senate Bill S4946B

2013-2014 Legislative Session

Establishes the workers with disabilities tax credit program

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Archive: Last Bill Status - In Committee


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

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Actions

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Feb 04, 2014 print number 4946d
amend and recommit to labor
Jan 15, 2014 print number 4946c
amend and recommit to labor
Jan 08, 2014 referred to labor
Oct 16, 2013 print number 4946b
amend and recommit to finance
Jun 03, 2013 reported and committed to finance
May 21, 2013 print number 4946a
amend and recommit to labor
May 01, 2013 referred to labor

Bill Amendments

Original
A
B
C
D (Active)
Original
A
B
C
D (Active)

S4946 - Bill Details

See Assembly Version of this Bill:
A7387B
Current Committee:
Law Section:
Labor Law
Laws Affected:
Add §25-b, Lab L; amd §§210 & 606, Tax L

S4946 - Bill Texts

view summary

Establishes the workers with disabilities tax credit program; provides tax incentives to employers for employing individuals with developmental disabilities.

view sponsor memo
BILL NUMBER:S4946

TITLE OF BILL: An act to amend the labor law and the tax law, in
relation to the creation of the workers with disabilities tax credit
program

SUMMARY OF PROVISIONS:

Section 1 amends the labor law by adding a new section 25-b which
authorizes the commissioner to establish and administer the workers
with disabilities tax credit program to provide tax incentives to
employers for employing individuals with developmental disabilities.

Section 2 amends section 210 of the Tax law to add a new section 47,
workers with disabilities tax credit.

Section 3 amends section 606 of the Tax law to add a new section (ww)
workers with disabilities tax credit.

Section 4 amends subparagraph (B) of paragraph 1 of subsection (i) of
section 606 of the Tax law to add a new clause (xxxvi) workers with
disabilities tax credit.

Section 5 provides that this act shall take effect immediately.

PURPOSE AND JUSTIFICATION: When the minimum wage was recently raised
in the SFY 2013-2014 Budget, it was recognized that this increase
would adversely affect employment opportunities among young people,
and a tax credit was granted to employers who hired young people
between 18 and 20 years of age to offset this problem. The minimum
wage increase will similarly negatively affect employment
opportunities among the developmentally disabled, and this bill will
encourage employers to hire the developmentally disabled

PRIOR LEGISLATIVE HISTORY: New bill

FISCAL IMPLICATIONS: To be determined

EFFECTIVE DATE: This act shall take effect immediately.

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

                                  4946

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                               May 1, 2013
                               ___________

Introduced  by  Sen.  RANZENHOFER -- read twice and ordered printed, and
  when printed to be committed to the Committee on Labor

AN ACT to amend the labor law and  the  tax  law,  in  relation  to  the
  creation of the workers with disabilities tax credit program

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

  Section 1. The labor law is amended by adding a new  section  25-b  to
read as follows:
  S  25-B.  POWER TO ADMINISTER THE WORKERS WITH DISABILITIES TAX CREDIT
PROGRAM. (A) THE COMMISSIONER IS AUTHORIZED TO ESTABLISH AND  ADMINISTER
THE  WORKERS  WITH DISABILITIES TAX CREDIT PROGRAM TO PROVIDE TAX INCEN-
TIVES TO EMPLOYERS FOR EMPLOYING INDIVIDUALS WITH DEVELOPMENTAL DISABIL-
ITIES. THERE WILL BE FIVE DISTINCT POOLS OF TAX INCENTIVES. PROGRAM  ONE
WILL  COVER TAX INCENTIVES ALLOCATED FOR TWO THOUSAND THIRTEEN.  PROGRAM
TWO WILL COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND FOURTEEN  TO  BE
USED  IN  TWO  THOUSAND FOURTEEN AND TWO THOUSAND FIFTEEN. PROGRAM THREE
WILL COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND FIFTEEN TO  BE  USED
IN  TWO  THOUSAND  FIFTEEN  AND  TWO THOUSAND SIXTEEN. PROGRAM FOUR WILL
COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND SIXTEEN TO BE USED IN TWO
THOUSAND SIXTEEN AND TWO THOUSAND SEVENTEEN. PROGRAM FIVE WILL COVER TAX
INCENTIVES ALLOCATED IN TWO THOUSAND SEVENTEEN TO BE USED IN  TWO  THOU-
SAND SEVENTEEN AND TWO THOUSAND EIGHTEEN. THE COMMISSIONER IS AUTHORIZED
TO  ALLOCATE UP TO SIX MILLION DOLLARS OF TAX CREDITS UNDER PROGRAM ONE,
SIX MILLION DOLLARS OF  TAX  CREDITS  UNDER  PROGRAM  TWO,  SIX  MILLION
DOLLARS  OF  TAX CREDITS UNDER PROGRAM THREE, AND SIX MILLION DOLLARS OF
TAX CREDITS UNDER PROGRAM FOUR, AND SIX MILLION DOLLARS OF  TAX  CREDITS
UNDER PROGRAM FIVE.
  (B)  DEFINITIONS.  (1) THE TERM "QUALIFIED EMPLOYER" MEANS AN EMPLOYER
THAT HAS BEEN CERTIFIED BY THE COMMISSIONER TO PARTICIPATE IN THE  WORK-
ERS  WITH  DISABILITIES  TAX CREDIT PROGRAM AND THAT EMPLOYS ONE OR MORE
QUALIFIED EMPLOYEES.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10299-03-3

S. 4946                             2

  (2) THE TERM "QUALIFIED EMPLOYEE" MEANS AN INDIVIDUAL:
  (I)  WHO IS DEEMED TO HAVE A DEVELOPMENTAL DISABILITY, AS THAT TERM IS
DEFINED IN SUBDIVISION TWENTY-TWO OF SECTION 1.03 OF THE MENTAL  HYGIENE
LAW AND WHO IS CERTIFIED BY THE EDUCATION DEPARTMENT:
  (A)  AS  A  PERSON WITH A DISABILITY WHICH CONSTITUTES OR RESULTS IN A
SUBSTANTIAL HANDICAP TO EMPLOYMENT; AND
  (B) AS A PERSON HAVING COMPLETED OR AS  RECEIVING  SERVICES  UNDER  AN
INDIVIDUALIZED  WRITTEN  REHABILITATION  PLAN  APPROVED BY THE EDUCATION
DEPARTMENT OR OTHER STATE AGENCY RESPONSIBLE  FOR  PROVIDING  VOCATIONAL
REHABILITATION SERVICES TO SUCH INDIVIDUAL; AND
  (II)  WHO IS UNEMPLOYED PRIOR TO BEING HIRED BY THE QUALIFIED EMPLOYER
BUT IS NOT RESTRICTED IN HIS OR HER EMPLOYMENT UNDER A FEDERAL OR  STATE
LAW, RULE OR REGULATION; AND
  (III) WHO WILL BE WORKING FOR THE QUALIFIED EMPLOYER IN A FULL-TIME OR
PART-TIME POSITION THAT PAYS WAGES THAT ARE EQUIVALENT TO THE WAGES PAID
FOR SIMILAR JOBS, WITH APPROPRIATE ADJUSTMENTS FOR EXPERIENCE AND TRAIN-
ING,  AND  FOR WHICH NO OTHER EMPLOYEE HAS BEEN TERMINATED, OR WHERE THE
EMPLOYER HAS NOT OTHERWISE REDUCED ITS WORKFORCE BY  INVOLUNTARY  TERMI-
NATIONS  WITH  THE  INTENTION  OF  FILLING THE VACANCY BY CREATING A NEW
HIRE.
  (C) A QUALIFIED EMPLOYER SHALL BE ENTITLED TO A TAX  CREDIT  EQUAL  TO
(1)  FIVE HUNDRED DOLLARS PER MONTH FOR UP TO SIX MONTHS FOR EACH QUALI-
FIED EMPLOYEE THE EMPLOYER EMPLOYS IN A FULL-TIME  JOB  OR  TWO  HUNDRED
FIFTY DOLLARS PER MONTH FOR UP TO SIX MONTHS FOR EACH QUALIFIED EMPLOYEE
THE  EMPLOYER  EMPLOYS  IN  A PART-TIME JOB OF AT LEAST TWENTY HOURS PER
WEEK, AND (2) ONE THOUSAND DOLLARS FOR EACH QUALIFIED  EMPLOYEE  WHO  IS
EMPLOYED FOR AT LEAST AN ADDITIONAL SIX MONTHS BY THE QUALIFIED EMPLOYER
IN  A  FULL-TIME JOB OR FIVE HUNDRED DOLLARS FOR EACH QUALIFIED EMPLOYEE
WHO IS EMPLOYED FOR AT LEAST AN ADDITIONAL SIX MONTHS BY  THE  QUALIFIED
EMPLOYER  IN  A PART-TIME JOB OF AT LEAST TWENTY HOURS PER WEEK. THE TAX
CREDITS SHALL BE CLAIMED BY  THE  QUALIFIED  EMPLOYER  AS  SPECIFIED  IN
SUBDIVISION  FORTY-SEVEN  OF SECTION TWO HUNDRED TEN AND SUBSECTION (WW)
OF SECTION SIX HUNDRED SIX OF THE TAX LAW.
  (D) TO PARTICIPATE IN THE DEVELOPMENTALLY DISABLED  WORKS  TAX  CREDIT
PROGRAM, AN EMPLOYER MUST SUBMIT AN APPLICATION (IN A FORM PRESCRIBED BY
THE  COMMISSIONER) TO THE COMMISSIONER NO LATER THAN NOVEMBER THIRTIETH,
TWO THOUSAND THIRTEEN FOR PROGRAM ONE, AFTER JANUARY FIRST, TWO THOUSAND
FOURTEEN BUT NO LATER THAN NOVEMBER THIRTIETH, TWO THOUSAND FOURTEEN FOR
PROGRAM TWO, AFTER JANUARY FIRST, TWO THOUSAND FIFTEEN BUT NO LATER THAN
NOVEMBER THIRTIETH, TWO THOUSAND FIFTEEN FOR PROGRAM THREE, AFTER  JANU-
ARY  FIRST,  TWO  THOUSAND SIXTEEN BUT NO LATER THAN NOVEMBER THIRTIETH,
TWO THOUSAND SIXTEEN FOR PROGRAM FOUR,  AND  AFTER  JANUARY  FIRST,  TWO
THOUSAND  SEVENTEEN  BUT  NO LATER THAN NOVEMBER THIRTIETH, TWO THOUSAND
SEVENTEEN FOR PROGRAM FIVE. THE QUALIFIED  EMPLOYEES  MUST  START  THEIR
EMPLOYMENT ON OR AFTER JANUARY FIRST, TWO THOUSAND THIRTEEN BUT NO LATER
THAN DECEMBER THIRTY-FIRST, TWO THOUSAND THIRTEEN FOR PROGRAM ONE, ON OR
AFTER  JANUARY  FIRST,  TWO THOUSAND FOURTEEN BUT NO LATER THAN DECEMBER
THIRTY-FIRST, TWO THOUSAND FOURTEEN FOR PROGRAM TWO, ON OR AFTER JANUARY
FIRST, TWO THOUSAND FIFTEEN BUT NO LATER THAN DECEMBER THIRTY-FIRST, TWO
THOUSAND FIFTEEN FOR PROGRAM THREE, ON OR AFTER JANUARY FIRST, TWO THOU-
SAND SIXTEEN BUT NO  LATER  THAN  DECEMBER  THIRTY-FIRST,  TWO  THOUSAND
SIXTEEN  FOR  PROGRAM  FOUR, AND ON OR AFTER JANUARY FIRST, TWO THOUSAND
SEVENTEEN BUT NO LATER THAN DECEMBER THIRTY-FIRST, TWO  THOUSAND  SEVEN-
TEEN  FOR  PROGRAM FIVE. THE COMMISSIONER SHALL ESTABLISH GUIDELINES AND
CRITERIA THAT SPECIFY REQUIREMENTS FOR EMPLOYERS TO PARTICIPATE  IN  THE
PROGRAM INCLUDING CRITERIA FOR CERTIFYING QUALIFIED EMPLOYEES. ANY REGU-

