Senate Bill S8826

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8826
 
                             I N  S E N A T E
 
                              March 19, 2024
                                ___________
 
 Introduced  by  Sen. HELMING -- 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 establishing the "first-time
   homebuyer tax credit act"
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section  1.  Short  title. This act shall be known and may be cited as
 the "first-time homebuyer tax credit act".
   § 2. Legislative findings. The Legislature finds that homeownership is
 one of the most critical tools  to  economic  security  and  prosperity.
 Homeownership  is  one of the most effective ways to create intergenera-
 tional transfers of  wealth  which  many  underserved  and  marginalized
 communities  have  historically  been  unable to achieve.   However, the
 Legislature also finds that New York has become increasingly  unafforda-
 ble for many first-time homebuyers due to burdensome regulation that has
 crippled  the development of housing stock and kept prices high, as well
 as exorbitant property  taxes  that  price  out  many  individuals  from
 putting  down  roots  in  our  communities. Many children, upon reaching
 adulthood, are forced to move away from  the  towns  they  grew  up  in,
 simply because they cannot afford to live there. Therefore, the Legisla-
 ture  deems  it  necessary  to  provide first-time homebuyers with a tax
 credit that will make it easier for them to be able to start  and  main-
 tain their lives here in our great state.
   §  3. Section 606 of the tax law is amended by adding a new subsection
 (ppp) to read as follows:
   (PPP) FIRST-TIME HOMEBUYER TAX CREDIT. (1) ALLOWANCE  OF  CREDIT.  (A)
 NOTWITHSTANDING  ANY  PROVISION  IN  LAW  TO  THE  CONTRARY, A QUALIFIED
 TAXPAYER SHALL BE ALLOWED A CREDIT AGAINST THE  TAXES  IMPOSED  BY  THIS
 ARTICLE  FOR  TAXES  LEVIED ON THE TAXPAYER'S PRIMARY RESIDENCE BY OR ON
 BEHALF OF ANY COUNTY, CITY, TOWN, VILLAGE, OR SCHOOL DISTRICT  IN  WHICH
 SUCH  PROPERTY  IS  LOCATED. IF THE CREDIT EXCEEDS THE TAX AS SO REDUCED
 FOR SUCH YEAR UNDER THIS ARTICLE, THE EXCESS  SHALL  BE  TREATED  AS  AN
 OVERPAYMENT,  TO  BE CREDITED OR REFUNDED, WITHOUT INTEREST. IF A QUALI-
 FIED TAXPAYER IS NOT REQUIRED TO FILE A RETURN PURSUANT TO  SECTION  SIX
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD14927-01-4
 S. 8826                             2
 
 HUNDRED FIFTY-ONE OF THIS ARTICLE, A QUALIFIED TAXPAYER MAY NEVERTHELESS
 RECEIVE  THE  FULL  AMOUNT  OF THE CREDIT TO BE CREDITED OR REPAID AS AN
 OVERPAYMENT, WITHOUT INTEREST.
   (B) FOR THE PURPOSES OF THIS SUBSECTION, A QUALIFIED TAXPAYER SHALL BE
 A  PERSON  WHO HAS PURCHASED A PRIMARY RESIDENTIAL PROPERTY, AND WHO HAS
 NOT OWNED A PRIMARY RESIDENTIAL PROPERTY AND IS NOT MARRIED TO A  PERSON
 WHO HAS OWNED A RESIDENTIAL PROPERTY, DURING THE THREE-YEAR PERIOD PRIOR
 TO SUCH TAXPAYER'S PURCHASE OF THE PRIMARY RESIDENTIAL PROPERTY, AND WHO
 DOES NOT OWN A VACATION OR INVESTMENT HOME.
   (2)  CALCULATION OF CREDIT. SUCH CREDIT SHALL LAST FIVE YEARS FROM THE
 DATE OF PURCHASE OF THE PRIMARY RESIDENTIAL PROPERTY AND BE COMPUTED  IN
 ACCORDANCE WITH THE FOLLOWING TABLE:
 
          YEAR OF CREDIT      PERCENTAGE OF TAXES LEVIED
                1                        50
                2                        40
                3                        30
                4                        20
                5                        10
                6 OR MORE                 0
 
   §  4.  The  commissioner  of taxation and finance shall promulgate any
 rules and regulations necessary to implement the provisions of this act.
   § 5. This act shall take effect immediately and shall apply to taxable
 years beginning on and after January 1, 2025.