (ACTIVE) - Sponsor Memo
BILL NUMBER: S7629 SPONSOR: METZGER TITLE OF BILL: An act to amend the tax law, in relation to imposing a specific tax on all corporate stock buybacks of issued shares PURPOSE: To impose a tax on corporate stock buybacks of issued shares. SUMMARY OF PROVISION: Section 1 - amends subdivisions 1 and 2 of section 270 of the tax law, to impose a tax on the reacquisition of stock by a corporation even if such corporation subsequently cancels such stock. Section 270 of the tax law is amended by adding a new section 2-a, which sets the new tax on corporate stock reacquisition at one-half of one percent of the value paid by such corporation for the shares.
2019-S7629 (ACTIVE) - Bill Text download pdf
S T A T E O F N E W Y O R K ________________________________________________________________________ 7629 I N S E N A T E February 3, 2020 ___________ Introduced by Sen. METZGER -- read twice and ordered printed, and when printed to be committed to the Committee on Budget and Revenue AN ACT to amend the tax law, in relation to imposing a specific tax on all corporate stock buybacks of issued shares THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Subdivisions 1 and 2 of section 270 of the tax law, subdi- vision 1 as amended by chapter 996 of the laws of 1963 and subdivision 2 as amended by chapter 827 of the laws of 1968, are amended and a new subdivision 2-a is added to read as follows: 1. There is hereby imposed and shall immediately accrue and be collected a tax, as herein provided, on all sales, or agreements to sell, or memoranda of sales and all deliveries or transfers of shares or certificates of stock, or certificates of rights to stock, or certif- icates of interest in property or accumulations, or certificates of deposit representing certificates taxable under this article, in any domestic or foreign association, company or corporation, or certificates of interest in business conducted by a trustee or trustees, made after the first day of June, nineteen hundred five, whether made upon or shown by the books of the association, company, corporation, or trustee, or by any assignment in blank, or by any delivery, or by any paper or agree- ment or memorandum or other evidence of sale or transfer, whether inter- mediate or final, and whether investing the holder with the beneficial interest in or legal title to said stock, or other certificates taxable hereunder, or merely with the possession or use thereof for any purpose, or to secure the future payment of money, or the future transfer of any such stock, or certificates. The purchase, redemption or other reacqui- sition of its own shares by a corporation is subject to tax under this article [unless] REGARDLESS OF WHETHER such shares are cancelled on reacquisition pursuant to the provisions of section five hundred fifteen of the business corporation law, or [unless] WHETHER within one year of the date of such purchase, redemption or other reacquisition, such shares are cancelled by an appropriate amendment to the corporation's EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted.
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