S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7452
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                May 3, 2019
                                ___________
 
 Introduced by M. of A. BARNWELL -- read once and referred to the Commit-
   tee on Real Property Taxation
 
 AN  ACT  to amend the real property tax law and the tax law, in relation
   to the definition of income in relation to the enhanced STAR exemption
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Subparagraph  (ii)  of  paragraph (b) of subdivision 4 of
 section 425 of the real property tax law, as amended  by  section  1  of
 part B of chapter 59 of the laws of 2018, is amended to read as follows:
   (ii)  The  term "income" as used herein shall mean the "adjusted gross
 income" for federal income tax purposes as reported on  the  applicant's
 federal  or  state income tax return for the applicable income tax year,
 subject to any subsequent amendments or revisions, reduced  by  distrib-
 utions,  to  the  extent  included  in  federal  adjusted  gross income,
 received from an individual retirement account and an individual retire-
 ment annuity, AND DISTRIBUTION FROM A THRIFT  SAVINGS  PLAN  ESTABLISHED
 PRIOR  TO  JANUARY FIRST, NINETEEN HUNDRED EIGHTY-FOUR; provided that if
 no such return was filed for the applicable income  tax  year,  "income"
 shall mean the adjusted gross income that would have been so reported if
 such  a  return  had been filed.   Provided further, that effective with
 exemption applications for final assessment rolls to be completed in two
 thousand nineteen, where an income-eligibility determination  is  wholly
 or  partly  based upon the income of one or more individuals who did not
 file a return for the applicable income tax year, then in order for  the
 application  to be considered complete, each such individual must file a
 statement with the department showing the source or sources  of  his  or
 her  income for that income tax year, and the amount or amounts thereof,
 that would have been reported on such a return if one  had  been  filed.
 Such statement shall be filed at such time, and in such form and manner,
 as  may  be  prescribed  by  the department, and shall be subject to the
 secrecy provisions of the tax law to the same  extent  that  a  personal
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD05513-01-9

 A. 7452                             2
 
 income  tax  return would be.   The department shall make such forms and
 instructions available for the filing  of  such  statements.  The  local
 assessor  shall  upon  the request of a taxpayer assist such taxpayer in
 the filing of the statement with the department.
   §  2.  Subparagraph  (B) of paragraph 1 of subsection (eee) of section
 606 of the tax law, as amended by section 10 of part B of chapter 59  of
 the laws of 2018, is amended to read as follows:
   (B)  "Affiliated  income"  shall  mean  for purposes of the basic STAR
 credit, the combined income of all of  the  owners  of  the  parcel  who
 resided  primarily  thereon  as  of December thirty-first of the taxable
 year, and of any owners' spouses residing primarily thereon as  of  such
 date,  and for purposes of the enhanced STAR credit, the combined income
 of all of the owners of the parcel as of December  thirty-first  of  the
 taxable  year,  and of any owners' spouses residing primarily thereon as
 of such date; provided that for  both  purposes  the  income  to  be  so
 combined  shall  be  the "adjusted gross income" for the taxable year as
 reported for federal income tax purposes, or that would be  reported  as
 adjusted gross income if a federal income tax return were required to be
 filed,  reduced  by  distributions,  to  the  extent included in federal
 adjusted gross income, received from an  individual  retirement  account
 and  an  individual  retirement  annuity, AND DISTRIBUTION FROM A THRIFT
 SAVINGS PLAN ESTABLISHED PRIOR TO JANUARY FIRST, NINETEEN HUNDRED EIGHT-
 Y-FOUR. For taxable years beginning on  and  after  January  first,  two
 thousand  nineteen,  where an income-eligibility determination is wholly
 or partly based upon the income of one or more individuals who  did  not
 file  a return pursuant to section six hundred fifty-one of this article
 for the applicable income tax year, then in order to be eligible for the
 credit authorized by this subsection, each such individual must  file  a
 statement  with  the  department showing the source or sources of his or
 her income for that income tax year, and the amount or amounts  thereof,
 that  would  have  been reported on such a return if one had been filed.
 Such statement shall be filed at such time, and in such form and manner,
 as may be prescribed by the department, and  shall  be  subject  to  the
 provisions  of  section  six hundred ninety-seven of this article to the
 same extent that a return would be. The department shall make such forms
 and instructions available for the filing of such statements. The  local
 assessor  shall  upon  the request of a taxpayer assist such taxpayer in
 the filing of the statement with the department. Provided further,  that
 if  the qualified taxpayer was an owner of the property during the taxa-
 ble year but did not own it on  December  thirty-first  of  the  taxable
 year,  then  the determination as to whether the income of an individual
 should be included in "affiliated income" shall be based upon the owner-
 ship and/or residency status of that individual as of the first  day  of
 the  month  during which the qualified taxpayer ceased to be an owner of
 the property, rather than as of December  thirty-first  of  the  taxable
 year.
   §  3. This act shall take effect on the first of January next succeed-
 ing the date on which it shall have become a law.