NY State Senate Bill 2019-S4511A

Senate Bill S4511A

2019-2020 Legislative Session

Relates to the personal income tax rates for New York residents with New York taxable income over $1,000,000

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Archive: Last Bill Status - In Senate Committee Budget And Revenue Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 08, 2020	referred to budget and revenue
Apr 30, 2019	print number 4511a
Apr 30, 2019	amend (t) and recommit to budget and revenue
Mar 13, 2019	referred to budget and revenue

Bill Amendments

Original

A (Active)

2019-S4511 - Details

See Assembly Version of this Bill:: A8532
Current Committee:: Senate Budget And Revenue
Law Section:: Tax Law
Laws Affected:: Amd §§601, 614 & 171-a, Tax L
Versions Introduced in 2021-2022 Legislative Session:: A3150

2019-S4511 - Summary

Relates to the personal income tax rates for New York residents with New York taxable income over $1,000,000 and directs revenue generated from such tax to be deposited to the credit of the New York City Housing Authority and to the division of housing and community renewal.

2019-S4511 - Sponsor Memo

                                
 
BILL NUMBER: S4511

SPONSOR: SALAZAR
 
TITLE OF BILL:  An act to amend the tax law, in relation to personal
income tax rates and in relation to directing revenue generated from
certain taxes to be deposited to the credit of the New York city housing
authority

 
PURPOSE OR GENERAL IDEA OF BILL:

This bill amends tax  law to increase tax rate on New York State resi-
dents with taxable incomes of one million dollars and use the revenue
created by that tax to fund capital improvements to the New York City
Housing Authority (NYCHA).

 
SUMMARY OF SPECIFIC PROVISIONS:

Section One: Subparagraph B of paragraph 1 of subsection A of section
601 of the tax law is amended by adding a new clause (ix) that will put
in place a new tax structure on incomes of New Yorkers making a million
dollars or more per year. Beginning in taxable year 2020 and beyond,

ranges of incomes starting at $1 million and up to over $100 million per
year are taxed at different rates accordingly.

Section Two: Subparagraph B of paragraph 1 of subsection B of section
601 of the tax law is amended by adding a new clause (ix) that will put
in place a new tax structure on incomes of New Yorkers making a million
dollars or more per year. Beginning in taxable year 2020 and beyond,
ranges of incomes starting at $1 million and up to over $100 million per
year are taxed at different rates accordingly.

Section Three: Subparagraph B of paragraph 1 of subsection B of section
601 of the tax law is amended by adding a new clause (ix) that will put
in place a new tax structure on incomes of New Yorkers making a million
dollars or more per year. Beginning in taxable year 2020 and beyond,
ranges of incomes starting at $1 million and up to over $100 million per
year are taxed at different rates accordingly.

Section Four: Section 601 of the tax law is amended by adding a new
subsection (d-2) to read as follows: Alternative tax table benefit
recapture. For taxable years beginning after 2019 for a taxpayer who's
New York taxable income is over $1,000,000, there is hereby imposed a
supplemental tax in addition to the tax imposed under subsections (a),
(b) and (c) and (d). For resident married individuals filing joint
returns and resident surviving spouses, the supplemental tax shall be an
amount equal to the sum of the tax table benefits described in subpara-
graphs (A), (B), (C), and (D). The preceding sections defines tax table
benefits to be collected via tax based taxable tiers on level of income
over $1 million and ranging to over $100 million.

Section Five: Subsection (f) of section 614 of the tax law as amended by
section 11 of part FF of chapter 59 of the laws of 2013 is amended to
put in place adjusted standard deductions and adjusted for cost of
living.

Section Six: Section 171-a of the tax law, as separately amended by
chapters 481 and 484 of the laws of 1981 is amended by adding a new
subdivision that creates the groundwork for the taxes collected per the
sections of the legislation to be deposited as a credit for the New York
City Housing Authority. An administrative cost for handling this tax
collection will be put in place by the Commissioner of the Department of
Taxation and Finance. The Comptroller of New York State shall control
the revenue generated by new tax table for reimbursements. Both the
Commissioner and the Comptroller shall maintain a system of accounts
showing the revenue collected for each of the sections outlined in this
legislation.

Section Seven: This act shall take effect immediately and shall apply to
taxable years beginning on or after January 1, 2020.

 
JUSTIFICATION:

Almost 600,000 New York City residents depend on the New York City Hous-
ing Authority's (NYCHA) housing facilities for a place to call home.
Thousands of housing units, which serve as apartments for the elderly,
individuals, families and children, are under the care and control of
NYCHA. Over the decades of managing these properties, disrepair and
dangerous conditions have been allowed to persist and spread thru out
the housing system. Winter days without hot water or heat, leaking
toilets, leaking.water pipes, broken boilers, mold in hallways and
living areas, lead paint poisoning thousands of children, broftrreieva-
tors in senior housing facilities, leaking roofs and other major infras-
tructure problems in hundreds of building and impacting thousands of
apartments is now the norm.

These conditions threaten the safety and health of the almost 600,000
NYCHA tenants. In order to remedy these conditions, NYCHA management has
indicated that it will need some $32 billion in capital funding.  This
astronomical amount of funding is unattainable for a public, nonprofit
like NYCHA.

In order to help NYCHA with the financial ability to address the chronic
infrastructure repairs needed to ensure the safety of its tenants; this
proposed legislation will put into place a new state tax structure on
personal incomes for annual incomes over $1,000,000 and with incremental
increases for a range of incomes for millionaires up to $100 million.

A top rate of 8.82 percent would begin for $1 million in annual income.
For those making over $5 million per year the rate would increase to
9.32 percent. The rate would increase to 9.83 percent for those making
over $10 million per year and reach a top rate of 10.32 percent for all
tax filers with incomes over $100 million per year.

This proposed tax structure on millionaires will generate over $2
billion dollars annually. This new revenue will be dedicated for NYCHA
capital improvements to help address the chronic health and safety prob-
lems faced by its tenants.

This legislation authorizes the Commissioner of the New York State
Department of Taxation and Finance to work jointly with the New York
State Comptroller in order to facilitate the collection and disbursement
of this new tax to address the legislative intent of this legislation.

While the $2 billion in new annual revenue is only a small part of the
$32 billion needed to repair all of the damages NYCHA now faces, it
represents a large and consistent infusion of desperately needed funding

that will begin to improve the lives of the hundreds of thousands of
NYCHA tenants.

 
PRIOR LEGISLATIVE HISTORY:

New Legislation

 
FISCAL IMPLICATION:

None to the state.

 
EFFECTIVE DATE:
This act shall take effect immediately and shall apply to taxable years
beginning on or after January 1, 2020.

2019-S4511 - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4511
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                              March 13, 2019
                                ___________
 
 Introduced  by  Sen. SALAZAR -- 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 personal  income  tax  rates
   and  in  relation to directing revenue generated from certain taxes to
   be deposited to the credit of the New York city housing authority

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Subparagraph  (B)  of  paragraph  1  of subsection (a) of
 section 601 of the tax law is amended by adding a  new  clause  (ix)  to
 read as follows:
   (IX)  FOR  TAXABLE  YEARS  BEGINNING  AFTER TWO THOUSAND NINETEEN, THE
 FOLLOWING RATES SHALL APPLY:
 
 IF THE NEW YORK TAXABLE INCOME IS:    THE TAX IS:
 OVER $1,000,000 BUT NOT OVER          $66,578 PLUS 8.82% OF EXCESS OVER
 $5,000,000                            $1,000,000
 OVER $5,000,000 BUT NOT OVER          $419,378 PLUS 9.32% OF EXCESS OVER
 $10,000,000                           $5,000,000
 OVER $10,000,000 BUT NOT OVER         $885,378 PLUS 9.82% OF EXCESS OVER
 $100,000,000                          $10,000,000
 OVER $100,000,000                     $9,723,378 PLUS 10.32% OF EXCESS
                                        OVER $100,000,000
   § 2. Subparagraph (B) of paragraph 1 of subsection (b) of section  601
 of  the  tax  law  is  amended  by  adding  a new clause (ix) to read as
 follows:
   (IX) FOR TAXABLE YEARS BEGINNING  AFTER  TWO  THOUSAND  NINETEEN,  THE
 FOLLOWING RATES SHALL APPLY:
 
 IF THE NEW YORK TAXABLE INCOME IS:    THE TAX IS:
 OVER $1,000,000 BUT NOT OVER          $67,017 PLUS 8.82% OF EXCESS OVER
 $5,000,000                            $1,000,000

