NY A10487

Amends Tax Law Section 1261 to subject withholdings from New York City taxes, penalties, and interest to any lien or pledge for the benefit of New York City Transitional Finance Authority bondholders.

Requires the State Comptroller to withhold taxes and deposit specified amounts annually into the central business district tolling capital lockbox: $127.5 million in fiscal year 2019-2020, $170 million in 2020-2021, and 101% of the prior year amount in subsequent years.

Requires the Comptroller to withhold an additional $150 million annually in four equal quarterly installments (January 15, April 15, July 15, and October 15) and deposit into the New York State Agency Trust Fund, Distressed Provider Assistance Account.

Clarifies that during the withholding period, the City of New York has no right, title, or interest in the withheld taxes, penalties, and interest.

Takes effect immediately with provisions expiring when the underlying tax law subparagraph expires.