Creates an E-ZPass expense tax credit

2 Co-sponsors

• John A. DeFrancisco
• George D. Maziarz

BILL NUMBER:S3223A

Title of bill

An act to amend the tax law, in relation to the creation of an E-ZPass expense tax credit

Purpose and justification

This bill would allow taxpayers to claim up to $500 of E-ZPass expenses incurred in travel in New York State as a credit on their individual tax return in the year in which the expense was incurred. E-ZPass expenses could not be both used as a deduction elsewhere in a tax return and also claimed as a credit. If the full credit cannot be used in any year, it can be carried forward to credit against future tax liability. Although the bonding agreements that have been entered into by the New York Thru- way Authority may not allow it to give relief to the residents of New York State who continue to pay high tolls, this bill would give these New York drivers alternate help in the form of a tax credit for tolls paid using an E-ZPass account of up to $500 per year.

Summary of specific provisions

Section 1 amends section 606 of the New York Tax Law to add a new subsection (uu) which:

(a) allows a credit for E-ZPass expenses incurred in New York State not to exceed $500; (b) defines E-ZPass for the purposes of the subsection; and (c) provides that if the amount of credit shall exceed the taxpayer's tax for such year, the excess shall be carried forward, and that the credit cannot be claimed if the expense has been claimed as an expense or deduction on any tax return.

Section 2 provides that the act shall take effect the first of January next succeeding the date on which it shall have become law.

Prior legislative history

2008 - S.7122 -- INVESTIGATIONS/GOV'T OPS 2010 - S.3016 -- INVESTIGATIONS/GOV'T OPS 2011 - S.3223 -- INVESTIGATIONS/GOV'T OPS

Fiscal implications

To be determined.

Effective date

This act shall take effect on the first of January next succeeding the date on which is shall have become law.