S5072: Share State Tax Returns (NY Senate, 2019-20)

What's happening

This bill allows certain U.S. Congressional committees to request New York tax returns and reports for legislative investigations, with privacy protections.

Why it matters

Provides a legal mechanism for Congressional oversight. By allowing designated Congressional committees to request New York tax returns for legislative investigations, the bill offers a way for federal lawmakers to obtain state tax information if federal tax data is unavailable, potentially closing information gaps in oversight or inquiries involving individuals or entities with significant New York ties.
Establishes privacy and legal safeguards. The law requires the New York tax commissioner to redact sensitive personal data (such as Social Security numbers, account numbers, and home addresses) and to withhold any information whose disclosure would violate state or federal law, balancing transparency with individual privacy.
Sets strict procedural requirements for requests. Congressional committees must certify in writing that the request serves a specific and legitimate legislative purpose and show they have already sought equivalent federal tax information from the U.S. Treasury, ensuring that such requests are both purposeful and not a first resort.
Aligns state disclosure with federal protocols. The bill mandates that any disclosure, inspection, or further sharing of New York tax information follows the same procedures and restrictions as those set out in federal law (26 U.S.C. Section 6103(f)), aiming for consistency and controlled use of the information within the legislative process.

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Share State Tax Returns

Plain English, a few words. Used as the page title.

History

Jul 8, 2019 · SenateSigned chap.91
Jul 8, 2019 · SenateDelivered to governor
May 22, 2019 · AssemblyReturned to senate
May 22, 2019 · AssemblyPassed assembly
May 22, 2019 · AssemblyOrdered to third reading rules cal.63
May 22, 2019 · AssemblySubstituted for A7194A
May 8, 2019 · AssemblyReferred to ways and means
May 8, 2019 · SenateDelivered to assembly
May 8, 2019 · SenatePassed senateVote 39–22
May 6, 2019 · SenateAdvanced to third reading
May 3, 2019 · SenateAmended 5072a
May 1, 2019 · Senate2nd report cal.

Show 2 earlier actions

Apr 30, 2019 · Senate1st report cal.520
Apr 8, 2019 · SenateReferred to budget and revenue

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.

A7194Assembly

Release Tax Records to Congress

Assembly Floor Calendar · Sponsor David Buchwald

Impact 4 · Low0% to pass

Full text

9 pagesUnderlined is new~~[Struck]~~ is removedOfficial text on nysenate.gov ↗

STATE OF NEW YORK

5072--A Cal. No. 520

2019-2020 Regular Sessions

IN SENATE

April 8, 2019

Introduced by Sens. HOYLMAN, ADDABBO, BAILEY, BENJAMIN, BIAGGI, BRESLIN, BROOKS, CARLUCCI, GAUGHRAN, GIANARIS, GOUNARDES, HARCKHAM, JACKSON, KAMINSKY, KAPLAN, KENNEDY, KRUEGER, LIU, MAY, MAYER, MONTGOMERY, MYRIE, PARKER, PERSAUD, RAMOS, RIVERA, SALAZAR, SANDERS, SAVINO, SEPULVEDA, SERRANO, STEWART-COUSINS, THOMAS -- read twice and ordered printed, and when printed to be committed to the Committee on Budget and Revenue -- reported favorably from said committee, ordered to first and second report, amended on second report, ordered to a third reading, and to be reprinted as amended, retaining its place in the order of third reading

AN ACT to amend the tax law and the administrative code of the city of New York, in relation to requiring the commissioner of taxation and finance to cooperate with investigations by certain committees of the United States Congress under certain circumstances

The People of the State of New York, represented in Senate and Assembly, do enact as follows:

Section 1. This act shall be known and may be cited as the "tax returns released under specific terms act".

§ 2. Section 697 of the tax law is amended by adding a new subsection (f-1) to read as follows:

(f-1) Cooperation with investigations by certain committees of the United States Congress.--(1) Notwithstanding the provisions of subsection (e) of this section, upon written request from the chairperson of the committee on ways and means of the United States House of Representatives, the chairperson of the committee on finance of the United States Senate, or the chairperson of the joint committee on taxation of the United States Congress, the commissioner shall furnish such committee with any reports or returns filed under this article specified in such request; provided however that, prior to furnishing any report or return, the commissioner shall redact any information the disclosure of which, in the judgment of the commissioner, would violate state or

EXPLANATION--Matter in italics (underscored) is new; matter in brackets

[ ] is old law to be omitted.

LBD10448-05-9

S. 5072--A 2

federal law or would constitute an unwarranted invasion of personal privacy, such as social security numbers, account numbers and residential address information.