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD09982-02-9

 S. 4511                             2
 
 OVER $5,000,000 BUT NOT OVER          $419,817 PLUS 9.32% OF EXCESS OVER
 $10,000,000                           $5,000,000
 OVER $10,000,000 BUT NOT OVER         $885,817 PLUS 9.82% OF EXCESS OVER
 $100,000,000                          $10,000,000
 OVER $100,000,000                     $9,723,817 PLUS 10.32% OF EXCESS
                                       OVER $100,000,000
   §  3. Subparagraph (B) of paragraph 1 of subsection (c) of section 601
 of the tax law is amended by  adding  a  new  clause  (ix)  to  read  as
 follows:
   (IX)  FOR  TAXABLE  YEARS  BEGINNING  AFTER TWO THOUSAND NINETEEN, THE
 FOLLOWING RATES SHALL APPLY:
 
 IF THE NEW YORK TAXABLE INCOME IS:    THE TAX IS:
 OVER $1,000,000 BUT NOT OVER          $67,391 PLUS 8.82% OF EXCESS OVER
 $5,000,000                            $1,000,000
 OVER $5,000,000 BUT NOT OVER          $420,191 PLUS 9.32% OF EXCESS OVER
 $10,000,000                           $5,000,000
 OVER $10,000,000                      $886,191 PLUS 9.82% OF EXCESS OVER
                                       $10,000,000
 OVER $100,000,000                     $9,724,191 PLUS 10.32% OF EXCESS
                                       OVER $100,000,000
   § 4. Section 601 of the tax law is amended by adding a new  subsection
 (d-2) to read as follows:
   (D-2)  ALTERNATIVE  TAX  TABLE  BENEFIT  RECAPTURE.  FOR TAXABLE YEARS
 BEGINNING AFTER TWO THOUSAND NINETEEN FOR  A  TAXPAYER  WHOSE  NEW  YORK
 TAXABLE  INCOME  IS  OVER  $1,000,000, THERE IS HEREBY IMPOSED A SUPPLE-
 MENTAL TAX IN ADDITION TO THE TAX IMPOSED UNDER SUBSECTIONS (A), (B) AND
 (C) OF THIS SECTION FOR THE PURPOSE OF RECAPTURING THE  BENEFIT  OF  THE
 TAX  TABLES  CONTAINED  IN SUCH SUBSECTIONS. DURING THESE TAXABLE YEARS,
 ANY REFERENCE IN THIS CHAPTER TO SUBSECTION (D) OF THIS SECTION SHALL BE
 READ AS A REFERENCE TO THIS SUBSECTION.
   (1) FOR RESIDENT MARRIED INDIVIDUALS FILING JOINT RETURNS AND RESIDENT
 SURVIVING SPOUSES, THE SUPPLEMENTAL TAX SHALL BE AN AMOUNT EQUAL TO  THE
 SUM  OF  THE TAX TABLE BENEFITS DESCRIBED IN SUBPARAGRAPHS (A), (B), (C)
 AND (D) OF THIS PARAGRAPH MULTIPLIED BY THEIR  RESPECTIVE  FRACTIONS  IN
 SUCH SUBPARAGRAPHS.
   (A)  THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B) OF PARAGRAPH ONE OF SUBSECTION (A) OF THIS SECTION  NOT  SUBJECT  TO
 THE  8.82  PERCENT  RATE  OF TAX FOR THE TAXABLE YEAR MULTIPLIED BY SUCH
 RATE AND (II) THE DOLLAR DENOMINATED TAX  FOR  SUCH  AMOUNT  OF  TAXABLE
 INCOME  SET  FORTH  IN  THE  TAX TABLE APPLICABLE TO THE TAXABLE YEAR IN
 CLAUSE (II) OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF  SUBSECTION  (A)  OF
 THIS  SECTION  LESS  THE SUM OF TAX TABLE BENEFITS IN SUBPARAGRAPHS (A),
 (B) AND (C) OF PARAGRAPH ONE OF SUBSECTION (D-1) OF THIS SECTION.    THE
 FRACTION  FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR IS
 THE LESSER OF FIFTY THOUSAND DOLLARS OR THE EXCESS OF NEW YORK  ADJUSTED
 GROSS  INCOME  FOR  THE  TAXABLE  YEAR  OVER ONE MILLION DOLLARS AND THE
 DENOMINATOR IS FIFTY THOUSAND DOLLARS.
   (B) THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT  OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B)  OF  PARAGRAPH  ONE OF SUBSECTION (A) OF THIS SECTION NOT SUBJECT TO
 THE 9.32 PERCENT RATE OF TAX FOR THE TAXABLE  YEAR  MULTIPLIED  BY  SUCH
 RATE  AND  (II)  THE  DOLLAR  DENOMINATED TAX FOR SUCH AMOUNT OF TAXABLE
 INCOME SET FORTH IN THE TAX TABLE APPLICABLE  TO  THE  TAXABLE  YEAR  IN
 CLAUSE  (II)  OF  SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (A) OF

 S. 4511                             3
 
 THIS SECTION LESS THE SUM OF THE TAX  TABLE  BENEFITS  IN  SUBPARAGRAPHS
 (A),  (B)  AND  (C) OF PARAGRAPH ONE OF SUBSECTION (D-1) OF THIS SECTION
 AND SUCH TAX TABLE BENEFIT IN SUBPARAGRAPH (A) OF  THIS  PARAGRAPH.  THE
 FRACTION  FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR IS
 THE LESSER OF FIFTY THOUSAND DOLLARS OR THE EXCESS OF NEW YORK  ADJUSTED
 GROSS  INCOME  FOR  THE  TAXABLE  YEAR OVER FIVE MILLION DOLLARS AND THE
 DENOMINATOR IS FIFTY THOUSAND DOLLARS. PROVIDED, HOWEVER, THIS  SUBPARA-
 GRAPH  SHALL  NOT  APPLY  TO  TAXPAYERS  WHO ARE NOT SUBJECT TO THE 9.32
 PERCENT TAX RATE.
   (C) THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT  OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B)  OF  PARAGRAPH  ONE OF SUBSECTION (A) OF THIS SECTION NOT SUBJECT TO
 THE 9.82 PERCENT RATE OF TAX FOR THE TAXABLE  YEAR  MULTIPLIED  BY  SUCH
 RATE  AND  (II)  THE  DOLLAR  DENOMINATED TAX FOR SUCH AMOUNT OF TAXABLE
 INCOME SET FORTH IN THE TAX TABLE APPLICABLE  TO  THE  TAXABLE  YEAR  IN
 CLAUSE  (II) OF PARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (A) OF THIS
 SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A), (B)
 AND (C) OF PARAGRAPH ONE OF SUBSECTION (D-1) OF THIS  SECTION  AND  SUCH
 TAX  TABLE  BENEFITS IN SUBPARAGRAPHS (A) AND (B) OF THIS PARAGRAPH. THE
 FRACTION FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR  IS
 THE  LESSER OF FIFTY THOUSAND DOLLARS OR THE EXCESS OF NEW YORK ADJUSTED
 GROSS INCOME FOR THE TAXABLE YEAR  OVER  TEN  MILLION  DOLLARS  AND  THE
 DENOMINATOR IS FIFTY THOUSAND DOLLARS.  PROVIDED, HOWEVER, THIS SUBPARA-
 GRAPH  SHALL  NOT  APPLY  TO  TAXPAYERS  WHO ARE NOT SUBJECT TO THE 9.82
 PERCENT TAX RATE.
   (D) THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT  OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B)  OF  PARAGRAPH  ONE OF SUBSECTION (A) OF THIS SECTION NOT SUBJECT TO
 THE 10.32 PERCENT RATE OF TAX FOR THE TAXABLE YEAR  MULTIPLIED  BY  SUCH
 RATE  AND  (II)  THE  DOLLAR  DENOMINATED TAX FOR SUCH AMOUNT OF TAXABLE
 INCOME SET FORTH IN THE TAX TABLE APPLICABLE  TO  THE  TAXABLE  YEAR  IN
 CLAUSE  (II)  OF  SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (A) OF
 THIS SECTION LESS THE SUM OF THE TAX  TABLE  BENEFITS  IN  SUBPARAGRAPHS
 (A),  (B)  AND  (C) OF PARAGRAPH ONE OF SUBSECTION (D-1) OF THIS SECTION
 AND SUCH TAX TABLE BENEFITS IN SUBPARAGRAPHS (A), (B) AND  (C)  OF  THIS
 PARAGRAPH.  THE  FRACTION  FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS:
 THE NUMERATOR IS THE LESSER OF FIFTY THOUSAND DOLLARS OR THE  EXCESS  OF
 NEW  YORK  ADJUSTED  GROSS  INCOME FOR THE TAXABLE YEAR OVER ONE HUNDRED
 MILLION DOLLARS AND THE DENOMINATOR IS FIFTY THOUSAND DOLLARS.
   (E) PROVIDED, HOWEVER, THE TOTAL TAX PRIOR TO THE APPLICATION  OF  ANY
 TAX  CREDITS  SHALL  NOT EXCEED THE HIGHEST RATE OF TAX SET FORTH IN THE
 TAX TABLES IN SUBSECTION (A) OF THIS SECTION MULTIPLIED BY  THE  TAXPAY-
 ER'S TAXABLE INCOME.
   (2) FOR RESIDENT HEADS OF HOUSEHOLDS, THE SUPPLEMENTAL TAX SHALL BE AN
 AMOUNT  EQUAL TO THE SUM OF THE TAX TABLE BENEFITS DESCRIBED IN SUBPARA-
 GRAPHS (A), (B), (C) AND (D)  OF  THIS  PARAGRAPH  MULTIPLIED  BY  THEIR
 RESPECTIVE FRACTIONS IN SUCH SUBPARAGRAPHS.
   (A)  THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B) OF PARAGRAPH ONE OF SUBSECTION (B) OF THIS SECTION  NOT  SUBJECT  TO
 THE  8.82  PERCENT  RATE  OF TAX FOR THE TAXABLE YEAR MULTIPLIED BY SUCH
 RATE AND (II) THE DOLLAR DENOMINATED TAX  FOR  SUCH  AMOUNT  OF  TAXABLE
 INCOME  SET  FORTH  IN  THE  TAX TABLE APPLICABLE TO THE TAXABLE YEAR IN
 CLAUSE (II) OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF  SUBSECTION  (B)  OF
 THIS SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A)
 AND (B) OF PARAGRAPH TWO OF SUBSECTION (D-1) OF THIS SECTION.  THE FRAC-

