S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5292
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 8, 2019
                                ___________
 
 Introduced  by  M.  of  A.  CYMBROWITZ  -- read once and referred to the
   Committee on Ways and Means
 
 AN ACT to amend the tax law, in relation to establishing business  fran-
   chise and personal income tax credits for employers which provide care
   for  the  elderly  dependents of their employees during work hours and
   establishing a personal income tax credit for the provision of care to
   the elderly dependent of a taxpayer during work hours
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Section  210-B  of the tax law is amended by adding a new
 subdivision 53 to read as follows:
   53. EMPLOYEE ELDERLY DEPENDENT CARE CREDIT.  (A) ALLOWANCE OF  CREDIT.
 THERE SHALL BE ALLOWED AS A CREDIT AGAINST THE TAX IMPOSED BY THIS ARTI-
 CLE FOR THE AMOUNT, NOT TO EXCEED ONE THOUSAND DOLLARS FOR EACH EMPLOYEE
 DEPENDENT  FOR  WHICH  ADULT  DAY  CARE  SERVICES ARE PROVIDED, ACTUALLY
 EXPENDED BY THE TAXPAYER PROVIDING OR PAYING ANOTHER TO PROVIDE  DEPEND-
 ENT  CARE FOR THE TAXPAYER'S EMPLOYEES' DEPENDENTS DURING THE EMPLOYEES'
 WORK HOURS, WHICH CARE MUST BE PROVIDED  IN  AN  ELIGIBLE  FACILITY,  AS
 DESCRIBED  IN  PARAGRAPH  (C) OF THIS SUBDIVISION.  CREDIT IS APPLIED TO
 THE COST OF ANY CONTRACT EXECUTED BY THE TAXPAYER FOR  ANOTHER  PROVIDER
 OF  SERVICES  TO  PROVIDE  DEPENDENT CARE; OR, IF THE TAXPAYER ELECTS TO
 PROVIDE DEPENDENT CARE ITSELF, TO EXPENSES INCURRED FOR:  DEPENDENT CARE
 STAFF, LEARNING  AND  RECREATIONAL  MATERIALS  AND  EQUIPMENT,  AND  THE
 CONSTRUCTION  AND  MAINTENANCE  OF A FACILITY.   THIS COST IS NET OF ANY
 REIMBURSEMENT. THE CREDIT SHALL NOT BE ALLOWED FOR  ANY  EXPENSES  WHICH
 ARE PAID BY AN EMPLOYEE AND SERVE AS THE BASIS FOR A PERSONAL INCOME TAX
 CREDIT.  THE CREDITS ALLOWED UNDER THIS SUBDIVISION SHALL NOT BE USED BY
 ANY CORPORATION OTHER THAN THE CORPORATION ACTUALLY QUALIFYING  FOR  THE
 CREDITS.
   (B)  CARRYOVER.  CREDIT MAY BE CARRIED FORWARD FOR THE FIVE SUCCESSIVE
 YEARS IF THE AMOUNT ALLOWABLE AS CREDIT EXCEEDS INCOME TAX LIABILITY  IN
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD09354-01-9

