Budget & Taxes

This bill makes certain higher personal income tax rates permanent for New York taxpayers, replacing temporary rates that were set to expire. It directly affects residents in multiple income brackets, including those earning over $17,150 (single filers), $12,800 (married filing jointly), and $8,500 (head of household). The key mechanism updates tax brackets to permanently apply specific rates - such as 5.30% on income between $27,900-$161,550 for single filers - while repealing previous sunset provisions. The policy change ensures these rates remain in effect indefinitely, rather than expiring after 2033.

Authorizes municipalities to offer a real property tax exemption for combat zone service members who at any time during the taxable year performed active duty in the armed forces in a combat zone; defines terms; makes related provisions.

This bill would provide a full real property tax exemption for the primary residence of disabled veterans who meet specific criteria. To qualify, veterans must have been discharged under honorable conditions, have a qualifying disability or LGBT status recognized under veterans' services law, and be rated as permanently and totally disabled by the Department of Veterans Affairs. The exemption also applies to veterans who are individually unemployable due to their disability and have received government pecuniary assistance for housing modifications. The law ensures the property's taxable value cannot go below zero and does not affect any existing tax exemptions veterans may already receive.

Increases the amount of the credit against taxes for long-term care insurance from twenty to forty percent and from one thousand five hundred dollars to two thousand five hundred dollars.

Extends the authority for the town of Brookhaven to impose a real estate transfer tax with revenues therefrom to be deposited into a community preservation fund until 2045.

Requires applications for property tax exemptions by nonprofit organizations be filed at the time of purchase of a property; provides that the attorney or agent responsible for filing such application shall be fined twenty-five percent of the property's assessed taxes if such application is not timely filed.

Enacts into law major components of legislation which are necessary to implement the state fiscal plan for the 2026-2027 state fiscal year; sets forth a child and dependent care credit for taxable years beginning on or after January 1, 2026 (Part A); excludes up to twenty-five thousand dollars in qualified tips earned from New York adjusted gross income (Part B); retains the deductibility of certain charitable contributions (Part C); standardizes the definition of farmer for various tax credits (Part D); extends the current corporate tax rates (Part E); provides for exemptions from calculation of income in certain cases, provided such exemptions were not already applied in the calculation of income under federal provisions (Part F); relates to the treatment of certain deductions allowable under the internal revenue code in calculating New York city taxable income for corporations for taxable years beginning after December 31, 2024 (Part G); extends provisions of law relating to the commercial security tax credit from January 1, 2026 until January 1, 2029 (Part I); enhances the New York city musical and theatrical production credit (Part J); defines the term "alternative nicotine product"; makes provisions relating to the possession for sale, sale, and taxation of alternative nicotine products (Part K); extends the real estate transfer tax rate reduction for conveyances of real property to existing real estate investment funds (Part M); directs the commissioner of taxation and finance to establish a sales and use tax reregistration program and a sales and use tax penalty and interest discount program (Part N); extends the sales tax exemption for vending machines (Part P); extends the residential energy storage sales tax exemption for two years (Part Q); relates to the petroleum business tax filing deadline for commercial vessel operators (Part R); extends the alternative fuels tax exemptions (Part S); makes technical corrections to the STAR exemption and STAR credit programs (Part T); extends the assessment ceiling for local public utility mass real property to January 1, 2031; clarifies the powers of the state board of real property tax services (Part U); relates to rent exemptions and rent increase exemptions and property tax exemptions for certain persons; extends provisions of law relating thereto (Subpart A); provides notice to tenants regarding rent increase exemptions (Subpart B)(Part V); conforms pari-mutuel tax provisions; makes technical corrections (Part W); extends the utilization of funds in off-track betting corporations' capital acquisition funds (Part X); extends certain provisions of law relating to licenses for simulcast facilities, sums relating to track simulcast, simulcast of out-of-state thoroughbred races, simulcasting of races run by out-of-state harness tracks, distributions of wagers, and the imposition of certain taxes related thereto (Part Y); extends certain seasonal employee licensing requirements for additional race dates at Saratoga Racetrack for the year 2026 (Part Z); excludes certain distributions on federal elections for the purposes of calculating federal adjusted gross income (Part AA); relates to tax credits for donations to food pantries made by farmers (Part BB); relates to the sales tax exemption for meal donations; authorizes students to donate unused meal funds, meals or meal points to other students enrolled in such school, college or university who are facing food insecurity; extends the authorization of such sales tax exemption (Part CC); establishes additional qualifications for the board members of regional off-track betting corporations (Part DD); relates to the real property tax exemption for disabled veterans (Part EE); establishes a protecting our wallets energy rebate (POWER) credit (Part FF); relates to standardbred total carbon dioxide (TCO2) on-track drug testing (Part GG); authorizes a city having a population of one million or more to impose a surcharge on property that does not serve as a primary residence (Part HH); authorizes additional vendor fees to vendor tracks and video lottery gaming facilities; directs the gaming commission to conduct a study on video lottery terminal vendor fees and commercial casino tax rates (Part II); extends the duration of certain brownfield redevelopment and remediation tax credits with respect to certain sites (Part JJ).

This bill creates a $1,500 annual tax credit for New York employers who hire eligible workers: New York National Guard members, reservists, volunteer firefighters, and EMS personnel. To qualify, employees must be employed for at least six months, and employers must comply with federal Uniformed Services Employment and Reemployment Rights Act. The credit reduces state tax liability but cannot lower taxes below the minimum threshold; any unused portion may be carried forward to future tax years. The policy takes effect for taxable years beginning January 1, 2028.

This bill authorizes state appropriations for the "Aid to Localities Budget," providing financial support to local governments. It directly affects cities, counties, and townships by allocating state funds to assist with their operational needs and services. As an appropriations measure, it sets aside specific budget resources without altering existing laws or creating new programs. The bill is currently under review by the Ways and Means committee.

This bill (S 8938) amends New York State law to include Sullivan County within the definition of a "designated community" for community preservation funds. It updates two sections of state law (General Municipal Law §6-s and Tax Law §1560) to explicitly list Sullivan County alongside Putnam, Ulster, and Westchester as qualifying counties. This change directly affects Sullivan County municipalities, allowing them to access community preservation funds previously available only to the other three Hudson Valley counties. The bill makes a technical definitional update with no new funding mechanisms or eligibility criteria beyond expanding the geographic scope.