| Date of Action |
Assembly Actions -
Lowercase Senate Actions - UPPERCASE |
|---|---|
| Jan 08, 2020 |
referred to investigations and government operations |
| Jan 09, 2019 |
referred to investigations and government operations |
Senate Bill S859
2019-2020 Legislative Session
Sponsored By
(R, C) 60th Senate District
Archive: Last Bill Status - In Senate Committee Investigations And Government Operations Committee
Actions
2019-S859 (ACTIVE) - Details
2019-S859 (ACTIVE) - Sponsor Memo
BILL NUMBER: S859
SPONSOR: GALLIVAN
TITLE OF BILL:
An act to amend the tax law, in relation to authorizing the creation of
small business tax-deferred savings accounts
PURPOSE:
This bill would establish a small business tax-deferred savings account
that would enable funds to be designated for facility improvements or
for procurement of machinery or equipment.
SUMMARY OF PROVISIONS:
Sections 1 and 2 amend the Tax law governing Franchise Tax on Business
Corporations by adding new provisions of law allowing for deposits into
a small business tax-deferred savings account to be tax-exempt. With-
drawals from such an account, for the identified purposes, would be
considered taxable minus any interest which has accrued.
2019-S859 (ACTIVE) - Bill Text download pdf
S T A T E O F N E W Y O R K
________________________________________________________________________
859
2019-2020 Regular Sessions
I N S E N A T E
January 9, 2019
___________
Introduced by Sen. GALLIVAN -- read twice and ordered printed, and when
printed to be committed to the Committee on Investigations and Govern-
ment Operations
AN ACT to amend the tax law, in relation to authorizing the creation of
small business tax-deferred savings accounts
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Paragraph (a) of subdivision 9 of section 208 of the tax
law is amended by adding a new subparagraph 20 to read as follows:
(20) ANY DEPOSIT MADE BY A SMALL BUSINESS AS DEFINED IN SECTION ONE
HUNDRED THIRTY-ONE OF THE ECONOMIC DEVELOPMENT LAW INTO A SMALL BUSINESS
TAX-DEFERRED SAVINGS ACCOUNT MAINTAINED BY A BANKING ORGANIZATION AS
DEFINED IN SUBDIVISION ELEVEN OF SECTION TWO OF THE BANKING LAW AND
ESTABLISHED FOR THE PURPOSES OF IMPROVING THE FACILITIES OF SUCH BUSI-
NESS OR FOR PROCUREMENT OF MACHINERY OR EQUIPMENT OR ANY INTEREST EARNED
ON ANY SMALL BUSINESS TAX-DEFERRED SAVINGS ACCOUNT.
§ 2. Subdivision 9 of section 208 of the tax law is amended by adding
a new paragraph (c-4) to read as follows:
(C-4) ENTIRE NET INCOME SHALL INCLUDE ANY WITHDRAWAL EXCLUSIVE OF
INTEREST INCOME MADE BY A SMALL BUSINESS AS DEFINED IN SECTION ONE
HUNDRED THIRTY-ONE OF THE ECONOMIC DEVELOPMENT LAW FROM A SMALL BUSINESS
TAX-DEFERRED SAVINGS ACCOUNT MAINTAINED BY A BANKING ORGANIZATION AS
DEFINED IN SUBDIVISION ELEVEN OF SECTION TWO OF THE BANKING LAW AND
ESTABLISHED FOR THE PURPOSES OF IMPROVING THE FACILITIES OF SUCH BUSI-
NESS OR FOR PROCUREMENT OF MACHINERY OR EQUIPMENT AND AN ADDITIONAL TEN
PERCENT OF ANY WITHDRAWALS EXCLUSIVE OF INTEREST INCOME FROM THE SMALL
BUSINESS TAX-DEFERRED SAVINGS ACCOUNT NOT USED FOR IMPROVING THE FACILI-
TIES OF SUCH BUSINESS OR FOR PROCUREMENT OF MACHINERY OR EQUIPMENT.
§ 3. Subsection (b) of section 612 of the tax law is amended by adding
a new paragraph 43 to read as follows:
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD02812-01-9
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