Bill > S02082

This bill establishes a new New York State Working Families Tax Credit that provides financial support to families with qualifying children, with gradually increasing credit amounts over several years and a sliding reduction based on income. The credit starts at $550 per qualifying child in the first year and increases to $1,600 per qualifying child through age 17 in the fifth year and beyond, with annual adjustments for inflation. Simultaneously, the income thresholds for receiving the full credit will decrease over time, from $75,000 for single filers and $110,000 for joint returns in the first year to $25,000 for single filers and $50,000 for joint returns in the fifth year. The bill mandates that the credit will be reduced by $20 for every $1,000 of income above these thresholds, but ensures that the credit never falls below $100 per qualifying child in the first three years and $100 per qualifying child through age 17 thereafter. Starting in the fourth year, the credit will be prepaid quarterly, with estimated payments made during the tax year and a final adjustment after year-end. The bill also modifies existing tax law provisions related to exemptions and ensures that the credit is treated similarly to the federal Earned Income Tax Credit for purposes of determining eligibility for other benefits.

Budget and Finance

https://www.nysenate.gov/legislation/bills/2025/S2082