S. 4946                             3

LATIONS THAT THE COMMISSIONER DETERMINES ARE NECESSARY MAY BE ADOPTED ON
AN  EMERGENCY  BASIS NOTWITHSTANDING ANYTHING TO THE CONTRARY IN SECTION
TWO HUNDRED TWO OF THE STATE ADMINISTRATIVE PROCEDURE ACT. SUCH REQUIRE-
MENTS MAY INCLUDE THE TYPES OF INDUSTRIES THAT THE EMPLOYERS ARE ENGAGED
IN.  THE  COMMISSIONER MAY GIVE PREFERENCE TO EMPLOYERS THAT ARE ENGAGED
IN DEMAND OCCUPATIONS OR INDUSTRIES,  OR  IN  REGIONAL  GROWTH  SECTORS,
INCLUDING  THOSE  IDENTIFIED  BY THE REGIONAL ECONOMIC DEVELOPMENT COUN-
CILS, SUCH AS  CLEAN  ENERGY,  HEALTHCARE,  ADVANCED  MANUFACTURING  AND
CONSERVATION.  IN  ADDITION,  THE  COMMISSIONER SHALL GIVE PREFERENCE TO
EMPLOYERS WHO OFFER ADVANCEMENT AND EMPLOYEE  BENEFIT  PACKAGES  TO  THE
QUALIFIED INDIVIDUALS.
  (E)  IF, AFTER REVIEWING THE APPLICATION SUBMITTED BY AN EMPLOYER, THE
COMMISSIONER DETERMINES THAT SUCH EMPLOYER IS ELIGIBLE TO PARTICIPATE IN
THE WORKERS WITH DISABILITIES TAX CREDIT PROGRAM, THE COMMISSIONER SHALL
ISSUE THE EMPLOYER A CERTIFICATE OF  ELIGIBILITY  THAT  ESTABLISHES  THE
EMPLOYER  AS  A QUALIFIED EMPLOYER. THE CERTIFICATE OF ELIGIBILITY SHALL
SPECIFY THE MAXIMUM AMOUNT OF WORKERS WITH DISABILITIES TAX CREDIT  THAT
THE EMPLOYER WILL BE ALLOWED TO CLAIM.
  S 2. Section 210 of the tax law is amended by adding a new subdivision
47 to read as follows:
  47. WORKERS WITH DISABILITIES TAX CREDIT. (A) A TAXPAYER THAT HAS BEEN
CERTIFIED  BY THE COMMISSIONER OF LABOR AS A QUALIFIED EMPLOYER PURSUANT
TO SECTION TWENTY-FIVE-B OF THE LABOR LAW  SHALL  BE  ALLOWED  A  CREDIT
AGAINST  THE  TAX  IMPOSED  BY  THIS  ARTICLE  EQUAL TO (I) FIVE HUNDRED
DOLLARS PER MONTH FOR UP TO SIX MONTHS FOR EACH QUALIFIED  EMPLOYEE  THE
EMPLOYER  EMPLOYS  IN  A  FULL-TIME JOB OR TWO HUNDRED FIFTY DOLLARS PER
MONTH FOR UP TO SIX MONTHS FOR  EACH  QUALIFIED  EMPLOYEE  THE  EMPLOYER
EMPLOYS  IN  A PART-TIME JOB OF AT LEAST TWENTY HOURS PER WEEK, AND (II)
ONE THOUSAND DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED FOR  AT
LEAST  AN ADDITIONAL SIX MONTHS BY THE QUALIFIED EMPLOYER IN A FULL-TIME
JOB OR FIVE HUNDRED DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS  EMPLOYED
FOR  AT  LEAST  AN  ADDITIONAL SIX MONTHS BY THE QUALIFIED EMPLOYER IN A
PART-TIME JOB OF AT LEAST TWENTY HOURS PER WEEK. FOR  PURPOSES  OF  THIS
SUBDIVISION,  THE  TERM "QUALIFIED EMPLOYEE" SHALL HAVE THE SAME MEANING
AS SET FORTH IN SUBDIVISION (B) OF SECTION TWENTY-FIVE-B  OF  THE  LABOR
LAW.  THE  PORTION  OF  THE  CREDIT DESCRIBED IN THIS PARAGRAPH SHALL BE
ALLOWED FOR THE TAXABLE YEAR BEGINNING ON OR AFTER  JANUARY  FIRST,  TWO
THOUSAND THIRTEEN.
  (B) THE CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR MAY
NOT  REDUCE THE TAX DUE FOR THAT YEAR TO LESS THAN THE AMOUNT PRESCRIBED
IN PARAGRAPH (D) OF SUBDIVISION ONE OF THIS  SECTION.  HOWEVER,  IF  THE
AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR
REDUCES  THE  TAX TO THAT AMOUNT, ANY AMOUNT OF CREDIT NOT DEDUCTIBLE IN
THAT TAXABLE YEAR WILL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDIT-
ED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION ONE THOUSAND
EIGHTY-SIX OF THIS CHAPTER.  PROVIDED, HOWEVER, NO INTEREST WILL BE PAID
THEREON.
  (C) THE TAXPAYER MAY BE REQUIRED TO  ATTACH  TO  ITS  TAX  RETURN  ITS
CERTIFICATE  OF ELIGIBILITY ISSUED BY THE COMMISSIONER OF LABOR PURSUANT
TO SECTION TWENTY-FIVE-B OF THE LABOR LAW. IN NO EVENT SHALL THE TAXPAY-
ER BE ALLOWED A CREDIT GREATER THAN THE AMOUNT OF THE CREDIT  LISTED  ON
THE  CERTIFICATE  OF ELIGIBILITY.  NOTWITHSTANDING ANY PROVISION OF THIS
CHAPTER TO THE CONTRARY, THE COMMISSIONER AND THE COMMISSIONER'S  DESIG-
NEES  MAY  RELEASE THE NAMES AND ADDRESSES OF ANY TAXPAYER CLAIMING THIS
CREDIT AND THE AMOUNT OF THE CREDIT EARNED BY  THE  TAXPAYER.  PROVIDED,
HOWEVER,  IF  A  TAXPAYER CLAIMS THIS CREDIT BECAUSE IT IS A MEMBER OF A

S. 4946                             4

LIMITED LIABILITY COMPANY OR A PARTNER IN A PARTNERSHIP, ONLY THE AMOUNT
OF CREDIT EARNED BY THE ENTITY AND NOT THE AMOUNT OF CREDIT  CLAIMED  BY
THE TAXPAYER MAY BE RELEASED.
  S  3. Section 606 of the tax law is amended by adding a new subsection
(ww) to read as follows:
  (WW) WORKERS WITH DISABILITIES TAX CREDIT. (1)  A  TAXPAYER  THAT  HAS
BEEN  CERTIFIED  BY  THE  COMMISSIONER  OF LABOR AS A QUALIFIED EMPLOYER
PURSUANT TO SECTION TWENTY-FIVE-B OF THE LABOR LAW SHALL  BE  ALLOWED  A
CREDIT AGAINST THE TAX IMPOSED BY THIS ARTICLE EQUAL TO (A) FIVE HUNDRED
DOLLARS  PER  MONTH FOR UP TO SIX MONTHS FOR EACH QUALIFIED EMPLOYEE THE
EMPLOYER EMPLOYS IN A FULL-TIME JOB OR TWO  HUNDRED  FIFTY  DOLLARS  PER
MONTH  FOR  UP  TO  SIX  MONTHS FOR EACH QUALIFIED EMPLOYEE THE EMPLOYER
EMPLOYS IN A PART-TIME JOB OF AT LEAST TWENTY HOURS PER  WEEK,  AND  (B)
ONE  THOUSAND DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED FOR AT
LEAST AN ADDITIONAL SIX MONTHS BY THE QUALIFIED EMPLOYER IN A  FULL-TIME
JOB  OR FIVE HUNDRED DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED
FOR AT LEAST AN ADDITIONAL SIX MONTHS BY THE  QUALIFIED  EMPLOYER  IN  A
PART-TIME  JOB  OF  AT LEAST TWENTY HOURS PER WEEK. A TAXPAYER THAT IS A
PARTNER IN A PARTNERSHIP, MEMBER  OF  A  LIMITED  LIABILITY  COMPANY  OR
SHAREHOLDER  IN  AN S CORPORATION THAT HAS BEEN CERTIFIED BY THE COMMIS-
SIONER  OF  LABOR  AS  A  QUALIFIED   EMPLOYER   PURSUANT   TO   SECTION
TWENTY-FIVE-A  OF  THE  LABOR LAW SHALL BE ALLOWED ITS PRO RATA SHARE OF
THE CREDIT EARNED BY THE PARTNERSHIP, LIMITED  LIABILITY  COMPANY  OR  S
CORPORATION.  FOR  PURPOSES  OF  THIS  SUBSECTION,  THE  TERM "QUALIFIED
EMPLOYEE" SHALL HAVE THE SAME MEANING AS SET FORTH IN SUBDIVISION (B) OF
SECTION TWENTY-FIVE-B OF THE  LABOR  LAW.  THE  PORTION  OF  THE  CREDIT
DESCRIBED IN THIS PARAGRAPH SHALL BE ALLOWED FOR THE TAXABLE YEAR BEGIN-
NING ON OR AFTER JANUARY FIRST, TWO THOUSAND THIRTEEN.
  (2)  IF THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBSECTION EXCEEDS
THE TAXPAYER'S TAX FOR THE TAXABLE YEAR, ANY AMOUNT OF CREDIT NOT DEDUC-
TIBLE IN THAT TAXABLE YEAR WILL BE TREATED AS AN OVERPAYMENT OF  TAX  TO
BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX
HUNDRED  EIGHTY-SIX OF THIS ARTICLE. PROVIDED, HOWEVER, NO INTEREST WILL
BE PAID THEREON.
  (3) THE TAXPAYER MAY BE REQUIRED TO  ATTACH  TO  ITS  TAX  RETURN  ITS
CERTIFICATE  OF ELIGIBILITY ISSUED BY THE COMMISSIONER OF LABOR PURSUANT
TO SECTION TWENTY-FIVE-B OF THE LABOR LAW. IN NO EVENT SHALL THE TAXPAY-
ER BE ALLOWED A CREDIT GREATER THAN THE AMOUNT OF THE CREDIT  LISTED  ON
THE  CERTIFICATE  OF ELIGIBILITY.  NOTWITHSTANDING ANY PROVISION OF THIS
CHAPTER TO THE CONTRARY, THE COMMISSIONER AND THE COMMISSIONER'S  DESIG-
NEES  MAY  RELEASE THE NAMES AND ADDRESSES OF ANY TAXPAYER CLAIMING THIS
CREDIT AND THE AMOUNT OF THE CREDIT EARNED BY  THE  TAXPAYER.  PROVIDED,
HOWEVER,  IF  A  TAXPAYER CLAIMS THIS CREDIT BECAUSE IT IS A MEMBER OF A
LIMITED LIABILITY COMPANY, A PARTNER IN A PARTNERSHIP, OR A  SHAREHOLDER
IN  A  SUBCHAPTER S CORPORATION, ONLY THE AMOUNT OF CREDIT EARNED BY THE
ENTITY AND NOT THE AMOUNT OF CREDIT  CLAIMED  BY  THE  TAXPAYER  MAY  BE
RELEASED.
  S  4. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
of the tax law is amended by adding a new  clause  (xxxvi)  to  read  as
follows:
(XXXVI) WORKERS WITH DISABILITIES    AMOUNT OF
TAX CREDIT UNDER SUBSECTION (WW)     CREDIT UNDER SUBDIVISION
                                     FORTY-SEVEN OF SECTION TWO
                                     HUNDRED TEN
  S 5. This act shall take effect immediately.

S4946A - Bill Details

See Assembly Version of this Bill:
A7387B
Current Committee:
Law Section:
Labor Law
Laws Affected:
Add §25-b, Lab L; amd §§210 & 606, Tax L

S4946A - Bill Texts

view summary

Establishes the workers with disabilities tax credit program; provides tax incentives to employers for employing individuals with developmental disabilities.

view sponsor memo
BILL NUMBER:S4946A

TITLE OF BILL: An act to amend the labor law and the tax law, in
relation to the creation of the workers with disabilities tax credit
program

SUMMARY OF PROVISIONS: Section 1 amends the labor law by adding a new
section 25-b which authorizes the commissioner to establish and
administer the workers with disabilities tax credit program to provide
tax incentives to employers for employing individuals with
developmental disabilities.

Section 2 amends section 210 of the Tax Law to add a new section 47,
workers with disabilities tax credit.

Section 3 amends section 606 of the Tax law to add a new section (ww),
workers with disabilities tax credit.

Section 4 amends subparagraph (B) of paragraph 1 of subsection (i) of
section 606 of the Tax Law to add a new clause (xxxvi), workers with
disabilities tax credit.

Section 5 provides that this act shall take effect immediately.

PURPOSE AND JUSTIFICATION: When the minimum wage was recently raised
in the SFY 2013-2014 Budget, it was recognized that this increase
would adversely affect employment opportunities among young people,
and a tax credit was granted to employers who hired young people
between 18 and 20 years of age to offset this problem. The minimum
wage increase will similarly negatively affect employment
opportunities among the developmentally disabled, and this bill will
encourage employers to hire the developmentally disabled

PRIOR LEGISLATIVE HISTORY: New bill

FISCAL IMPLICATIONS: To be determined

EFFECTIVE DATE: This act shall take effect immediately.

view full text
download pdf
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 4946--A

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                               May 1, 2013
                               ___________

Introduced  by  Sen.  RANZENHOFER -- read twice and ordered printed, and
  when printed to be committed to the Committee on  Labor  --  committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee

AN  ACT  to  amend  the  labor  law  and the tax law, in relation to the
  creation of the workers with disabilities tax credit program

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

  Section  1.  The  labor law is amended by adding a new section 25-b to
read as follows:
  S 25-B. POWER TO ADMINISTER THE WORKERS WITH DISABILITIES  TAX  CREDIT
PROGRAM.  (A) THE COMMISSIONER IS AUTHORIZED TO ESTABLISH AND ADMINISTER
THE WORKERS WITH DISABILITIES TAX CREDIT PROGRAM TO PROVIDE  TAX  INCEN-
TIVES TO EMPLOYERS FOR EMPLOYING INDIVIDUALS WITH DEVELOPMENTAL DISABIL-
ITIES.  THERE WILL BE FIVE DISTINCT POOLS OF TAX INCENTIVES. PROGRAM ONE
WILL COVER TAX INCENTIVES ALLOCATED FOR TWO THOUSAND THIRTEEN.   PROGRAM
TWO  WILL  COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND FOURTEEN TO BE
USED IN TWO THOUSAND FOURTEEN AND TWO THOUSAND  FIFTEEN.  PROGRAM  THREE
WILL  COVER  TAX INCENTIVES ALLOCATED IN TWO THOUSAND FIFTEEN TO BE USED
IN TWO THOUSAND FIFTEEN AND TWO  THOUSAND  SIXTEEN.  PROGRAM  FOUR  WILL
COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND SIXTEEN TO BE USED IN TWO
THOUSAND SIXTEEN AND TWO THOUSAND SEVENTEEN. PROGRAM FIVE WILL COVER TAX
INCENTIVES  ALLOCATED  IN TWO THOUSAND SEVENTEEN TO BE USED IN TWO THOU-
SAND SEVENTEEN AND TWO THOUSAND EIGHTEEN. THE COMMISSIONER IS AUTHORIZED
TO ALLOCATE UP TO SIX MILLION DOLLARS OF TAX CREDITS UNDER PROGRAM  ONE,
SIX  MILLION  DOLLARS  OF  TAX  CREDITS  UNDER  PROGRAM TWO, SIX MILLION
DOLLARS OF TAX CREDITS UNDER PROGRAM THREE, AND SIX MILLION  DOLLARS  OF
TAX  CREDITS  UNDER PROGRAM FOUR, AND SIX MILLION DOLLARS OF TAX CREDITS
UNDER PROGRAM FIVE.
  (B) DEFINITIONS. (1) THE TERM "QUALIFIED EMPLOYER" MEANS  AN  EMPLOYER
THAT  HAS BEEN CERTIFIED BY THE COMMISSIONER TO PARTICIPATE IN THE WORK-

