S T A T E O F N E W Y O R K
________________________________________________________________________
7008
2019-2020 Regular Sessions
I N A S S E M B L Y
April 3, 2019
___________
Introduced by M. of A. PEOPLES-STOKES -- 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 certain businesses which
contract with the state or political subdivisions thereof and in unre-
lated contracts, also with minority and women-owned business enter-
prises
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 28 to read as follows:
28. MINORITY AND WOMEN-OWNED BUSINESS EMPLOYMENT INCENTIVE CREDIT. (A)
GENERAL. A TAXPAYER SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS
PROVIDED IN THIS SUBDIVISION, AGAINST THE TAX IMPOSED BY THIS ARTICLE
FOR A CERTAIN PORTION OF THE CONSIDERATION PAID TO A MINORITY OR WOMEN-
OWNED BUSINESS ENTERPRISE PURSUANT TO A CONTRACT FOR THE PROVISION OF
GOODS OR SERVICES. THE CREDIT PROVIDED FOR IN THIS SUBDIVISION SHALL BE
ALLOWED WITH RESPECT TO THE TAX YEAR IN WHICH THE CONSIDERATION IS PAID
TO THE MINORITY OR WOMEN-OWNED BUSINESS ENTERPRISE.
(B) DEFINITIONS. FOR THE PURPOSES OF THIS SUBDIVISION, THE FOLLOWING
TERMS SHALL MEAN:
(I) "GOVERNMENT AGENCY" MEANS A STATE AGENCY OR A STATE AUTHORITY AS
DEFINED IN SUBDIVISION ELEVEN OF SECTION THREE HUNDRED TEN OF THE EXECU-
TIVE LAW, OR A POLITICAL SUBDIVISION AS DEFINED IN SUBDIVISION ONE OF
SECTION ONE HUNDRED OF THE GENERAL MUNICIPAL LAW.
(II) "MINORITY OR WOMEN-OWNED BUSINESS ENTERPRISE" MEANS A MINORITY-
OWNED BUSINESS ENTERPRISE AS DEFINED IN SUBDIVISION SEVEN OF SECTION
THREE HUNDRED TEN OF THE EXECUTIVE LAW OR A WOMEN-OWNED BUSINESS ENTER-
PRISE AS DEFINED IN SUBDIVISION FIFTEEN OF SECTION THREE HUNDRED TEN OF
THE EXECUTIVE LAW.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD04724-01-9
A. 7008 2
(C) COMPUTATION. THE CREDIT AUTHORIZED BY THIS SUBDIVISION SHALL BE
EQUAL TO ONE-THIRD OF ALL EXPENDITURES PAID BY THE TAXPAYER TO A MINORI-
TY OR WOMEN-OWNED BUSINESS ENTERPRISE PURSUANT TO A CONTRACT FOR THE
PROVISION OF GOODS AND SERVICES DURING THE TAX YEAR, PROVIDED THAT SUCH
CONTRACT WAS NOT SUBJECT TO THE PROVISIONS OF ARTICLE FIFTEEN-A OF THE
EXECUTIVE LAW OR ANY OTHER PROVISION OF LAW RELATING TO THE AFFIRMATIVE
ACTION, AND THE TAXPAYER IS NOT A MINORITY OR WOMEN-OWNED BUSINESS
ENTERPRISE. FURTHERMORE, THE AMOUNT OF SUCH CREDIT SHALL NOT EXCEED
FIVE PERCENT OF ALL CONSIDERATION PAID TO THE TAXPAYER DURING THE TAX
YEAR PURSUANT TO CONTRACTS WITH GOVERNMENT AGENCIES FOR THE PROVISION OF
GOODS OR SERVICES.
§ 2. 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) MINORITY AND AMOUNT OF CREDIT
WOMEN-OWNED BUSINESS UNDER SUBDIVISION
EMPLOYMENT INCENTIVE TWENTY-EIGHT OF
CREDIT UNDER SECTION TWO
SUBSECTION (JJJ) HUNDRED TEN-B
§ 3. Section 606 of the tax law is amended by adding a new subsection
(jjj) to read as follows:
(JJJ) MINORITY AND WOMEN-OWNED BUSINESS EMPLOYMENT INCENTIVE CREDIT.
(1) GENERAL. A TAXPAYER SHALL BE ALLOWED A CREDIT TO BE COMPUTED AS
PROVIDED IN THIS SUBSECTION, AGAINST THE TAX IMPOSED BY THIS ARTICLE FOR
A CERTAIN PORTION OF THE CONSIDERATION PAID TO A MINORITY OR WOMEN-OWNED
BUSINESS ENTERPRISE PURSUANT TO A CONTRACT FOR THE PROVISION OF GOODS OR
SERVICES. THE CREDIT PROVIDED FOR IN THIS SUBSECTION SHALL BE ALLOWED
WITH RESPECT TO THE TAX YEAR IN WHICH THE CONSIDERATION IS PAID TO THE
MINORITY OR WOMEN-OWNED BUSINESS ENTERPRISE.
(2) DEFINITIONS. FOR THE PURPOSES OF THIS SUBSECTION, THE FOLLOWING
TERMS SHALL MEAN:
(I) "GOVERNMENT AGENCY" MEANS A STATE AGENCY OR A STATE AUTHORITY AS
DEFINED IN SUBDIVISION ELEVEN OF SECTION THREE HUNDRED TEN OF THE EXECU-
TIVE LAW, OR A POLITICAL SUBDIVISION AS DEFINED IN SUBDIVISION ONE OF
SECTION ONE HUNDRED OF THE GENERAL MUNICIPAL LAW.
(II) "MINORITY OR WOMEN-OWNED BUSINESS ENTERPRISE" MEANS A MINORITY-
OWNED BUSINESS ENTERPRISE AS DEFINED IN SUBDIVISION SEVEN OF SECTION
THREE HUNDRED TEN OF THE EXECUTIVE LAW OR A WOMEN-OWNED BUSINESS ENTER-
PRISE AS DEFINED IN SUBDIVISION FIFTEEN OF SECTION THREE HUNDRED TEN OF
THE EXECUTIVE LAW.
(3) COMPUTATION. THE CREDIT AUTHORIZED BY THIS SUBSECTION SHALL BE
EQUAL TO ONE-THIRD OF ALL EXPENDITURES PAID BY THE TAXPAYER TO A MINORI-
TY OR WOMEN-OWNED BUSINESS ENTERPRISE PURSUANT TO A CONTRACT FOR THE
PROVISION OF GOODS AND SERVICES DURING THE TAX YEAR, PROVIDED THAT SUCH
CONTRACT WAS NOT SUBJECT TO THE PROVISIONS OF ARTICLE FIFTEEN-A OF THE
EXECUTIVE LAW OR ANY OTHER PROVISION OF LAW RELATING TO AFFIRMATIVE
ACTION, AND THE TAXPAYER IS NOT A MINORITY OR WOMEN-OWNED BUSINESS
ENTERPRISE. FURTHERMORE, THE AMOUNT OF SUCH CREDIT SHALL NOT EXCEED
FIVE PERCENT OF ALL CONSIDERATION PAID TO THE TAXPAYER DURING THE TAX
YEAR PURSUANT TO CONTRACTS WITH GOVERNMENT AGENCIES FOR THE PROVISION OF
GOODS OR SERVICES.
§ 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 tax
years commencing on or after such date.