NY S02568

Amends the definition of "income" under the school tax relief (STAR) exemption in the Real Property Tax Law to include distributions from 401(k) and 403(b) retirement accounts and simplified employee pension plans (SEP) as excludable income.

Expands the current law that only allowed exclusion of distributions from individual retirement accounts (IRAs) and individual retirement annuities to also cover retirement plan distributions under Internal Revenue Code sections 401(k), 403(b), and SEP plans.

Maintains that "income" is based on adjusted gross income reported on federal or state income tax returns, with all specified retirement distributions excluded from the income calculation for STAR exemption eligibility purposes.

Takes effect on January 1 of the year following enactment.