Senate Bill S4827

2015-2016 Legislative Session

Relates to lump sum distributions used for the payment of post-secondary education loans

download bill text pdf

Sponsored By

Archive: Last Bill Status - In Assembly Committee


  • Introduced
    • In Committee Assembly
    • In Committee Senate
    • On Floor Calendar Assembly
    • On Floor Calendar Senate
    • Passed Assembly
    • Passed Senate
  • Delivered to Governor
  • Signed By Governor

Do you support this bill?

Please enter your contact information

Home address is used to determine the senate district in which you reside. Your support or opposition to this bill is then shared immediately with the senator who represents you.

Optional services from the NY State Senate:

Create an account. An account allows you to officially support or oppose key legislation, sign petitions with a single click, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.

Include a custom message for your Senator? (Optional)

Enter a message to your senator. Many New Yorkers use this to share the reasoning behind their support or opposition to the bill. Others might share a personal anecdote about how the bill would affect them or people they care about.
Actions
Votes

2015-S4827 (ACTIVE) - Details

See Assembly Version of this Bill:
A7781
Current Committee:
Assembly Ways And Means
Law Section:
Tax Law
Laws Affected:
Amd ยงยง603 & 612, Tax L
Versions Introduced in 2017-2018 Legislative Session:
S1095, A59

2015-S4827 (ACTIVE) - Summary

Relates to lump sum distributions used for the payment of post-secondary education loans; provides an exemption from the imposition of a separate tax.

2015-S4827 (ACTIVE) - Sponsor Memo

2015-S4827 (ACTIVE) - Bill Text download pdf

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

                                  4827

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                             April 20, 2015
                               ___________

Introduced  by  Sen. VALESKY -- read twice and ordered printed, and when
  printed to be committed to the Committee on Investigations and Govern-
  ment Operations

AN ACT to amend the tax law, in relation to lump sum distributions  used
  for the payment of post-secondary education loans

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

  Section 1. Section 603 of the tax law  is  amended  by  adding  a  new
subsection (c) to read as follows:
  (C)  EXEMPTION.  LUMP  SUM DISTRIBUTIONS, AS TAXED UNDER THIS SECTION,
USED FOR PAYMENTS TO AN INSTITUTION  RECEIVING  ANY  SCHEDULED  PERIODIC
PAYMENTS  FROM  A  BORROWER  PURSUANT TO THE TERMS OF ANY POST-SECONDARY
EDUCATION LOAN, AND MAKING THE PAYMENTS OF PRINCIPAL  AND  INTEREST  AND
OTHER  AMOUNTS WITH RESPECT TO THE AMOUNTS RECEIVED FROM THE BORROWER AS
MAY BE REQUIRED PURSUANT TO THE TERMS OF  THE  POST-SECONDARY  EDUCATION
LOAN  OR  OF  THE  CONTRACT GOVERNING THE SERVICING; OR, DURING A PERIOD
WHEN PAYMENT ON A POST-SECONDARY EDUCATION LOAN IS DEFERRED, MAINTAINING
ACCOUNT RECORDS FOR THE LOAN AND COMMUNICATING WITH THE BORROWER REGARD-
ING THE LOAN, ON BEHALF OF THE LOAN'S HOLDER SHALL NOT BE SUBJECT TO THE
SEPARATE TAX IMPOSED IN SUBSECTION (A) OF THIS SECTION.
  S 2. Subsection (c) of section 612 of the tax law is amended by adding
a new paragraph 3-d to read as follows:
  (3-D) PENSIONS AND ANNUITIES RECEIVED BY AN INDIVIDUAL OF ANY AGE, NOT
OTHERWISE EXCLUDED PURSUANT TO PARAGRAPH THREE OF  THIS  SUBSECTION,  TO
THE  EXTENT  INCLUDIBLE  IN GROSS INCOME FOR FEDERAL TAX PURPOSES, WHICH
ARISE (I) FROM AN EMPLOYER-EMPLOYEE RELATIONSHIP OR (II)  FROM  CONTRIB-
UTIONS  TO A RETIREMENT PLAN WHICH ARE DEDUCTIBLE FOR FEDERAL INCOME TAX
PURPOSES WHICH ARE USED FOR PAYMENTS TO  AN  INSTITUTION  RECEIVING  ANY
SCHEDULED PERIODIC PAYMENTS FROM A BORROWER PURSUANT TO THE TERMS OF ANY
POST-SECONDARY  EDUCATION LOAN, AND MAKING THE PAYMENTS OF PRINCIPAL AND
INTEREST AND OTHER AMOUNTS WITH RESPECT TO THE AMOUNTS RECEIVED FROM THE

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10306-02-5
              

Comments

Open Legislation is a forum for New York State legislation. All comments are subject to review and community moderation is encouraged.

Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity, hate or toxic speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Attempts to intimidate and silence contributors or deliberately deceive the public, including excessive or extraneous posting/posts, or coordinated activity, are prohibited and may result in the temporary or permanent banning of the user. Comment moderation is generally performed Monday through Friday. By contributing or voting you agree to the Terms of Participation and verify you are over 13.

Create an account. An account allows you to sign petitions with a single click, officially support or oppose key legislation, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.