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10299-04-3

S. 4946--A                          2

ERS WITH DISABILITIES TAX CREDIT PROGRAM AND THAT EMPLOYS  ONE  OR  MORE
QUALIFIED EMPLOYEES.
  (2) THE TERM "QUALIFIED EMPLOYEE" MEANS AN INDIVIDUAL:
  (I)  WHO IS DEEMED TO HAVE A DEVELOPMENTAL DISABILITY, AS THAT TERM IS
DEFINED IN SUBDIVISION TWENTY-TWO OF SECTION 1.03 OF THE MENTAL  HYGIENE
LAW  AND  WHO IS CERTIFIED BY THE EDUCATION DEPARTMENT OR THE OFFICE FOR
PEOPLE WITH DEVELOPMENTAL DISABILITIES:
  (A) AS A PERSON WITH A DISABILITY WHICH CONSTITUTES OR  RESULTS  IN  A
SUBSTANTIAL HANDICAP TO EMPLOYMENT; AND
  (B)  AS  A  PERSON  HAVING COMPLETED OR AS RECEIVING SERVICES UNDER AN
INDIVIDUALIZED WRITTEN REHABILITATION PLAN  APPROVED  BY  THE  EDUCATION
DEPARTMENT  OR  OTHER  STATE AGENCY RESPONSIBLE FOR PROVIDING VOCATIONAL
REHABILITATION SERVICES TO SUCH INDIVIDUAL; AND
  (II) WHO IS UNEMPLOYED PRIOR TO BEING HIRED BY THE QUALIFIED  EMPLOYER
BUT  IS NOT RESTRICTED IN HIS OR HER EMPLOYMENT UNDER A FEDERAL OR STATE
LAW, RULE OR REGULATION; AND
  (III) WHO WILL BE WORKING FOR THE QUALIFIED EMPLOYER IN A FULL-TIME OR
PART-TIME POSITION THAT PAYS WAGES THAT ARE EQUIVALENT TO THE WAGES PAID
FOR SIMILAR JOBS, WITH APPROPRIATE ADJUSTMENTS FOR EXPERIENCE AND TRAIN-
ING, AND FOR WHICH NO OTHER EMPLOYEE HAS BEEN TERMINATED, OR  WHERE  THE
EMPLOYER  HAS  NOT OTHERWISE REDUCED ITS WORKFORCE BY INVOLUNTARY TERMI-
NATIONS WITH THE INTENTION OF FILLING THE  VACANCY  BY  CREATING  A  NEW
HIRE.
  (C)  A  QUALIFIED  EMPLOYER SHALL BE ENTITLED TO A TAX CREDIT EQUAL TO
(1) FIVE HUNDRED DOLLARS PER MONTH FOR UP TO SIX MONTHS FOR EACH  QUALI-
FIED EMPLOYEE THE EMPLOYER EMPLOYS IN A FULL-TIME JOB OF AT LEAST THIRTY
HOURS  PER  WEEK  OR  TWO  HUNDRED FIFTY DOLLARS PER MONTH FOR UP TO SIX
MONTHS FOR EACH QUALIFIED EMPLOYEE THE EMPLOYER EMPLOYS IN  A  PART-TIME
JOB OF AT LEAST FIFTEEN HOURS PER WEEK, AND (2) ONE THOUSAND DOLLARS FOR
EACH  QUALIFIED  EMPLOYEE WHO IS EMPLOYED FOR AT LEAST AN ADDITIONAL SIX
MONTHS BY THE QUALIFIED EMPLOYER IN A FULL-TIME JOB OF AT  LEAST  THIRTY
HOURS  PER  WEEK OR FIVE HUNDRED DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO
IS EMPLOYED FOR AT LEAST AN  ADDITIONAL  SIX  MONTHS  BY  THE  QUALIFIED
EMPLOYER  IN A PART-TIME JOB OF AT LEAST FIFTEEN HOURS PER WEEK. THE TAX
CREDITS SHALL BE CLAIMED BY  THE  QUALIFIED  EMPLOYER  AS  SPECIFIED  IN
SUBDIVISION  FORTY-SEVEN  OF SECTION TWO HUNDRED TEN AND SUBSECTION (WW)
OF SECTION SIX HUNDRED SIX OF THE TAX LAW.
  (D) TO PARTICIPATE IN THE DEVELOPMENTALLY DISABLED  WORKS  TAX  CREDIT
PROGRAM, AN EMPLOYER MUST SUBMIT AN APPLICATION (IN A FORM PRESCRIBED BY
THE  COMMISSIONER) TO THE COMMISSIONER NO LATER THAN NOVEMBER THIRTIETH,
TWO THOUSAND THIRTEEN FOR PROGRAM ONE, AFTER JANUARY FIRST, TWO THOUSAND
FOURTEEN BUT NO LATER THAN NOVEMBER THIRTIETH, TWO THOUSAND FOURTEEN FOR
PROGRAM TWO, AFTER JANUARY FIRST, TWO THOUSAND FIFTEEN BUT NO LATER THAN
NOVEMBER THIRTIETH, TWO THOUSAND FIFTEEN FOR PROGRAM THREE, AFTER  JANU-
ARY  FIRST,  TWO  THOUSAND SIXTEEN BUT NO LATER THAN NOVEMBER THIRTIETH,
TWO THOUSAND SIXTEEN FOR PROGRAM FOUR,  AND  AFTER  JANUARY  FIRST,  TWO
THOUSAND  SEVENTEEN  BUT  NO LATER THAN NOVEMBER THIRTIETH, TWO THOUSAND
SEVENTEEN FOR PROGRAM FIVE. THE QUALIFIED  EMPLOYEES  MUST  START  THEIR
EMPLOYMENT ON OR AFTER JANUARY FIRST, TWO THOUSAND THIRTEEN BUT NO LATER
THAN DECEMBER THIRTY-FIRST, TWO THOUSAND THIRTEEN FOR PROGRAM ONE, ON OR
AFTER  JANUARY  FIRST,  TWO THOUSAND FOURTEEN BUT NO LATER THAN DECEMBER
THIRTY-FIRST, TWO THOUSAND FOURTEEN FOR PROGRAM TWO, ON OR AFTER JANUARY
FIRST, TWO THOUSAND FIFTEEN BUT NO LATER THAN DECEMBER THIRTY-FIRST, TWO
THOUSAND FIFTEEN FOR PROGRAM THREE, ON OR AFTER JANUARY FIRST, TWO THOU-
SAND SIXTEEN BUT NO  LATER  THAN  DECEMBER  THIRTY-FIRST,  TWO  THOUSAND
SIXTEEN  FOR  PROGRAM  FOUR, AND ON OR AFTER JANUARY FIRST, TWO THOUSAND

S. 4946--A                          3

SEVENTEEN BUT NO LATER THAN DECEMBER THIRTY-FIRST, TWO  THOUSAND  SEVEN-
TEEN  FOR  PROGRAM FIVE. THE COMMISSIONER SHALL ESTABLISH GUIDELINES AND
CRITERIA THAT SPECIFY REQUIREMENTS FOR EMPLOYERS TO PARTICIPATE  IN  THE
PROGRAM INCLUDING CRITERIA FOR CERTIFYING QUALIFIED EMPLOYEES. ANY REGU-
LATIONS THAT THE COMMISSIONER DETERMINES ARE NECESSARY MAY BE ADOPTED ON
AN  EMERGENCY  BASIS NOTWITHSTANDING ANYTHING TO THE CONTRARY IN SECTION
TWO HUNDRED TWO OF THE STATE ADMINISTRATIVE PROCEDURE ACT. SUCH REQUIRE-
MENTS MAY INCLUDE THE TYPES OF INDUSTRIES THAT THE EMPLOYERS ARE ENGAGED
IN. THE COMMISSIONER MAY GIVE PREFERENCE TO EMPLOYERS THAT  ARE  ENGAGED
IN  DEMAND  OCCUPATIONS  OR  INDUSTRIES,  OR IN REGIONAL GROWTH SECTORS,
INCLUDING THOSE IDENTIFIED BY THE REGIONAL  ECONOMIC  DEVELOPMENT  COUN-
CILS,  SUCH  AS  CLEAN  ENERGY,  HEALTHCARE,  ADVANCED MANUFACTURING AND
CONSERVATION. IN ADDITION, THE COMMISSIONER  SHALL  GIVE  PREFERENCE  TO
EMPLOYERS  WHO  OFFER  ADVANCEMENT  AND EMPLOYEE BENEFIT PACKAGES TO THE
QUALIFIED INDIVIDUALS.
  (E) IF, AFTER REVIEWING THE APPLICATION SUBMITTED BY AN EMPLOYER,  THE
COMMISSIONER DETERMINES THAT SUCH EMPLOYER IS ELIGIBLE TO PARTICIPATE IN
THE WORKERS WITH DISABILITIES TAX CREDIT PROGRAM, THE COMMISSIONER SHALL
ISSUE  THE  EMPLOYER  A  CERTIFICATE OF ELIGIBILITY THAT ESTABLISHES THE
EMPLOYER AS A QUALIFIED EMPLOYER. THE CERTIFICATE OF  ELIGIBILITY  SHALL
SPECIFY  THE MAXIMUM AMOUNT OF WORKERS WITH DISABILITIES TAX CREDIT THAT
THE EMPLOYER WILL BE ALLOWED TO CLAIM.
  S 2. Section 210 of the tax law is amended by adding a new subdivision
47 to read as follows:
  47. WORKERS WITH DISABILITIES TAX CREDIT. (A) A TAXPAYER THAT HAS BEEN
CERTIFIED BY THE COMMISSIONER OF LABOR AS A QUALIFIED EMPLOYER  PURSUANT
TO  SECTION  TWENTY-FIVE-B  OF  THE  LABOR LAW SHALL BE ALLOWED A CREDIT
AGAINST THE TAX IMPOSED BY  THIS  ARTICLE  EQUAL  TO  (I)  FIVE  HUNDRED
DOLLARS  PER  MONTH FOR UP TO SIX MONTHS FOR EACH QUALIFIED EMPLOYEE THE
EMPLOYER EMPLOYS IN A FULL-TIME JOB OF AT LEAST THIRTY HOURS PER WEEK OR
TWO HUNDRED FIFTY DOLLARS PER MONTH FOR UP TO SIX MONTHS FOR EACH QUALI-
FIED EMPLOYEE THE EMPLOYER EMPLOYS  IN  A  PART-TIME  JOB  OF  AT  LEAST
FIFTEEN HOURS PER WEEK, AND (II) ONE THOUSAND DOLLARS FOR EACH QUALIFIED
EMPLOYEE  WHO  IS  EMPLOYED FOR AT LEAST AN ADDITIONAL SIX MONTHS BY THE
QUALIFIED EMPLOYER IN A FULL-TIME JOB OF AT LEAST THIRTY HOURS PER  WEEK
OR  FIVE HUNDRED DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED FOR
AT LEAST AN ADDITIONAL  SIX  MONTHS  BY  THE  QUALIFIED  EMPLOYER  IN  A
PART-TIME  JOB  OF AT LEAST FIFTEEN HOURS PER WEEK. FOR PURPOSES OF THIS
SUBDIVISION, THE TERM "QUALIFIED EMPLOYEE" SHALL HAVE THE  SAME  MEANING
AS  SET  FORTH  IN SUBDIVISION (B) OF SECTION TWENTY-FIVE-B OF THE LABOR
LAW. THE PORTION OF THE CREDIT DESCRIBED  IN  THIS  PARAGRAPH  SHALL  BE
ALLOWED  FOR  THE  TAXABLE YEAR BEGINNING ON OR AFTER JANUARY FIRST, TWO
THOUSAND THIRTEEN.
  (B) THE CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR MAY
NOT REDUCE THE TAX DUE FOR THAT YEAR TO LESS THAN THE AMOUNT  PRESCRIBED
IN  PARAGRAPH  (D)  OF  SUBDIVISION ONE OF THIS SECTION. HOWEVER, IF THE
AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR
REDUCES THE TAX TO THAT AMOUNT, ANY AMOUNT OF CREDIT NOT  DEDUCTIBLE  IN
THAT TAXABLE YEAR WILL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDIT-
ED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION ONE THOUSAND
EIGHTY-SIX OF THIS CHAPTER.  PROVIDED, HOWEVER, NO INTEREST WILL BE PAID
THEREON.
  (C)  THE  TAXPAYER  MAY  BE  REQUIRED  TO ATTACH TO ITS TAX RETURN ITS
CERTIFICATE OF ELIGIBILITY ISSUED BY THE COMMISSIONER OF LABOR  PURSUANT
TO SECTION TWENTY-FIVE-B OF THE LABOR LAW. IN NO EVENT SHALL THE TAXPAY-
ER  BE  ALLOWED A CREDIT GREATER THAN THE AMOUNT OF THE CREDIT LISTED ON

S. 4946--A                          4

THE CERTIFICATE OF ELIGIBILITY.  NOTWITHSTANDING ANY PROVISION  OF  THIS
CHAPTER  TO THE CONTRARY, THE COMMISSIONER AND THE COMMISSIONER'S DESIG-
NEES MAY RELEASE THE NAMES AND ADDRESSES OF ANY TAXPAYER  CLAIMING  THIS
CREDIT  AND  THE  AMOUNT OF THE CREDIT EARNED BY THE TAXPAYER. PROVIDED,
HOWEVER, IF A TAXPAYER CLAIMS THIS CREDIT BECAUSE IT IS A  MEMBER  OF  A
LIMITED LIABILITY COMPANY OR A PARTNER IN A PARTNERSHIP, ONLY THE AMOUNT
OF  CREDIT  EARNED BY THE ENTITY AND NOT THE AMOUNT OF CREDIT CLAIMED BY
THE TAXPAYER MAY BE RELEASED.
  S 3. Section 606 of the tax law is amended by adding a new  subsection
(ww) to read as follows:
  (WW)  WORKERS  WITH  DISABILITIES  TAX CREDIT. (1) A TAXPAYER THAT HAS
BEEN CERTIFIED BY THE COMMISSIONER OF  LABOR  AS  A  QUALIFIED  EMPLOYER
PURSUANT  TO  SECTION  TWENTY-FIVE-B OF THE LABOR LAW SHALL BE ALLOWED A
CREDIT AGAINST THE TAX IMPOSED BY THIS ARTICLE EQUAL TO (A) FIVE HUNDRED
DOLLARS PER MONTH FOR UP TO SIX MONTHS FOR EACH QUALIFIED  EMPLOYEE  THE
EMPLOYER EMPLOYS IN A FULL-TIME JOB OF AT LEAST THIRTY HOURS PER WEEK OR
TWO HUNDRED FIFTY DOLLARS PER MONTH FOR UP TO SIX MONTHS FOR EACH QUALI-
FIED  EMPLOYEE  THE  EMPLOYER  EMPLOYS  IN  A  PART-TIME JOB OF AT LEAST
FIFTEEN HOURS PER WEEK, AND (B) ONE THOUSAND DOLLARS FOR EACH  QUALIFIED
EMPLOYEE  WHO  IS  EMPLOYED FOR AT LEAST AN ADDITIONAL SIX MONTHS BY THE
QUALIFIED EMPLOYER IN A FULL-TIME JOB OF AT LEAST THIRTY HOURS PER  WEEK
OR  FIVE HUNDRED DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED FOR
AT LEAST AN ADDITIONAL  SIX  MONTHS  BY  THE  QUALIFIED  EMPLOYER  IN  A
PART-TIME  JOB  OF AT LEAST FIFTEEN HOURS PER WEEK. A TAXPAYER THAT IS A
PARTNER IN A PARTNERSHIP, MEMBER  OF  A  LIMITED  LIABILITY  COMPANY  OR
SHAREHOLDER  IN  AN S CORPORATION THAT HAS BEEN CERTIFIED BY THE COMMIS-
SIONER  OF  LABOR  AS  A  QUALIFIED   EMPLOYER   PURSUANT   TO   SECTION
TWENTY-FIVE-B  OF  THE  LABOR LAW SHALL BE ALLOWED ITS PRO RATA SHARE OF
THE CREDIT EARNED BY THE PARTNERSHIP, LIMITED  LIABILITY  COMPANY  OR  S
CORPORATION.  FOR  PURPOSES  OF  THIS  SUBSECTION,  THE  TERM "QUALIFIED
EMPLOYEE" SHALL HAVE THE SAME MEANING AS SET FORTH IN SUBDIVISION (B) OF
SECTION TWENTY-FIVE-B OF THE  LABOR  LAW.  THE  PORTION  OF  THE  CREDIT
DESCRIBED IN THIS PARAGRAPH SHALL BE ALLOWED FOR THE TAXABLE YEAR BEGIN-
NING ON OR AFTER JANUARY FIRST, TWO THOUSAND THIRTEEN.
  (2)  IF THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBSECTION EXCEEDS
THE TAXPAYER'S TAX FOR THE TAXABLE YEAR, ANY AMOUNT OF CREDIT NOT DEDUC-
TIBLE IN THAT TAXABLE YEAR WILL BE TREATED AS AN OVERPAYMENT OF  TAX  TO
BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX
HUNDRED  EIGHTY-SIX OF THIS ARTICLE. PROVIDED, HOWEVER, NO INTEREST WILL
BE PAID THEREON.
  (3) THE TAXPAYER MAY BE REQUIRED TO  ATTACH  TO  ITS  TAX  RETURN  ITS
CERTIFICATE  OF ELIGIBILITY ISSUED BY THE COMMISSIONER OF LABOR PURSUANT
TO SECTION TWENTY-FIVE-B OF THE LABOR LAW. IN NO EVENT SHALL THE TAXPAY-
ER BE ALLOWED A CREDIT GREATER THAN THE AMOUNT OF THE CREDIT  LISTED  ON
THE  CERTIFICATE  OF ELIGIBILITY.  NOTWITHSTANDING ANY PROVISION OF THIS
CHAPTER TO THE CONTRARY, THE COMMISSIONER AND THE COMMISSIONER'S  DESIG-
NEES  MAY  RELEASE THE NAMES AND ADDRESSES OF ANY TAXPAYER CLAIMING THIS
CREDIT AND THE AMOUNT OF THE CREDIT EARNED BY  THE  TAXPAYER.  PROVIDED,
HOWEVER,  IF  A  TAXPAYER CLAIMS THIS CREDIT BECAUSE IT IS A MEMBER OF A
LIMITED LIABILITY COMPANY, A PARTNER IN A PARTNERSHIP, OR A  SHAREHOLDER
IN  A  SUBCHAPTER S CORPORATION, ONLY THE AMOUNT OF CREDIT EARNED BY THE
ENTITY AND NOT THE AMOUNT OF CREDIT  CLAIMED  BY  THE  TAXPAYER  MAY  BE
RELEASED.
  S  4. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
of the tax law is amended by adding a new  clause  (xxxvi)  to  read  as
follows:

S. 4946--A                          5

(XXXVI) WORKERS WITH DISABILITIES    AMOUNT OF
TAX CREDIT UNDER SUBSECTION (WW)     CREDIT UNDER SUBDIVISION
                                     FORTY-SEVEN OF SECTION TWO
                                     HUNDRED TEN
  S 5. This act shall take effect immediately.

