•  Summary 
  •  
  •  Actions 
  •  
  •  Committee Votes 
  •  
  •  Floor Votes 
  •  
  •  Memo 
  •  
  •  Text 
  •  
  •  LFIN 
  •  
  •  Chamber Video/Transcript 

A05602 Summary:

BILL NOA05602
 
SAME ASNo Same As
 
SPONSORManktelow (MS)
 
COSPNSRBrabenec, DeStefano, Giglio, Lawrence, Salka
 
MLTSPNSRByrnes, McDonough, Mikulin, Walsh
 
Amd 606, Tax L
 
Relates to the creation of a child care tax deduction that shall be equal to the amount of income not to exceed $10,000 earned by an at home parent by providing child care services for up to two qualifying children.
Go to top

A05602 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A5602
 
SPONSOR: Manktelow (MS)
  TITLE OF BILL: An act to amend the tax law, in relation to deductions against personal income tax   PURPOSE OR GENERAL IDEA OF BILL: This bill would allow a parent of a pre-school child to have up to $10,000 of income that is earned for providing child care services for up to two pre-schoolers, exempted from New York State taxes.   SUMMARY OF SPECIFIC PROVISIONS: Section 606 of the tax law is amended by adding a new subsection (v) to read as follows: (v) Child care tax deduction. A taxpayer shall be allowed a deduction against the tax imposed by this article. The amount of the deduction shall be equal to the amount of income not to exceed ten thousand dollars earned by an at home parent by providing child care services for up to two qualifying children. This new subsection also provides definitions for at home parent, parent and qualifying child.   JUSTIFICATION: Parents of pre-school children often struggle with the decision of whether to stay home to care for their pre-school children or to work outside the home and have someone else care for their child/children. This decision is typically complicated by the need of the parent to earn income to help support the family. This bill would give parents more options by making the choice of staying home to care for their own child/children, while also caring for other people's children, more financially feasible. There is also a growing problem of finding quali- ty, affordable child care for pre-school children. Under this legislation, parents of pre-school children who decide to work outside the home would also benefit. They would likely have a greater option of people to provide child care for their children as more parents decide to stay home to care for their own child, as well as one or two other pre-school children.   PRIOR LEGISLATIVE HISTORY: 2002: Held for Consideration in Ways and Means 2003: Referred to Ways and Means 2004: Held for Consideration in Ways and Means 2005: Referred to Ways and Means (A.4672) 2006: Referred to Ways and Means 2007-08: Held for Consideration in Ways and Means (A.3578) 2009-10: Held for Consideration in Ways and Means (A.5583) 2011-12: Held for consideration in Ways and Means (A.5098) 2013-14: Held for consideration in Ways and Means (A.6616) 2017-18: Held for consideration in Ways and Means (A.6535)   FISCAL IMPLICATIONS: The state will lose some undetermined amount of income tax revenue that would be paid for income earned by child care givers who are exempt from income tax by this law. The state will also experience a more accurate accounting of income earned for childcare as an undetermined amount of income now is unreported by citizens.   EFFECTIVE DATE: This act shall take effect on January 1st, succeeding the passage of this law.
Go to top

A05602 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          5602
 
                               2019-2020 Regular Sessions
 
                   IN ASSEMBLY
 
                                    February 13, 2019
                                       ___________
 
        Introduced  by M. of A. MANKTELOW, BRABENEC, DeSTEFANO, GIGLIO -- Multi-
          Sponsored by -- M. of A. McDONOUGH, MIKULIN, WALSH --  read  once  and
          referred to the Committee on Ways and Means
 
        AN  ACT to amend the tax law, in relation to deductions against personal
          income tax

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section  1.  Section  606  of  the  tax law is amended by adding a new
     2  subsection (v) to read as follows:
     3    (v) Child care tax deduction.  (1)  A  taxpayer  shall  be  allowed  a
     4  deduction  against  the  tax  imposed by this article. The amount of the
     5  deduction shall be equal to the amount of income not to exceed ten thou-
     6  sand dollars earned by  an  at  home  parent  by  providing  child  care
     7  services for up to two qualifying children.
     8    (2)(A)  For  the purposes of this subsection, "at home parent" means a
     9  parent who provides full-time care at the parent's residence for one  or
    10  more  of  the parent's own qualifying pre-school children and who claims
    11  the qualifying child as a dependent on the  parent's  individual  income
    12  tax return for the taxable year for which the parent claims the credit.
    13    (B)  For the purposes of this subsection, "parent" means an individual
    14  who:
    15    (i) is the biological mother or father of a qualifying child; or
    16    (ii) is the stepfather or stepmother of a qualifying child; or
    17    (iii) legally adopts a qualifying child; or  has  a  qualifying  child
    18  placed  in  the  individual's  home  by  a  child placing agency for the
    19  purpose of legally adopting the child; or
    20    (iv) is a legal guardian of a qualifying child.
    21    (C) For the purposes of this subsection  "qualifying  child"  means  a
    22  child  who  is not older than six years of age and is yet to enroll in a
    23  certified elementary school program  or  has  enrolled  in  a  certified
    24  elementary school program at some point during the taxable year.
    25    §  2. This act shall take effect on the first of January next succeed-
    26  ing the date on which it shall have become a law.
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD08936-01-9
Go to top