§ 663. Income, a determinant of amount of awards. 1. Income defined.
Except as otherwise provided in this section, "income" shall be the
total of the combined net taxable income and income from pensions of New
York state, local governments, the federal government and any private
employer of the applicant, the applicant's spouse, and the applicant's
parents, including any pension and annuity income excluded for purposes
of taxation pursuant to paragraph three-a of subsection (c) of section
six hundred twelve of the tax law, as reported in New York state income
tax returns for the calendar year coinciding with the tax year
established by the U.S. department of education to qualify applicants
for federal student financial aid programs authorized by title IV of the
Higher Education Act of 1965, as amended, for the school year in which
application for assistance is made, except that any amount received by
an applicant as a scholarship at an educational institution or as a
fellowship grant, including the value of contributed services and
accommodations, shall not be included within the definition of "income"
for the purposes of this article. The term "parent" shall include birth
parents, stepparents, adoptive parents and the spouse of an adoptive
parent. Income, if not a whole dollar amount, shall be assumed to be
equal to the next lowest whole dollar amount. Any change in the status
of an applicant with regard to the persons responsible for the
applicant's support occurring after the beginning of any semester shall
not be considered to change the applicant's award for that semester.

2. Separation of parents. If the parents of an applicant are living
apart, the income of the applicant shall be based upon the income of
that parent with whom the applicant is living; or who exercises custody
if the applicant is a minor, or would exercise custody if the applicant
were a minor, and any appropriate payments for the support of the
applicant from the other parent.

3. Exclusion of parental income in the determination of the amount of
an award. a. In determining the amount of an award for students, the
income of the parents shall be excluded if the student has been
emancipated from his parents.

b. A student shall be considered emancipated if:

(1) The applicant is a student who was married on or before December
thirty-first of the calendar year prior to the beginning of the academic
year for which application is made or is an undergraduate student who
has reached the age of twenty-two on or before June thirtieth prior to
the academic year for which application is made and who, during the
calendar year next preceding the semester, quarter or term of attendance
for which application is made and at all times subsequent thereto up to
and including the entire period for which application is made:

(i) has not resided and will not reside with his or her parents for
more than six weeks; and

(ii) has not and will not receive financial assistance or support
valued in excess of seven hundred fifty dollars from his or her parents;
and

(iii) has not and will not be claimed as a dependent by either parent
for purposes of either federal or state income tax; or

(2) The applicant has reached the age of thirty-five on or before June
thirtieth prior to the academic year for which application is made; or

(3) The applicant was enlisted in full time active military service in
the armed forces of the United States and (i) has been honorably
discharged from such service, or (ii) has a qualifying condition, as
defined in section one of the veterans' services law, and has received a
discharge other than bad conduct or dishonorable from such service, or
(iii) is a discharged LGBT veteran, as defined in section one of the
veterans' services law, and has received a discharge other than bad
conduct or dishonorable from such service, and, provided, however, that
the applicant has not and will not be claimed as a dependent by either
parent for purposes of either federal or state income tax.

c. In making a determination of where a student resides for the
purposes of item (i) of subparagraph one hereof, the president may
consider such criteria as he deems appropriate. Residence by the student
in an apartment, building, or other premises owned by a parent shall be
considered residence with that parent, for the purposes of this section,
even if the student makes payment therefor in the form of rent or other
considerations.

d. Any undergraduate student who was allowed to exclude parental
income pursuant to the provisions of subdivision three of section six
hundred three of this chapter as they existed prior to July first,
nineteen hundred seventy-four may continue to exclude such income for so
long as he continues to comply with such provisions.

e. In making a determination of whether a student has been claimed by
a parent as a dependent for purpose of either federal or state income
tax, the president may require the student to submit a copy of that
portion of the parents' federal income tax return which includes the
parents' signature and the list of claimed dependents.

4. Relinquishing of parental control. In determining the amount of an
award, the president may, in cases of unusual and exceptional family
circumstances warranting such action, recognize an existing condition
wherein parental control has in effect been relinquished by the parents
or others responsible for the applicant, and notwithstanding the
provisions of subdivision three of this section, the applicant has in
effect been emancipated. Provided, however, that students who have
qualified as an orphan, foster child, or ward of the court for the
purposes of federal student financial aid programs authorized by Title
IV of the Higher Education Act of 1965, as amended, shall not be
considered emancipated for the purposes of determining an award pursuant
to section six hundred sixty-seven of this article. The criteria used in
determining these cases of unusual and exceptional family circumstances
shall be established by the president with the approval of the board of
trustees and the director of the division of the budget.

5. Adjustments of income. In the determination of income for purposes
of paragraphs a and b of subdivision three of section six hundred
sixty-seven of this part if, during the academic year in which the
applicant will receive an award, one of either the parents of the
applicant or other dependent child of such parents, the spouse of the
applicant, or one or more dependent children of the applicant, in
addition to the applicant, will be in full-time attendance in an
approved program, the combined net taxable income determined under
subdivision one of this section shall be reduced by three thousand
dollars and an additional two thousand dollars for each other such
person additional to the aforesaid persons (including the applicant) who
will be in such attendance, and the resulting amount shall be deemed the
applicable income in determining the applicant's award for the academic
year.

6. Income tax return not filed or not including income outside New
York state. If a person required to report income to the corporation did
not file an appropriate New York state income tax return, or if the
return did not include income outside New York state, such person shall
report to the corporation what his income would have been had his total
income been subject to New York state income tax and had such income tax
return been filed.

7. Statement of income. An applicant, the applicant's spouse, and the
applicant's parents, if their income is included in "income" for
purposes of this article, shall file annually with the corporation, in a
manner prescribed by the president, a statement of their income, signed
and affirmed as true under penalties of perjury.

8. Verification of financial report. The state tax commission shall,
upon request by the president, compare any statement filed with the
corporation pursuant to this article or any information derived
therefrom with the state income tax returns filed by the persons making
such statement and shall report any discrepancies to the president.

9. Confidentiality of financial reports. All statements filed with the
corporation and all reports made by the state tax commission pursuant to
this section shall be deemed confidential.