NY State Senate Bill 2021-S5125A

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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Actions

View Actions

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 05, 2022	referred to budget and revenue
Feb 25, 2021	print number 5125a
Feb 25, 2021	amend (t) and recommit to budget and revenue
Feb 24, 2021	referred to budget and revenue

Bill Amendments

Original

A (Active)

2021-S5125 - Details

See Assembly Version of this Bill:: A6584
Current Committee:: Senate Budget And Revenue
Law Section:: Tax Law
Laws Affected:: Amd §612, Tax L
Versions Introduced in 2023-2024 Legislative Session:: A3705

2021-S5125 - Summary

Excludes from state income tax up to $10,200 of unemployment compensation benefits earned by a resident of the state.

2021-S5125 - Sponsor Memo

                                
 
BILL NUMBER: S5125

SPONSOR: FELDER
 
TITLE OF BILL:

An act to amend the tax law, in relation to excluding from state income
tax unemployment compensation benefits

 
PURPOSE:

Remove state income tax requirement on unemployment benefits received in
2020.

 
SUMMARY OF PROVISIONS:

This bill would amend subsection (c) of section 612 of the tax is by
adding a new paragraph (43) that would waive state income taxes on unem-
ployment benefits received.

 
JUSTIFICATION:

For the many New Yorkers who are living hand to mouth, struggling to
feed their children and keep a roof over their head, unemployment is a
lifeline. But living on only a percentage of one's former income is no
panacea.

According to the Department of Labor, 4.6 million New Yorkers received
unemployment and pandemic unemployment benefits since the start of the
COVID19 pandemic. Maintaining this safety net is imperative, but during
this difficult time, New Yorkers deserve help with no strings attached.
When we extend help with our right hand, the left hand has no business
taking it back.

As New Yorkers continue to feel the pain from the economic crisis caused
by the pandemic, this legislation will ensure that those receiving unem-
ployment benefits are not suddenly facing an unexpected tax bill. The
$10,200 of tax relief provided in this legislation would cover 17 weeks
of the $600 per week benefit. Similar legislation has been proposed at
the Federal Level.

Of the states that tax income, five - California, New Jersey, Oregon,
Pennsylvania and Virginia - already fully exempt UI benefits.  Delaware
just recently exempted UI benefits from State Taxes and similar legis-
lation has been proposed in Arkansas.  Unemployment benefits were
expanded by both the State and Federal governments because of the recog-
nition that our State and Country are in a unique economic crisis. By
taxing a benefit that New Yorkers desperately need, we are only discour-
aging economic recovery.

 
LEGISLATIVE HISTORY:

New bill

 
FISCAL IMPLICATIONS:

To be determined

 
EFFECTIVE DATE:
This act would take effect immediately.

2021-S5125 - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5125
 
                        2021-2022 Regular Sessions
 
                             I N  S E N A T E
 
                             February 24, 2021
                                ___________
 
 Introduced  by  Sen.  FELDER -- 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 excluding from state  income
   tax unemployment compensation benefits
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subsection (c) of section 612 of the tax law is amended  by
 adding a new paragraph 43 to read as follows:
   (43)  FOR  EACH TAXABLE YEAR BEGINNING ON AND AFTER JANUARY FIRST, TWO
 THOUSAND TWENTY, ALL UNEMPLOYMENT COMPENSATION RECEIVED BY A TAXPAYER.
   § 2. This act shall take effect immediately.
 
 
 
 
 
 
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD09500-02-1

co-Sponsors

View additional co-sponsors

2021-S5125A (ACTIVE) - Details

See Assembly Version of this Bill:: A6584
Current Committee:: Senate Budget And Revenue
Law Section:: Tax Law
Laws Affected:: Amd §612, Tax L
Versions Introduced in 2023-2024 Legislative Session:: A3705

2021-S5125A (ACTIVE) - Summary

Excludes from state income tax up to $10,200 of unemployment compensation benefits earned by a resident of the state.

2021-S5125A (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S5125A

SPONSOR: FELDER
 
TITLE OF BILL:

An act to amend the tax law, in relation to excluding from state income
tax certain unemployment compensation benefits

 
PURPOSE:

Remove state income tax requirement on the first $10,200 of unemployment
benefits received in 2020.

 
SUMMARY OF PROVISIONS:

This bill would amend subsection (c) of section 612 of the tax is by
adding a new paragraph (43) that would waive state income taxes on the
first $10,200 of unemployment benefits received.

 
JUSTIFICATION:

For the many New Yorkers who are living hand to mouth, struggling to
feed their children and keep a roof over their head, unemployment is a
lifeline. But living on only a percentage of one's former income is no
panacea.

According to the Department of Labor, 4.6 million New Yorkers received
unemployment and pandemic unemployment benefits since the start of the
COVID19 pandemic. Maintaining this safety net is imperative, but during
this difficult time, New Yorkers deserve help with no strings attached.
When we extend help with our right hand, the left hand has no business
taking it back.

As New Yorkers continue to feel the pain from the economic crisis caused
by the pandemic, this legislation will ensure that those receiving unem-
ployment benefits are not suddenly facing an unexpected tax bill. The
$10,200 of tax relief provided in this legislation would cover 17 weeks
of the $600 per week benefit. Similar legislation has been proposed at
the Federal Level.

Of the states that tax income, five - California, New Jersey, Oregon,
Pennsylvania and Virginia - already fully exempt UI benefits.  Delaware
just recently exempted UI benefits from State Taxes and similar legis-
lation has been proposed in Arkansas.

Unemployment benefits were expanded by both the State and Federal
governments because of the recognition that our State and Country are in
a unique economic crisis. By taxing a benefit that New Yorkers desper-
ately need, we are only discouraging economic recovery.

 
LEGISLATIVE HISTORY:

New bill

 
FISCAL IMPLICATIONS:

To be determined

 
EFFECTIVE DATE:
This act would take effect immediately.

2021-S5125A (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  5125--A
 
                        2021-2022 Regular Sessions
 
                             I N  S E N A T E
 
                             February 24, 2021
                                ___________
 
 Introduced  by  Sen.  FELDER -- 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 excluding from state  income
   tax certain unemployment compensation benefits
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subsection (c) of section 612 of the tax law is amended  by
 adding a new paragraph 43 to read as follows:
   (43)  FOR  EACH TAXABLE YEAR BEGINNING ON AND AFTER JANUARY FIRST, TWO
 THOUSAND TWENTY, AN AMOUNT UP TO TEN THOUSAND  TWO  HUNDRED  DOLLARS  OF
 UNEMPLOYMENT COMPENSATION RECEIVED BY A TAXPAYER.
   § 2. This act shall take effect immediately.
 
 
 
 
 
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD09500-03-1

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Senate Bill S5125A

Sponsored By

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

Bill Amendments

2021-S5125 - Details

2021-S5125 - Summary

2021-S5125 - Sponsor Memo

2021-S5125 - Bill Text download pdf

co-Sponsors

2021-S5125A (ACTIVE) - Details

2021-S5125A (ACTIVE) - Summary

2021-S5125A (ACTIVE) - Sponsor Memo

2021-S5125A (ACTIVE) - Bill Text download pdf

Comments

Senate Bill S5125A

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Sponsored By

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

Bill Amendments

2021-S5125 - Details

2021-S5125 - Summary

2021-S5125 - Sponsor Memo

2021-S5125 - Bill Text download pdf

co-Sponsors

2021-S5125A (ACTIVE) - Details

2021-S5125A (ACTIVE) - Summary

2021-S5125A (ACTIVE) - Sponsor Memo

2021-S5125A (ACTIVE) - Bill Text download pdf

Comments