S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
     S. 8009                                                  A. 9009
 
                       S E N A T E - A S S E M B L Y
 
                             January 19, 2022
                                ___________
 
 IN  SENATE -- A BUDGET BILL, submitted by the Governor pursuant to arti-
   cle seven of the Constitution -- read twice and ordered  printed,  and
   when printed to be committed to the Committee on Finance
 
 IN  ASSEMBLY  --  A  BUDGET  BILL, submitted by the Governor pursuant to
   article seven of the Constitution -- read once  and  referred  to  the
   Committee on Ways and Means

 AN  ACT  to  amend  the tax law, in relation to accelerating the middle-
   class tax cut (Part A); to amend the tax law, in relation to providing
   an enhanced investment tax credit to farmers (Subpart A); to amend the
   tax law and chapter 60 of the laws of 2016 amending the tax law relat-
   ing to creating a farm workforce retention credit, in relation to  the
   effectiveness of such credit (Subpart B); and to amend the tax law, in
   relation  to  establishing a farm employer overtime credit (Subpart C)
   (Part B); to amend the tax law and the administrative code of the city
   of New York, in relation to expanding the small  business  subtraction
   modification  (Part C); to amend the tax law, in relation to excluding
   certain loan forgiveness awards from state income  tax  (Part  D);  to
   amend  the  economic  development  law and the tax law, in relation to
   creating the COVID-19 capital costs tax credit program  (Part  E);  to
   amend  the tax law and the state finance law, in relation to extending
   and expanding the New York city musical and theatrical production  tax
   credit  and  the  purposes  of  the New York state council on the arts
   cultural programs fund; and to amend subpart B of part PP  of  chapter
   59  of the laws of 2021 amending the tax law and the state finance law
   relating to establishing the New  York  city  musical  and  theatrical
   production  tax  credit and establishing the New York state council on
   the arts cultural program fund, in relation to the effectiveness ther-
   eof (Part F); to amend the tax law,  in  relation  to  establishing  a
   permanent  rate  for  the  metropolitan  transportation  business  tax
   surcharge (Part G); to amend the tax law, in relation to extending and
   modifying the hire a vet credit (Part H); to amend  the  tax  law,  in
   relation  to  establishing  a tax credit for the conversion from grade
   no. 6 heating oil  usage  to  biodiesel  heating  oil  and  geothermal
   systems  (Part  I);  to  amend  the public housing law, in relation to
   extending the credit  against  income  tax  for  persons  or  entities
   investing  in  low-income  housing  (Part J); to amend the tax law, in
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                       [ ] is old law to be omitted.
                                                            LBD12674-01-2
 S. 8009                             2                            A. 9009
 
   relation to extending the   clean   heating fuel credit   for    three
   years  (Part K); to amend chapter 604 of the laws of 2011 amending the
   tax  law  relating to the credit for companies who provide transporta-
   tion  to  people  with  disabilities, in relation to the effectiveness
   thereof; and to amend the tax law, in relation to the application of a
   credit for companies who provide transportation  to  individuals  with
   disabilities (Part L); to amend the tax law, in relation to the empire
   state film production credit and the empire state film post production
   credit  (Part M); to amend the labor law, in relation to extending the
   New York youth jobs program tax credit (Part N); to  amend  the  labor
   law,  in  relation  to  extending  the empire state apprenticeship tax
   credit program (Part O); to amend the tax law, in relation to  extend-
   ing  the  alternative  fuels  and electric vehicle recharging property
   credit (Part P); to amend the labor law, in relation  to  the  program
   period  for  the  workers with disabilities tax credit program; and to
   amend part MM of chapter 59 of the laws of 2014 amending the labor law
   and the tax law relating to the creation of the workers with disabili-
   ties tax credit program, in  relation  to  the  effectiveness  thereof
   (Part Q); to amend the tax law, in relation to making changes conform-
   ing  to  the federal taxation of S corporations; and to repeal certain
   provisions of such law relating thereto (Part R);  to  amend  the  tax
   law,  in  relation to the investment tax credit (Part S); to amend the
   tax law, in relation to exempting certain fuels used by  tugboats  and
   towboats  from  the  petroleum business tax (Part T); to amend the tax
   law, in relation to the authority of  counties  to  impose  sales  and
   compensating  use  taxes; and to repeal certain provisions of such law
   relating thereto (Part U); to  amend  the  tax  law,  in  relation  to
   requiring  vacation  rental  marketplace  providers  collect sales tax
   (Part V); to amend the tax law in relation to requiring publication of
   changes in withholding tables and interest rates (Part  W);  to  amend
   the  tax  law,  in  relation  to expanding the definition of financial
   institution under the financial institution data match  program  (Part
   X);  to amend the real property tax law and chapter 475 of the laws of
   2013, relating to assessment ceilings for local  public  utility  mass
   real  property,  in  relation  to extending the assessment ceiling for
   local public utility mass real property to January 1, 2027  (Part  Y);
   to  amend the real property tax law, in relation to good cause refunds
   for the STAR program (Subpart A); to amend the real property tax  law,
   in relation to moving up the deadline for taxpayers to switch from the
   STAR  exemption  to the STAR credit (Subpart B); to amend the tax law,
   in relation to clarifying the applicable income tax year for the basic
   STAR credit (Subpart C); to amend the tax law, in relation to allowing
   names of STAR credit recipients to be shared with assessors outside of
   New York state (Subpart D); and to amend the  tax  law  and  the  real
   property tax law, in relation to allowing decedent reports to be given
   to  assessors  and improving the tax enforcement process as it relates
   to decedents (Subpart E) (Part Z); to amend the real property tax law,
   in relation to the grievance process with respect to the valuation  of
   solar  and  wind  energy  systems  (Part AA); to amend the tax law, in
   relation to establishing a homeowner tax rebate credit (Part  BB);  to
   amend  the  racing, pari-mutuel wagering and breeding law, in relation
   to gaming facility determinations and licensing (Part  CC);  to  amend
   the  racing, pari-mutuel   wagering  and  breeding law, in relation to
   the utilization of funds in the Catskill and  Capital    regions  off-
   track  betting  corporation's  capital acquisition funds; and to amend
   chapter 59 of the laws of 2021 amending the racing, pari-mutuel wager-
 S. 8009                             3                            A. 9009
 
   ing and breeding law, relating to the  utilization  of  funds  in  the
   Catskill  and  Capital regions off-track betting corporation's capital
   acquisition funds, in relation to the effectiveness thereof (Part DD);
   and  to  amend  the  racing, pari-mutuel wagering and breeding law, in
   relation to licenses for simulcast facilities, sums relating to  track
   simulcast,  simulcast of out-of-state thoroughbred races, simulcasting
   of races run by  out-of-state  harness  tracks  and  distributions  of
   wagers;  to amend chapter 281 of the laws of 1994 amending the racing,
   pari-mutuel wagering and breeding  law  and  other  laws  relating  to
   simulcasting;  to  amend  chapter 346 of the laws of 1990 amending the
   racing, pari-mutuel wagering and breeding law and other laws  relating
   to  simulcasting  and  the imposition of certain taxes, in relation to
   extending certain provisions thereof; and to amend the  racing,  pari-
   mutuel  wagering  and  breeding  law, in relation to extending certain
   provisions thereof (Part EE)

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  This  act enacts into law major components of legislation
 which are necessary to implement the state fiscal plan for the 2022-2023
 state fiscal year. Each component is  wholly  contained  within  a  Part
 identified as Parts A through EE. The effective date for each particular
 provision contained within such Part is set forth in the last section of
 such  Part.    Any  provision  in  any  section contained within a Part,
 including the effective date of the Part, which makes a reference  to  a
 section  "of  this  act",  when  used in connection with that particular
 component, shall be deemed  to  mean  and  refer  to  the  corresponding
 section of the Part in which it is found. Section three of this act sets
 forth the general effective date of this act.
 
                                  PART A
 
   Section 1. Clauses (vi), (vii), (viii) and (ix) of subparagraph (B) of
 paragraph  1  of  subsection  (a) of section 601 of the tax law, clauses
 (vi), (vii) and (viii) as amended and clause (ix) as added by section  1
 of  part  A  of  chapter  59 of the laws of 2021, are amended to read as
 follows:
   (vi) For taxable years beginning  in  two  thousand  twenty-three  AND
 BEFORE TWO THOUSAND TWENTY-EIGHT the following rates shall apply:
 [If the New York taxable income is:   The tax is:
 Not over $17,150                      4% of the New York taxable income
 Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
                                       $17,150
 Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
                                       $23,600
 Over $27,900 but not over $161,550    $1,202 plus 5.73% of excess over
                                       $27,900
 Over $161,550 but not over $323,200   $8,860 plus 6.17% of excess over
                                       $161,550
 Over $323,200 but not over            $18,834 plus 6.85% of
 $2,155,350                            excess over $323,200
 Over $2,155,350 but not over          $144,336 plus 9.65% of excess over
 $5,000,000                            $2,155,350
 Over $5,000,000 but not over          $418,845 plus 10.30% of excess over
 S. 8009                             4                            A. 9009

 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,478,845 plus 10.90% of excess over
                                       $25,000,000
   (vii)  For  taxable  years  beginning  in two thousand twenty-four the
 following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $17,150                      4% of the New York taxable income
 Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
                                       $17,150
 Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
                                       $23,600
 Over $27,900 but not over $161,550    $1,202 plus 5.61% of excess over
                                       $27,900
 Over $161,550 but not over $323,200   $8,700 plus 6.09% of excess over
                                       $161,550
 Over $323,200 but not over            $18,544 plus 6.85% of excess over
 $2,155,350                            $323,200
 Over $2,155,350 but not over          $144,047 plus 9.65% of excess over
 $5,000,000                            $2,155,350
 Over $5,000,000 but not over          $418,555 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,478,555 plus 10.90% of excess over
                                       $25,000,000
   (viii) For taxable years beginning after two thousand twenty-four  and
 before two thousand twenty-eight the following rates shall apply:]
 If the New York taxable income is:    The tax is:
 Not over $17,150                      4% of the New York taxable income
 Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
                                       $17,150
 Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
                                       $23,600
 Over $27,900 but not over $161,550    $1,202 plus 5.5% of excess over
                                       $27,900
 Over $161,550 but not over $323,200   $8,553 plus 6.00% of excess over
                                       $161,550
 Over $323,200 but not over            $18,252 plus 6.85% of excess over
 $2,155,350                            $323,200
 Over $2,155,350 but not over          $143,754 plus 9.65% of excess over
 $5,000,000                            $2,155,350
 Over $5,000,000 but not over          $418,263 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,478,263 plus 10.90% of excess over
                                       $25,000,000
 
   [(ix)](VII) For taxable years beginning after two thousand twenty-sev-
 en the following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $17,150                      4% of the New York taxable income
 Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
                                       $17,150
 Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
                                       $23,600
 Over $27,900 but not over $161,550    $1,202 plus 5.5% of excess over
                                       $27,900
 Over $161,550 but not over $323,200   $8,553 plus 6.00% of excess
 S. 8009                             5                            A. 9009
 
                                       over $161,550
 Over $323,200 but not over            $18,252 plus 6.85% of excess
 $2,155,350                            over $323,200
 Over $2,155,350                       $143,754 plus  8.82% of excess
                                       over $2,155,350
 
   § 2. Clauses (vi), (vii), (viii) and (ix) of subparagraph (B) of para-
 graph  1  of subsection (b) of section 601 of the tax law, clauses (vi),
 (vii) and (viii) as amended and clause (ix) as added  by  section  2  of
 part  A  of  chapter  59  of  the  laws  of 2021, are amended to read as
 follows:
   (vi) For taxable years beginning  in  two  thousand  twenty-three  AND
 BEFORE TWO THOUSAND TWENTY-EIGHT the following rates shall apply:
 [If the New York taxable income is:   The tax is:
 Not over $12,800                      4% of the New York taxable income
 Over $12,800 but not over $17,650     $512 plus 4.5% of excess over
                                       $12,800
 Over $17,650 but not over $20,900     $730 plus 5.25% of excess over
                                       $17,650
 Over $20,900 but not over $107,650    $901 plus 5.73% of excess over
                                       $20,900
 Over $107,650 but not over $269,300   $5,872 plus 6.17% of excess over
                                       $107,650
 Over $269,300 but not over            $15,845 plus 6.85% of excess
 $1,616,450                            over $269,300
 Over $1,616,450 but not over          $108,125 plus 9.65% of excess over
 $5,000,000                            $1,616,450
 Over $5,000,000 but not over          $434,638 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,494,638 plus 10.90% of excess over
                                       $25,000,000
   (vii)  For  taxable  years  beginning  in two thousand twenty-four the
 following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $12,800                      4% of the New York taxable income
 Over $12,800 but not over $17,650     $512 plus 4.5% of excess over
                                       $12,800
 Over $17,650 but not over $20,900     $730 plus 5.25% of excess over
                                       $17,650
 Over $20,900 but not over $107,650    $901 plus 5.61% of excess over
                                       $20,900
 Over $107,650 but not over $269,300   $5,768 plus 6.09% of excess over
                                       $107,650
 Over $269,300 but not over            $15,612 plus 6.85% of excess
 $1,616,450                            over $269,300
 Over $1,616,450 but not over          $107,892 plus 9.65% of excess over
 $5,000,000                            $1,616,450
 Over $5,000,000 but not over          $434,404 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,494,404 plus 10.90% of excess over
                                       $25,000,000
   (viii) For taxable years beginning after two thousand twenty-four  and
 before two thousand twenty-eight the following rates shall apply:]
 If the New York taxable income is:    The tax is:
 Not over $12,800                      4% of the New York taxable income
 Over $12,800 but not over $17,650     $512 plus 4.5% of excess over
 S. 8009                             6                            A. 9009
 
                                       $12,800
 Over $17,650 but not over $20,900     $730 plus 5.25% of excess over
                                       $17,650
 Over $20,900 but not over $107,650    $901 plus 5.5% of excess over
                                       $20,900
 Over $107,650 but not over $269,300   $5,672 plus 6.00% of excess over
                                       $107,650
 Over $269,300 but not over            $15,371 plus 6.85% of excess over
 $1,616,450                            $269,300
 Over $1,616,450 but not over          $107,651 plus 9.65% of excess over
 $5,000,000                            $1,616,450
 Over $5,000,000 but not over          $434,163 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,494,163 plus 10.90% of excess over
                                       $25,000,000

   [(ix)](VII) For taxable years beginning after two thousand twenty-sev-
 en the following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $12,800                      4% of the New York taxable income
 Over $12,800 but not over             $512 plus 4.5% of excess over
 $17,650                               $12,800
 Over $17,650 but not over             $730 plus 5.25% of excess over
 $20,900                               $17,650
 Over $20,900 but not over             $901 plus 5.5% of excess over
 $107,650                              $20,900
 Over $107,650 but not over            $5,672 plus 6.00% of excess
 $269,300                              over $107,650
 Over $269,300 but not over            $15,371 plus 6.85% of excess
 $1,616,450                            over $269,300
 Over $1,616,450                       $107,651 plus  8.82% of excess
                                       over $1,616,450
 
   § 3. Clauses (vi), (vii), (viii) and (ix) of subparagraph (B) of para-
 graph  1  of subsection (c) of section 601 of the tax law, clauses (vi),
 (vii) and (viii) as amended, and clause (ix) as added by  section  3  of
 part  A  of  chapter  59  of  the  laws  of 2021, are amended to read as
 follows:
   (vi) For taxable years beginning  in  two  thousand  twenty-three  AND
 BEFORE TWO THOUSAND TWENTY-EIGHT the following rates shall apply:
 [If the New York taxable income is:   The tax is:
 Not over $8,500                       4% of the New York taxable income
 Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
                                       $8,500
 Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
                                       $11,700
 Over $13,900 but not over $80,650     $600 plus 5.73% of excess over
                                       $13,900
 Over $80,650 but not over $215,400    $4,424 plus 6.17% of excess over
                                       $80,650
 Over $215,400 but not over            $12,738 plus 6.85% of excess
 $1,077,550                            over $215,400
 Over $1,077,550 but not over          $71,796 plus 9.65% of excess over
 $5,000,000                            $1,077,550
 Over $5,000,000 but not over          $450,312 plus 10.30% of excess over
 S. 8009                             7                            A. 9009

 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,510,312 plus 10.90% of excess over
                                       $25,000,000
   (vii)  For  taxable  years  beginning  in two thousand twenty-four the
 following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $8,500                       4% of the New York taxable income
 Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
                                       $8,500
 Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
                                       $11,700
 Over $13,900 but not over $80,650     $600 plus 5.61% of excess over
                                       $13,900
 Over $80,650 but not over $215,400    $4,344 plus 6.09% of excess over
                                       $80,650
 Over $215,400 but not over            $12,550 plus 6.85% of excess
 $1,077,550                            over $215,400
 Over $1,077,550 but not over          $71,608 plus 9.65% of excess over
 $5,000,000                            $1,077,550
 Over $5,000,000 but not over          $450,124 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,510,124 plus 10.90% of excess over
                                       $25,000,000
   (viii) For taxable years beginning after two thousand twenty-four  and
 before two thousand twenty-eight the following rates shall apply:]
 If the New York taxable income is:    The tax is:
 Not over $8,500                       4% of the New York taxable income
 Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
                                       $8,500
 Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
                                       $11,700
 Over $13,900 but not over $80,650     $600 plus 5.50% of excess over
                                       $13,900
 Over $80,650 but not over $215,400    $4,271 plus 6.00% of excess over
                                       $80,650
 Over $215,400 but not over            $12,356 plus 6.85% of excess over
 $1,077,550                            $215,400
 Over $1,077,550 but not over          $71,413 plus 9.65% of excess over
 $5,000,000                            $1,077,550
 Over $5,000,000 but not over          $449,929 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,509,929 plus 10.90% of excess over
                                       $25,000,000
   [(ix)](VII) For taxable years beginning after two thousand twenty-sev-
 en the following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $8,500                       4% of the New York taxable income
 Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
                                       $8,500
 Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
                                       $11,700
 Over $13,900 but not over $80,650     $600 plus 5.50% of excess over
                                       $13,900
 Over $80,650 but not over $215,400    $4,271 plus 6.00% of excess
                                       over $80,650
 Over $215,400 but not over            $12,356 plus 6.85% of excess
 S. 8009                             8                            A. 9009
 
 $1,077,550                            over $215,400
 Over $1,077,550                       $71,413 plus 8.82% of excess
                                       over $1,077,550
 
   § 4. This act shall take effect immediately.
 
                                  PART B
 
   Section 1. This act enacts into law components of legislation relating
 to  certain  tax  credits.  Each  component is wholly contained within a
 Subpart identified as Subparts A through C. The effective date for  each
 particular  provision  contained within such Subpart is set forth in the
 last section of such Subpart. Any provision  in  any  section  contained
 within  a  Subpart,  including  the effective date of the Subpart, which
 makes reference to a section "of this act", when used in connection with
 that particular component, shall be deemed to  mean  and  refer  to  the
 corresponding section of the Subpart in which it is found. Section three
 of this act sets forth the general effective date of this act.
 
                                 SUBPART A
 
   Section 1. Subdivision 1 of section 210-B of the tax law is amended by
 adding a new paragraph (a-1) to read as follows:
   (A-1)  FOR A TAXPAYER THAT IS AN ELIGIBLE FARMER, AS DEFINED IN SUBDI-
 VISION ELEVEN OF THIS SECTION, THE PERCENTAGE TO BE USED TO COMPUTE  THE
 CREDIT  ALLOWED UNDER THIS SUBDIVISION SHALL BE TWENTY PERCENT FOR PROP-
 ERTY DESCRIBED IN SUBPARAGRAPH (I) OF PARAGRAPH (B) OF THIS  SUBDIVISION
 THAT  IS  PRINCIPALLY USED BY THE TAXPAYER IN THE PRODUCTION OF GOODS BY
 FARMING, AGRICULTURE, HORTICULTURE, FLORICULTURE OR VITICULTURE.
   § 2. Subsection (a) of section 606 of the tax law is amended by adding
 a new paragraph 1-a to read as follows:
   (1-A) FOR A TAXPAYER  THAT  IS  AN  ELIGIBLE  FARMER,  AS  DEFINED  IN
 SUBSECTION (N) OF THIS SECTION, THE PERCENTAGE TO BE USED TO COMPUTE THE
 CREDIT ALLOWED UNDER THIS SUBSECTION SHALL BE TWENTY PERCENT FOR PROPER-
 TY  DESCRIBED  IN  SUBPARAGRAPH  (A) OF PARAGRAPH TWO OF THIS SUBSECTION
 THAT IS PRINCIPALLY USED BY THE TAXPAYER IN THE PRODUCTION OF  GOODS  BY
 FARMING, AGRICULTURE, HORTICULTURE, FLORICULTURE OR VITICULTURE.
   §  3.  This  act  shall  take effect immediately and apply to property
 placed in service on or after April 1, 2022.
 
                                 SUBPART B
 
   Section 1. Subsection (e) of section 42 of the tax law, as amended  by
 section  1  of  part FF of chapter 59 of the laws of 2021, is amended to
 read as follows:
   (e) For taxable years beginning on or after January first,  two  thou-
 sand  seventeen  and  before  January  first, two thousand eighteen, the
 amount of the credit allowed under this section shall be  equal  to  the
 product  of  the total number of eligible farm employees and two hundred
 fifty dollars. For taxable years beginning on or  after  January  first,
 two  thousand  eighteen and before January first, two thousand nineteen,
 the amount of the credit allowed under this section shall  be  equal  to
 the  product  of  the  total number of eligible farm employees and three
 hundred dollars. For taxable years beginning on or after January  first,
 two thousand nineteen and before January first, two thousand twenty, the
 amount  of  the  credit allowed under this section shall be equal to the
 S. 8009                             9                            A. 9009
 
 product of the total number of eligible farm employees and five  hundred
 dollars.  For  taxable  years  beginning  on or after January first, two
 thousand twenty and before January first, two thousand  twenty-one,  the
 amount  of  the  credit allowed under this section shall be equal to the
 product of the total number of eligible farm employees and four  hundred
 dollars.  For  taxable  years  beginning  on or after January first, two
 thousand twenty-one and before January first, two thousand [twenty-five]
 TWENTY-SIX, the amount of the credit allowed under this section shall be
 equal to the product of the total number of eligible farm employees  and
 [six] TWELVE hundred dollars.
   §  2.  Section 5 of part RR of chapter 60 of the laws of 2016 amending
 the tax law relating to creating a farm workforce retention  credit,  as
 amended  by  section  2 of part FF of chapter 59 of the laws of 2021, is
 amended to read as follows:
   § 5. This act shall take effect immediately and shall  apply  only  to
 taxable  years  beginning on or after January 1, 2017 and before January
 1, [2025] 2026.
   § 3. This act shall take effect immediately.
 
                                 SUBPART C
 
   Section 1. Subdivision (f) of section 42 of the tax law, as  added  by
 section  1  of  part RR of chapter 60 of the laws of 2016, is amended to
 read as follows:
   (f) A taxpayer claiming the credit allowed under  this  section  shall
 not be allowed to claim any other tax credit allowed under this chapter,
 EXCEPT  THE  CREDIT  ALLOWED  UNDER SECTION FORTY-TWO-A OF THIS ARTICLE,
 with respect to any eligible farm employee included in the total  number
 of  eligible  farm  employees used to determine the amount of the credit
 allowed under this section.
   § 2. The tax law is amended by adding a new section 42-a  to  read  as
 follows:
   § 42-A. FARM EMPLOYER OVERTIME CREDIT. (A) NOTWITHSTANDING SUBDIVISION
 (F)  OF  SECTION  FORTY-TWO  OF  THIS ARTICLE, A TAXPAYER THAT IS A FARM
 EMPLOYER OR AN OWNER OF A FARM EMPLOYER SHALL BE ELIGIBLE FOR  A  CREDIT
 AGAINST THE TAX IMPOSED UNDER ARTICLE NINE-A OR TWENTY-TWO OF THIS CHAP-
 TER,  PURSUANT  TO  THE PROVISIONS REFERENCED IN SUBDIVISION (H) OF THIS
 SECTION.
   (B) A FARM EMPLOYER IS A CORPORATION (INCLUDING A NEW  YORK  S  CORPO-
 RATION),  A  SOLE PROPRIETORSHIP, A LIMITED LIABILITY COMPANY OR A PART-
 NERSHIP THAT IS AN ELIGIBLE FARMER.
   (C) FOR PURPOSES OF THIS SECTION, THE TERM "ELIGIBLE FARMER"  MEANS  A
 TAXPAYER   WHOSE  FEDERAL  GROSS  INCOME  FROM  FARMING  AS  DEFINED  IN
 SUBSECTION (N) OF SECTION SIX HUNDRED SIX OF THIS CHAPTER FOR THE  TAXA-
 BLE  YEAR  IS AT LEAST TWO-THIRDS OF EXCESS FEDERAL GROSS INCOME. EXCESS
 FEDERAL GROSS INCOME MEANS THE AMOUNT OF FEDERAL GROSS INCOME  FROM  ALL
 SOURCES  FOR  THE TAXABLE YEAR IN EXCESS OF THIRTY THOUSAND DOLLARS. FOR
 PURPOSES OF THIS SECTION, PAYMENTS FROM THE STATE'S FARMLAND  PROTECTION
 PROGRAM,  ADMINISTERED  BY  THE  DEPARTMENT  OF AGRICULTURE AND MARKETS,
 SHALL BE INCLUDED AS FEDERAL GROSS INCOME  FROM  FARMING  FOR  OTHERWISE
 ELIGIBLE FARMERS.
   (D)  AN  ELIGIBLE  FARM  EMPLOYEE IS AN INDIVIDUAL WHO MEETS THE DEFI-
 NITION OF A "FARM LABORER" UNDER SECTION TWO OF THE  LABOR  LAW  WHO  IS
 EMPLOYED  BY  A  FARM  EMPLOYER IN NEW YORK STATE, BUT EXCLUDING GENERAL
 EXECUTIVE OFFICERS OF THE FARM EMPLOYER.
 S. 8009                            10                            A. 9009
 
   (E) ELIGIBLE OVERTIME  IS  THE  AGGREGATE  NUMBER  OF  HOURS  OF  WORK
 PERFORMED  DURING  THE TAXABLE YEAR BY AN ELIGIBLE FARM EMPLOYEE THAT IN
 ANY CALENDAR WEEK EXCEEDS THE OVERTIME WORK THRESHOLD SET BY THE COMMIS-
 SIONER OF LABOR PURSUANT TO THE RECOMMENDATION OF THE FARM LABORERS WAGE
 BOARD,  PROVIDED  THAT WORK PERFORMED IN SUCH CALENDAR WEEK IN EXCESS OF
 SIXTY HOURS SHALL NOT BE INCLUDED.
   (F) SPECIAL RULES. IF MORE THAN FIFTY PERCENT OF SUCH  ELIGIBLE  FARM-
 ER'S  FEDERAL  GROSS INCOME FROM FARMING IS FROM THE SALE OF WINE FROM A
 LICENSED FARM WINERY AS PROVIDED FOR IN ARTICLE  SIX  OF  THE  ALCOHOLIC
 BEVERAGE  CONTROL  LAW,  OR  FROM THE SALE OF CIDER FROM A LICENSED FARM
 CIDERY AS PROVIDED FOR IN SECTION FIFTY-EIGHT-C OF THE ALCOHOLIC  BEVER-
 AGE  CONTROL LAW, THEN AN ELIGIBLE FARM EMPLOYEE OF SUCH ELIGIBLE FARMER
 SHALL BE INCLUDED FOR PURPOSES  OF  CALCULATING  THE  AMOUNT  OF  CREDIT
 ALLOWED  UNDER  THIS  SECTION  ONLY  IF  SUCH  ELIGIBLE FARM EMPLOYEE IS
 EMPLOYED BY SUCH ELIGIBLE FARMER ON QUALIFIED AGRICULTURAL  PROPERTY  AS
 DEFINED  IN  PARAGRAPH FOUR OF SUBSECTION (N) OF SECTION SIX HUNDRED SIX
 OF THIS CHAPTER.
   (G) THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SECTION SHALL BE EQUAL
 TO THE AGGREGATE AMOUNT OF SUCH CREDIT ALLOWED PER ELIGIBLE FARM EMPLOY-
 EE, AS FOLLOWS. THE AMOUNT OF  THE  CREDIT  ALLOWED  PER  ELIGIBLE  FARM
 EMPLOYEE  SHALL  BE  EQUAL  TO  THE PRODUCT OF (I) THE ELIGIBLE OVERTIME
 WORKED DURING THE TAXABLE YEAR BY THE ELIGIBLE FARM  EMPLOYEE  AND  (II)
 THE OVERTIME RATE PAID BY THE FARM EMPLOYER TO THE ELIGIBLE FARM EMPLOY-
 EE LESS SUCH EMPLOYEE'S REGULAR RATE OF PAY.
   (H)  CROSS  REFERENCES: FOR APPLICATION OF THE CREDIT PROVIDED IN THIS
 SECTION, SEE THE FOLLOWING PROVISIONS OF THIS CHAPTER:
   (1) ARTICLE 9-A: SECTION 210-B, SUBDIVISION 58.
   (2) ARTICLE 22: SECTION 606, SUBSECTION (NNN).
   § 3. Section 210-B of the tax law is amended by adding a new  subdivi-
 sion 58 to read as follows:
   58. FARM EMPLOYER OVERTIME CREDIT.  (A) ALLOWANCE OF CREDIT. A TAXPAY-
 ER  SHALL  BE  ALLOWED  A  CREDIT, TO BE COMPUTED AS PROVIDED IN SECTION
 FORTY-TWO-A OF THIS CHAPTER, AGAINST THE TAX IMPOSED BY THIS ARTICLE.
   (B) 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 AMOUNT PRESCRIBED  IN  PARAGRAPH  (D)  OF  SUBDIVISION  ONE  OF
 SECTION TWO HUNDRED TEN OF THIS ARTICLE. HOWEVER, IF THE AMOUNT OF CRED-
 IT  ALLOWED  UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR REDUCES THE TAX
 TO SUCH AMOUNT OR IF THE TAXPAYER OTHERWISE PAYS TAX BASED ON THE  FIXED
 DOLLAR  MINIMUM 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.  PROVIDED,  HOWEVER,  THE  PROVISIONS  OF
 SUBSECTION (C) OF SECTION ONE  THOUSAND  EIGHTY-EIGHT  OF  THIS  CHAPTER
 NOTWITHSTANDING, 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  (xlix)  to  read  as
 follows:
 (XLIX) FARM EMPLOYER OVERTIME        AMOUNT OF CREDIT UNDER
 CREDIT UNDER SUBSECTION (NNN)        SUBDIVISION FIFTY-EIGHT OF
                                      SECTION TWO HUNDRED TEN-B
   §  5. Section 606 of the tax law is amended by adding a new subsection
 (nnn) to read as follows:
   (NNN) FARM EMPLOYER OVERTIME CREDIT. (1) A TAXPAYER SHALL BE ALLOWED A
 CREDIT, TO BE COMPUTED AS PROVIDED IN SECTION FORTY-TWO-A OF THIS  CHAP-
 TER, AGAINST THE TAX IMPOSED BY THIS ARTICLE.
 S. 8009                            11                            A. 9009
 
   (2)  APPLICATION OF CREDIT. IF THE AMOUNT OF CREDIT ALLOWED UNDER THIS
 SUBSECTION FOR ANY TAXABLE YEAR EXCEEDS  THE  TAXPAYER'S  TAX  FOR  SUCH
 YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDIT-
 ED  OR  REFUNDED IN ACCORDANCE WITH THE PROVISION OF SECTION SIX HUNDRED
 EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST SHALL BE
 PAID THEREON.
   § 6. This act shall take effect immediately and shall apply to taxable
 years beginning on or after January 1, 2022.
   §  2.  This  act shall take effect immediately provided, however, that
 the applicable effective date of Subparts A through C of this act  shall
 be as specifically set forth in the last section of such Subparts.
 
                                  PART C
 
   Section  1.  Paragraph  39 of subsection (c) of section 612 of the tax
 law, as added by section 1 of part Y of chapter 59 of the laws of  2013,
 is amended to read as follows:
   (39)  (A)  In  the  case  of  a taxpayer who is a small business  OR A
 TAXPAYER WHO IS A MEMBER, PARTNER, OR SHAREHOLDER OF A LIMITED LIABILITY
 COMPANY, PARTNERSHIP, OR NEW YORK S CORPORATION, RESPECTIVELY, THAT IS A
 SMALL BUSINESS, who OR WHICH has business income and/or farm  income  as
 defined  in  the  laws  of the United States, an amount equal to [three]
 FIFTEEN percent of the net items of income,  gain,  loss  and  deduction
 attributable  to  such  business  or farm entering into federal adjusted
 gross income, but not less than zero[, for taxable years beginning after
 two thousand thirteen, an  amount  equal  to  three  and  three-quarters
 percent  of  the net items of income, gain, loss and deduction attribut-
 able to such business or  farm  entering  into  federal  adjusted  gross
 income,  but  not  less than zero, for taxable years beginning after two
 thousand fourteen, and an amount equal to five percent of the net  items
 of  income,  gain,  loss  and deduction attributable to such business or
 farm entering into federal adjusted gross  income,  but  not  less  than
 zero, for taxable years beginning after two thousand fifteen].
   (B)  (I)  For  the purposes of this paragraph, the term small business
 shall mean: (I) a sole proprietor [or a farm business] who  employs  one
 or  more persons during the taxable year and who has net business income
 or net farm income of GREATER THAN ZERO BUT less than two hundred  fifty
 thousand dollars;
   (II)  A  LIMITED  LIABILITY COMPANY, PARTNERSHIP, OR NEW YORK S CORPO-
 RATION THAT DURING THE TAXABLE YEAR EMPLOYS ONE OR MORE PERSONS AND  HAS
 NET  FARM  INCOME  ATTRIBUTABLE  TO A FARM BUSINESS THAT IS GREATER THAN
 ZERO BUT LESS THAN TWO HUNDRED FIFTY THOUSAND DOLLARS; OR
   (III) A LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW YORK  S  CORPO-
 RATION  THAT DURING THE TAXABLE YEAR EMPLOYS ONE OR MORE PERSONS AND HAS
 NEW YORK GROSS BUSINESS INCOME ATTRIBUTABLE TO A NON-FARM BUSINESS  THAT
 IS  GREATER  THAN  ZERO  BUT LESS THAN ONE MILLION FIVE HUNDRED THOUSAND
 DOLLARS.
   (II) FOR PURPOSES OF THIS PARAGRAPH, THE TERM NEW YORK GROSS  BUSINESS
 INCOME  SHALL  MEAN: (I) IN THE CASE OF A LIMITED LIABILITY COMPANY OR A
 PARTNERSHIP, NEW YORK SOURCE GROSS INCOME AS DEFINED IN SUBPARAGRAPH (B)
 OF PARAGRAPH THREE OF SUBSECTION (C) OF SECTION SIX HUNDRED  FIFTY-EIGHT
 OF  THIS  ARTICLE; AND (II) IN THE CASE OF A NEW YORK S CORPORATION, NEW
 YORK RECEIPTS INCLUDED IN THE  NUMERATOR  OF  THE  APPORTIONMENT  FACTOR
 DETERMINED UNDER SECTION TWO HUNDRED TEN-A OF THIS CHAPTER FOR THE TAXA-
 BLE YEAR.
 S. 8009                            12                            A. 9009
 
   (C)  TO  QUALIFY FOR THIS MODIFICATION IN RELATION TO A NON-FARM SMALL
 BUSINESS THAT IS A LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW YORK S
 CORPORATION, THE TAXPAYER'S INCOME  ATTRIBUTABLE  TO  THE  NET  BUSINESS
 INCOME FROM ITS OWNERSHIP INTERESTS IN NON-FARM LIMITED LIABILITY COMPA-
 NIES,  PARTNERSHIPS,  OR  NEW  YORK S CORPORATIONS MUST BE LESS THAN TWO
 HUNDRED FIFTY THOUSAND DOLLARS.
   § 2. Paragraph 35 of subdivision (c) of section 11-1712 of the  admin-
 istrative  code of the city of New York, as added by section 2 of part Y
 of chapter 59 of the laws of 2013, is amended to read as follows:
   (35) (A) In the case of a taxpayer  who  is  a  small  business  OR  A
 TAXPAYER WHO IS A MEMBER, PARTNER, OR SHAREHOLDER OF A LIMITED LIABILITY
 COMPANY, PARTNERSHIP, OR NEW YORK S CORPORATION, RESPECTIVELY, THAT IS A
 SMALL  BUSINESS,  who OR WHICH has business income and/or farm income as
 defined in the laws of the United States, an  amount  equal  to  [three]
 FIFTEEN  percent  of  the  net items of income, gain, loss and deduction
 attributable to such business or farm  entering  into  federal  adjusted
 gross income, but not less than zero[, for taxable years beginning after
 two  thousand  thirteen,  an  amount  equal  to three and three-quarters
 percent of the net items of income, gain, loss and  deduction  attribut-
 able  to  such  business  or  farm  entering into federal adjusted gross
 income, but not less than zero, for taxable years  beginning  after  two
 thousand  fourteen, and an amount equal to five percent of the net items
 of income, gain, loss and deduction attributable  to  such  business  or
 farm  entering  into  federal  adjusted  gross income, but not less than
 zero, for taxable years beginning after two thousand fifteen].
   (B) (I) For the purposes of this paragraph, the  term  small  business
 shall  mean:  (I) a sole proprietor [or a farm business] who employs one
 or more persons during the taxable year and who has net business  income
 or  net farm income of GREATER THAN ZERO BUT less than two hundred fifty
 thousand dollars;
   (II) A LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW  YORK  S  CORPO-
 RATION  THAT DURING THE TAXABLE YEAR EMPLOYS ONE OR MORE PERSONS AND HAS
 NET FARM INCOME THAT IS GREATER THAN ZERO  BUT  LESS  THAN  TWO  HUNDRED
 FIFTY THOUSAND DOLLARS; OR
   (III)  A  LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW YORK S CORPO-
 RATION THAT DURING THE TAXABLE YEAR EMPLOYS ONE OR MORE PERSONS AND  HAS
 NEW  YORK GROSS BUSINESS INCOME ATTRIBUTABLE TO A NON-FARM BUSINESS THAT
 IS GREATER THAN ZERO BUT LESS THAN ONE  MILLION  FIVE  HUNDRED  THOUSAND
 DOLLARS.
   (II)  FOR PURPOSES OF THIS PARAGRAPH, THE TERM NEW YORK GROSS BUSINESS
 INCOME SHALL MEAN: (I) IN THE CASE OF A LIMITED LIABILITY COMPANY  OR  A
 PARTNERSHIP, NEW YORK SOURCE GROSS INCOME AS DEFINED IN SUBPARAGRAPH (B)
 OR  PARAGRAPH THREE OF SUBSECTION (C) OF SECTION SIX HUNDRED FIFTY-EIGHT
 OF THE TAX LAW, AND, (II) IN THE CASE OF A NEW YORK S  CORPORATION,  NEW
 YORK  RECEIPTS  INCLUDED  IN  THE  NUMERATOR OF THE APPORTIONMENT FACTOR
 DETERMINED UNDER SECTION TWO HUNDRED TEN-A OF THE TAX LAW FOR THE  TAXA-
 BLE YEAR.
   (C)  TO  QUALIFY FOR THIS MODIFICATION IN RELATION TO A NON-FARM SMALL
 BUSINESS THAT IS A LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW YORK S
 CORPORATION, THE TAXPAYER'S INCOME  ATTRIBUTABLE  TO  THE  NET  BUSINESS
 INCOME FROM ITS OWNERSHIP INTERESTS IN NON-FARM LIMITED LIABILITY COMPA-
 NIES,  PARTNERSHIPS,  OR  NEW  YORK S CORPORATIONS MUST BE LESS THAN TWO
 HUNDRED FIFTY THOUSAND DOLLARS.
   § 3. This act shall take effect immediately and shall apply to taxable
 years beginning on or after January 1, 2022.
 S. 8009                            13                            A. 9009
 
                                  PART D
 
    Section  1.   Subsection (c) of section 612 of the tax law is amended
 by adding a new paragraph 46 to read as follows:
   (46) THE AMOUNT OF ANY STUDENT LOAN FORGIVENESS AWARD MADE PURSUANT TO
 A PROGRAM ESTABLISHED UNDER ARTICLE FOURTEEN OF THE EDUCATION LAW TO THE
 EXTENT INCLUDED IN FEDERAL ADJUSTED GROSS INCOME.
   § 2. This act shall take effect immediately and  shall  apply  to  tax
 years beginning on or after January 1, 2022.