 S. 4511                             4

 TION  FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR IS THE
 LESSER OF FIFTY THOUSAND DOLLARS OR THE  EXCESS  OF  NEW  YORK  ADJUSTED
 GROSS  INCOME  FOR  THE  TAXABLE  YEAR  OVER ONE MILLION DOLLARS AND THE
 DENOMINATOR IS FIFTY THOUSAND DOLLARS.
   (B)  THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B) OF PARAGRAPH ONE OF SUBSECTION (B) OF THIS SECTION  NOT  SUBJECT  TO
 THE  9.32  PERCENT  RATE  OF TAX FOR THE TAXABLE YEAR MULTIPLIED BY SUCH
 RATE AND (II) THE DOLLAR DENOMINATED TAX  FOR  SUCH  AMOUNT  OF  TAXABLE
 INCOME  SET  FORTH  IN  THE  TAX TABLE APPLICABLE TO THE TAXABLE YEAR IN
 CLAUSE (II) OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF  SUBSECTION  (B)  OF
 THIS SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A)
 AND  (B)  OF  PARAGRAPH TWO OF SUBSECTION (D-1) OF THIS SECTION AND SUCH
 TAX TABLE BENEFIT IN SUBPARAGRAPH (A) OF THIS  PARAGRAPH.  THE  FRACTION
 FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR IS THE LESS-
 ER  OF  FIFTY  THOUSAND DOLLARS OR THE EXCESS OF NEW YORK ADJUSTED GROSS
 INCOME FOR THE TAXABLE YEAR OVER FIVE MILLION DOLLARS AND THE  DENOMINA-
 TOR  IS  FIFTY  THOUSAND  DOLLARS.  PROVIDED, HOWEVER, THIS SUBPARAGRAPH
 SHALL NOT APPLY TO TAXPAYERS WHO ARE NOT SUBJECT TO THE 9.32 PERCENT TAX
 RATE.
   (C) THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT  OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B)  OF  PARAGRAPH  ONE OF SUBSECTION (B) OF THIS SECTION NOT SUBJECT TO
 THE 9.82 PERCENT RATE OF TAX FOR THE TAXABLE  YEAR  MULTIPLIED  BY  SUCH
 RATE  AND  (II)  THE  DOLLAR  DENOMINATED TAX FOR SUCH AMOUNT OF TAXABLE
 INCOME SET FORTH IN THE TAX TABLE APPLICABLE  TO  THE  TAXABLE  YEAR  IN
 CLAUSE  (II)  OF  SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (B) OF
 THIS SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A)
 AND (B) OF PARAGRAPH TWO OF SUBSECTION (D-1) OF THIS  SECTION  AND  SUCH
 TAX  TABLE  BENEFITS IN SUBPARAGRAPHS (A) AND (B) OF THIS PARAGRAPH. THE
 FRACTION FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR  IS
 THE  LESSER OF FIFTY THOUSAND DOLLARS OR THE EXCESS OF NEW YORK ADJUSTED
 GROSS INCOME FOR THE TAXABLE YEAR  OVER  TEN  MILLION  DOLLARS  AND  THE
 DENOMINATOR IS FIFTY THOUSAND DOLLARS.
   (D)  THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B) OF PARAGRAPH ONE OF SUBSECTION (B) OF THIS SECTION  NOT  SUBJECT  TO
 THE  10.32  PERCENT  RATE OF TAX FOR THE TAXABLE YEAR MULTIPLIED BY SUCH
 RATE AND (II) THE DOLLAR DENOMINATED TAX  FOR  SUCH  AMOUNT  OF  TAXABLE
 INCOME  SET  FORTH  IN  THE  TAX TABLE APPLICABLE TO THE TAXABLE YEAR IN
 CLAUSE (II) OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF  SUBSECTION  (B)  OF
 THIS SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A)
 AND  (B)  OF  PARAGRAPH TWO OF SUBSECTION (D-1) OF THIS SECTION AND SUCH
 TAX TABLE BENEFITS IN SUBPARAGRAPHS (A), (B) AND (C) OF THIS  PARAGRAPH.
 THE FRACTION FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR
 IS  THE  LESSER  OF  FIFTY  THOUSAND  DOLLARS  OR THE EXCESS OF NEW YORK
 ADJUSTED GROSS INCOME FOR THE TAXABLE  YEAR  OVER  ONE  HUNDRED  MILLION
 DOLLARS AND THE DENOMINATOR IS FIFTY THOUSAND DOLLARS.
   (E)  PROVIDED,  HOWEVER, THE TOTAL TAX PRIOR TO THE APPLICATION OF ANY
 TAX CREDITS SHALL NOT EXCEED THE HIGHEST RATE OF TAX SET  FORTH  IN  THE
 TAX  TABLES  IN SUBSECTION (B) OF THIS SECTION MULTIPLIED BY THE TAXPAY-
 ER'S TAXABLE INCOME.
   (3) FOR RESIDENT UNMARRIED INDIVIDUALS, RESIDENT  MARRIED  INDIVIDUALS
 FILING  SEPARATE  RETURNS  AND  RESIDENT ESTATES AND TRUSTS, THE SUPPLE-
 MENTAL TAX SHALL BE AN AMOUNT EQUAL TO THE SUM OF THE TAX TABLE BENEFITS

