S T A T E O F N E W Y O R K
________________________________________________________________________
7388--A
2017-2018 Regular Sessions
I N A S S E M B L Y
April 25, 2017
___________
Introduced by M. of A. MAGEE, BLANKENBUSH -- read once and referred to
the Committee on Ways and Means -- recommitted to the Committee on
Ways and Means in accordance with Assembly Rule 3, sec. 2 -- committee
discharged, bill amended, ordered reprinted as amended and recommitted
to said committee
AN ACT to amend the tax law, in relation to creating a meat processing
facility development tax credit
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 44 to read
as follows:
§ 44. MEAT PROCESSING FACILITY DEVELOPMENT TAX CREDIT. (A) ALLOWANCE
OF CREDIT. A TAXPAYER, WHO IS SUBJECT TO TAX UNDER ARTICLE NINE, NINE-A,
OR TWENTY-TWO OF THIS CHAPTER SHALL BE ALLOWED A REFUNDABLE CREDIT
AGAINST SUCH TAX TO BE COMPUTED AS PROVIDED IN THIS SECTION, FOR THE TAX
IMPOSED BY THIS ARTICLE FOR TAXABLE YEARS AFTER JANUARY FIRST, TWO THOU-
SAND NINETEEN.
(B) VALUE OF CREDIT. THE AMOUNT OF SUCH CREDIT SHALL BE NO MORE THAN
THIRTY PERCENT OF THE FUNDS EXPENDED AS PART OF AN ELIGIBLE STANDARD
ESTABLISHED UNDER SUBDIVISION (C) OF THIS SECTION, NOT TO EXCEED TWO
HUNDRED FIFTY THOUSAND DOLLARS PER TAXABLE YEAR.
(C) ELIGIBLE STANDARD. TAXPAYERS THAT WISH TO CLAIM THIS CREDIT SHALL
DEMONSTRATE THAT THEIR EXPENSES WERE INCURRED AS PART OF AN EFFORT TO
MEET ONE OF THE FOLLOWING STANDARDS: ADDING SMOKED MEAT OR SAUSAGE
PRODUCTION TO THEIR AVAILABLE PROTOCOLS; IMPLEMENTING THE "ANIMAL
WELFARE APPROVED" PRODUCTION STANDARD OR STANDARDS RELEVANT TO THEIR
FACILITY; IMPLEMENTING THE "CERTIFIED HUMANE" CERTIFICATION OFFERED BY
HUMANE FARM ANIMAL CARE; WERE EXPENDED TO BRING A FACILITY IN TO COMPLI-
ANCE WITH STANDARDS PROMULGATED BY THE USDA FOOD SAFETY AND INSPECTION
SERVICE; OR WERE EXPENDED WHILE EXPANDING A USDA INSPECTED FACILITY WITH
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD10258-04-8
A. 7388--A 2
A THROUGHPUT OF NO MORE THAN TEN BOVINE, THIRTY NON-BOVINE LIVESTOCK, OR
SIXTY POULTRY PER DAY.
(D) APPLICATION OF CREDIT. THE CREDIT ALLOWED UNDER THIS SECTION FOR
ANY TAXABLE YEAR SHALL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO LESS THAN
THE MINIMUM TAX FIXED BY THIS ARTICLE. HOWEVER, IF THE AMOUNT OF CREDIT
ALLOWED UNDER THIS SECTION FOR ANY TAXABLE YEAR REDUCES THE TAX TO SUCH
AMOUNT, ANY AMOUNT OF CREDIT THUS NOT DEDUCTIBLE IN SUCH TAXABLE YEAR
SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED IN
ACCORDANCE WITH THE PROVISIONS OF SECTION ONE THOUSAND EIGHTY-SIX OF
THIS CHAPTER. EXCEPT AS PROVIDED IN SUBSECTION (C) OF SECTION ONE THOU-
SAND EIGHTY-EIGHT OF THIS CHAPTER, NO INTEREST SHALL BE PAID THEREON.
§ 2. The tax law is amended by adding a new section 187-q to read as
follows:
§ 187-Q. MEAT PROCESSING FACILITY DEVELOPMENT TAX CREDIT. (A) ALLOW-
ANCE OF CREDIT. A TAXPAYER, WHO IS SUBJECT TO TAX UNDER ARTICLE NINE,
NINE-A, OR TWENTY-TWO OF THIS CHAPTER SHALL BE ALLOWED A REFUNDABLE
CREDIT AGAINST SUCH TAX TO BE COMPUTED AS PROVIDED IN THIS SECTION, FOR
THE TAX IMPOSED BY THIS ARTICLE FOR TAXABLE YEARS AFTER JANUARY FIRST,
TWO THOUSAND NINETEEN.
(B) VALUE OF CREDIT. THE AMOUNT OF SUCH CREDIT SHALL BE NO MORE THAN
THIRTY PERCENT OF THE FUNDS EXPENDED AS PART OF AN ELIGIBLE STANDARD
ESTABLISHED UNDER SUBDIVISION (C) OF THIS SECTION, NOT TO EXCEED TWO
HUNDRED FIFTY THOUSAND DOLLARS PER TAXABLE YEAR.
