S T A T E O F N E W Y O R K
________________________________________________________________________
9258
I N A S S E M B L Y
February 22, 2024
___________
Introduced by M. of A. RA, JENSEN, GANDOLFO, MAHER, SLATER -- read once
and referred to the Committee on Ways and Means
AN ACT to amend the tax law, in relation to increasing the earned income
tax credit
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Paragraph 1 of subsection (d) of section 606 of the tax
law, as amended by section 1 of part Q of chapter 63 of the laws of
2000, is amended to read as follows:
(1) General. A taxpayer shall be allowed a credit as provided herein
equal to (i) the applicable percentage of the earned income credit
allowed under section thirty-two of the internal revenue code for the
same taxable year, (ii) reduced by the credit permitted under subsection
(b) of this section.
The applicable percentage shall be (i) seven and one-half percent for
taxable years beginning in nineteen hundred ninety-four, (ii) ten
percent for taxable years beginning in nineteen hundred ninety-five,
(iii) twenty percent for taxable years beginning after nineteen hundred
ninety-five and before two thousand, (iv) twenty-two and one-half
percent for taxable years beginning in two thousand, (v) twenty-five
percent for taxable years beginning in two thousand one, (vi) twenty-
seven and one-half percent for taxable years beginning in two thousand
two, [and] (vii) thirty percent for taxable years beginning in two thou-
sand three, AND (VIII) FORTY-FIVE PERCENT FOR TAXABLE YEARS BEGINNING IN
TWO THOUSAND TWENTY-FOUR and thereafter. Provided, however, that if the
reversion event, as defined in this paragraph, occurs, the applicable
percentage shall be twenty percent for taxable years ending on or after
the date on which the reversion event occurred. The reversion event
shall be deemed to have occurred on the date on which federal action,
including but not limited to, administrative, statutory or regulatory
changes, materially reduces or eliminates New York state's allocation of
the federal temporary assistance for needy families block grant, or
materially reduces the ability of the state to spend federal temporary
assistance for needy families block grant funds for the earned income
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD13719-01-3
A. 9258 2
credit or to apply state general fund spending on the earned income
credit toward the temporary assistance for needy families block grant
maintenance of effort requirement, and the commissioner of the office of
temporary and disability assistance shall certify the date of such event
to the commissioner of taxation and finance, the director of the divi-
sion of the budget, the speaker of the assembly and the temporary presi-
dent of the senate.
§ 2. Subsection (d) of section 606 of the tax law is amended by adding
a new paragraph 9 to read as follows:
(9) FOR TAXABLE YEARS BEGINNING ON OR AFTER JANUARY FIRST, TWO THOU-
SAND TWENTY-FOUR, AN EARNED INCOME TAX CREDIT PURSUANT TO THIS SECTION
OR AN ENHANCED EARNED INCOME TAX CREDIT PURSUANT TO SUBSECTION (D-1) OF
THIS SECTION MAY, AT THE ELECTION OF THE TAXPAYER MADE VIA A FORM TO BE
PRESCRIBED BY THE COMMISSIONER, BE PAID TO THE TAXPAYER AS FOLLOWS: (I)
FOR AMOUNTS EQUAL TO OR LESS THAN TWO HUNDRED DOLLARS, THE PAYMENT OR
REFUND SHALL BE MADE IN A LUMP SUM, (II) FOR AMOUNTS IN EXCESS OF TWO
HUNDRED DOLLARS AND LESS THAN TWO THOUSAND FOUR HUNDRED DOLLARS, THE
PAYMENT OR REFUND SHALL EQUAL THREE QUARTERLY CHECKS EACH EQUAL TO TWEN-
TY FIVE PERCENT OF THE TAXPAYER'S ANTICIPATED CREDIT AMOUNT, AND THE
REMAINING BALANCE OF SUCH PAYMENT OR REFUND SHALL BE INCLUDED IN ANY
FINAL REFUND OWED TO THE TAXPAYER FOLLOWING THE COMPLETION OF THE
TAXPAYER'S TAX RETURN, AND (III) FOR AMOUNTS EQUAL TO OR GREATER THAN
TWO THOUSAND FOUR HUNDRED DOLLARS, THE PAYMENT OR REFUND SHALL BE PAID
IN EQUAL MONTHLY PAYMENTS EQUAL TO THE TOTAL AMOUNT THEREOF DIVIDED BY
TWELVE.
§ 3. This act shall take effect on the one hundred twentieth day after
it shall have become a law. Effective immediately, the addition, amend-
ment and/or repeal of any rule or regulation necessary for the implemen-
tation of this act on its effective date are authorized to be made on or
before such effective date.