senate Bill S2222A

Creates a tax credit for employment of persons on probation or parole

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Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
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actions

  • 14 / Jan / 2013
    • REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 08 / Jan / 2014
    • REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 29 / Jan / 2014
    • AMEND AND RECOMMIT TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 29 / Jan / 2014
    • PRINT NUMBER 2222A

Summary

Creates a tax credit for employment of persons on probation or parole.

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Bill Details

Versions:
S2222
S2222A
Legislative Cycle:
2013-2014
Current Committee:
Senate Investigations And Government Operations
Law Section:
Tax Law
Laws Affected:
Add ยง187-t, Tax L
Versions Introduced in 2011-2012 Legislative Cycle:
S5710

Sponsor Memo

BILL NUMBER:S2222A

TITLE OF BILL: An act to amend the tax law, in relation to a credit for
employment of persons on probation or parole

PURPOSE:

This bill provides for a tax credit for the employer of persons on
probation or parole up to $2,100.

SUMMARY OF PROVISIONS:

Section 1 creates section 187-t of the tax law providing for a tax cred-
it for an employer who hires someone who has been convicted of a felony,
is on probation or parole, and has worked full-time for the employer for
at least one hundred eighty days. The amount of credit shall be thirty-
five percent of the first six thousand dollars of first-year wages but
shall not reduce the applicable minimum tax fixed by this section. Cred-
it, where the federal work opportunity tax credit also applies, will be
the amount of thirty-five percent of the first six thousand dollars of
second-year wages.

Section 2 provides for an immediate effective date and shall only apply
to taxable years after 2014.

JUSTIFICATION:

Having a job is widely recognized as an important way to prevent reci-
divism. However, a person who has a criminal record and who is on parole
or probation is often less attractive to employers. This bill seeks to
offset this fact by providing an employer with an incentive to hire
someone on parole or probation. In addition to reducing recidivism,
securing employment for people on probation or parole will reduce the
public assistance needs for those on probation or parole.

LEGISLATIVE HISTORY:

S.5710 of 2012

FISCAL IMPLICATIONS:

None.

EFFECTIVE DATE:

This act shall take effect immediately, and shall only apply to taxable
years after 2014.

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

                                 2222--A

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 14, 2013
                               ___________

Introduced  by Sen. GALLIVAN -- read twice and ordered printed, and when
  printed to be committed to the Committee on Investigations and Govern-
  ment Operations -- recommitted to the Committee on Investigations  and
  Government  Operations  in  accordance  with  Senate Rule 6, sec. 8 --
  committee discharged, bill amended, ordered reprinted as  amended  and
  recommitted to said committee

AN  ACT  to amend the tax law, in relation to a credit for employment of
  persons on probation or parole

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

  Section  1.  The  tax  law is amended by adding a new section 187-t to
read as follows:
  S 187-T. CREDIT FOR EMPLOYMENT OF PERSONS ON PROBATION OR  PAROLE.  1.
ALLOWANCE  OF  CREDIT.  A  TAXPAYER  SHALL  BE  ALLOWED  A CREDIT, TO BE
COMPUTED AS HEREINAFTER PROVIDED, AGAINST  THE  TAXES  IMPOSED  BY  THIS
ARTICLE,  OTHER  THAN  THE TAXES IMPOSED BY SECTIONS ONE HUNDRED EIGHTY,
ONE HUNDRED EIGHTY-ONE, ONE HUNDRED EIGHTY-SIX-A AND ONE HUNDRED  EIGHT-
Y-SIX-E  OF  THIS  ARTICLE,  FOR  EMPLOYING WITHIN THE STATE A QUALIFIED
EMPLOYEE. PROVIDED, HOWEVER,  THE  AMOUNT  OF  CREDIT  ALLOWED  BY  THIS
SECTION  AGAINST  THE  TAX IMPOSED BY SECTION ONE HUNDRED EIGHTY-FOUR OF
THIS ARTICLE SHALL BE THE EXCESS  OF  THE  CREDIT  COMPUTED  UNDER  THIS
SECTION  OVER  THE  AMOUNT OF CREDIT ALLOWED BY THIS SECTION AGAINST THE
TAX IMPOSED BY SECTION ONE HUNDRED EIGHTY-THREE OF THIS ARTICLE.
  2. QUALIFIED EMPLOYEE. A QUALIFIED EMPLOYEE IS AN INDIVIDUAL WHO:
  (A) HAS BEEN CONVICTED OF A FELONY UNDER ANY  STATUTE  OF  THE  UNITED
STATES OR ANY STATE;
  (B) IS ON PROBATION OR PAROLE; AND
  (C)  HAS  WORKED ON A FULL-TIME BASIS FOR THE EMPLOYER WHO IS CLAIMING
THE CREDIT FOR AT LEAST ONE HUNDRED EIGHTY DAYS OR FOUR HUNDRED HOURS.
  3. AMOUNT OF CREDIT. EXCEPT AS PROVIDED IN SUBDIVISION  FOUR  OF  THIS
SECTION,  THE  AMOUNT  OF CREDIT UNDER THIS SECTION SHALL BE THIRTY-FIVE

