S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4103
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                             January 31, 2025
                                ___________
 
 Introduced by Sens. PARKER, FERNANDEZ -- read twice and ordered printed,
   and when printed to be committed to the Committee on Budget and Reven-
   ue
 
 AN  ACT  to amend the tax law, in relation to providing an earned income
   tax credit to youth workers, increasing  the  standard  deduction  and
   providing  for  the  deduction of student loan interest; and providing
   for the repeal of such provisions upon expiration thereof
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Section  606  of  the  tax law is amended by adding a new
 subsection (d-2) to read as follows:
   (D-2) EARNED INCOME TAX CREDIT  FOR  YOUTH  WORKERS.  (1)  A  TAXPAYER
 DESCRIBED  IN PARAGRAPH TWO OF THIS SUBSECTION SHALL BE ALLOWED A CREDIT
 EQUAL TO THE PRODUCT OF ONE AND  THREE-TENTHS  AND  THE  AMOUNT  OF  THE
 EARNED  INCOME  TAX  CREDIT THAT WOULD HAVE BEEN ALLOWED TO THE TAXPAYER
 UNDER SECTION 32 OF THE INTERNAL  REVENUE  CODE,  IF  THE  TAXPAYER  HAD
 ATTAINED THE MINIMUM AGE OF ELIGIBILITY FOR SUCH EARNED INCOME TAX CRED-
 IT  SET  FORTH  IN  SECTION  32(C)(1)(A)(II)(II) OF THE INTERNAL REVENUE
 CODE.
   (2) TO BE ALLOWED A CREDIT UNDER THIS  SUBSECTION,  A  TAXPAYER  SHALL
 SATISFY ALL OF THE FOLLOWING QUALIFICATIONS:
   (A)  THE TAXPAYER SHALL BE A RESIDENT TAXPAYER WHO IS NOT CLAIMED AS A
 DEPENDENT OF ANOTHER TAXPAYER.
   (B) THE TAXPAYER SHALL HAVE ATTAINED THE AGE OF  SEVENTEEN  AND  SHALL
 NOT  HAVE  ATTAINED THE MINIMUM AGE AT WHICH A TAXPAYER IS QUALIFIED FOR
 THE EARNED INCOME TAX CREDIT  AS  SUCH  AGE  IS  SET  FORTH  IN  SECTION
 32(C)(1)(A)(II)(II) OF THE INTERNAL REVENUE CODE.
   (C) THE TAXPAYER SHALL NOT BE THE CUSTODIAL OR NON-CUSTODIAL PARENT OF
 A MINOR CHILD OR CHILDREN.
   (3) NOTHING IN THIS SECTION SHALL BE DEEMED TO PROHIBIT THE QUALIFICA-
 TIONS  OF A TAXPAYER WHO IS OTHERWISE ELIGIBLE FOR THE EARNED INCOME TAX
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD06052-01-5
              