 A. 5292                             2
 
 A  TAX  YEAR;  HOWEVER,  THEREAFTER, IF THE AMOUNT ALLOWABLE AS A CREDIT
 EXCEEDS THE TAX LIABILITY, THE AMOUNT OF EXCESS SHALL NOT BE  REFUNDABLE
 OR CARRIED FORWARD TO ANY OTHER TAXABLE YEAR.
   (C) ELIGIBLE FACILITY. AN ELIGIBLE FACILITY MUST HAVE AN AVERAGE DAILY
 ENROLLMENT  FOR THE TAXABLE YEAR OF NO LESS THAN SIX PERSONS SIXTY YEARS
 OF AGE OR OLDER AND BE LICENSED OR CERTIFIED ACCORDING TO THE APPLICABLE
 LAW OR REGULATIONS; OR MUST SERVE FIVE OR FEWER  PERSONS  AGE  SIXTY  OR
 OLDER  IN  A FAMILY CHILD CARE/ELDER CARE HOME APPROVED BY THE OFFICE OF
 CHILDREN AND FAMILY SERVICES FOR  PARTICIPATION  IN  THE  UNITED  STATES
 DEPARTMENT  OF  AGRICULTURE  CHILD  AND ADULT NUTRITION PROGRAM; OR MUST
 SERVE ADULT RELATIVES OF EMPLOYEES IN  EITHER  A  COMMUNITY-BASED  ELDER
 CARE  FACILITY OR A FACILITY AT THE EMPLOYMENT SITE; OR MUST SERVE ADULT
 DEPENDENTS HAVING PHYSICAL, EMOTIONAL, OR MENTAL DISABILITIES IN  EITHER
 A COMMUNITY-BASED FACILITY OR A FACILITY AT THE EMPLOYMENT SITE.
   (D)  CERTIFICATION. TAXPAYERS   SHALL BE CERTIFIED AS ELIGIBLE FOR THE
 TAX CREDIT BY THE OFFICE OF CHILDREN AND FAMILY  SERVICES  FOR  PROGRAMS
 SERVING  ELDERLY  ADULTS  AND  BY  THE COMMISSIONER FOR PROGRAMS SERVING
 OTHER ADULT DEPENDENTS.
   (E) ADDITIONAL CREDIT.  IN ADDITION TO THE CREDIT ALLOWED PURSUANT  TO
 PARAGRAPH  (A) OF THIS SUBDIVISION, THERE SHALL BE ALLOWED AN ADDITIONAL
 CREDIT, SUBJECT TO THE PROVISIONS OF PARAGRAPH (B) OF THIS  SUBDIVISION,
 FOR  ADDITIONAL  ELIGIBLE  EXPENSES  ASSUMED OR INCURRED BY THE EMPLOYER
 WHICH INCREASE THE QUALITY, AVAILABILITY, AND AFFORDABILITY OF DEPENDENT
 CARE IN THE COMMUNITY USED  BY  EMPLOYEES  DURING  THE  EMPLOYEES'  WORK
 HOURS.  THE COMMISSIONER SHALL PROMULGATE RULES AND REGULATIONS DEFINING
 THE  ELIGIBILITY  OF  EXPENSES  AND  THE  AMOUNT OF THE CREDIT ALLOWABLE
 THEREFOR. THE COMMISSIONER SHALL FURTHER PROVIDE  AN  ADDITIONAL  CREDIT
 FOR  ADMINISTRATIVE  COSTS  INCURRED  IN  COMPLYING  WITH  THE FOREGOING
 PROVISIONS.
   § 2. Section 606 of the tax law is amended by adding a new  subsection
 (v) to read as follows:
   (V)  DEPENDENT  ELDERLY  CARE  CREDIT.  (1) EMPLOYER. (A) ALLOWANCE OF
 CREDIT.  A TAXPAYER SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY
 THIS ARTICLE FOR THE AMOUNT, NOT TO EXCEED ONE THOUSAND DOLLARS FOR EACH
 EMPLOYEE DEPENDENT FOR WHICH ADULT DAY CARE SERVICES ARE PROVIDED, ACTU-
 ALLY EXPENDED BY THE TAXPAYER PROVIDING OR  PAYING  ANOTHER  TO  PROVIDE
 DEPENDENT  CARE  FOR  THE  TAXPAYER'S  EMPLOYEES'  DEPENDENTS DURING THE
 EMPLOYEES' WORK HOURS, WHICH CARE MUST BE PROVIDED IN AN ELIGIBLE FACIL-
 ITY, AS DESCRIBED IN SUBPARAGRAPH (C) OF  THIS  PARAGRAPH.    CREDIT  IS
 APPLIED TO THE COST OF ANY CONTRACT EXECUTED BY THE TAXPAYER FOR ANOTHER
 ENTITY  TO PROVIDE DEPENDENT CARE; OR, IF THE TAXPAYER ELECTS TO PROVIDE
 DEPENDENT CARE ITSELF, TO EXPENSES INCURRED FOR:  DEPENDENT CARE  STAFF,
 LEARNING  AND RECREATIONAL MATERIALS AND EQUIPMENT, AND THE CONSTRUCTION
 AND MAINTENANCE OF A FACILITY.  THIS COST IS NET OF  ANY  REIMBURSEMENT.
 THE  CREDIT  SHALL  NOT  BE  ALLOWED  FOR ANY EXPENSES WHICH ARE PAID BY
 EMPLOYEES AND SERVE AS THE BASIS FOR A PERSONAL INCOME TAX  CREDIT.  THE
 CREDITS  ALLOWED  UNDER THIS PARAGRAPH SHALL NOT BE USED BY ANY EMPLOYER
 OTHER THAN THE EMPLOYER ACTUALLY QUALIFYING FOR THE CREDITS.
   (B) CARRYOVER.  CREDIT MAY BE CARRIED FORWARD FOR THE FIVE  SUCCESSIVE
 YEARS  IF THE AMOUNT ALLOWABLE AS CREDIT EXCEEDS INCOME TAX LIABILITY IN
 A TAX YEAR; HOWEVER, THEREAFTER, IF THE AMOUNT  ALLOWABLE  AS  A  CREDIT
 EXCEEDS  THE TAX LIABILITY, THE AMOUNT OF EXCESS SHALL NOT BE REFUNDABLE
 OR CARRIED FORWARD TO ANY OTHER TAXABLE YEAR.
   (C) ELIGIBLE FACILITY.   AN ELIGIBLE FACILITY  MUST  HAVE  AN  AVERAGE
 DAILY  ENROLLMENT FOR THE TAXABLE YEAR OF NO LESS THAN SIX PERSONS SIXTY
 YEARS OF AGE OR OLDER AND BE LICENSED  OR  CERTIFIED  ACCORDING  TO  THE