                                  PART E
 
   Section  1.  The  economic  development law is amended by adding a new
 article 26 to read as follows:
                                ARTICLE 26
                 COVID-19 CAPITAL COSTS TAX CREDIT PROGRAM
 SECTION 480. SHORT TITLE.
         481. STATEMENT OF LEGISLATIVE FINDINGS AND DECLARATION.
         482. DEFINITIONS.
         483. ELIGIBILITY CRITERIA.
         484. APPLICATION AND APPROVAL PROCESS.
         485. COVID-19 CAPITAL COSTS TAX CREDIT.
         486. POWERS AND DUTIES OF THE COMMISSIONER.
         487. MAINTENANCE OF RECORDS.
         488. CAP ON TAX CREDIT.
   § 480. SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY  BE  CITED  AS
 THE "COVID-19 CAPITAL COSTS TAX CREDIT PROGRAM ACT".
   § 481. STATEMENT OF LEGISLATIVE FINDINGS AND DECLARATION. IT IS HEREBY
 FOUND  AND  DECLARED  THAT  NEW  YORK STATE NEEDS, AS A MATTER OF PUBLIC
 POLICY, TO PROVIDE CRITICAL ASSISTANCE TO  SMALL  BUSINESSES  TO  COMPLY
 WITH PUBLIC HEALTH OR OTHER EMERGENCY ORDERS OR REGULATIONS, AND TO TAKE
 INFECTIOUS DISEASE MITIGATION MEASURES RELATED TO THE COVID-19 PANDEMIC.
 THE  COVID-19  CAPITAL  COSTS  TAX  CREDIT PROGRAM IS CREATED TO PROVIDE
 FINANCIAL ASSISTANCE TO ECONOMICALLY HARMED BUSINESSES TO  OFFER  RELIEF
 AND  REDUCE  THE DURATION AND SEVERITY OF THE CURRENT ECONOMIC DIFFICUL-
 TIES.
   § 482. DEFINITIONS. FOR THE PURPOSES OF THIS ARTICLE:
   1. "CERTIFICATE OF TAX CREDIT" MEANS THE DOCUMENT ISSUED TO A BUSINESS
 ENTITY BY THE DEPARTMENT AFTER THE  DEPARTMENT  HAS  VERIFIED  THAT  THE
 BUSINESS  ENTITY  HAS  MET  ALL  APPLICABLE ELIGIBILITY CRITERIA IN THIS
 ARTICLE. THE CERTIFICATE SHALL SPECIFY THE EXACT AMOUNT OF THE TAX CRED-
 IT UNDER THIS ARTICLE THAT A BUSINESS  ENTITY  MAY  CLAIM,  PURSUANT  TO
 SECTION FOUR HUNDRED EIGHTY-FIVE OF THIS ARTICLE.
   2. "COMMISSIONER" SHALL MEAN COMMISSIONER OF THE DEPARTMENT OF ECONOM-
 IC DEVELOPMENT.
   3. "DEPARTMENT" SHALL MEAN THE DEPARTMENT OF ECONOMIC DEVELOPMENT.
   4.  "QUALIFIED  COVID-19 CAPITAL COSTS" SHALL MEAN COSTS INCURRED FROM
 JANUARY FIRST, TWO THOUSAND TWENTY-ONE  THROUGH  DECEMBER  THIRTY-FIRST,
 TWO  THOUSAND  TWENTY-TWO  AT  A  BUSINESS LOCATION IN NEW YORK STATE TO
 COMPLY WITH PUBLIC HEALTH  OR  OTHER  EMERGENCY  ORDERS  OR  REGULATIONS
 RELATED  TO  THE  COVID-19  PANDEMIC,  OR  TO  GENERALLY INCREASE SAFETY
 THROUGH INFECTIOUS DISEASE MITIGATION, INCLUDING COSTS FOR: (I) SUPPLIES
 TO DISINFECT AND/OR PROTECT AGAINST COVID-19 TRANSMISSION; (II) RESTOCK-
 ING OF PERISHABLE GOODS  TO  REPLACE  THOSE  LOST  DURING  THE  COVID-19
 PANDEMIC; (III) PHYSICAL BARRIERS AND SNEEZE GUARDS; (IV) HAND SANITIZER
 STATIONS; (V) RESPIRATORY DEVICES SUCH AS AIR PURIFIER SYSTEMS INSTALLED
 S. 8009                            14                            A. 9009
 
 AT  THE BUSINESS ENTITY'S LOCATION; (VI) SIGNAGE RELATED TO THE COVID-19
 PANDEMIC INCLUDING, BUT NOT LIMITED TO, SIGNAGE  DETAILING  VACCINE  AND
 MASKING REQUIREMENTS, AND SOCIAL DISTANCING; (VII) MATERIALS REQUIRED TO
 DEFINE AND/OR PROTECT SPACE SUCH AS BARRIERS; (VIII) MATERIALS NEEDED TO
 BLOCK  OFF  CERTAIN  SEATS  TO ALLOW FOR SOCIAL DISTANCING; (IX) CERTAIN
 POINT OF SALE PAYMENT EQUIPMENT TO ALLOW FOR  CONTACTLESS  PAYMENT;  (X)
 EQUIPMENT  AND/OR  MATERIALS  AND  SUPPLIES  FOR  NEW  PRODUCT  LINES IN
 RESPONSE TO THE COVID-19 PANDEMIC;  (XI)  SOFTWARE  FOR  ONLINE  PAYMENT
 PLATFORMS  TO  ENABLE  DELIVERY OR CONTACTLESS PURCHASES; (XII) BUILDING
 CONSTRUCTION AND RETROFITS TO ACCOMMODATE SOCIAL DISTANCING AND  INSTAL-
 LATION  OF  AIR  PURIFYING  EQUIPMENT BUT NOT FOR COSTS FOR NON-COVID-19
 PANDEMIC RELATED CAPITAL RENOVATIONS OR GENERAL "CLOSED FOR RENOVATIONS"
 UPGRADES; (XIII) MACHINERY  AND  EQUIPMENT  TO  ACCOMMODATE  CONTACTLESS
 SALES; (XIV) MATERIALS TO ACCOMMODATE INCREASED OUTDOOR ACTIVITY SUCH AS
 HEAT  LAMPS,  OUTDOOR  LIGHTING,  AND MATERIALS RELATED TO OUTDOOR SPACE
 EXPANSIONS; AND (XV) OTHER COSTS AS DETERMINED BY THE DEPARTMENT  TO  BE
 ELIGIBLE UNDER THIS SECTION; PROVIDED, HOWEVER, THAT "QUALIFIED COVID-19
 CAPITAL  COSTS"  DO  NOT  INCLUDE  ANY COST PAID FOR WITH OTHER COVID-19
 GRANT FUNDS AS DETERMINED BY THE COMMISSIONER.
   § 483. ELIGIBILITY CRITERIA. 1. TO BE ELIGIBLE FOR A TAX CREDIT  UNDER
 THE COVID-19 CAPITAL COSTS TAX CREDIT PROGRAM, A BUSINESS ENTITY MUST:
   (A)  BE  A SMALL BUSINESS AS DEFINED IN SECTION ONE HUNDRED THIRTY-ONE
 OF THIS CHAPTER AND HAVE TWO MILLION FIVE HUNDRED  THOUSAND  DOLLARS  OR
 LESS  OF GROSS RECEIPTS IN THE TAXABLE YEAR THAT INCLUDES DECEMBER THIR-
 TY-FIRST, TWO THOUSAND TWENTY-ONE; AND
   (B) OPERATE A BUSINESS LOCATION IN NEW YORK STATE.
   2. A BUSINESS ENTITY MUST BE IN SUBSTANTIAL COMPLIANCE WITH ANY PUBLIC
 HEALTH OR OTHER EMERGENCY ORDERS OR REGULATIONS RELATED TO THE  ENTITY'S
 BUSINESS  SECTOR  OR  OTHER  LAWS  AND  REGULATIONS AS DETERMINED BY THE
 COMMISSIONER. IN ADDITION, A BUSINESS ENTITY MAY NOT OWE PAST DUE  STATE
 TAXES  OR  LOCAL  PROPERTY  TAXES  UNLESS  THE BUSINESS ENTITY IS MAKING
 PAYMENTS AND  COMPLYING  WITH  AN  APPROVED  BINDING  PAYMENT  AGREEMENT
 ENTERED INTO WITH THE TAXING AUTHORITY.
   §  484.  APPLICATION  AND  APPROVAL PROCESS. 1. A BUSINESS ENTITY MUST
 SUBMIT A COMPLETE APPLICATION AS PRESCRIBED BY THE COMMISSIONER.
   2. THE COMMISSIONER SHALL ESTABLISH PROCEDURES  AND  A  TIMEFRAME  FOR
 BUSINESS  ENTITIES  TO  SUBMIT APPLICATIONS. AS PART OF THE APPLICATION,
 EACH BUSINESS ENTITY MUST:
   (A) PROVIDE EVIDENCE IN A FORM AND MANNER PRESCRIBED  BY  THE  COMMIS-
 SIONER OF THEIR BUSINESS ELIGIBILITY;
   (B) AGREE TO ALLOW THE DEPARTMENT OF TAXATION AND FINANCE TO SHARE THE
 BUSINESS  ENTITY'S  TAX  INFORMATION  WITH  THE DEPARTMENT. HOWEVER, ANY
 INFORMATION SHARED AS A RESULT OF THIS PROGRAM SHALL  NOT  BE  AVAILABLE
 FOR DISCLOSURE OR INSPECTION UNDER THE STATE FREEDOM OF INFORMATION LAW;
   (C)  ALLOW  THE  DEPARTMENT AND ITS AGENTS ACCESS TO ANY AND ALL BOOKS
 AND RECORDS THE DEPARTMENT MAY REQUIRE TO MONITOR COMPLIANCE;
   (D) CERTIFY, UNDER PENALTY OF  PERJURY,  THAT  IT  IS  IN  SUBSTANTIAL
 COMPLIANCE  WITH  ALL  EMERGENCY  ORDERS  OR  PUBLIC  HEALTH REGULATIONS
 CURRENTLY REQUIRED OF SUCH ENTITY, AND LOCAL, AND STATE TAX LAWS;
   (E) CERTIFY, UNDER PENALTY OF PERJURY, THAT IT  DID  NOT  INCLUDE  ANY
 COST  PAID  FOR  WITH  OTHER  COVID-19  GRANT FUNDS AS DETERMINED BY THE
 COMMISSIONER IN ITS APPLICATION FOR A  TAX  CREDIT  UNDER  THE  COVID-19
 CAPITAL COSTS TAX CREDIT PROGRAM; AND
   (F)  AGREE  TO  PROVIDE  ANY  ADDITIONAL  INFORMATION  REQUIRED BY THE
 DEPARTMENT RELEVANT TO THIS ARTICLE.
 S. 8009                            15                            A. 9009
 
   3. AFTER REVIEWING A BUSINESS ENTITY'S COMPLETED FINAL APPLICATION AND
 DETERMINING THAT THE BUSINESS ENTITY MEETS THE ELIGIBILITY  CRITERIA  AS
 SET  FORTH  IN  THIS  ARTICLE, THE DEPARTMENT MAY ISSUE TO THAT BUSINESS
 ENTITY A CERTIFICATE OF TAX CREDIT.
   4.  THE  BUSINESS ENTITY MUST SUBMIT ITS APPLICATION WITHIN FORTY-FIVE
 DAYS AFTER THE EARLIER OF:  (A)  THE  LAST  DAY  IT  INCURRED  QUALIFIED
 COVID-19 CAPITAL COSTS, OR (B) DECEMBER THIRTY-FIRST, TWO THOUSAND TWEN-
 TY-TWO.  THE  DATE SPECIFIED IN PARAGRAPH (A) OR (B) OF THIS SUBDIVISION
 IS THE BUSINESS ENTITY'S APPLICATION DEADLINE.
   § 485. COVID-19 CAPITAL COSTS TAX CREDIT. 1. A BUSINESS ENTITY IN  THE
 COVID-19  CAPITAL  COSTS  TAX  CREDIT PROGRAM THAT MEETS THE ELIGIBILITY
 REQUIREMENTS OF SECTION FOUR HUNDRED EIGHTY-THREE OF THIS ARTICLE MAY BE
 ELIGIBLE TO CLAIM A CREDIT EQUAL  TO  FIFTY  PERCENT  OF  ITS  QUALIFIED
 COVID-19  CAPITAL  COSTS  AS DEFINED IN SUBDIVISION FOUR OF SECTION FOUR
 HUNDRED EIGHTY-TWO OF THIS ARTICLE.
   2. A BUSINESS  ENTITY,  INCLUDING  A  PARTNERSHIP,  LIMITED  LIABILITY
 COMPANY AND SUBCHAPTER S CORPORATION, MAY NOT RECEIVE IN EXCESS OF TWEN-
 TY-FIVE THOUSAND DOLLARS UNDER THIS PROGRAM.
   3.  THE  CREDIT  SHALL  BE ALLOWED AS PROVIDED IN SECTION FORTY-SEVEN,
 SUBDIVISION FIFTY-EIGHT OF SECTION  TWO  HUNDRED  TEN-B  AND  SUBSECTION
 (NNN) OF SECTION SIX HUNDRED SIX OF THE TAX LAW.
   4. A BUSINESS ENTITY MAY CLAIM THE TAX CREDIT IN THE TAXABLE YEAR THAT
 INCLUDES THE BUSINESS ENTITY'S APPLICATION DEADLINE AS DEFINED BY SUBDI-
 VISION  FOUR OF SECTION FOUR HUNDRED EIGHTY-FOUR OF THIS CHAPTER. HOWEV-
 ER, IF SUCH APPLICATION DEADLINE OCCURRED ON OR BEFORE DECEMBER  THIRTY-
 FIRST, TWO THOUSAND TWENTY-ONE, THE BUSINESS ENTITY MAY CLAIM THE CREDIT
 ON  ITS  TAX  RETURN FOR THE TAXABLE YEAR THAT INCLUDES DECEMBER THIRTY-
 FIRST, TWO THOUSAND TWENTY-TWO.
   § 486. POWERS AND DUTIES OF THE COMMISSIONER. 1. THE COMMISSIONER  MAY
 PROMULGATE REGULATIONS ESTABLISHING AN APPLICATION PROCESS AND ELIGIBIL-
 ITY  CRITERIA, THAT WILL BE APPLIED CONSISTENT WITH THE PURPOSES OF THIS
 ARTICLE, SO AS NOT TO EXCEED THE ANNUAL CAP ON TAX CREDITS SET FORTH  IN
 SECTION FOUR HUNDRED EIGHTY-EIGHT OF THIS ARTICLE WHICH, NOTWITHSTANDING
 ANY  PROVISIONS  TO  THE  CONTRARY IN THE STATE ADMINISTRATIVE PROCEDURE
 ACT, MAY BE ADOPTED ON AN EMERGENCY BASIS.
   2. THE COMMISSIONER SHALL, IN  CONSULTATION  WITH  THE  DEPARTMENT  OF
 TAXATION  AND FINANCE, DEVELOP A CERTIFICATE OF TAX CREDIT THAT SHALL BE
 ISSUED BY THE COMMISSIONER  TO  ELIGIBLE  BUSINESSES.  SUCH  CERTIFICATE
 SHALL CONTAIN SUCH INFORMATION AS REQUIRED BY THE DEPARTMENT OF TAXATION
 AND FINANCE.
   3.  THE  COMMISSIONER  SHALL  SOLELY  DETERMINE THE ELIGIBILITY OF ANY
 APPLICANT APPLYING FOR ENTRY INTO THE PROGRAM AND SHALL REMOVE ANY BUSI-
 NESS ENTITY FROM THE PROGRAM FOR FAILING TO MEET ANY OF THE REQUIREMENTS
 SET FORTH IN SECTION FOUR HUNDRED EIGHTY-THREE OF THIS ARTICLE,  OR  FOR
 FAILING TO MEET THE REQUIREMENTS SET FORTH IN SUBDIVISION ONE OF SECTION
 FOUR HUNDRED EIGHTY-FOUR OF THIS ARTICLE.
   §  487.  MAINTENANCE OF RECORDS. EACH BUSINESS ENTITY PARTICIPATING IN
 THE PROGRAM SHALL KEEP  ALL  RELEVANT  RECORDS  FOR  THEIR  DURATION  OF
 PROGRAM PARTICIPATION FOR AT LEAST THREE YEARS.
   §  488.  CAP  ON TAX CREDIT. THE TOTAL AMOUNT OF TAX CREDITS LISTED ON
 CERTIFICATES OF TAX CREDIT ISSUED BY THE COMMISSIONER PURSUANT  TO  THIS
 ARTICLE MAY NOT EXCEED TWO HUNDRED FIFTY MILLION DOLLARS.
   §  2.  The  tax  law  is amended by adding a new section 47 to read as
 follows:
   § 47. COVID-19 CAPITAL COSTS TAX CREDIT. (A) ALLOWANCE  OF  CREDIT.  A
 TAXPAYER SUBJECT TO TAX UNDER ARTICLE NINE-A OR TWENTY-TWO OF THIS CHAP-
 S. 8009                            16                            A. 9009
 
 TER  SHALL  BE  ALLOWED  A  CREDIT  AGAINST  SUCH  TAX,  PURSUANT TO THE
 PROVISIONS REFERENCED IN SUBDIVISION (F) OF THIS SECTION. THE AMOUNT  OF
 THE  CREDIT  IS  EQUAL TO THE AMOUNT DETERMINED PURSUANT TO SECTION FOUR
 HUNDRED  EIGHTY-FIVE OF THE ECONOMIC DEVELOPMENT LAW. NO COST OR EXPENSE
 PAID OR INCURRED BY THE TAXPAYER WHICH IS INCLUDED AS PART OF THE CALCU-
 LATION OF THIS CREDIT SHALL BE THE BASIS OF ANY OTHER TAX CREDIT ALLOWED
 UNDER THIS CHAPTER.
   (B) ELIGIBILITY. TO BE ELIGIBLE FOR THE  COVID-19  CAPITAL  COSTS  TAX
 CREDIT,  THE TAXPAYER SHALL HAVE BEEN ISSUED A CERTIFICATE OF TAX CREDIT
 BY THE DEPARTMENT OF ECONOMIC DEVELOPMENT PURSUANT TO SUBDIVISION  THREE
 OF  SECTION  FOUR  HUNDRED  EIGHTY-FOUR OF THE ECONOMIC DEVELOPMENT LAW,
 WHICH CERTIFICATE SHALL SET FORTH THE AMOUNT OF THE CREDIT THAT  MAY  BE
 CLAIMED  FOR  THE  TAXABLE  YEAR. THE TAXPAYER SHALL BE ALLOWED TO CLAIM
 ONLY THE AMOUNT LISTED ON THE CERTIFICATE OF TAX CREDIT FOR THAT TAXABLE
 YEAR. A TAXPAYER THAT IS A PARTNER IN A PARTNERSHIP, MEMBER OF A LIMITED
 LIABILITY COMPANY OR SHAREHOLDER IN A SUBCHAPTER S CORPORATION THAT  HAS
 RECEIVED A CERTIFICATE OF TAX CREDIT SHALL BE ALLOWED ITS PRO RATA SHARE
 OF  THE  CREDIT  EARNED BY THE PARTNERSHIP, LIMITED LIABILITY COMPANY OR
 SUBCHAPTER S CORPORATION.
   (C) TAX RETURN REQUIREMENT. THE TAXPAYER SHALL BE REQUIRED  TO  ATTACH
 TO  ITS  TAX RETURN IN THE FORM PRESCRIBED BY THE COMMISSIONER, PROOF OF
 RECEIPT OF ITS CERTIFICATE OF TAX CREDIT ISSUED BY THE  COMMISSIONER  OF
 THE DEPARTMENT OF ECONOMIC DEVELOPMENT.
   (D)  INFORMATION  SHARING. NOTWITHSTANDING ANY PROVISION OF THIS CHAP-
 TER, EMPLOYEES OF THE DEPARTMENT OF ECONOMIC DEVELOPMENT AND THE DEPART-
 MENT SHALL BE ALLOWED AND ARE DIRECTED TO SHARE AND EXCHANGE:
   (1) INFORMATION DERIVED FROM TAX RETURNS OR REPORTS THAT  IS  RELEVANT
 TO A TAXPAYER'S ELIGIBILITY TO PARTICIPATE IN THE COVID-19 CAPITAL COSTS
 TAX CREDIT PROGRAM;
   (2)  INFORMATION  REGARDING THE CREDIT APPLIED FOR, ALLOWED OR CLAIMED
 PURSUANT TO THIS SECTION AND TAXPAYERS THAT ARE APPLYING FOR THE  CREDIT
 OR THAT ARE CLAIMING THE CREDIT; AND
   (3)  INFORMATION  CONTAINED  IN  OR  DERIVED  FROM  CREDIT CLAIM FORMS
 SUBMITTED TO THE DEPARTMENT AND  APPLICATIONS  FOR  ADMISSION  INTO  THE
 COVID-19  CAPITAL  COSTS TAX CREDIT PROGRAM. EXCEPT AS PROVIDED IN PARA-
 GRAPH TWO OF THIS SUBDIVISION, ALL  INFORMATION  EXCHANGED  BETWEEN  THE
 DEPARTMENT  OF  ECONOMIC  DEVELOPMENT  AND  THE  DEPARTMENT SHALL NOT BE
 SUBJECT TO DISCLOSURE OR INSPECTION UNDER THE STATE'S FREEDOM OF  INFOR-
 MATION LAW.
   (E)  CREDIT  RECAPTURE.  IF  A CERTIFICATE OF TAX CREDIT ISSUED BY THE
 DEPARTMENT OF ECONOMIC  DEVELOPMENT  UNDER  ARTICLE  TWENTY-SIX  OF  THE
 ECONOMIC  DEVELOPMENT  LAW  IS REVOKED BY SUCH DEPARTMENT, THE AMOUNT OF
 CREDIT DESCRIBED IN THIS SECTION AND CLAIMED BY THE  TAXPAYER  PRIOR  TO
 THAT  REVOCATION SHALL BE ADDED BACK TO TAX IN THE TAXABLE YEAR IN WHICH
 ANY SUCH REVOCATION BECOMES FINAL.
   (F) CROSS REFERENCES. FOR APPLICATION OF THE CREDIT  PROVIDED  FOR  IN
 THIS SECTION, SEE THE FOLLOWING PROVISIONS OF THIS CHAPTER:
   (1) ARTICLE 9-A: SECTION 210-B, SUBDIVISION 58;
   (2) ARTICLE 22: SECTION 606, SUBSECTION (NNN).
   §  3. Section 210-B of the tax law is amended by adding a new subdivi-
 sion 58 to read as follows:
   58. COVID-19 CAPITAL COSTS TAX CREDIT.  (A)  ALLOWANCE  OF  CREDIT.  A
 TAXPAYER  SHALL  BE  ALLOWED  A  CREDIT,  TO  BE COMPUTED AS PROVIDED IN
 SECTION FORTY-SEVEN OF THIS CHAPTER, AGAINST THE TAXES IMPOSED  BY  THIS
 ARTICLE.
 S. 8009                            17                            A. 9009
 
   (B)  APPLICATION  OF CREDIT. THE CREDIT ALLOWED UNDER THIS SUBDIVISION
 FOR THE TAXABLE YEAR SHALL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO  LESS
 THAN  THE  AMOUNT  PRESCRIBED  IN  PARAGRAPH  (D)  OF SUBDIVISION ONE OF
 SECTION TWO HUNDRED TEN OF THIS ARTICLE. HOWEVER, IF THE AMOUNT OF CRED-
 IT  ALLOWED  UNDER THIS SUBDIVISION FOR THE TAXABLE YEAR REDUCES THE TAX
 TO SUCH AMOUNT OR IF THE TAXPAYER OTHERWISE PAYS TAX BASED ON THE  FIXED
 DOLLAR  MINIMUM 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.  PROVIDED,  HOWEVER,  THE  PROVISIONS  OF
 SUBSECTION (C) OF SECTION ONE  THOUSAND  EIGHTY-EIGHT  OF  THIS  CHAPTER
 NOTWITHSTANDING, NO INTEREST WILL BE PAID THEREON.
   §  4. Section 606 of the tax law is amended by adding a new subsection
 (nnn) to read as follows:
   (NNN) COVID-19 CAPITAL COSTS TAX CREDIT. (1) ALLOWANCE  OF  CREDIT.  A
 TAXPAYER  SHALL  BE  ALLOWED  A  CREDIT,  TO  BE COMPUTED AS PROVIDED IN
 SECTION FORTY-SEVEN OF THIS CHAPTER, AGAINST THE  TAX  IMPOSED  BY  THIS
 ARTICLE.
   (2)  APPLICATION  OF CREDIT. IF THE AMOUNT OF THE CREDIT ALLOWED UNDER
 THIS SUBSECTION FOR THE TAXABLE YEAR EXCEEDS THE TAXPAYER'S TAX FOR SUCH
 YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDIT-
 ED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX  HUNDRED
 EIGHTY-SIX  OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST WILL BE
 PAID THEREON.
   § 5. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
 of  the  tax  law  is  amended  by adding a new clause (xlix) to read as
 follows:
 (XLIX) COVID-19 CAPITAL COSTS        AMOUNT OF CREDIT UNDER
 TAX CREDIT UNDER SUBSECTION (NNN)    SUBDIVISION 58 OF
                                      SECTION TWO HUNDRED TEN-B
   § 6. This act shall take effect immediately.
 
                                  PART F
 
   Section 1. Paragraph 2 of subdivision (a) of section 24-c of  the  tax
 law,  as added by section 1 of subpart B of part PP of chapter 59 of the
 laws of 2021,  is amended to read as follows:
   (2) The amount of the credit shall be the product (or pro  rata  share
 of the product, in the case of a member of a partnership) of twenty-five
 percent  and  the  sum of the qualified production expenditures paid for
 during the qualified New York city musical and  theatrical  production's
 credit  period.  Provided  however  that the amount of the credit cannot
 exceed three million dollars per qualified New  York  city  musical  and
 theatrical production for productions whose first performance is [during
 the  first  year  in  which  applications are accepted] PRIOR TO JANUARY
 FIRST, TWO THOUSAND TWENTY-THREE. For productions whose  first  perform-
 ance  is  [during the second year in which applications are accepted] ON
 OR AFTER JANUARY  FIRST,  TWO  THOUSAND  TWENTY-THREE,  such  cap  shall
 decrease  to one million five hundred thousand dollars per qualified New
 York city musical and theatrical production unless  the  New  York  city
 tourism  economy  has  not  sufficiently recovered, as determined by the
 department of economic development in consultation with the division  of
 the budget. In determining whether the New York city tourism economy has
 sufficiently  recovered,  the  department  of  economic development will
 perform an analysis of key New York city economic indicators which shall
 include, but not  be  limited  to,  hotel  occupancy  rates  and  travel
 S. 8009                            18                            A. 9009
 
 metrics. The department of economic development's analysis shall also be
 informed  by the status of any remaining COVID-19 restrictions affecting
 New York city musical and theatrical productions. In no  event  shall  a
 qualified  New  York  city musical and theatrical production be eligible
 for more than one credit under this program.
   § 2. Subparagraph (i) of paragraph 5 of  subdivision  (b)  of  section
 24-c  of  the  tax law, as added by section 1 of subpart B of part PP of
 chapter 59 of the laws of 2021, is amended to read as follows:
   (i) "The credit period of a qualified New York city musical and theat-
 rical production company" is the period starting on the production start
 date and ending on the earlier of the date  the  qualified  musical  and
 theatrical  production  has  expended  sufficient  qualified  production
 expenditures to reach its credit  cap,  [March  thirty-first]  SEPTEMBER
 THIRTIETH,  two  thousand twenty-three or the date the qualified musical
 and theatrical production closes.
   § 3. Paragraph 1 of subdivision (f) of section 24-c of the tax law, as
 added by section 1 of subpart B of part PP of chapter 59 of the laws  of
 2021, is amended to read as follows:
   (1)  The  aggregate  amount of tax credits allowed under this section,
 subdivision fifty-seven of section  two  hundred  ten-B  and  subsection
 (mmm)  of  section  six  hundred  six of this chapter shall be [one] TWO
 hundred million dollars. Such aggregate amount of credits shall be allo-
 cated by the department of economic development among taxpayers based on
 the date of first performance of the qualified  musical  and  theatrical
 production.
   § 4. Paragraph 2 of subdivision (f) of section 24-c of the tax law, as
 added  by section 1 of subpart B of part PP of chapter 59 of the laws of
 2021, is amended to read as follows:
   (2) The commissioner of economic development,  after  consulting  with
 the  commissioner,  shall promulgate regulations to establish procedures
 for the allocation of tax credits as  required  by  this  section.  Such
 rules  and  regulations shall include provisions describing the applica-
 tion process, the due dates for such applications,  the  standards  that
 will  be  used to evaluate the applications, the documentation that will
 be provided by applicants to substantiate to the department  the  amount
 of  qualified production expenditures of such applicants, and such other
 provisions as deemed  necessary  and  appropriate.  Notwithstanding  any
 other  provisions  to the contrary in the state administrative procedure
 act, such rules and regulations may be adopted on an emergency basis. In
 no event  shall  a  qualified  New  York  city  musical  and  theatrical
 production  submit an application for this program after [December thir-
 ty-first, two thousand twenty-two] JUNE THIRTIETH, TWO THOUSAND  TWENTY-
 THREE.
   §  5.  Subdivision  (g)  of  section  24-c of the tax law, as added by
 section 1 of subpart B of part PP of chapter 59 of the laws of 2021,  is
 amended to read as follows:
   (g)  Any  qualified  New  York  city musical and theatrical production
 company that performs in a qualified New York city  production  facility
 and applies to receive a credit under this section shall be required to:
 (1)  participate  in  a  New  York state diversity and arts job training
 program; (2) create and implement a plan to ensure that their production
 is available and accessible for low-or no-cost to low income  New  York-
 ers;  and  (3)  contribute  to  the  New York state council on the arts,
 cultural program fund an amount up to fifty percent of the total credits
 received if its production earns ongoing revenue prospectively after the
 end of the credit period that is at least equal to two  hundred  percent
 S. 8009                            19                            A. 9009
 
 of  its  ongoing production costs, with such amount payable from twenty-
 five percent of net operating profits, such amounts payable on a monthly
 basis, up until such  fifty  percent  of  the  total  credit  amount  is
 reached.  Any  funds  deposited pursuant to this subdivision may be used
 for arts and cultural  [educational  and  workforce  development]  GRANT
 programs OF THE NEW YORK STATE COUNCIL ON THE ARTS.
   § 6. Subdivision 5 of section 99-ll of the state finance law, as added
 by  section 5 of subpart B of part PP of chapter 59 of the laws of 2021,
 is amended to read as follows:
   5. The moneys in such fund  shall  be  expended  for  the  purpose  of
 supplementing art and cultural GRANT programs [for secondary and elemen-
 tary  children,  including  programs  that  increase  access  to art and
 cultural programs and events for children in underserved communities] OF
 THE NEW YORK STATE COUNCIL ON THE ARTS.
   § 7. Section 6 of subpart B of part PP of chapter 59 of  the  laws  of
 2021  amending  the tax law and the state finance law relating to estab-
 lishing the New York city musical and theatrical production  tax  credit
 and establishing the New York state council on the arts cultural program
 fund, is amended to read as follows:
   §  6.  This act shall take effect immediately [and]; PROVIDED HOWEVER,
 THAT SECTION ONE, TWO, THREE AND FOUR OF THIS ACT shall apply to taxable
 years beginning on or after January 1, 2021, and before January 1,  2024
 and  shall  expire and be deemed repealed [on] January 1, 2024; provided
 FURTHER, however that the obligations under paragraph 3  of  subdivision
 [g]  (G) of section 24-c of the tax law, as added by section one of this
 act, shall remain in effect until December 31, 2025.
   § 8. This act shall take effect immediately; provided that the  amend-
 ments  to  section 24-c of the tax law made by sections one, two, three,
 four and five of this act shall not affect the repeal  of  such  section
 and shall be deemed repealed therewith.
 
                                  PART G
 
   Section 1. Paragraphs (a) and (f) of subdivision 1 of section 209-b of
 the  tax  law,  paragraph  (a)  as amended and paragraph (f) as added by
 section 7 of part A of chapter 59 of the laws of 2014,  are  amended  to
 read as follows:
   (a)  For  the  privilege  of exercising its corporate franchise, or of
 doing business, or of employing capital, or of owning or leasing proper-
 ty in a corporate or organized capacity, or of maintaining an office, or
 of deriving receipts from activity in the metropolitan  commuter  trans-
 portation  district,  for  all or any part of its taxable year, there is
 hereby imposed on every corporation, other than  a  New  York  S  corpo-
 ration,  subject  to tax under section two hundred nine of this article,
 or any receiver, referee, trustee, assignee or other fiduciary,  or  any
 officer  or  agent  appointed by any court, who conducts the business of
 any such corporation, a tax surcharge, in addition to  the  tax  imposed
 under  section  two  hundred nine of this article, to be computed at the
 rate of seventeen percent of the tax imposed under such section for such
 taxable years or any part of such  taxable  years  ending  on  or  after
 December  thirty-first, nineteen hundred eighty-three and before January
 first, two thousand fifteen after the deduction of any credits otherwise
 allowable under this article, at the rate of twenty-five and  six-tenths
 percent  of  the tax imposed under such section for taxable years begin-
 ning on or after January first, two thousand fifteen and before  January
 first,  two  thousand sixteen before the deduction of any credits other-
 S. 8009                            20                            A. 9009
 
 wise allowable under this article, [and] at the rate determined  by  the
 commissioner  pursuant  to  paragraph (f) of this subdivision of the tax
 imposed under such section, for taxable  years  beginning  on  or  after
 January  first, two thousand sixteen AND BEFORE JANUARY FIRST, TWO THOU-
 SAND TWENTY-THREE before the deduction of any credits  otherwise  allow-
 able  under  this  article, AND AT THE RATE OF THIRTY PERCENT OF THE TAX
 IMPOSED UNDER SUCH SECTION FOR TAXABLE YEARS BEGINNING ON OR AFTER JANU-
 ARY FIRST, TWO THOUSAND TWENTY-THREE BEFORE THE DEDUCTION OF ANY CREDITS
 OTHERWISE ALLOWABLE UNDER THIS ARTICLE.    However,  such  rate  of  tax
 surcharge shall be applied only to that portion of the tax imposed under
 section  two  hundred  nine  of this article before the deduction of any
 credits otherwise allowable under this article which is attributable  to
 the  taxpayer's  business  activity  carried  on within the metropolitan
 commuter transportation district; and provided, further,  the  surcharge
 computed  on  a  combined  report shall include a surcharge on the fixed
 dollar minimum tax for each member of the combined group subject to  the
 surcharge under this subdivision.
   (f) The commissioner shall determine the rate of tax for taxable years
 beginning  on  or  after  January first, two thousand sixteen AND BEFORE
 JANUARY FIRST, TWO THOUSAND TWENTY-THREE by adjusting the rate for taxa-
 ble years beginning on or after January first, two thousand fifteen  and
 before  January  first, two thousand sixteen as necessary to ensure that
 the receipts attributable to such surcharge, as impacted by the  chapter
 of  the  laws  of two thousand fourteen which added this paragraph, will
 meet and not exceed the financial projections for state fiscal year  two
 thousand  sixteen-two  thousand  seventeen, as reflected in state fiscal
 year two thousand  fifteen-two  thousand  sixteen  enacted  budget.  The
 commissioner  shall  annually  determine  the  rate thereafter using the
 financial projections for the state fiscal year that  commences  in  the
 year  for which the rate is to be set as reflected in the enacted budget
 for the fiscal year commencing on the previous April first.
   § 2. This act shall take effect immediately.
 