 S. 4103                             2
 
 CREDIT AND WHO IS ENROLLED IN A FULL-TIME OR PART-TIME ACADEMIC  PROGRAM
 LEADING  TO  COMPLETION  OF  A  HIGH SCHOOL DIPLOMA, GENERAL EQUIVALENCY
 DIPLOMA, POST-SECONDARY CERTIFICATE OR WORK READINESS CREDENTIAL,  ASSO-
 CIATE DEGREE OR BACCALAUREATE DEGREE.
   (4)  REPORTS.  THE  COMMISSIONER  SHALL  PREPARE A PRELIMINARY WRITTEN
 REPORT AFTER JULY THIRTY-FIRST AND A FINAL WRITTEN REPORT AFTER DECEMBER
 THIRTY-FIRST OF EACH CALENDAR  YEAR,  WHICH  SHALL  CONTAIN  STATISTICAL
 INFORMATION  REGARDING THE CREDITS GRANTED ON OR BEFORE SUCH DATES UNDER
 THIS SUBSECTION DURING SUCH CALENDAR YEAR. COPIES OF THESE REPORTS SHALL
 BE SUBMITTED BY SUCH COMMISSIONER TO THE GOVERNOR, THE TEMPORARY  PRESI-
 DENT OF THE SENATE, THE SPEAKER OF THE ASSEMBLY, THE CHAIR OF THE SENATE
 FINANCE COMMITTEE AND THE CHAIR OF THE ASSEMBLY WAYS AND MEANS COMMITTEE
 WITHIN  SIXTY  DAYS OF JULY THIRTY-FIRST WITH RESPECT TO THE PRELIMINARY
 REPORT, AND WITHIN FORTY-FIVE DAYS OF DECEMBER THIRTY-FIRST WITH RESPECT
 TO THE FINAL REPORT.  SUCH REPORTS SHALL CONTAIN, BUT NEED NOT BE LIMIT-
 ED TO, THE NUMBER OF CREDITS AND THE  AVERAGE  AMOUNT  OF  SUCH  CREDITS
 ALLOWED.    SUCH INFORMATION SHALL INCLUDE THE NUMBER OF CREDITS AND THE
 AVERAGE AMOUNT OF SUCH CREDITS ALLOWED; AND  OF  THOSE,  THE  NUMBER  OF
 CREDITS  AND THE AVERAGE AMOUNTS OF SUCH CREDITS ALLOWED TO TAXPAYERS IN
 EACH COUNTY.
   § 2. Subsection (a) of section 614 of  the  tax  law,  as  amended  by
 section  1  of  part JJ of chapter 59 of the laws of 2018, is amended to
 read as follows:
   (a) Unmarried individual. For taxable years beginning  after  nineteen
 hundred  ninety-six, the New York standard deduction of a resident indi-
 vidual who is not married nor the head of a household  nor  a  surviving
 spouse  nor  an  individual who is claimed as a dependent by another New
 York state taxpayer shall be seven thousand five  hundred  dollars;  for
 taxable  years  beginning  in nineteen hundred ninety-six, such standard
 deduction shall be seven thousand  four  hundred  dollars;  for  taxable
 years beginning in nineteen hundred ninety-five, such standard deduction
 shall  be six thousand six hundred dollars; and for taxable years begin-
 ning after nineteen hundred  eighty-nine  and  before  nineteen  hundred
 ninety-five,  such standard deduction shall be six thousand dollars. FOR
 TAXABLE YEARS BEGINNING AFTER TWO  THOUSAND  TWENTY-SIX,  THE  NEW  YORK
 STANDARD  DEDUCTION  OF A RESIDENT INDIVIDUAL WHO IS BETWEEN THE AGES OF
 EIGHTEEN AND TWENTY-FOUR AND WHO IS NOT MARRIED NOR THE HEAD OF A HOUSE-
 HOLD NOR A SURVIVING SPOUSE NOR AN INDIVIDUAL  WHOSE  FEDERAL  EXEMPTION
 AMOUNT IS ZERO SHALL BE TEN THOUSAND DOLLARS.
   §  3. Section 615 of the tax law is amended by adding a new subsection
 (h) to read as follows:
   (H) FOR TAXABLE YEARS BEGINNING ON AND AFTER JANUARY FIRST, TWO  THOU-
 SAND  TWENTY-SIX,  IN  THE CASE OF A RESIDENT INDIVIDUAL, THERE SHALL BE
 ALLOWED AS A DEDUCTION FOR THE TAXABLE  YEAR  AN  AMOUNT  EQUAL  TO  THE
 INTEREST  PAID  BY THE TAXPAYER DURING THE TAXABLE YEAR ON ANY QUALIFIED
 EDUCATION LOAN TO THE EXTENT AND AS  PROVIDED  IN  SECTION  221  OF  THE
 INTERNAL REVENUE CODE.
   § 4. This act shall take effect immediately and shall apply to taxable
 years  beginning  on  or  after  January 1, 2026 and shall expire and be
 deemed repealed December 31, 2031.