What's happening
This bill increases New York state personal income tax deductions for medical expenses, including insurance premiums, starting in 2017.
Why it matters
Expands tax relief for medical costs. By allowing taxpayers to deduct medical expenses (including health, accident, and long-term care insurance premiums) that exceed 2.5% of their federal adjusted gross income, the bill lowers the threshold for deductions compared to federal standards, making it easier for more people to qualify for relief.
Addresses rising healthcare costs. The measure could be particularly significant for individuals and families facing high out-of-pocket healthcare expenses, offering financial relief and potentially improving access to necessary care.
Encourages insurance coverage. By explicitly including insurance premiums as qualifying expenses, the legislation may incentivize more New Yorkers to maintain or purchase health and long-term care insurance, potentially reducing the uninsured rate and promoting preventive care.
Retroactive application. Since the bill applies to tax years starting with 2017, eligible taxpayers could amend prior returns to claim increased deductions, which may result in refunds or reduced past tax liabilities for those who incurred substantial medical expenses.
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Who cares
Headline styles
Increase Tax Deduction for Medical Bills
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to ways and means
- Referred to ways and means
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
4765
2017-2018 Regular Sessions
IN ASSEMBLY
February 3, 2017
Introduced by M. of A. RAMOS -- read once and referred to the Committee on Ways and Means
AN ACT to amend the tax law, in relation to providing for an increased state personal income tax deduction for medical expenses
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subsection (d) of section 615 of the tax law is amended by adding a new paragraph 2-a to read as follows:
(2-a) for taxable years beginning on or after January first, two thousand seventeen, an amount equal to the amount expended by a taxpayer for qualifying medical expenses as determined pursuant to this paragraph. Qualifying medical expenses shall be calculated by (a) multiplying a taxpayer's federal adjusted gross income by two and one-half percent; and then (b) subtracting the amount determined in subparagraph (a) of this paragraph from the total amount expended by a taxpayer during the tax year for all medical related expenses including premiums paid for health and accident insurance, and long term care insurance; and
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD08776-01-7
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.