                                  PART H
 
   Section 1. Paragraphs (a), (b) and (d) of subdivision  29  of  section
 210-B  of the tax law, paragraph (a) and subparagraph 2 of paragraph (b)
 as amended by section 1 of part II of chapter 59 of the  laws  of  2021,
 paragraph  (b)  as  amended  by section 1 of part Q of chapter 59 of the
 laws of 2018, subparagraph 1 of paragraph (b) as amended by chapter  490
 of  the  laws of 2019 and paragraph (d) as added by section 17 of part A
 of chapter 59 of the laws of 2014, are amended to read as follows:
   (a) Allowance of credit. For taxable years beginning on or after Janu-
 ary first, two thousand fifteen and before January first,  two  thousand
 [twenty-three]  TWENTY-SIX,  a taxpayer shall be allowed a credit, to be
 computed as provided in this subdivision, against  the  tax  imposed  by
 this  article, for hiring and employing, for not less than [one year and
 for not less than thirty-five hours each  week]  TWELVE  CONTINUOUS  AND
 UNINTERRUPTED  MONTHS (HEREINAFTER REFERRED TO AS THE TWELVE-MONTH PERI-
 OD) IN A FULL-TIME OR PART-TIME POSITION, a qualified veteran within the
 state.  The taxpayer may claim the credit in the year in which the qual-
 ified veteran completes [one year] THE TWELVE-MONTH PERIOD of employment
 by the taxpayer. If the taxpayer claims the credit  allowed  under  this
 subdivision,  the taxpayer may not use the hiring of a qualified veteran
 that is the basis for this credit in  the  basis  of  any  other  credit
 allowed under this article.
 S. 8009                            21                            A. 9009
 
   (b) Qualified veteran. A qualified veteran is an individual:
   (1)  who  served  on  active duty in the United States army, navy, air
 force, SPACE FORCE, marine corps, coast guard or the  reserves  thereof,
 or  who  served  in  active  military  service of the United States as a
 member of the army national guard, air national guard, New York guard or
 New York naval militia; who (i) was released from active duty by general
 or honorable discharge [after September eleventh, two thousand one],  or
 (ii)  has  a  qualifying  condition, as defined in section three hundred
 fifty of the executive law, and has received a discharge other than  bad
 conduct or dishonorable from such service [after September eleventh, two
 thousand  one],  or  (iii)  is  a discharged LGBT veteran, as defined in
 section three hundred fifty of the executive law,  and  has  received  a
 discharge  other  than  bad  conduct  or  dishonorable from such service
 [after September eleventh, two thousand one];
   (2) who commences employment by the qualified  taxpayer  on  or  after
 January  first,  two  thousand  fourteen,  and before January first, two
 thousand [twenty-two] TWENTY-FIVE; and
   (3) who certifies by signed affidavit, under penalty of perjury,  that
 he or she has not been employed for thirty-five or more hours during any
 week  in  the  one hundred eighty day period immediately prior to his or
 her employment by the taxpayer.
   (d) Amount of credit. The amount of the credit shall be [ten]  FIFTEEN
 percent  of  the  total  amount  of  wages paid to the qualified veteran
 during the veteran's first [full year] TWELVE-MONTH  PERIOD  of  employ-
 ment.  Provided,  however, that[, if the qualified veteran is a disabled
 veteran, as defined in paragraph  (b)  of  subdivision  one  of  section
 eighty-five  of the civil service law, the amount of the credit shall be
 fifteen percent of the total amount  of  wages  paid  to  the  qualified
 veteran  during  the  veteran's  first full year of employment. The] THE
 credit allowed pursuant to this subdivision  shall  not  exceed  in  any
 taxable  year, [five] FIFTEEN thousand dollars for any qualified veteran
 EMPLOYED IN A FULL-TIME POSITION FOR ONE THOUSAND EIGHT  HUNDRED  TWENTY
 OR  MORE  HOURS IN ONE TWELVE-MONTH PERIOD and [fifteen thousand dollars
 for any qualified veteran who is a disabled veteran] SEVEN THOUSAND FIVE
 HUNDRED DOLLARS FOR ANY QUALIFIED VETERAN EMPLOYED IN A PART-TIME  POSI-
 TION  FOR  AT LEAST ONE THOUSAND FORTY HOURS BUT NOT MORE THAN ONE THOU-
 SAND EIGHT HUNDRED NINETEEN HOURS IN ONE TWELVE-MONTH PERIOD.
   § 2. Paragraphs 1, 2 and 4 of subsection (a-2) of section 606  of  the
 tax  law,  paragraph 1 and subparagraph (B) of paragraph 2 as amended by
 section 2 of part II of chapter 59 of the laws of 2021, paragraph  2  as
 amended  by  section  2  of  part  Q  of chapter 59 of the laws of 2018,
 subparagraph (A) of paragraph 2 as amended by chapter 490 of the laws of
 2019 and paragraph 4 as added by section 3 of part AA of chapter  59  of
 the laws of 2013, are amended to read as follows:
   (1) Allowance of credit. For taxable years beginning on or after Janu-
 ary  first,  two thousand fifteen and before January first, two thousand
 [twenty-three] TWENTY-SIX, a taxpayer shall be allowed a credit,  to  be
 computed as provided in this subsection, against the tax imposed by this
 article,  for  hiring and employing, for not less than [one year and for
 not less than thirty-five hours each week] TWELVE CONTINUOUS  AND  UNIN-
 TERRUPTED MONTHS (HEREINAFTER REFERRED TO AS THE TWELVE-MONTH PERIOD) IN
 A FULL-TIME OR PART-TIME POSITION, a qualified veteran within the state.
 The  taxpayer  may  claim  the credit in the year in which the qualified
 veteran completes [one year] THE TWELVE-MONTH PERIOD  of  employment  by
 the  taxpayer.  If  the  taxpayer  claims  the credit allowed under this
 subsection, the taxpayer may not use the hiring of a  qualified  veteran
 S. 8009                            22                            A. 9009
 
 that  is  the  basis  for  this  credit in the basis of any other credit
 allowed under this article.
   (2) Qualified veteran. A qualified veteran is an individual:
   (A)  who  served  on  active duty in the United States army, navy, air
 force, SPACE FORCE, marine corps, coast guard or the  reserves  thereof,
 or  who  served  in  active  military  service of the United States as a
 member of the army national guard, air national guard, New York guard or
 New York naval militia; who (i) was released from active duty by general
 or honorable discharge [after September eleventh, two thousand one],  or
 (ii)  has  a  qualifying  condition, as defined in section three hundred
 fifty of the executive law, and has received a discharge other than  bad
 conduct or dishonorable from such service [after September eleventh, two
 thousand  one],  or  (iii)  is  a discharged LGBT veteran, as defined in
 section three hundred fifty of the executive law,  and  has  received  a
 discharge  other  than  bad  conduct  or  dishonorable from such service
 [after September eleventh, two thousand one];
   (B) who commences employment by the qualified  taxpayer  on  or  after
 January  first,  two  thousand  fourteen,  and before January first, two
 thousand [twenty-two] TWENTY-FIVE; and
   (C) who certifies by signed affidavit, under penalty of perjury,  that
 he or she has not been employed for thirty-five or more hours during any
 week  in  the  one hundred eighty day period immediately prior to his or
 her employment by the taxpayer.
   (4) Amount of credit. The amount of the credit shall be [ten]  FIFTEEN
 percent  of the total amount of wages paid to [he] THE qualified veteran
 during the veteran's first [full year] TWELVE-MONTH  PERIOD  of  employ-
 ment.  Provided,  however, that[, if the qualified veteran is a disabled
 veteran, as defined in paragraph  (b)  of  subdivision  one  of  section
 eighty-five  of the civil service law, the amount of the credit shall be
 fifteen percent of the total amount  of  wages  paid  to  the  qualified
 veteran  during  the  veteran's  first full year of employment. The] THE
 credit allowed pursuant to this subsection shall not exceed in any taxa-
 ble year, [five] FIFTEEN thousand  dollars  for  any  qualified  veteran
 EMPLOYED  IN  A FULL-TIME POSITION FOR ONE THOUSAND EIGHT HUNDRED TWENTY
 OR MORE HOURS IN ONE TWELVE-MONTH PERIOD and [fifteen  thousand  dollars
 for any qualified veteran who is a disabled veteran] SEVEN THOUSAND FIVE
 HUNDRED  DOLLARS FOR ANY QUALIFIED VETERAN EMPLOYED IN A PART-TIME POSI-
 TION FOR AT LEAST ONE THOUSAND FORTY HOURS BUT NOT MORE THAN  ONE  THOU-
 SAND EIGHT HUNDRED NINETEEN HOURS IN ONE TWELVE-MONTH PERIOD.
   § 3. Paragraphs 1, 2 and 4 of subdivision (g-1) of section 1511 of the
 tax  law,  paragraph 1 and subparagraph (B) of paragraph 2 as amended by
 section 3 of part II of chapter 59 of the laws of 2021, paragraph  2  as
 amended  by  section  3  of  part  Q  of chapter 59 of the laws of 2018,
 subparagraph (A) of paragraph 2 as amended by chapter 490 of the laws of
 2019 and paragraph 4 as added by section 5 of part AA of chapter  59  of
 the laws of 2013, are amended to read as follows:
   (1) Allowance of credit. For taxable years beginning on or after Janu-
 ary  first,  two thousand fifteen and before January first, two thousand
 [twenty-three] TWENTY-SIX, a taxpayer shall be allowed a credit,  to  be
 computed  as  provided  in  this subdivision, against the tax imposed by
 this article, for hiring and employing, for not less than [one year  and
 for  not  less  than  thirty-five hours each week] TWELVE CONTINUOUS AND
 UNINTERRUPTED MONTHS (HEREINAFTER REFERRED TO AS THE TWELVE-MONTH  PERI-
 OD) IN A FULL-TIME OR PART-TIME POSITION, a qualified veteran within the
 state.  The taxpayer may claim the credit in the year in which the qual-
 ified veteran completes [one year] THE TWELVE-MONTH PERIOD of employment
 S. 8009                            23                            A. 9009
 
 by  the  taxpayer.  If the taxpayer claims the credit allowed under this
 subdivision, the taxpayer may not use the hiring of a qualified  veteran
 that  is  the  basis  for  this  credit in the basis of any other credit
 allowed under this article.
   (2) Qualified veteran. A qualified veteran is an individual:
   (A)  who  served  on  active duty in the United States army, navy, air
 force, SPACE FORCE, marine corps, coast guard or the  reserves  thereof,
 or  who  served  in  active  military  service of the United States as a
 member of the army national guard, air national guard, New York guard or
 New York naval militia; who (i) was released from active duty by general
 or honorable discharge [after September eleventh, two thousand one],  or
 (ii)  has  a  qualifying  condition, as defined in section three hundred
 fifty of the executive law, and has received a discharge other than  bad
 conduct or dishonorable from such service [after September eleventh, two
 thousand  one],  or  (iii)  is  a discharged LGBT veteran, as defined in
 section three hundred fifty of the executive law,  and  has  received  a
 discharge  other  than  bad  conduct  or  dishonorable from such service
 [after September eleventh, two thousand one];
   (B) who commences employment by the qualified  taxpayer  on  or  after
 January  first,  two  thousand  fourteen,  and before January first, two
 thousand [twenty-two] TWENTY-FIVE; and
   (C) who certifies by signed affidavit, under penalty of perjury,  that
 he or she has not been employed for thirty-five or more hours during any
 week  in  the  one hundred eighty day period immediately prior to his or
 her employment by the taxpayer.
   (4) Amount of credit. The amount of the credit shall be [ten]  FIFTEEN
 percent  of  the  total  amount  of  wages paid to the qualified veteran
 during the veteran's first [full year] TWELVE-MONTH  PERIOD  of  employ-
 ment.  Provided,  however, that[, if the qualified veteran is a disabled
 veteran, as defined in paragraph  (b)  of  subdivision  one  of  section
 eighty-five  of the civil service law, the amount of the credit shall be
 fifteen percent of the total amount  of  wages  paid  to  the  qualified
 veteran  during  the  veteran's  first full year of employment. The] THE
 credit allowed pursuant to this subdivision  shall  not  exceed  in  any
 taxable  year, [five] FIFTEEN thousand dollars for any qualified veteran
 EMPLOYED IN A FULL-TIME POSITION FOR ONE THOUSAND EIGHT  HUNDRED  TWENTY
 OR  MORE  HOURS IN ONE TWELVE-MONTH PERIOD and [fifteen thousand dollars
 for any qualified veteran who is a disabled veteran] SEVEN THOUSAND FIVE
 HUNDRED DOLLARS FOR ANY QUALIFIED VETERAN EMPLOYED IN A PART-TIME  POSI-
 TION  FOR  AT LEAST ONE THOUSAND FORTY HOURS BUT NOT MORE THAN ONE THOU-
 SAND EIGHT HUNDRED NINETEEN HOURS IN ONE TWELVE-MONTH PERIOD.
   § 4. This act shall take effect immediately and shall apply to taxable
 years beginning on or after January 1, 2022.
 
                                  PART I
 
   Section 1. The tax law is amended by adding a new section 47  to  read
 as follows:
   § 47. GRADE NO. 6 HEATING OIL CONVERSION TAX CREDIT. (A) (1) ALLOWANCE
 OF  CREDIT. A TAXPAYER THAT MEETS THE ELIGIBILITY REQUIREMENTS OF SUBDI-
 VISION (B) OF THIS SECTION AND IS SUBJECT TO TAX UNDER ARTICLE NINE-A OR
 TWENTY-TWO OF THIS CHAPTER MAY BE ELIGIBLE TO CLAIM A GRADE NO. 6  HEAT-
 ING  OIL  CONVERSION  TAX  CREDIT  IN THE TAXABLE YEAR THE CONVERSION IS
 COMPLETE.  THE CREDIT SHALL BE EQUAL TO FIFTY PERCENT OF THE  CONVERSION
 COSTS FOR ALL OF THE TAXPAYER'S BUILDINGS LOCATED IN A MUNICIPALITY PAID
 BY  SUCH TAXPAYER ON OR AFTER JANUARY FIRST, TWO THOUSAND TWENTY-TWO AND
 S. 8009                            24                            A. 9009
 
 BEFORE JULY FIRST, TWO THOUSAND TWENTY-THREE. THE CREDIT  CANNOT  EXCEED
 FIVE HUNDRED THOUSAND DOLLARS PER MUNICIPALITY.
   (2) A TAXPAYER THAT IS A PARTNER IN A PARTNERSHIP, MEMBER OF A LIMITED
 LIABILITY  COMPANY OR SHAREHOLDER IN A SUBCHAPTER S CORPORATION SHALL BE
 ALLOWED ITS PRO RATA SHARE OF THE  CREDIT  EARNED  BY  THE  PARTNERSHIP,
 LIMITED  LIABILITY  COMPANY  OR  SUBCHAPTER S CORPORATION THAT MEETS THE
 ELIGIBILITY CRITERIA DESCRIBED IN SUBDIVISION (B)  OF  THIS  SECTION  TO
 CLAIM  A  GRADE NO. 6 HEATING OIL CONVERSION TAX CREDIT. IN NO EVENT MAY
 THE TOTAL AMOUNT OF  THE  CREDIT  EARNED  BY  THE  PARTNERSHIP,  LIMITED
 LIABILITY  COMPANY OR SUBCHAPTER S CORPORATION EXCEED FIVE HUNDRED THOU-
 SAND DOLLARS FOR ALL BUILDINGS LOCATED IN A MUNICIPALITY.
   (3) NO COST OR EXPENSE PAID  OR  INCURRED  BY  THE  TAXPAYER  THAT  IS
 INCLUDED AS PART OF THE CALCULATION OF THIS CREDIT SHALL BE THE BASIS OF
 ANY OTHER TAX CREDIT ALLOWED UNDER THIS CHAPTER.
   (B)  ELIGIBILITY  CRITERIA.  (1) TO BE ELIGIBLE TO CLAIM A GRADE NO. 6
 HEATING OIL CONVERSION TAX CREDIT, A BUSINESS ENTITY MUST:
   (I) INCUR EXPENSES FOR THE CONVERSION FROM GRADE  NO.  6  HEATING  OIL
 FUEL, AS DESCRIBED AS "CONVERSION COSTS" IN PARAGRAPH (1) OF SUBDIVISION
 (C)  OF THIS SECTION, TO BIODIESEL HEATING OIL OR A GEOTHERMAL SYSTEM AT
 ANY BUILDING LOCATED IN NEW YORK STATE OUTSIDE THE CITY OF NEW YORK;
   (II) SUBMIT AN APPLICATION TO AND OBTAIN APPROVAL OF SUCH  APPLICATION
 BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY DESCRIB-
 ING THE CONVERSION AND APPROVED COSTS TO COMPLETE SUCH CONVERSION;
   (III)  NOT BE PRINCIPALLY ENGAGED IN THE GENERATION OR DISTRIBUTION OF
 ELECTRICITY, POWER OR ENERGY;
   (IV) BE IN COMPLIANCE WITH ALL  ENVIRONMENTAL  CONSERVATION  LAWS  AND
 REGULATIONS; AND
   (V)  NOT OWE PAST DUE STATE TAXES UNLESS THE BUSINESS ENTITY IS MAKING
 PAYMENTS AND  COMPLYING  WITH  AN  APPROVED  BINDING  PAYMENT  AGREEMENT
 ENTERED INTO WITH THE TAXING AUTHORITY.
   (C)  DEFINITIONS.  AS  USED  IN THIS SECTION THE FOLLOWING TERMS SHALL
 HAVE THE FOLLOWING MEANINGS:
   (1) CONVERSION COSTS MEANS THE EQUIPMENT AND  LABOR  COSTS  ASSOCIATED
 WITH  THE DESIGN, INSTALLATION AND USE OF SPACE HEATING AND OTHER ENERGY
 CONVERSION SYSTEMS THAT ARE DESIGNED TO OR ACCOMMODATE THE USE OF  BIOD-
 IESEL  FUEL  OR  A GEOTHERMAL SYSTEM AND, AT THE OPTION OF THE TAXPAYER,
 THE COSTS OF COMPLETING AN ASRAE LEVEL 2 ENERGY AUDIT INCLUDING  ASSESS-
 MENT OF ELECTRIFICATION OPTIONS.
   (2)  BIODIESEL MEANS A MINIMUM BLEND OF EIGHTY-FIVE (85) PERCENT BIOD-
 IESEL, DEFINED AS FUEL MANUFACTURED FROM VEGETABLE OILS, ANIMAL FATS, OR
 OTHER AGRICULTURAL OR OTHER PRODUCTS OR  BY-PRODUCTS,  WITH  PETRODIESEL
 FUEL COMMONLY USED FOR HEATING SYSTEMS.
   (3)  GEOTHERMAL MEANS A SYSTEM THAT USES THE GROUND OR GROUND WATER AS
 A THERMAL ENERGY SOURCE/SINK TO HEAT OR COOL A BUILDING OR  PROVIDE  HOT
 WATER WITHIN THE BUILDING.
   (D)  THE  COMMISSIONER, IN CONSULTATION WITH THE NEW YORK STATE ENERGY
 RESEARCH AND DEVELOPMENT AUTHORITY, WILL DEVELOP AN APPLICATION  PROCESS
 TO CERTIFY THE EXPENSES NECESSARY FOR THE CONVERSION AND A TAXPAYER WILL
 NOT  BE ELIGIBLE TO CLAIM THE CREDIT UNLESS IT HAS COMPLETED THAT APPLI-
 CATION PROCESS AND THE APPLICATION HAS BEEN APPROVED  BY  THE  NEW  YORK
 STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY.
   (E)  INFORMATION  SHARING.  THE DEPARTMENT, THE DEPARTMENT OF ENVIRON-
 MENTAL CONSERVATION AND THE NEW YORK STATE ENERGY RESEARCH AND  DEVELOP-
 MENT  AUTHORITY  SHALL BE ALLOWED AND ARE DIRECTED TO SHARE AND EXCHANGE
 INFORMATION REGARDING THE INFORMATION CONTAINED ON THE  CREDIT  APPLICA-
 TION  FOR CLAIMING THE GRADE NO. 6 HEATING OIL CONVERSION TAX CREDIT AND
 S. 8009                            25                            A. 9009

 SUCH INFORMATION EXCHANGED BETWEEN THE  DEPARTMENT,  THE  DEPARTMENT  OF
 ENVIRONMENTAL  CONSERVATION  AND  THE NEW YORK STATE ENERGY RESEARCH AND
 DEVELOPMENT AUTHORITY SHALL NOT BE SUBJECT TO DISCLOSURE  OR  INSPECTION
 UNDER THE STATE'S FREEDOM OF INFORMATION LAW.
   (F)  CROSS  REFERENCES.  FOR APPLICATION OF THE CREDIT PROVIDED FOR IN
 THIS SECTION, SEE THE FOLLOWING PROVISIONS OF THIS CHAPTER:
   (1) ARTICLE 9-A: SECTION 210-B, SUBDIVISION 58;
   (2) ARTICLE 22: SECTION 606, SUBSECTION (NNN).
   § 2. Section 210-B of the tax law is amended by adding a new  subdivi-
 sion 58 to read as follows:
   58.  GRADE NO.   6 HEATING OIL CONVERSION TAX CREDIT. (A) ALLOWANCE OF
 CREDIT. A TAXPAYER WILL BE ALLOWED A CREDIT, TO BE COMPUTED AS  PROVIDED
 IN  SECTION  FORTY-SEVEN  OF  THIS CHAPTER, AGAINST THE TAXES IMPOSED BY
 THIS ARTICLE.
   (B) APPLICATION OF CREDIT. THE CREDIT ALLOWED UNDER  THIS  SUBDIVISION
 FOR  THE  TAXABLE YEAR WILL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO LESS
 THAN THE AMOUNT PRESCRIBED  IN  PARAGRAPH  (D)  OF  SUBDIVISION  ONE  OF
 SECTION TWO HUNDRED TEN OF THIS ARTICLE. HOWEVER, IF THE AMOUNT OF CRED-
 IT  ALLOWED  UNDER THIS SUBDIVISION FOR THE TAXABLE YEAR REDUCES THE TAX
 TO SUCH AMOUNT OR IF THE TAXPAYER OTHERWISE PAYS TAX BASED ON THE  FIXED
 DOLLAR MINIMUM AMOUNT, ANY AMOUNT OF CREDIT NOT DEDUCTIBLE IN SUCH TAXA-
 BLE  YEAR  WILL  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.  PROVIDED,  HOWEVER,  THE  PROVISIONS  OF
 SUBSECTION (C) OF SECTION ONE  THOUSAND  EIGHTY-EIGHT  OF  THIS  CHAPTER
 NOTWITHSTANDING, NO INTEREST WILL BE PAID THEREON.
   §  3. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
 of the tax law is amended by adding a  new  clause  (xlix)  to  read  as
 follows:
 (XLIX) GRADE NO. 6 HEATING OIL          AMOUNT OF CREDIT UNDER SUBDIVISION
 CONVERSION TAX CREDIT UNDER             FIFTY-EIGHT OF SECTION TWO HUNDRED
 SUBSECTION (NNN)                        TEN-B
   §  4. Section 606 of the tax law is amended by adding a new subsection
 (nnn) to read as follows:
   (NNN) GRADE NO. 6 HEATING OIL CONVERSION TAX CREDIT. (1) ALLOWANCE  OF
 CREDIT. A TAXPAYER SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED
 IN  SECTION FORTY-SEVEN OF THIS CHAPTER, AGAINST THE TAX IMPOSED BY THIS
 ARTICLE.
   (2) APPLICATION OF CREDIT. IF THE AMOUNT OF THE CREDIT  ALLOWED  UNDER
 THIS SUBSECTION FOR THE TAXABLE YEAR EXCEEDS THE TAXPAYER'S TAX FOR SUCH
 YEAR, THE EXCESS 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, THAT NO INTEREST WILL  BE
 PAID THEREON.
   § 5. This act shall take effect immediately and shall apply to taxable
 years beginning on or after January 1, 2022.
 
                                  PART J

   Section  1.  Subdivision 4 of section 22 of the public housing law, as
 amended by section 2 of part GG of chapter 59 of the laws  of  2021,  is
 amended to read as follows:
   4.  Statewide  limitation. The aggregate dollar amount of credit which
 the commissioner may allocate to  eligible  low-income  buildings  under
 this article shall be one hundred [twenty] TWENTY-SEVEN million dollars.
 The  limitation  provided by this subdivision applies only to allocation
 S. 8009                            26                            A. 9009
 
 of the aggregate dollar amount of credit by the commissioner,  and  does
 not  apply  to  allowance to a taxpayer of the credit with respect to an
 eligible low-income building for each year of the credit period.
   §  2.    Subdivision  4  of  section  22 of the public housing law, as
 amended by section 3 of part GG of chapter 59 of the laws  of  2021,  is
 amended to read as follows:
   4.  Statewide  limitation. The aggregate dollar amount of credit which
 the commissioner may allocate to  eligible  low-income  buildings  under
 this  article  shall  be  one  hundred  [twenty-eight] FORTY-TWO million
 dollars. The limitation provided by this  subdivision  applies  only  to
 allocation of the aggregate dollar amount of credit by the commissioner,
 and does not apply to allowance to a taxpayer of the credit with respect
 to an eligible low-income building for each year of the credit period.
   § 3. Subdivision 4 of section 22 of the public housing law, as amended
 by section 4 of part GG of chapter 59 of the laws of 2021, is amended to
 read as follows:
   4.  Statewide  limitation. The aggregate dollar amount of credit which
 the commissioner may allocate to  eligible  low-income  buildings  under
 this  article  shall  be  one  hundred  [thirty-six] FIFTY-SEVEN million
 dollars. The limitation provided by this  subdivision  applies  only  to
 allocation of the aggregate dollar amount of credit by the commissioner,
 and does not apply to allowance to a taxpayer of the credit with respect
 to an eligible low-income building for each year of the credit period.
   § 4. Subdivision 4 of section 22 of the public housing law, as amended
 by section 5 of part GG of chapter 59 of the laws of 2021, is amended to
 read as follows:
   4.  Statewide  limitation. The aggregate dollar amount of credit which
 the commissioner may allocate to  eligible  low-income  buildings  under
 this  article  shall  be  one  hundred  [forty-four] SEVENTY-TWO million
 dollars. The limitation provided by this  subdivision  applies  only  to
 allocation of the aggregate dollar amount of credit by the commissioner,
 and does not apply to allowance to a taxpayer of the credit with respect
 to an eligible low-income building for each year of the credit period.
   §  5.  This  act  shall  take  effect  immediately; provided, however,
 section one of this act shall take effect April 1, 2022; section two  of
 this  act  shall  take  effect  April 1, 2023; section three of this act
 shall take effect April 1, 2024; and section four of this act shall take
 effect April 1, 2025.
 
                                  PART K
 
   Section 1. Paragraph (a) of subdivision 25 of section 210-B of the tax
 law, as amended by section 1 of part R of chapter  59  of  the  laws  of
 2019, is amended to read as follows:
   (a)  General.  A  taxpayer  shall  be allowed a credit against the tax
 imposed by this article. Such credit,  to  be  computed  as  hereinafter
 provided,  shall  be allowed for bioheating fuel, used for space heating
 or hot water production  for  residential  purposes  within  this  state
 purchased  before January first, two thousand [twenty-three] TWENTY-SIX.
 Such credit shall be $0.01  per  percent  of  biodiesel  per  gallon  of
 bioheating  fuel,  not  to  exceed twenty cents per gallon, purchased by
 such taxpayer.  Provided, however, that on or after January  first,  two
 thousand  seventeen, this credit shall not apply to bioheating fuel that
 is less than six percent biodiesel per gallon of bioheating fuel.
 S. 8009                            27                            A. 9009

   § 2. Paragraph 1 of subdivision (mm) of section 606 of the tax law, as
 amended by section 2 of part R of chapter 59 of the  laws  of  2019,  is
 amended to read as follows:
   (1)  A  taxpayer  shall be allowed a credit against the tax imposed by
 this article. Such credit, to be computed as hereinafter provided, shall
 be allowed for bioheating fuel, used for  space  heating  or  hot  water
 production  for  residential purposes within this state and purchased on
 or after July first, two thousand six and before July first,  two  thou-
 sand  seven and on or after January first, two thousand eight and before
 January first, two thousand [twenty-three] TWENTY-SIX. Such credit shall
 be $0.01 per percent of biodiesel per gallon of bioheating fuel, not  to
 exceed  twenty  cents  per gallon, purchased by such taxpayer. Provided,
 however, that on or after January first, two  thousand  seventeen,  this
 credit  shall not apply to bioheating fuel that is less than six percent
 biodiesel per gallon of bioheating fuel.
   § 3. This act shall take effect immediately.
 
                                  PART L
 
   Section 1. Section 5 of chapter 604 of the laws of 2011  amending  the
 tax  law relating to the credit for companies who provide transportation
 to people with disabilities, as amended by section 1 of part K of  chap-
 ter 60 of the laws of 2016, is amended to read as follows:
   § 5. This act shall take effect immediately and shall remain in effect
 until December 31, 2016 when upon such date it shall be deemed repealed;
 provided  that  this  act shall be deemed to have been in full force and
 effect on December 31, 2010; provided further that this act shall  apply
 to  all  tax  years commencing on or after January 1, 2011; and provided
 further that sections one and two of this act  shall  remain  in  effect
 until  December  31, [2022] 2028 when upon such date such sections shall
 be deemed repealed.
   § 2. Paragraph (c) of subdivision 38 of section 210-B of the tax  law,
 as  amended by section 2 of part K of chapter 60 of the laws of 2016, is
 amended to read as follows:
   (c) Application of credit. In no event shall the credit allowed  under
 this  subdivision  for any taxable year reduce the tax due for such year
 to less than the amount prescribed in paragraph (d) of  subdivision  one
 of  section  two  hundred ten of this article. However, if the amount of
 credit allowed under this subdivision for any taxable year  reduces  the
 tax  to  such  amount or if the taxpayer otherwise pays tax based on the
 fixed dollar minimum amount, any amount of credit thus not deductible in
 such taxable year shall be carried over to the following year or  years,
 and  may be deducted from the taxpayer's tax for such year or years. The
 tax credit allowed pursuant to this subdivision shall not apply to taxa-
 ble years beginning on or after January  first,  two  thousand  [twenty-
 three] TWENTY-NINE.
   § 3. This act shall take effect immediately.
 
                                  PART M
 
   Section  1.    Paragraph 4 of subdivision (a) of section 24 of the tax
 law,  as added by section 5 of part Q of chapter 57 of the laws of 2010,
 is amended to read as follows:
   (4) (I) Notwithstanding the foregoing provisions of this  subdivision,
 a  qualified  film  production  company  or  qualified  independent film
 production company, that has applied for credit under the provisions  of
 S. 8009                            28                            A. 9009
 
 this  section,  agrees  as  a  condition for the granting of the credit:
 [(i)] (A) to include in each qualified film distributed by DVD, or other
 media for the secondary market, a New York promotional video approved by
 the governor's office of motion picture and television development or to
 include  in  the  end  credits  of  each qualified film "Filmed With the
 Support of the New York State Governor's Office of  Motion  Picture  and
 Television  Development" and a logo provided by the governor's office of
 motion picture and television development, and  [(ii)]  (B)  to  certify
 that it will purchase taxable tangible property and services, defined as
 qualified  production costs pursuant to paragraph one of subdivision (b)
 of this section, only from companies registered  to  collect  and  remit
 state  and  local  sales and use taxes pursuant to articles twenty-eight
 and twenty-nine of this chapter.
   (II) ON OR AFTER JANUARY FIRST, TWO THOUSAND TWENTY-THREE, A QUALIFIED
 FILM PRODUCTION COMPANY OR QUALIFIED INDEPENDENT FILM PRODUCTION COMPANY
 THAT HAS APPLIED FOR CREDIT UNDER THE PROVISIONS OF THIS SECTION  SHALL,
 AS  A  CONDITION  FOR  THE GRANTING OF THE CREDIT, FILE A DIVERSITY PLAN
 WITH THE GOVERNOR'S OFFICE FOR MOTION PICTURE AND TELEVISION DEVELOPMENT
 OUTLINING SPECIFIC GOALS FOR HIRING A DIVERSE WORKFORCE. THE COMMISSION-
 ER OF ECONOMIC DEVELOPMENT SHALL PROMULGATE REGULATIONS IMPLEMENTING THE
 REQUIREMENTS OF THIS PARAGRAPH, WHICH, NOTWITHSTANDING ANY PROVISIONS TO
 THE CONTRARY IN THE STATE ADMINISTRATIVE PROCEDURE ACT, MAY  BE  ADOPTED
 ON  AN EMERGENCY BASIS, TO ENSURE COMPLIANCE WITH THE PROVISIONS OF THIS
 PARAGRAPH. THE GOVERNOR'S  OFFICE  FOR  MOTION  PICTURE  AND  TELEVISION
 DEVELOPMENT  SHALL REVIEW EACH SUBMITTED PLAN AS TO WHETHER IT MEETS THE
 REQUIREMENTS ESTABLISHED BY THE COMMISSIONER  OF  ECONOMIC  DEVELOPMENT,
 AND  SHALL  VERIFY THAT THE APPLICANT HAS MET OR MADE GOOD-FAITH EFFORTS
 IN ACHIEVING THESE GOALS. THE DIVERSITY PLAN ALSO SHALL INDICATE WHETHER
 THE QUALIFIED FILM PRODUCTION  COMPANY  OR  QUALIFIED  INDEPENDENT  FILM
 PRODUCTION  COMPANY  THAT HAS APPLIED FOR CREDIT UNDER THE PROVISIONS OF
 THIS SECTION INTENDS TO PARTICIPATE IN TRAINING, EDUCATION, AND RECRUIT-
 MENT PROGRAMS THAT ARE DESIGNED TO PROMOTE AND  ENCOURAGE  THE  TRAINING
 AND HIRING IN THE FILM AND TELEVISION INDUSTRY OF NEW YORK RESIDENTS WHO
 REPRESENT THE DIVERSITY OF THE STATE'S POPULATION.
   §  2.  Paragraph 5 of subdivision (a) of section 24 of the tax law, as
 amended by section 1 of part F of chapter 59 of the  laws  of  2021,  is
 amended to read as follows:
   (5)  For the period two thousand fifteen through two thousand [twenty-
 six] TWENTY-NINE, in addition to the amount  of  credit  established  in
 paragraph  two of this subdivision, a taxpayer shall be allowed a credit
 equal to the product (or pro rata share of the product, in the case of a
 member of a partnership) of ten percent and the amount of wages or sala-
 ries paid to individuals directly employed (excluding those employed  as
 writers, directors, music directors, producers and performers, including
 background actors with no scripted lines) by a qualified film production
 company  or a qualified independent film production company for services
 performed by those individuals in one of the counties specified in  this
 paragraph  in  connection with a qualified film with a minimum budget of
 five hundred thousand dollars. For purposes of this  additional  credit,
 the services must be performed in one or more of the following counties:
 Albany,  Allegany,  Broome,  Cattaraugus,  Cayuga,  Chautauqua, Chemung,
 Chenango, Clinton, Columbia, Cortland, Delaware, Dutchess, Erie,  Essex,
 Franklin, Fulton, Genesee, Greene, Hamilton, Herkimer, Jefferson, Lewis,
 Livingston,  Madison,  Monroe,  Montgomery,  Niagara,  Oneida, Onondaga,
 Ontario, Orange, Orleans, Oswego, Otsego, Putnam, Rensselaer,  Saratoga,
 Schenectady,  Schoharie, Schuyler, Seneca, St. Lawrence, Steuben, Sulli-
 S. 8009                            29                            A. 9009
 
 van, Tioga, Tompkins, Ulster, Warren,  Washington,  Wayne,  Wyoming,  or
 Yates.  The  aggregate  amount  of  tax  credits allowed pursuant to the
 authority of this paragraph shall be  five  million  dollars  each  year
 during the period two thousand fifteen through two thousand [twenty-six]
 TWENTY-NINE  of  the  annual  allocation  made  available to the program
 pursuant to paragraph four of subdivision  (e)  of  this  section.  Such
 aggregate  amount of credits shall be allocated by the governor's office
 for motion picture and television development among taxpayers  in  order
 of  priority based upon the date of filing an application for allocation
 of film production credit with such office. If the total amount of allo-
 cated credits applied for under this paragraph in any year  exceeds  the
 aggregate  amount  of tax credits allowed for such year under this para-
 graph, such excess shall be treated as having been applied  for  on  the
 first day of the next year. If the total amount of allocated tax credits
 applied  for  under this paragraph at the conclusion of any year is less
 than five million dollars, the remainder shall be treated as part of the
 annual allocation made available to the program  pursuant  to  paragraph
 four  of  subdivision  (e) of this section. However, in no event may the
 total of the credits allocated under  this  paragraph  and  the  credits
 allocated  under paragraph five of subdivision (a) of section thirty-one
 of this article exceed five million dollars in any year during the peri-
 od two thousand fifteen through two thousand [twenty-six] TWENTY-NINE.
   § 3. Paragraph 4 of subdivision (e) of section 24 of the tax  law,  as
 amended  by  section  2  of part F of chapter 59 of the laws of 2021, is
 amended to read as follows:
   (4) Additional pool 2 - The aggregate amount of tax credits allowed in
 subdivision (a) of this section shall be increased by an additional four
 hundred twenty million dollars in each year starting in two thousand ten
 through two thousand [twenty-six] TWENTY-NINE  provided  however,  seven
 million  dollars  of  the  annual  allocation shall be available for the
 empire state film post production credit pursuant to section  thirty-one
 of  this  article  in  two  thousand thirteen and two thousand fourteen,
 twenty-five million dollars of the annual allocation shall be  available
 for  the  empire  state  film post production credit pursuant to section
 thirty-one of this article in each year starting in two thousand fifteen
 through two thousand [twenty-six] TWENTY-NINE and five  million  dollars
 of  the  annual  allocation  shall  be made available for the television
 writers' and directors' fees and salaries  credit  pursuant  to  section
 twenty-four-b  of  this  article  in  each year starting in two thousand
 twenty through two thousand [twenty-six] TWENTY-NINE. This amount  shall
 be  allocated by the governor's office for motion picture and television
 development among taxpayers in accordance with subdivision (a)  of  this
 section. If the commissioner of economic development determines that the
 aggregate amount of tax credits available from additional pool 2 for the
 empire  state film production tax credit have been previously allocated,
 and determines that the pending applications  from  eligible  applicants
 for the empire state film post production tax credit pursuant to section
 thirty-one  of  this  article  is insufficient to utilize the balance of
 unallocated empire state film post  production  tax  credits  from  such
 pool,  the  remainder,  after  such pending applications are considered,
 shall be made available for allocation in  the  empire  state  film  tax
 credit  pursuant  to  this  section,  subdivision  twenty of section two
 hundred ten-B and subsection (gg) of section six  hundred  six  of  this
 chapter.  Also,  if  the commissioner of economic development determines
 that the aggregate amount of tax credits available from additional  pool
 2  for the empire state film post production tax credit have been previ-
 S. 8009                            30                            A. 9009
 