 S. 4511                             5
 
 DESCRIBED IN SUBPARAGRAPHS (A), (B),  (C)  AND  (D)  OF  THIS  PARAGRAPH
 MULTIPLIED BY THEIR RESPECTIVE FRACTIONS IN SUCH SUBPARAGRAPHS.
   (A)  THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B) OF PARAGRAPH ONE OF SUBSECTION (C) OF THIS SECTION  NOT  SUBJECT  TO
 THE  8.82  PERCENT  RATE  OF TAX FOR THE TAXABLE YEAR MULTIPLIED BY SUCH
 RATE AND (II) THE DOLLAR DENOMINATED TAX  FOR  SUCH  AMOUNT  OF  TAXABLE
 INCOME  SET  FORTH  IN  THE  TAX TABLE APPLICABLE TO THE TAXABLE YEAR IN
 CLAUSE (II) OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF  SUBSECTION  (C)  OF
 THIS SECTION LESS THE SUM OF TAX TABLE BENEFITS IN SUBPARAGRAPHS (A) AND
 (B)  OF  PARAGRAPH THREE OF SUBSECTION (D-1) OF THIS SECTION.  THE FRAC-
 TION IS COMPUTED AS FOLLOWS: THE NUMERATOR IS THE LESSER OF FIFTY  THOU-
 SAND  DOLLARS  OR  THE  EXCESS OF NEW YORK ADJUSTED GROSS INCOME FOR THE
 TAXABLE YEAR OVER ONE MILLION DOLLARS AND THE DENOMINATOR IS FIFTY THOU-
 SAND DOLLARS.
   (B) THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT  OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B)  OF  PARAGRAPH  ONE OF SUBSECTION (C) OF THIS SECTION NOT SUBJECT TO
 THE 9.32 PERCENT RATE OF TAX FOR THE TAXABLE  YEAR  MULTIPLIED  BY  SUCH
 RATE  AND  (II)  THE  DOLLAR  DENOMINATED TAX FOR SUCH AMOUNT OF TAXABLE
 INCOME SET FORTH IN THE TAX TABLE APPLICABLE  TO  THE  TAXABLE  YEAR  IN
 CLAUSE  (II)  OF  SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (C) OF
 THIS SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A)
 AND (B) OF PARAGRAPH THREE OF SUBSECTION (D-1) OF THIS SECTION AND  SUCH
 TAX  TABLE  BENEFIT  IN SUBPARAGRAPH (A) OF THIS PARAGRAPH. THE FRACTION
 FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR IS THE LESS-
 ER OF FIFTY THOUSAND DOLLARS OR THE EXCESS OF NEW  YORK  ADJUSTED  GROSS
 INCOME  FOR THE TAXABLE YEAR OVER FIVE MILLION DOLLARS AND THE DENOMINA-
 TOR IS FIFTY THOUSAND  DOLLARS.  PROVIDED,  HOWEVER,  THIS  SUBPARAGRAPH
 SHALL NOT APPLY TO TAXPAYERS WHO ARE NOT SUBJECT TO THE 9.32 PERCENT TAX
 RATE.
   (C)  THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B) OF PARAGRAPH ONE OF SUBSECTION (C) OF THIS SECTION  NOT  SUBJECT  TO
 THE  9.82  PERCENT  RATE  OF TAX FOR THE TAXABLE YEAR MULTIPLIED BY SUCH
 RATE AND (II) THE DOLLAR DENOMINATED TAX  FOR  SUCH  AMOUNT  OF  TAXABLE
 INCOME  SET  FORTH  IN  THE  TAX TABLE APPLICABLE TO THE TAXABLE YEAR IN
 CLAUSE (II) OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF  SUBSECTION  (C)  OF
 THIS SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A)
 AND  (B) OF PARAGRAPH THREE OF SUBSECTION (D-1) OF THIS SECTION AND SUCH
 TAX TABLE BENEFITS IN SUBPARAGRAPHS (A) AND (B) OF THIS  PARAGRAPH.  THE
 FRACTION  FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR IS
 THE LESSER OF FIFTY THOUSAND DOLLARS OR THE EXCESS OF NEW YORK  ADJUSTED
 GROSS  INCOME  FOR  THE  TAXABLE  YEAR  OVER TEN MILLION DOLLARS AND THE
 DENOMINATOR IS FIFTY THOUSAND DOLLARS.
   (D) THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT  OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B)  OF  PARAGRAPH  ONE OF SUBSECTION (C) OF THIS SECTION NOT SUBJECT TO
 THE 10.32 PERCENT RATE OF TAX FOR THE TAXABLE YEAR  MULTIPLIED  BY  SUCH
 RATE  AND  (II)  THE  DOLLAR  DENOMINATED TAX FOR SUCH AMOUNT OF TAXABLE
 INCOME SET FORTH IN THE TAX TABLE APPLICABLE  TO  THE  TAXABLE  YEAR  IN
 CLAUSE  (II)  OF  SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (C) OF
 THIS SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A)
 AND (B) OF PARAGRAPH THREE OF SUBSECTION (D-1) OF THIS SECTION AND  SUCH
 TAX  TABLE BENEFITS IN SUBPARAGRAPHS (A), (B) AND (C) OF THIS PARAGRAPH.
 THE FRACTION FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR

 S. 4511                             6
 
 IS THE LESSER OF FIFTY THOUSAND  DOLLARS  OR  THE  EXCESS  OF  NEW  YORK
 ADJUSTED  GROSS  INCOME  FOR  THE  TAXABLE YEAR OVER ONE HUNDRED MILLION
 DOLLARS AND THE DENOMINATOR IS FIFTY THOUSAND DOLLARS.
   (E)  PROVIDED,  HOWEVER, THE TOTAL TAX PRIOR TO THE APPLICATION OF ANY
 TAX CREDITS SHALL NOT EXCEED THE HIGHEST RATE OF TAX SET  FORTH  IN  THE
 TAX  TABLES  IN SUBSECTION (C) OF THIS SECTION MULTIPLIED BY THE TAXPAY-
 ER'S TAXABLE INCOME.
   § 5. Subsection (f) of section 614 of  the  tax  law,  as  amended  by
 section  11  of part FF of chapter 59 of the laws of 2013, is amended to
 read as follows:
   (f) Adjusted standard deduction. For taxable years beginning after two
 thousand [seventeen] NINETEEN, the standard deductions set forth in this
 section shall be the amounts set forth in this section adjusted  by  the
 cost  of  living  adjustment  prescribed in section six hundred one-a of
 this part for tax years two  thousand  thirteen  [through  two  thousand
 seventeen] AND THEREAFTER.
   §  6.  Section 171-a of the tax law, as separately amended by chapters
 481 and 484 of the laws of 1981, is amended by adding a new  subdivision
 3 to read as follows:
   3.  NOTWITHSTANDING  SUBDIVISION  ONE  OF  THIS  SECTION  OR ANY OTHER
 PROVISION OF LAW TO THE CONTRARY, THE TAXES IMPOSED PURSUANT  TO  CLAUSE
 (IX) OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (A), CLAUSE (IX)
 OF  SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (B), AND CLAUSE (IX)
 OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (C)  OF  SECTION  SIX
 HUNDRED  ONE  OF  THIS  CHAPTER, REDUCED BY AN AMOUNT FOR ADMINISTRATIVE
 COSTS, SHALL BE DEPOSITED TO THE CREDIT OF THE  NEW  YORK  CITY  HOUSING
 AUTHORITY,  AS  SUCH  TAXES  ARE RECEIVED. THE AMOUNT FOR ADMINISTRATIVE
 COSTS SHALL BE DETERMINED BY THE COMMISSIONER  TO  REPRESENT  REASONABLE
 COSTS  OF  THE  DEPARTMENT  OF  TAXATION  AND  FINANCE IN ADMINISTERING,
 COLLECTING, DETERMINING AND DISTRIBUTING SUCH TAXES. OF THE TOTAL REVEN-
 UE COLLECTED OR RECEIVED UNDER SUCH SECTIONS OF THIS CHAPTER, THE  COMP-
 TROLLER  SHALL  RETAIN  IN HIS HANDS SUCH AMOUNT AS THE COMMISSIONER MAY
 DETERMINE TO BE NECESSARY  FOR  REFUNDS  OR  REIMBURSEMENTS  UNDER  SUCH
 CLAUSES  OF  SUCH  SECTION OF THIS CHAPTER OUT OF WHICH AMOUNT THE COMP-
 TROLLER SHALL PAY ANY REFUNDS OR REIMBURSEMENTS TO WHICH TAXPAYERS SHALL
 BE ENTITLED UNDER PROVISIONS OF SUCH SECTIONS.  THE COMMISSIONER AND THE
 COMPTROLLER SHALL MAINTAIN A SYSTEM OF ACCOUNTS SHOWING  THE  AMOUNT  OF
 REVENUE  COLLECTED  OR  RECEIVED  FROM EACH OF THE TAXES IMPOSED BY SUCH
 SECTIONS.
   § 7. This act shall take effect immediately and shall apply to taxable
 years beginning on or after January 1, 2020.

co-Sponsors

2019-S4511A (ACTIVE) - Details

See Assembly Version of this Bill:: A8532
Current Committee:: Senate Budget And Revenue
Law Section:: Tax Law
Laws Affected:: Amd §§601, 614 & 171-a, Tax L
Versions Introduced in 2021-2022 Legislative Session:: A3150

2019-S4511A (ACTIVE) - Summary

2019-S4511A (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S4511A

SPONSOR: SALAZAR
 
TITLE OF BILL:  An act to amend the tax law, in relation to personal
income tax rates and in relation to directing revenue generated from
certain taxes to be deposited to the credit of the New York city housing
authority and the division of housing and community renewal

 
PURPOSE OR GENERAL IDEA OF BILL:

This bill amends tax law to increase tax rate on New York State resi-
dents with taxable incomes of one million dollars and use the revenue
created by that tax to fund capital improvements to the New York City
Housing Authority (NYCHA).