(2) Such permission shall be granted only if the chairperson of the requesting committee certifies in writing that such reports or returns have been requested for a specified and legitimate legislative purpose, the requesting committee has made a written request to the United States secretary of the treasury for related federal returns or return information, pursuant to 26 U.S.C. Section 6103(f), and such reports or returns will be inspected and/or submitted to another committee, to the United States House of Representatives, or to the United States Senate in a manner consistent with the requirements and procedures established in 26 U.S.C. Section 6103(f).

§ 3. Section 202 of the tax law is amended by adding a new subdivision 6 to read as follows:

6. (a) Notwithstanding the provisions of subdivision one of this section, upon written request from the chairperson of the committee on ways and means of the United States House of Representatives, the chairperson of the committee on finance of the United States Senate, or the chairperson of the joint committee on taxation of the United States Congress, the commissioner shall furnish such committee with any reports filed under this article specified in such request; provided however that, prior to furnishing any report, the commissioner shall redact any information the disclosure of which, in the judgment of the commissioner, would violate state or federal law or would constitute an unwarranted invasion of personal privacy, such as social security numbers, account numbers and residential address information.

(b) Such permission shall be granted only if the chairperson of the requesting committee certifies in writing that such reports have been requested for a specified and legitimate legislative purpose, the requesting committee has made a written request to the United States secretary of the treasury for related federal reports or report information, pursuant to 26 U.S.C. Section 6103(f), and such reports will be inspected and/or submitted to another committee, to the United States House of Representatives, or to the United States Senate in a manner consistent with the requirements and procedures established in 26 U.S.C. Section 6103(f).

§ 4. Section 211 of the tax law is amended by adding a new subdivision 16 to read as follows:

16. (a) Notwithstanding the provisions of subdivision eight of this section, upon written request from the chairperson of the committee on ways and means of the United States House of Representatives, the chairperson of the committee on finance of the United States Senate, or the chairperson of the joint committee on taxation of the United States Congress, the commissioner shall furnish such committee with any reports filed under this article specified in such request; provided however that, prior to furnishing any report, the commissioner shall redact any information the disclosure of which, in the judgment of the commissioner, would violate state or federal law or would constitute an unwarranted invasion of personal privacy, such as social security numbers, account numbers and residential address information.

S. 5072--A 3

tion, pursuant to 26 U.S.C. Section 6103(f), and such reports will be inspected and/or submitted to another committee, to the United States House of Representatives, or to the United States Senate in a manner consistent with the requirements and procedures established in 26 U.S.C. Section 6103(f).

§ 5. Section 314 of the tax law is amended by adding a new subdivision (g) to read as follows:

(g) Cooperation with investigations by certain committees of the United States Congress.--(1) Notwithstanding the provisions of subdivision (a) of this section, upon written request from the chairperson of the committee on ways and means of the United States House of Representatives, the chairperson of the committee on finance of the United States Senate, or the chairperson of the joint committee on taxation of the United States Congress, the commissioner shall furnish such committee with any returns filed under this article specified in such request; provided however that, prior to furnishing any return, the commissioner shall redact any information the disclosure of which, in the judgment of the commissioner, would violate state or federal law or would constitute an unwarranted invasion of personal privacy, such as social security numbers, account numbers and residential address information.

(2) Such permission shall be granted only if the chairperson of the requesting committee certifies in writing that such returns have been requested for a specified and legitimate legislative purpose, the requesting committee has made a written request to the United States secretary of the treasury for related federal returns or return information, pursuant to 26 U.S.C. Section 6103(f), and such returns will be inspected and/or submitted to another committee, to the United States House of Representatives, or to the United States Senate in a manner consistent with the requirements and procedures established in 26 U.S.C. Section 6103(f).

§ 6. Section 437 of the tax law is amended by adding a new subdivision 5 to read as follows:

5. (a) Notwithstanding the provisions of subdivision one of this section, upon written request from the chairperson of the committee on ways and means of the United States House of Representatives, the chairperson of the committee on finance of the United States Senate, or the chairperson of the joint committee on taxation of the United States Congress, the commissioner shall furnish such committee with any returns or reports filed under this article specified in such request; provided however that, prior to furnishing any return or report, the commissioner shall redact any information the disclosure of which, in the judgment of the commissioner, would violate state or federal law or would constitute an unwarranted invasion of personal privacy, such as social security numbers, account numbers and residential address information.