 ously allocated, and  determines  that  the  pending  applications  from
 eligible  applicants  for  the  empire  state film production tax credit
 pursuant to this section is insufficient to utilize the balance of unal-
 located  film production tax credits from such pool, then all or part of
 the remainder, after such pending applications are considered, shall  be
 made  available for allocation for the empire state film post production
 credit pursuant to this section, subdivision thirty-two of  section  two
 hundred  ten-B  and  subsection  (qq) of section six hundred six of this
 chapter. The governor's office for motion picture and television  devel-
 opment  must  notify  taxpayers of their allocation year and include the
 allocation year on the certificate of tax credit. Taxpayers eligible  to
 claim  a credit must report the allocation year directly on their empire
 state film production credit tax form for each year a credit is  claimed
 and include a copy of the certificate with their tax return. In the case
 of  a  qualified  film  that  receives  funds from additional pool 2, no
 empire state film production credit shall be claimed before the later of
 the taxable year the production of the qualified film  is  complete,  or
 the taxable year immediately following the allocation year for which the
 film  has  been  allocated  credit  by  the governor's office for motion
 picture and television development.
   § 4. Paragraph 4 of subdivision (e) of section 24 of the tax  law,  as
 amended  by  section  3  of part F of chapter 59 of the laws of 2021, is
 amended to read as follows:
   (4) Additional pool 2 - The aggregate amount of tax credits allowed in
 subdivision (a) of this section shall be increased by an additional four
 hundred twenty million dollars in each year starting in two thousand ten
 through two thousand [twenty-six] TWENTY-NINE  provided  however,  seven
 million  dollars  of  the  annual  allocation shall be available for the
 empire state film post production credit pursuant to section  thirty-one
 of  this  article in two thousand thirteen and two thousand fourteen and
 twenty-five million dollars of the annual allocation shall be  available
 for  the  empire  state  film post production credit pursuant to section
 thirty-one of this article in each year starting in two thousand fifteen
 through two thousand [twenty-six]  TWENTY-NINE.  This  amount  shall  be
 allocated  by  the  governor's  office for motion picture and television
 development among taxpayers in accordance with subdivision (a)  of  this
 section. If the commissioner of economic development determines that the
 aggregate amount of tax credits available from additional pool 2 for the
 empire  state film production tax credit have been previously allocated,
 and determines that the pending applications  from  eligible  applicants
 for the empire state film post production tax credit pursuant to section
 thirty-one  of  this  article  is insufficient to utilize the balance of
 unallocated empire state film post  production  tax  credits  from  such
 pool,  the  remainder,  after  such pending applications are considered,
 shall be made available for allocation in  the  empire  state  film  tax
 credit  pursuant  to  this  section,  subdivision  twenty of section two
 hundred ten-B and subsection (gg) of section six  hundred  six  of  this
 chapter.  Also,  if  the commissioner of economic development determines
 that the aggregate amount of tax credits available from additional  pool
 2  for the empire state film post production tax credit have been previ-
 ously allocated, and  determines  that  the  pending  applications  from
 eligible  applicants  for  the  empire  state film production tax credit
 pursuant to this section is insufficient to utilize the balance of unal-
 located film production tax credits from such pool, then all or part  of
 the  remainder, after such pending applications are considered, shall be
 made available for allocation for the empire state film post  production
 S. 8009                            31                            A. 9009
 
 credit  pursuant  to this section, subdivision thirty-two of section two
 hundred ten-B and subsection (qq) of section six  hundred  six  of  this
 chapter.  The governor's office for motion picture and television devel-
 opment  must  notify  taxpayers of their allocation year and include the
 allocation year on the certificate of tax credit. Taxpayers eligible  to
 claim  a credit must report the allocation year directly on their empire
 state film production credit tax form for each year a credit is  claimed
 and include a copy of the certificate with their tax return. In the case
 of  a  qualified  film  that  receives  funds from additional pool 2, no
 empire state film production credit shall be claimed before the later of
 the taxable year the production of the qualified film  is  complete,  or
 the taxable year immediately following the allocation year for which the
 film  has  been  allocated  credit  by  the governor's office for motion
 picture and television development.
   § 5. Paragraph 1 of subdivision (f) of section 24 of the tax  law,  as
 added  by  section 2 of subpart A of part H of chapter 39 of the laws of
 2019, is amended to read as follows:
   (1) With regard to certificates of tax credit issued on or after Janu-
 ary first, two thousand twenty, the commissioner of economic development
 shall reduce by one-quarter of one percent the amount of credit  allowed
 to a taxpayer and this reduced amount shall be reported on a certificate
 of  tax  credit  issued  pursuant  to  this  section and the regulations
 promulgated by the commissioner of  economic  development  to  implement
 this  credit program.  PROVIDED, HOWEVER, FOR CERTIFICATES OF TAX CREDIT
 ISSUED ON OR AFTER JANUARY FIRST, TWO THOUSAND TWENTY-THREE, THE  AMOUNT
 OF  CREDIT  SHALL  BE  REDUCED BY ONE-HALF OF ONE PERCENT ALLOWED TO THE
 TAXPAYER.
   § 6. Paragraph 6 of subdivision (a) of section 31 of the tax  law,  as
 amended  by  section  4  of part F of chapter 59 of the laws of 2021, is
 amended to read as follows:
   (6) For the period two thousand fifteen through two thousand  [twenty-
 six]  TWENTY-NINE,  in  addition  to the amount of credit established in
 paragraph two of this subdivision, a taxpayer shall be allowed a  credit
 equal to the product (or pro rata share of the product, in the case of a
 member of a partnership) of ten percent and the amount of wages or sala-
 ries  paid to individuals directly employed (excluding those employed as
 writers, directors, music directors, producers and performers, including
 background actors with no scripted  lines)  for  services  performed  by
 those  individuals in one of the counties specified in this paragraph in
 connection with the post production work on  a  qualified  film  with  a
 minimum  budget  of  five  hundred  thousand dollars at a qualified post
 production facility in one of the counties listed in this paragraph. For
 purposes of this additional credit, the services must  be  performed  in
 one  or more of the following counties: Albany, Allegany, Broome, Catta-
 raugus, Cayuga, Chautauqua, Chemung, Chenango, Clinton, Columbia,  Cort-
 land,  Delaware,  Dutchess,  Erie,  Essex,  Franklin,  Fulton,  Genesee,
 Greene,  Hamilton,  Herkimer,  Jefferson,  Lewis,  Livingston,  Madison,
 Monroe, Montgomery, Niagara, Oneida, Onondaga, Ontario, Orange, Orleans,
 Oswego,  Otsego,  Putnam,  Rensselaer, Saratoga, Schenectady, Schoharie,
 Schuyler, Seneca, St.  Lawrence,  Steuben,  Sullivan,  Tioga,  Tompkins,
 Ulster,  Warren,  Washington,  Wayne,  Wyoming,  or Yates. The aggregate
 amount of tax credits allowed pursuant to the authority  of  this  para-
 graph  shall  be  five  million  dollars each year during the period two
 thousand fifteen through two thousand [twenty-six]  TWENTY-NINE  of  the
 annual   allocation  made  available  to  the  empire  state  film  post
 production credit pursuant to  paragraph  four  of  subdivision  (e)  of
 S. 8009                            32                            A. 9009
 
 section  twenty-four  of  this article. Such aggregate amount of credits
 shall be allocated by the governor's office for motion picture and tele-
 vision development among taxpayers in order of priority based  upon  the
 date  of  filing an application for allocation of post production credit
 with such office. If the total amount of allocated credits  applied  for
 under  this  paragraph  in  any year exceeds the aggregate amount of tax
 credits allowed for such year under this paragraph, such excess shall be
 treated as having been applied for on the first day of the next year. If
 the total amount of allocated tax credits applied for under  this  para-
 graph  at  the conclusion of any year is less than five million dollars,
 the remainder shall be treated as part of the annual allocation for  two
 thousand  seventeen  made  available  to  the  empire  state  film  post
 production credit pursuant to  paragraph  four  of  subdivision  (e)  of
 section  twenty-four of this article. However, in no event may the total
 of the credits allocated under this paragraph and the credits  allocated
 under  paragraph  five of subdivision (a) of section twenty-four of this
 article exceed five million dollars in any year during  the  period  two
 thousand fifteen through two thousand [twenty-six] TWENTY-NINE.
   §  7.  This  act shall take effect immediately; provided, however that
 the amendments to paragraph 4 of subdivision (e) of section  24  of  the
 tax  law made by section three of this act shall take effect on the same
 date and in the same manner as section 5 of chapter 683 of the  laws  of
 2019, as amended, takes effect.
 
                                  PART N
 
   Section  1.  Subdivision  (a)  of  section  25-a  of the labor law, as
 amended by section 1 of subpart A of part N of chapter 59 of the laws of
 2017, is amended to read as follows:
   (a) The commissioner is authorized to  establish  and  administer  the
 program  established  under  this  section  to provide tax incentives to
 employers for employing at risk youth in part-time and  full-time  posi-
 tions.  There  will be ten distinct pools of tax incentives. Program one
 will cover tax incentives allocated for  two  thousand  twelve  and  two
 thousand  thirteen.  Program  two will cover tax incentives allocated in
 two thousand fourteen. Program three will cover tax incentives allocated
 in two thousand fifteen. Program four will cover  tax  incentives  allo-
 cated  in  two  thousand sixteen. Program five will cover tax incentives
 allocated in two thousand seventeen. Program six will cover  tax  incen-
 tives  allocated  in two thousand eighteen. Program seven will cover tax
 incentives allocated in two thousand nineteen. Program eight will  cover
 tax incentives allocated in two thousand twenty. Program nine will cover
 tax  incentives  allocated  in two thousand twenty-one. Program ten will
 cover tax incentives allocated in two thousand twenty-two. PROGRAM ELEV-
 EN WILL COVER TAX INCENTIVES ALLOCATED  IN  TWO  THOUSAND  TWENTY-THREE.
 PROGRAM TWELVE WILL COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND TWEN-
 TY-FOUR.  PROGRAM  THIRTEEN  WILL  COVER TAX INCENTIVES ALLOCATED IN TWO
 THOUSAND TWENTY-FIVE. PROGRAM FOURTEEN WILL COVER TAX  INCENTIVES  ALLO-
 CATED  IN TWO THOUSAND TWENTY-SIX. PROGRAM FIFTEEN WILL COVER TAX INCEN-
 TIVES ALLOCATED  IN  TWO  THOUSAND  TWENTY-SEVEN.  The  commissioner  is
 authorized  to allocate up to twenty-five million dollars of tax credits
 under program one, ten million dollars of tax credits under program two,
 twenty million dollars of tax credits under program three, fifty million
 dollars of tax credits under each of programs four and five,  and  forty
 million  dollars  of  tax credits under programs six, seven, eight, nine
 [and], ten, ELEVEN, TWELVE, THIRTEEN, FOURTEEN AND FIFTEEN.
 S. 8009                            33                            A. 9009
 
   § 2.  Paragraph 4 of subdivision (b) of section 25-a of the labor law,
 as added by section 1-a of subpart A of part N of chapter 59 of the laws
 of 2017, is amended to read as follows:
   (4)  For  programs six, seven, eight, nine [and], ten, ELEVEN, TWELVE,
 THIRTEEN, FOURTEEN, AND FIFTEEN the tax credit under each program  shall
 be  allocated  as  follows: (i) twenty million dollars of tax credit for
 qualified employees; and (ii) twenty million dollars of tax  credit  for
 individuals  who  meet  all of the requirements for a qualified employee
 except for the residency requirement of subparagraph (ii)  of  paragraph
 two  of  this subdivision, which individuals shall be deemed to meet the
 residency requirements of subparagraph (ii) of  paragraph  two  of  this
 subdivision if they reside in New York state.
   §  3.  The opening paragraph of subdivision (d) of section 25-a of the
 labor law, as amended by section 2 of part R of chapter 59 of  the  laws
 of 2018, is amended to read as follows:
   To  participate  in  the  program  established  under this section, an
 employer must submit an application (in a form prescribed by the commis-
 sioner) to the commissioner after January first, two thousand twelve but
 no later than November thirtieth, two thousand twelve 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 January first, two thousand sixteen but
 no later than November thirtieth, two thousand sixteen for program four,
 after January first, two thousand seventeen but no later  than  November
 thirtieth, two thousand seventeen for program five, after January first,
 two thousand eighteen but no later than November thirtieth, two thousand
 eighteen for program six, after January first, two thousand nineteen but
 no  later  than  November  thirtieth,  two thousand nineteen for program
 seven, after January first, two thousand twenty but no later than Novem-
 ber thirtieth, two thousand twenty  for  program  eight,  after  January
 first, two thousand twenty-one but no later than November thirtieth, two
 thousand  twenty-one  for  program  nine, [and] after January first, two
 thousand twenty-two but no later than November thirtieth,  two  thousand
 twenty-two  for  program  ten, AFTER JANUARY FIRST, TWO THOUSAND TWENTY-
 THREE BUT NO LATER THAN NOVEMBER THIRTIETH,  TWO  THOUSAND  TWENTY-THREE
 FOR PROGRAM ELEVEN, AFTER JANUARY FIRST, TWO THOUSAND TWENTY-FOUR BUT NO
 LATER  THAN  NOVEMBER  THIRTIETH,  TWO  THOUSAND TWENTY-FOUR FOR PROGRAM
 TWELVE, AFTER JANUARY FIRST, TWO THOUSAND TWENTY-FIVE BUT NO LATER  THAN
 NOVEMBER THIRTIETH, TWO THOUSAND TWENTY-FIVE FOR PROGRAM THIRTEEN, AFTER
 JANUARY  FIRST, TWO THOUSAND TWENTY-SIX BUT NO LATER THAN NOVEMBER THIR-
 TIETH, TWO THOUSAND TWENTY-SIX FOR PROGRAM FOURTEEN, AND  AFTER  JANUARY
 FIRST,  TWO  THOUSAND TWENTY-SEVEN BUT NO LATER THAN NOVEMBER THIRTIETH,
 TWO THOUSAND TWENTY-SEVEN FOR PROGRAM FIFTEEN. The  qualified  employees
 must  start  their  employment  on  or after January first, two thousand
 twelve but no later than December thirty-first, two thousand twelve  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 Decem-
 ber thirty-first, two thousand fifteen for program three,  on  or  after
 January  first,  two thousand sixteen but no later than December thirty-
 first, two thousand sixteen for program four, on or after January first,
 two thousand seventeen but no  later  than  December  thirty-first,  two
 thousand  seventeen  for  program  five,  on or after January first, two
 thousand eighteen but no later than December thirty-first, two  thousand
 eighteen  for program six, on or after January first, two thousand nine-
 S. 8009                            34                            A. 9009
 
 teen but no later than December thirty-first, two thousand nineteen  for
 program  seven,  on  or  after January first, two thousand twenty but no
 later than December thirty-first, two thousand twenty for program eight,
 on  or  after  January  first, two thousand twenty-one but no later than
 December thirty-first, two thousand twenty-one for program  nine,  [and]
 on  or  after  January  first, two thousand twenty-two but no later than
 December thirty-first, two thousand twenty-two for program  ten,  ON  OR
 AFTER  JANUARY FIRST, TWO THOUSAND TWENTY-THREE BUT NO LATER THAN DECEM-
 BER THIRTY-FIRST, TWO THOUSAND THREE FOR PROGRAM  ELEVEN,  ON  OR  AFTER
 JANUARY FIRST, TWO THOUSAND TWENTY-FOUR BUT NO LATER THAN DECEMBER THIR-
 TY-FIRST, TWO THOUSAND TWENTY-FOUR FOR PROGRAM TWELVE, ON OR AFTER JANU-
 ARY  FIRST,  TWO THOUSAND TWENTY-FIVE BUT NO LATER THAN DECEMBER THIRTY-
 FIRST, TWO THOUSAND  TWENTY-FIVE  FOR  PROGRAM  THIRTEEN,  ON  OR  AFTER
 JANUARY  FIRST, TWO THOUSAND TWENTY-SIX BUT NO LATER THAN DECEMBER THIR-
 TY-FIRST, TWO THOUSAND TWENTY-SIX FOR PROGRAM FOURTEEN, AND ON OR  AFTER
 JANUARY  FIRST,  TWO  THOUSAND  TWENTY-SEVEN  BUT NO LATER THAN DECEMBER
 THIRTY-FIRST, TWO THOUSAND TWENTY-SEVEN FOR PROGRAM FIFTEEN. As part  of
 such application, an employer must:
   § 4. This act shall take effect immediately.
 
                                  PART O
 
   Section  1. Subdivision (a) of section 25-c of the labor law, as added
 by section 1 of subpart B of part N of chapter 59 of the laws  of  2017,
 is amended to read as follows:
   (a)  The  commissioner  is  authorized to establish and administer the
 empire state apprenticeship tax credit program to provide tax incentives
 to certified employers for employing qualified apprentices  pursuant  to
 an  apprenticeship  agreement registered with the department pursuant to
 paragraph (d) of subdivision one of section eight hundred eleven of this
 chapter. The commissioner is authorized to allocate up  to  ten  million
 dollars  of tax credits annually, beginning in two thousand eighteen and
 ending before two thousand [twenty-three] TWENTY-EIGHT. Any unused annu-
 al allocation of the credit shall be  made  available  in  each  of  the
 subsequent years before two thousand [twenty-three] TWENTY-EIGHT.
   § 2. This act shall take effect immediately.
 
                                  PART P
 
   Section  1.  Subdivision 6 of section 187-b of the tax law, as amended
 by section 1 of part O of chapter 59 of the laws of 2017, is amended  to
 read as follows:
   6.  Termination. The credit allowed by subdivision two of this section
 shall not apply in taxable years beginning after December  thirty-first,
 two thousand [twenty-two] TWENTY-SEVEN.
   §  2. Paragraph (f) of subdivision 30 of section 210-B of the tax law,
 as amended by section 2 of part O of chapter 59 of the laws of 2017,  is
 amended to read as follows:
   (f)  Termination. The credit allowed by paragraph (b) of this subdivi-
 sion shall not apply in taxable years beginning after  December  thirty-
 first, two thousand [twenty-two] TWENTY-SEVEN.
   §  3.  Paragraph 6 of subsection (p) of section 606 of the tax law, as
 amended by section 3 of part O of chapter 59 of the  laws  of  2017,  is
 amended to read as follows:
 S. 8009                            35                            A. 9009
 
   (6) Termination. The credit allowed by this subsection shall not apply
 in  taxable  years  beginning  after December thirty-first, two thousand
 [twenty-two] TWENTY-SEVEN.
   § 4. This act shall take effect immediately.
 
                                  PART Q
 
   Section  1.  Section  5  of  part MM of chapter 59 of the laws of 2014
 amending the labor law and the tax law relating to the creation  of  the
 workers with disabilities tax credit program, as amended by section 1 of
 part E of chapter 59 of the laws of 2019, is amended to read as follows:
   §  5.  This  act shall take effect January 1, 2015, and shall apply to
 taxable years beginning on and after that date[; provided, however, that
 this act shall expire and be deemed repealed January 1, 2023].
   § 2. Section 25-b of the labor law is amended by adding a new subdivi-
 sion (f) to read as follows:
   (F) THE TAX CREDITS PROVIDED UNDER THIS PROGRAM SHALL BE APPLICABLE TO
 TAXABLE PERIODS BEGINNING ON OR BEFORE JANUARY FIRST, TWO THOUSAND TWEN-
 TY-NINE.
   § 3. This act shall take effect immediately.
 
                                  PART R
 
   Section 1. Subdivision 1-A of section 208 of the tax law,  as  amended
 by  section 4 of part A of chapter 59 of the laws of 2014, is amended to
 read as follows:
   1-A. The term "New York S corporation"  means,  with  respect  to  any
 taxable year, a corporation subject to tax under this article [for which
 an  election is in effect pursuant to] AND DESCRIBED IN PARAGRAPH (I) OR
 (II) OF subsection (a) of section six hundred sixty of this chapter [for
 such year], AND any such year shall be denominated a "New York S year"[,
 and such election shall be denominated a "New  York  S  election"].  The
 term "New York C corporation" means, with respect to any taxable year, a
 corporation  subject to tax under this article which is not a New York S
 corporation, and any such year shall be denominated a "New York C year".
 The term "termination year" means any  taxable  year  of  a  corporation
 during  which the CORPORATION'S STATUS AS A New York S [election] CORPO-
 RATION terminates on a day other than the first day of  such  year.  The
 portion  of  the taxable year ending before the first day for which such
 termination is effective shall be denominated the "S  short  year",  and
 the  portion  of  such year beginning on such first day shall be denomi-
 nated the "C short year". The term "New York S termination  year"  means
 any  termination  year  which  is  [not]  also an S termination year for
 federal purposes.
   § 2. Subdivision 1-B and subparagraph (ii) of  the  opening  paragraph
 and  paragraph  (k)  of  subdivision 9 of section 208 of the tax law are
 REPEALED.
   § 3. Subparagraph (A) and the opening paragraph of subparagraph (B) of
 paragraph 5 of subdivision (a) of section 292 of the tax law,  as  added
 by  section 48 of part A of chapter 389 of the laws of 1997, are amended
 to read as follows:
   (A) In the case of a shareholder of an S corporation,
   (i) [where the election provided for in] SUBJECT TO subsection (a)  of
 section  six hundred sixty of this chapter [is in effect with respect to
 such corporation], there shall be added to  federal  unrelated  business
 taxable  income  an  amount equal to the shareholder's pro rata share of
 S. 8009                            36                            A. 9009
 
 the corporation's reductions for taxes described in paragraphs  two  and
 three  of  subsection  (f)  of section thirteen hundred sixty-six of the
 internal revenue code, and
   (ii)  [where  such  election  has  not  been made with respect to such
 corporation, there shall be subtracted from federal  unrelated  business
 taxable  income any items of income of the corporation included therein,
 and there shall be added to federal unrelated  business  taxable  income
 any items of loss or deduction included therein, and
   (iii)] in the case of a New York S termination year, the amount of any
 such  items  of S corporation income, loss, deduction and reductions for
 taxes shall be adjusted in the manner provided in paragraph two or three
 of subsection (s) of section six hundred twelve of this chapter.
   In the case of a shareholder of a corporation which was,  for  any  of
 its  taxable  years  beginning  after  nineteen hundred ninety-seven AND
 BEFORE TWO THOUSAND TWENTY-THREE, a federal S corporation but a New York
 C corporation:
   § 4. Paragraph 18 of subsection (b) of section 612 of the tax law,  as
 amended  by chapter 606 of the laws of 1984, subparagraph (A) as amended
 by chapter 28 of the laws of 1987 and subparagraph  (B)  as  amended  by
 chapter 190 of the laws of 1990, is amended to read as follows:
   (18)  In the case of a shareholder of an S corporation AS DESCRIBED IN
 SUBSECTION (A) OF SECTION SIX HUNDRED SIXTY
   (A) [where the election provided for in subsection (a) of section  six
 hundred  sixty is in effect with respect to such corporation,] an amount
 equal to [his] SUCH SHAREHOLDER'S pro rata share  of  the  corporation's
 reductions for taxes described in paragraphs two and three of subsection
 (f)  of section thirteen hundred sixty-six of the internal revenue code,
 and
   (B) in the case of a New York S termination year, subparagraph (A)  of
 this  paragraph shall apply to the amount of reductions for taxes deter-
 mined under subsection (s) of this section.
   § 5. Paragraph 19 of subsection (b) of section 612 of the tax  law  is
 REPEALED.
   §  6. Paragraphs 20 and 21 of subsection (b) of section 612 of the tax
 law, paragraph 20 as amended by chapter 606 of  the  laws  of  1984  and
 paragraph  21  as  amended  by section 70 of part A of chapter 59 of the
 laws of 2014, are amended to read as follows:
   (20) S corporation distributions to the extent not included in federal
 gross income for the taxable year because of the application of  section
 thirteen hundred sixty-eight, subsection (e) of section thirteen hundred
 seventy-one  or  subsection (c) of section thirteen hundred seventy-nine
 of the internal revenue  code  which  represent  income  not  previously
 subject  to  tax under this article because the election provided for in
 subsection (a) of section six hundred sixty IN EFFECT FOR TAXABLE  YEARS
 BEGINNING  BEFORE  JANUARY FIRST, TWO THOUSAND TWENTY-THREE had not been
 made. Any such distribution treated in the manner described in paragraph
 two of subsection (b) of section thirteen  hundred  sixty-eight  of  the
 internal  revenue  code for federal income tax purposes shall be treated
 as ordinary income for purposes of this article.
   (21) In relation to the disposition of  stock  or  indebtedness  of  a
 corporation  which  elected  under  subchapter  s  of chapter one of the
 internal revenue code for any taxable year of  such  corporation  begin-
 ning,  in the case of a corporation taxable under article nine-A of this
 chapter, after December thirty-first, nineteen hundred eighty AND BEFORE
 JANUARY FIRST, TWO THOUSAND TWENTY-THREE,  the  amount  required  to  be
 S. 8009                            37                            A. 9009
 
 added  to  federal  adjusted  gross income pursuant to subsection (n) of
 this section.
   §  7. Paragraph 21 of subsection (c) of section 612 of the tax law, as
 amended by section 70 of part A of chapter 59 of the laws  of  2014,  is
 amended to read as follows:
   (21)  In  relation  to  the  disposition of stock or indebtedness of a
 corporation which elected under subchapter  s  of  chapter  one  of  the
 internal  revenue  code  for any taxable year of such corporation begin-
 ning, in the case of a corporation taxable under article nine-A of  this
 chapter, after December thirty-first, nineteen hundred eighty AND BEFORE
 JANUARY  FIRST,  TWO  THOUSAND  TWENTY-THREE, the amounts required to be
 subtracted from federal adjusted gross income pursuant to subsection (n)
 of this section.
   § 8. Paragraph 22 of subsection (c) of section 612 of the tax  law  is
 REPEALED.
   § 9. Subsection (e) of section 612 of the tax law, as amended by chap-
 ter  166 of the laws of 1991, paragraph 3 as added by chapter 760 of the
 laws of 1992, is amended to read as follows:
   (e) Modifications of partners and shareholders of S corporations.  (1)
 Partners  and  shareholders  of S corporations [which are not New York C
 corporations]. The amounts of modifications required to  be  made  under
 this  section  by  a  partner  or  by  a shareholder of an S corporation
 [(other than an S corporation which is a New York C corporation)], which
 relate to partnership or S corporation items of income,  gain,  loss  or
 deduction  shall  be determined under section six hundred seventeen and,
 in the case of a partner of a partnership doing an insurance business as
 a member of the New York insurance exchange  described  in  section  six
 thousand two hundred one of the insurance law, under section six hundred
 seventeen-a of this article.
   (2) [Shareholders of S corporations which are New York C corporations.
 In  the  case of a shareholder of an S corporation which is a New York C
 corporation, the modifications under this section which  relate  to  the
 corporation's  items  of  income,  loss  and  deduction shall not apply,
 except for  the  modifications  provided  under  paragraph  nineteen  of
 subsection  (b)  and  paragraph  twenty-two  of  subsection  (c) of this
 section.
   (3)] New York S termination year. In the case of a New York  S  termi-
 nation  year,  the  amounts  of  the  modifications  required under this
 section which relate to the  S  corporation's  items  of  income,  loss,
 deduction  and  reductions for taxes (as described in paragraphs two and
 three of subsection (f) of section thirteen  hundred  sixty-six  of  the
 internal  revenue  code) shall be adjusted in the same manner that the S
 corporation's items are adjusted under subsection  (s)  of  section  six
 hundred twelve.
   §  10.  Subsection  (n)  of  section 612 of the tax law, as amended by
 section 61 of part A of chapter 389 of the laws of 1997, is  amended  to
 read as follows:
   (n)  Where  gain or loss is recognized for federal income tax purposes
 upon the disposition of stock or indebtedness of a corporation  electing
 under subchapter s of chapter one of the internal revenue code
   (1)  There  shall be added to federal adjusted gross income the amount
 of increase in basis with respect to such stock or indebtedness pursuant
 to subsection (a) of section thirteen hundred seventy-six of the  inter-
 nal  revenue code as such section was in effect for taxable years begin-
 ning before January first, nineteen hundred  eighty-three  and  subpara-
 graphs  (A)  and  (B)  of  paragraph  one  of  subsection (a) of section
 S. 8009                            38                            A. 9009
 
 thirteen hundred sixty-seven of such code, for each taxable year of  the
 corporation  beginning, in the case of a corporation taxable under arti-
 cle nine-A  of  this  chapter,  after  December  thirty-first,  nineteen
 hundred  eighty AND BEFORE JANUARY FIRST, TWO THOUSAND TWENTY-THREE, and
 in the case of a corporation taxable under FORMER article thirty-two  of
 this  chapter,  after December thirty-first, nineteen hundred ninety-six
 AND BEFORE JANUARY FIRST, TWO THOUSAND FIFTEEN, for which  the  election
 provided  for  in  subsection  (a)  of section six hundred sixty of this
 article was not in effect, and
   (2) There shall be subtracted from federal adjusted gross income
   (A) the amount of reduction in basis with respect  to  such  stock  or
 indebtedness  pursuant  to  subsection  (b)  of section thirteen hundred
 seventy-six of the internal revenue code as such section was  in  effect
 for  taxable  years  beginning  before  January  first, nineteen hundred
 eighty-three  and  subparagraphs  (B)  and  (C)  of  paragraph  two   of
 subsection (a) of section thirteen hundred sixty-seven of such code, for
 each  taxable year of the corporation beginning, in the case of a corpo-
 ration taxable under article nine-A  of  this  chapter,  after  December
 thirty-first,  nineteen  hundred  eighty  AND  BEFORE JANUARY FIRST, TWO
 THOUSAND TWENTY-THREE, and in the case of a  corporation  taxable  under
 FORMER  article thirty-two of this chapter, after December thirty-first,
 nineteen hundred ninety-six  AND  BEFORE  JANUARY  FIRST,  TWO  THOUSAND
 FIFTEEN,  for  which  the  election  provided  for  in subsection (a) of
 section six hundred sixty of this article was not in effect and
   (B) the amount of any  modifications  to  federal  gross  income  with
 respect  to such stock pursuant to paragraph twenty of subsection (b) of
 this section.
   § 11. Paragraph 6 of subsection (c) of section 615 of the tax  law  is
 REPEALED.
   §  12.  Subsection  (e)  of  section 615 of the tax law, as amended by
 chapter 760 of the laws of 1992, is amended to read as follows:
   (e) Modifications of partners and shareholders of S corporations.  (1)
 Partners  and  shareholders  of S corporations [which are not New York C
 corporations]. The amounts of  modifications  under  subsection  (c)  or
 under  paragraph  (2)  or (3) of subsection (d) required to be made by a
 partner or by a shareholder of an S corporation [(other than an S corpo-
 ration which is a New York C corporation)], with  respect  to  items  of
 deduction  of  a  partnership or S corporation shall be determined under
 section six hundred seventeen.
   (2) [Shareholders of S corporations which are New York C corporations.
 In the case of a shareholder of an S corporation which is a New  York  C
 corporation,  the  modifications  under this section which relate to the
 corporation's items of deduction shall not apply, except for the modifi-
 cation provided under paragraph six of subsection (c).
   (3)] New York S termination year. In the case of a New York  S  termi-
 nation  year,  the  amounts  of  the  modifications  required under this
 section which relate to the S corporation's items of deduction shall  be
 adjusted  in the same manner that the S corporation's items are adjusted
 under subsection (s) of section six hundred twelve.
   § 13. Subsection (a) of section 617 of the  tax  law,  as  amended  by
 chapter 190 of the laws of 1990, is amended to read as follows:
   (a) Partner's and shareholder's modifications. In determining New York
 adjusted  gross income and New York taxable income of a resident partner
 or a resident shareholder of an S corporation [(other than an  S  corpo-
 ration  which  is a New York C corporation)], any modification described
 in subsections (b), (c) or (d) of section six hundred twelve, subsection
 S. 8009                            39                            A. 9009
 
 (c) of  section  six  hundred  fifteen  or  paragraphs  (2)  or  (3)  of
 subsection  (d) of such section, which relates to an item of partnership
 or S corporation income, gain,  loss  or  deduction  shall  be  made  in
 accordance  with  the  partner's distributive share or the shareholder's
 pro rata share, for federal income tax purposes, of the  item  to  which
 the  modification  relates.    Where a partner's distributive share or a
 shareholder's pro rata share of any such item  is  not  required  to  be
 taken into account separately for federal income tax purposes, the part-
 ner's or shareholder's share of such item shall be determined in accord-
 ance with his OR HER share, for federal income tax purposes, of partner-
 ship or S corporation taxable income or loss generally. In the case of a
 New  York S termination year, his OR HER pro rata share of any such item
 shall be determined under subsection (s) of section six hundred twelve.
   § 14. Subparagraph (E-1) of paragraph 1 of subsection (b)  of  section
 631 of the tax law, as added by section 3 of part C of chapter 57 of the
 laws of 2010, is amended to read as follows:
   (E-1)  in  the  case  of an S corporation [for which an election is in
 effect pursuant] SUBJECT to subsection (a) of section six hundred  sixty
 of  this  article  that  terminates  its taxable status in New York, any
 income or gain recognized on the receipt of payments from an installment
 sale contract entered into when the S corporation was subject to tax  in
 New  York,  allocated in a manner consistent with the applicable methods
 and rules for [allocation] APPORTIONMENT under article nine-A or  FORMER
 ARTICLE  thirty-two  of this chapter, in the year that the S corporation
 sold its assets.
   § 15. The section heading and paragraph 2 of subsection (a) of section
 632 of the tax law, the section heading as amended by chapter 606 of the
 laws of 1984, and paragraph 2 of subsection (a) as amended by section 71
 of part A of chapter 59 of the laws of 2014,  are  amended  to  read  as
 follows:
   Nonresident partners and [electing] shareholders of S corporations.
   (2) In determining New York source income of a nonresident shareholder
 of  an  S  corporation  [where  the election provided for in] SUBJECT TO
 subsection (a) of section six hundred  sixty  of  this  article  [is  in
 effect],  there  shall  be  included  only  the  portion derived from or
 connected with New York sources of such shareholder's pro rata share  of
 items  of  S  corporation income, loss and deduction entering into [his]
 SUCH  SHAREHOLDER'S  federal  adjusted  gross   income,   increased   by
 reductions for taxes described in paragraphs two and three of subsection
 (f)  of section thirteen hundred sixty-six of the internal revenue code,
 as such portion shall be determined under regulations of the commission-
 er consistent with the applicable methods  and  rules  for  [allocation]
 APPORTIONMENT  under  article  nine-A  of  this  chapter[, regardless of
 whether or not such item or reduction is included in entire  net  income
 under article nine-A for the tax year]. If a nonresident is a sharehold-
 er  in  an S corporation [where the election provided for in] SUBJECT TO
 subsection (a) of section six hundred  sixty  of  this  article  [is  in
 effect], and the S corporation has distributed an installment obligation
 under  section  453(h)(1)(A) of the Internal Revenue Code, then any gain
 recognized on the receipt of payments from  the  installment  obligation
 for  federal  income  tax  purposes  will  be treated as New York source
 income allocated in a manner consistent with the applicable methods  and
 rules  for [allocation] APPORTIONMENT under article nine-A of this chap-
 ter in the year that the assets were sold. In addition,  if  the  share-
 holders  of  the  S  corporation  have  made  an  election under section
 338(h)(10) of the Internal Revenue Code, then any gain recognized on the
 S. 8009                            40                            A. 9009
 
 deemed asset sale for federal income tax purposes will be treated as New
 York source income allocated in a manner consistent with the  applicable
 methods and rules for [allocation] APPORTIONMENT under article nine-A of
 this  chapter  in  the  year  that  the  shareholder  made  the  section
 338(h)(10) election. For purposes of a section 338(h)(10) election, when
 a nonresident shareholder exchanges his or her S  corporation  stock  as
 part  of  the  deemed  liquidation, any gain or loss recognized shall be
 treated as the disposition of an intangible asset and will not  increase
 or  offset  any gain recognized on the deemed assets sale as a result of
 the section 338(h)(10) election.
   § 16. Subsection (a) of section 632-a of the  tax  law,  as  added  by
 section  1  of  part  K of chapter 60 of the laws of 2007, is amended to
 read as follows:
   (a) General. If (1) substantially all of the services  of  a  personal
 service  corporation  or S corporation are performed for or on behalf of
 another corporation, partnership, or other entity and (2) the effect  of
 forming  or  availing  of  such personal service corporation or S corpo-
 ration is the avoidance or evasion of New York income  tax  by  reducing
 the  income  of,  or in the case of a nonresident, reducing the New York
 source income of, or securing the benefit  of  any  expense,  deduction,
 credit,  exclusion,  or  other  allowance  for, any employee-owner which
 would not otherwise be available, then the commissioner may allocate all
 income, deductions, credits, exclusions, and  other  allowances  between
 such  personal  service  corporation  or  S  corporation  (even  if such
 personal service corporation or S corporation [is  taxed  under  article
 nine-A  of this chapter or] is not subject to tax in this state) and its
 employee-owners, provided such allocation is necessary to prevent avoid-
 ance or evasion of New York state income tax or to clearly  reflect  the
 source  and the amount of the income of the personal service corporation
 or S corporation or any of its employee-owners.
   § 17. Paragraph 2 and subparagraph (A) of paragraph  4  of  subsection
 (c) of section 658 of the tax law, paragraph 2 as amended by chapter 190
 of  the  laws of 1990, and subparagraph (A) of paragraph 4 as amended by
 section 72 of part A of chapter 59 of the laws of 2014, are  amended  to
 read as follows:
   (2)  S  corporations.  Every  S  corporation  [for  which the election
 provided for in] SUBJECT TO subsection (a) of section six hundred  sixty
 [is  in  effect]  shall make a return for the taxable year setting forth
 all items of income, loss and deduction and such other pertinent  infor-
 mation  as  the  commissioner of taxation and finance may by regulations
 and instructions prescribe. Such return shall be filed on or before  the
 fifteenth  day  of  the  third month following the close of each taxable
 year.
   (A) General. Every entity which is a partnership, other than a public-
 ly traded partnership as defined in section 7704 of the federal Internal
 Revenue Code, subchapter K limited liability company or an S corporation
 [for which the election provided for in subsection (a)  of  section  six
 hundred sixty of this part is in effect], which has partners, members or
 shareholders   who   are   nonresident  individuals,  as  defined  under
 subsection (b) of section six hundred five of this article, or C  corpo-
 rations,  and which has any income derived from New York sources, deter-
 mined in accordance with the applicable rules  of  section  six  hundred
 thirty-one  of  this article as in the case of a nonresident individual,
 shall pay estimated tax on such  income  on  behalf  of  such  partners,
 members  or  shareholders  in  the manner and at the times prescribed by
 subsection (c) of section six hundred eighty-five of this  article.  For
 S. 8009                            41                            A. 9009
 
 purposes  of this paragraph, the term "estimated tax" shall mean a part-
 ner's, member's or shareholder's distributive share or pro rata share of
 the entity income derived from New York sources, multiplied by the high-
 est  rate  of  tax prescribed by section six hundred one of this article
 for the taxable year of any partner, member or  shareholder  who  is  an
 individual  taxpayer, or paragraph (a) of subdivision one of section two
 hundred ten of this chapter for the taxable year of any partner,  member
 or  shareholder  which  is a C corporation, whether or not such C corpo-
 ration is subject to tax under article nine, nine-A or  thirty-three  of
 this chapter, and reduced by the distributive share or pro rata share of
 any  credits  determined  under  section  one  hundred eighty-seven, one
 hundred eighty-seven-a, six hundred six or  fifteen  hundred  eleven  of
 this chapter, whichever is applicable, derived from the entity.
   §  18.  Section  660  of the tax law, as amended by chapter 606 of the
 laws of 1984, subsections (a) and (h) as amended by section 73 of part A
 of chapter 59 of the laws of 2014, paragraph  3  of  subsection  (b)  as
 amended by section 51, paragraphs 4 and 5 of subsection (b) as added and
 paragraph   6  of  subsection  (b)  as  renumbered  by  section  52  and
 subsections (e) and (f) as added and subsection  (g)  as  relettered  by
 section  53 of part A of chapter 389 of the laws of 1997, subsection (d)
 as added by chapter 760 of the laws of 1992, subsection (i) as added  by
 section 1 of part L of chapter 60 of the laws of 2007 and paragraph 1 of
 subsection  (i)  as amended by section 39 of part T of chapter 59 of the
 laws of 2015, is amended to read as follows:
   § 660. [Election by shareholders of S corporations] TAX  TREATMENT  OF
 FEDERAL S CORPORATIONS.  (a) [Election.] If a corporation is an eligible
 S  corporation,  the  shareholders  of the corporation [may elect in the
 manner set forth in subsection (b) of this section to] SHALL  take  into
 account, to the extent provided for in this article (or in article thir-
 teen  of  this chapter, in the case of a shareholder which is a taxpayer
 under such article), the S corporation items of income, loss,  deduction
 and  reductions  for  taxes  described  in  paragraphs  two and three of
 subsection (f) of section thirteen hundred  sixty-six  of  the  internal
 revenue  code  which  are  taken  into  account  for  federal income tax
 purposes for the taxable year. [No election under this subsection  shall
 be  effective  unless  all  shareholders  of  the  corporation  have  so
 elected.] An eligible S corporation is (i) [an S] A corporation THAT HAS
 ELECTED TO BE AN S CORPORATION FOR FEDERAL INCOME TAX PURPOSES  PURSUANT
 TO SECTION THIRTEEN HUNDRED SIXTY-TWO OF THE INTERNAL REVENUE CODE which
 is subject to tax under article nine-A of this chapter, or (ii) [an S] A
 corporation  THAT  HAS ELECTED TO BE AN S CORPORATION FOR FEDERAL INCOME
 TAX PURPOSES PURSUANT TO  SECTION  THIRTEEN  HUNDRED  SIXTY-TWO  OF  THE
 INTERNAL  REVENUE  CODE  which is the parent of a qualified subchapter S
 subsidiary  AS  DEFINED  IN  SUBPARAGRAPH  (B)  OF  PARAGRAPH  THREE  OF
 SUBSECTION  (B)  OF  SECTION  THIRTEEN HUNDRED SIXTY-ONE OF THE INTERNAL
 REVENUE CODE subject to tax under article nine-A[, where the  sharehold-
 ers  of  such parent corporation are entitled to make the election under
 this subsection by reason of subparagraph  three  of  paragraph  (k)  of
 subdivision nine of section two hundred eight] of this chapter.
   (b)  [Requirements  of  election.  An election under subsection (a) of
 this section shall be made on such form and in such manner  as  the  tax
 commission may prescribe by regulation or instruction.
   (1) When made. An election under subsection (a) of this section may be
 made at any time during the preceding taxable year of the corporation or
 at  any time during the taxable year of the corporation and on or before
 the fifteenth day of the third month of such taxable year.
 S. 8009                            42                            A. 9009