 
SUMMARY OF SPECIFIC PROVISIONS:

Section One: Subparagraph B of paragraph 1 of subsection A of section
601 of the tax law is amended by adding a new clause (ix) that will put
in place a new tax structure on incomes of New Yorkers making a million
dollars or more per year. Beginning in taxable year 2020 and beyond,

ranges of incomes starting at $1 million and up to over $100 million per
year are taxed at different rates accordingly.

Section Two: Subparagraph B of paragraph 1 of subsection B of section
601 of the tax law is amended by adding a new clause (ix) that will put
in place a new tax structure on incomes of New Yorkers making a million
dollars or more per year. Beginning in taxable year 2020 and beyond,
ranges of incomes starting at $1 million and up to over $100 million per
year are taxed at different rates accordingly.

Section Three: Subparagraph B of paragraph 1 of subsection B of section
601 of the tax law is amended by adding a new clause (ix) that will put
in place a new tax structure on incomes of New Yorkers making a million
dollars or more per year. Beginning in taxable year 2020 and beyond,
ranges of incomes starting at $1 million and up to over $100 million per
year are taxed at different rates accordingly.

Section Four: Section 601 of the tax law is amended by adding a new
subsection (d-2) to read as follows: Alternative tax table benefit
recapture. For taxable years beginning after 2019 for a taxpayer who's
New York taxable income is over $1,000,000, there is hereby imposed a
supplemental tax in addition to the tax imposed under subsections (a),
(b) and (c) and (d). For resident married individuals filing joint
returns and resident surviving spouses, the supplemental tax shall be an
amount equal to the sum of the tax table benefits described in subpara-
graphs (A), (B), (C), and (D). The preceding sections defines tax table
benefits to be collected via tax based taxable tiers on level of income
over $1 million and ranging to over $100 million.

Section Five: Subsection (f) of section 614 of the tax law as amended by
section 11 of part FF of chapter 59 of the laws of 2013 is amended to
put in place adjusted standard deductions and adjusted for cost of
living.

Section Six: Section 171-a of the tax law, as separately amended by
chapters 481 and 484 of the laws of 1981 is amended by adding a new
subdivision that creates the groundwork for the taxes collected per the
sections of the legislation to be deposited as an 80% credit for the New
York City Housing Authority and 20% credit to the division of housing
and community renewal for the purposes of construction, improvement, and
preservation of public housing authorities outside New York City. An
administrative cost for handling this tax collection will be put in
place by the Commissioner of the Department of Taxation and Finance. The
Comptroller of New York State shall control the revenue generated by new
tax table for reimbursements. Both the Commissioner and the Comptroller
shall maintain a system of accounts showing the revenue collected for
each of the sections outlined in this legislation.

Section Seven: This act shall take effect immediately and shall apply to
taxable years beginning on or after January 1, 2020.

 
JUSTIFICATION:

Almost 600,000 New York City residents depend on the New York City Hous-
ing Authority's (NYCHA) housing facilities for a place to call home.
Thousands of housing units, which serve as apartments for the elderly,
individuals, families and children, are under the care and control of
NYCHA. Over the decades of managing these properties, disrepair and
dangerous conditions have been allowed to persist and spread thru out
the housing system. Winter days without hot water or heat, leaking
toilets, leaking water pipes, broken boilers, mold in hallways and
living areas, lead paint poisoning thousands of children, broken eleva-
tors in senior housing facilities, leaking roofs and other major infras-
tructure problems in hundreds of building and impacting thousands of
apartments is now the norm.

These conditions threaten the safety and health of the almost 600,000
NYCHA tenants. In order to remedy these conditions, NYCHA management has
indicated that it will need some $32 billion in capital funding. This
astronomical amount of funding is unattainable for a public, nonprofit
like NYCHA.

In order to help NYCHA with the financial ability to address the chronic
infrastructure repairs needed to ensure the safety of its tenants; this
proposed legislation will put into place a new state tax structure on
personal incomes for annual incomes over $1,000,000 and with incremental
increases for a range of incomes for millionaires up to $100 million.

A top rate of 8.82 percent would begin for $1 million in annual income.
For those making over $5 million per year the rate would increase to
9.32 percent. The rate would increase to 9.83 percent for those making
over $10 million per year and reach a top rate of 10.3 2 percent for all
tax filers with incomes over $100 million per year.

This proposed tax structure on millionaires will generate over $2
billion dollars annually. This new revenue will be dedicated for NYCHA
capital improvements to help address the chronic health and safety prob-
lems faced by its tenants.

This legislation authorizes the Commissioner of the New York State
Department of Taxation and Finance to work jointly with the New York
State Comptroller in order to facilitate the collection and disbursement
of this new tax to address the legislative intent of this legislation.

While the $2 billion in new annual revenue is only a small part of the
$32 billion needed to repair all of the damages NYCHA now faces, it
represents a large and consistent infusion of desperately needed funding
that will begin to improve the lives of the hundreds of thousands of
NYCHA tenants.

 
PRIOR LEGISLATIVE HISTORY:

New Legislation

 
FISCAL IMPLICATION:

None to the state.

 
EFFECTIVE DATE:
This act shall take effect immediately and shall apply to taxable years
beginning on or after January 1, 2020.

2019-S4511A (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  4511--A
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                              March 13, 2019
                                ___________
 
 Introduced  by  Sen. SALAZAR -- read twice and ordered printed, and when
   printed to be committed to the Committee  on  Budget  and  Revenue  --
   committee  discharged,  bill amended, ordered reprinted as amended and
   recommitted to said committee
 
 AN ACT to amend the tax law, in relation to personal  income  tax  rates
   and  in  relation to directing revenue generated from certain taxes to
   be deposited to the credit of the New York city housing authority  and
   the division of housing and community renewal
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subparagraph (B)  of  paragraph  1  of  subsection  (a)  of
 section  601  of  the  tax law is amended by adding a new clause (ix) to
 read as follows:
   (IX) FOR TAXABLE YEARS BEGINNING  AFTER  TWO  THOUSAND  NINETEEN,  THE
 FOLLOWING RATES SHALL APPLY:
 
 IF THE NEW YORK TAXABLE INCOME IS:    THE TAX IS:
 OVER $1,000,000 BUT NOT OVER          $66,578 PLUS 8.82% OF EXCESS OVER
 $5,000,000                            $1,000,000
 OVER $5,000,000 BUT NOT OVER          $419,378 PLUS 9.32% OF EXCESS OVER
 $10,000,000                           $5,000,000
 OVER $10,000,000 BUT NOT OVER         $885,378 PLUS 9.82% OF EXCESS OVER
 $100,000,000                          $10,000,000
 OVER $100,000,000                     $9,723,378 PLUS 10.32% OF EXCESS
                                        OVER $100,000,000
   §  2. Subparagraph (B) of paragraph 1 of subsection (b) of section 601
 of the tax law is amended by  adding  a  new  clause  (ix)  to  read  as
 follows:
   (IX)  FOR  TAXABLE  YEARS  BEGINNING  AFTER TWO THOUSAND NINETEEN, THE
 FOLLOWING RATES SHALL APPLY:

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD09982-03-9

 S. 4511--A                          2
 
 IF THE NEW YORK TAXABLE INCOME IS:    THE TAX IS:
 OVER $1,000,000 BUT NOT OVER          $67,017 PLUS 8.82% OF EXCESS OVER
 $5,000,000                            $1,000,000
 OVER $5,000,000 BUT NOT OVER          $419,817 PLUS 9.32% OF EXCESS OVER
 $10,000,000                           $5,000,000
 OVER $10,000,000 BUT NOT OVER         $885,817 PLUS 9.82% OF EXCESS OVER
 $100,000,000                          $10,000,000
 OVER $100,000,000                     $9,723,817 PLUS 10.32% OF EXCESS
                                       OVER $100,000,000
   §  3. Subparagraph (B) of paragraph 1 of subsection (c) of section 601
 of the tax law is amended by  adding  a  new  clause  (ix)  to  read  as
 follows:
   (IX)  FOR  TAXABLE  YEARS  BEGINNING  AFTER TWO THOUSAND NINETEEN, THE
 FOLLOWING RATES SHALL APPLY:
 
