Senate Bill S647

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    647
 
                        2021-2022 Regular Sessions
 
                             I N  S E N A T E
 
                                (PREFILED)
 
                              January 6, 2021
                                ___________
 
 Introduced  by  Sen. SANDERS -- read twice and ordered printed, and when
   printed to be committed to the Committee on Budget and Revenue
 
 AN ACT to amend the tax law, in relation  to  establishing  a  returning
   veterans  tax  credit  for  businesses that hire veterans and disabled
   veterans

   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 55 to read as follows:
   55. RETURNING VETERANS TAX 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  EACH  VETERAN  OR  DISABLED
 VETERAN HIRED DURING A TAXABLE YEAR, PROVIDED THAT:
   (I)  SUCH  VETERAN  IS  A NEW EMPLOYEE AND IS EMPLOYED FOR THIRTY-FIVE
 HOURS OR MORE PER WEEK AND REMAINS IN THE EMPLOY OF  SUCH  TAXPAYER  FOR
 TWELVE MONTHS OR MORE; OR
   (II)  SUCH  DISABLED  VETERAN  IS  A  NEW EMPLOYEE WHO IS EMPLOYED FOR
 SEVENTEEN AND ONE-HALF HOURS OR MORE PER WEEK AND REMAINS IN THE  EMPLOY
 OF SUCH TAXPAYER FOR TWELVE MONTHS OR MORE.
   (B)  AMOUNT OF CREDIT. A CREDIT AUTHORIZED BY THIS SECTION SHALL EQUAL
 THREE THOUSAND DOLLARS PER HIRED VETERAN AND FOUR THOUSAND  DOLLARS  PER
 HIRED  DISABLED  VETERAN  BUT  SHALL NOT EXCEED FIFTEEN THOUSAND DOLLARS
 ANNUALLY.
   (C) CARRYOVERS. THE CREDIT  ALLOWED  UNDER  THIS  SUBDIVISION  MAY  BE
 CLAIMED  AND  IF NOT FULLY USED IN THE INITIAL YEAR FOR WHICH THE CREDIT
 IS CLAIMED MAY BE CARRIED OVER, IN ORDER, TO EACH OF THE TEN  SUCCEEDING
 TAXABLE YEARS. THE CREDIT AUTHORIZED BY THIS SUBDIVISION MAY NOT BE USED
 TO REDUCE THE TAX LIABILITY OF THE CREDIT CLAIMANT BELOW ZERO.
   (D)  DEFINITIONS.  AS  USED  IN  THIS SUBDIVISION, THE FOLLOWING TERMS
 SHALL HAVE THE FOLLOWING MEANINGS:
   (I) "NEW EMPLOYEE" SHALL MEAN ANY FULL TIME EMPLOYEE THAT  CAUSES  THE
 TOTAL  NUMBER  OF  EMPLOYEES TO INCREASE ABOVE BASE EMPLOYMENT OR CREDIT
              

 EMPLOYMENT, WHICHEVER IS HIGHER.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD04727-01-1