 A. 5292                             3
 
 APPLICABLE  LAW  OR REGULATIONS; OR MUST SERVE FIVE OR FEWER PERSONS AGE
 SIXTY OR OLDER IN A FAMILY CHILD CARE/ELDER CARE HOME  APPROVED  BY  THE
 OFFICE  OF  CHILDREN AND FAMILY SERVICES FOR PARTICIPATION IN THE UNITED
 STATES  DEPARTMENT  OF AGRICULTURE CHILD AND ADULT NUTRITION PROGRAM; OR
 MUST SERVE ADULT RELATIVES OF  EMPLOYEES  IN  EITHER  A  COMMUNITY-BASED
 ELDER  CARE FACILITY OR A FACILITY AT THE EMPLOYMENT SITE; OR MUST SERVE
 ADULT DEPENDENTS HAVING PHYSICAL, EMOTIONAL, OR MENTAL  DISABILITIES  IN
 EITHER A COMMUNITY-BASED FACILITY OR A FACILITY AT THE EMPLOYMENT SITE.
   (D)  CERTIFICATION.   TAXPAYERS SHALL BE CERTIFIED AS ELIGIBLE FOR THE
 TAX CREDIT BY THE OFFICE OF CHILDREN AND FAMILY  SERVICES  FOR  PROGRAMS
 SERVING  ELDERLY  ADULTS  AND  BY  THE COMMISSIONER FOR PROGRAMS SERVING
 OTHER ADULT DEPENDENTS.
   (E) ADDITIONAL CREDIT.  IN ADDITION TO THE CREDIT ALLOWED PURSUANT  TO
 SUBPARAGRAPH (A) OF THIS PARAGRAPH, THERE SHALL BE ALLOWED AN ADDITIONAL
 CREDIT, SUBJECT TO THE PROVISIONS OF SUBPARAGRAPH (B) OF THIS PARAGRAPH,
 FOR  ADDITIONAL  ELIGIBLE  EXPENSES  ASSUMED OR INCURRED BY THE EMPLOYER
 WHICH INCREASE THE QUALITY, AVAILABILITY, AND AFFORDABILITY OF DEPENDENT
 CARE IN THE COMMUNITY USED  BY  EMPLOYEES  DURING  THE  EMPLOYEES'  WORK
 HOURS.  THE COMMISSIONER SHALL PROMULGATE RULES AND REGULATIONS DEFINING
 THE  ELIGIBILITY  OF  EXPENSES  AND  THE  AMOUNT OF THE CREDIT ALLOWABLE
 THEREFOR.  THE COMMISSIONER SHALL FURTHER PROVIDE AN  ADDITIONAL  CREDIT
 FOR  ADMINISTRATIVE  COSTS  INCURRED  IN  COMPLYING  WITH  THE FOREGOING
 PROVISIONS.
   (2) INDIVIDUAL.  (A) ALLOWANCE OF CREDIT.  A TAXPAYER SHALL BE ALLOWED
 A CREDIT AGAINST THE TAX IMPOSED BY THIS ARTICLE FOR THE AMOUNT, NOT  TO
 EXCEED  ONE  THOUSAND DOLLARS FOR EACH ELDERLY DEPENDENT OF THE TAXPAYER
 FOR WHICH ADULT DAY CARE SERVICES ARE PROVIDED, ACTUALLY EXPENDED BY THE
 TAXPAYER AS PAYMENT TO AN ELIGIBLE FACILITY FOR PROVIDING DEPENDENT CARE
 DURING THE TAXPAYER'S WORK HOURS, WHICH CARE  MUST  BE  PROVIDED  IN  AN
 ELIGIBLE  FACILITY,  AS DESCRIBED IN SUBPARAGRAPH (C) OF THIS PARAGRAPH.
 THIS COST IS NET OF ANY REIMBURSEMENT. THE CREDIT SHALL NOT  BE  ALLOWED