Co-Sponsors

S4946B - Bill Details

See Assembly Version of this Bill:
A7387B
Current Committee:
Law Section:
Labor Law
Laws Affected:
Add §25-b, Lab L; amd §§210 & 606, Tax L

S4946B - Bill Texts

view summary

Establishes the workers with disabilities tax credit program; provides tax incentives to employers for employing individuals with developmental disabilities.

view sponsor memo
BILL NUMBER:S4946B

TITLE OF BILL: An act to amend the labor law and the tax law, in
relation to the creation of the workers with disabilities tax credit
program

SUMMARY OF PROVISIONS: Section 1 amends the labor law by adding a new
section 25-b which authorizes the commissioner to establish and
administer the workers with disabilities tax credit program to provide
tax incentives to employers for employing individuals with
developmental disabilities.

Section 2 amends section 210 of the Tax Law to add a new section 48,
workers with disabilities tax credit.

Section 3 amends section 606 of the Tax Law to add a new section (xx),
workers with disabilities tax credit.

Section 4 amends subparagraph (B) of paragraph 1 of subsection (i) of
section 606 of the Tax Law to add a new clause (xxxvii), workers with
disabilities tax credit.

Section 5 provides that this act shall take effect immediately.

PURPOSE AND JUSTIFICATION: When the minimum wage was recently raised
in the SFY 2013-2014 Budget, it was recognized that this increase
would adversely affect employment opportunities among young people,
and a tax credit was granted to employers who hired young people
between 18 and 20 years of age to offset this problem. The minimum
wage increase will similarly negatively affect employment
opportunities among the developmentally disabled, and this bill will
encourage employers to hire the developmentally disabled. In
addition, New York State has entered into an agreement with the
federal government to transform the OPWDD to place more
developmentally disabled individuals in jobs. This bill is an
effective way to advance this goal and create more employment
opportunities for these individuals.

PRIOR LEGISLATIVE HISTORY: New bill

FISCAL IMPLICATIONS: To be determined. The Commissioner is authorized
to allocate up to six million dollars in each of the four program
years for these tax credits.

EFFECTIVE DATE: Immediately

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

                                 4946--B

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                               May 1, 2013
                               ___________

Introduced  by  Sen.  RANZENHOFER -- read twice and ordered printed, and
  when printed to be committed to the Committee on  Labor  --  committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to  said  committee  --  reported  favorably  from  said committee and
  committed to the Committee on Finance --  committee  discharged,  bill
  amended,  ordered reprinted as amended and recommitted to said commit-
  tee

AN ACT to amend the labor law and  the  tax  law,  in  relation  to  the
  creation of the workers with disabilities tax credit program

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

  Section 1. The labor law is amended by adding a new  section  25-b  to
read as follows:
  S  25-B.  POWER TO ADMINISTER THE WORKERS WITH DISABILITIES TAX CREDIT
PROGRAM. (A) THE COMMISSIONER IS AUTHORIZED TO ESTABLISH AND  ADMINISTER
THE  WORKERS  WITH DISABILITIES TAX CREDIT PROGRAM TO PROVIDE TAX INCEN-
TIVES TO EMPLOYERS FOR EMPLOYING INDIVIDUALS WITH DEVELOPMENTAL DISABIL-
ITIES. THERE WILL BE FIVE DISTINCT POOLS OF TAX INCENTIVES. PROGRAM  ONE
WILL  COVER TAX INCENTIVES ALLOCATED FOR TWO THOUSAND FOURTEEN.  PROGRAM
TWO WILL COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND  FIFTEEN  TO  BE
USED  IN  TWO  THOUSAND  FIFTEEN AND TWO THOUSAND SIXTEEN. PROGRAM THREE
WILL COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND SIXTEEN TO  BE  USED
IN  TWO  THOUSAND  SIXTEEN AND TWO THOUSAND SEVENTEEN. PROGRAM FOUR WILL
COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND SEVENTEEN TO BE  USED  IN
TWO  THOUSAND  SEVENTEEN  AND  TWO  THOUSAND EIGHTEEN. PROGRAM FIVE WILL
COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND EIGHTEEN TO  BE  USED  IN
TWO  THOUSAND  EIGHTEEN  AND  TWO THOUSAND NINETEEN. THE COMMISSIONER IS
AUTHORIZED TO ALLOCATE UP TO SIX MILLION DOLLARS OF  TAX  CREDITS  UNDER
PROGRAM  ONE,  SIX MILLION DOLLARS OF TAX CREDITS UNDER PROGRAM TWO, SIX
MILLION DOLLARS OF TAX CREDITS UNDER  PROGRAM  THREE,  AND  SIX  MILLION

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10299-06-3

S. 4946--B                          2

DOLLARS  OF  TAX  CREDITS UNDER PROGRAM FOUR, AND SIX MILLION DOLLARS OF
TAX CREDITS UNDER PROGRAM FIVE.
  (B)  DEFINITIONS.  (1) THE TERM "QUALIFIED EMPLOYER" MEANS AN EMPLOYER
THAT HAS BEEN CERTIFIED BY THE COMMISSIONER TO PARTICIPATE IN THE  WORK-
ERS  WITH  DISABILITIES  TAX CREDIT PROGRAM AND THAT EMPLOYS ONE OR MORE
QUALIFIED EMPLOYEES.
  (2) THE TERM "QUALIFIED EMPLOYEE" MEANS AN INDIVIDUAL:
  (I) WHO IS DEEMED TO HAVE A DEVELOPMENTAL DISABILITY, AS THAT TERM  IS
DEFINED  IN SUBDIVISION TWENTY-TWO OF SECTION 1.03 OF THE MENTAL HYGIENE
LAW AND WHO IS CERTIFIED BY THE EDUCATION DEPARTMENT OR THE  OFFICE  FOR
PEOPLE WITH DEVELOPMENTAL DISABILITIES:
  (A)  AS  A  PERSON WITH A DISABILITY WHICH CONSTITUTES OR RESULTS IN A
SUBSTANTIAL HANDICAP TO EMPLOYMENT; AND
  (B) AS A PERSON HAVING COMPLETED OR AS  RECEIVING  SERVICES  UNDER  AN
INDIVIDUALIZED  WRITTEN  REHABILITATION  PLAN  APPROVED BY THE EDUCATION
DEPARTMENT OR OTHER STATE AGENCY RESPONSIBLE  FOR  PROVIDING  VOCATIONAL
REHABILITATION SERVICES TO SUCH INDIVIDUAL; AND
  (II)  WHO IS UNEMPLOYED PRIOR TO BEING HIRED BY THE QUALIFIED EMPLOYER
BUT IS NOT RESTRICTED IN HIS OR HER EMPLOYMENT UNDER A FEDERAL OR  STATE
LAW, RULE OR REGULATION; AND
  (III) WHO WILL BE WORKING FOR THE QUALIFIED EMPLOYER IN A FULL-TIME OR
PART-TIME POSITION THAT PAYS WAGES THAT ARE EQUIVALENT TO THE WAGES PAID
FOR SIMILAR JOBS, WITH APPROPRIATE ADJUSTMENTS FOR EXPERIENCE AND TRAIN-
ING,  AND  FOR WHICH NO OTHER EMPLOYEE HAS BEEN TERMINATED, OR WHERE THE
EMPLOYER HAS NOT OTHERWISE REDUCED ITS WORKFORCE BY  INVOLUNTARY  TERMI-
NATIONS  WITH  THE  INTENTION  OF  FILLING THE VACANCY BY CREATING A NEW
HIRE.
  (C) A QUALIFIED EMPLOYER SHALL BE ENTITLED TO A TAX  CREDIT  EQUAL  TO
(1)  FIVE HUNDRED DOLLARS PER MONTH FOR UP TO SIX MONTHS FOR EACH QUALI-
FIED EMPLOYEE THE EMPLOYER EMPLOYS IN A FULL-TIME JOB OF AT LEAST THIRTY
HOURS PER WEEK OR TWO HUNDRED FIFTY DOLLARS PER  MONTH  FOR  UP  TO  SIX
MONTHS  FOR  EACH QUALIFIED EMPLOYEE THE EMPLOYER EMPLOYS IN A PART-TIME
JOB OF AT LEAST FIFTEEN HOURS PER WEEK, AND (2) ONE THOUSAND DOLLARS FOR
EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED FOR AT LEAST AN  ADDITIONAL  SIX
MONTHS  BY  THE QUALIFIED EMPLOYER IN A FULL-TIME JOB OF AT LEAST THIRTY
HOURS PER WEEK OR FIVE HUNDRED DOLLARS FOR EACH QUALIFIED  EMPLOYEE  WHO
IS  EMPLOYED  FOR  AT  LEAST  AN  ADDITIONAL SIX MONTHS BY THE QUALIFIED
EMPLOYER IN A PART-TIME JOB OF AT LEAST FIFTEEN HOURS PER WEEK. THE  TAX
CREDITS  SHALL  BE  CLAIMED  BY  THE  QUALIFIED EMPLOYER AS SPECIFIED IN
SUBDIVISION FORTY-EIGHT OF SECTION TWO HUNDRED TEN AND  SUBSECTION  (XX)
OF SECTION SIX HUNDRED SIX OF THE TAX LAW.
  (D)  TO  PARTICIPATE  IN THE DEVELOPMENTALLY DISABLED WORKS TAX CREDIT
PROGRAM, AN EMPLOYER MUST SUBMIT AN APPLICATION (IN A FORM PRESCRIBED BY
THE COMMISSIONER) TO THE COMMISSIONER NO LATER THAN NOVEMBER  THIRTIETH,
TWO THOUSAND FOURTEEN FOR PROGRAM ONE, AFTER JANUARY FIRST, TWO THOUSAND
FIFTEEN  BUT  NO LATER THAN NOVEMBER THIRTIETH, TWO THOUSAND FIFTEEN FOR
PROGRAM TWO, AFTER JANUARY FIRST, TWO THOUSAND SIXTEEN BUT NO LATER THAN
NOVEMBER THIRTIETH, TWO THOUSAND SIXTEEN FOR PROGRAM THREE, AFTER  JANU-
ARY  FIRST, TWO THOUSAND SEVENTEEN BUT NO LATER THAN NOVEMBER THIRTIETH,
TWO THOUSAND SEVENTEEN FOR PROGRAM FOUR, AND AFTER  JANUARY  FIRST,  TWO
THOUSAND  EIGHTEEN  BUT  NO  LATER THAN NOVEMBER THIRTIETH, TWO THOUSAND
EIGHTEEN FOR PROGRAM FIVE. THE  QUALIFIED  EMPLOYEES  MUST  START  THEIR
EMPLOYMENT ON OR AFTER JANUARY FIRST, TWO THOUSAND FOURTEEN BUT NO LATER
THAN DECEMBER THIRTY-FIRST, TWO THOUSAND FOURTEEN FOR PROGRAM ONE, ON OR
AFTER  JANUARY  FIRST,  TWO  THOUSAND FIFTEEN BUT NO LATER THAN DECEMBER
THIRTY-FIRST, TWO THOUSAND FIFTEEN FOR PROGRAM TWO, ON OR AFTER  JANUARY

