Bill review: NY S9110 Personal Income Tax Rate Reform (NY)

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Bill Review: NY S9110 Personal Income Tax Rate Reform

Reform ID: ny-s9110 | State: NY
Bill text: https://www.nysenate.gov/legislation/bills/2025/S9110
Sponsor: Senator Steve Rhoads (R)

Description: New York S9110 phases in over 10 years (2026-2035) an exemption of the first $100,000 of income for joint filers ($50,000 for single filers) from state income tax. The bill also simplifies the rate structure from 9 brackets to 6 and includes a 4% rate on income above the exempt threshold up to $500,000, with higher rates for millionaires. Top brackets (10.30% and 10.90%) expire in 2033.

Merging this PR will publish the bill to the dashboard.

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What we model

Provision	Parameter	Current	Proposed (2035)
Zero Tax Bracket (Joint)	gov.contrib.states.ny.s9110.rates.joint	No zero bracket	$100,000 exempt
Zero Tax Bracket (Single)	gov.contrib.states.ny.s9110.rates.single	No zero bracket	$50,000 exempt
Rate Structure	gov.contrib.states.ny.s9110.in_effect	9 brackets	6 brackets

Phase-In Schedule (Zero Bracket - Joint Filers)

2026	2027	2028	2029	2030	2031	2032	2033	2034	2035
$10k	$20k	$30k	$40k	$50k	$60k	$70k	$80k	$90k	$100k

Validation

PE Estimates

Year	PE Estimate	Exempt Threshold (Joint/Single)
2026	-$15.0B	$10,000 / $5,000
2027	-$16.9B	$20,000 / $10,000
2035 (projected)	~$30-35B	$100,000 / $50,000

Back-of-envelope check

NY PIT collections: ~$61B annually
Exempting first $50k-$100k for most filers would eliminate tax on a large portion of income
PE estimates show ~$2B increase per year as thresholds rise by $10k/$5k
Fully implemented annual cost: ~$30-35B/year (~50-57% of PIT collections)

Note: Only 2026-2027 computed due to memory constraints. The bill phases in over 10 years, with larger impacts in later years as exempt thresholds increase.

Key results (2027)

Metric	Value
Revenue impact	-$16,869,257,892
Poverty rate	34.69% → 34.03% (-1.9%)
Child poverty rate	28.12% → 27.40% (-2.6%)
Winners	74.5%
Losers	0.0%

Multi-Year Summary

Year	Revenue Impact	Poverty Change	Child Poverty Change	Winners
2026	-$15.0B	-1.5%	-2.0%	74.0%
2027	-$16.9B	-1.9%	-2.6%	74.5%

Reform parameters JSON

{
  "gov.contrib.states.ny.s9110.in_effect": {
    "2026-01-01.2100-12-31": true
  }
}

Versions

• PolicyEngine US: 1.591.1
• Dataset: 1.48.0
• Computed: 2026-03-24

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