 IF THE NEW YORK TAXABLE INCOME IS:    THE TAX IS:
 OVER $1,000,000 BUT NOT OVER          $67,391 PLUS 8.82% OF EXCESS OVER
 $5,000,000                            $1,000,000
 OVER $5,000,000 BUT NOT OVER          $420,191 PLUS 9.32% OF EXCESS OVER
 $10,000,000                           $5,000,000
 OVER $10,000,000                      $886,191 PLUS 9.82% OF EXCESS OVER
                                       $10,000,000
 OVER $100,000,000                     $9,724,191 PLUS 10.32% OF EXCESS
                                       OVER $100,000,000
   § 4. Section 601 of the tax law is amended by adding a new  subsection
 (d-2) to read as follows:
   (D-2)  ALTERNATIVE  TAX  TABLE  BENEFIT  RECAPTURE.  FOR TAXABLE YEARS
 BEGINNING AFTER TWO THOUSAND NINETEEN FOR  A  TAXPAYER  WHOSE  NEW  YORK
 TAXABLE  INCOME  IS  OVER  $1,000,000, THERE IS HEREBY IMPOSED A SUPPLE-
 MENTAL TAX IN ADDITION TO THE TAX IMPOSED UNDER SUBSECTIONS (A), (B) AND
 (C) OF THIS SECTION FOR THE PURPOSE OF RECAPTURING THE  BENEFIT  OF  THE
 TAX  TABLES  CONTAINED  IN SUCH SUBSECTIONS. DURING THESE TAXABLE YEARS,
 ANY REFERENCE IN THIS CHAPTER TO SUBSECTION (D) OF THIS SECTION SHALL BE
 READ AS A REFERENCE TO THIS SUBSECTION.
   (1) FOR RESIDENT MARRIED INDIVIDUALS FILING JOINT RETURNS AND RESIDENT
 SURVIVING SPOUSES, THE SUPPLEMENTAL TAX SHALL BE AN AMOUNT EQUAL TO  THE
 SUM  OF  THE TAX TABLE BENEFITS DESCRIBED IN SUBPARAGRAPHS (A), (B), (C)
 AND (D) OF THIS PARAGRAPH MULTIPLIED BY THEIR  RESPECTIVE  FRACTIONS  IN
 SUCH SUBPARAGRAPHS.
   (A)  THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B) OF PARAGRAPH ONE OF SUBSECTION (A) OF THIS SECTION  NOT  SUBJECT  TO
 THE  8.82  PERCENT  RATE  OF TAX FOR THE TAXABLE YEAR MULTIPLIED BY SUCH
 RATE AND (II) THE DOLLAR DENOMINATED TAX  FOR  SUCH  AMOUNT  OF  TAXABLE
 INCOME  SET  FORTH  IN  THE  TAX TABLE APPLICABLE TO THE TAXABLE YEAR IN
 CLAUSE (II) OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF  SUBSECTION  (A)  OF
 THIS  SECTION  LESS  THE SUM OF TAX TABLE BENEFITS IN SUBPARAGRAPHS (A),
 (B) AND (C) OF PARAGRAPH ONE OF SUBSECTION (D-1) OF THIS SECTION.    THE
 FRACTION  FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR IS
 THE LESSER OF FIFTY THOUSAND DOLLARS OR THE EXCESS OF NEW YORK  ADJUSTED
 GROSS  INCOME  FOR  THE  TAXABLE  YEAR  OVER ONE MILLION DOLLARS AND THE
 DENOMINATOR IS FIFTY THOUSAND DOLLARS.
   (B) THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT  OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B)  OF  PARAGRAPH  ONE OF SUBSECTION (A) OF THIS SECTION NOT SUBJECT TO
 THE 9.32 PERCENT RATE OF TAX FOR THE TAXABLE  YEAR  MULTIPLIED  BY  SUCH

 S. 4511--A                          3
 
 RATE  AND  (II)  THE  DOLLAR  DENOMINATED TAX FOR SUCH AMOUNT OF TAXABLE
 INCOME SET FORTH IN THE TAX TABLE APPLICABLE  TO  THE  TAXABLE  YEAR  IN
 CLAUSE  (II)  OF  SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (A) OF
 THIS  SECTION  LESS  THE  SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS
 (A), (B) AND (C) OF PARAGRAPH ONE OF SUBSECTION (D-1)  OF  THIS  SECTION
 AND  SUCH  TAX  TABLE BENEFIT IN SUBPARAGRAPH (A) OF THIS PARAGRAPH. THE
 FRACTION FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR  IS
 THE  LESSER OF FIFTY THOUSAND DOLLARS OR THE EXCESS OF NEW YORK ADJUSTED
 GROSS INCOME FOR THE TAXABLE YEAR OVER  FIVE  MILLION  DOLLARS  AND  THE
 DENOMINATOR  IS FIFTY THOUSAND DOLLARS. PROVIDED, HOWEVER, THIS SUBPARA-
 GRAPH SHALL NOT APPLY TO TAXPAYERS WHO  ARE  NOT  SUBJECT  TO  THE  9.32
 PERCENT TAX RATE.
   (C)  THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B) OF PARAGRAPH ONE OF SUBSECTION (A) OF THIS SECTION  NOT  SUBJECT  TO
 THE  9.82  PERCENT  RATE  OF TAX FOR THE TAXABLE YEAR MULTIPLIED BY SUCH
 RATE AND (II) THE DOLLAR DENOMINATED TAX  FOR  SUCH  AMOUNT  OF  TAXABLE
 INCOME  SET  FORTH  IN  THE  TAX TABLE APPLICABLE TO THE TAXABLE YEAR IN
 CLAUSE (II) OF PARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (A) OF  THIS
 SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A), (B)
 AND  (C)  OF  PARAGRAPH ONE OF SUBSECTION (D-1) OF THIS SECTION AND SUCH
 TAX TABLE BENEFITS IN SUBPARAGRAPHS (A) AND (B) OF THIS  PARAGRAPH.  THE
 FRACTION  FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR IS
 THE LESSER OF FIFTY THOUSAND DOLLARS OR THE EXCESS OF NEW YORK  ADJUSTED
 GROSS  INCOME  FOR  THE  TAXABLE  YEAR  OVER TEN MILLION DOLLARS AND THE
 DENOMINATOR IS FIFTY THOUSAND DOLLARS.  PROVIDED, HOWEVER, THIS SUBPARA-
 GRAPH SHALL NOT APPLY TO TAXPAYERS WHO  ARE  NOT  SUBJECT  TO  THE  9.82
 PERCENT TAX RATE.
   (D)  THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B) OF PARAGRAPH ONE OF SUBSECTION (A) OF THIS SECTION  NOT  SUBJECT  TO
 THE  10.32  PERCENT  RATE OF TAX FOR THE TAXABLE YEAR MULTIPLIED BY SUCH
 RATE AND (II) THE DOLLAR DENOMINATED TAX  FOR  SUCH  AMOUNT  OF  TAXABLE
 INCOME  SET  FORTH  IN  THE  TAX TABLE APPLICABLE TO THE TAXABLE YEAR IN
 CLAUSE (II) OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF  SUBSECTION  (A)  OF
 THIS  SECTION  LESS  THE  SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS
 (A), (B) AND (C) OF PARAGRAPH ONE OF SUBSECTION (D-1)  OF  THIS  SECTION
 AND  SUCH  TAX  TABLE BENEFITS IN SUBPARAGRAPHS (A), (B) AND (C) OF THIS
 PARAGRAPH. THE FRACTION FOR THIS SUBPARAGRAPH IS  COMPUTED  AS  FOLLOWS:
 THE  NUMERATOR  IS THE LESSER OF FIFTY THOUSAND DOLLARS OR THE EXCESS OF
 NEW YORK ADJUSTED GROSS INCOME FOR THE TAXABLE  YEAR  OVER  ONE  HUNDRED
 MILLION DOLLARS AND THE DENOMINATOR IS FIFTY THOUSAND DOLLARS.
   (E)  PROVIDED,  HOWEVER, THE TOTAL TAX PRIOR TO THE APPLICATION OF ANY
 TAX CREDITS SHALL NOT EXCEED THE HIGHEST RATE OF TAX SET  FORTH  IN  THE
 TAX  TABLES  IN SUBSECTION (A) OF THIS SECTION MULTIPLIED BY THE TAXPAY-
 ER'S TAXABLE INCOME.
   (2) FOR RESIDENT HEADS OF HOUSEHOLDS, THE SUPPLEMENTAL TAX SHALL BE AN
 AMOUNT EQUAL TO THE SUM OF THE TAX TABLE BENEFITS DESCRIBED IN  SUBPARA-
 GRAPHS  (A),  (B),  (C)  AND  (D)  OF THIS PARAGRAPH MULTIPLIED BY THEIR
 RESPECTIVE FRACTIONS IN SUCH SUBPARAGRAPHS.
   (A) THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT  OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B)  OF  PARAGRAPH  ONE OF SUBSECTION (B) OF THIS SECTION NOT SUBJECT TO
 THE 8.82 PERCENT RATE OF TAX FOR THE TAXABLE  YEAR  MULTIPLIED  BY  SUCH
 RATE  AND  (II)  THE  DOLLAR  DENOMINATED TAX FOR SUCH AMOUNT OF TAXABLE
 INCOME SET FORTH IN THE TAX TABLE APPLICABLE  TO  THE  TAXABLE  YEAR  IN

