Bill > S06342

This bill establishes a new renters' and small homeowners' tax credit specifically for residents of cities with a population of one million or more, such as New York City. The credit is available to qualified taxpayers who are renters or small property owners (six units or less) and meet certain eligibility criteria, including being 65 or older, a head of household, or having dependents. The credit amount varies based on federal adjusted gross income and the number of exemptions claimed, with different credit levels for taxable years in 2025 and 2026 onwards. Qualified taxpayers must have occupied their primary residence in the specified city for at least six months of the tax year and cannot claim the credit if they are a dependent of another taxpayer or pay rent to a family member. If multiple qualified taxpayers share the same residence, the base credit amount will be divided proportionally. Taxpayers can choose this credit or another existing credit, whichever provides a higher amount. The credit can be claimed on a tax return or through a special claim filed within three years, and any excess credit will be treated as an overpayment that can be refunded without interest.

Budget and Finance

https://www.nysenate.gov/legislation/bills/2025/S6342