 FOR ANY EXPENSES WHICH ARE PAID BY AN EMPLOYER OF THE TAXPAYER AND SERVE
 AS  THE  BASIS  FOR A TAX CREDIT FOR SUCH EMPLOYER.  THE CREDITS ALLOWED
 UNDER THIS PARAGRAPH SHALL NOT BE USED BY ANY TAXPAYER  OTHER  THAN  THE
 TAXPAYER ACTUALLY QUALIFYING FOR THE CREDITS.
   (B)  CARRYOVER.  CREDIT MAY BE CARRIED FORWARD FOR THE FIVE SUCCESSIVE
 YEARS IF THE AMOUNT ALLOWABLE AS CREDIT EXCEEDS INCOME TAX LIABILITY  IN
 A  TAX  YEAR;  HOWEVER,  THEREAFTER, IF THE AMOUNT ALLOWABLE AS A CREDIT
 EXCEEDS THE TAX LIABILITY, THE AMOUNT OF EXCESS SHALL NOT BE  REFUNDABLE
 OR CARRIED FORWARD TO ANY OTHER TAXABLE YEAR.
   (C)  ELIGIBLE  FACILITY.    AN  ELIGIBLE FACILITY MUST HAVE AN AVERAGE
 DAILY ENROLLMENT FOR THE TAXABLE YEAR OF NO LESS THAN SIX PERSONS  SIXTY
 YEARS  OF  AGE  OR  OLDER  AND BE LICENSED OR CERTIFIED ACCORDING TO THE
 APPLICABLE LAW OR REGULATIONS; OR MUST SERVE FIVE OR FEWER  PERSONS  AGE
 SIXTY  OR  OLDER  IN A FAMILY CHILD CARE/ELDER CARE HOME APPROVED BY THE
 OFFICE OF CHILDREN AND FAMILY SERVICES FOR PARTICIPATION IN  THE  UNITED
 STATES  DEPARTMENT  OF AGRICULTURE CHILD AND ADULT NUTRITION PROGRAM; OR
 MUST SERVE ADULT RELATIVES OF  EMPLOYEES  IN  EITHER  A  COMMUNITY-BASED
 ELDER  CARE FACILITY OR A FACILITY AT THE EMPLOYMENT SITE; OR MUST SERVE
 ADULT DEPENDENTS HAVING PHYSICAL, EMOTIONAL, OR MENTAL  DISABILITIES  IN
 EITHER A COMMUNITY-BASED FACILITY OR A FACILITY AT THE EMPLOYMENT SITE.
   §  3. 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:

 A. 5292                             4
 
 (XLIV) DEPENDENT ELDERLY CARE        AMOUNT OF CREDIT FOR
 CREDIT UNDER PARAGRAPH ONE OF        EMPLOYEE ELDERLY DEPENDENT CARE
 SUBSECTION (V)                       UNDER SUBDIVISION FIFTY-THREE
                                      OF SECTION TWO HUNDRED TEN-B
 
   §  4. This act shall take effect on the first of January next succeed-
 ing the date on which it shall have become a  law  and  shall  apply  to
 taxable  years  commencing  on and after such effective date.  Effective
 immediately, the addition, amendment and/or repeal of any rule or  regu-
 lation  necessary  for  the  implementation of this act on its effective
 date are authorized to be made and completed on or before such effective
 date.