A11503 • 2025

Assesses a separate tax on distributions from designated settlement funds

Taxes

Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor: Alex Bores
Last action: 2026-05-28
Official status: In Assembly Committee
Effective date: Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

Assesses a separate tax on distributions from designated settlement funds

Assesses a separate tax on distributions from designated settlement funds Assesses a 100% tax on distributions from the federal anti-weaponization fund; provides that such tax shall not be reduced pursuant to any deduction, exemption or credit.

What This Bill Does

Assesses a separate tax on distributions from designated settlement funds Assesses a 100% tax on distributions from the federal anti-weaponization fund; provides that such tax shall not be reduced pursuant to any deduction, exemption or credit.

Limits and Unknowns

This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

2026-05-28 Assembly
REFERRED TO WAYS AND MEANS

Official Summary Text

Assesses a separate tax on distributions from designated settlement funds
Assesses a 100% tax on distributions from the federal anti-weaponization fund; provides that such tax shall not be reduced pursuant to any deduction, exemption or credit.

Current Bill Text

Read the full stored bill text

S T A T E   O F   N E W   Y O R K
        ________________________________________________________________________

                                          11503

                                  I N  A S S E M B L Y

                                      May 28, 2026
                                       ___________

        Introduced  by M. of A. BORES -- read once and referred to the Committee
          on Ways and Means

        AN ACT to amend the tax law, in relation to assessing a separate tax  on
          distributions from designated federal settlement funds

          THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
        BLY, DO ENACT AS FOLLOWS:

     1    Section 1. The tax law is amended by adding a  new  section  603-a  to
     2  read as follows:
     3    § 603-A. SEPARATE TAX ON DISTRIBUTIONS FROM DESIGNATED FEDERAL SETTLE-
     4  MENT  FUNDS. (A) IN LIEU OF ANY OTHER TAX IMPOSED BY SECTION SIX HUNDRED
     5  ONE OF THIS PART, THERE IS HEREBY IMPOSED FOR EACH TAXABLE YEAR A  SEPA-
     6  RATE  TAX  ON DISTRIBUTIONS FROM A DESIGNATED FUND RECEIVED BY ANY RESI-
     7  DENT INDIVIDUAL, ESTATE OR TRUST DURING SUCH TAXABLE  YEAR.    SUCH  TAX
     8  SHALL  BE  EQUAL  TO  ONE  HUNDRED  PERCENT  OF THE GROSS AMOUNT OF SUCH
     9  DISTRIBUTIONS AND SHALL  NOT  BE  REDUCED  PURSUANT  TO  ANY  DEDUCTION,
    10  EXEMPTION, OR CREDIT OTHERWISE AUTHORIZED PURSUANT TO LAW.
    11    (B) FOR PURPOSES OF THIS SECTION:
    12    (I) "DESIGNATED FUND" MEANS THE FEDERAL ANTI-WEAPONIZATION FUND ESTAB-
    13  LISHED PURSUANT TO THE SETTLEMENT AGREEMENT IN TRUMP V. INTERNAL REVENUE
    14  SERVICE, NO. 1:26-CV-20609 (S.D. FLA.).
    15    (II)  "DISTRIBUTION"  MEANS  ANY  PAYMENT,  DISTRIBUTION,  OR MONETARY
    16  TRANSFER RECEIVED, EITHER DIRECTLY OR INDIRECTLY, BY A RESIDENT INDIVID-
    17  UAL, ESTATE OR TRUST.
    18    § 2. This act shall take effect immediately.




         EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD15964-01-6