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD01975-03-4

S. 2222--A                          2

PERCENT OF THE FIRST SIX THOUSAND DOLLARS IN QUALIFIED FIRST-YEAR  WAGES
EARNED  BY  EACH  QUALIFIED EMPLOYEE. "QUALIFIED FIRST-YEAR WAGES" MEANS
WAGES PAID OR INCURRED BY THE TAXPAYER DURING THE TAXABLE YEAR TO QUALI-
FIED  EMPLOYEES WHICH ARE ATTRIBUTABLE, WITH RESPECT TO ANY SUCH EMPLOY-
EE, TO SERVICES RENDERED DURING THE ONE-YEAR PERIOD BEGINNING  WITH  THE
DAY THE EMPLOYEE BEGINS WORK FOR THE TAXPAYER.
  4.  CREDIT  WHERE  FEDERAL  WORK  OPPORTUNITY TAX CREDIT APPLIES. WITH
RESPECT TO ANY QUALIFIED EMPLOYEE WHOSE QUALIFIED FIRST-YEAR WAGES UNDER
SUBDIVISION THREE OF THIS SECTION ALSO CONSTITUTE  QUALIFIED  FIRST-YEAR
WAGES  FOR  PURPOSES  OF  THE WORK OPPORTUNITY TAX CREDIT FOR VOCATIONAL
REHABILITATION REFERRALS UNDER SECTION FIFTY-ONE OF THE INTERNAL REVENUE
CODE, THE AMOUNT OF CREDIT  UNDER  THIS  SECTION  SHALL  BE  THIRTY-FIVE
PERCENT OF THE FIRST SIX THOUSAND DOLLARS IN QUALIFIED SECOND-YEAR WAGES
EARNED  BY EACH SUCH EMPLOYEE. "QUALIFIED SECOND-YEAR WAGES" MEANS WAGES
PAID OR INCURRED BY THE TAXPAYER DURING THE TAXABLE  YEAR  TO  QUALIFIED
EMPLOYEES  WHICH ARE ATTRIBUTABLE, WITH RESPECT TO ANY SUCH EMPLOYEE, TO
SERVICES RENDERED DURING THE ONE-YEAR PERIOD BEGINNING  ONE  YEAR  AFTER
THE EMPLOYEE BEGINS WORK FOR THE TAXPAYER.
  5.  CARRYOVER.  IN  NO  EVENT  SHALL  THE CREDIT UNDER THIS SECTION BE
ALLOWED IN AN AMOUNT WHICH WILL REDUCE THE TAX PAYABLE TO LESS THAN  THE
APPLICABLE  MINIMUM TAX FIXED BY SECTION ONE HUNDRED EIGHTY-THREE OR ONE
HUNDRED EIGHTY-FIVE OF THIS ARTICLE. IF, HOWEVER, THE AMOUNT  OF  CREDIT
ALLOWABLE  UNDER  THIS  SECTION  FOR ANY TAXABLE YEAR REDUCES THE TAX TO
SUCH AMOUNT, ANY AMOUNT OF CREDIT NOT DEDUCTIBLE IN  SUCH  TAXABLE  YEAR
MAY  BE  CARRIED OVER TO THE FOLLOWING YEAR OR YEARS AND MAY BE DEDUCTED
FROM THE TAXPAYER'S TAX FOR SUCH YEAR OR YEARS.
  6.  COORDINATION  WITH  FEDERAL  WORK  OPPORTUNITY  TAX  CREDIT.   THE
PROVISIONS  OF  SECTIONS FIFTY-ONE AND FIFTY-TWO OF THE INTERNAL REVENUE
CODE, AS SUCH SECTIONS APPLIED ON OCTOBER FIRST, NINETEEN HUNDRED  NINE-
TY-SIX,  THAT  APPLY  TO  THE WORK OPPORTUNITY TAX CREDIT FOR VOCATIONAL
REHABILITATION REFERRALS SHALL APPLY TO THE CREDIT UNDER THIS SECTION TO
THE  EXTENT  THAT  SUCH  SECTIONS  ARE  CONSISTENT  WITH  THE   SPECIFIC
PROVISIONS OF THIS SECTION, PROVIDED THAT IN THE EVENT OF A CONFLICT THE
PROVISIONS OF THIS SECTION SHALL CONTROL.
  S  2.  This act shall take effect immediately, and shall only apply to
taxable years after 2014.

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