What's happening
Writing a plain-English summary… Track this bill to get it by email.
Why it matters
Albany, before your first meeting.
Every bill that moved yesterday, summarized in a sentence and ranked by impact. The Albany Scorecard follows on Sundays.
Free. Unsubscribe in one click. Want alerts on specific bills? Create an account.
Who cares
Headline styles
Sponsors
No co-sponsors yet.
History
- Recommitted to rules
- Amended on third reading 6397a
- Ordered to third reading cal.28
- Referred to rules
Full text
The text isn't available here yet. Check nysenate.gov.
Sponsor's memo
Title of bill
An act to amend the mental hygiene law and the tax law, in relation to NY ABLE account ownership, contributions and distributions; and to repeal certain provisions of the tax law relating thereto
Purpose or general idea of bill
The intent of this act is to encourage and assist individuals and families in saving private funds for the purpose of supporting individuals with disabilities to maintain health, independence and quality of life; and to provide secure funding for disability related expenses on behalf of designated beneficiaries with disabilities that will supplement, but not supplant, benefits provided through existing sources.
Summary of specific provisions
Section 1 makes conforming changes to section 84.03 of the mental hygiene law to reflect Internal Revenue Service regulations. Specifically, provides that accounts must be established in accordance with section 529A of the Internal Revenue Code, and that the account owner must also be the designated beneficiary of the account. Pursuant to federal law, family members of the intended beneficiary are not eligible to open separate accounts on behalf of their relative.
Section 2 amends section 84.05 of the mental hygiene law to further ensure that the account is held only by the designated beneficiary.
Section 3 amends section 84.09 of the mental hygiene law to further ensure that the account is held only by the designated beneficiary.
Section 4 repeals subsection (b) of section 612 of the tax law, as added by chapter 576 of the laws of 2015, to remove the state fiscal impact of a tax deduction for account deposits.
Section 5 repeals paragraphs 42 and 43 of subsection (c) of section 612 of the tax law, as added by chapter 576 of the laws of 2015, to remove the state fiscal impact of a tax deduction for account deposits.
Section 6 provides that the act shall take effect on the same date and in the same manner as chapter 576 of the laws of 2015
Justification
Chapter 576 of 2015 established a NY ABLE account -- a savings account for persons with developmental disabilities to use for non-Medicaid reimbursable expenses during their adult lives. The funds would accrue interest tax-free and would not be a factor for Medicaid eligibility.
Prior legislative history
Negotiated chapter amendment to chapter 576 of the laws of 2015.
Fiscal implications
Removes a fiscal impact on the state.
Effective date
This act shall take effect on the same date and in the same manner as chapter 576 of the laws of 2015.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.