senate Bill S7763

Relates to the empire zone wage tax credit for certain manufacturers

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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

  • 05 / Jun / 2014
    • REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 18 / Jun / 2014
    • COMMITTEE DISCHARGED AND COMMITTED TO RULES
  • 18 / Jun / 2014
    • ORDERED TO THIRD READING CAL.1548
  • 18 / Jun / 2014
    • PASSED SENATE
  • 18 / Jun / 2014
    • DELIVERED TO ASSEMBLY
  • 18 / Jun / 2014
    • REFERRED TO WAYS AND MEANS

Summary

Relates to the empire zone wage tax credit for certain manufacturers.

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Bill Details

See Assembly Version of this Bill:
A9997
Versions:
S7763
Legislative Cycle:
2013-2014
Current Committee:
Law Section:
Tax Law
Laws Affected:
Amd ยง606, Tax L

Sponsor Memo

BILL NUMBER:S7763

TITLE OF BILL: An act to amend the tax law, in relation to certain
manufacturers

PURPOSE:

Adjust the calculation of various components of the wage tax credits
under subdivision (k) of section 606 of the tax law for certain
manufacturers certified in the empire zone.

SUMMARY OF PROVISIONS:

Section 1. Makes provisions for the calculation of the empire zone
wage tax credits under section 606(k) of the tax law for certain
manufacturers.

Section 2. Effective date.

JUSTIFICATION:

Empire zone enterprises are vital businesses within our communities
that encourage job growth and foster economic development. And, this
is especially true in areas of New York which have seen a steady loss
of manufacturing jobs in recent years. As an incentive to participate
in the Empire Zones Program, certified entities qualify for tax
credits and refunds. For example, under New York State tax law, an
empire zone enterprise that grows employment after its certification
date is entitled to certain wage tax credits based on the amount of
increase.

Businesses seeking to participate in the Empire Zones Program must be
certified by the local Zone Administrative Board before certification
by the State Department of Economic Development. The date of
designation of lands and certification of the company by the local
Zone Administrative Board is critical to the calculation of the wage
tax credits under the Program because the business must grow its
employment after established dates to receive these credits. This bill
would allow certain manufacturers who have complied with the spirit of
the law, and have relied on the wage tax credit as a significant
component of its budget, to receive five years of wage tax credits as
originally intended under the Empire Zones Program.

PRIOR LEGISLATIVE HISTORY:

New bill.

FISCAL IMPLICATIONS:

None.

EFFECTIVE DATE:

This act shall take effect immediately and shall apply to taxable
years beginning on and after January 1, 2010.


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

                                  7763

                            I N  S E N A T E

                              June 5, 2014
                               ___________

Introduced  by  Sen. VALESKY -- read twice and ordered printed, and when
  printed to be committed to the Committee on Investigations and Govern-
  ment Operations

AN ACT to amend the tax law, in relation to certain manufacturers

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

  Section  1. Subsection (k) of section 606 of the tax law is amended by
adding a new paragraph 3-a to read as follows:
  (3-A) IN THE CASE OF A MANUFACTURER: (I) THAT HAS ACQUIRED THE  ASSETS
OF  A PLASTICS MANUFACTURER PREVIOUSLY OPERATING IN NEW YORK STATE, (II)
IS CERTIFIED AS AN EMPIRE ZONE ENTERPRISE WITH AN EFFECTIVE DATE  ON  OR
AFTER  JANUARY FIRST, TWO THOUSAND NINE, AND (III) EMPLOYS AN AVERAGE OF
MORE THAN THIRTY FULL-TIME EMPLOYEES EACH YEAR IN WHICH IT QUALIFIES FOR
A CREDIT UNDER THIS SUBSECTION, THEN, SUCH MANUFACTURER SHALL BE  DEEMED
TO  HAVE  AN EMPLOYMENT NUMBER AS OF SUCH CERTIFIED ENTITY'S EMPIRE ZONE
DESIGNATION DATE OF ZERO; SHALL BE ELIGIBLE TO CLAIM  WAGE  TAX  CREDITS
PROVIDED  FOR  BY  THIS SUBSECTION FOR TAX YEAR TWO THOUSAND TEN AND THE
FOUR TAX YEARS THEN FOLLOWING; AND SHALL BE DEEMED TO BE A NEW  BUSINESS
FOR  PURPOSES  OF  THIS SUBSECTION FOR TAX YEAR TWO THOUSAND TEN AND THE
FOUR TAX YEARS THEN FOLLOWING.
  S 2. This act shall take effect immediately and  shall  apply  to  all
taxable years beginning on or after January 1, 2010.





 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD15505-01-4

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