Taxpayers who pay premiums for qualified long-term care insurance may claim a credit against their personal income tax. The credit is equal to 20% of the premiums paid during the tax year for the purchase of or for continuing coverage under a qualifying long-term care insurance policy.
For tax years beginning on or after January 1, 2020, the credit has been amended to allow a New York resident taxpayer to claim the credit only if the taxpayer's New York adjusted gross income (NYAGI) is less than $250,000. The amendment also provides that the credit amount cannot exceed $1,500. Nonresident taxpayers and part-year resident taxpayers are subject to the limitations for resident taxpayers above, and compute the credit by multiplying the credit amount determined for a resident by the nonresident's New York source fraction as defined in Tax Law section 601(e)(3).