   (2) Certain elections made during first two and one-half months. If an
 election made under subsection (a) of this section is made for any taxa-
 ble year of the corporation during  such  year  and  on  or  before  the
 fifteenth  day  of  the third month of such year, such election shall be
 treated as made for the following taxable year if
   (A)  on  one or more days in such taxable year before the day on which
 the election was made the corporation did not meet the  requirements  of
 subsection  (b)  of  section  thirteen hundred sixty-one of the internal
 revenue code or
   (B) one or more of the shareholders who held stock in the  corporation
 during  such  taxable  year  and  before  the  election was made did not
 consent to the election.
   (3) Elections made after first two and one-half months. If an election
 under subsection (a) of this section is made for any taxable year of the
 corporation and such election is made after the  fifteenth  day  of  the
 third  month  of such taxable year and on or before the fifteenth day of
 the third month of the following taxable year, such  election  shall  be
 treated as made for the following taxable year.
   (4)  Taxable years of two and one-half months or less. For purposes of
 this subsection, an election for a taxable year made not later than  two
 months and fifteen days after the first day of the taxable year shall be
 treated as timely made during such year.
   (5)  Authority  to  treat  late  elections, etc., as timely. If (A) an
 election under subsection (a) of this section is made  for  any  taxable
 year  (determined  without regard to paragraph three of this subsection)
 after the date prescribed by this subsection for  making  such  election
 for  such  taxable  year, or if no such election is made for any taxable
 year, and
   (B) the commissioner determines that there was  reasonable  cause  for
 failure to timely make such election, then
   (C)  the  commissioner  may  treat such an election as timely made for
 such taxable year (and paragraph three  of  this  subsection  shall  not
 apply).
   (6)  Years  for  which  effective. An election under subsection (a) of
 this section shall be effective for the taxable year of the  corporation
 for  which it is made and for all succeeding taxable years of the corpo-
 ration until such election is terminated under subsection  (c)  of  this
 section.
   (c)]  Termination.  An  [election  under] ELIGIBLE S CORPORATION SHALL
 CEASE TO BE SUBJECT TO subsection (a) of this section [shall cease to be
 effective
   (1)] on the day an election to be an S corporation ceases to be effec-
 tive for federal income tax  purposes  pursuant  to  subsection  (d)  of
 section thirteen hundred sixty-two of the internal revenue code[, or
   (2)  if shareholders holding more than one-half of the shares of stock
 of the corporation on the day on which the  revocation  is  made  revoke
 such  election  in  the manner the tax commission may prescribe by regu-
 lation,
   (A) on the first day of the taxable year of the  corporation,  if  the
 revocation  is  made  during  such  taxable  year  and  on or before the
 fifteenth day of the third month thereof, or
   (B) on the first day of the following taxable year of the corporation,
 if the revocation  is  made  during  the  taxable  year  but  after  the
 fifteenth day of the third month thereof, or
 S. 8009                            43                            A. 9009

   (C)  on and after the date so specified, if the revocation specifies a
 date for revocation which is on or after the day on which the revocation
 is made, or
   (3)  if any person who was not a shareholder of the corporation on the
 day on which the election is made becomes a shareholder  in  the  corpo-
 ration  and  affirmatively  refuses  to  consent to such election in the
 manner the tax commission may prescribe by regulation, on the  day  such
 person becomes a shareholder].
   [(d)]  (C)  New  York  S termination year. In the case of a New York S
 termination year, the amount of any item of S corporation  income,  loss
 and  deduction  and reductions for taxes (as described in paragraphs two
 and three of subsection (f) of section thirteen hundred sixty-six of the
 internal revenue code) required to be taken account of under this  arti-
 cle  shall be adjusted in the same manner that the S corporation's items
 which are included in the shareholder's federal  adjusted  gross  income
 are adjusted under subsection (s) of section six hundred twelve.
   [(e)   Inadvertent   invalid  elections.  If  (1)  an  election  under
 subsection (a) of this section was not effective for  the  taxable  year
 for which made (determined without regard to paragraph two of subsection
 (b)  of  this  section)  by  reason  of  a failure to obtain shareholder
 consents,
   (2) the commissioner determines that the  circumstances  resulting  in
 such ineffectiveness were inadvertent,
   (3)  no  later than a reasonable period of time after discovery of the
 circumstances resulting in such ineffectiveness,  steps  were  taken  to
 acquire the required shareholder consents, and
   (4)  the  corporation,  and  each  person who was a shareholder in the
 corporation at any time during the period  specified  pursuant  to  this
 subsection,  agrees to make such adjustments (consistent with the treat-
 ment of the corporation as a New York S corporation) as may be  required
 by the commissioner with respect to such period,
   (5) then, notwithstanding the circumstances resulting in such ineffec-
 tiveness,  such corporation shall be treated as a New York S corporation
 during the period specified by the commissioner.
   (f)] (D) QUALIFIED SUBCHAPTER S SUBSIDIARIES. IF AN S CORPORATION  HAS
 ELECTED TO TREAT ITS WHOLLY OWNED SUBSIDIARY AS A QUALIFIED SUBCHAPTER S
 SUBSIDIARY  FOR  FEDERAL  INCOME  TAX  PURPOSES UNDER PARAGRAPH THREE OF
 SUBSECTION (B) OF SECTION THIRTEEN HUNDRED  SIXTY-ONE  OF  THE  INTERNAL
 REVENUE  CODE,  SUCH ELECTION SHALL BE APPLICABLE FOR NEW YORK STATE TAX
 PURPOSES AND
   (1) THE ASSETS, LIABILITIES, INCOME,  DEDUCTIONS,  PROPERTY,  PAYROLL,
 RECEIPTS, CAPITAL, CREDITS, AND ALL OTHER TAX ATTRIBUTES AND ELEMENTS OF
 ECONOMIC  ACTIVITY  OF THE SUBSIDIARY SHALL BE DEEMED TO BE THOSE OF THE
 PARENT CORPORATION,
   (2) TRANSACTIONS BETWEEN THE PARENT CORPORATION  AND  THE  SUBSIDIARY,
 INCLUDING THE PAYMENT OF INTEREST AND DIVIDENDS, SHALL NOT BE TAKEN INTO
 ACCOUNT, AND
   (3) GENERAL EXECUTIVE OFFICERS OF THE SUBSIDIARY SHALL BE DEEMED TO BE
 GENERAL EXECUTIVE OFFICERS OF THE PARENT CORPORATION.
   (E)  Validated federal elections. If [(1) an election under subsection
 (a) of this section was made for a taxable year or  years  of  a  corpo-
 ration,  which  years  occur  with  or  within the period for which] the
 federal S election of [such] AN ELIGIBLE S corporation  has  been  vali-
 dated  pursuant  to the provisions of subsection (f) of section thirteen
 hundred sixty-two of the internal revenue code, [and
 S. 8009                            44                            A. 9009

   (2) the corporation, and each person who  was  a  shareholder  in  the
 corporation at any time during such taxable year or years agrees to make
 such  adjustments (consistent with the treatment of the corporation as a
 New York S corporation) as may be  required  by  the  commissioner  with
 respect to such year or years,
   (3)  then] such corporation shall be treated as [a New York] AN ELIGI-
 BLE S corporation SUBJECT TO  SUBSECTION  (A)  OF  THIS  SECTION  during
 [such] THE year or years FOR WHICH SUCH ELECTION HAS BEEN VALIDATED.
   [(g)  Transitional  rule.  Any election made under this section (as in
 effect for  taxable  years  beginning  before  January  first,  nineteen
 hundred  eighty-three)  shall  be  treated  as  an  election  made under
 subsection (a) of this section.
   (h) Cross reference. For definitions relating to S  corporations,  see
 subdivision one-A of section two hundred eight of this chapter.
   (i) Mandated New York S corporation election.  (1) Notwithstanding the
 provisions in subsection (a) of this section, in the case of an eligible
 S  corporation  for  which  the  election  under  subsection (a) of this
 section is not in effect for the current taxable year, the  shareholders
 of  an  eligible  S  corporation  are  deemed to have made that election
 effective for the eligible S corporation's entire current taxable  year,
 if  the eligible S corporation's investment income for the current taxa-
 ble year is more than fifty percent of its federal gross income for such
 year. In determining whether an eligible S corporation is deemed to have
 made that election, the income of a qualified  subchapter  S  subsidiary
 owned  directly  or  indirectly  by  the eligible S corporation shall be
 included with the income of the eligible S corporation.
   (2) For the purposes of this subsection, the term "eligible  S  corpo-
 ration" has the same definition as in subsection (a) of this section.
   (3)  For the purposes of this subsection, the term "investment income"
 means the sum of an eligible S corporation's gross income from interest,
 dividends, royalties, annuities, rents and gains derived  from  dealings
 in  property,  including  the  corporation's  share of such items from a
 partnership, estate or trust, to the extent such items would be includa-
 ble in federal gross income for the taxable year.
   (4)  Estimated  tax  payments.  When  making  estimated  tax  payments
 required  to  be  made  under  this chapter in the current tax year, the
 eligible S corporation and its shareholders may rely on the  eligible  S
 corporation's filing status for the prior year. If the eligible S corpo-
 ration's  filing  status changes from the prior tax year the corporation
 or the shareholders, as the case may be, which made the  payments  shall
 be entitled to a refund of such estimated tax payments.  No additions to
 tax  with  respect to any required declarations or payments of estimated
 tax imposed under this chapter shall be imposed on  the  corporation  or
 shareholders, whichever is the taxpayer for the current taxable year, if
 the corporation or the shareholders file such declarations and make such
 estimated  tax  payments  by January fifteenth of the following calendar
 year, regardless of whether the taxpayer's tax year is a calendar  or  a
 fiscal year.]
   §  19.  Transition  rules.  Any  prior  net  operating loss conversion
 subtraction and net operating loss  carryforward  that  otherwise  would
 have  been allowed under subparagraphs (viii) and (ix), respectively, of
 paragraph (a) of subdivision 1 of section 210 of the  tax  law  for  the
 taxable years beginning on or after January 1, 2023 to any taxpayer that
 was  a  New  York C corporation for a taxable year beginning on or after
 January 1, 2022 and before January 1, 2023, and that becomes a New  York
 S  corporation  for a taxable year beginning on or after January 1, 2023
 S. 8009                            45                            A. 9009
 
 as a result of the amendments made by this act, shall be held  in  abey-
 ance and be available to such taxpayer if its election to be a federal S
 corporation  is terminated. Further, any credit carryforwards allowed to
 such  a  taxpayer  under  section  210-B of the tax law shall be held in
 abeyance and be available to such taxpayer  if  its  election  to  be  a
 federal  S corporation is terminated. However, the taxpayer's years as a
 New York S corporation shall be counted for purposes  of  computing  any
 time  period applicable to the allowance of the prior net operating loss
 conversion  subtraction  or  carryforward,  the   net   operating   loss
 deduction, or any credit carryforward.
   §  20. This act shall take effect immediately and shall apply to taxa-
 ble years beginning on or after January 1, 2023.
 
                                  PART S
 
   Section 1. Subparagraph (i) of  paragraph  (b)  of  subdivision  1  of
 section 210-B of the tax law, as amended by section 2 of part P of chap-
 ter 59 of the laws of 2017, is amended to read as follows:
   (i)  A  credit shall be allowed under this subdivision with respect to
 tangible personal property and other tangible property, including build-
 ings and structural components  of  buildings,  which  are:  depreciable
 pursuant  to  section  one  hundred  sixty-seven of the internal revenue
 code, have a useful life of four years or more, are acquired by purchase
 as defined in section one  hundred  seventy-nine  (d)  of  the  internal
 revenue code, have a situs in this state and are (A) principally used by
 the  taxpayer  in  the production of goods by manufacturing, processing,
 assembling, refining, mining, extracting, farming,  agriculture,  horti-
 culture, floriculture, viticulture or commercial fishing, (B) industrial
 waste  treatment facilities or air pollution control facilities, used in
 the taxpayer's trade or business, (C) research and development property,
 or (D) principally used in the ordinary course of the  taxpayer's  trade
 or  business  as  a  broker or dealer in connection with the purchase or
 sale (which shall include but not be limited to the  issuance,  entering
 into,  assumption,  offset,  assignment,  termination,  or  transfer) of
 stocks, bonds or other securities as defined  in  section  four  hundred
 seventy-five  (c)(2)  of the Internal Revenue Code, or of commodities as
 defined in section four hundred seventy-five (e) of the Internal Revenue
 Code, (E) principally used in the  ordinary  course  of  the  taxpayer's
 trade  or business of providing investment advisory services for a regu-
 lated investment company as defined in section eight  hundred  fifty-one
 of the Internal Revenue Code, or lending, loan arrangement or loan orig-
 ination  services  to  customers in connection with the purchase or sale
 (which shall include but not be limited to the issuance, entering  into,
 assumption,  offset, assignment, termination, or transfer) of securities
 as defined in section four hundred seventy-five (c)(2) of  the  Internal
 Revenue Code, (F) principally used in the ordinary course of the taxpay-
 er's  business  as  an  exchange  registered  as  a  national securities
 exchange within the meaning of sections 3(a)(1) and 6(a) of the  Securi-
 ties Exchange Act of 1934 or a board of trade as defined in subparagraph
 one of paragraph (a) of section fourteen hundred ten of the not-for-pro-
 fit  corporation law or as an entity that is wholly owned by one or more
 such national securities exchanges or boards of trade and that  provides
 automation  or  technical services thereto, or (G) principally used as a
 qualified film production facility including qualified  film  production
 facilities  having a situs in an empire zone designated as such pursuant
 to article eighteen-B of the general municipal law, where  the  taxpayer
 S. 8009                            46                            A. 9009
 
 is  providing  three  or  more services to any qualified film production
 company using the facility, including such services as a studio lighting
 grid, lighting and grip equipment, multi-line phone  service,  broadband
 information  technology  access,  industrial  scale electrical capacity,
 food services, security  services,  and  heating,  ventilation  and  air
 conditioning.  For purposes of clauses (D), (E) and (F) of this subpara-
 graph, property purchased by a  taxpayer  affiliated  with  a  regulated
 broker,  dealer,  registered  investment  advisor,  national  securities
 exchange or board of trade, is allowed a credit under  this  subdivision
 if  the  property  is  used  by its affiliated regulated broker, dealer,
 registered investment advisor, national securities exchange or board  of
 trade  in  accordance with this subdivision. For purposes of determining
 if the property is principally used in qualifying uses, the uses by  the
 taxpayer  described  in  clauses (D) and (E) of this subparagraph may be
 aggregated. In addition, the uses by the taxpayer, its affiliated  regu-
 lated  broker,  dealer and registered investment advisor under either or
 both of those clauses may be aggregated. Provided, however,  a  taxpayer
 shall  not be allowed the credit provided by clauses (D), (E) and (F) of
 this subparagraph unless the property is first placed in service  before
 October  first,  two  thousand fifteen and (i) eighty percent or more of
 the  employees  performing  the  administrative  and  support  functions
 resulting  from  or related to the qualifying uses of such equipment are
 located in this state or (ii)  the  average  number  of  employees  that
 perform  the  administrative  and  support  functions  resulting from or
 related to the qualifying uses of such equipment and are located in this
 state during the taxable year for which the credit is claimed  is  equal
 to  or greater than ninety-five percent of the average number of employ-
 ees that perform these functions and are located in  this  state  during
 the thirty-six months immediately preceding the year for which the cred-
 it  is  claimed,  or (iii) the number of employees located in this state
 during the taxable year for which the credit is claimed is equal  to  or
 greater  than  ninety percent of the number of employees located in this
 state on December thirty-first, nineteen hundred ninety-eight or, if the
 taxpayer was not a calendar year taxpayer in  nineteen  hundred  ninety-
 eight,  the  last  day  of  its first taxable year ending after December
 thirty-first, nineteen hundred ninety-eight.  If  the  taxpayer  becomes
 subject  to  tax in this state after the taxable year beginning in nine-
 teen hundred ninety-eight, then the taxpayer is not required to  satisfy
 the  employment test provided in the preceding sentence of this subpara-
 graph for its first taxable year. For purposes of clause (iii)  of  this
 subparagraph  the employment test will be based on the number of employ-
 ees located in this state on the last day of the first taxable year  the
 taxpayer  is  subject  to tax in this state. If the uses of the property
 must be aggregated to determine whether the property is principally used
 in qualifying uses, then either each affiliate using the  property  must
 satisfy  this  employment test or this employment test must be satisfied
 through the aggregation of the employees of the taxpayer, its affiliated
 regulated broker, dealer, and registered investment  adviser  using  the
 property.  For  purposes  of  clause  (A) of this subparagraph, tangible
 personal property and other tangible property shall not include property
 principally used by the taxpayer (I) in the production  or  distribution
 of electricity, natural gas after extraction from wells, steam, or water
 delivered  through  pipes and mains, OR (II) IN THE CREATION, PRODUCTION
 OR REPRODUCTION, IN ANY  MEDIUM,  OF  ANY  AUDIO  OR  VISUAL  RECORDING,
 INCLUDING  BUT  NOT LIMITED TO FILMS, TELEVISION SHOWS, COMMERCIALS, AND
 MUSICAL RECORDINGS, OR IN THE DUPLICATION, FOR PURPOSES OF BROADCAST  IN
 S. 8009                            47                            A. 9009
 
 ANY  MEDIUM, OF A MASTER OF ANY AUDIO OR VISUAL RECORDING, INCLUDING BUT
 NOT  LIMITED  TO  FILMS,  TELEVISION  SHOWS,  COMMERCIALS,  AND  MUSICAL
 RECORDINGS.
   §  2. Subparagraph (A) of paragraph 2 of subsection (a) of section 606
 of the tax law, as amended by section 3 of part P of chapter 59  of  the
 laws of 2017, is amended to read as follows:
   (A)  A  credit  shall be allowed under this subsection with respect to
 tangible personal property and other tangible property, including build-
 ings and structural components  of  buildings,  which  are:  depreciable
 pursuant  to  section  one  hundred  sixty-seven of the internal revenue
 code, have a useful life of four years or more, are acquired by purchase
 as defined in section one  hundred  seventy-nine  (d)  of  the  internal
 revenue code, have a situs in this state and are (i) principally used by
 the  taxpayer  in  the production of goods by manufacturing, processing,
 assembling, refining, mining, extracting, farming,  agriculture,  horti-
 culture,  floriculture,  viticulture  or commercial fishing, (ii) indus-
 trial waste treatment facilities or air  pollution  control  facilities,
 used in the taxpayer's trade or business, (iii) research and development
 property, (iv) principally used in the ordinary course of the taxpayer's
 trade  or business as a broker or dealer in connection with the purchase
 or sale (which shall include but not be limited to the issuance,  enter-
 ing  into,  assumption, offset, assignment, termination, or transfer) of
 stocks, bonds or other securities as defined  in  section  four  hundred
 seventy-five  (c)(2)  of the Internal Revenue Code, or of commodities as
 defined in section 475(e) of the Internal Revenue Code, (v)  principally
 used  in  the  ordinary  course  of  the taxpayer's trade or business of
 providing investment advisory services for a regulated investment compa-
 ny as defined in section eight hundred fifty-one of the Internal Revenue
 Code, or lending, loan  arrangement  or  loan  origination  services  to
 customers  in  connection with the purchase or sale (which shall include
 but not be limited to the issuance, entering into,  assumption,  offset,
 assignment,  termination,  or  transfer)  of  securities  as  defined in
 section four hundred seventy-five (c)(2) of the Internal  Revenue  Code,
 or (vi) principally used as a qualified film production facility includ-
 ing  qualified  film  production  facilities having a situs in an empire
 zone designated as such pursuant to article eighteen-B  of  the  general
 municipal law, where the taxpayer is providing three or more services to
 any qualified film production company using the facility, including such
 services  as a studio lighting grid, lighting and grip equipment, multi-
 line phone service, broadband information technology access,  industrial
 scale  electrical  capacity, food services, security services, and heat-
 ing, ventilation and air conditioning. For purposes of clauses (iv)  and
 (v)  of  this  subparagraph, property purchased by a taxpayer affiliated
 with a regulated broker, dealer, or  registered  investment  adviser  is
 allowed  a  credit  under this subsection if the property is used by its
 affiliated regulated broker, dealer or registered investment adviser  in
 accordance  with  this  subsection.  For  purposes of determining if the
 property is principally used in qualifying uses, the uses by the taxpay-
 er described in clauses (iv) and (v) of this subparagraph may be  aggre-
 gated.  In  addition, the uses by the taxpayer, its affiliated regulated
 broker, dealer and registered investment adviser under either or both of
 those clauses may be aggregated. Provided, however, a taxpayer shall not
 be allowed the credit provided by clauses (iv) and (v) of this  subpara-
 graph  unless (I) eighty percent or more of the employees performing the
 administrative and support functions resulting from or  related  to  the
 qualifying uses of such equipment are located in this state, or (II) the
 S. 8009                            48                            A. 9009
 
 average  number of employees that perform the administrative and support
 functions resulting from or related  to  the  qualifying  uses  of  such
 equipment  and  are  located  in  this state during the taxable year for
 which  the  credit  is  claimed  is equal to or greater than ninety-five
 percent of the average number of employees that perform these  functions
 and  are  located in this state during the thirty-six months immediately
 preceding the year for which the credit is claimed, or (III) the  number
 of employees located in this state during the taxable year for which the
 credit  is  claimed  is  equal  to or greater than ninety percent of the
 number of employees located in  this  state  on  December  thirty-first,
 nineteen  hundred  ninety-eight  or,  if the taxpayer was not a calendar
 year taxpayer in nineteen hundred ninety-eight,  the  last  day  of  its
 first  taxable year ending after December thirty-first, nineteen hundred
 ninety-eight. If the taxpayer becomes subject to tax in this state after
 the taxable year beginning in nineteen hundred  ninety-eight,  then  the
 taxpayer  is not required to satisfy the employment test provided in the
 preceding sentence of this subparagraph for its first taxable year.  For
 the  purposes  of  clause (III) of this subparagraph the employment test
 will be based on the number of employees located in this  state  on  the
 last  day  of  the  first taxable year the taxpayer is subject to tax in
 this state. If the uses of the property must be aggregated to  determine
 whether the property is principally used in qualifying uses, then either
 each  affiliate  using the property must satisfy this employment test or
 this employment test must be satisfied through the  aggregation  of  the
 employees  of the taxpayer, its affiliated regulated broker, dealer, and
 registered investment adviser using the property. For purposes of clause
 (i) of this subparagraph, tangible personal property and other  tangible
 property shall not include property principally used by the taxpayer (A)
 in  the  production  or  distribution  of electricity, natural gas after
 extraction from wells, steam,  or  water  delivered  through  pipes  and
 mains,  OR (B) IN THE CREATION, PRODUCTION OR REPRODUCTION, IN ANY MEDI-
 UM, OF ANY AUDIO OR VISUAL  RECORDING,  INCLUDING  BUT  NOT  LIMITED  TO
 FILMS,  TELEVISION SHOWS, COMMERCIALS, AND MUSICAL RECORDINGS, OR IN THE
 DUPLICATION, FOR PURPOSES OF BROADCAST IN ANY MEDIUM, OF A MASTER OF ANY
 AUDIO OR VISUAL RECORDING, INCLUDING BUT NOT  LIMITED  TO  FILMS,  TELE-
 VISION SHOWS, COMMERCIALS, AND MUSICAL RECORDINGS.
   §  3. This act shall take effect immediately, and shall apply to prop-
 erty placed in service on or after January 1, 2023.
 
                                  PART T
 
   Section 1. Section 301-b of the tax law is amended  by  adding  a  new
 subdivision (j) to read as follows:
   (J)  EXEMPTION  FOR  TUGBOATS  AND  TOWBOATS.  THE USE BY A TUGBOAT OR
 TOWBOAT OF MOTOR FUEL, DIESEL MOTOR FUEL, OR RESIDUAL PETROLEUM PRODUCT.
 PROVIDED, THAT THE COMMISSIONER SHALL REQUIRE SUCH DOCUMENTARY PROOF  TO
 QUALIFY  FOR  ANY EXEMPTION PROVIDED HEREUNDER AS THE COMMISSIONER DEEMS
 APPROPRIATE.
   § 2. The opening paragraph of section 301-c of the tax law, as amended
 by section 5 of part W-1 of chapter 109 of the laws of 2006, is  amended
 to read as follows:
   A subsequent purchaser shall be eligible for reimbursement of tax with
 respect  to the following gallonage, subsequently sold by such purchaser
 in accordance with subdivision (a), (b), (e), (h), (j), (k), (n) or  (o)
 of this section or used by such purchaser in accordance with subdivision
 (c),  (d),  (f),  (g),  (i), (l) [or], (m) OR (Q) of this section, which
 S. 8009                            49                            A. 9009

 gallonage has been included in the measure of the tax  imposed  by  this
 article on a petroleum business:
   § 3. The opening paragraph of section 301-c of the tax law, as amended
 by chapter 468 of the laws of 2000, is amended to read as follows:
   A subsequent purchaser shall be eligible for reimbursement of tax with
 respect  to the following gallonage, subsequently sold by such purchaser
 in accordance with subdivision (a), (b), (e), (h), (j) or  (k)  of  this
 section  or  used  by such purchaser in accordance with subdivision (c),
 (d), (f), (g), (i), (l) [or], (m) OR (Q) of this section,  which  gallo-
 nage has been included in the measure of the tax imposed by this article
 on a petroleum business:
   §  4. Section 301-c of the tax law is amended by adding a new subdivi-
 sion (q) to read as follows:
   (Q) REIMBURSEMENT FOR TUGBOATS AND TOWBOATS. A USE  BY  A  TUGBOAT  OR
 TOWBOAT OF MOTOR FUEL, DIESEL MOTOR FUEL, OR RESIDUAL PETROLEUM PRODUCT.
 THIS  REIMBURSEMENT MAY BE CLAIMED ONLY WHERE (1) ANY TAX IMPOSED PURSU-
 ANT TO THIS ARTICLE HAS BEEN PAID WITH RESPECT TO SUCH GALLONAGE AND THE
 ENTIRE AMOUNT OF SUCH TAX HAS BEEN ABSORBED BY SUCH PURCHASER,  AND  (2)
 SUCH  TUGBOAT OR TOWBOAT POSSESSES DOCUMENTARY PROOF SATISFACTORY TO THE
 COMMISSIONER EVIDENCING THE ABSORPTION BY IT OF  THE  ENTIRE  AMOUNT  OF
 SUCH TAX. PROVIDED, THAT THE COMMISSIONER SHALL REQUIRE SUCH DOCUMENTARY
 PROOF TO QUALIFY FOR ANY REIMBURSEMENT PROVIDED HEREUNDER AS THE COMMIS-
 SIONER DEEMS APPROPRIATE.
   §  5. This act shall take effect September 1, 2022, and shall apply to
 uses of motor fuel, diesel motor fuel and residual petroleum product  on
 and after such date; provided however that the amendments to the opening
 paragraph  of  section  301-c of the tax law made by section two of this
 act shall be subject to the expiration and reversion of  such  paragraph
 pursuant  to  section 19 of part W-1 of chapter 109 of the laws of 2006,
 as amended, when upon such date the provisions of section three of  this
 act shall take effect.
 
                                  PART U
 
   Section  1.  Subparagraph (i) of the opening paragraph of section 1210
 of the tax law is REPEALED and a new subparagraph (i) is added  to  read
 as follows:
   (I)  WITH  RESPECT  TO A CITY OF ONE MILLION OR MORE AND THE FOLLOWING
 COUNTIES: (1) ANY SUCH CITY HAVING A POPULATION OF ONE MILLION  OR  MORE
 IS  HEREBY AUTHORIZED AND EMPOWERED TO ADOPT AND AMEND LOCAL LAWS, ORDI-
 NANCES OR RESOLUTIONS IMPOSING SUCH TAXES IN ANY SUCH CITY, AT THE  RATE
 OF FOUR AND ONE-HALF PERCENT;
   (2)  THE FOLLOWING COUNTIES THAT IMPOSE TAXES DESCRIBED IN SUBDIVISION
 (A) OF THIS SECTION AT THE RATE OF THREE PERCENT AS AUTHORIZED ABOVE  IN
 THIS  PARAGRAPH ARE HEREBY FURTHER AUTHORIZED AND EMPOWERED TO ADOPT AND
 AMEND LOCAL LAWS, ORDINANCES, OR  RESOLUTIONS  IMPOSING  SUCH  TAXES  AT
 ADDITIONAL  RATES,  IN  QUARTER  PERCENT  INCREMENTS,  NOT TO EXCEED THE
 FOLLOWING RATES, WHICH RATES ARE ADDITIONAL TO THE  THREE  PERCENT  RATE
 AUTHORIZED ABOVE IN THIS PARAGRAPH:
   (A)  ONE  PERCENT  -  ALBANY, BROOME, CATTARAUGUS, CAYUGA, CHAUTAUQUA,
 CHEMUNG, CHENANGO,  CLINTON,  COLUMBIA,  CORTLAND,  DELAWARE,  DUTCHESS,
 ESSEX,  FRANKLIN,  FULTON,  GENESEE, GREENE, HAMILTON, JEFFERSON, LEWIS,
 LIVINGSTON, MADISON, MONROE,  MONTGOMERY,  NIAGARA,  ONONDAGA,  ONTARIO,
 ORANGE,  ORLEANS,  OSWEGO,  OTSEGO,  PUTNAM,  RENSSELAER,  ROCKLAND, ST.
 LAWRENCE, SARATOGA, SCHENECTADY, SCHOHARIE, SCHUYLER,  SENECA,  STEUBEN,
 S. 8009                            50                            A. 9009
 
 SUFFOLK,  SULLIVAN,  TIOGA, TOMPKINS, ULSTER, WARREN, WASHINGTON, WAYNE,
 WESTCHESTER, WYOMING, YATES;
   (B) ONE AND ONE-QUARTER PERCENT - HERKIMER, NASSAU;
   (C) ONE AND ONE-HALF PERCENT - ALLEGANY;
   (D) ONE AND THREE-QUARTERS PERCENT - ERIE, ONEIDA.
   (E)  PROVIDED,  HOWEVER,  THAT  (I)  THE COUNTY OF ROCKLAND MAY IMPOSE
 ADDITIONAL RATES OF FIVE-EIGHTHS PERCENT AND THREE-EIGHTHS  PERCENT,  IN
 LIEU  OF  IMPOSING  SUCH  ADDITIONAL RATE IN QUARTER PERCENT INCREMENTS;
 (II) THE COUNTY OF ONTARIO MAY IMPOSE  ADDITIONAL  RATES  OF  ONE-EIGHTH
 PERCENT  AND  THREE-EIGHTHS PERCENT, IN LIEU OF IMPOSING SUCH ADDITIONAL
 RATE IN QUARTER PERCENT INCREMENTS; (III) THREE-QUARTERS PERCENT OF  THE
 ADDITIONAL  RATE  AUTHORIZED TO BE IMPOSED BY THE COUNTY OF NASSAU SHALL
 BE SUBJECT TO THE LIMITATION SET FORTH IN SECTION TWELVE HUNDRED  SIXTY-
 TWO-E OF THIS ARTICLE.
   § 2. Subparagraph (ii) of the opening paragraph of section 1210 of the
 tax  law  is  REPEALED  and  a new subparagraph (ii) is added to read as
 follows:
   (II) THE FOLLOWING CITIES THAT IMPOSE TAXES DESCRIBED  IN  SUBDIVISION
 (A) OF THIS SECTION AT THE RATE OF ONE AND ONE-HALF PERCENT OR HIGHER AS
 AUTHORIZED  ABOVE  IN  THIS PARAGRAPH FOR SUCH CITIES ARE HEREBY FURTHER
 AUTHORIZED AND EMPOWERED TO ADOPT AND AMEND LOCAL LAWS,  ORDINANCES,  OR
 RESOLUTIONS  IMPOSING SUCH TAXES AT ADDITIONAL RATES, IN QUARTER PERCENT
 INCREMENTS, NOT TO EXCEED THE FOLLOWING RATES,  WHICH  RATES  ARE  ADDI-
 TIONAL  TO THE ONE AND ONE-HALF PERCENT OR HIGHER RATES AUTHORIZED ABOVE
 IN THIS PARAGRAPH:
   (1) ONE PERCENT - MOUNT VERNON; NEW ROCHELLE; OSWEGO; WHITE PLAINS;
   (2) ONE AND ONE-QUARTER PERCENT - NONE;
   (3) ONE AND ONE-HALF PERCENT - YONKERS.
   § 3. Subparagraphs (iii) and (iv) of the opening paragraph of  section
 1210  of  the tax law are REPEALED and a new subparagraph (iii) is added
 to read as follows:
   (III) THE MAXIMUM RATE REFERRED TO IN SECTION TWELVE  HUNDRED  TWENTY-
 FOUR  OF THIS ARTICLE SHALL BE CALCULATED WITHOUT REFERENCE TO THE ADDI-
 TIONAL RATES AUTHORIZED FOR COUNTIES, OTHER THAN THE COUNTIES OF CAYUGA,
 CORTLAND, FULTON, MADISON, AND OTSEGO, IN CLAUSE TWO OF SUBPARAGRAPH (I)
 AND THE CITIES IN SUBPARAGRAPH (II) OF THIS PARAGRAPH.
   § 4. Section 1210 of the tax law is amended by adding a  new  subdivi-
 sion (p) to read as follows:
   (P)  NOTWITHSTANDING ANY PROVISION OF THIS SECTION OR ANY OTHER LAW TO
 THE CONTRARY, A COUNTY AUTHORIZED TO IMPOSE AN ADDITIONAL RATE OR  RATES
 OF SALES AND COMPENSATING USE TAXES BY CLAUSE TWO OF SUBPARAGRAPH (I) OF
 THE OPENING PARAGRAPH OF THIS SECTION, OR A CITY, OTHER THAN THE CITY OF
 MOUNT  VERNON,  AUTHORIZED TO IMPOSE AN ADDITIONAL RATE OF SUCH TAXES BY
 SUBPARAGRAPH (II) OF SUCH OPENING PARAGRAPH,  MAY  ADOPT  A  LOCAL  LAW,
 ORDINANCE, OR RESOLUTION BY A MAJORITY VOTE OF ITS GOVERNING BODY IMPOS-
 ING  SUCH  RATE  OR  RATES FOR A PERIOD NOT TO EXCEED TWO YEARS, AND ANY
 SUCH PERIOD MUST END ON NOVEMBER  THIRTIETH  OF  AN  ODD-NUMBERED  YEAR.
 NOTWITHSTANDING  THE  PRECEDING  SENTENCE,  THE  CITY OF WHITE PLAINS IS
 AUTHORIZED TO EXCEED SUCH TWO-YEAR LIMITATION TO IMPOSE THE TAX  AUTHOR-
 IZED  BY  SUBPARAGRAPH  (II)  OF  SUCH  OPENING PARAGRAPH FOR THE PERIOD
 COMMENCING ON SEPTEMBER FIRST, TWO THOUSAND TWENTY-THREE AND  ENDING  ON
 NOVEMBER THIRTIETH, TWO THOUSAND TWENTY-FIVE.  ANY SUCH LOCAL LAW, ORDI-
 NANCE, OR RESOLUTION SHALL ALSO BE SUBJECT TO THE PROVISIONS OF SUBDIVI-
 SIONS (D) AND (E) OF THIS SECTION.
   § 5. Section 1210-E of the tax law is REPEALED.
 S. 8009                            51                            A. 9009
 
