BILL NUMBER:S4019

TITLE  OF BILL:  An act to amend the tax law, in relation to providing a
tax credit for qualified expenses relating to  the  purchase  of  a  new
bicycle

PURPOSE:

To  amend  section  606  of  the tax law to allow persons who purchase a
bicycle(s) to receive a tax credit.

SUMMARY OF PROVISIONS:

Section 606 of the tax law is amended to provide taxpayers who  purchase
a  bicycle  (s)  for  themselves or their children a tax credit of up to
$250 per household.

Section 2 defines "qualified expenses related to the purchase of  a  new
bicycle"  and  also  defines "adult bicycle" & "child bicycle". Sets the
amount of the tax credit at $50 per adult  bicycle  and  $25  per  child
bicycle up to a maximum of $250.

Section  3  includes the purchase of a bicycle for a child in the house-
hold shall be eligible for the credit.

JUSTIFICATION:
              

New York State ranks 34th in adult obesity with a  rate  of  21,2%.  Our
State  ranks  38th  for  persons  being  either overweight or obese with
57.1%. More alarmingly, 43% of New York City school children  are  over-
weight.  In  grades  kindergarten through 5th grade 24% of New York City
school children are obese. This compares with 15% nationally.    Obesity
and  excess  weight  raise the risk for numerous diseases and conditions
including: heart disease, stroke, diabetes, asthma, depression,  cancer,
sleep apnia. and other conditions. Bike riding and other exercise lowers
these risks considerably.

Further,  as of 5/9/08 oil prices have risen to over $125 per barrel and
gasoline prices have risen dramatically. Rising gas prices have  econom-
ically  hurt many New Yorkers who are finding it more and more difficult
to pay for traveling by car. It is estimated that 40% of  all  trips  by
car  are two miles or less. This legislation will encourage biking as an
alternative to driving especially short distances.

Providing a tax incentive for more New  Yorkers  to  purchase  and  ride
bicycles  will  encourage  people  and families to exercise while at the
same time provide an alternative to driving to the store, shopping mall,
movies etc. This credit will also provide more incentive for New Yorkers
to enjoy our State's beautiful scenic byways and parks.    In  addition,
lees cars on the road also means the added benefit of less pollution.

EXISTING LAW:

There is currently no tax credit for the purchase of a bicycle.

LEGISLATIVE HISTORY:

S.8204 of 2008
05/13/08 Referred to Investigations & Governmental Operations
S.1708 of 2011
01/11/11 REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
01/04/12 REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
01/09/13 REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
01/08/14 REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS

FISCAL IMPLICATIONS:

If  this  credit  is  available  in  2009  it will reduce revenues by $6
million in SFY 2009-2010 and  by  $23  million  annually  in  subsequent
fiscal years.

LOCAL FISCAL IMPLICATIONS:

None.

EFFECTIVE DATE:

This  act shall take effect immediately and shall apply to taxable years
beginning on or after January 1st next succeeding date on which it shall
have become a law.