(C) ELIGIBLE STANDARD. TAXPAYERS THAT WISH TO CLAIM THIS CREDIT SHALL
DEMONSTRATE THAT THEIR EXPENSES WERE INCURRED AS PART OF AN EFFORT TO
MEET ONE OF THE FOLLOWING STANDARDS: ADDING SMOKED MEAT OR SAUSAGE
PRODUCTION TO THEIR AVAILABLE PROTOCOLS; IMPLEMENTING THE "ANIMAL
WELFARE APPROVED" PRODUCTION STANDARD OR STANDARDS RELEVANT TO THEIR
FACILITY; IMPLEMENTING THE "CERTIFIED HUMANE" CERTIFICATION OFFERED BY
HUMANE FARM ANIMAL CARE; WERE EXPENDED TO BRING A FACILITY IN TO COMPLI-
ANCE WITH STANDARDS PROMULGATED BY THE USDA FOOD SAFETY AND INSPECTION
SERVICE; OR WERE EXPENDED WHILE EXPANDING A USDA INSPECTED FACILITY WITH
A THROUGHPUT OF NO MORE THAN TEN BOVINE, THIRTY NON-BOVINE LIVESTOCK, OR
SIXTY POULTRY PER DAY.
(D) APPLICATION OF CREDIT. THE CREDIT ALLOWED UNDER THIS SECTION FOR
ANY TAXABLE YEAR SHALL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO LESS THAN
THE MINIMUM TAX FIXED BY THIS ARTICLE. HOWEVER, IF THE AMOUNT OF CREDIT
ALLOWED UNDER THIS SECTION FOR ANY TAXABLE YEAR REDUCES THE TAX TO SUCH
AMOUNT, ANY AMOUNT OF CREDIT THUS NOT DEDUCTIBLE IN SUCH TAXABLE YEAR
SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED IN
ACCORDANCE WITH THE PROVISIONS OF SECTION ONE THOUSAND EIGHTY-SIX OF
THIS CHAPTER. EXCEPT AS PROVIDED IN SUBSECTION (C) OF SECTION ONE THOU-
SAND EIGHTY-EIGHT OF THIS CHAPTER, NO INTEREST SHALL BE PAID THEREON.
§ 3. Section 210-B of the tax law is amended by adding a new subdivi-
sion 53 to read as follows:
53. MEAT PROCESSING FACILITY DEVELOPMENT TAX CREDIT. (A) ALLOWANCE OF
CREDIT. A TAXPAYER, WHO IS SUBJECT TO TAX UNDER ARTICLE NINE, NINE-A, OR
TWENTY-TWO OF THIS CHAPTER SHALL BE ALLOWED A REFUNDABLE CREDIT AGAINST
SUCH TAX TO BE COMPUTED AS PROVIDED IN THIS SUBDIVISION, FOR THE TAX
IMPOSED BY THIS ARTICLE FOR TAXABLE YEARS AFTER JANUARY FIRST, TWO THOU-
SAND NINETEEN.
(B) VALUE OF CREDIT. THE AMOUNT OF SUCH CREDIT SHALL BE NO MORE THAN
THIRTY PERCENT OF THE FUNDS EXPENDED AS PART OF AN ELIGIBLE STANDARD
ESTABLISHED UNDER SUBDIVISION (C) OF THIS SECTION, NOT TO EXCEED TWO
HUNDRED FIFTY THOUSAND DOLLARS PER TAXABLE YEAR.
A. 7388--A 3
(C) ELIGIBLE STANDARD. TAXPAYERS THAT WISH TO CLAIM THIS CREDIT SHALL
DEMONSTRATE THAT THEIR EXPENSES WERE INCURRED AS PART OF AN EFFORT TO
MEET ONE OF THE FOLLOWING STANDARDS: ADDING SMOKED MEAT OR SAUSAGE
PRODUCTION TO THEIR AVAILABLE PROTOCOLS; IMPLEMENTING THE "ANIMAL
WELFARE APPROVED" PRODUCTION STANDARD OR STANDARDS RELEVANT TO THEIR
FACILITY; IMPLEMENTING THE "CERTIFIED HUMANE" CERTIFICATION OFFERED BY
HUMANE FARM ANIMAL CARE; WERE EXPENDED TO BRING A FACILITY IN TO COMPLI-
ANCE WITH STANDARDS PROMULGATED BY THE USDA FOOD SAFETY AND INSPECTION
SERVICE; OR WERE EXPENDED WHILE EXPANDING A USDA INSPECTED FACILITY WITH
A THROUGHPUT OF NO MORE THAN TEN BOVINE, THIRTY NON-BOVINE LIVESTOCK, OR
SIXTY POULTRY PER DAY.
(D) APPLICATION OF CREDIT. THE CREDIT ALLOWED UNDER THIS SUBDIVISION
FOR ANY TAXABLE YEAR SHALL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO LESS
THAN THE MINIMUM TAX FIXED BY THIS ARTICLE. HOWEVER, IF THE AMOUNT OF
CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR REDUCES THE
TAX TO SUCH AMOUNT, ANY AMOUNT OF CREDIT THUS NOT DEDUCTIBLE IN SUCH
TAXABLE YEAR SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDITED OR
REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION ONE THOUSAND
EIGHTY-SIX OF THIS CHAPTER. EXCEPT AS PROVIDED IN SUBSECTION (C) OF
SECTION ONE THOUSAND EIGHTY-EIGHT OF THIS CHAPTER, NO INTEREST SHALL BE
PAID THEREON.
§ 4. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
of the tax law is amended by adding a new clause (xliv) to read as
follows:
(XLIV) MEAT PROCESSING FACILITY AMOUNT OF CREDIT UNDER
DEVELOPMENT TAX CREDIT UNDER SUBDIVISION FIFTY-THREE OF
SECTION FORTY-FOUR OF THIS SECTION TWO HUNDRED TEN-B
CHAPTER
§ 5. This act shall take effect January 1, 2019, and shall apply to
taxable years beginning on or after such date, and shall expire January
1, 2025 when upon such date the provisions of this act shall be deemed
repealed; provided, however, that effective immediately the addition,
amendment and/or repeal of any rule or regulation by the department of
agriculture and markets, in conjunction with the department of taxation
and finance that is necessary for the implementation of this act on its
effective date are authorized to be made and completed on or before such
effective date.