   §  6.  Subdivisions  (d), (e), (f), (g), (h), (i), (j), (k), (l), (m),
 (n), (o), (p), (q), (r), (s), (t), (u), (v), (w), (x), (y), (z),  (z-1),
 (aa), (bb), (cc), (dd), (ee), (ff), (gg), (hh), (ii) and (jj) of section
 1224 of the tax law are REPEALED.
   § 7. Section 1224 of the tax law is amended by adding three new subdi-
 visions (d), (e), and (f) to read as follows:
   (D)  FOR  PURPOSES  OF THIS SECTION, THE TERM "PRIOR RIGHT" SHALL MEAN
 THE PREFERENTIAL RIGHT TO IMPOSE ANY TAX DESCRIBED  IN  SECTIONS  TWELVE
 HUNDRED  TWO  AND TWELVE HUNDRED THREE, OR TWELVE HUNDRED TEN AND TWELVE
 HUNDRED ELEVEN, OF THIS ARTICLE AND THEREBY TO PREEMPT SUCH TAX  AND  TO
 PRECLUDE  ANOTHER  MUNICIPAL CORPORATION FROM IMPOSING OR CONTINUING THE
 IMPOSITION OF SUCH TAX TO THE  EXTENT  THAT  SUCH  RIGHT  IS  EXERCISED.
 HOWEVER, THE RIGHT OF PREEMPTION SHALL ONLY APPLY WITHIN THE TERRITORIAL
 LIMITS OF THE TAXING JURISDICTION HAVING THE RIGHT OF PREEMPTION.
   (E)  EACH  OF  THE  FOLLOWING  COUNTIES AND CITIES SHALL HAVE THE SOLE
 RIGHT TO IMPOSE THE FOLLOWING ADDITIONAL RATE OF SALES AND  COMPENSATING
 USE TAXES IN EXCESS OF THREE PERCENT THAT SUCH COUNTY OR CITY IS AUTHOR-
 IZED  TO  IMPOSE  PURSUANT TO CLAUSE TWO OF SUBPARAGRAPH (I) OR SUBPARA-
 GRAPH (II) OF THE OPENING PARAGRAPH OF SECTION  TWELVE  HUNDRED  TEN  OF
 THIS  ARTICLE.  SUCH  ADDITIONAL  RATES  OF  TAX SHALL NOT BE SUBJECT TO
 PREEMPTION.
   (1) COUNTIES:
   (A) ONE PERCENT - ALBANY, BROOME,  CATTARAUGUS,  CHAUTAUQUA,  CHEMUNG,
 CHENANGO,  CLINTON, COLUMBIA, DELAWARE, DUTCHESS, ESSEX, FRANKLIN, GENE-
 SEE, GREENE, HAMILTON, JEFFERSON, LEWIS, LIVINGSTON, MONROE, MONTGOMERY,
 NIAGARA, ONONDAGA, ONTARIO, ORANGE, ORLEANS, OSWEGO, PUTNAM, RENSSELAER,
 ROCKLAND, ST.   LAWRENCE, SARATOGA,  SCHENECTADY,  SCHOHARIE,  SCHUYLER,
 SENECA,  STEUBEN,  SUFFOLK,  SULLIVAN,  TIOGA, TOMPKINS, ULSTER, WARREN,
 WASHINGTON, WAYNE, WESTCHESTER, WYOMING, YATES;
   (B) ONE AND ONE-QUARTER PERCENT - HERKIMER, NASSAU;
   (C) ONE AND ONE-HALF PERCENT - ALLEGANY;
   (D) ONE AND THREE-QUARTERS PERCENT - ERIE, ONEIDA.
   (E) PROVIDED, HOWEVER, THAT THE COUNTY OF WESTCHESTER SHALL  HAVE  THE
 SOLE  RIGHT  TO IMPOSE THE ADDITIONAL ONE PERCENT RATE OF TAX WHICH SUCH
 COUNTY IS AUTHORIZED TO IMPOSE PURSUANT TO THE AUTHORITY OF  CLAUSE  TWO
 OF  SUBPARAGRAPH  (I) OF THE OPENING PARAGRAPH OF SECTION TWELVE HUNDRED
 TEN OF THIS ARTICLE IN THE AREA OF THE  COUNTY  OUTSIDE  THE  CITIES  OF
 MOUNT VERNON, NEW ROCHELLE, WHITE PLAINS, AND YONKERS.
   (2) CITIES:
   (A) ONE-QUARTER OF ONE PERCENT - ROME;
   (B) ONE-HALF OF ONE PERCENT - NONE;
   (C) THREE-QUARTERS OF ONE PERCENT - NONE;
   (D) ONE PERCENT - MOUNT VERNON, NEW ROCHELLE, WHITE PLAINS;
   (E) ONE AND ONE-QUARTER PERCENT - NONE;
   (F) ONE AND ONE-HALF PERCENT - YONKERS.
   (F)  EACH  OF  THE FOLLOWING CITIES IS AUTHORIZED TO PREEMPT THE TAXES
 IMPOSED BY THE COUNTY IN WHICH IT IS LOCATED PURSUANT TO  THE  AUTHORITY
 OF SECTION TWELVE HUNDRED TEN OF THIS ARTICLE, TO THE EXTENT OF ONE-HALF
 THE  MAXIMUM  AGGREGATE RATE AUTHORIZED UNDER SECTION TWELVE HUNDRED TEN
 OF THIS ARTICLE, INCLUDING THE ADDITIONAL RATE THAT THE COUNTY IN  WHICH
 SUCH  CITY IS LOCATED IS AUTHORIZED TO IMPOSE: AUBURN, IN CAYUGA COUNTY;
 CORTLAND, IN CORTLAND COUNTY;  GLOVERSVILLE  AND  JOHNSTOWN,  IN  FULTON
 COUNTY;  ONEIDA, IN MADISON COUNTY; ONEONTA, IN OTSEGO COUNTY. AS OF THE
 DATE THIS SUBDIVISION TAKES EFFECT, ANY SUCH PREEMPTION BY SUCH  A  CITY
 IN EFFECT ON SUCH DATE SHALL CONTINUE IN FULL FORCE AND EFFECT UNTIL THE
 EFFECTIVE  DATE  OF  A  LOCAL  LAW,  ORDINANCE, OR RESOLUTION ADOPTED OR
 S. 8009                            52                            A. 9009
 
 AMENDED BY THE CITY TO CHANGE SUCH PREEMPTION. ANY PREEMPTION BY SUCH  A
 CITY  PURSUANT TO THIS SUBDIVISION THAT TAKES EFFECT AFTER THE EFFECTIVE
 DATE OF THIS SUBDIVISION SHALL BE SUBJECT TO THE NOTICE REQUIREMENTS  IN
 SECTION  TWELVE  HUNDRED  TWENTY-THREE  OF THIS SUBPART AND TO THE OTHER
 REQUIREMENTS OF THIS ARTICLE.
   § 8. Section 1262-g of the tax law, as amended by section 2 of item DD
 of subpart C of part XXX of chapter 58 of the laws of 2020,  is  amended
 to read as follows:
   § 1262-g. Oneida county allocation and distribution of net collections
 from  the  additional [one percent rate] RATES of sales and compensating
 use taxes. Notwithstanding any contrary provision of  law,  (A)  if  the
 county  of  Oneida  imposes  sales  and compensating use taxes at a rate
 which is one percent additional to the three percent rate authorized  by
 section  twelve  hundred  ten  of  this  article,  as authorized by such
 section, [(a)] (I) where a city in such county imposes tax  pursuant  to
 the  authority  of  subdivision  (a) of such section twelve hundred ten,
 such county shall allocate, distribute and pay in cash quarterly to such
 city one-half of the net collections attributable to such additional one
 percent rate of the county's taxes collected in such city's  boundaries;
 [(b)]  (II)  where a city in such county does not impose tax pursuant to
 the authority of such subdivision (a) of  such  section  twelve  hundred
 ten, such county shall allocate, distribute and pay in cash quarterly to
 such city not so imposing tax a portion of the net collections attribut-
 able  to  one-half  of  the  county's additional one percent rate of tax
 calculated on the basis of the ratio which such city's population  bears
 to  the  county's  total  population,  such populations as determined in
 accordance with the latest decennial federal  census  or  special  popu-
 lation  census taken pursuant to section twenty of the general municipal
 law completed and published prior to the end of the  quarter  for  which
 the  allocation  is  made,  which special census must include the entire
 area of the county; [and (c)] provided, however, that such county  shall
 dedicate  the  first  one  million  five hundred thousand dollars of net
 collections attributable to such additional  one  percent  rate  of  tax
 received by such county after the county receives in the aggregate eigh-
 teen  million five hundred thousand dollars of net collections from such
 additional one percent rate of tax [imposed  for  any  of  the  periods:
 September  first,  two  thousand twelve through August thirty-first, two
 thousand thirteen; September first, two thousand thirteen through August
 thirty-first, two thousand fourteen; and September first,  two  thousand
 fourteen  through  August  thirty-first, two thousand fifteen; September
 first, two thousand fifteen through August  thirty-first,  two  thousand
 sixteen;  and September first, two thousand sixteen through August thir-
 ty-first, two thousand seventeen; September first, two  thousand  seven-
 teen  through  August  thirty-first,  two  thousand  eighteen; September
 first, two thousand eighteen through August thirty-first,  two  thousand
 twenty;  and September first, two thousand twenty through August thirty-
 first, two thousand twenty-three,] to an  allocation  on  a  per  capita
 basis,  utilizing  figures  from  the latest decennial federal census or
 special population census taken pursuant to section twenty of the gener-
 al municipal law, completed and published prior to the end of  the  year
 for which such allocation is made, which special census must include the
 entire  area  of  such county, to be allocated and distributed among the
 towns of Oneida county by appropriation of  its  board  of  legislators;
 provided,  further,  that  nothing  herein  shall  require such board of
 legislators to make any such appropriation until it has been notified by
 any town by appropriate resolution and, in any case  where  there  is  a
 S. 8009                            53                            A. 9009
 
 village  wholly  or  partly located within a town, a resolution of every
 such village, embodying the  agreement  of  such  town  and  village  or
 villages upon the amount of such appropriation to be distributed to such
 village  or villages out of the allocation to the town or towns in which
 it is located. (B) IF THE COUNTY OF ONEIDA IMPOSES SALES AND  COMPENSAT-
 ING  USE  TAXES  AT A RATE WHICH IS ONE AND THREE-QUARTERS PERCENT ADDI-
 TIONAL TO THE THREE PERCENT RATE AUTHORIZED BY  SECTION  TWELVE  HUNDRED
 TEN  OF  THIS  ARTICLE, AS AUTHORIZED PURSUANT TO CLAUSE TWO OF SUBPARA-
 GRAPH (I) OF THE OPENING PARAGRAPH OF SECTION TWELVE HUNDRED TEN OF THIS
 ARTICLE, NET COLLECTIONS ATTRIBUTABLE TO THE  ADDITIONAL  THREE-QUARTERS
 PERCENT  OF  SUCH  ADDITIONAL  RATE  SHALL NOT BE SUBJECT TO ANY REVENUE
 DISTRIBUTION AGREEMENT ENTERED INTO BY THE COUNTY AND THE CITIES IN  THE
 COUNTY  PURSUANT  TO  THE AUTHORITY OF SUBDIVISION (C) OF SECTION TWELVE
 HUNDRED SIXTY-TWO OF THIS PART.
   § 9. The opening paragraph of section 1262-r of the tax law, as  added
 by chapter 37 of the laws of 2006, is amended to read as follows:
   (1)  NOTWITHSTANDING  ANY  CONTRARY PROVISION OF LAW, IF THE COUNTY OF
 ONTARIO IMPOSES THE ADDITIONAL ONE-EIGHTH OF ONE PERCENT AND  THE  ADDI-
 TIONAL  THREE-EIGHTHS OF ONE PERCENT RATES OF TAX AUTHORIZED PURSUANT TO
 CLAUSE TWO OF SUBPARAGRAPH (I)  OF  THE  OPENING  PARAGRAPH  OF  SECTION
 TWELVE  HUNDRED TEN OF THIS ARTICLE, NET COLLECTIONS FROM THE SUCH ADDI-
 TIONAL THREE-EIGHTHS OF ONE PERCENT RATE OF  SUCH  TAXES  SHALL  BE  SET
 ASIDE  FOR  COUNTY  PURPOSES  AND  SHALL NOT BE SUBJECT TO ANY AGREEMENT
 ENTERED INTO BY THE COUNTY AND THE CITIES IN THE COUNTY PURSUANT TO  THE
 AUTHORITY OF SUBDIVISION (C) OF SECTION TWELVE HUNDRED SIXTY-TWO OF THIS
 PART OR THIS SECTION.
   (2)  Notwithstanding  the  provisions  of  subdivision  (c) of section
 twelve hundred sixty-two of this part to the contrary, if the cities  of
 Canandaigua  and Geneva in the county of Ontario do not impose sales and
 compensating use taxes pursuant  to  the  authority  of  section  twelve
 hundred  ten  of  this  article and such cities and county enter into an
 agreement pursuant to the authority of subdivision (c) of section twelve
 hundred sixty-two of this part to be effective March first, two thousand
 six, such agreement may provide that:
   § 10. The tax law is amended by adding a new section 1262-v to read as
 follows:
   § 1262-V. DISPOSITION OF NET COLLECTIONS FROM THE ADDITIONAL  RATE  OF
 SALES  AND  COMPENSATING  USE TAX IN CLINTON COUNTY. NOTWITHSTANDING ANY
 CONTRARY PROVISION OF LAW, IF THE COUNTY OF CLINTON  IMPOSES  THE  ADDI-
 TIONAL  ONE  PERCENT RATE OF SALES AND COMPENSATING USE TAXES AUTHORIZED
 PURSUANT TO CLAUSE TWO OF SUBPARAGRAPH (I) OF THE OPENING  PARAGRAPH  OF
 SECTION  TWELVE  HUNDRED  TEN OF THIS ARTICLE, NET COLLECTIONS FROM SUCH
 ADDITIONAL RATE SHALL BE PAID TO THE COUNTY AND  THE  COUNTY  SHALL  SET
 ASIDE SUCH NET COLLECTIONS AND USE THEM SOLELY FOR COUNTY PURPOSES. SUCH
 NET  COLLECTIONS SHALL NOT BE SUBJECT TO ANY REVENUE DISTRIBUTION AGREE-
 MENT ENTERED INTO BY THE COUNTY AND THE CITY IN THE COUNTY  PURSUANT  TO
 THE  AUTHORITY OF SUBDIVISION (C) OF SECTION TWELVE HUNDRED SIXTY-TWO OF
 THIS PART.
   § 11. Section 1262-s of the tax law, as amended by section 3 of item U
 of subpart C of part XXX of chapter 58 of the laws of 2020,  is  amended
 to read as follows:
   § 1262-s. Disposition of net collections from the additional one-quar-
 ter of one percent rate of sales and compensating use taxes in the coun-
 ty  of  Herkimer.  Notwithstanding any contrary provision of law, if the
 county of Herkimer imposes [the additional] SALES AND  COMPENSATING  USE
 TAX  AT  A  RATE  THAT  IS ONE AND one-quarter [of one] percent [rate of
 S. 8009                            54                            A. 9009

 sales and compensating use taxes] ADDITIONAL TO THE THREE  PERCENT  RATE
 AUTHORIZED  BY  SECTION TWELVE HUNDRED TEN OF THIS ARTICLE AS authorized
 by [section twelve hundred ten-E] CLAUSE TWO OF SUBPARAGRAPH (I) OF  THE
 OPENING PARAGRAPH OF SECTION TWELVE HUNDRED TEN of this article [for all
 or  any  portion  of  the  period beginning December first, two thousand
 seven and ending November thirtieth,  two  thousand  twenty-three],  the
 county  shall  use  all  net collections [from such] ATTRIBUTABLE TO THE
 additional one-quarter [of one] percent OF SUCH ADDITIONAL rate  to  pay
 the  county's  expenses  for the construction of additional correctional
 facilities. The net collections from [the] SUCH  ADDITIONAL  ONE-QUARTER
 PERCENT  OF  SUCH  additional  rate  [imposed pursuant to section twelve
 hundred ten-E of this article] shall be deposited in a special  fund  to
 be  created  by  such county separate and apart from any other funds and
 accounts of the county. Any and all remaining net collections from  such
 additional  tax, after the expenses of such construction are paid, shall
 be deposited by the county of Herkimer in the general fund of such coun-
 ty for any county purpose.
   § 12. The tax law is amended by adding a new section 1265 to  read  as
 follows:
   §  1265. REFERENCES TO CERTAIN PROVISIONS AUTHORIZING ADDITIONAL RATES
 OR TO EXPIRATIONS OF A PERIOD. NOTWITHSTANDING ANY PROVISION OF  LAW  TO
 THE  CONTRARY: (A) ANY REFERENCE IN ANY SECTION OF THIS CHAPTER OR OTHER
 LAW, OR IN ANY LOCAL LAW, ORDINANCE, OR RESOLUTION ADOPTED  PURSUANT  TO
 THE AUTHORITY OF THIS ARTICLE, TO NET COLLECTIONS OR REVENUES FROM A TAX
 IMPOSED BY A COUNTY OR CITY PURSUANT TO THE AUTHORITY OF A CLAUSE, OR TO
 A  SUBCLAUSE  OF  A  CLAUSE,  OF SUBPARAGRAPH (I) OR (II) OF THE OPENING
 PARAGRAPH OF SECTION TWELVE HUNDRED TEN  OF  THIS  ARTICLE  REPEALED  BY
 SECTION  ONE  OR  TWO OF A PART OF A CHAPTER OF THE LAWS OF TWO THOUSAND
 TWENTY-TWO THAT ADDED THIS SECTION OR PURSUANT TO SECTION TWELVE HUNDRED
 TEN-E OF THIS ARTICLE REPEALED BY SECTION FIVE OF  SUCH  PART  SHALL  BE
 DEEMED  TO  BE  A  REFERENCE  TO  NET COLLECTIONS OR REVENUES FROM A TAX
 IMPOSED BY THAT COUNTY OR CITY PURSUANT TO THE AUTHORITY OF  THE  EQUIV-
 ALENT  PROVISION  OF  CLAUSE  TWO OF SUBPARAGRAPH (I) OR TO SUBPARAGRAPH
 (II) OF THE OPENING PARAGRAPH OF SUCH  SECTION  TWELVE  HUNDRED  TEN  AS
 ADDED  BY  SUCH SECTION ONE OR TWO OF SUCH PART OF A CHAPTER OF THE LAWS
 OF TWO THOUSAND TWENTY-TWO; (B) ANY REFERENCE IN THIS CHAPTER OR IN  ANY
 OTHER  LAW  RELATING  TO  THE  EXPIRATION  OF A PROVISION CONCERNING THE
 DISTRIBUTION OF REVENUE FROM THE TAXES AUTHORIZED TO BE IMPOSED  BY  THE
 OPENING PARAGRAPH OF SECTION TWELVE HUNDRED TEN OF THIS ARTICLE SHALL BE
 DISREGARDED,  AND  SUCH  PROVISION SHALL CONTINUE IN EFFECT UNLESS LATER
 AMENDED OR REPEALED.
   § 13. This act shall take effect immediately.
 
                                  PART V
 
   Section 1.  Subdivision (c) of section 1101 of the tax law,  as  added
 by  chapter  93 of the laws of 1965, paragraphs 2, 3, 4 and 6 as amended
 by section 2 and paragraph 8 as added by section 3 of part AA of chapter
 57 of the laws of 2010, and paragraph 5 as amended by chapter 575 of the
 laws of 1965, is amended to read as follows:
   (c) When used in this article for the  purposes  of  the  tax  imposed
 under  subdivision  (e)  of section eleven hundred five OF THIS ARTICLE,
 the following terms shall mean:
   (1) Hotel. A building or portion of it which  is  regularly  used  and
 kept  open  as such for the lodging of guests. The term "hotel" includes
 S. 8009                            55                            A. 9009
 
 an apartment hotel, a motel, boarding house  or  club,  whether  or  not
 meals are served.
   (2)  Occupancy.  The  use  or  possession,  or the right to the use or
 possession, of any room in a hotel OR VACATION RENTAL.   "Right  to  the
 use or possession" includes the rights of a room remarketer as described
 in paragraph eight of this subdivision.
   (3)  Occupant.  A person who, for a consideration, uses, possesses, or
 has the right to use or possess, any room in a hotel OR VACATION  RENTAL
 under  any lease, concession, permit, right of access, license to use or
 other agreement, or otherwise. "Right to use or  possess"  includes  the
 rights  of  a  room  remarketer  as described in paragraph eight of this
 subdivision.
   (4) Operator. Any person operating a hotel OR VACATION RENTAL.    Such
 term  shall  include a room remarketer and such room remarketer shall be
 deemed to operate a hotel, or portion thereof,  with  respect  to  which
 such person has the rights of a room remarketer.
   (5)  Permanent  resident. Any occupant of any room or rooms in a hotel
 OR VACATION RENTAL for at least ninety consecutive days shall be consid-
 ered a permanent resident with regard to the period of such occupancy.
   (6) Rent. The consideration  received  for  occupancy,  including  any
 service or other charge or amount required to be paid as a condition for
 occupancy,  valued  in money, whether received in money or otherwise and
 whether received by the operator or a room remarketer or another  person
 on behalf of either of them.
   (7)  Room.  Any  room or rooms of any kind in any part or portion of a
 hotel OR VACATION RENTAL, which is available for  or  let  out  for  any
 purpose other than a place of assembly.
   (8)  Room remarketer. A person who reserves, arranges for, conveys, or
 furnishes occupancy, whether directly or indirectly, to an occupant  for
 rent in A HOTEL FOR an amount determined by the room remarketer, direct-
 ly or indirectly, whether pursuant to a written or other agreement. Such
 person's  ability  or  authority  to  reserve,  arrange  for, convey, or
 furnish occupancy, directly or indirectly, and to determine rent  there-
 for,  shall  be  the "rights of a room remarketer". A room remarketer is
 not a permanent resident with respect to a room for  which  such  person
 has the rights of a room remarketer.
   (9)  VACATION RENTAL. A BUILDING OR PORTION OF IT THAT IS USED FOR THE
 LODGING OF GUESTS. THE TERM  "VACATION  RENTAL"  INCLUDES  A  HOUSE,  AN
 APARTMENT,  A  CONDOMINIUM, A COOPERATIVE UNIT, A CABIN, A COTTAGE, OR A
 BUNGALOW, OR ONE OR MORE ROOMS THEREIN,  WHERE  SLEEPING  ACCOMMODATIONS
 ARE  PROVIDED FOR THE LODGING OF PAYING OCCUPANTS, THE TYPICAL OCCUPANTS
 ARE TRANSIENTS OR TRAVELERS, AND THE RELATIONSHIP BETWEEN  THE  OPERATOR
 AND  OCCUPANT  IS NOT THAT OF A LANDLORD AND TENANT. IT IS NOT NECESSARY
 THAT MEALS ARE SERVED. A BUILDING OR PORTION OF A BUILDING  MAY  QUALIFY
 AS A VACATION RENTAL WHETHER OR NOT AMENITIES, INCLUDING BUT NOT LIMITED
 TO  DAILY  HOUSEKEEPING SERVICES, CONCIERGE SERVICES, OR LINEN SERVICES,
 ARE PROVIDED.
   (10) (I) VACATION RENTAL MARKETPLACE PROVIDER. A PERSON WHO,  PURSUANT
 TO  AN  AGREEMENT WITH AN OPERATOR, FACILITATES THE OCCUPANCY OF A VACA-
 TION RENTAL BY SUCH OPERATOR OR OPERATORS.  A  PERSON  "FACILITATES  THE
 OCCUPANCY  OF A VACATION RENTAL" FOR PURPOSES OF THIS PARAGRAPH WHEN THE
 PERSON MEETS BOTH OF THE FOLLOWING CONDITIONS: (A) SUCH PERSON  PROVIDES
 THE  FORUM  IN  WHICH,  OR  BY MEANS OF WHICH, THE SALE OF THE OCCUPANCY
 TAKES PLACE OR THE OFFER OF SUCH SALE IS  ACCEPTED,  INCLUDING  A  SHOP,
 STORE, OR BOOTH, AN INTERNET WEBSITE, CATALOG, OR SIMILAR FORUM; AND (B)
 SUCH  PERSON  OR AN AFFILIATE OF SUCH PERSON COLLECTS THE RENT PAID BY A
 S. 8009                            56                            A. 9009
 
 CUSTOMER TO AN OPERATOR FOR THE  OCCUPANCY  OF  A  VACATION  RENTAL,  OR
 CONTRACTS WITH A THIRD PARTY TO COLLECT SUCH RENT.
   (II)  FOR  THE  PURPOSES  OF  THIS  ARTICLE, THE TERM "VACATION RENTAL
 MARKETPLACE PROVIDER" SHALL NOT INCLUDE A "ROOM REMARKETER"  AS  DEFINED
 IN  PARAGRAPH EIGHT OF THIS SUBDIVISION. FOR PURPOSES OF THIS PARAGRAPH,
 PERSONS ARE AFFILIATED IF ONE PERSON HAS AN OWNERSHIP INTEREST  OF  MORE
 THAN  FIVE  PERCENT, WHETHER DIRECT OR INDIRECT, IN ANOTHER, OR WHERE AN
 OWNERSHIP INTEREST OF MORE THAN FIVE PERCENT, WHETHER  DIRECT  OR  INDI-
 RECT, IS HELD IN EACH OF SUCH PERSONS BY ANOTHER PERSON OR BY A GROUP OF
 OTHER  PERSONS  THAT  ARE AFFILIATED PERSONS WITH RESPECT TO EACH OTHER.
 THE TERM "VACATION RENTAL MARKETPLACE  PROVIDER"  SHALL  NOT  INCLUDE  A
 "REAL  ESTATE  BROKER"  AS  LICENSED  UNDER ARTICLE TWELVE-A OF THE REAL
 PROPERTY LAW.
   § 2. Subdivision (a) of section 1104 of the tax law, as added by chap-
 ter 3 of the laws of 2004, is amended to read as follows:
   (a) Imposition. In addition to any other fee or tax  imposed  by  this
 article  or  any other law, on and after April first, two thousand five,
 there is hereby imposed within the territorial limits of a city  with  a
 population  of  a  million or more and there shall be paid a unit fee on
 every occupancy of a unit in a hotel OR VACATION RENTAL in such city  at
 the  rate  of  one  dollar and fifty cents per unit per day, except that
 such unit fee shall not be imposed upon (1)  occupancy  by  a  permanent
 resident  or (2) where the rent per unit is not more than at the rate of
 two dollars per day.
   § 3. Paragraph 1 of subdivision (e) of section 1105 of the tax law, as
 amended by section 1 of part Q of chapter 59 of the  laws  of  2012,  is
 amended to read as follows:
   (1)  The  rent  for  every occupancy of a room or rooms in a hotel AND
 VACATION RENTAL in this state, except that the tax shall not be  imposed
 upon  (i)  a permanent resident, or (ii) where the rent is not more than
 at the rate of two dollars per day.
   § 4.  Subdivisions 1 and 2 of section 1131 of the tax law, subdivision
 1 as amended by section 2 of part G of chapter 59 of the  laws  of  2019
 and  subdivision  2  as  added  by  chapter  93 of the laws of 1965, are
 amended to read as follows:
   (1) "Persons required to collect tax" or "person required  to  collect
 any tax imposed by this article" shall include: every vendor of tangible
 personal  property  or  services;  every recipient of amusement charges;
 every operator of a hotel OR  VACATION  RENTAL;  EVERY  VACATION  RENTAL
 MARKETPLACE  PROVIDER  WITH RESPECT TO THE RENT FOR EVERY OCCUPANCY OF A
 VACATION RENTAL IT FACILITATES AS DESCRIBED IN PARAGRAPH TEN OF SUBDIVI-
 SION (C) OF SECTION ELEVEN  HUNDRED  ONE  OF  THIS  ARTICLE;  and  every
 marketplace provider with respect to sales of tangible personal property
 it  facilitates  as  described  in  paragraph  one of subdivision (e) of
 section eleven hundred one  of  this  article.  Said  terms  shall  also
 include  any  officer,  director  or  employee  of a corporation or of a
 dissolved corporation, any employee of a partnership,  any  employee  or
 manager of a limited liability company, or any employee of an individual
 proprietorship  who  as  such  officer, director, employee or manager is
 under a duty to act for such corporation, partnership, limited liability
 company or individual proprietorship in complying with  any  requirement
 of  this  article,  or  has so acted; and any member of a partnership or
 limited liability company.  Provided, however, that any person who is  a
 vendor  solely  by  reason  of  clause (D) or (E) of subparagraph (i) of
 paragraph [(8)] EIGHT of subdivision (b) of section eleven  hundred  one
 of  this  article  shall  not  be  a "person required to collect any tax
 S. 8009                            57                            A. 9009
 
 imposed by this article" until twenty days after the date by which  such
 person  is  required  to  file a certificate of registration pursuant to
 section eleven hundred thirty-four of this part. SUCH  TERMS  SHALL  NOT
 INCLUDE  AN  OPERATOR  OF A VACATION RENTAL WHO RENTS OUT THE OPERATOR'S
 OWN PROPERTY FOR THREE DAYS OR FEWER IN A CALENDAR YEAR AND DOES NOT USE
 A VACATION RENTAL MARKETPLACE PROVIDER TO FACILITATE SUCH RENTAL.
   (2) "Customer" shall include: every  purchaser  of  tangible  personal
 property  or  services; every patron paying or liable for the payment of
 any amusement charge; and every occupant of a room or rooms in  a  hotel
 OR VACATION RENTAL.
   §  5.  Section 1132 of the tax law is amended by adding a new subdivi-
 sion (m) to read as follows:
   (M)(L) A VACATION RENTAL MARKETPLACE PROVIDER WITH RESPECT TO  A  SALE
 FOR  EVERY OCCUPANCY OF A VACATION RENTAL IT FACILITATES: (A) SHALL HAVE
 ALL THE OBLIGATIONS AND RIGHTS OF A VENDOR UNDER THIS ARTICLE AND  ARTI-
 CLE TWENTY-NINE OF THIS CHAPTER AND UNDER ANY REGULATIONS ADOPTED PURSU-
 ANT THERETO, INCLUDING, BUT NOT LIMITED TO, THE DUTY TO OBTAIN A CERTIF-
 ICATE  OF  AUTHORITY,  TO  COLLECT TAX, FILE RETURNS, REMIT TAX, AND THE
 RIGHT TO ACCEPT A CERTIFICATE OR OTHER  DOCUMENTATION  FROM  A  CUSTOMER
 SUBSTANTIATING  AN EXEMPTION OR EXCLUSION FROM TAX, THE RIGHT TO RECEIVE
 THE REFUND AUTHORIZED BY SUBDIVISION (E) OF THIS SECTION AND THE  CREDIT
 ALLOWED  BY  SUBDIVISION  (F)  OF SECTION ELEVEN HUNDRED THIRTY-SEVEN OF
 THIS PART SUBJECT TO THE PROVISIONS OF SUCH SUBDIVISIONS; AND (B)  SHALL
 KEEP SUCH RECORDS AND INFORMATION AND COOPERATE WITH THE COMMISSIONER TO
 ENSURE THE PROPER COLLECTION AND REMITTANCE OF TAX IMPOSED, COLLECTED OR
 REQUIRED  TO  BE COLLECTED UNDER THIS ARTICLE AND ARTICLE TWENTY-NINE OF
 THIS CHAPTER.
   (2) AN OPERATOR IS RELIEVED FROM THE DUTY TO COLLECT TAX IN REGARD  TO
 A  PARTICULAR RENT FOR THE OCCUPANCY OF A VACATION RENTAL SUBJECT TO TAX
 UNDER SUBDIVISION (E) OF SECTION ELEVEN HUNDRED FIVE OF THIS ARTICLE AND
 SHALL NOT INCLUDE THE RENT FROM SUCH OCCUPANCY IN ITS TAXABLE SALES  FOR
 PURPOSES OF SECTION ELEVEN HUNDRED THIRTY-SIX OF THIS PART IF, IN REGARD
 TO SUCH OCCUPANCY: (A) THE OPERATOR OF THE VACATION RENTAL CAN SHOW THAT
 SUCH OCCUPANCY WAS FACILITATED BY A VACATION RENTAL MARKETPLACE PROVIDER
 FROM  WHOM SUCH OPERATOR HAS RECEIVED IN GOOD FAITH A PROPERLY COMPLETED
 CERTIFICATE OF COLLECTION IN A  FORM  PRESCRIBED  BY  THE  COMMISSIONER,
 CERTIFYING  THAT  THE VACATION RENTAL MARKETPLACE PROVIDER IS REGISTERED
 TO COLLECT SALES TAX AND WILL COLLECT SALES TAX ON ALL TAXABLE SALES  OF
 OCCUPANCY  OF A VACATION RENTAL BY THE OPERATOR FACILITATED BY THE VACA-
 TION RENTAL MARKETPLACE PROVIDER, AND WITH SUCH OTHER INFORMATION AS THE
 COMMISSIONER MAY PRESCRIBE; AND (B) ANY FAILURE OF THE  VACATION  RENTAL
 MARKETPLACE  PROVIDER  TO  COLLECT THE PROPER AMOUNT OF TAX IN REGARD TO
 SUCH SALE WAS NOT THE RESULT OF SUCH  OPERATOR  PROVIDING  THE  VACATION
 RENTAL  MARKETPLACE  PROVIDER WITH INCORRECT INFORMATION. THIS PROVISION
 SHALL BE ADMINISTERED IN A MANNER CONSISTENT WITH  SUBPARAGRAPH  (I)  OF
 PARAGRAPH  ONE OF SUBDIVISION (C) OF THIS SECTION AS IF A CERTIFICATE OF
 COLLECTION WERE A RESALE OR EXEMPTION CERTIFICATE FOR PURPOSES  OF  SUCH
 SUBPARAGRAPH,  INCLUDING WITH REGARD TO THE COMPLETENESS OF SUCH CERTIF-
 ICATE OF COLLECTION AND THE TIMING OF ITS ACCEPTANCE  BY  THE  OPERATOR.
 PROVIDED  THAT,  WITH  REGARD  TO  ANY  SALES OF OCCUPANCY OF A VACATION
 RENTAL BY AN OPERATOR THAT ARE FACILITATED BY A VACATION RENTAL  MARKET-
 PLACE  PROVIDER  WHO IS AFFILIATED WITH SUCH OPERATOR WITHIN THE MEANING
 OF PARAGRAPH TEN OF SUBDIVISION (C) OF SECTION  ELEVEN  HUNDRED  ONE  OF
 THIS  ARTICLE,  THE  OPERATOR SHALL BE DEEMED LIABLE AS A PERSON UNDER A
 DUTY TO ACT FOR SUCH VACATION RENTAL MARKETPLACE PROVIDER  FOR  PURPOSES
 OF SUBDIVISION ONE OF SECTION ELEVEN HUNDRED THIRTY-ONE OF THIS PART.
 S. 8009                            58                            A. 9009