S. 4946--B                          3

FIRST, TWO THOUSAND SIXTEEN BUT NO LATER THAN DECEMBER THIRTY-FIRST, TWO
THOUSAND SIXTEEN FOR PROGRAM THREE, ON OR AFTER JANUARY FIRST, TWO THOU-
SAND  SEVENTEEN  BUT  NO  LATER THAN DECEMBER THIRTY-FIRST, TWO THOUSAND
SEVENTEEN  FOR PROGRAM FOUR, AND ON OR AFTER JANUARY FIRST, TWO THOUSAND
EIGHTEEN BUT NO LATER THAN DECEMBER THIRTY-FIRST, TWO THOUSAND  EIGHTEEN
FOR PROGRAM FIVE. THE COMMISSIONER SHALL ESTABLISH GUIDELINES AND CRITE-
RIA  THAT  SPECIFY  REQUIREMENTS  FOR  EMPLOYERS  TO  PARTICIPATE IN THE
PROGRAM INCLUDING CRITERIA FOR CERTIFYING QUALIFIED EMPLOYEES. ANY REGU-
LATIONS THAT THE COMMISSIONER DETERMINES ARE NECESSARY MAY BE ADOPTED ON
AN EMERGENCY BASIS NOTWITHSTANDING ANYTHING TO THE CONTRARY  IN  SECTION
TWO HUNDRED TWO OF THE STATE ADMINISTRATIVE PROCEDURE ACT. SUCH REQUIRE-
MENTS MAY INCLUDE THE TYPES OF INDUSTRIES THAT THE EMPLOYERS ARE ENGAGED
IN.  THE  COMMISSIONER MAY GIVE PREFERENCE TO EMPLOYERS THAT ARE ENGAGED
IN DEMAND OCCUPATIONS OR INDUSTRIES, OR IN REGIONAL GROWTH SECTORS, SUCH
AS CLEAN ENERGY, HEALTHCARE, ADVANCED MANUFACTURING AND CONSERVATION. IN
ADDITION, THE COMMISSIONER SHALL GIVE PREFERENCE TO EMPLOYERS WHO  OFFER
ADVANCEMENT AND EMPLOYEE BENEFIT PACKAGES TO THE QUALIFIED INDIVIDUALS.
  (E)  IF, AFTER REVIEWING THE APPLICATION SUBMITTED BY AN EMPLOYER, THE
COMMISSIONER DETERMINES THAT SUCH EMPLOYER IS ELIGIBLE TO PARTICIPATE IN
THE WORKERS WITH DISABILITIES TAX CREDIT PROGRAM, THE COMMISSIONER SHALL
ISSUE THE EMPLOYER A CERTIFICATE OF  ELIGIBILITY  THAT  ESTABLISHES  THE
EMPLOYER  AS  A QUALIFIED EMPLOYER. THE CERTIFICATE OF ELIGIBILITY SHALL
SPECIFY THE MAXIMUM AMOUNT OF WORKERS WITH DISABILITIES TAX CREDIT  THAT
THE EMPLOYER WILL BE ALLOWED TO CLAIM.
  S 2. Section 210 of the tax law is amended by adding a new subdivision
48 to read as follows:
  48. WORKERS WITH DISABILITIES TAX CREDIT. (A) A TAXPAYER THAT HAS BEEN
CERTIFIED  BY THE COMMISSIONER OF LABOR AS A QUALIFIED EMPLOYER PURSUANT
TO SECTION TWENTY-FIVE-B OF THE LABOR LAW  SHALL  BE  ALLOWED  A  CREDIT
AGAINST  THE  TAX  IMPOSED  BY  THIS  ARTICLE  EQUAL TO (I) FIVE HUNDRED
DOLLARS PER MONTH FOR UP TO SIX MONTHS FOR EACH QUALIFIED  EMPLOYEE  THE
EMPLOYER EMPLOYS IN A FULL-TIME JOB OF AT LEAST THIRTY HOURS PER WEEK OR
TWO HUNDRED FIFTY DOLLARS PER MONTH FOR UP TO SIX MONTHS FOR EACH QUALI-
FIED  EMPLOYEE  THE  EMPLOYER  EMPLOYS  IN  A  PART-TIME JOB OF AT LEAST
FIFTEEN HOURS PER WEEK, AND (II) ONE THOUSAND DOLLARS FOR EACH QUALIFIED
EMPLOYEE WHO IS EMPLOYED FOR AT LEAST AN ADDITIONAL SIX  MONTHS  BY  THE
QUALIFIED  EMPLOYER IN A FULL-TIME JOB OF AT LEAST THIRTY HOURS PER WEEK
OR FIVE HUNDRED DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED  FOR
AT  LEAST  AN  ADDITIONAL  SIX  MONTHS  BY  THE  QUALIFIED EMPLOYER IN A
PART-TIME JOB OF AT LEAST FIFTEEN HOURS PER WEEK. FOR PURPOSES  OF  THIS
SUBDIVISION,  THE  TERM "QUALIFIED EMPLOYEE" SHALL HAVE THE SAME MEANING
AS SET FORTH IN SUBDIVISION (B) OF SECTION TWENTY-FIVE-B  OF  THE  LABOR
LAW.  THE  PORTION  OF  THE  CREDIT DESCRIBED IN THIS PARAGRAPH SHALL BE
ALLOWED FOR THE TAXABLE YEAR BEGINNING ON OR AFTER  JANUARY  FIRST,  TWO
THOUSAND FOURTEEN.
  (B) THE CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR MAY
NOT  REDUCE THE TAX DUE FOR THAT YEAR TO LESS THAN THE AMOUNT PRESCRIBED
IN PARAGRAPH (D) OF SUBDIVISION ONE OF THIS  SECTION.  HOWEVER,  IF  THE
AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR
REDUCES  THE  TAX TO THAT AMOUNT, ANY AMOUNT OF CREDIT NOT DEDUCTIBLE IN
THAT TAXABLE YEAR WILL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDIT-
ED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION ONE THOUSAND
EIGHTY-SIX OF THIS CHAPTER.  PROVIDED, HOWEVER, NO INTEREST WILL BE PAID
THEREON.
  (C) THE TAXPAYER MAY BE REQUIRED TO  ATTACH  TO  ITS  TAX  RETURN  ITS
CERTIFICATE  OF ELIGIBILITY ISSUED BY THE COMMISSIONER OF LABOR PURSUANT

S. 4946--B                          4

TO SECTION TWENTY-FIVE-B OF THE LABOR LAW. IN NO EVENT SHALL THE TAXPAY-
ER BE ALLOWED A CREDIT GREATER THAN THE AMOUNT OF THE CREDIT  LISTED  ON
THE  CERTIFICATE  OF ELIGIBILITY.  NOTWITHSTANDING ANY PROVISION OF THIS
CHAPTER  TO THE CONTRARY, THE COMMISSIONER AND THE COMMISSIONER'S DESIG-
NEES MAY RELEASE THE NAMES AND ADDRESSES OF ANY TAXPAYER  CLAIMING  THIS
CREDIT  AND  THE  AMOUNT OF THE CREDIT EARNED BY THE TAXPAYER. PROVIDED,
HOWEVER, IF A TAXPAYER CLAIMS THIS CREDIT BECAUSE IT IS A  MEMBER  OF  A
LIMITED LIABILITY COMPANY OR A PARTNER IN A PARTNERSHIP, ONLY THE AMOUNT
OF  CREDIT  EARNED BY THE ENTITY AND NOT THE AMOUNT OF CREDIT CLAIMED BY
THE TAXPAYER MAY BE RELEASED.
  S 3. Section 606 of the tax law is amended by adding a new  subsection
(xx) to read as follows:
  (XX)  WORKERS  WITH  DISABILITIES  TAX CREDIT. (1) A TAXPAYER THAT HAS
BEEN CERTIFIED BY THE COMMISSIONER OF  LABOR  AS  A  QUALIFIED  EMPLOYER
PURSUANT  TO  SECTION  TWENTY-FIVE-B OF THE LABOR LAW SHALL BE ALLOWED A
CREDIT AGAINST THE TAX IMPOSED BY THIS ARTICLE EQUAL TO (A) FIVE HUNDRED
DOLLARS PER MONTH FOR UP TO SIX MONTHS FOR EACH QUALIFIED  EMPLOYEE  THE
EMPLOYER EMPLOYS IN A FULL-TIME JOB OF AT LEAST THIRTY HOURS PER WEEK OR
TWO HUNDRED FIFTY DOLLARS PER MONTH FOR UP TO SIX MONTHS FOR EACH QUALI-
FIED  EMPLOYEE  THE  EMPLOYER  EMPLOYS  IN  A  PART-TIME JOB OF AT LEAST
FIFTEEN HOURS PER WEEK, AND (B) ONE THOUSAND DOLLARS FOR EACH  QUALIFIED
EMPLOYEE  WHO  IS  EMPLOYED FOR AT LEAST AN ADDITIONAL SIX MONTHS BY THE
QUALIFIED EMPLOYER IN A FULL-TIME JOB OF AT LEAST THIRTY HOURS PER  WEEK
OR  FIVE HUNDRED DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED FOR
AT LEAST AN ADDITIONAL  SIX  MONTHS  BY  THE  QUALIFIED  EMPLOYER  IN  A
PART-TIME  JOB  OF AT LEAST FIFTEEN HOURS PER WEEK. A TAXPAYER THAT IS A
PARTNER IN A PARTNERSHIP, MEMBER  OF  A  LIMITED  LIABILITY  COMPANY  OR
SHAREHOLDER  IN  AN S CORPORATION THAT HAS BEEN CERTIFIED BY THE COMMIS-
SIONER  OF  LABOR  AS  A  QUALIFIED   EMPLOYER   PURSUANT   TO   SECTION
TWENTY-FIVE-B  OF  THE  LABOR LAW SHALL BE ALLOWED ITS PRO RATA SHARE OF
THE CREDIT EARNED BY THE PARTNERSHIP, LIMITED  LIABILITY  COMPANY  OR  S
CORPORATION.  FOR  PURPOSES  OF  THIS  SUBSECTION,  THE  TERM "QUALIFIED
EMPLOYEE" SHALL HAVE THE SAME MEANING AS SET FORTH IN SUBDIVISION (B) OF
SECTION TWENTY-FIVE-B OF THE  LABOR  LAW.  THE  PORTION  OF  THE  CREDIT
DESCRIBED IN THIS PARAGRAPH SHALL BE ALLOWED FOR THE TAXABLE YEAR BEGIN-
NING ON OR AFTER JANUARY FIRST, TWO THOUSAND FOURTEEN.
  (2)  IF THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBSECTION EXCEEDS
THE TAXPAYER'S TAX FOR THE TAXABLE YEAR, ANY AMOUNT OF CREDIT NOT DEDUC-
TIBLE IN THAT TAXABLE YEAR WILL BE TREATED AS AN OVERPAYMENT OF  TAX  TO
BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX
HUNDRED  EIGHTY-SIX OF THIS ARTICLE. PROVIDED, HOWEVER, NO INTEREST WILL
BE PAID THEREON.
  (3) THE TAXPAYER MAY BE REQUIRED TO  ATTACH  TO  ITS  TAX  RETURN  ITS
CERTIFICATE  OF ELIGIBILITY ISSUED BY THE COMMISSIONER OF LABOR PURSUANT
TO SECTION TWENTY-FIVE-B OF THE LABOR LAW. IN NO EVENT SHALL THE TAXPAY-
ER BE ALLOWED A CREDIT GREATER THAN THE AMOUNT OF THE CREDIT  LISTED  ON
THE  CERTIFICATE  OF ELIGIBILITY.  NOTWITHSTANDING ANY PROVISION OF THIS
CHAPTER TO THE CONTRARY, THE COMMISSIONER AND THE COMMISSIONER'S  DESIG-
NEES  MAY  RELEASE THE NAMES AND ADDRESSES OF ANY TAXPAYER CLAIMING THIS
CREDIT AND THE AMOUNT OF THE CREDIT EARNED BY  THE  TAXPAYER.  PROVIDED,
HOWEVER,  IF  A  TAXPAYER CLAIMS THIS CREDIT BECAUSE IT IS A MEMBER OF A
LIMITED LIABILITY COMPANY, A PARTNER IN A PARTNERSHIP, OR A  SHAREHOLDER
IN  A  SUBCHAPTER S CORPORATION, ONLY THE AMOUNT OF CREDIT EARNED BY THE
ENTITY AND NOT THE AMOUNT OF CREDIT  CLAIMED  BY  THE  TAXPAYER  MAY  BE
RELEASED.

S. 4946--B                          5

  S  4. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
of the tax law is amended by adding a new clause  (xxxvii)  to  read  as
follows:
(XXXVII) WORKERS WITH DISABILITIES   AMOUNT OF
TAX CREDIT UNDER SUBSECTION (XX)     CREDIT UNDER SUBDIVISION
                                     FORTY-EIGHT OF SECTION TWO
                                     HUNDRED TEN
  S 5. This act shall take effect immediately.

Co-Sponsors

S4946C - Bill Details

See Assembly Version of this Bill:
A7387B
Current Committee:
Law Section:
Labor Law
Laws Affected:
Add §25-b, Lab L; amd §§210 & 606, Tax L

S4946C - Bill Texts

view summary

Establishes the workers with disabilities tax credit program; provides tax incentives to employers for employing individuals with developmental disabilities.

view sponsor memo
BILL NUMBER:S4946C

TITLE OF BILL: An act to amend the labor law and the tax law, in
relation to the creation of the workers with disabilities tax credit
program

SUMMARY OF PROVISIONS: Section 1 amends the labor law by adding a new
section 25-b which authorizes the commissioner to establish and
administer the workers with disabilities tax credit program to provide
tax incentives to employers for employing individuals with
developmental disabilities.

Section 2 amends section 210 of the Tax Law to add a new section 47,
workers with disabilities tax credit.

Section 3 amends section 606 of the Tax Law to reletter subsections
(yy) and (zz) to subsections (yyy) and (zzz) and add a new section
(xx), workers with disabilities tax credit.

Section 4 amends subparagraph (B) of paragraph 1 of subsection (i) of
section 606 of the Tax Law to add a new clause (xxxvi), workers with
disabilities tax credit.

Section 5 provides that this act shall take effect immediately.

PURPOSE AND JUSTIFICATION: When the minimum wage was recently raised
in the SFY 2013-2014 Budget, it was recognized that this increase
would adversely affect employment opportunities among young people,
and a tax credit was granted to employers who hired young people
between 18 and 20 years of age to offset this problem. The minimum
wage increase will similarly negatively affect employment
opportunities among the developmentally disabled, and this bill will
encourage employers to hire the developmentally disabled

PRIOR LEGISLATIVE HISTORY: New bill

FISCAL IMPLICATIONS: To be determined

EFFECTIVE DATE: This act shall take effect immediately.

