Exempts veterans eighty-five years of age and older from the obligation to pay New York state income tax

Title of bill

An act to amend the tax law, in relation to exempting veterans eighty-five years of age and older from the obligation to pay New York state income tax

Purpose

This bill will exempt veterans eighty-five years of age and older from the obligation to pay New York state income tax.

Summary of specific provisions

Section 1. Section 601 of the tax is amended by adding a new subsection (d-1) to read as follows:

(d-1) Notwithstanding the provisions of subsections (a), (b), (c) and (d) of this section, for taxable years beginning after December thirty-first, two thousand ten, the income of any resident individual eighty-five years of age and older who qualifies as a veteran under the provisions of subdivision three of section three hundred fifty of the executive law shall be exempt from taxation under this article regardless of whether such income is subject to federal income taxation.

Justification

After serving our country with honor and courage the veterans of New York state who reach the milestone of eighty-five years young, who have given so much to their communities, deserve respect and admiration during these years of their lives.

Prior legislative history

None

Fiscal implications

It is estimated to reduce revenues by $6 million in SFY 2011-12 and $23 million annually in subsequent fiscal years.

Effective date

This act shall take effect immediately and shall apply to all taxable years commencing on or after January 1, 2011.