(b) Such permission shall be granted only if the chairperson of the requesting committee certifies in writing that such returns or reports have been requested for a specified and legitimate legislative purpose, the requesting committee has made a written request to the United States secretary of the treasury for related federal returns or reports or return or report information, pursuant to 26 U.S.C. Section 6103(f), and such returns or reports will be inspected and/or submitted to another committee, to the United States House of Representatives, or to the United States Senate in a manner consistent with the requirements and procedures established in 26 U.S.C. Section 6103(f).

§ 7. Section 491 of the tax law is amended by adding a new subdivision 1-a to read as follows:

S. 5072--A 4

1-a. Cooperation with investigations by certain committees of the United States Congress. (a) Notwithstanding the provisions of subdivision one of this section, upon written request from the chairperson of the committee on ways and means of the United States House of Representatives, the chairperson of the committee on finance of the United States Senate, or the chairperson of the joint committee on taxation of the United States Congress, the commissioner shall furnish such committee with any returns or reports filed under this article specified in such request; provided however that, prior to furnishing any return or report, the commissioner shall redact any information the disclosure of which, in the judgment of the commissioner, would violate state or federal law or would constitute an unwarranted invasion of personal privacy, such as social security numbers, account numbers and residential address information.

(b) Such permission shall be granted only if the chairperson of the requesting committee certifies in writing that such returns or reports have been requested for a specified and legitimate legislative purpose, the requesting committee has made a written request to the United States secretary of the treasury for related federal reports or returns or report or return information, pursuant to 26 U.S.C. Section 6103(f), and such returns or reports will be inspected and/or submitted to another committee, to the United States House of Representatives, or to the United States Senate in a manner consistent with the requirements and procedures established in 26 U.S.C. Section 6103(f).

§ 8. Section 499 of the tax law is amended by adding a new subdivision (a-1) to read as follows:

(a-1) Cooperation with investigations by certain committees of the United States Congress. (1) Notwithstanding the provisions of subdivision (a) of this section, upon written request from the chairperson of the committee on ways and means of the United States House of Representatives, the chairperson of the committee on finance of the United States Senate, or the chairperson of the joint committee on taxation of the United States Congress, the commissioner shall furnish such committee with any returns or reports filed under this article specified in such request; provided however that, prior to furnishing any return or report, the commissioner shall redact any information the disclosure of which, in the judgment of the commissioner, would violate state or federal law or would constitute an unwarranted invasion of personal privacy, such as social security numbers, account numbers and residential address information.

(2) Such permission shall be granted only if the chairperson of the requesting committee certifies in writing that such returns or reports have been requested for a specified and legitimate legislative purpose, the requesting committee has made a written request to the United States secretary of the treasury for related federal reports or returns or report or return information, pursuant to 26 U.S.C. Section 6103(f), and such returns or reports will be inspected and/or submitted to another committee, to the United States House of Representatives, or to the United States Senate in a manner consistent with the requirements and procedures established in 26 U.S.C. Section 6103(f).

§ 9. Section 514 of the tax law is amended by adding a new subdivision 6 to read as follows:

S. 5072--A 5

chairperson of the joint committee on taxation of the United States Congress, the commissioner shall furnish such committee with any returns or reports filed under this article specified in such request; provided however that, prior to furnishing any return or report, the commissioner shall redact any information the disclosure of which, in the judgment of the commissioner, would violate state or federal law or would constitute an unwarranted invasion of personal privacy, such as social security numbers, account numbers and residential address information.

§ 10. Section 994 of the tax law is amended by adding a new subsection (b-1) to read as follows:

Reflowed for reading: line numbers and page breaks removed. Cite the official text.

Sponsor's memo

Title of bill

An act to amend the tax law and the administrative code of the city of New York, in relation to requiring the commissioner of taxation and finance to cooperate with investigations by certain committees of the United States Congress under certain circumstances

Summary of specific provisions

Section 1 of the bill is the title clause.

Section 2 of the bill amends section 697 of the Tax Law (Personal Income Tax) to add a new subsection directing the Commissioner of the Depart- ment of Taxation and Finance to share state income tax returns and reports upon the written request of the Chairperson of the U.S. House Ways & Means Committee, the U.S. Senate Finance Committee, or the Joint Committee on Taxation. The Commissioner is required to redact any infor- mation that, if disclosed, would violate state or federal law or would constitute an unwarranted invasion of personal privacy (e.g. social security numbers, account numbers, and residential address information).

Read the full memo (1,110 words)

The new subsection provides that such request must be accompanied by certification that the tax returns or reports have been requested for a specified and legitimate legislative purpose, the requesting committee has made a written request to the U.S Secretary of the Treasury for related federal returns or return information and that the returns will be treated by the requesting committee in a manner consistent with federal law authorizing the same committees to request and receive federal income tax returns from the U.S. Treasury.