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

                                 4946--C

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                               May 1, 2013
                               ___________

Introduced  by  Sens.  RANZENHOFER,  GALLIVAN  -- read twice and ordered
  printed, and when printed to be committed to the Committee on Labor --
  committee discharged, bill amended, ordered reprinted as  amended  and
  recommitted  to said committee -- reported favorably from said commit-
  tee and committed to the Committee on Finance -- committee discharged,
  bill amended, ordered reprinted as amended  and  recommitted  to  said
  committee  -- recommitted to the Committee on Labor 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  labor  law  and the tax law, in relation to the
  creation of the workers with disabilities tax credit program

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

  Section  1.  The  labor law is amended by adding a new section 25-b to
read as follows:
  S 25-B. POWER TO ADMINISTER THE WORKERS WITH DISABILITIES  TAX  CREDIT
PROGRAM.  (A) THE COMMISSIONER IS AUTHORIZED TO ESTABLISH AND ADMINISTER
THE WORKERS WITH DISABILITIES TAX CREDIT PROGRAM TO PROVIDE  TAX  INCEN-
TIVES TO EMPLOYERS FOR EMPLOYING INDIVIDUALS WITH DEVELOPMENTAL DISABIL-
ITIES.  THERE WILL BE FIVE DISTINCT POOLS OF TAX INCENTIVES. PROGRAM ONE
WILL COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND FOURTEEN TO BE  USED
IN  TWO  THOUSAND  FOURTEEN  AND TWO THOUSAND FIFTEEN.  PROGRAM TWO WILL
COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND FIFTEEN TO BE USED IN TWO
THOUSAND FIFTEEN AND TWO THOUSAND SIXTEEN. PROGRAM THREE WILL COVER  TAX
INCENTIVES  ALLOCATED IN TWO THOUSAND SIXTEEN TO BE USED IN TWO THOUSAND
SIXTEEN AND TWO THOUSAND SEVENTEEN. PROGRAM FOUR WILL COVER  TAX  INCEN-
TIVES  ALLOCATED  IN  TWO  THOUSAND SEVENTEEN TO BE USED IN TWO THOUSAND
SEVENTEEN AND TWO THOUSAND EIGHTEEN. PROGRAM FIVE WILL COVER TAX  INCEN-
TIVES  ALLOCATED  IN  TWO  THOUSAND  EIGHTEEN TO BE USED IN TWO THOUSAND
EIGHTEEN AND TWO THOUSAND NINETEEN. THE COMMISSIONER  IS  AUTHORIZED  TO
ALLOCATE UP TO SIX MILLION DOLLARS OF TAX CREDITS UNDER PROGRAM ONE, SIX

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10299-08-4

S. 4946--C                          2

MILLION DOLLARS OF TAX CREDITS UNDER PROGRAM TWO, SIX MILLION DOLLARS OF
TAX  CREDITS UNDER PROGRAM THREE, AND SIX MILLION DOLLARS OF TAX CREDITS
UNDER PROGRAM FOUR, AND SIX MILLION DOLLARS OF TAX CREDITS UNDER PROGRAM
FIVE.
  (B)  DEFINITIONS.  (1) THE TERM "QUALIFIED EMPLOYER" MEANS AN EMPLOYER
THAT HAS BEEN CERTIFIED BY THE COMMISSIONER TO PARTICIPATE IN THE  WORK-
ERS  WITH  DISABILITIES  TAX CREDIT PROGRAM AND THAT EMPLOYS ONE OR MORE
QUALIFIED EMPLOYEES.
  (2) THE TERM "QUALIFIED EMPLOYEE" MEANS AN INDIVIDUAL:
  (I) WHO IS DEEMED TO HAVE A DEVELOPMENTAL DISABILITY, AS THAT TERM  IS
DEFINED  IN SUBDIVISION TWENTY-TWO OF SECTION 1.03 OF THE MENTAL HYGIENE
LAW AND WHO IS CERTIFIED BY THE EDUCATION DEPARTMENT OR THE  OFFICE  FOR
PEOPLE WITH DEVELOPMENTAL DISABILITIES:
  (A)  AS  A  PERSON WITH A DISABILITY WHICH CONSTITUTES OR RESULTS IN A
SUBSTANTIAL HANDICAP TO EMPLOYMENT; AND
  (B) AS A PERSON HAVING COMPLETED OR AS  RECEIVING  SERVICES  UNDER  AN
INDIVIDUALIZED  WRITTEN  REHABILITATION  PLAN  APPROVED BY THE EDUCATION
DEPARTMENT OR OTHER STATE AGENCY RESPONSIBLE  FOR  PROVIDING  VOCATIONAL
REHABILITATION SERVICES TO SUCH INDIVIDUAL; AND
  (II)  WHO IS UNEMPLOYED PRIOR TO BEING HIRED BY THE QUALIFIED EMPLOYER
BUT IS NOT RESTRICTED IN HIS OR HER EMPLOYMENT UNDER A FEDERAL OR  STATE
LAW, RULE OR REGULATION; AND
  (III) WHO WILL BE WORKING FOR THE QUALIFIED EMPLOYER IN A FULL-TIME OR
PART-TIME POSITION THAT PAYS WAGES THAT ARE EQUIVALENT TO THE WAGES PAID
FOR SIMILAR JOBS, WITH APPROPRIATE ADJUSTMENTS FOR EXPERIENCE AND TRAIN-
ING,  AND  FOR WHICH NO OTHER EMPLOYEE HAS BEEN TERMINATED, OR WHERE THE
EMPLOYER HAS NOT OTHERWISE REDUCED ITS WORKFORCE BY  INVOLUNTARY  TERMI-
NATIONS  WITH  THE  INTENTION  OF  FILLING THE VACANCY BY CREATING A NEW
HIRE.
  (C) A QUALIFIED EMPLOYER SHALL BE ENTITLED TO A TAX  CREDIT  EQUAL  TO
(1)  FIVE HUNDRED DOLLARS PER MONTH FOR UP TO SIX MONTHS FOR EACH QUALI-
FIED EMPLOYEE THE EMPLOYER EMPLOYS IN A FULL-TIME JOB OF AT LEAST THIRTY
HOURS PER WEEK OR TWO HUNDRED FIFTY DOLLARS PER  MONTH  FOR  UP  TO  SIX
MONTHS  FOR  EACH QUALIFIED EMPLOYEE THE EMPLOYER EMPLOYS IN A PART-TIME
JOB OF AT LEAST FIFTEEN HOURS PER WEEK, AND (2) ONE THOUSAND DOLLARS FOR
EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED FOR AT LEAST AN  ADDITIONAL  SIX
MONTHS  BY  THE QUALIFIED EMPLOYER IN A FULL-TIME JOB OF AT LEAST THIRTY
HOURS PER WEEK OR FIVE HUNDRED DOLLARS FOR EACH QUALIFIED  EMPLOYEE  WHO
IS  EMPLOYED  FOR  AT  LEAST  AN  ADDITIONAL SIX MONTHS BY THE QUALIFIED
EMPLOYER IN A PART-TIME JOB OF AT LEAST FIFTEEN HOURS PER WEEK. THE  TAX
CREDITS  SHALL  BE  CLAIMED  BY  THE  QUALIFIED EMPLOYER AS SPECIFIED IN
SUBDIVISION FORTY-EIGHT OF SECTION TWO HUNDRED TEN AND  SUBSECTION  (XX)
OF SECTION SIX HUNDRED SIX OF THE TAX LAW.
  (D)  TO  PARTICIPATE  IN THE DEVELOPMENTALLY DISABLED WORKS TAX CREDIT
PROGRAM, AN EMPLOYER MUST SUBMIT AN APPLICATION (IN A FORM PRESCRIBED BY
THE COMMISSIONER) TO THE COMMISSIONER NO LATER THAN NOVEMBER  THIRTIETH,
TWO THOUSAND FOURTEEN FOR PROGRAM ONE, AFTER JANUARY FIRST, TWO THOUSAND
FIFTEEN  BUT  NO LATER THAN NOVEMBER THIRTIETH, TWO THOUSAND FIFTEEN FOR
PROGRAM TWO, AFTER JANUARY FIRST, TWO THOUSAND SIXTEEN BUT NO LATER THAN
NOVEMBER THIRTIETH, TWO THOUSAND SIXTEEN FOR PROGRAM THREE, AFTER  JANU-
ARY  FIRST, TWO THOUSAND SEVENTEEN BUT NO LATER THAN NOVEMBER THIRTIETH,
TWO THOUSAND SEVENTEEN FOR PROGRAM FOUR, AND AFTER  JANUARY  FIRST,  TWO
THOUSAND  EIGHTEEN  BUT  NO  LATER THAN NOVEMBER THIRTIETH, TWO THOUSAND
EIGHTEEN FOR PROGRAM FIVE. THE  QUALIFIED  EMPLOYEES  MUST  START  THEIR
EMPLOYMENT ON OR AFTER JANUARY FIRST, TWO THOUSAND FOURTEEN BUT NO LATER
THAN DECEMBER THIRTY-FIRST, TWO THOUSAND FOURTEEN FOR PROGRAM ONE, ON OR

S. 4946--C                          3

AFTER  JANUARY  FIRST,  TWO  THOUSAND FIFTEEN BUT NO LATER THAN DECEMBER
THIRTY-FIRST, TWO THOUSAND FIFTEEN FOR PROGRAM TWO, ON OR AFTER  JANUARY
FIRST, TWO THOUSAND SIXTEEN BUT NO LATER THAN DECEMBER THIRTY-FIRST, TWO
THOUSAND SIXTEEN FOR PROGRAM THREE, ON OR AFTER JANUARY FIRST, TWO THOU-
SAND  SEVENTEEN  BUT  NO  LATER THAN DECEMBER THIRTY-FIRST, TWO THOUSAND
SEVENTEEN FOR PROGRAM FOUR, AND ON OR AFTER JANUARY FIRST, TWO  THOUSAND
EIGHTEEN  BUT NO LATER THAN DECEMBER THIRTY-FIRST, TWO THOUSAND EIGHTEEN
FOR PROGRAM FIVE. THE COMMISSIONER SHALL ESTABLISH GUIDELINES AND CRITE-
RIA THAT SPECIFY  REQUIREMENTS  FOR  EMPLOYERS  TO  PARTICIPATE  IN  THE
PROGRAM INCLUDING CRITERIA FOR CERTIFYING QUALIFIED EMPLOYEES. ANY REGU-
LATIONS THAT THE COMMISSIONER DETERMINES ARE NECESSARY MAY BE ADOPTED ON
AN  EMERGENCY  BASIS NOTWITHSTANDING ANYTHING TO THE CONTRARY IN SECTION
TWO HUNDRED TWO OF THE STATE ADMINISTRATIVE PROCEDURE ACT. SUCH REQUIRE-
MENTS MAY INCLUDE THE TYPES OF INDUSTRIES THAT THE EMPLOYERS ARE ENGAGED
IN. THE COMMISSIONER MAY GIVE PREFERENCE TO EMPLOYERS THAT  ARE  ENGAGED
IN DEMAND OCCUPATIONS OR INDUSTRIES, OR IN REGIONAL GROWTH SECTORS, SUCH
AS CLEAN ENERGY, HEALTHCARE, ADVANCED MANUFACTURING AND CONSERVATION. IN
ADDITION,  THE COMMISSIONER SHALL GIVE PREFERENCE TO EMPLOYERS WHO OFFER
ADVANCEMENT AND EMPLOYEE BENEFIT PACKAGES TO THE QUALIFIED INDIVIDUALS.
  (E) IF, AFTER REVIEWING THE APPLICATION SUBMITTED BY AN EMPLOYER,  THE
COMMISSIONER DETERMINES THAT SUCH EMPLOYER IS ELIGIBLE TO PARTICIPATE IN
THE WORKERS WITH DISABILITIES TAX CREDIT PROGRAM, THE COMMISSIONER SHALL
ISSUE  THE  EMPLOYER  A  CERTIFICATE OF ELIGIBILITY THAT ESTABLISHES THE
EMPLOYER AS A QUALIFIED EMPLOYER. THE CERTIFICATE OF  ELIGIBILITY  SHALL
SPECIFY  THE MAXIMUM AMOUNT OF WORKERS WITH DISABILITIES TAX CREDIT THAT
THE EMPLOYER WILL BE ALLOWED TO CLAIM.
  S 2. Section 210 of the tax law is amended by adding a new subdivision
48 to read as follows:
  48. WORKERS WITH DISABILITIES TAX CREDIT. (A) A TAXPAYER THAT HAS BEEN
CERTIFIED BY THE COMMISSIONER OF LABOR AS A QUALIFIED EMPLOYER  PURSUANT
TO  SECTION  TWENTY-FIVE-B  OF  THE  LABOR LAW SHALL BE ALLOWED A CREDIT
AGAINST THE TAX IMPOSED BY  THIS  ARTICLE  EQUAL  TO  (I)  FIVE  HUNDRED
DOLLARS  PER  MONTH FOR UP TO SIX MONTHS FOR EACH QUALIFIED EMPLOYEE THE
EMPLOYER EMPLOYS IN A FULL-TIME JOB OF AT LEAST THIRTY HOURS PER WEEK OR
TWO HUNDRED FIFTY DOLLARS PER MONTH FOR UP TO SIX MONTHS FOR EACH QUALI-
FIED EMPLOYEE THE EMPLOYER EMPLOYS  IN  A  PART-TIME  JOB  OF  AT  LEAST
FIFTEEN HOURS PER WEEK, AND (II) ONE THOUSAND DOLLARS FOR EACH QUALIFIED
EMPLOYEE  WHO  IS  EMPLOYED FOR AT LEAST AN ADDITIONAL SIX MONTHS BY THE
QUALIFIED EMPLOYER IN A FULL-TIME JOB OF AT LEAST THIRTY HOURS PER  WEEK
OR  FIVE HUNDRED DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED FOR
AT LEAST AN ADDITIONAL  SIX  MONTHS  BY  THE  QUALIFIED  EMPLOYER  IN  A
PART-TIME  JOB  OF AT LEAST FIFTEEN HOURS PER WEEK. FOR PURPOSES OF THIS
SUBDIVISION, THE TERM "QUALIFIED EMPLOYEE" SHALL HAVE THE  SAME  MEANING
AS  SET  FORTH  IN SUBDIVISION (B) OF SECTION TWENTY-FIVE-B OF THE LABOR
LAW. THE PORTION OF THE CREDIT DESCRIBED  IN  THIS  PARAGRAPH  SHALL  BE
ALLOWED  FOR  THE  TAXABLE YEAR BEGINNING ON OR AFTER JANUARY FIRST, TWO
THOUSAND FOURTEEN.
  (B) THE CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR MAY
NOT REDUCE THE TAX DUE FOR THAT YEAR TO LESS THAN THE AMOUNT  PRESCRIBED
IN  PARAGRAPH  (D)  OF  SUBDIVISION ONE OF THIS SECTION. HOWEVER, IF THE
AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR
REDUCES THE TAX TO THAT AMOUNT, ANY AMOUNT OF CREDIT NOT  DEDUCTIBLE  IN
THAT TAXABLE YEAR WILL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDIT-
ED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION ONE THOUSAND
EIGHTY-SIX OF THIS CHAPTER.  PROVIDED, HOWEVER, NO INTEREST WILL BE PAID
THEREON.

