BILL NUMBER: S5197
SPONSOR: HOYLMAN-SIGAL
TITLE OF BILL:
An act directing the department of taxation and finance to create and
implement an online program which will enable each New York state
taxpayer to prepare and electronically file such taxpayer's federal and
state income tax returns free of charge
SUMMARY OF PROVISIONS:
Section One of the bill states that the department of taxation and
finance is authorized and directed to create and implement an online
program which will enable each New York State taxpayer to prepare and
electronically file his or her federal and state income tax returns free
of charge, regardless of the taxpayer's income level. The program shall
be made available to all New York State taxpayers in the department's
website no later than one hundred eighty days following the effective
date of this act.
JUSTIFICATION:
This legislation shall direct the New York State Department of Taxation
and Finance to create an online program for all New York State taxpayers
to prepare and file their federal and state income tax returns for free.
Currently, there are a number of different for-profit companies offering
so-called "Free File," but they often include hidden fees, and only
taxpayers within certain income ranges are eligible. Many years into the
digital age, our government is entirely capable of offering free online
tax preparation and electronic filing without forcing the taxpayer to be
duped into using possibly dubious private online tax preparation
services.
It is a solid and fundamental principal that taxes are what we pay for
civilized society, and most New Yorkers are proud to help pay for essen-
tial government programs like public education and food safety regu-
lation. Yet there is no justification for the fees charged by for-profit
tax prep and e-filing companies, which serve as obsolete intermediaries
in the digital age. Countless government services can be easily accessed
on government websites-from registering to vote to applying for public
benefits to making complaints about potholes-and there is no reason that
filing tax returns should be any different. We don't force people
making more than $57,000 to pay a private company for help registering
with the Selective Service System, and the State of New York should not
allow it for the filing of taxes either.
Government should be embracing technology, not using it as a way to
direct people to the services of for-profit companies.
LEGISLATIVE HISTORY:
S.3256 of 2023-2024 (Hoylman-Sigal): Died in Finance
A.599 of 2023-2024 Rosenthal): Died in Ways and Means
S.0693 of 2021-2022 (Hoylman): died in Investigations & Government Oper-
ations
A.1555 of 2021-2022 (Rosenthal L): Died in Ways & Means
S.0011 of 2019-2020 (Hoylman): Died in Investigations and Government
Operations
A.0825 of 2019-2020 (Rosenthal L): Died in Ways and Means
S.0070 of 2017-2018 (Hoylman): Died in Investigations and Government
Operations
A.5203 of 2017-2018 (Rosenthal): Died in Ways & Means
S.495 of 2015-2016 Hoylman): Died in Investigations & Governmeht Oper-
ations
A.945 of 2015-2016 Rosenthal): Died in Ways & Means
S.4570 of 2013-2014 (Hoylman): Died in Investigations
A.6766 of 2013-2014 (Rosenthal): Died in Ways & Means
FISCAL IMPLICATIONS:
To be determined
EFFECTIVE DATE:
This act shall take effect immediately.