What's happening
This bill requires New York to create a free online system for taxpayers to file both state and federal income taxes.
Why it matters
Reduces barriers and costs for tax filing. By mandating a free online system, the legislation eliminates the need for paid tax prep services or commercial software, potentially saving individuals and families significant money each year.
Promotes equity and accessibility. The system must be open to all New York taxpayers, regardless of income, aiming to ensure that low- and middle-income individuals—who may have been excluded from free filing options by commercial providers—have equal access.
Streamlines the tax filing process. Combining state and federal tax return preparation in one program simplifies the process, potentially reducing errors, confusion, and the time required to file taxes.
Signals a shift in government responsibility. By directly providing this service, New York may challenge the dominance of private tax software companies and set a precedent for other states or the federal government to follow, reshaping how Americans interact with tax systems.
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Who cares
Headline styles
Free Online Tax Filing
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to investigations and government operations
- Reported and committed to finance
- Referred to investigations and government operations
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Free Online Tax Filing
In Assembly Committee · Ways And Means · Sponsor Linda Rosenthal
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
11
2019-2020 Regular Sessions
IN SENATE (Prefiled)
January 9, 2019
Introduced by Sen. HOYLMAN -- read twice and ordered printed, and when printed to be committed to the Committee on Investigations and Government Operations
AN ACT directing the department of taxation and finance to create and implement an online program which will enable each New York state taxpayer to prepare and electronically file his or her federal and state income tax returns free of charge
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The department of taxation and finance is authorized and directed to create and implement an online program which will enable each New York state taxpayer to prepare and electronically file his or her federal and state income tax returns free of charge, regardless of the taxpayer's income level. This program shall be made available to all New York state taxpayers on the department's website no later than one hundred eighty days following the effective date of this act.
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD04077-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act directing the department of taxation and finance to create and implement an online program which will enable each New York state taxpayer to prepare and electronically file his or her federal and state income tax returns free of charge
Summary of provisions
Section One of the bill states that the department of taxation and finance is authorized and directed to create and implement an online program which will enable each New York State taxpayer to prepare and electronically file his or her federal and state income tax returns free of charge, regardless of the taxpayer's income level. The program shall be made available to all New York State taxpayers in the department's website no later than one hundred eighty days following the effective date of this act.
Justification
This legislation shall direct the New York State Department of Taxation and Finance to create an online program for all New York State taxpayers to prepare and file their federal and state income tax returns for free. Currently, there are a number of different for-profit companies offering so-called "Free File," but they often include hidden fees, and only taxpayers within certain income ranges are eligible. Many years into the digital age, our government is entirely capable of offering free online tax preparation and electronic filing without forcing the taxpayer to be duped into using possibly dubious private online tax preparation services.
It is a solid and fundamental principal that taxes are what we pay for civilized society, and most New Yorkers are proud to help pay for essen- tial government programs like public education and food safety regu- lation. Yet there is no justification for the fees charged by for-profit tax prep and e-filing companies, which serve as obsolete intermediaries in the digital age. Countless government services can be easily accessed on government websites-from registering to vote to applying for public benefits to making complaints about potholes-and there is no reason that filing tax returns should be any different. We don't force people making more than $57,000 to pay a private company for help registering with the Selective Service System, and the State of New York should not allow it for the filing of taxes either.
Government should be embracing technology, not using it as a way to direct people to the services of for-profit companies.
Legislative history
S.0070 of 2017-2018 (Hoylman): Died in Investigations and Government Operations A.5203 of 2017-2018 (Rosenthal): Died in Ways & Means S.495 of 2015-2016 (Hoylman): Died in Investigations & Governmeht Oper- ations A.945 of 2015-2016 (Rosenthal): Died in Ways & Means S.4570 of 2013-2014 (Hoylman): Died in Investigations A.6766 of 2013-2014 (Rosenthal): Died in Ways & Means
Fiscal implications
To be determined
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.