|Assembly Actions - Lowercase
Senate Actions - UPPERCASE
|Jan 21, 2021||referred to budget and revenue|
senate Bill S2522
Current Bill Status - In Senate Committee Budget And Revenue Committee
- In Committee
- On Floor Calendar
- Passed Senate
- Passed Assembly
- Delivered to Governor
- Signed/Vetoed by Governor
S2522 (ACTIVE) - Details
S2522 (ACTIVE) - Sponsor Memo
BILL NUMBER: S2522 SPONSOR: RIVERA TITLE OF BILL: An act to amend the tax law, in relation to extending the top state income tax rate PURPOSE: The purpose of this legislation is to amend the New York tax law to introduce an additional tax on investment income (capital gains), for the purposes of correcting the unfair federal tax benefit for income earned from investing rather than working. SUMMARY OF PROVISIONS: Section 1 amends the tax law to add a new section 601-b to impose an additional tax on low-taxed investment income. Provides that low-taxed investment income shall refer to the amount of a persons New York State taxable income attributable to long-term capital gain, dividends, or other income taxed under the preferential rates of section 1(h) of the
S2522 (ACTIVE) - Bill Text download pdf
S T A T E O F N E W Y O R K ________________________________________________________________________ 2522 2021-2022 Regular Sessions I N S E N A T E January 21, 2021 ___________ Introduced by Sen. RIVERA -- 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 extending the top state income tax rate THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. The tax law is amended by adding a new section 601-b to read as follows: § 601-B. ADDITIONAL TAX ON LOW-TAXED INVESTMENT INCOME. (A) THERE IS HEREBY IMPOSED, IN ADDITION TO THE TAX IMPOSED UNDER SECTION SIX HUNDRED ONE OF THIS ARTICLE, AN ADDITIONAL TAX ON A NEW YORK RESIDENT'S LOW- TAXED INVESTMENT INCOME. (B) LOW-TAXED INVESTMENT INCOME SHALL MEAN THE AMOUNT OF AN INDIVID- UAL'S NEW YORK TAXABLE INCOME ATTRIBUTABLE TO LONG-TERM CAPITAL GAIN, DIVIDENDS, OR ANY OTHER TYPE OF INCOME TAXED UNDER THE PREFERENTIAL RATES OF SECTION 1(H) OF THE INTERNAL REVENUE CODE, OR ANY SUCCESSOR PROVISION THERETO. (C)(1) THE ADDITIONAL TAX IMPOSED UNDER THIS SECTION SHALL BE EQUAL TO (I) THE DIFFERENCE BETWEEN (A) THE APPLICABLE FEDERAL INCOME TAX RATE THAT WOULD BE IMPOSED ON AN INDIVIDUAL'S LOW-TAXED INVESTMENT INCOME IF IT WERE SUBJECT TO THE FEDERAL INCOME TAX RATES IMPOSED ON ORDINARY INCOME UNDER SECTION 1 OF THE INTERNAL REVENUE CODE AND (B) THE APPLICA- BLE FEDERAL INCOME TAX RATE IMPOSED AT THE PREFERENTIAL RATES UNDER SECTION 1(H) OF THE INTERNAL REVENUE CODE, MULTIPLIED BY (II) THE AMOUNT OF AN INDIVIDUAL'S LOW-TAXED INVESTMENT INCOME, AS DEFINED IN SUBSECTION (B) OF THIS SECTION. (2) THE ADDITIONAL TAX UNDER PARAGRAPH ONE OF THIS SUBSECTION SHALL BE MULTIPLIED BY THE PHASE-IN FRACTION TO DETERMINE THE AMOUNT DUE UNDER THIS SECTION. THE PHASE-IN FRACTION IS COMPUTED AS FOLLOWS: THE NUMERA- TOR IS THE LESSER OF (I) AN INDIVIDUAL'S NEW YORK TAXABLE INCOME IN EXCESS OF THE APPLICABLE AMOUNT DEFINED IN SUBSECTION (D) OF THIS EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted.
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