   (3)  THE  COMMISSIONER  MAY,  AT  HIS OR HER DISCRETION: (A) DEVELOP A
 STANDARD PROVISION, OR APPROVE  A  PROVISION  DEVELOPED  BY  A  VACATION
 RENTAL  MARKETPLACE  PROVIDER,  IN WHICH THE VACATION RENTAL MARKETPLACE
 PROVIDER OBLIGATES ITSELF TO COLLECT THE TAX ON BEHALF OF ALL  OPERATORS
 FOR  WHOM  THE VACATION RENTAL MARKETPLACE PROVIDER FACILITATES SALES OF
 OCCUPANCY OF A VACATION RENTAL, WITH RESPECT TO ALL SALES THAT IT FACIL-
 ITATES FOR SUCH OPERATORS WHERE THE RENTAL OCCURS IN THE STATE; AND  (B)
 PROVIDE  BY REGULATION OR OTHERWISE THAT THE INCLUSION OF SUCH PROVISION
 IN THE PUBLICLY-AVAILABLE AGREEMENT BETWEEN THE VACATION RENTAL  MARKET-
 PLACE  PROVIDER  AND OPERATOR WILL HAVE THE SAME EFFECT AS AN OPERATOR'S
 ACCEPTANCE OF A CERTIFICATE OF  COLLECTION  FROM  SUCH  VACATION  RENTAL
 MARKETPLACE PROVIDER UNDER PARAGRAPH TWO OF THIS SUBDIVISION.
   §  6.  Section 1133 of the tax law is amended by adding a new subdivi-
 sion (g) to read as follows:
   (G) A VACATION RENTAL MARKETPLACE PROVIDER IS  RELIEVED  OF  LIABILITY
 UNDER  THIS  SECTION FOR FAILURE TO COLLECT THE CORRECT AMOUNT OF TAX TO
 THE EXTENT THAT THE VACATION RENTAL MARKETPLACE PROVIDER CAN  SHOW  THAT
 THE  ERROR WAS DUE TO INCORRECT OR INSUFFICIENT INFORMATION GIVEN TO THE
 VACATION RENTAL MARKETPLACE PROVIDER BY THE OPERATOR. PROVIDED, HOWEVER,
 THIS SUBDIVISION SHALL NOT APPLY IF THE  OPERATOR  AND  VACATION  RENTAL
 MARKETPLACE  PROVIDER ARE AFFILIATED WITHIN THE MEANING OF PARAGRAPH TEN
 OF SUBDIVISION (C) OF SECTION ELEVEN HUNDRED ONE OF THIS ARTICLE.
   § 7. Subdivision (a) of section 1134 of the  tax  law  is  amended  by
 adding a new paragraph 7 to read as follows:
   (7)  AN OPERATOR OF A VACATION RENTAL, AS DEFINED IN PARAGRAPH NINE OF
 SUBDIVISION (C) OF SECTION  ELEVEN  HUNDRED  ONE  OF  THIS  ARTICLE,  IS
 RELIEVED  OF THE REQUIREMENT TO REGISTER IN PARAGRAPH ONE OF THIS SUBDI-
 VISION IF ITS SALES OF OCCUPANCY ARE WHOLLY FACILITATED BY ONE  OR  MORE
 VACATION  RENTAL  MARKETPLACE  PROVIDERS  FROM  WHOM  THE  OPERATOR  HAS
 RECEIVED IN GOOD FAITH  A  CERTIFICATE  OF  COLLECTION  THAT  MEETS  THE
 REQUIREMENTS  SET  FORTH  IN PARAGRAPH TWO OF SUBDIVISION (M) OF SECTION
 ELEVEN HUNDRED THIRTY-TWO OF THIS PART.
   § 8. Paragraph 4 of subdivision (a) of section 1136 of the tax law, as
 amended by section 5 of part G of chapter 59 of the  laws  of  2019,  is
 amended to read as follows:
   (4)  The  return of a vendor of tangible personal property or services
 shall show such vendor's receipts from sales and the number  of  gallons
 of any motor fuel or diesel motor fuel sold and also the aggregate value
 of tangible personal property and services and number of gallons of such
 fuels  sold by the vendor, the use of which is subject to tax under this
 article,  and  the  amount  of  tax  payable  thereon  pursuant  to  the
 provisions  of  section  eleven  hundred  thirty-seven of this part. The
 return of a recipient of amusement charges shall show all  such  charges
 and the amount of tax thereon, and the return of an operator required to
 collect  tax  on  rents shall show all rents received or charged and the
 amount of tax thereon. The return of a marketplace seller shall  exclude
 the  receipts from a sale of tangible personal property facilitated by a
 marketplace provider if, in regard to such  sale:  (A)  the  marketplace
 seller  has  timely  received in good faith a properly completed certif-
 icate of collection from the marketplace  provider  or  the  marketplace
 provider  has  included  a provision approved by the commissioner in the
 publicly-available agreement between the marketplace  provider  and  the
 marketplace  seller  as  described  in subdivision one of section eleven
 hundred thirty-two of this part, and (B) the information provided by the
 marketplace seller to  the  marketplace  provider  about  such  tangible
 personal  property  is accurate. THE RETURN OF AN OPERATOR SHALL EXCLUDE
 S. 8009                            59                            A. 9009
 
 THE RENT FROM OCCUPANCY OF A VACATION RENTAL FACILITATED BY  A  VACATION
 RENTAL MARKETPLACE PROVIDER IF, IN REGARD TO SUCH SALE: (A) THE VACATION
 RENTAL  OPERATOR  HAS TIMELY RECEIVED IN GOOD FAITH A PROPERLY COMPLETED
 CERTIFICATE  OF COLLECTION FROM THE VACATION RENTAL MARKETPLACE PROVIDER
 OR THE VACATION RENTAL MARKETPLACE PROVIDER  HAS  INCLUDED  A  PROVISION
 APPROVED BY THE COMMISSIONER IN THE PUBLICLY-AVAILABLE AGREEMENT BETWEEN
 THE  VACATION  RENTAL MARKETPLACE PROVIDER AND THE OPERATOR AS DESCRIBED
 IN SUBDIVISION (M) OF SECTION ELEVEN HUNDRED THIRTY-TWO  OF  THIS  PART,
 AND  (B) THE INFORMATION PROVIDED BY THE OPERATOR TO THE VACATION RENTAL
 MARKETPLACE PROVIDER ABOUT SUCH RENT AND SUCH OCCUPANCY IS ACCURATE.
   § 9. Subparagraph (B) of paragraph 3 of  subdivision  (a)  of  section
 1138  of  the tax law, as amended by chapter 456 of the laws of 1998, is
 amended to read as follows:
   (B) The liability, pursuant  to  subdivision  (a)  of  section  eleven
 hundred  thirty-three  of  this  article,  of  any  officer, director or
 employee of a corporation or  of  a  dissolved  corporation,  member  or
 employee  of  a  partnership or employee of an individual proprietorship
 who as such officer, director, employee or member is under a duty to act
 for  such  corporation,  partnership  or  individual  proprietorship  in
 complying  with  any  requirement  of  this article for the tax imposed,
 collected or required to be collected, or for the  tax  required  to  be
 paid  or paid over to the [tax commission] COMMISSIONER under this arti-
 cle, and the amount of such tax liability (whether or not  a  return  is
 filed  under  this  article,  whether  or  not such return when filed is
 incorrect or insufficient, or where the tax  shown  to  be  due  on  the
 return  filed  under this article has not been paid or has not been paid
 in full) shall be determined by the [tax commission] COMMISSIONER in the
 manner provided for in paragraphs one and two of this subdivision.  Such
 determination  shall  be  an assessment of the tax and liability for the
 tax with respect to such person unless such person, within  ninety  days
 after  the  giving  of  notice of such determination, shall apply to the
 division of tax appeals for a hearing.  If such determination is identi-
 cal to or arises out of a previously issued determination of tax of  the
 corporation,  dissolved  corporation, partnership or individual proprie-
 torship for which such person is under a duty  to  act,  an  application
 filed  with  the  division  of tax appeals on behalf of the corporation,
 dissolved corporation, partnership or individual proprietorship shall be
 deemed to include any and  all  subsequently  issued  personal  determi-
 nations  and a separate application to the division of tax appeals for a
 hearing shall not be required. The [tax  commission]  COMMISSIONER  may,
 nevertheless,  of [its] HIS OR HER own motion, redetermine such determi-
 nation of tax or liability for tax. Where the [tax  commission]  COMMIS-
 SIONER  determines  or redetermines that the amount of tax claimed to be
 due from a vendor of tangible personal property or services, a recipient
 of amusement charges, or an operator of a hotel OR  VACATION  RENTAL  is
 erroneous  or  excessive in whole or in part, [it] HE OR SHE shall rede-
 termine the amount of tax properly due from any such person as a  person
 required to collect tax with respect to such vendor, recipient, or oper-
 ator,  and  if such amount is less than the amount of tax for which such
 person would have been liable in the absence of  such  determination  or
 redetermination, [it] HE OR SHE shall reduce such liability accordingly.
 Furthermore,  the [tax commission] COMMISSIONER may, of [its] HIS OR HER
 own motion, abate on behalf of any such person,  any  part  of  the  tax
 determined  to  be  erroneous  or  excessive whether or not such tax had
 become finally and irrevocably fixed with respect to such person but  no
 claim  for  abatement may be filed by any such person. The provisions of
 S. 8009                            60                            A. 9009
 
 this paragraph shall not be construed to limit in any manner the  powers
 of  the attorney general under subdivision (a) of section eleven hundred
 forty-one OF THIS PART or the powers of the [tax commission] COMMISSION-
 ER  to issue a warrant under subdivision (b) of such section against any
 person whose liability has become finally and irrevocably fixed.
   § 10. Section 1142 of the tax law is amended by adding a new  subdivi-
 sion 16 to read as follows:
   16.  TO  PUBLISH A LIST ON THE DEPARTMENT'S WEBSITE OF VACATION RENTAL
 MARKETPLACE PROVIDERS WHOSE CERTIFICATES OF AUTHORITY HAVE BEEN  REVOKED
 AND, IF NECESSARY TO PROTECT SALES TAX REVENUE, PROVIDE BY REGULATION OR
 OTHERWISE  THAT  A  VACATION  RENTAL  OPERATOR  WILL  BE RELIEVED OF THE
 REQUIREMENT TO REGISTER AND THE DUTY TO COLLECT  TAX  ON  THE  RENT  FOR
 OCCUPANCY  OF A VACATION RENTAL FACILITATED BY A VACATION RENTAL MARKET-
 PLACE PROVIDER ONLY IF, IN ADDITION  TO  THE  CONDITIONS  PRESCRIBED  BY
 PARAGRAPH  TWO  OF  SUBDIVISION (M) OF SECTION ELEVEN HUNDRED THIRTY-TWO
 AND PARAGRAPH SIX OF SUBDIVISION (A) OF SECTION ELEVEN  HUNDRED  THIRTY-
 FOUR  OF  THIS PART BEING MET, SUCH VACATION RENTAL MARKETPLACE PROVIDER
 IS NOT ON SUCH LIST AT THE COMMENCEMENT OF THE QUARTERLY PERIOD  COVERED
 THEREBY.
   §  11.  Subparagraph  (i) of paragraph 3 of subdivision (a) of section
 1145 of the tax law, as amended by section 48 of part K of chapter 61 of
 the laws of 2011, is amended to read as follows:
   (i) Any person required to obtain a  certificate  of  authority  under
 section  eleven hundred thirty-four of this part who, without possessing
 a valid certificate of authority, (A) sells tangible  personal  property
 or  services  subject  to  tax, receives amusement charges or operates a
 hotel OR VACATION RENTAL, (B) purchases or sells tangible personal prop-
 erty for resale, (C) sells petroleum products, or (D)  sells  cigarettes
 shall,  in  addition  to  any  other penalty imposed by this chapter, be
 subject to a penalty in an amount not exceeding five hundred dollars for
 the first day on which such sales or purchases are made, plus an  amount
 not  exceeding two hundred dollars for each subsequent day on which such
 sales or purchases are made, not to exceed ten thousand dollars  in  the
 aggregate.
   §  12.  Subparagraph  (v) of paragraph 4 of subdivision (a) of section
 1210 of the tax law, as amended by section 2 of part WW of chapter 60 of
 the laws of 2016, is amended to read as follows:
   (v) shall provide that, for purposes of the tax described in  subdivi-
 sion  (e)  of  section  eleven  hundred five of this chapter, "permanent
 resident" means any occupant of any room or rooms in a hotel OR VACATION
 RENTAL for at least one hundred eighty consecutive days with  regard  to
 the period of such occupancy;
   §  13.  Subdivisions  (a)  and  (b) of section 1817 of the tax law, as
 amended by section 53 of part K of chapter 61 of the laws of  2011,  are
 amended to read as follows:
   (a)  Any  person  required  to obtain a certificate of authority under
 section eleven hundred thirty-four of this chapter who, without possess-
 ing a valid certificate  of  authority,  willfully  (1)  sells  tangible
 personal property or services subject to tax, receives amusement charges
 or  operates a hotel OR VACATION RENTAL, (2) purchases or sells tangible
 personal property for resale, or (3) sells petroleum products;  and  any
 person  who fails to surrender a certificate of authority as required by
 such article shall be guilty of a misdemeanor.
   (b) Any person required to obtain a  certificate  of  authority  under
 section eleven hundred thirty-four of this chapter who within five years
 after  a determination by the commissioner, pursuant to such section, to
 S. 8009                            61                            A. 9009
 
 suspend, revoke or refuse to issue a certificate of authority has become
 final, and without possession of a valid certificate  of  authority  (1)
 sells  tangible  personal  property or services subject to tax, receives
 amusement  charges or operates a hotel OR VACATION RENTAL, (2) purchases
 or sells tangible personal property for resale, or (3)  sells  petroleum
 products,  shall  be guilty of a misdemeanor. It shall be an affirmative
 defense that such person performed the acts described in  this  subdivi-
 sion  without knowledge of such determination. Any person who violates a
 provision of this subdivision, upon conviction, shall be  subject  to  a
 fine  in  any  amount authorized by this article, but not less than five
 hundred dollars, in addition to any other penalty provided by law.
   § 14. This act shall  take  effect  immediately  and  shall  apply  to
 collections  of  rent  by  the  operator  or vacation rental marketplace
 provider on or after September 1, 2022.
 
                                  PART W
 
   Section 1.  Paragraph 1 of subsection (a) of section 671  of  the  tax
 law,  as  amended by chapter 760 of the laws of 1992, is amended to read
 as follows:
   (1) Every employer maintaining an office or transacting business with-
 in this state and making payment of any wages taxable under this article
 shall deduct and withhold from such wages for each payroll period a  tax
 computed  in  such  manner as to result, so far as practicable, in with-
 holding from the employee's wages during each calendar  year  an  amount
 substantially equivalent to the tax reasonably estimated to be due under
 this  article  resulting  from  the inclusion in the employee's New York
 adjusted gross income or New York source income of [his] THE  EMPLOYEE'S
 wages  received during such calendar year. The method of determining the
 amount to be withheld  shall  be  prescribed  by  [regulations  of]  the
 commissioner,  with due regard to the New York withholding exemptions of
 the employee and the sum of any  credits  allowable  against  [his]  THE
 EMPLOYEE'S tax. THE COMMISSIONER SHALL PUBLISH ANY CHANGES TO SUCH METH-
 OD OF DETERMINING THE AMOUNT OF TAX TO BE WITHHELD ON THE WEBSITE OF THE
 DEPARTMENT  OF  TAXATION  AND FINANCE. THE COMMISSIONER SHALL ALSO CAUSE
 NOTICE OF SUCH CHANGES TO BE PUBLISHED IN THE SECTION FOR  MISCELLANEOUS
 NOTICES  IN  THE STATE REGISTER AND SHALL GIVE OTHER APPROPRIATE GENERAL
 NOTICE OF SUCH CHANGES.
   § 2.  Paragraph 6 of subsection (j) of section 697 of the tax law,  as
 amended  by  chapter  61  of  the  laws  of  1989, is amended to read as
 follows:
   (6) Publication of interest rates. The commissioner  of  taxation  and
 finance  SHALL  PUBLISH  THE INTEREST RATES SET UNDER THIS SUBSECTION ON
 THE WEBSITE OF THE  DEPARTMENT  OF  TAXATION  AND  FINANCE.  IMMEDIATELY
 FOLLOWING  SUCH  PUBLICATION, THE COMMISSIONER shall cause SUCH INTEREST
 RATES to be published in the section for miscellaneous  notices  in  the
 state  register[,]  and  give other appropriate general notice of[, the]
 SUCH interest rates [to be set under this subsection no later than twen-
 ty days preceding the first day of the  calendar  quarter  during  which
 such interest rates apply]. The setting and publication of such interest
 rates  shall  not be included within paragraph (a) of subdivision two of
 section one hundred two of the state administrative procedure act relat-
 ing to the definition of a rule.
   § 3. Paragraph 5 of subsection (e) of section 1096 of the tax law,  as
 amended  by  chapter  61  of  the  laws  of  1989, is amended to read as
 follows:
 S. 8009                            62                            A. 9009
 
   (5) Publication of interest rates. The commissioner  of  taxation  and
 finance  shall  PUBLISH  THE INTEREST RATES SET UNDER THIS SUBSECTION ON
 THE WEBSITE OF THE  DEPARTMENT  OF  TAXATION  AND  FINANCE.  IMMEDIATELY
 FOLLOWING  SUCH  PUBLICATION, THE COMMISSIONER SHALL cause SUCH INTEREST
 RATES  to  be  published in the section for miscellaneous notices in the
 state register[,] and give other appropriate general  notice  of[,  the]
 SUCH interest rates [to be set under this subsection no later than twen-
 ty  days  preceding  the  first day of the calendar quarter during which
 such interest rates apply]. The setting and publication of such interest
 rates shall not be included within paragraph (a) of subdivision  two  of
 section one hundred two of the state administrative procedure act relat-
 ing to the definition of a rule.
   § 4. This act shall take effect immediately.
 
                                  PART X
 
   Section  1.  Paragraph (c) of subdivision 1 of section 1701 of the tax
 law, as added by section 1 of part CC-1 of chapter 57  of  the  laws  of
 2008, is amended to read as follows:
   (c)  "Financial  institution"  means  (I)  any  financial  institution
 authorized or required to participate in a  financial  institution  data
 match  system  or  program  for child support enforcement purposes under
 federal or state law, AND (II) ANY VIRTUAL CURRENCY BUSINESS LICENSED BY
 THE SUPERINTENDENT OF FINANCIAL SERVICES.
   § 2. This act shall take effect immediately.
 
                                  PART Y
 
   Section 1. Section 4 of chapter 475 of the laws of 2013,  relating  to
 assessment  ceilings  for  local  public  utility mass real property, as
 amended by section 1 of part G of chapter 59 of the  laws  of  2018,  is
 amended to read as follows:
   §  4. This act shall take effect on the first of January of the second
 calendar year commencing after this act shall  have  become  a  law  and
 shall  apply  to  assessment rolls with taxable status dates on or after
 such date; provided, however, that this act shall expire and  be  deemed
 repealed  [eight]  TWELVE years after such effective date; and provided,
 further, that no assessment of local public utility mass  real  property
 appearing  on  the  municipal assessment roll with a taxable status date
 occurring in the first calendar year after this act shall have become  a
 law  shall  be  less  than  ninety  percent or more than one hundred ten
 percent of the assessment of the same property  on  the  date  this  act
 shall have become a law.
   §  2.  Subdivision 4 of section 499-pppp of the real property tax law,
 as added by chapter 475 of the laws of  2013,  is  amended  to  read  as
 follows:
   4. Any final determination of an assessment ceiling by the commission-
 er pursuant to subdivision one of this section shall be subject to judi-
 cial challenge by an owner of local public utility mass real property or
 a  local  assessing  jurisdiction in a proceeding under article seven of
 this chapter; provided however, the time  to  commence  such  proceeding
 shall be within sixty days of the issuance of the final assessment ceil-
 ing certificate and all questions of fact and law shall be determined de
 novo. Any judicial proceeding shall be commenced in the supreme court in
 the  county  of Albany or the county agreed upon by the parties in which
 the local public utility mass real property is located. Nothing in  this
 S. 8009                            63                            A. 9009
 
 section  shall preclude a challenge of the assessed value established by
 a local assessing jurisdiction with respect to local public utility mass
 real property as otherwise provided in article seven  of  this  chapter,
 PROVIDED  HOWEVER  THAT UPON MOTION OF THE LOCAL ASSESSING JURISDICTION,
 SUCH CHALLENGE SHALL BE CONSOLIDATED WITH THE  CHALLENGE  TO  THE  FINAL
 ASSESSMENT  CEILING COMMENCED PURSUANT TO THIS SUBDIVISION AND LITIGATED
 IN THE VENUE SPECIFIED BY THIS SUBDIVISION. In any proceeding  challeng-
 ing  an assessed value established by a local assessing jurisdiction for
 local public utility mass real property, the final certified  assessment
 ceiling  established  pursuant to subdivision one of this section [shall
 not], AND THE EVIDENCE SUBMITTED IN CONNECTION THEREWITH, MAY be consid-
 ered by the court WHEN DETERMINING THE MERITS OF THE  CHALLENGE  TO  THE
 ASSESSED VALUE ESTABLISHED BY THE ASSESSING UNIT.  IN SUCH A PROCEEDING,
 THE LOCAL ASSESSING JURISDICTION, UPON REQUEST TO THE LOCAL PUBLIC UTIL-
 ITY MASS REAL PROPERTY OWNER, SHALL BE PROVIDED WITH A COPY OF THE ANNU-
 AL  REPORT PROVIDED TO THE COMMISSIONER UNDER SECTION FOUR HUNDRED NINE-
 TY-NINE-RRRR OF THIS TITLE.  IF  THE  LOCAL  PUBLIC  UTILITY  MASS  REAL
 PROPERTY  OWNER FAILS TO PROVIDE THE REPORT WITHIN THIRTY DAYS OF SUCH A
 REQUEST, THE PROCEEDING SHALL BE DISMISSED.
   § 3. This act shall take effect immediately, provided,  however,  that
 the amendments to subdivision 4 of section 499-pppp of the real property
 tax  law  made by section two of this act shall not affect the repeal of
 such subdivision and shall be deemed to be repealed therewith.
 
                                  PART Z
 
   Section 1. This Part enacts into law major components  of  legislation
 relating to the administration of the STAR program authorized by section
 425  of the real property tax law and subsection (eee) of section 606 of
 the tax law. Each component is wholly contained within a Subpart identi-
 fied as Subparts A through E. The effective  date  for  each  particular
 provision contained within such Subpart is set forth in the last section
 of  such  Subpart.  Any  provision  in  any  section  contained within a
 Subpart, including the effective date of the Subpart, which makes refer-
 ence to a section of "this act",  when  used  in  connection  with  that
 particular  component,  shall  be deemed to mean and refer to the corre-
 sponding section of the Subpart  in  which  it  is  found.  Section  two
 contains  a  severability  clause  for  all provisions contained in each
 Subpart of this Part.  Section three of this act sets forth the  general
 effective date of this Part.
 
                                 SUBPART A
 
   Section 1. Paragraph (a-2) of subdivision 6 of section 425 of the real
 property  tax  law,  as amended by section 1 of part TT of chapter 59 of
 the laws of 2019, is amended to read as follows:
   (a-2) Notwithstanding any provision of law to the contrary,  where  an
 application  for the "enhanced" STAR exemption authorized by subdivision
 four of this section has not been filed on or before the taxable  status
 date,  and the owner believes that good cause existed for the failure to
 file the application by that date, the owner may, no later than the last
 day for paying school  taxes  without  incurring  interest  or  penalty,
 submit a written request to the commissioner asking him or her to extend
 the  filing deadline and grant the exemption. Such request shall contain
 an explanation of why the deadline was missed, and shall be  accompanied
 by  an  application,  reflecting  the  facts  and  circumstances as they
 S. 8009                            64                            A. 9009

 existed on the taxable status date. After consulting with the  assessor,
 the  commissioner may extend the filing deadline and grant the exemption
 if the commissioner is satisfied that (i) good  cause  existed  for  the
 failure  to  file  the  application by the taxable status date, and that
 (ii) the applicant is otherwise entitled to the exemption.  The  commis-
 sioner  shall  mail notice of his or her determination to such owner and
 the assessor. If the determination  states  that  the  commissioner  has
 granted  the  exemption,  the assessor shall thereupon be authorized and
 directed to correct the assessment  roll  accordingly,  or,  if  another
 person  has  custody  or  control of the assessment roll, to direct that
 person to make the appropriate corrections. [If the  correction  is  not
 made  before  school  taxes  are levied, the school district authorities
 shall be authorized and directed to take account of the  fact  that  the
 commissioner has granted the exemption by correcting the applicant's tax
 bill and/or issuing a refund accordingly] PROVIDED, HOWEVER, THAT IF THE
 ASSESSMENT  ROLL CANNOT BE CORRECTED IN TIME FOR THE EXEMPTION TO APPEAR
 ON THE APPLICANT'S SCHOOL TAX BILL, THE COMMISSIONER SHALL BE AUTHORIZED
 TO REMIT DIRECTLY TO  THE  APPLICANT  THE  TAX  SAVINGS  THAT  THE  STAR
 EXEMPTION  WOULD  HAVE YIELDED IF IT HAD APPEARED ON THE APPLICANT'S TAX
 BILL. THE AMOUNTS SO PAYABLE SHALL BE PAID FROM THE ACCOUNT  ESTABLISHED
 FOR THE PAYMENT OF STAR BENEFITS TO LATE REGISTRANTS PURSUANT TO SUBPAR-
 AGRAPH (III) OF PARAGRAPH (A) OF SUBDIVISION FOURTEEN OF THIS SECTION.
   § 2. This act shall take effect immediately.
 
                                 SUBPART B
 
   Section  1.  Subparagraph  (i)  of  paragraph (c) of subdivision 17 of
 section 425 of the real property tax law, as added by section 2 of  part
 G of chapter 39 of the laws of 2019, is amended to read as follows:
   (i)  A  STAR  credit switch may be deferred if the application for the
 credit is submitted after a cutoff date set by  the  commissioner.  When
 setting a cutoff date, the commissioner shall take into account the time
 required  to  ensure  that the STAR exemptions of all STAR credit appli-
 cants in the assessing unit will be removed before school tax bills  are
 prepared.  The  commissioner  shall  specify the applicable cutoff dates
 after taking into account  local  assessment  calendars,  provided  that
 different  cutoff  dates  may  be  set for municipalities with different
 assessment calendars, and provided further that any such cutoff date may
 be no earlier than the [fifteenth] FORTY-FIFTH day prior to the date  on
 which  the  applicable  final  assessment  roll is required by law to be
 completed and filed.
   § 2. This act shall take effect immediately.
 
                                 SUBPART C
 
   Section 1. Subparagraph (A) of paragraph  3  of  subsection  (eee)  of
 section  606 of the tax law, as amended by section 2 of part RR of chap-
 ter 59 of the laws of 2019, is amended to read as follows:
   (A) Beginning with taxable years after two thousand fifteen,  a  basic
 STAR credit shall be available to a qualified taxpayer if the affiliated
 income  of the parcel that serves as the taxpayer's primary residence is
 less than or equal to five hundred thousand dollars FOR  THE  APPLICABLE
 INCOME  TAX  YEAR  SPECIFIED  BY PARAGRAPH (B-1) OF SUBDIVISION THREE OF
 SECTION FOUR HUNDRED TWENTY-FIVE OF THE REAL  PROPERTY  TAX  LAW.    The
 income limit established for the basic STAR exemption by paragraph (b-1)
 of  subdivision  three  of  section four hundred twenty-five of the real
 S. 8009                            65                            A. 9009
 
 property tax law shall not be taken into account when determining eligi-
 bility for the basic STAR credit.
   § 2. This act shall take effect immediately.
 
                                 SUBPART D
 
   Section  1.  Subparagraph  (B)  of  paragraph 7 of subsection (eee) of
 section 606 of the tax law, as amended by section 7 of part E of chapter
 59 of the laws of 2018, is amended to read as follows:
   (B) Notwithstanding any provision of law to the  contrary,  the  names
 and  addresses  of individuals who have applied for or are receiving the
 credit authorized by this subsection  may  be  disclosed  to  assessors,
 county  directors  of  real  property  tax  services,  and municipal tax
 collecting officers WITHIN NEW YORK STATE. In addition, [where an agree-
 ment is in place between the  commissioner  and  the  head  of  the  tax
 department  of  another state, such information may be disclosed to such
 official or his or her designees] SUCH INFORMATION MAY BE EXCHANGED WITH
 ASSESSORS AND TAX OFFICIALS FROM JURISDICTIONS OUTSIDE NEW YORK STATE IF
 THE LAWS OF THE OTHER JURISDICTION ALLOW IT TO PROVIDE SIMILAR  INFORMA-
 TION  TO  THIS  STATE. Such information shall be considered confidential
 and shall not be subject to further disclosure pursuant to  the  freedom
 of information law or otherwise.
   § 2. This act shall take effect immediately.
 
                                 SUBPART E
 
   Section 1. Subsection (c) of section 651 of the tax law, as amended by
 section  3  of  part QQ of chapter 59 of the laws of 2019, is amended to
 read as follows:
   (c) Decedents. The return for any deceased individual  shall  be  made
 and  filed  by  [his]  THE  DECEDENT'S executor, administrator, or other
 person charged with [his] THE DECEDENT'S property. If a final return  of
 a  decedent  is  for  a  fractional part of a year, the due date of such
 return shall be the fifteenth day of  the  fourth  month  following  the
 close  of the twelve-month period which began with the first day of such
 fractional part of the year. Notwithstanding any provision of law to the
 contrary, when a return has been filed for a decedent, the  commissioner
 may  disclose the decedent's name, address, and the date of death to the
 director of real property tax services of the county AND THE ASSESSOR OF
 THE ASSESSING UNIT in which the  address  reported  on  such  return  is
 located.
   §  2. Paragraph (a) of subdivision 1 of section 1125 of the real prop-
 erty tax law, as amended by chapter 415 of the laws of 2006, is  amended
 to read as follows:
   (a)  Parties  entitled  to  notice.  The enforcing officer shall on or
 before the date of the first publication of the notice above  set  forth
 cause a notice to be mailed to (i) each owner and any other person whose
 right,  title,  or interest was a matter of public record as of the date
 the list of delinquent taxes was filed, which right, title  or  interest
 will  be affected by the termination of the redemption period, and whose
 name and address are reasonably ascertainable from  the  public  record,
 including  the records in the offices of the surrogate of the county, or
 from material submitted to the enforcing officer pursuant  to  paragraph
 (d)  of this subdivision, (ii) any other person who has filed a declara-
 tion of interest pursuant to section eleven hundred twenty-six  of  this
 title  which has not expired, [and] (iii) WHERE A POSTHUMOUS DECLARATION
 S. 8009                            66                            A. 9009
 
 OF INTEREST HAS BEEN FILED PURSUANT TO SECTION  ELEVEN  HUNDRED  TWENTY-
 SIX-A  OF  THIS  TITLE, THE PERSON SPECIFIED THEREON AS THE PERSON TO BE
 INFORMED WHEN TAXES ARE OWED ON THE PROPERTY,  AND  (IV)  the  enforcing
 officer  of any other tax district having a right to enforce the payment
 of a tax imposed upon any of the parcels described upon  such  petition.
 NOTHING  CONTAINED HEREIN SHALL BE CONSTRUED AS MAKING ANY SUCH PERSON A
 PARTY TO THE PROCEEDING OR AS MAKING ANY SUCH PERSON  PERSONALLY  LIABLE
 FOR THE TAXES OR OTHER LEGAL CHARGES DUE THEREON.
   §  3.  The  real  property  tax law is amended by adding a new section
 1126-a to read as follows:
   §  1126-A. POSTHUMOUS DECLARATION OF INTEREST. 1. UPON THE DEATH OF AN
 OWNER OF REAL PROPERTY, A  PERSONAL  REPRESENTATIVE  OF  THE  DECEDENT'S
 ESTATE  OR A SUCCESSOR IN INTEREST OF THE DECEDENT MAY FILE A POSTHUMOUS
 DECLARATION OF INTEREST WITH THE ENFORCING OFFICER ON A FORM  PRESCRIBED
 BY  THE  COMMISSIONER.  SUCH  POSTHUMOUS  DECLARATION  SHALL PROVIDE THE
 DECEDENT'S NAME AND DATE OF DEATH, A DESCRIPTION  OF  THE  PROPERTY  THE
 DECEDENT  HAD OWNED, AND THE NAME AND ADDRESS OF A PERSON TO BE INFORMED
 WHEN TAXES ARE OWED ON THAT PROPERTY. THEREAFTER,  IN  ADDITION  TO  ANY
 OTHER  NOTIFICATION  REQUIREMENTS  THAT MAY APPLY, THE ENFORCING OFFICER
 SHALL CAUSE ANY NOTICES REQUIRED BY THIS ARTICLE TO BE  MAILED  TO  SUCH
 PERSON  AT THE ADDRESS SO PROVIDED UNTIL SUCH TIME AS THE ACQUISITION OF
 TITLE BY THE DECEDENT'S SUCCESSOR OR SUCCESSORS IN INTEREST HAS BECOME A
 MATTER OF PUBLIC RECORD, OR THE DECLARATION IS REVOKED OR MODIFIED.  THE
 ENFORCING  OFFICER  SHALL PROVIDE COPIES OF ANY DECLARATIONS SO FILED TO
 THE ASSESSOR, TAX COLLECTING OFFICER AND COUNTY DIRECTOR OF REAL PROPER-
 TY TAX SERVICES WITHIN FIFTEEN DAYS OF RECEIPT, OR AS SOON THEREAFTER AS
 IS PRACTICABLE.
   2. IF NO POSTHUMOUS DECLARATION OF INTEREST HAS BEEN FILED,  A  DELIN-
 QUENT  TAX  LIEN  MAY  BE FORECLOSED BY A PROCEEDING IN REM AS OTHERWISE
 PROVIDED BY THIS ARTICLE, NOTWITHSTANDING THE  FACT  THAT  THE  PROPERTY
 OWNER  HAS  DIED.  IN  SUCH  CASES,  THE  ENFORCING OFFICER SHALL NOT BE
 OBLIGED TO OBTAIN IN PERSONAM JURISDICTION  OVER  A  PERSONAL  REPRESEN-
 TATIVE  OF  THE  DECEDENT'S  ESTATE;  PROVIDED,  HOWEVER,  THAT  NOTHING
 CONTAINED HEREIN SHALL BE CONSTRUED TO RELIEVE THE ENFORCING OFFICER  OF
 THE  OBLIGATION  TO  CAUSE  A  NOTICE  TO BE MAILED TO ANY PERSONS WHOSE
 INTERESTS IN THE PROPERTY ARE REASONABLY ASCERTAINABLE FROM THE  RECORDS
 OF THE SURROGATE OF THE COUNTY, AS PROVIDED BY SUBPARAGRAPH (I) OF PARA-
 GRAPH  (A)  OF  SUBDIVISION ONE OF SECTION ELEVEN HUNDRED TWENTY-FIVE OF
 THIS TITLE.
   § 4. This act shall take effect immediately.
   § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
 sion, section or subpart contained in any part  of  this  act  shall  be
 adjudged  by  any  court  of  competent jurisdiction to be invalid, such
 judgment shall not affect, impair, or invalidate the remainder  thereof,
 but  shall  be  confined in its operation to the clause, sentence, para-
 graph, subdivision, section or subpart contained  in  any  part  thereof
 directly  involved  in the controversy in which such judgment shall have
 been rendered. It is hereby declared to be the intent of the legislature
 that this act would have been enacted even if  such  invalid  provisions
 had not been included herein.
   §  3.  This act shall take effect immediately, provided, however, that
 the applicable effective date of Subparts A through E of this act  shall
 be as specifically set forth in the last section of such Subparts.
 
                                  PART AA
 S. 8009                            67                            A. 9009
 
   Section  1.  Section  575-b of the real property tax law is amended by
 adding a new subdivision 4 to read as follows:
   4.  COMPLAINTS  WITH  RESPECT  TO  ASSESSMENTS  DETERMINED  UNDER THIS
 SECTION SHALL BE GOVERNED BY  SECTIONS  FIVE  HUNDRED  TWELVE  AND  FIVE
 HUNDRED TWENTY-FOUR OF THIS ARTICLE AND THE FOLLOWING PROVISIONS:
   (A)  THE  ASSESSOR  SHALL,  UPON  REQUEST,  PROVIDE THE OWNER WITH THE
 INPUTS THAT HE OR SHE ENTERED INTO THE  COMMISSIONER'S  APPRAISAL  MODEL
 WHEN VALUING THE PROPERTY PURSUANT TO THIS SECTION.
   (B)  THE  PROPERTY OWNER MAY ADVISE THE ASSESSOR OF ANY ALLEGED ERRORS
 TO THE APPRAISAL MODEL INPUTS BELIEVED TO HAVE BEEN MADE BY  THE  ASSES-
 SOR,  AND  MAY  PROVIDE  INFORMATION  TO  THE ASSESSOR IN SUPPORT OF ANY
 PROPOSED CHANGE TO THOSE INPUTS.
   (C) IF THE PROPERTY OWNER PROVIDES SUCH INFORMATION  TO  THE  ASSESSOR
 PRIOR  TO  THE FILING OF THE TENTATIVE ASSESSMENT ROLL, THE ASSESSOR MAY
 MAKE SUCH ADJUSTMENTS TO THE APPRAISAL MODEL INPUTS AS HE OR  SHE  DEEMS
 WARRANTED BASED UPON THE INFORMATION PROVIDED BY THE PROPERTY OWNER, AND
 MAY  RECALCULATE THE PROPERTY VALUE BY ENTERING THE ADJUSTED INPUTS INTO
 THE APPRAISAL MODEL.
   (D) IF DISSATISFIED WITH THE ASSESSED VALUE APPEARING ON THE TENTATIVE
 ASSESSMENT ROLL, THE PROPERTY OWNER MAY FILE A COMPLAINT WITH THE  BOARD
 OF  ASSESSMENT REVIEW; PROVIDED, HOWEVER, THAT THE GROUNDS FOR REVIEW OF
 AN ASSESSMENT DETERMINED UNDER THIS SECTION WITH RESPECT TO BOTH ARTICLE
 FIVE AND ARTICLE SEVEN OF THIS CHAPTER SHALL BE LIMITED TO THE  ACCURACY
 OF THE APPRAISAL MODEL INPUTS MADE BY THE ASSESSOR.
   (E) ACTIONS OR PROCEEDINGS THAT CHALLENGE THE VALIDITY AND ACCURACY OF
 THE APPRAISAL MODEL OR DISCOUNT RATES ESTABLISHED UNDER THIS SECTION MAY
 NOT  BE  COMMENCED  AGAINST ASSESSING UNITS. SUCH CHALLENGES MAY ONLY BE
 BROUGHT BY COMMENCING AN ACTION AGAINST THE COMMISSIONER  IN  THE  THIRD
 DEPARTMENT  OF THE APPELLATE DIVISION OF THE SUPREME COURT IN THE MANNER
 PROVIDED BY ARTICLE SEVENTY-EIGHT OF THE CIVIL PRACTICE LAW AND RULES.
   § 2. This act shall take effect immediately.
 