 S. 4511--A                          4

 CLAUSE  (II)  OF  SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (B) OF
 THIS SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A)
 AND (B) OF PARAGRAPH TWO OF SUBSECTION (D-1) OF THIS SECTION.  THE FRAC-
 TION  FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR IS THE
 LESSER OF FIFTY THOUSAND DOLLARS OR THE  EXCESS  OF  NEW  YORK  ADJUSTED
 GROSS  INCOME  FOR  THE  TAXABLE  YEAR  OVER ONE MILLION DOLLARS AND THE
 DENOMINATOR IS FIFTY THOUSAND DOLLARS.
   (B) THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT  OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B)  OF  PARAGRAPH  ONE OF SUBSECTION (B) OF THIS SECTION NOT SUBJECT TO
 THE 9.32 PERCENT RATE OF TAX FOR THE TAXABLE  YEAR  MULTIPLIED  BY  SUCH
 RATE  AND  (II)  THE  DOLLAR  DENOMINATED TAX FOR SUCH AMOUNT OF TAXABLE
 INCOME SET FORTH IN THE TAX TABLE APPLICABLE  TO  THE  TAXABLE  YEAR  IN
 CLAUSE  (II)  OF  SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (B) OF
 THIS SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A)
 AND (B) OF PARAGRAPH TWO OF SUBSECTION (D-1) OF THIS  SECTION  AND  SUCH
 TAX  TABLE  BENEFIT  IN SUBPARAGRAPH (A) OF THIS PARAGRAPH. THE FRACTION
 FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR IS THE LESS-
 ER OF FIFTY THOUSAND DOLLARS OR THE EXCESS OF NEW  YORK  ADJUSTED  GROSS
 INCOME  FOR THE TAXABLE YEAR OVER FIVE MILLION DOLLARS AND THE DENOMINA-
 TOR IS FIFTY THOUSAND  DOLLARS.  PROVIDED,  HOWEVER,  THIS  SUBPARAGRAPH
 SHALL NOT APPLY TO TAXPAYERS WHO ARE NOT SUBJECT TO THE 9.32 PERCENT TAX
 RATE.
   (C)  THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B) OF PARAGRAPH ONE OF SUBSECTION (B) OF THIS SECTION  NOT  SUBJECT  TO
 THE  9.82  PERCENT  RATE  OF TAX FOR THE TAXABLE YEAR MULTIPLIED BY SUCH
 RATE AND (II) THE DOLLAR DENOMINATED TAX  FOR  SUCH  AMOUNT  OF  TAXABLE
 INCOME  SET  FORTH  IN  THE  TAX TABLE APPLICABLE TO THE TAXABLE YEAR IN
 CLAUSE (II) OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF  SUBSECTION  (B)  OF
 THIS SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A)
 AND  (B)  OF  PARAGRAPH TWO OF SUBSECTION (D-1) OF THIS SECTION AND SUCH
 TAX TABLE BENEFITS IN SUBPARAGRAPHS (A) AND (B) OF THIS  PARAGRAPH.  THE
 FRACTION  FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR IS
 THE LESSER OF FIFTY THOUSAND DOLLARS OR THE EXCESS OF NEW YORK  ADJUSTED
 GROSS  INCOME  FOR  THE  TAXABLE  YEAR  OVER TEN MILLION DOLLARS AND THE
 DENOMINATOR IS FIFTY THOUSAND DOLLARS.
   (D) THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT  OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B)  OF  PARAGRAPH  ONE OF SUBSECTION (B) OF THIS SECTION NOT SUBJECT TO
 THE 10.32 PERCENT RATE OF TAX FOR THE TAXABLE YEAR  MULTIPLIED  BY  SUCH
 RATE  AND  (II)  THE  DOLLAR  DENOMINATED TAX FOR SUCH AMOUNT OF TAXABLE
 INCOME SET FORTH IN THE TAX TABLE APPLICABLE  TO  THE  TAXABLE  YEAR  IN
 CLAUSE  (II)  OF  SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (B) OF
 THIS SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A)
 AND (B) OF PARAGRAPH TWO OF SUBSECTION (D-1) OF THIS  SECTION  AND  SUCH
 TAX  TABLE BENEFITS IN SUBPARAGRAPHS (A), (B) AND (C) OF THIS PARAGRAPH.
 THE FRACTION FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR
 IS THE LESSER OF FIFTY THOUSAND  DOLLARS  OR  THE  EXCESS  OF  NEW  YORK
 ADJUSTED  GROSS  INCOME  FOR  THE  TAXABLE YEAR OVER ONE HUNDRED MILLION
 DOLLARS AND THE DENOMINATOR IS FIFTY THOUSAND DOLLARS.
   (E) PROVIDED, HOWEVER, THE TOTAL TAX PRIOR TO THE APPLICATION  OF  ANY
 TAX  CREDITS  SHALL  NOT EXCEED THE HIGHEST RATE OF TAX SET FORTH IN THE
 TAX TABLES IN SUBSECTION (B) OF THIS SECTION MULTIPLIED BY  THE  TAXPAY-
 ER'S TAXABLE INCOME.