 S. 647                              2
 
   (II) "BASE YEAR" SHALL MEAN CALENDAR YEAR TWO THOUSAND TWENTY-ONE.
   (III)  "BASE  EMPLOYMENT"  SHALL  MEAN THE AVERAGE NUMBER OF FULL TIME
 EMPLOYEES OR FULL TIME EQUIVALENT EMPLOYEES DURING THE BASE YEAR. FOR  A
 NEW BUSINESS, BASE EMPLOYMENT SHALL BEGIN AT ZERO.
   (IV) "CREDIT EMPLOYMENT" SHALL MEAN BASE EMPLOYMENT PLUS THE NUMBER OF
 NEW EMPLOYEES FOR WHICH A CREDIT IS EARNED FOR THE PRIOR TAX YEARS.
   (V)  "VETERAN"  SHALL  HAVE  THE  SAME MEANING AS SET FORTH IN SECTION
 EIGHTY-FIVE OF THE CIVIL SERVICE LAW.
   (VI) "DISABLED VETERAN" SHALL HAVE THE SAME MEANING AS  SET  FORTH  IN
 SECTION EIGHTY-FIVE OF THE CIVIL SERVICE LAW.
   §  2. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
 of the tax law is amended by adding a  new  clause  (xlvi)  to  read  as
 follows:
 (XLVI) RETURNING VETERANS TAX        COSTS UNDER SUBDIVISION
 CREDIT; SUBSECTION (KKK)             FIFTY-FIVE OF SECTION
                                      TWO HUNDRED TEN-B
   §  3. Section 606 of the tax law is amended by adding a new subsection
 (kkk) to read as follows:
   (KKK) RETURNING VETERANS TAX 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 EACH VETERAN OR DISABLED VETERAN
 HIRED DURING A TAXABLE YEAR, PROVIDED THAT:
   (I) SUCH VETERAN IS A NEW EMPLOYEE AND  IS  EMPLOYED  FOR  THIRTY-FIVE
 HOURS  OR  MORE  PER WEEK AND REMAINS IN THE EMPLOY OF SUCH TAXPAYER FOR
 TWELVE MONTHS OR MORE; OR
   (II) SUCH DISABLED VETERAN IS A  NEW  EMPLOYEE  AND  IS  EMPLOYED  FOR
 SEVENTEEN  AND ONE-HALF HOURS OR MORE PER WEEK AND REMAINS IN THE EMPLOY
 OF SUCH TAXPAYER FOR TWELVE MONTHS OR MORE.
   (2) AMOUNT OF CREDIT. A CREDIT AUTHORIZED BY THIS SECTION SHALL  EQUAL
 THREE  THOUSAND  DOLLARS PER HIRED VETERAN AND FOUR THOUSAND DOLLARS PER
 HIRED DISABLED VETERAN BUT SHALL NOT  EXCEED  FIFTEEN  THOUSAND  DOLLARS
 ANNUALLY.
   (3)  CARRYOVERS.  THE  CREDIT  ALLOWED  UNDER  THIS  SUBSECTION MAY BE
 CLAIMED AND IF NOT FULLY USED IN THE INITIAL YEAR FOR WHICH  THE  CREDIT
 IS  CLAIMED MAY BE CARRIED OVER, IN ORDER, TO EACH OF THE TEN SUCCEEDING
 TAXABLE YEARS. THE CREDIT AUTHORIZED BY THIS SUBSECTION MAY NOT BE  USED
 TO REDUCE THE TAX LIABILITY OF THE CREDIT CLAIMANT BELOW ZERO.
   (4) DEFINITIONS. AS USED IN THIS SUBSECTION, THE FOLLOWING TERMS SHALL
 HAVE THE FOLLOWING MEANINGS:
   (I)  "NEW  EMPLOYEE" SHALL MEAN ANY FULL TIME EMPLOYEE THAT CAUSES THE
 TOTAL NUMBER OF EMPLOYEES TO INCREASE ABOVE BASE  EMPLOYMENT  OR  CREDIT
 EMPLOYMENT, WHICHEVER IS HIGHER.
   (II) "BASE YEAR" SHALL MEAN CALENDAR YEAR TWO THOUSAND TWENTY-ONE.
   (III)  "BASE  EMPLOYMENT"  SHALL  MEAN THE AVERAGE NUMBER OF FULL TIME
 EMPLOYEES OR FULL TIME EQUIVALENT EMPLOYEES DURING THE BASE YEAR. FOR  A
 NEW BUSINESS, BASE EMPLOYMENT SHALL BEGIN AT ZERO.
   (IV) "CREDIT EMPLOYMENT" SHALL MEAN BASE EMPLOYMENT PLUS THE NUMBER OF
 NEW EMPLOYEES FOR WHICH A CREDIT IS EARNED FOR THE PRIOR TAX YEARS.
   (V)  "VETERAN"  SHALL  HAVE  THE  SAME MEANING AS SET FORTH IN SECTION
 EIGHTY-FIVE OF THE CIVIL SERVICE LAW.
   (VI) "DISABLED VETERAN" SHALL HAVE THE SAME MEANING AS  SET  FORTH  IN
 SECTION EIGHTY-FIVE OF THE CIVIL SERVICE LAW.
   § 4. This act shall take effect immediately and shall apply to taxable
 years  beginning  on  or  after January 1, 2022 and shall apply to those
 employees hired after this act shall take effect.