Exempts compensation for active military service from inclusion in a resident's adjusted gross income under certain circumstances.

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S2157A-2011 Actions

• Mar 30, 2012: PRINT NUMBER 2157A
• Mar 30, 2012: AMEND AND RECOMMIT TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
• Jan 4, 2012: REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
• Jan 18, 2011: REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS

S2157A-2011 Memo

BILL NUMBER:S2157A

TITLE OF BILL:
An act
to amend the tax law, in relation to exempting compensation for active
military service from inclusion in a resident's adjusted gross income

PURPOSE OR GENERAL IDEA OF BILL:
Exempting active duty military personnel from state income tax as long
as they are a permanent resident of New York State and served federal
active duty outside New York for 90 days or longer during the tax year.

SUMMARY OF SPECIFIC PROVISIONS:
This legislation will exempt military pay from New York State income
tax as long as certain requirements are met. Must maintain permanent
address in New York and served on federal active duty for more than
90 days or longer during the tax year. Maintained a permanent place
of abode outside of New York for the entire tax year, maintained an
abode in New York other than their permanent address while serving on
federal active duty orders. Note: Barracks, bachelor quarters, and
quarters assigned on board a vessel count as a permanent abode.

JUSTIFICATION:
This legislation will exempt New York State income taxes for military
personnel, this is necessary because they protect our freedoms both
home and abroad, while being taxed as a permanent resident. This
legislation will change this inequity in the tax law for military
personnel.

PRIOR LEGISLATIVE HISTORY:
New Bill.

FISCAL IMPLICATIONS:
To be determined.

EFFECTIVE DATE:
This act shall take effect immediately and shall apply to taxable
years beginning on and after January 1, 2013.

S2157A-2011 Text

                      S T A T E   O F   N E W   Y O R K
  ________________________________________________________________________

                                   2157--A

                         2011-2012 Regular Sessions

                              I N  SENATE

                              January 18, 2011
                                 ___________

  Introduced  by Sen. McDONALD -- read twice and ordered printed, and when
    printed to be committed to the Committee on Investigations and Govern-
    ment Operations -- recommitted to the Committee on Investigations  and
    Government  Operations  in  accordance  with  Senate Rule 6, sec. 8 --
    committee discharged, bill amended, ordered reprinted as  amended  and
    recommitted to said committee

  AN  ACT  to amend the tax law, in relation to exempting compensation for
    active military service from inclusion in a resident's adjusted  gross
    income

    THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
  BLY, DO ENACT AS FOLLOWS:


    Section 1. Paragraph 8 of subsection (c) of section  612  of  the  tax
  law,  as  amended by chapter 528 of the laws of 1964, is amended to read
  as follows:

    (8) Compensation received for active service in the  armed  forces  of
  the  United  States  [on or after October first, nineteen hundred sixty-
  one, and prior to September first, nineteen hundred sixty-two; provided,
  however, that the amount of such compensation to be deducted  shall  not
  exceed  one  hundred  dollars for each month of the taxable year, subse-
  quent to September, nineteen hundred sixty-one, during any part of which
  month the taxpayer was engaged in such service] IF:   (A)  THE  TAXPAYER
  MAINTAINED  A  PERMANENT  RESIDENCE  IN NEW YORK STATE AND SERVED IN THE
  ACTIVE SERVICE IN THE ARMED FORCES OF THE UNITED STATES OUTSIDE  OF  NEW
  YORK STATE FOR A PERIOD OF AT LEAST NINETY DAYS DURING THE TAXABLE YEAR;
  (B)  THE  TAXPAYER  MAINTAINED A PERMANENT PLACE OF ABODE OUTSIDE OF NEW
  YORK STATE WHILE IN ACTIVE SERVICE FOR THE ENTIRE TAXABLE YEAR;  OR  (C)
  THE  TAXPAYER  MAINTAINED  AN  ABODE  IN  NEW YORK STATE OTHER THAN SUCH
  PERSON'S PERMANENT ADDRESS WHILE IN ACTIVE SERVICE; INCLUDING  RESIDENCE
  IN  A MILITARY BARRACKS, BACHELOR'S QUARTERS OR ON BOARD A NAVAL VESSEL.
  For the purposes of this paragraph, the words  "active  service  in  the
  armed  forces  of  the United States" shall mean active duty (other than

   EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                        [ ] is old law to be omitted.
                                                             LBD01435-02-2

 S. 2157--A                          2

  for training) in the army, navy (including the marine corps), air  force
  or  coast  guard  of  the  United  States as defined in title ten of the
  United States code.
    S  2.  This act shall take effect immediately and shall apply to taxa-
  ble years beginning on and after January 1, 2013.