BILL NUMBER:S2090

TITLE OF BILL:  An act to amend the tax law, in relation to the
volunteer firefighters' and ambulance workers' credit, and to repeal
paragraph 2 of subsection (e-1) of section 606 of the tax law relating
thereto

PURPOSE:  This bill would allow volunteer firefighters and ambulance
workers to receive both the volunteer firefighters and ambulance
workers tax credit and a locally enacted real property tax exemption.

SUMMARY OF PROVISIONS:

Section one repeals paragraph 2 of subsection (e-1) of section 606 of
the tax law. Section two renumbers the paragraphs 3 and 4 of
subsection (e-1) of section 606 of the tax law. Section three provides
for the effective date.

JUSTIFICATION:  Our volunteer firefighters and ambulance workers
answer the emergency call no matter the weather, the conditions or the
circumstances each and every day, putting their lives on the line for
all of us. Over the past few years, the state and its municipalities
have sought to encourage more emergency volunteers through a state tax
credit and locally enacted real property tax exemptions.
Unfortunately, a quirk in the law does not allow a volunteer to
receive both a property tax exemption and the state tax credit. In an
              

                                BILL NUMBER:S2090A

TITLE OF BILL:  An act to amend the tax law, in relation to the volun-
teer firefighters' and ambulance workers' credit, and to repeal para-
graph 2 of subsection (e-1) of section 606 of the tax law relating ther-
eto

PURPOSE:

This bill would allow volunteer firefighters and ambulance workers to
receive both the volunteer firefighters and ambulance workers tax credit
and a locally enacted real property tax exemption.

SUMMARY OF PROVISIONS:

Section one repeals paragraph 2 of subsection (e-1) of section 606 of
the tax law. Section two renumbers the paragraphs 3 and 4 of subsection
(e-1) of section 606 of the tax law. Section three provides for the
effective date.

JUSTIFICATION:

Our volunteer firefighters and ambulance workers answer the emergency
call no matter the weather, the conditions or the circumstances each and
every day, putting their lives on the line for all of us. Over the past
few years, the state and its municipalities have sought to encourage
              

more emergency volunteers through a state tax credit and locally enacted
real property tax exemptions. Unfortunately, a quirk in the law does not
allow a volunteer to receive both a property tax exemption and the state
tax credit. In an effort to correct this, this bill would allow volun-
teer firefighters and ambulance workers to receive both the tax credit -
which amounts to $200 off their income taxes - and a tax exemption which
is generally limited to, at most, a $3,000 reduction in the assessed
value of their home. Given the enormous amount of time that these volun-
teers put in and the savings that local governments realize - estimated
at $2.9 billion annually from having volunteer fire and ambulance compa-
nies, it would seem only fair to allow them to receive both the tax
credit and a tax exemption.

LEGISLATIVE HISTORY:

2013- S. 2090 Passed Senate/A. 2444 Ways and Means Committee,

FISCAL IMPLICATIONS:

To be determined.

EFFECTIVE DATE:

Immediate and shall apply to taxable years beginning on or after January
1, 2016.