S. 4946--C                          4

  (C)  THE  TAXPAYER  MAY  BE  REQUIRED  TO ATTACH TO ITS TAX RETURN ITS
CERTIFICATE OF ELIGIBILITY ISSUED BY THE COMMISSIONER OF LABOR  PURSUANT
TO SECTION TWENTY-FIVE-B OF THE LABOR LAW. IN NO EVENT SHALL THE TAXPAY-
ER  BE  ALLOWED A CREDIT GREATER THAN THE AMOUNT OF THE CREDIT LISTED ON
THE  CERTIFICATE  OF ELIGIBILITY.  NOTWITHSTANDING ANY PROVISION OF THIS
CHAPTER TO THE CONTRARY, THE COMMISSIONER AND THE COMMISSIONER'S  DESIG-
NEES  MAY  RELEASE THE NAMES AND ADDRESSES OF ANY TAXPAYER CLAIMING THIS
CREDIT AND THE AMOUNT OF THE CREDIT EARNED BY  THE  TAXPAYER.  PROVIDED,
HOWEVER,  IF  A  TAXPAYER CLAIMS THIS CREDIT BECAUSE IT IS A MEMBER OF A
LIMITED LIABILITY COMPANY OR A PARTNER IN A PARTNERSHIP, ONLY THE AMOUNT
OF CREDIT EARNED BY THE ENTITY AND NOT THE AMOUNT OF CREDIT  CLAIMED  BY
THE TAXPAYER MAY BE RELEASED.
  S  3.    Subsections  (yy)  and  (zz) of section 606 of the tax law as
relettered by section 5 of part H of chapter 1 of the laws of 2003,  are
relettered  subsections  (yyy)  and  (zzz)  and a new subsection (xx) is
added to read as follows:
  (XX) WORKERS WITH DISABILITIES TAX CREDIT. (1)  A  TAXPAYER  THAT  HAS
BEEN  CERTIFIED  BY  THE  COMMISSIONER  OF LABOR AS A QUALIFIED EMPLOYER
PURSUANT TO SECTION TWENTY-FIVE-B OF THE LABOR LAW SHALL  BE  ALLOWED  A
CREDIT AGAINST THE TAX IMPOSED BY THIS ARTICLE EQUAL TO (A) FIVE HUNDRED
DOLLARS  PER  MONTH FOR UP TO SIX MONTHS FOR EACH QUALIFIED EMPLOYEE THE
EMPLOYER EMPLOYS IN A FULL-TIME JOB OF AT LEAST THIRTY HOURS PER WEEK OR
TWO HUNDRED FIFTY DOLLARS PER MONTH FOR UP TO SIX MONTHS FOR EACH QUALI-
FIED EMPLOYEE THE EMPLOYER EMPLOYS  IN  A  PART-TIME  JOB  OF  AT  LEAST
FIFTEEN  HOURS PER WEEK, AND (B) ONE THOUSAND DOLLARS FOR EACH QUALIFIED
EMPLOYEE WHO IS EMPLOYED FOR AT LEAST AN ADDITIONAL SIX  MONTHS  BY  THE
QUALIFIED  EMPLOYER IN A FULL-TIME JOB OF AT LEAST THIRTY HOURS PER WEEK
OR FIVE HUNDRED DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED  FOR
AT  LEAST  AN  ADDITIONAL  SIX  MONTHS  BY  THE  QUALIFIED EMPLOYER IN A
PART-TIME JOB OF AT LEAST FIFTEEN HOURS PER WEEK. A TAXPAYER THAT  IS  A
PARTNER  IN  A  PARTNERSHIP,  MEMBER  OF  A LIMITED LIABILITY COMPANY OR
SHAREHOLDER IN AN S CORPORATION THAT HAS BEEN CERTIFIED BY  THE  COMMIS-
SIONER   OF   LABOR   AS   A  QUALIFIED  EMPLOYER  PURSUANT  TO  SECTION
TWENTY-FIVE-B OF THE LABOR LAW SHALL BE ALLOWED ITS PRO  RATA  SHARE  OF
THE  CREDIT  EARNED  BY  THE PARTNERSHIP, LIMITED LIABILITY COMPANY OR S
CORPORATION. FOR  PURPOSES  OF  THIS  SUBSECTION,  THE  TERM  "QUALIFIED
EMPLOYEE" SHALL HAVE THE SAME MEANING AS SET FORTH IN SUBDIVISION (B) OF
SECTION  TWENTY-FIVE-B  OF  THE  LABOR  LAW.  THE  PORTION OF THE CREDIT
DESCRIBED IN THIS PARAGRAPH SHALL BE ALLOWED FOR THE TAXABLE YEAR BEGIN-
NING ON OR AFTER JANUARY FIRST, TWO THOUSAND FOURTEEN.
  (2) IF THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBSECTION  EXCEEDS
THE TAXPAYER'S TAX FOR THE TAXABLE YEAR, ANY AMOUNT OF CREDIT NOT DEDUC-
TIBLE  IN  THAT TAXABLE YEAR WILL BE TREATED AS AN OVERPAYMENT OF TAX TO
BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX
HUNDRED EIGHTY-SIX OF THIS ARTICLE. PROVIDED, HOWEVER, NO INTEREST  WILL
BE PAID THEREON.
  (3)  THE  TAXPAYER  MAY  BE  REQUIRED  TO ATTACH TO ITS TAX RETURN ITS
CERTIFICATE OF ELIGIBILITY ISSUED BY THE COMMISSIONER OF LABOR  PURSUANT
TO SECTION TWENTY-FIVE-B OF THE LABOR LAW. IN NO EVENT SHALL THE TAXPAY-
ER  BE  ALLOWED A CREDIT GREATER THAN THE AMOUNT OF THE CREDIT LISTED ON
THE CERTIFICATE OF ELIGIBILITY.  NOTWITHSTANDING ANY PROVISION  OF  THIS
CHAPTER  TO THE CONTRARY, THE COMMISSIONER AND THE COMMISSIONER'S DESIG-
NEES MAY RELEASE THE NAMES AND ADDRESSES OF ANY TAXPAYER  CLAIMING  THIS
CREDIT  AND  THE  AMOUNT OF THE CREDIT EARNED BY THE TAXPAYER. PROVIDED,
HOWEVER, IF A TAXPAYER CLAIMS THIS CREDIT BECAUSE IT IS A  MEMBER  OF  A
LIMITED  LIABILITY COMPANY, A PARTNER IN A PARTNERSHIP, OR A SHAREHOLDER

S. 4946--C                          5

IN A SUBCHAPTER S CORPORATION, ONLY THE AMOUNT OF CREDIT EARNED  BY  THE
ENTITY  AND  NOT  THE  AMOUNT  OF  CREDIT CLAIMED BY THE TAXPAYER MAY BE
RELEASED.
  S  4. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
of the tax law is amended by adding a new clause  (xxxvii)  to  read  as
follows:
(XXXVII) WORKERS WITH DISABILITIES   AMOUNT OF
TAX CREDIT UNDER SUBSECTION (XX)     CREDIT UNDER SUBDIVISION
                                     FORTY-EIGHT OF SECTION TWO
                                     HUNDRED TEN
  S 5. This act shall take effect immediately.

Co-Sponsors

S4946D (ACTIVE) - Bill Details

See Assembly Version of this Bill:
A7387B
Current Committee:
Law Section:
Labor Law
Laws Affected:
Add §25-b, Lab L; amd §§210 & 606, Tax L

S4946D (ACTIVE) - Bill Texts

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Establishes the workers with disabilities tax credit program; provides tax incentives to employers for employing individuals with developmental disabilities.

view sponsor memo
BILL NUMBER:S4946D

TITLE OF BILL: An act to amend the labor law and the tax law, in
relation to the creation of the workers with disabilities tax credit
program

SUMMARY OF PROVISIONS: Section 1 amends the labor law by adding a new
section 25-b which authorizes the commissioner to establish and adminis-
ter the workers with disabilities tax credit program to provide tax
incentives to employers for employing individuals with developmental
disabilities.

Section 2 amends section 210 of the Tax Law to add a new section 48,
workers with disabilities tax credit.

Section 3 amends section 606 of the Tax Law to re-letter subsections
(yy) and (zz) to subsections (yyy) and (zzz) and add a new section (xx),
workers with disabilities tax credit.

Section 4 amends subparagraph (B) of paragraph 1 of subsection (i) of
section 606 of the Tax Law to add a new clause (xxxvi), workers with
disabilities tax credit.

Section 5 provides that this act shall take effect immediately.

PURPOSE AND JUSTIFICATION: Recent determinations by the federal govern-
ment appear to force the closing of many sheltered workshops for the
developmentally disabled in New York because they will no longer be
eligible for Medicaid assistance. In addition, under a condition of a
recent agreement with the federal government, pursuant to which New York
received $600 million, the state is required to place an additional 700
people with developmental disabilities in jobs. This bill will help to
create new employment opportunities for those who were working in shel-
tered workshops as well as to meet the state commitment to increase job
placement.

In addition, when the minimum wage was recently raised in the SFY 2013-
2014 Budget, it was recognized that this increase would adversely affect
employment opportunities among young people, and a tax credit was grant-
ed to employers who hired young people between 18 and 20 years of age to
offset this problem. The minimum wage increase will similarly negatively
affect employment opportunities among the developmentally disabled, and
this bill will encourage employers to hire the developmentally disabled.

PRIOR LEGISLATIVE HISTORY: New bill

FISCAL IMPLICATIONS: To be determined

EFFECTIVE DATE: This act shall take effect immediately.

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

                                 4946--D

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                               May 1, 2013
                               ___________

Introduced  by  Sens.  RANZENHOFER,  GALLIVAN  -- read twice and ordered
  printed, and when printed to be committed to the Committee on Labor --
  committee discharged, bill amended, ordered reprinted as  amended  and
  recommitted  to said committee -- reported favorably from said commit-
  tee and committed to the Committee on Finance -- committee discharged,
  bill amended, ordered reprinted as amended  and  recommitted  to  said
  committee  -- recommitted to the Committee on Labor in accordance with
  Senate Rule 6, sec. 8 -- committee discharged, bill  amended,  ordered
  reprinted  as  amended  and recommitted to said committee -- committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee

AN ACT to amend the labor law and  the  tax  law,  in  relation  to  the
  creation of the workers with disabilities tax credit program

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

  Section 1. The labor law is amended by adding a new  section  25-b  to
read as follows:
  S  25-B.  POWER TO ADMINISTER THE WORKERS WITH DISABILITIES TAX CREDIT
PROGRAM. (A) THE COMMISSIONER IS AUTHORIZED TO ESTABLISH AND  ADMINISTER
THE  WORKERS  WITH DISABILITIES TAX CREDIT PROGRAM TO PROVIDE TAX INCEN-
TIVES TO EMPLOYERS FOR EMPLOYING INDIVIDUALS WITH DEVELOPMENTAL DISABIL-
ITIES. THERE WILL BE FIVE DISTINCT POOLS OF TAX INCENTIVES. PROGRAM  ONE
WILL  COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND FOURTEEN TO BE USED
IN TWO THOUSAND FOURTEEN AND TWO THOUSAND FIFTEEN.    PROGRAM  TWO  WILL
COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND FIFTEEN TO BE USED IN TWO
THOUSAND  FIFTEEN AND TWO THOUSAND SIXTEEN. PROGRAM THREE WILL COVER TAX
INCENTIVES ALLOCATED IN TWO THOUSAND SIXTEEN TO BE USED IN TWO  THOUSAND
SIXTEEN  AND  TWO THOUSAND SEVENTEEN. PROGRAM FOUR WILL COVER TAX INCEN-
TIVES ALLOCATED IN TWO THOUSAND SEVENTEEN TO BE  USED  IN  TWO  THOUSAND
SEVENTEEN  AND TWO THOUSAND EIGHTEEN. PROGRAM FIVE WILL COVER TAX INCEN-
TIVES ALLOCATED IN TWO THOUSAND EIGHTEEN TO  BE  USED  IN  TWO  THOUSAND

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10299-11-4

S. 4946--D                          2

EIGHTEEN  AND  TWO  THOUSAND NINETEEN. THE COMMISSIONER IS AUTHORIZED TO
ALLOCATE UP TO SIX MILLION DOLLARS OF TAX CREDITS UNDER PROGRAM ONE, SIX
MILLION DOLLARS OF TAX CREDITS UNDER PROGRAM TWO, SIX MILLION DOLLARS OF
TAX  CREDITS UNDER PROGRAM THREE, AND SIX MILLION DOLLARS OF TAX CREDITS
UNDER PROGRAM FOUR, AND SIX MILLION DOLLARS OF TAX CREDITS UNDER PROGRAM
FIVE.
  (B) DEFINITIONS. (1) THE TERM "QUALIFIED EMPLOYER" MEANS  AN  EMPLOYER
THAT  HAS BEEN CERTIFIED BY THE COMMISSIONER TO PARTICIPATE IN THE WORK-
ERS WITH DISABILITIES TAX CREDIT PROGRAM AND THAT EMPLOYS  ONE  OR  MORE
QUALIFIED EMPLOYEES.
  (2) THE TERM "QUALIFIED EMPLOYEE" MEANS AN INDIVIDUAL:
  (I)  WHO IS DEEMED TO HAVE A DEVELOPMENTAL DISABILITY, AS THAT TERM IS
DEFINED IN SUBDIVISION TWENTY-TWO OF SECTION 1.03 OF THE MENTAL  HYGIENE
LAW  AND  WHO IS CERTIFIED BY THE EDUCATION DEPARTMENT OR THE OFFICE FOR
PEOPLE WITH DEVELOPMENTAL DISABILITIES:
  (A) AS A PERSON WITH A DISABILITY WHICH CONSTITUTES OR  RESULTS  IN  A
SUBSTANTIAL HANDICAP TO EMPLOYMENT; AND
  (B)  AS  A  PERSON  HAVING COMPLETED OR AS RECEIVING SERVICES UNDER AN
INDIVIDUALIZED WRITTEN REHABILITATION PLAN  APPROVED  BY  THE  EDUCATION
DEPARTMENT  OR  OTHER  STATE AGENCY RESPONSIBLE FOR PROVIDING VOCATIONAL
REHABILITATION SERVICES TO SUCH INDIVIDUAL; AND
  (II) WHO IS UNEMPLOYED PRIOR TO BEING HIRED BY THE QUALIFIED  EMPLOYER
BUT  IS NOT RESTRICTED IN HIS OR HER EMPLOYMENT UNDER A FEDERAL OR STATE
LAW, RULE OR REGULATION; AND
  (III) WHO WILL BE WORKING FOR THE QUALIFIED EMPLOYER IN A FULL-TIME OR
PART-TIME POSITION THAT PAYS WAGES THAT ARE EQUIVALENT TO THE WAGES PAID
FOR SIMILAR JOBS, WITH APPROPRIATE ADJUSTMENTS FOR EXPERIENCE AND TRAIN-
ING, AND FOR WHICH NO OTHER EMPLOYEE HAS BEEN TERMINATED, OR  WHERE  THE
EMPLOYER  HAS  NOT OTHERWISE REDUCED ITS WORKFORCE BY INVOLUNTARY TERMI-
NATIONS WITH THE INTENTION OF FILLING THE  VACANCY  BY  CREATING  A  NEW
HIRE.
  (C)  A  QUALIFIED  EMPLOYER SHALL BE ENTITLED TO A TAX CREDIT EQUAL TO
(1) TWO THOUSAND DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED FOR
AT LEAST SIX MONTHS BY THE QUALIFIED EMPLOYER IN A FULL-TIME JOB  OF  AT
LEAST  THIRTY HOURS PER WEEK AND TWO THOUSAND DOLLARS FOR EACH QUALIFIED
EMPLOYEE WHO IS EMPLOYED FOR AT LEAST AN ADDITIONAL SIX  MONTHS  BY  THE
QUALIFIED EMPLOYER IN A FULL-TIME JOB OF AT LEAST THIRTY HOURS PER WEEK,
AND (2) ONE THOUSAND DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED
FOR  AT LEAST SIX MONTHS BY THE QUALIFIED EMPLOYER IN A PART-TIME JOB OF
AT LEAST FIFTEEN HOURS PER WEEK AND ONE THOUSAND DOLLARS FOR EACH QUALI-
FIED EMPLOYEE WHO IS EMPLOYED FOR AT LEAST AN ADDITIONAL SIX  MONTHS  BY
THE  QUALIFIED EMPLOYER IN A PART-TIME JOB OF AT LEAST FIFTEEN HOURS PER
WEEK.  THE TAX CREDITS SHALL BE CLAIMED BY  THE  QUALIFIED  EMPLOYER  AS
SPECIFIED  IN  SUBDIVISION  FORTY-EIGHT  OF  SECTION TWO HUNDRED TEN AND
SUBSECTION (XX) OF SECTION SIX HUNDRED SIX OF THE TAX LAW.
  (D) TO PARTICIPATE IN THE DEVELOPMENTALLY DISABLED  WORKS  TAX  CREDIT
PROGRAM, AN EMPLOYER MUST SUBMIT AN APPLICATION (IN A FORM PRESCRIBED BY
THE  COMMISSIONER) TO THE COMMISSIONER NO LATER THAN NOVEMBER THIRTIETH,
TWO THOUSAND FOURTEEN FOR PROGRAM ONE, AFTER JANUARY FIRST, TWO THOUSAND
FIFTEEN BUT NO LATER THAN NOVEMBER THIRTIETH, TWO THOUSAND  FIFTEEN  FOR
PROGRAM TWO, AFTER JANUARY FIRST, TWO THOUSAND SIXTEEN BUT NO LATER THAN
NOVEMBER  THIRTIETH, TWO THOUSAND SIXTEEN FOR PROGRAM THREE, AFTER JANU-
ARY FIRST, TWO THOUSAND SEVENTEEN BUT NO LATER THAN NOVEMBER  THIRTIETH,
TWO  THOUSAND  SEVENTEEN  FOR PROGRAM FOUR, AND AFTER JANUARY FIRST, TWO
THOUSAND EIGHTEEN BUT NO LATER THAN  NOVEMBER  THIRTIETH,  TWO  THOUSAND
EIGHTEEN  FOR  PROGRAM  FIVE.  THE  QUALIFIED EMPLOYEES MUST START THEIR

