NY Tax L § 1304-D (2021)
2021 New York Laws TAX - Tax Article 30 - City Personal Income Tax 1304-D - Imposition of Tax.

§  1304-D.  Imposition of tax. Notwithstanding any provision of law to the contrary, in lieu of the tax tables  provided  in  section  thirteen hundred  four of this article, any city imposing the taxes authorized by section thirteen hundred one of this article is  hereby  authorized  and empowered to adopt and amend local laws to impose the rates set forth in the tax tables provided in this section.  Provided, however, if any such city  adopts  a  local  law to impose tax at the rates set forth in this section, the authorization granted to such city to impose an  additional tax  by  section  thirteen  hundred  four-B  of  this  article  shall be suspended while such local law is in effect.  (a) Rate of tax. A tax imposed  pursuant  to  this  section  shall  be determined as follows:  (1)  Resident  married  individuals  filing joint returns and resident surviving spouses. The tax under this section for each taxable  year  on the  city  taxable  income of every city resident married individual who makes a single return jointly with his or her  spouse  under  subsection (b)  of  section  thirteen  hundred  six of this article and on the city taxable  income  of  every  city  resident  surviving  spouse  shall  be determined in accordance with the following tables:  (A) For taxable years beginning in two thousand five:  If the city taxable income is:         The tax is: Not over $21,600                       2.907% of the city taxable income Over $21,600 but not                   $628 plus 3.534% of excess over $45,000                             over $21,600 Over $45,000 but not                   $1,455 plus 3.591% of excess over $90,000                             over $45,000 Over $90,000 but not                   $3,071 plus 3.648% of excess over $150,000                            over $90,000 Over $150,000 but not                  $5,260 plus 4.05% of excess over $500,000                            over $150,000 Over $500,000                          $19,435 plus 4.45% of excess                                          over $500,000  (B) For taxable years beginning in two thousand four:  If the city taxable income is:         The tax is: Not over $21,600                       2.907% of the city taxable income Over $21,600 but not                   $628 plus 3.534% of excess over $45,000                             over $21,600 Over $45,000 but not                   $1,455 plus 3.591% of excess over $90,000                             over $45,000 Over $90,000 but not                   $3,071 plus 3.648% of excess over $150,000                            over $90,000 Over $150,000 but not                  $5,260 plus 4.175% of excess over $500,000                            over $150,000 Over $500,000                          $19,872 plus 4.45% of excess                                          over $500,000  (C) For taxable years beginning in two thousand three:  If the city taxable income is:         The tax is: Not over $21,600                       2.907% of the city taxable income Over $21,600 but not                   $628 plus 3.534% of excess over $45,000                             over $21,600 Over $45,000 but not                   $1,455 plus 3.591% of excess over $90,000                             over $45,000  Over $90,000 but not                   $3,071 plus 3.648% of excess over $150,000                            over $90,000 Over $150,000 but not                  $5,260 plus 4.25% of excess over $500,000                          over $150,000 Over $500,000                          $20,135 plus 4.45% of excess                                        over $500,000  (2)  Resident heads of households. The tax under this section for each taxable year on the city taxable income of every city resident head of a household shall be determined in accordance with the following tables:  (A) For taxable years beginning in two thousand five:  If the city taxable income is:         The tax is: Not over $14,400                       2.907% of the city taxable income Over $14,400 but not                   $419 plus 3.534% of excess over $30,000                             over $14,400 Over $30,000 but not                   $970 plus 3.591% of excess over $60,000                             over $30,000 Over $60,000 but not                   $2,047 plus 3.648% of excess over $125,000                          over $60,000 Over $125,000 but not                  $4,418 plus 4.05% of excess over $500,000                            over $125,000 Over $500,000                          $19,606 plus 4.45% of excess                                          over $500,000  (B) For taxable years beginning in two thousand four:  If the city taxable income is:         The tax is: Not over $14,400                       2.907% of the city taxable income Over $14,400 but not                   $419 plus 3.534% of excess over $30,000                             over $14,400 Over $30,000 but not                   $970 plus 3.591% of excess over $60,000                             over $30,000 Over $60,000 but not                   $2,047 plus 3.648% of excess over $125,000                            over $60,000 Over $125,000 but not                  $4,418 plus 4.175% of excess over $500,000                            over $125,000 Over $500,000                          $20,075 plus 4.45% of excess                                          over $500,000  (C) For taxable years beginning in two thousand three:  If the city taxable income is:         The tax is: Not over $14,400                       2.907% of the city taxable income Over $14,400 but not                   $419 plus 3.534% of excess over $30,000                             over $14,400 Over $30,000 but not                   $970 plus 3.591% of excess over $60,000                             over $30,000 Over $60,000 but not                   $2,047 plus 3.648% of excess over $125,000                            over $60,000 Over $125,000 but not                  $4,418 plus 4.25% of excess over $500,000                           over $125,000 Over $500,000                          $20,356 plus 4.45% of excess                                          over $500,000  (3)  Resident  unmarried  individuals,  resident  married  individuals filing  separate  returns and resident estates and trusts. The tax under this section for each taxable year on the city taxable income  of  every city  resident  individual  who  is not a married individual who makes a  single return jointly with his or her spouse  under  subsection  (b)  of section  thirteen hundred six of this article or a city resident head of a household or a city resident surviving spouse, and on the city taxable income  of  every  city resident estate and trust shall be determined in accordance with the following tables:  (A) For taxable years beginning in two thousand five:  If the city taxable income is:         The tax is: Not over $12,000                       2.907% of the city taxable income Over $12,000 but not                   $349 plus 3.534% of excess over $25,000                             over $12,000 Over $25,000 but not                   $808 plus 3.591% of excess over $50,000                             over $25,000 Over $50,000 but not                   $1,706 plus 3.648% of excess over $100,000                            over $50,000 Over $100,000 but not                  $3,530 plus 4.05% of excess over $500,000                            over $100,000 Over $500,000                          $19,730 plus 4.45% of excess                                          over $500,000  (B) For taxable years beginning in two thousand four:  If the city taxable income is:         The tax is: Not over $12,000                       2.907% of the city taxable income Over $12,000 but not                   $349 plus 3.534% of excess over $25,000                             over $12,000 Over $25,000 but not                   $808 plus 3.591% of excess over $50,000                             over $25,000 Over $50,000 but not                   $1,706 plus 3.648% of excess over $100,000                            over $50,000 Over $100,000 but not                  $3,530 plus 4.175% of excess over $500,000                            over $100,000 Over $500,000                          $20,230 plus 4.45% of excess                                          over $500,000  (C) For taxable years beginning in two thousand three:  If the city taxable income is:         The tax is: Not over $12,000                       2.907% of the city taxable income Over $12,000 but not                   $349 plus 3.534% of excess over $25,000                             over $12,000 Over $25,000 but not                   $808 plus 3.591% of excess over $50,000                             over $25,000 Over $50,000 but not                   $1,706 plus 3.648% of excess over $100,000                            over $50,000 Over $100,000 but not                  $3,530 plus 4.25% of excess over $500,000                            over $100,000 Over $500,000                          $20,530 plus 4.45% of excess                                          over $500,000  (b) Tax table benefit recapture. For taxable years beginning after two thousand two and before two thousand six,  there  is  hereby  imposed  a supplemental  tax in addition to the tax imposed under subsection (a) of this section for the purpose of  recapturing  the  benefit  of  the  tax tables  contained  in such subsection.  The supplemental tax shall be an amount equal to the sum of the tax table benefits in paragraphs one  and two  of this subsection multiplied by their respective fractions in such paragraphs provided, however, that  paragraph  one  of  this  subsection  shall  not  apply to taxpayers who are not subject to the second highest rate of tax.  (1)  Resident  married  individuals  filing  joint  returns, surviving spouses, resident heads of households, resident  unmarried  individuals, resident  married  individuals  filing  separate  returns  and  resident estates and trusts. (A) The tax table benefit is the difference  between (i)  the  amount  of  taxable  income  set  forth  in  the  tax table in subsection (a) of this section not subject to the second highest rate of tax for the taxable year multiplied by such rate  and  (ii)  the  second highest  dollar  denominated  tax  for such amount of taxable income set forth in the tax table applicable to the taxable year in subsection  (a) of this section.  (B)  The  fraction is computed as follows: the numerator is the lesser of fifty thousand dollars or the  excess  of  New  York  adjusted  gross income  for the taxable year over one hundred fifty thousand dollars and the denominator is fifty thousand dollars.  (C) This paragraph shall only apply to taxable years  beginning  after two thousand two and before two thousand six.  (2)  Resident  married  individuals  filing  joint  returns, surviving spouses, resident heads of households, resident  unmarried  individuals, resident  married  individuals  filing  separate  returns  and  resident estates and trusts. (A) The tax table benefit is the difference  between (i)  the  amount  of  taxable  income  set  forth  in  the  tax table in subsection (a) of this section not subject to the highest  rate  of  tax for the taxable year multiplied by such rate and (ii) the highest dollar denominated  tax  set  forth  in the tax table applicable to the taxable year in subsection (a) of this section less the sum  of  the  tax  table benefits in paragraph one of this subsection.  (B)  For  such  taxpayers with adjusted gross income over five hundred thousand dollars, the fraction is one.    Provided,  however,  that  the total  tax  prior to the application of any tax credits shall not exceed the highest rate of tax set forth in the tax table in subsection (a)  of this section multiplied by the taxpayer's taxable income.  (C)  This  paragraph shall only apply to taxable years beginning after two thousand two and before two thousand six.