Provides a tax credit for qualified expenses relating to the purchase of a new bicycle

BILL NUMBER:S1708

Title of bill

An act to amend the tax law, in relation to providing a tax credit for qualified expenses relating to the purchase of a new bicycle

Purpose

To amend section 606 of the tax law to allow persons who purchase a bicycle(s) to receive a tax credit.

Summary of provisions

Section 606 of the tax law is amended to provide taxpayers who purchase a bicycle(s) for themselves or their children a tax credit of up to $250 per household.

Section 2 defines "qualified expenses related to the purchase of a new bicycle" and also defines "adult bicycle" & "child bicycle". Sets the amount of the tax credit at $50 per adult bicycle and $25 per child bicycle up to a maximum of $250.

Section 3 includes the purchase of a bicycle for a child in the household shall be eligible for the credit.

Justification

New York State ranks 34th in adult obesity with a rate of 21.2%. Our State ranks 38th for persons being either overweight or obese with 57.1%. More alarmingly, 43% of New York City school children are overweight. In grades kindergarten through 5th grade 24% of New York City school children are obese. This compares with 15% nationally. Obesity and excess weight raise the risk for numerous diseases and conditions including: heart disease, stroke, diabetes, asthma, depression, cancer, sleep apnia and other conditions. Bike riding and other exercise lowers these risks considerably.

Further, as of 5/9/08 oil prices have risen to over $125 per barrel and gasoline prices have risen dramatically. Rising gas prices have economically. hurt many New Yorkers who are finding it more and more difficult to pay for traveling by car. It is estimated that 40% of all trips by car are two miles or less. This legislation will encourage biking as an alternative to driving especially short distances.

Providing a tax incentive for more New Yorkers to purchase and ride bicycles will encourage people and families to exercise while at the same time provide an alternative to driving to the store, shopping mall, movies etc. This credit will also provide more incentive for New Yorkers to enjoy our State's beautiful scenic byways and parks. In addition, less cars on the road also means the added benefit of less pollution.

Existing law

There is currently no tax credit for the purchase of a bicycle.

Legislative history

S.8204 of 2008 05/13/09 Referred to Investigations & Governmental Operations S.99 of 2009

Fiscal implications

To be determined.

Fiscal implications

None.

Effective date

This act shall take effect immediately and shall apply to taxable years beginning on or after January 1st next succeeding date on which it shall have become a law.