S. 4946--D                          3

EMPLOYMENT ON OR AFTER JANUARY FIRST, TWO THOUSAND FOURTEEN BUT NO LATER
THAN DECEMBER THIRTY-FIRST, TWO THOUSAND FOURTEEN FOR PROGRAM ONE, ON OR
AFTER JANUARY FIRST, TWO THOUSAND FIFTEEN BUT  NO  LATER  THAN  DECEMBER
THIRTY-FIRST,  TWO THOUSAND FIFTEEN FOR PROGRAM TWO, ON OR AFTER JANUARY
FIRST, TWO THOUSAND SIXTEEN BUT NO LATER THAN DECEMBER THIRTY-FIRST, TWO
THOUSAND SIXTEEN FOR PROGRAM THREE, ON OR AFTER JANUARY FIRST, TWO THOU-
SAND SEVENTEEN BUT NO LATER THAN  DECEMBER  THIRTY-FIRST,  TWO  THOUSAND
SEVENTEEN  FOR PROGRAM FOUR, AND ON OR AFTER JANUARY FIRST, TWO THOUSAND
EIGHTEEN BUT NO LATER THAN DECEMBER THIRTY-FIRST, TWO THOUSAND  EIGHTEEN
FOR PROGRAM FIVE. THE COMMISSIONER SHALL ESTABLISH GUIDELINES AND CRITE-
RIA  THAT  SPECIFY  REQUIREMENTS  FOR  EMPLOYERS  TO  PARTICIPATE IN THE
PROGRAM INCLUDING CRITERIA FOR CERTIFYING QUALIFIED EMPLOYEES. ANY REGU-
LATIONS THAT THE COMMISSIONER DETERMINES ARE NECESSARY MAY BE ADOPTED ON
AN EMERGENCY BASIS NOTWITHSTANDING ANYTHING TO THE CONTRARY  IN  SECTION
TWO HUNDRED TWO OF THE STATE ADMINISTRATIVE PROCEDURE ACT. SUCH REQUIRE-
MENTS MAY INCLUDE THE TYPES OF INDUSTRIES THAT THE EMPLOYERS ARE ENGAGED
IN.  THE  COMMISSIONER MAY GIVE PREFERENCE TO EMPLOYERS THAT ARE ENGAGED
IN DEMAND OCCUPATIONS OR INDUSTRIES, OR IN REGIONAL GROWTH SECTORS, SUCH
AS CLEAN ENERGY, HEALTHCARE, ADVANCED MANUFACTURING AND CONSERVATION. IN
ADDITION, THE COMMISSIONER MAY GIVE PREFERENCE TO  EMPLOYERS  WHO  OFFER
ADVANCEMENT, INCLUDING BUT NOT LIMITED TO INCREASED HOURS OF EMPLOYMENT,
OR INCREASED WAGES, AND EMPLOYEE BENEFIT PACKAGES TO THE QUALIFIED INDI-
VIDUALS.
  (E)  IF, AFTER REVIEWING THE APPLICATION SUBMITTED BY AN EMPLOYER, THE
COMMISSIONER DETERMINES THAT SUCH EMPLOYER IS ELIGIBLE TO PARTICIPATE IN
THE WORKERS WITH DISABILITIES TAX CREDIT PROGRAM, THE COMMISSIONER SHALL
ISSUE THE EMPLOYER A CERTIFICATE OF  ELIGIBILITY  THAT  ESTABLISHES  THE
EMPLOYER  AS  A QUALIFIED EMPLOYER. THE CERTIFICATE OF ELIGIBILITY SHALL
SPECIFY THE MAXIMUM AMOUNT OF WORKERS WITH DISABILITIES TAX CREDIT  THAT
THE EMPLOYER WILL BE ALLOWED TO CLAIM.
  S 2. Section 210 of the tax law is amended by adding a new subdivision
48 to read as follows:
  48. WORKERS WITH DISABILITIES TAX CREDIT. (A) A TAXPAYER THAT HAS BEEN
CERTIFIED  BY THE COMMISSIONER OF LABOR AS A QUALIFIED EMPLOYER PURSUANT
TO SECTION TWENTY-FIVE-B OF THE LABOR LAW  SHALL  BE  ALLOWED  A  CREDIT
AGAINST  THE  TAX  IMPOSED  BY  THIS  ARTICLE  EQUAL TO (I) TWO THOUSAND
DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED  FOR  AT  LEAST  SIX
MONTHS  BY  THE QUALIFIED EMPLOYER IN A FULL-TIME JOB OF AT LEAST THIRTY
HOURS PER WEEK AND TWO THOUSAND DOLLARS FOR EACH QUALIFIED EMPLOYEE  WHO
IS  EMPLOYED  FOR  AT  LEAST  AN  ADDITIONAL SIX MONTHS BY THE QUALIFIED
EMPLOYER IN A FULL-TIME JOB OF AT LEAST THIRTY HOURS PER WEEK, AND  (II)
ONE  THOUSAND DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED FOR AT
LEAST SIX MONTHS BY THE QUALIFIED EMPLOYER IN  A  PART-TIME  JOB  OF  AT
LEAST FIFTEEN HOURS PER WEEK AND ONE THOUSAND DOLLARS FOR EACH QUALIFIED
EMPLOYEE  WHO  IS  EMPLOYED FOR AT LEAST AN ADDITIONAL SIX MONTHS BY THE
QUALIFIED EMPLOYER IN A PART-TIME JOB OF  AT  LEAST  FIFTEEN  HOURS  PER
WEEK.    FOR PURPOSES OF THIS SUBDIVISION, THE TERM "QUALIFIED EMPLOYEE"
SHALL HAVE THE SAME MEANING AS SET FORTH IN SUBDIVISION (B)  OF  SECTION
TWENTY-FIVE-B  OF  THE LABOR LAW. THE PORTION OF THE CREDIT DESCRIBED IN
THIS PARAGRAPH SHALL BE ALLOWED FOR THE TAXABLE  YEAR  BEGINNING  ON  OR
AFTER JANUARY FIRST, TWO THOUSAND FOURTEEN.
  (B) THE CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR MAY
NOT  REDUCE THE TAX DUE FOR THAT YEAR TO LESS THAN THE AMOUNT PRESCRIBED
IN PARAGRAPH (D) OF SUBDIVISION ONE OF THIS  SECTION.  HOWEVER,  IF  THE
AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR
REDUCES  THE  TAX TO THAT AMOUNT, ANY AMOUNT OF CREDIT NOT DEDUCTIBLE IN

S. 4946--D                          4

THAT TAXABLE YEAR WILL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDIT-
ED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION ONE THOUSAND
EIGHTY-SIX OF THIS CHAPTER.  PROVIDED, HOWEVER, NO INTEREST WILL BE PAID
THEREON.
  (C)  THE  TAXPAYER  MAY  BE  REQUIRED  TO ATTACH TO ITS TAX RETURN ITS
CERTIFICATE OF ELIGIBILITY ISSUED BY THE COMMISSIONER OF LABOR  PURSUANT
TO SECTION TWENTY-FIVE-B OF THE LABOR LAW. IN NO EVENT SHALL THE TAXPAY-
ER  BE  ALLOWED A CREDIT GREATER THAN THE AMOUNT OF THE CREDIT LISTED ON
THE CERTIFICATE OF ELIGIBILITY.  NOTWITHSTANDING ANY PROVISION  OF  THIS
CHAPTER  TO THE CONTRARY, THE COMMISSIONER AND THE COMMISSIONER'S DESIG-
NEES MAY RELEASE THE NAMES AND ADDRESSES OF ANY TAXPAYER  CLAIMING  THIS
CREDIT  AND  THE  AMOUNT OF THE CREDIT EARNED BY THE TAXPAYER. PROVIDED,
HOWEVER, IF A TAXPAYER CLAIMS THIS CREDIT BECAUSE IT IS A  MEMBER  OF  A
LIMITED LIABILITY COMPANY OR A PARTNER IN A PARTNERSHIP, ONLY THE AMOUNT
OF  CREDIT  EARNED BY THE ENTITY AND NOT THE AMOUNT OF CREDIT CLAIMED BY
THE TAXPAYER MAY BE RELEASED.
  S 3.  Subsections (yy) and (zz) of section 606  of  the  tax  law,  as
relettered  by section 5 of part H of chapter 1 of the laws of 2003, are
relettered subsections (yyy) and (zzz) and  a  new  subsection  (xx)  is
added to read as follows:
  (XX)  WORKERS  WITH  DISABILITIES  TAX CREDIT. (1) A TAXPAYER THAT HAS
BEEN CERTIFIED BY THE COMMISSIONER OF  LABOR  AS  A  QUALIFIED  EMPLOYER
PURSUANT  TO  SECTION  TWENTY-FIVE-B OF THE LABOR LAW SHALL BE ALLOWED A
CREDIT AGAINST THE TAX IMPOSED BY THIS ARTICLE EQUAL TO (A) TWO THOUSAND
DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED  FOR  AT  LEAST  SIX
MONTHS  BY  THE QUALIFIED EMPLOYER IN A FULL-TIME JOB OF AT LEAST THIRTY
HOURS PER WEEK AND TWO THOUSAND DOLLARS FOR EACH QUALIFIED EMPLOYEE  WHO
IS  EMPLOYED  FOR  AT  LEAST  AN  ADDITIONAL SIX MONTHS BY THE QUALIFIED
EMPLOYER IN A FULL-TIME JOB OF AT LEAST THIRTY HOURS PER WEEK,  AND  (B)
ONE  THOUSAND DOLLARS FOR EACH QUALIFIED EMPLOYEE WHO IS EMPLOYED FOR AT
LEAST SIX MONTHS BY THE QUALIFIED EMPLOYER IN  A  PART-TIME  JOB  OF  AT
LEAST FIFTEEN HOURS PER WEEK AND ONE THOUSAND DOLLARS FOR EACH QUALIFIED
EMPLOYEE  WHO  IS  EMPLOYED FOR AT LEAST AN ADDITIONAL SIX MONTHS BY THE
QUALIFIED EMPLOYER IN A PART-TIME JOB OF  AT  LEAST  FIFTEEN  HOURS  PER
WEEK.  A TAXPAYER THAT IS A PARTNER IN A PARTNERSHIP, MEMBER OF A LIMIT-
ED  LIABILITY  COMPANY  OR SHAREHOLDER IN AN S CORPORATION THAT HAS BEEN
CERTIFIED BY THE COMMISSIONER OF LABOR AS A QUALIFIED EMPLOYER  PURSUANT
TO  SECTION TWENTY-FIVE-B OF THE LABOR LAW SHALL BE ALLOWED ITS PRO RATA
SHARE OF THE CREDIT EARNED BY THE PARTNERSHIP, LIMITED LIABILITY COMPANY
OR S CORPORATION. FOR PURPOSES OF THIS SUBSECTION, THE  TERM  "QUALIFIED
EMPLOYEE" SHALL HAVE THE SAME MEANING AS SET FORTH IN SUBDIVISION (B) OF
SECTION  TWENTY-FIVE-B  OF  THE  LABOR  LAW.  THE  PORTION OF THE CREDIT
DESCRIBED IN THIS PARAGRAPH SHALL BE ALLOWED FOR THE TAXABLE YEAR BEGIN-
NING ON OR AFTER JANUARY FIRST, TWO THOUSAND FOURTEEN.
  (2) IF THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBSECTION  EXCEEDS
THE TAXPAYER'S TAX FOR THE TAXABLE YEAR, ANY AMOUNT OF CREDIT NOT DEDUC-
TIBLE  IN  THAT TAXABLE YEAR WILL BE TREATED AS AN OVERPAYMENT OF TAX TO
BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX
HUNDRED EIGHTY-SIX OF THIS ARTICLE. PROVIDED, HOWEVER, NO INTEREST  WILL
BE PAID THEREON.
  (3)  THE  TAXPAYER  MAY  BE  REQUIRED  TO ATTACH TO ITS TAX RETURN ITS
CERTIFICATE OF ELIGIBILITY ISSUED BY THE COMMISSIONER OF LABOR  PURSUANT
TO SECTION TWENTY-FIVE-B OF THE LABOR LAW. IN NO EVENT SHALL THE TAXPAY-
ER  BE  ALLOWED A CREDIT GREATER THAN THE AMOUNT OF THE CREDIT LISTED ON
THE CERTIFICATE OF ELIGIBILITY.  NOTWITHSTANDING ANY PROVISION  OF  THIS
CHAPTER  TO THE CONTRARY, THE COMMISSIONER AND THE COMMISSIONER'S DESIG-

S. 4946--D                          5

NEES MAY RELEASE THE NAMES AND ADDRESSES OF ANY TAXPAYER  CLAIMING  THIS
CREDIT  AND  THE  AMOUNT OF THE CREDIT EARNED BY THE TAXPAYER. PROVIDED,
HOWEVER, IF A TAXPAYER CLAIMS THIS CREDIT BECAUSE IT IS A  MEMBER  OF  A
LIMITED  LIABILITY COMPANY, A PARTNER IN A PARTNERSHIP, OR A SHAREHOLDER
IN A SUBCHAPTER S CORPORATION, ONLY THE AMOUNT OF CREDIT EARNED  BY  THE
ENTITY  AND  NOT  THE  AMOUNT  OF  CREDIT CLAIMED BY THE TAXPAYER MAY BE
RELEASED.
  S 4. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
of  the  tax  law  is amended by adding a new clause (xxxvii) to read as
follows:
(XXXVII) WORKERS WITH DISABILITIES   AMOUNT OF
TAX CREDIT UNDER SUBSECTION (XX)     CREDIT UNDER SUBDIVISION
                                     FORTY-EIGHT OF SECTION TWO
                                     HUNDRED TEN
  S 5. This act shall take effect immediately.

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