 S. 4511--A                          5
 
   (3)  FOR  RESIDENT UNMARRIED INDIVIDUALS, RESIDENT MARRIED INDIVIDUALS
 FILING SEPARATE RETURNS AND RESIDENT ESTATES  AND  TRUSTS,  THE  SUPPLE-
 MENTAL TAX SHALL BE AN AMOUNT EQUAL TO THE SUM OF THE TAX TABLE BENEFITS
 DESCRIBED  IN  SUBPARAGRAPHS  (A),  (B),  (C)  AND (D) OF THIS PARAGRAPH
 MULTIPLIED BY THEIR RESPECTIVE FRACTIONS IN SUCH SUBPARAGRAPHS.
   (A)  THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B) OF PARAGRAPH ONE OF SUBSECTION (C) OF THIS SECTION  NOT  SUBJECT  TO
 THE  8.82  PERCENT  RATE  OF TAX FOR THE TAXABLE YEAR MULTIPLIED BY SUCH
 RATE AND (II) THE DOLLAR DENOMINATED TAX  FOR  SUCH  AMOUNT  OF  TAXABLE
 INCOME  SET  FORTH  IN  THE  TAX TABLE APPLICABLE TO THE TAXABLE YEAR IN
 CLAUSE (II) OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF  SUBSECTION  (C)  OF
 THIS SECTION LESS THE SUM OF TAX TABLE BENEFITS IN SUBPARAGRAPHS (A) AND
 (B)  OF  PARAGRAPH THREE OF SUBSECTION (D-1) OF THIS SECTION.  THE FRAC-
 TION IS COMPUTED AS FOLLOWS: THE NUMERATOR IS THE LESSER OF FIFTY  THOU-
 SAND  DOLLARS  OR  THE  EXCESS OF NEW YORK ADJUSTED GROSS INCOME FOR THE
 TAXABLE YEAR OVER ONE MILLION DOLLARS AND THE DENOMINATOR IS FIFTY THOU-
 SAND DOLLARS.
   (B) THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT  OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B)  OF  PARAGRAPH  ONE OF SUBSECTION (C) OF THIS SECTION NOT SUBJECT TO
 THE 9.32 PERCENT RATE OF TAX FOR THE TAXABLE  YEAR  MULTIPLIED  BY  SUCH
 RATE  AND  (II)  THE  DOLLAR  DENOMINATED TAX FOR SUCH AMOUNT OF TAXABLE
 INCOME SET FORTH IN THE TAX TABLE APPLICABLE  TO  THE  TAXABLE  YEAR  IN
 CLAUSE  (II)  OF  SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (C) OF
 THIS SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A)
 AND (B) OF PARAGRAPH THREE OF SUBSECTION (D-1) OF THIS SECTION AND  SUCH
 TAX  TABLE  BENEFIT  IN SUBPARAGRAPH (A) OF THIS PARAGRAPH. THE FRACTION
 FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR IS THE LESS-
 ER OF FIFTY THOUSAND DOLLARS OR THE EXCESS OF NEW  YORK  ADJUSTED  GROSS
 INCOME  FOR THE TAXABLE YEAR OVER FIVE MILLION DOLLARS AND THE DENOMINA-
 TOR IS FIFTY THOUSAND  DOLLARS.  PROVIDED,  HOWEVER,  THIS  SUBPARAGRAPH
 SHALL NOT APPLY TO TAXPAYERS WHO ARE NOT SUBJECT TO THE 9.32 PERCENT TAX
 RATE.
   (C)  THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B) OF PARAGRAPH ONE OF SUBSECTION (C) OF THIS SECTION  NOT  SUBJECT  TO
 THE  9.82  PERCENT  RATE  OF TAX FOR THE TAXABLE YEAR MULTIPLIED BY SUCH
 RATE AND (II) THE DOLLAR DENOMINATED TAX  FOR  SUCH  AMOUNT  OF  TAXABLE
 INCOME  SET  FORTH  IN  THE  TAX TABLE APPLICABLE TO THE TAXABLE YEAR IN
 CLAUSE (II) OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF  SUBSECTION  (C)  OF
 THIS SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A)
 AND  (B) OF PARAGRAPH THREE OF SUBSECTION (D-1) OF THIS SECTION AND SUCH
 TAX TABLE BENEFITS IN SUBPARAGRAPHS (A) AND (B) OF THIS  PARAGRAPH.  THE
 FRACTION  FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR IS
 THE LESSER OF FIFTY THOUSAND DOLLARS OR THE EXCESS OF NEW YORK  ADJUSTED
 GROSS  INCOME  FOR  THE  TAXABLE  YEAR  OVER TEN MILLION DOLLARS AND THE
 DENOMINATOR IS FIFTY THOUSAND DOLLARS.
   (D) THE TAX TABLE BENEFIT IS THE DIFFERENCE BETWEEN (I) THE AMOUNT  OF
 TAXABLE INCOME SET FORTH IN THE TAX TABLE IN CLAUSE (II) OF SUBPARAGRAPH
 (B)  OF  PARAGRAPH  ONE OF SUBSECTION (C) OF THIS SECTION NOT SUBJECT TO
 THE 10.32 PERCENT RATE OF TAX FOR THE TAXABLE YEAR  MULTIPLIED  BY  SUCH
 RATE  AND  (II)  THE  DOLLAR  DENOMINATED TAX FOR SUCH AMOUNT OF TAXABLE
 INCOME SET FORTH IN THE TAX TABLE APPLICABLE  TO  THE  TAXABLE  YEAR  IN
 CLAUSE  (II)  OF  SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (C) OF
 THIS SECTION LESS THE SUM OF THE TAX TABLE BENEFITS IN SUBPARAGRAPHS (A)

 S. 4511--A                          6
 
 AND (B) OF PARAGRAPH THREE OF SUBSECTION (D-1) OF THIS SECTION AND  SUCH
 TAX  TABLE BENEFITS IN SUBPARAGRAPHS (A), (B) AND (C) OF THIS PARAGRAPH.
 THE FRACTION FOR THIS SUBPARAGRAPH IS COMPUTED AS FOLLOWS: THE NUMERATOR
 IS  THE  LESSER  OF  FIFTY  THOUSAND  DOLLARS  OR THE EXCESS OF NEW YORK
 ADJUSTED GROSS INCOME FOR THE TAXABLE  YEAR  OVER  ONE  HUNDRED  MILLION
 DOLLARS AND THE DENOMINATOR IS FIFTY THOUSAND DOLLARS.
   (E)  PROVIDED,  HOWEVER, THE TOTAL TAX PRIOR TO THE APPLICATION OF ANY
 TAX CREDITS SHALL NOT EXCEED THE HIGHEST RATE OF TAX SET  FORTH  IN  THE
 TAX  TABLES  IN SUBSECTION (C) OF THIS SECTION MULTIPLIED BY THE TAXPAY-
 ER'S TAXABLE INCOME.
   § 5. Subsection (f) of section 614 of  the  tax  law,  as  amended  by
 section  11  of part FF of chapter 59 of the laws of 2013, is amended to
 read as follows:
   (f) Adjusted standard deduction. For taxable years beginning after two
 thousand [seventeen] NINETEEN, the standard deductions set forth in this
 section shall be the amounts set forth in this section adjusted  by  the
 cost  of  living  adjustment  prescribed in section six hundred one-a of
 this part for tax years two  thousand  thirteen  [through  two  thousand
 seventeen] AND THEREAFTER.
   §  6.  Section 171-a of the tax law, as separately amended by chapters
 481 and 484 of the laws of 1981, is amended by adding a new  subdivision
 3 to read as follows:
   3.  NOTWITHSTANDING  SUBDIVISION  ONE  OF  THIS  SECTION  OR ANY OTHER
 PROVISION OF LAW TO THE CONTRARY, THE TAXES IMPOSED PURSUANT  TO  CLAUSE
 (IX) OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (A), CLAUSE (IX)
 OF  SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (B), AND CLAUSE (IX)
 OF SUBPARAGRAPH (B) OF PARAGRAPH ONE OF SUBSECTION (C)  OF  SECTION  SIX
 HUNDRED  ONE  OF  THIS  CHAPTER, REDUCED BY AN AMOUNT FOR ADMINISTRATIVE
 COSTS, SHALL BE DEPOSITED, AS SUCH TAXES ARE RECEIVED, AS  FOLLOWS:  (A)
 EIGHTY  PERCENT  OF  THE REVENUE SHALL BE DEPOSITED TO THE CREDIT OF THE
 NEW YORK CITY HOUSING AUTHORITY; AND (B) TWENTY PERCENT OF  THE  REVENUE
 SHALL BE DEPOSITED TO THE CREDIT OF THE DIVISION OF HOUSING AND COMMUNI-
 TY  RENEWAL FOR THE PURPOSES OF CONSTRUCTION, IMPROVEMENT, AND PRESERVA-
 TION OF PUBLIC HOUSING AUTHORITIES OUTSIDE THE CITY  OF  NEW  YORK.  THE
 AMOUNT  FOR ADMINISTRATIVE COSTS SHALL BE DETERMINED BY THE COMMISSIONER
 TO REPRESENT REASONABLE COSTS OF THE DEPARTMENT OF TAXATION AND  FINANCE
 IN  ADMINISTERING,  COLLECTING, DETERMINING AND DISTRIBUTING SUCH TAXES.
 OF THE TOTAL REVENUE COLLECTED OR RECEIVED UNDER SUCH SECTIONS  OF  THIS
 CHAPTER,  THE  COMPTROLLER  SHALL RETAIN IN HIS HANDS SUCH AMOUNT AS THE
 COMMISSIONER MAY DETERMINE TO BE NECESSARY FOR REFUNDS OR REIMBURSEMENTS
 UNDER SUCH CLAUSES OF SUCH SECTION OF THIS CHAPTER OUT OF  WHICH  AMOUNT
 THE COMPTROLLER SHALL PAY ANY REFUNDS OR REIMBURSEMENTS TO WHICH TAXPAY-
 ERS  SHALL  BE  ENTITLED UNDER PROVISIONS OF SUCH SECTIONS.  THE COMMIS-
 SIONER AND THE COMPTROLLER SHALL MAINTAIN A SYSTEM OF  ACCOUNTS  SHOWING
 THE  AMOUNT  OF  REVENUE  COLLECTED  OR  RECEIVED FROM EACH OF THE TAXES
 IMPOSED BY SUCH SECTIONS.
   § 7. This act shall take effect immediately and shall apply to taxable
 years beginning on or after January 1, 2020.

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