Section 3 of the bill adds similar language to section 202 of the Tax Law (Corporation Tax).

Section 4 of the bill adds similar language to section 211 of the Tax Law (Franchise Tax on Business Corporations.

Section 5 of the bill adds similar language to section 314 of the Tax Law (Tax on Petroleum Businesses).

Section 6 of the bill adds similar language to section 437 of the Tax Law (Taxes on Alcoholic Beverages).

Section 7 of the bill adds similar language to section 491 of the Tax Law ().

Section 8 of the bill adds similar language to section 499 of the Tax Law ().

Section 9 of the bill adds similar language to section 514 of the Tax Law (Highway Use Tax).

Section 10 of the bill adds similar language to section 994 of the Tax Law (Estate Tax).

Section 11 of the bill adds similar language to section 1146 of the Tax Law (Sales and Compensating Use Taxes).

Section 12 of the bill adds similar language to section 1287 of the Tax Law (Tax on Medallion Taxicab Trips in the Metropolitan Commuter Trans- portation District).

Section 13 of the bill adds similar language to section 1296 of the Tax Law (State Assessment Fee on Transportation Network Prearranged Trips).

Section 14 of the bill adds similar language to section 1299-F of the Tax Law (Congestion Surcharge).

Section 15 of the bill adds similar language to section 1418 of the Tax Law (Real Estate Transfer Tax).

Section 16 of the bill adds similar language to section 1518 of the Tax Law (Franchise Taxes on Insurance Corporations).

Section 17 of the bill adds similar language to section 1555 of the Tax Law (Tax on Independently Procured Insurance).

Section 18 of the bill adds similar language to section 11-1797 of the New York City Administrative Code (City Personal Income Tax on Resi- dents).

Section 19 of the bill is the effective date.

Justification

Since 1924, federal law has allowed the U.S. House Ways & Means Commit- tee, the U.S. Senate Finance Committee, and the Joint Committee on Taxa- tion to obtain and inspect the confidential federal income tax informa- tion of any taxpayer via a written request to the U.S. Secretary of the Treasury or his or her designee. (See 26 U.S.C. 6103(f)). While the federal law provides a clear, unqualified right for the Congressional committees to request and receive such returns, it's possible to contem- plate a scenario in which a Congressional inquiry could be aided or supplemented by New York state tax returns or reports.

Currently, New York law provides no legal mechanism for the state to cooperate with a Congressional committee exercising its tax oversight function pursuant to 26 U.S.C. 6103(f). New York's various tax privacy laws (e.g., Section 697(e) of the Tax Law) generally prohibit the New York State Department of Taxation & Finance from sharing tax returns or reports, unless there is an exception written into statute. Existing New York law authorizes the Department to share state tax returns and reports with the U.S. Treasury Department and other states' tax depart- ments for the purposes of tax-related investigations (see, e.g. Section 697(f) of the Tax Law). This legislation would extend similar authori- zation to the Department for sharing state tax returns and reports with the specified Congressional committees.

This proposal directs the Commissioner of the Department of Taxation and Finance to furnish state tax returns or reports upon written request of the chairperson of the U.S. House Ways & Means Committee, the U.S. Senate Finance Committee, or the Joint Committee on Taxation. To protect taxpayer privacy, the Commissioner is required to redact any information which, if disclosed, would violate state or federal law, or would constitute an unwarranted invasion of personal privacy.

The Commissioner shall only share such information if the written request certifies that (1) the returns or return information are being requested for a specified and legitimate legislative purpose, (2) the requesting committee has made a related request to the U.S. Treasury Department pursuant to 26 U.S.C. 6103(f), and (3) the returns and/or reports will be treated consistent with federal law for the purposes of inspection and/or disclosure by the committee.

The Congressional tax-related committees play an important role in over- sight of tax administration, tax policy, and the federal agencies responsible for implementing laws within the committees' jurisdiction. If those committees determine that New York State could provide informa- tion helpful to the execution of those oversight duties, it makes sense to establish a legal mechanism for the State to do so.

Prior legislative history

None, new bill.

Fiscal implications

To be determined.

Effective date

This act shall take effect immediately; provided, however, that: (a) the amendments to section 491 of the tax law made by section seven of this act shall not affect the repeal of such section and shall be deemed to be repealed therewith; and (b) the amendments to section 499 of the tax law made by section eight of this act shall take effect on the same date and in the same manner as section 1 of part xx of chapter 59 of the laws of 2019 takes effect.

Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.