                                  PART BB
 
   Section 1. The subsection heading and paragraphs 1, 2,  3,  and  4  of
 subsection (n-1) of section 606 of the tax law, as added by subpart B of
 part  C  of  chapter  20  of  the laws of 2015, the opening paragraph of
 subparagraph (a) of paragraph 2 as amended by section 7  of  part  A  of
 chapter 60 of the laws of 2016, are amended to read as follows:
   [Property  tax  relief] HOMEOWNER TAX REBATE credit. (1) An individual
 taxpayer who meets the eligibility standards in paragraph  two  of  this
 subsection  shall  be allowed a credit against the taxes imposed by this
 article in the amount specified in paragraph three  of  this  subsection
 for  tax  [years two thousand sixteen, two thousand seventeen, two thou-
 sand eighteen, and two thousand nineteen] YEAR TWO THOUSAND TWENTY-TWO.
   (2) (a) To be eligible for the  credit,  the  taxpayer  (or  taxpayers
 filing  joint  returns)  on the personal income tax return filed for the
 taxable year two years prior, must have (i) been a resident, (ii)  owned
 and  primarily  resided  in  real  property  receiving  either  the STAR
 exemption authorized by section four hundred  twenty-five  of  the  real
 property  tax  law  or  the  school  tax  relief  credit  authorized  by
 subsection (eee) of this section, and (iii) had qualified  gross  income
 no  greater  than  two  hundred  [seventy-five]  FIFTY thousand dollars.
 [Provided, however, that no credit  shall  be  allowed  if  any  of  the
 following apply:
 S. 8009                            68                            A. 9009

   (i) Such property is located in an independent school district that is
 subject  to the provisions of section two thousand twenty-three-a of the
 education law and that has adopted a budget in excess of  the  tax  levy
 limit  prescribed  by that section. To render its taxpayers eligible for
 the  credit  authorized  by  this  subsection,  the school district must
 certify its compliance with such tax levy limit in the manner prescribed
 by subdivision two of section two thousand twenty-three-b of the  educa-
 tion law.
   (ii)  Such  property  is  located  in  a  city with a dependent school
 district that is subject to the provisions of  section  three-c  of  the
 general municipal law and that has adopted a budget in excess of the tax
 levy  limit prescribed by that section. To render its taxpayers eligible
 for the credit authorized by this subsection, the city must certify  its
 compliance with such tax levy limit in the manner prescribed by subdivi-
 sion two of section three-d of the general municipal law.
   (iii) Such property is located in the city of New York.]
   (3)  Amount  of credit. (a) [For the two thousand sixteen taxable year
 (i) for a taxpayer residing in real property located within  the  metro-
 politan  commuter transportation district (MCTD) and outside the city of
 New York, the amount of the credit shall be $130; (ii)  for  a  taxpayer
 residing  in  real  property located outside the MCTD, the amount of the
 credit shall be $185.
   (b) For the two thousand seventeen,  two  thousand  eighteen  and  two
 thousand nineteen taxable years (i)] For a taxpayer who owned and prima-
 rily  resided in real property receiving the basic STAR exemption OR WHO
 RECEIVED THE BASIC STAR CREDIT, the amount of the credit shall equal the
 STAR tax savings associated with such basic STAR exemption  IN  THE  TWO
 THOUSAND  TWENTY-ONE--TWO THOUSAND TWENTY-TWO SCHOOL YEAR, multiplied by
 the following percentage:
   [(A) for the two thousand seventeen taxable year:
 Qualified Gross Income                  Percentage
 Not over $75,000                        28%
 Over $75,000 but not over $150,000      20.5%
 Over $150,000 but not over $200,000     13%
 Over $200,000 but not over $275,000     5.5%
 Over $275,000                           No credit
   (B) for the two thousand eighteen taxable year:
 Qualified Gross Income                  Percentage
 Not over $75,000                        60%
 Over $75,000 but not over $150,000      42.5%
 Over $150,000 but not over $200,000     25%
 Over $200,000 but not over $275,000     7.5%
 Over $275,000                           No credit
   (C) for the two thousand nineteen taxable year:]
   (I) FOR A TAXPAYER WHOSE PRIMARY RESIDENCE IS LOCATED OUTSIDE THE CITY
 OF NEW YORK:
 Qualified Gross Income                  Percentage
 Not over $75,000                        [85%] 163%
 Over $75,000 but not over $150,000      [60%] 115%
 Over $150,000 but not over $200,000     [35%] 66%
 Over $200,000 but not over              [10%] 18%
 [$275,000] $250,000
 Over [$275,000] $250,000                No credit
   (II) FOR A TAXPAYER WHOSE PRIMARY RESIDENCE IS LOCATED WITHIN THE CITY
 OF NEW YORK:
 S. 8009                            69                            A. 9009
 
 QUALIFIED GROSS INCOME                  PERCENTAGE
 NOT OVER $75,000                        125%
 OVER $75,000 BUT NOT OVER $150,000      115%
 OVER $150,000 BUT NOT OVER $200,000     105%
 OVER $200,000 BUT NOT OVER $250,000     100%
 OVER $250,000                           NO CREDIT
   [(c)] (B) For a taxpayer who owned and primarily resided in real prop-
 erty  receiving the enhanced STAR exemption OR WHO RECEIVED THE ENHANCED
 STAR CREDIT, the amount of the credit shall equal the STAR  tax  savings
 associated  with  such enhanced STAR exemption IN THE TWO THOUSAND TWEN-
 TY-ONE--TWO THOUSAND TWENTY-TWO SCHOOL YEAR, multiplied by [the  follow-
 ing percentage:
 Taxable Year                            Percentage
 two thousand seventeen                  12%
 two thousand eighteen                   26%
 two thousand nineteen                   34%]
 SIXTY-SIX PERCENT IF THE TAXPAYER'S PRIMARY RESIDENCE IS LOCATED OUTSIDE
 THE  CITY  OF  NEW  YORK,  OR  ONE HUNDRED TEN PERCENT IF THE TAXPAYER'S
 PRIMARY RESIDENCE IS LOCATED WITHIN THE CITY OF NEW YORK.
   [(d)] (C) In no case may the amount of the credit allowed  under  this
 subsection  exceed  the  school  district  taxes due with respect to the
 residence for that school year, NOR SHALL ANY CREDIT  BE  ALLOWED  UNDER
 THIS  SUBSECTION  IF THE AMOUNT DETERMINED PURSUANT TO THIS PARAGRAPH IS
 LESS THAN ONE HUNDRED DOLLARS.
   (4) For purposes of this subsection:
   (a) "Qualified gross income" means the adjusted gross  income  of  the
 qualified  taxpayer  for the taxable year as reported for federal income
 tax purposes, or which would be reported as adjusted gross income  if  a
 federal income tax return were required to be filed. In computing quali-
 fied  gross  income, the net amount of loss reported on Federal Schedule
 C, D, E, or F shall not exceed three thousand dollars per  schedule.  In
 addition,  the  net  amount of any other separate category of loss shall
 not exceed three thousand dollars. The aggregate amount  of  all  losses
 included  in  computing  qualified gross income shall not exceed fifteen
 thousand dollars.
   (b) "STAR tax savings" means the tax savings attributable to the basic
 or enhanced STAR exemption, whichever is applicable, within a portion of
 a school district, as determined by the commissioner pursuant to  subdi-
 vision  two  of  section thirteen hundred six-a of the real property tax
 law.
   [(c) "Metropolitan commuter transportation district" or  "MCTD"  means
 the  metropolitan commuter transportation district as defined in section
 twelve hundred sixty-two of the public authorities law.]
   § 2. This act shall take effect immediately.
 
                                  PART CC

   Section 1.  The opening paragraph and subdivisions 1 and 2 of  section
 1306  of  the racing, pari-mutuel wagering and breeding law, the opening
 paragraph as amended by chapter 243 of the laws of 2020 and subdivisions
 1 and 2 as added by chapter 174 of the laws of 2013, are amended to read
 as follows:
   The New York  state  gaming  facility  location  board  shall  select,
 following  a competitive process and subject to the restrictions of this
 article, no more than [four] SEVEN entities to apply to  the  commission
 for  gaming  facility  licenses.  In exercising its authority, the board
 S. 8009                            70                            A. 9009
 
 shall have all powers necessary or convenient to  fully  carry  out  and
 effectuate  its  purposes  including,  but not limited to, the following
 powers. The board shall:
   1. issue a request for applications for zone ONE OR two gaming facili-
 ty  licenses  pursuant  to  section one thousand three hundred twelve OR
 SECTION ONE THOUSAND THREE HUNDRED TWENTY-ONE-B of this article;
   2. assist the commission in prescribing the form  of  the  application
 for zone ONE OR two gaming facility licenses including information to be
 furnished by an applicant concerning an applicant's antecedents, habits,
 character,  associates,  criminal record, business activities and finan-
 cial affairs, past or present pursuant to  section  one  thousand  three
 hundred  thirteen  OR SECTION ONE THOUSAND THREE HUNDRED TWENTY-ONE-C of
 this article;
   § 2. Subparagraph 2 of paragraph (a) of subdivision 2 of section  1310
 of  the racing, pari-mutuel wagering and breeding law, as added by chap-
 ter 174 of the laws of 2013, is amended to read as follows:
   (2) Region two shall consist of Bronx, Kings,  New  York,  Queens  and
 Richmond  counties[.  No  gaming  facility shall be authorized in region
 two]; and
   § 3. The title heading of title 2 of article 13 of the  racing,  pari-
 mutuel wagering and breeding law, as added by chapter 174 of the laws of
 2013, is amended to read as follows:
       FACILITY DETERMINATION AND LICENSING: UPSTATE GAMING FACILITIES
   §  4. Section 1310 of title 2 of article 13 of the racing, pari-mutuel
 wagering and breeding law is redesignated section 1310  of  title  1  of
 such article.
   § 5. Subdivision 1 of section 1311 of the racing, pari-mutuel wagering
 and  breeding  law,  as  amended  by chapter 175 of the laws of 2013, is
 amended to read as follows:
   1. The commission is authorized to award up to  four  gaming  facility
 licenses, in regions one, two and five of zone two. The duration of such
 initial  license shall be ten years. The term of renewal shall be deter-
 mined by the commission.  The commission may award a second license to a
 qualified applicant in no more than a single region. The  commission  is
 not  empowered  to  award any license [in zone one. No gaming facilities
 are authorized] NOR ARE ANY  GAMING  FACILITIES  AUTHORIZED  under  this
 [article]  TITLE  for  the city of New York or any other portion of zone
 one.
   As a condition of licensure, licensees are required to commence gaming
 operations no more than twenty-four months following license  award.  No
 additional  licenses may be awarded during the twenty-four month period,
 nor for an additional sixty months following the end of the  twenty-four
 month period. Should the state legislatively authorize additional gaming
 facility  licenses  within these periods, licensees shall have the right
 to recover the license fee paid pursuant to section one  thousand  three
 hundred six of this article.
   This  right  shall  be incorporated into the license itself, vest upon
 the opening of a gaming facility in zone one or in the  same  region  as
 the  licensee  and entitle the holder of such license to bring an action
 in the court of claims to recover  the  license  fee  paid  pursuant  to
 section  one  thousand  three hundred fifteen of this [article] TITLE in
 the event that any gaming facility  license  in  excess  of  the  number
 authorized  by  this section as of the effective date of this section is
 awarded within seven years from the date that the initial gaming facili-
 ty license is awarded.   This right to recover any  such  fee  shall  be
 S. 8009                            71                            A. 9009
 
 proportionate  to  the  length  of  the  respective period that is still
 remaining upon the vesting of such right.
   Additionally,  the  right to bring an action in the court of claims to
 recover the fee paid to the state on the twenty-fourth day of September,
 two thousand ten, by the operator of a video lottery gaming facility  in
 a  city  of more than one million shall vest with such operator upon the
 opening of any gaming facility licensed by the commission  in  zone  one
 within  seven  years  from  the  date  that  the initial gaming facility
 license is awarded; provided however that the amount  recoverable  shall
 be limited to the pro rata amount of the time remaining until the end of
 the  seven  year exclusivity period, proportionate to the period of time
 between the date of opening of the  video  lottery  facility  until  the
 conclusion of the seven year period.
   §  6.  The  opening  paragraph of subdivision 1 of section 1312 of the
 racing, pari-mutuel wagering and breeding law, as added by  chapter  174
 of the laws of 2013, is amended to read as follows:
   The  board  shall  issue  within  ninety days of a majority of members
 being appointed a request for applications for a gaming facility license
 in regions one, two and five in zone two; provided,  however,  that  the
 board  shall  not  issue any requests for applications for any region in
 zone one UNDER THIS TITLE; and further provided that the board shall not
 issue any requests for applications with respect to any gaming  facility
 subsequently  legislatively  authorized  until seven years following the
 commencement of gaming activities in zone two, UNLESS SUCH  REQUEST  FOR
 APPLICATION  WITH  RESPECT  TO ANY SUBSEQUENTLY LEGISLATIVELY AUTHORIZED
 GAMING FACILITY ADHERES TO THE PROCEDURE AS  DESCRIBED  IN  SECTION  ONE
 THOUSAND  THREE  HUNDRED ELEVEN OF THIS TITLE. All requests for applica-
 tions shall include:
   § 7. Article 13 of the racing, pari-mutuel wagering and  breeding  law
 is amended by adding a new title 2-A to read as follows:
                                 TITLE 2-A
    FACILITY DETERMINATION AND LICENSING: ADDITIONAL GAMING FACILITIES
 SECTION 1321-A. LICENSE AUTHORIZATION; RESTRICTIONS.
         1321-B. REQUESTS FOR APPLICATIONS; REQUESTS FOR INFORMATION.
         1321-C. FORM OF APPLICATION.
         1321-D. LICENSE APPLICANT ELIGIBILITY.
         1321-E. REQUIRED CAPITAL INVESTMENT.
         1321-F. MINIMUM LICENSE THRESHOLDS.
         1321-G. INVESTIGATION OF LICENSE APPLICANTS.
         1321-H. DISQUALIFYING CRITERIA.
         1321-I. HEARINGS.
         1321-J. SITING EVALUATION.
   §  1321-A.  LICENSE  AUTHORIZATION; RESTRICTIONS. 1. THE COMMISSION IS
 AUTHORIZED TO AWARD UP TO THREE ADDITIONAL GAMING FACILITY LICENSES. THE
 DURATION OF SUCH INITIAL LICENSE AND THE TERM OF RENEWAL SHALL BE DETER-
 MINED BY THE COMMISSION.
   2. NOTWITHSTANDING THE FOREGOING, NO CASINO GAMING FACILITY  SHALL  BE
 AUTHORIZED:
   (A)  IN THE COUNTIES OF CLINTON, ESSEX, FRANKLIN, HAMILTON, JEFFERSON,
 LEWIS, SAINT LAWRENCE AND WARREN;
   (B) WITHIN THE FOLLOWING AREA: (1) TO THE EAST, STATE  ROUTE  14  FROM
 SODUS  POINT TO THE PENNSYLVANIA BORDER WITH NEW YORK; (2) TO THE NORTH,
 THE BORDER BETWEEN NEW YORK AND CANADA; (3) TO THE SOUTH, THE PENNSYLVA-
 NIA BORDER WITH NEW YORK; AND (4) TO THE WEST, THE  BORDER  BETWEEN  NEW
 YORK AND CANADA AND THE BORDER BETWEEN PENNSYLVANIA AND NEW YORK; AND
 S. 8009                            72                            A. 9009

   (C)  IN  THE  COUNTIES OF CAYUGA, CHENANGO, CORTLAND, HERKIMER, LEWIS,
 MADISON, ONEIDA, ONONDAGA, OSWEGO AND OTSEGO.
   §   1321-B.  REQUESTS  FOR  APPLICATIONS;  REQUESTS  FOR  INFORMATION.
 REQUESTS FOR APPLICATIONS  SHALL  BE  HANDLED  IN  THE  SAME  MANNER  AS
 PROVIDED  FOR  IN  SECTION  THIRTEEN  HUNDRED TWELVE OF THIS ARTICLE FOR
 GAMING LICENSES AUTHORIZED BUT NOT AWARDED, PROVIDED  HOWEVER  THAT  ANY
 REQUESTS  FOR  APPLICATIONS  FOR GAMING FACILITY LICENSES AUTHORIZED BUT
 NOT AWARDED MAY BE FOR GAMING FACILITY LICENSES IN ANY  REGION  IN  ZONE
 ONE OR IN REGIONS ONE, TWO AND FIVE IN ZONE TWO.
   §  1321-C.  FORM OF APPLICATION.  THE FORM OF THE APPLICATION SHALL BE
 THE SAME AS ESTABLISHED UNDER SECTION THIRTEEN HUNDRED THIRTEEN OF  THIS
 ARTICLE.
   §  1321-D.  LICENSE APPLICANT ELIGIBILITY. 1. GAMING FACILITY LICENSES
 SHALL ONLY BE ISSUED TO APPLICANTS WHO ARE QUALIFIED UNDER THE  CRITERIA
 SET FORTH IN THIS ARTICLE, AS DETERMINED BY THE COMMISSION.
   2. AS A CONDITION OF FILING, EACH POTENTIAL LICENSE APPLICANT MUST:
   (A)  DEMONSTRATE  TO  THE  BOARD'S SATISFACTION THAT THE APPLICANT HAS
 CONSULTED WITH LOCAL GOVERNMENTS AND CONSIDERED INPUT FROM THE  COMMUNI-
 TY; AND
   (B)  WAIVE  ALL  RIGHTS  THEY  OR  ANY AFFILIATED ENTITY POSSESS UNDER
 SECTION ONE THOUSAND THREE HUNDRED ELEVEN OF THIS ARTICLE  TO  BRING  AN
 ACTION TO RECOVER A FEE.
   3.  THE  EXPIRATION  OF THE SEVEN YEAR RESTRICTED PERIOD FROM THE DATE
 THAT AN INITIAL GAMING FACILITY LICENSE WAS AWARDED IS FEBRUARY  TWENTY-
 EIGHTH,  TWO THOUSAND TWENTY-THREE FOR THE THREE INITIAL CASINO LICENSES
 AND NOVEMBER TWENTY-SECOND, TWO  THOUSAND  TWENTY-THREE  FOR  THE  FINAL
 CASINO  LICENSE  AWARDED.  SHOULD  AN  APPLICANT  OR APPLICANTS COMMENCE
 GAMING ACTIVITIES PRIOR TO SUCH  DATES,  SUCH  APPLICANT  OR  APPLICANTS
 SHALL  BE  JOINTLY AND SEVERALLY LIABLE FOR PAYMENT OF THE PROPORTIONATE
 FEE FOR THE RESPECTIVE PERIOD REMAINING AS REQUIRED BY SECTION ONE THOU-
 SAND THREE HUNDRED ELEVEN OF THIS ARTICLE.
   § 1321-E. REQUIRED CAPITAL INVESTMENT. 1. THE  BOARD  SHALL  ESTABLISH
 THE  MINIMUM  CAPITAL  INVESTMENT  FOR  EACH  UNAWARDED  GAMING FACILITY
 LICENSE. SUCH INVESTMENT MAY INCLUDE, BUT NOT BE LIMITED  TO,  A  CASINO
 AREA,  HOTEL  AND  OTHER AMENITIES; AND PROVIDED FURTHER, THAT THE BOARD
 SHALL DETERMINE WHETHER IT WILL INCLUDE THE PURCHASE OR LEASE  PRICE  OF
 THE LAND WHERE THE GAMING FACILITY WILL BE LOCATED OR ANY INFRASTRUCTURE
 DESIGNED  TO  SUPPORT  THE SITE INCLUDING, BUT NOT LIMITED TO, DRAINAGE,
 UTILITY SUPPORT, ROADWAYS, INTERCHANGES, FILL AND SOIL OR GROUNDWATER OR
 SURFACE WATER CONTAMINATION ISSUES. THE BOARD MAY CONSIDER PRIVATE CAPI-
 TAL INVESTMENT MADE PREVIOUS TO THE EFFECTIVE DATE OF  THIS  TITLE,  BUT
 MAY,  IN  ITS  DISCRETION, DISCOUNT A PERCENTAGE OF THE INVESTMENT MADE.
 UPON AWARD OF A GAMING LICENSE BY THE COMMISSION, THE APPLICANT SHALL BE
 REQUIRED TO DEPOSIT TEN PERCENT OF THE TOTAL INVESTMENT PROPOSED IN  THE
 APPLICATION  INTO  AN INTEREST-BEARING ACCOUNT. MONIES RECEIVED FROM THE
 APPLICANT SHALL BE HELD IN ESCROW UNTIL THE FINAL STAGE OF CONSTRUCTION,
 AS  DETAILED  IN  THE  TIMELINE  OF  CONSTRUCTION  SUBMITTED  WITH   THE
 LICENSEE'S APPLICATION AND APPROVED BY THE COMMISSION, AT WHICH TIME THE
 DEPOSIT  PLUS  INTEREST  EARNED SHALL BE RETURNED TO THE APPLICANT TO BE
 APPLIED FOR THE FINAL STAGE. SHOULD THE APPLICANT BE UNABLE TO  COMPLETE
 THE  GAMING  FACILITY,  THE  DEPOSIT SHALL BE FORFEITED TO THE STATE. IN
 PLACE OF A CASH DEPOSIT, THE COMMISSION MAY ALLOW FOR  AN  APPLICANT  TO
 SECURE  A DEPOSIT BOND INSURING THAT TEN PERCENT OF THE PROPOSED CAPITAL
 INVESTMENT SHALL BE FORFEITED TO THE STATE IF THE APPLICANT IS UNABLE TO
 COMPLETE THE GAMING FACILITY.
 S. 8009                            73                            A. 9009
 
   2. EACH APPLICANT SHALL SUBMIT ITS PROPOSED  CAPITAL  INVESTMENT  WITH
 ITS  APPLICATION TO THE BOARD WHICH SHALL INCLUDE STAGES OF CONSTRUCTION
 OF THE GAMING FACILITY AND THE DEADLINE BY WHICH THE STAGES AND  OVERALL
 CONSTRUCTION  AND  ANY INFRASTRUCTURE IMPROVEMENTS WILL BE COMPLETED. IN
 AWARDING  A  LICENSE,  THE  COMMISSION  SHALL DETERMINE AT WHAT STAGE OF
 CONSTRUCTION A LICENSEE SHALL BE APPROVED TO OPEN FOR GAMING;  PROVIDED,
 HOWEVER,  THAT A LICENSEE SHALL NOT BE APPROVED TO OPEN FOR GAMING UNTIL
 THE COMMISSION HAS DETERMINED THAT AT LEAST THE GAMING  AREA  AND  OTHER
 ANCILLARY  ENTERTAINMENT  SERVICES AND NON-GAMING AMENITIES, AS REQUIRED
 BY THE BOARD, HAVE BEEN BUILT AND ARE OF A SUPERIOR QUALITY AS SET FORTH
 IN THE CONDITIONS OF LICENSURE.  THE  COMMISSION  SHALL  NOT  APPROVE  A
 GAMING  FACILITY  TO  OPEN BEFORE THE COMPLETION OF THE PERMANENT CASINO
 AREA.
   3. THE BOARD SHALL DETERMINE A LICENSING FEE TO BE PAID BY A  LICENSEE
 WITHIN  THIRTY DAYS AFTER THE AWARD OF THE LICENSE WHICH SHALL BE DEPOS-
 ITED INTO THE COMMERCIAL GAMING REVENUE  FUND.  THE  LICENSE  SHALL  SET
 FORTH  THE  CONDITIONS TO BE SATISFIED BY THE LICENSEE BEFORE THE GAMING
 FACILITY SHALL BE OPENED TO THE PUBLIC. THE  COMMISSION  SHALL  SET  ANY
 RENEWAL  FEE  FOR SUCH LICENSE BASED ON THE COST OF FEES ASSOCIATED WITH
 THE EVALUATION OF A LICENSEE UNDER THIS ARTICLE WHICH SHALL BE DEPOSITED
 INTO THE COMMERCIAL GAMING FUND.  SUCH RENEWAL FEE SHALL BE EXCLUSIVE OF
 ANY SUBSEQUENT LICENSING FEES UNDER THIS SECTION.
   4. THE COMMISSION SHALL DETERMINE THE SOURCES AND TOTAL AMOUNT  OF  AN
 APPLICANT'S  PROPOSED CAPITALIZATION TO DEVELOP, CONSTRUCT, MAINTAIN AND
 OPERATE A PROPOSED GAMING FACILITY UNDER THIS ARTICLE. UPON AWARD  OF  A
 GAMING  LICENSE, THE COMMISSION SHALL CONTINUE TO ASSESS THE CAPITALIZA-
 TION OF A LICENSEE FOR THE DURATION  OF  CONSTRUCTION  OF  THE  PROPOSED
 GAMING FACILITY AND THE TERM OF THE LICENSE.
   §  1321-F.  MINIMUM LICENSE THRESHOLDS.  THE MINIMUM LICENSING THRESH-
 OLDS SHALL BE THE SAME  AS  THOSE  ESTABLISHED  UNDER  SECTION  THIRTEEN
 HUNDRED SIXTEEN OF THIS ARTICLE.
   §  1321-G.  INVESTIGATION  OF LICENSE APPLICANTS.  THE PROCESS USED TO
 INVESTIGATE LICENSE APPLICANTS SHALL BE  THE  SAME  PROCESS  ESTABLISHED
 UNDER SECTION THIRTEEN HUNDRED SEVENTEEN OF THIS ARTICLE.
   §  1321-H.  DISQUALIFYING CRITERIA.  THE CRITERIA TO DISQUALIFY APPLI-
 CANTS SHALL BE THE  SAME  CRITERIA  USED  FOR  UPSTATE  GAMING  FACILITY
 LICENSING,  WHICH ARE ENUMERATED IN SECTION THIRTEEN HUNDRED EIGHTEEN OF
 THIS ARTICLE.
   § 1321-I. HEARINGS.  THE PROCESS USED FOR HEARINGS SHALL BE  THE  SAME
 PROCESS  ESTABLISHED  UNDER  SECTION  THIRTEEN  HUNDRED NINETEEN OF THIS
 ARTICLE.
   § 1321-J. SITING EVALUATION. IN DETERMINING WHETHER AN APPLICANT SHALL
 BE ELIGIBLE FOR A GAMING FACILITY LICENSE, THE BOARD SHALL EVALUATE  HOW
 EACH APPLICANT PROPOSES TO ADVANCE THE FOLLOWING OBJECTIVES WITH CONSID-
 ERATION  GIVEN  TO  THE DIFFERENCES BETWEEN PROPOSED PROJECTS RELATED TO
 WHETHER IT IS A CONVERSION OF AN EXISTING VIDEO LOTTERY GAMING  FACILITY
 OR  NEW  FACILITY CONSTRUCTION, AND THE PROPOSED LOCATION.  THE DECISION
 BY THE BOARD TO SELECT A GAMING  FACILITY  LICENSE  APPLICANT  SHALL  BE
 DETERMINED  BASED  ON THE FOLLOWING FACTORS WHICH SHALL INCLUDE, BUT NOT
 BE LIMITED TO:
   (A) REALIZING MAXIMUM CAPITAL INVESTMENT EXCLUSIVE OF LAND ACQUISITION
 AND INFRASTRUCTURE IMPROVEMENTS;
   (B) MAXIMIZING REVENUES RECEIVED BY THE STATE AND LOCALITIES;
   (C) PROVIDING THE HIGHEST NUMBER OF QUALITY JOBS IN THE GAMING FACILI-
 TY;
 S. 8009                            74                            A. 9009
 
   (D) BUILDING A GAMING FACILITY OF THE HIGHEST CALIBER WITH  A  VARIETY
 OF QUALITY AMENITIES TO BE INCLUDED AS PART OF THE GAMING FACILITY;
   (E)  OFFERING THE HIGHEST AND BEST VALUE TO PATRONS TO CREATE A SECURE
 AND ROBUST GAMING MARKET IN THE REGION AND THE STATE;
   (F) PROVIDING A MARKET ANALYSIS DETAILING THE  BENEFITS  OF  THE  SITE
 LOCATION  OF  THE  GAMING  FACILITY  AND THE ESTIMATED RECAPTURE RATE OF
 GAMING-RELATED SPENDING  BY  RESIDENTS  TRAVELLING  TO  AN  OUT-OF-STATE
 GAMING FACILITY;
   (G)  OFFERING  A  REASONABLE  AND  FEASIBLE  CONSTRUCTION  SCHEDULE TO
 COMPLETION OF THE FULL GAMING FACILITY;
   (H) DEMONSTRATING THE ABILITY TO FULLY FINANCE THE GAMING FACILITY;
   (I) DEMONSTRATING EXPERIENCE IN THE DEVELOPMENT  AND  OPERATION  OF  A
 QUALITY GAMING FACILITY;
   (J)  MITIGATING  POTENTIAL  IMPACTS  ON HOST AND NEARBY MUNICIPALITIES
 WHICH MIGHT RESULT FROM THE  DEVELOPMENT  OR  OPERATION  OF  THE  GAMING
 FACILITY;
   (K)  CAREFULLY CONSIDERING LOCAL VIEWS AND CONSULTING WITH APPROPRIATE
 LOCAL GOVERNMENTS;
   (L) OPERATING IN PARTNERSHIP WITH AND PROMOTING LOCAL HOTELS,  RESTAU-
 RANTS AND RETAIL FACILITIES SO THAT PATRONS EXPERIENCE THE FULL DIVERSI-
 FIED REGIONAL TOURISM INDUSTRY;
   (M)  ESTABLISHING  A  FAIR AND REASONABLE PARTNERSHIP WITH LIVE ENTER-
 TAINMENT VENUES THAT MAY BE IMPACTED BY A GAMING  FACILITY  UNDER  WHICH
 THE  GAMING  FACILITY ACTIVELY SUPPORTS THE MISSION AND THE OPERATION OF
 THE IMPACTED ENTERTAINMENT VENUES;
   (N) IMPLEMENTING A WORKFORCE DEVELOPMENT PLAN THAT UTILIZES THE EXIST-
 ING LABOR FORCE, INCLUDING THE ESTIMATED NUMBER OF CONSTRUCTION  JOBS  A
 PROPOSED  GAMING  FACILITY  WILL  GENERATE, THE DEVELOPMENT OF WORKFORCE
 TRAINING PROGRAMS THAT SERVE THE UNEMPLOYED AND  METHODS  FOR  ACCESSING
 EMPLOYMENT AT THE GAMING FACILITY;
   (O)  TAKING ADDITIONAL MEASURES TO ADDRESS PROBLEM GAMBLING INCLUDING,
 BUT NOT LIMITED TO, TRAINING OF GAMING  EMPLOYEES  TO  IDENTIFY  PATRONS
 EXHIBITING PROBLEMS WITH GAMBLING;
   (P)  UTILIZING  SUSTAINABLE  DEVELOPMENT PRINCIPLES INCLUDING, BUT NOT
 LIMITED TO:
   (1) HAVING NEW AND RENOVATION CONSTRUCTION CERTIFIED UNDER THE  APPRO-
 PRIATE  CERTIFICATION  CATEGORY IN THE LEADERSHIP IN ENERGY AND ENVIRON-
 MENTAL DESIGN GREEN BUILDING RATING SYSTEM CREATED BY THE UNITED  STATES
 GREEN BUILDING COUNCIL;
   (2) EFFORTS TO MITIGATE VEHICLE TRIPS;
   (3) EFFORTS TO CONSERVE WATER AND MANAGE STORM WATER;
   (4)  DEMONSTRATING  THAT  ELECTRICAL AND HVAC EQUIPMENT AND APPLIANCES
 WILL BE ENERGY STAR LABELED WHERE AVAILABLE;
   (5) PROCURING OR GENERATING ON-SITE TEN PERCENT OF  ITS  ANNUAL  ELEC-
 TRICITY CONSUMPTION FROM RENEWABLE SOURCES; AND
   (6)  DEVELOPING  AN  ONGOING  PLAN  TO  SUBMETER AND MONITOR ALL MAJOR
 SOURCES OF ENERGY CONSUMPTION AND UNDERTAKE REGULAR EFFORTS TO  MAINTAIN
 AND IMPROVE ENERGY EFFICIENCY OF BUILDINGS IN THEIR SYSTEMS;
   (Q)  ESTABLISHING,  FUNDING  AND MAINTAINING HUMAN RESOURCE HIRING AND
 TRAINING PRACTICES THAT PROMOTE THE DEVELOPMENT OF A SKILLED AND DIVERSE
 WORKFORCE AND ACCESS TO  PROMOTION  OPPORTUNITIES  THROUGH  A  WORKFORCE
 TRAINING PROGRAM THAT:
   (1)  ESTABLISHES  TRANSPARENT  CAREER  PATHS  WITH MEASURABLE CRITERIA
 WITHIN THE GAMING FACILITY THAT LEAD  TO  INCREASED  RESPONSIBILITY  AND
 HIGHER  PAY GRADES THAT ARE DESIGNED TO ALLOW EMPLOYEES TO PURSUE CAREER
 ADVANCEMENT AND PROMOTION;
 S. 8009                            75                            A. 9009
 
   (2) PROVIDES EMPLOYEE ACCESS TO ADDITIONAL RESOURCES, SUCH AS  TUITION
 REIMBURSEMENT  OR  STIPEND  POLICIES, TO ENABLE EMPLOYEES TO ACQUIRE THE
 EDUCATION OR JOB TRAINING  NEEDED  TO  ADVANCE  CAREER  PATHS  BASED  ON
 INCREASED RESPONSIBILITY AND PAY GRADES; AND
   (3) ESTABLISHES AN ON-SITE CHILD DAY CARE PROGRAM;
   (R)  PURCHASING,  WHENEVER  POSSIBLE,  DOMESTICALLY  MANUFACTURED SLOT
 MACHINES FOR INSTALLATION IN THE GAMING FACILITY;
   (S) IMPLEMENTING A WORKFORCE DEVELOPMENT PLAN THAT:
   (1) INCORPORATES AN AFFIRMATIVE ACTION PROGRAM OF EQUAL OPPORTUNITY BY
 WHICH THE APPLICANT GUARANTEES TO PROVIDE EQUAL EMPLOYMENT OPPORTUNITIES
 TO ALL EMPLOYEES QUALIFIED FOR LICENSURE IN ALL  EMPLOYMENT  CATEGORIES,
 INCLUDING PERSONS WITH DISABILITIES;
   (2) UTILIZES THE EXISTING LABOR FORCE IN THE STATE;
   (3)  ESTIMATES  THE NUMBER OF CONSTRUCTION JOBS A GAMING FACILITY WILL
 GENERATE AND PROVIDES  FOR  EQUAL  EMPLOYMENT  OPPORTUNITIES  AND  WHICH
 INCLUDES  SPECIFIC  GOALS  FOR  THE UTILIZATION OF MINORITIES, WOMEN AND
 VETERANS ON THOSE CONSTRUCTION JOBS;
   (4) IDENTIFIES WORKFORCE  TRAINING  PROGRAMS  OFFERED  BY  THE  GAMING
 FACILITY; AND
   (5)  IDENTIFIES  THE  METHODS  FOR  ACCESSING EMPLOYMENT AT THE GAMING
 FACILITY; AND
   (T) DEMONSTRATING THAT THE APPLICANT HAS AN AGREEMENT  WITH  ORGANIZED
 LABOR,  INCLUDING HOSPITALITY SERVICES, AND HAS THE SUPPORT OF ORGANIZED
 LABOR FOR ITS APPLICATION, WHICH SPECIFIES:
   (1) THE NUMBER OF EMPLOYEES TO BE EMPLOYED  AT  THE  GAMING  FACILITY,
 INCLUDING  DETAILED INFORMATION ON THE PAY RATE AND BENEFITS FOR EMPLOY-
 EES AND CONTRACTORS  IN  THE  GAMING  FACILITY  AND  ALL  INFRASTRUCTURE
 IMPROVEMENTS RELATED TO THE PROJECT; AND
   (2) DETAILED PLANS FOR ASSURING LABOR HARMONY DURING ALL PHASES OF THE
 CONSTRUCTION,  RECONSTRUCTION,  RENOVATION, DEVELOPMENT AND OPERATION OF
 THE GAMING FACILITY.
   § 8. Section 1351 of the racing, pari-mutuel wagering and breeding law
 is amended by adding a new subdivision 1-a to read as follows:
   1-A.  FOR A GAMING FACILITY LICENSED PURSUANT TO TITLE TWO-A  OF  THIS
 ARTICLE, THERE IS HEREBY IMPOSED A TAX ON GROSS GAMING REVENUES WITH THE
 RATES  TO  BE  DETERMINED BY THE GAMING COMMISSION PURSUANT TO A COMPET-
 ITIVE BIDDING PROCESS AS OUTLINED IN TITLE TWO-A OF THIS ARTICLE.
   § 9. This act shall take effect immediately.
 
                                  PART DD
 
   Section 1. Section 509-a  of  the  racing,  pari-mutuel  wagering  and
 breeding  law,  as amended by section 1 of part LLL of chapter 59 of the
 laws of 2021, is amended to read as follows:
   § 509-a. Capital acquisition fund. 1. The corporation may  create  and
 establish  a  capital  acquisition fund for the purpose of financing the
 acquisition, construction or equipping of offices, facilities  or  prem-
 ises  of the corporation. Such capital acquisition fund shall consist of
 (i) the amounts specified pursuant to  subdivision  three-a  of  section
 five hundred thirty-two of this chapter; and (ii) contributions from the
 corporation's pari-mutuel wagering pools, subject to the following limi-
 tations:
   a. no contribution shall exceed the amount of one percent of the total
 pari-mutuel  wagering pools for the quarter in which the contribution is
 made;
 S. 8009                            76                            A. 9009
 
   b. no contribution shall reduce the amount of quarterly net  revenues,
 exclusive of surcharge revenues, to an amount less than fifty percent of
 such net revenues; and
   c.  the balance of the fund shall not exceed the lesser of one percent
 of total pari-mutuel wagering pools for the previous  twelve  months  or
 the  undepreciated  value  of  the corporation's offices, facilities and
 premises.
   2. A. Notwithstanding any other provision of law or regulation to  the
 contrary,  FROM APRIL NINETEENTH, TWO THOUSAND TWENTY-ONE TO MARCH THIR-
 TY-FIRST, TWO THOUSAND TWENTY-TWO, twenty-three percent  of  the  funds,
 not  to  exceed  two  and one-half million dollars, in the Catskill off-
 track betting corporation's capital acquisition  fund  and  twenty-three
 percent of the funds, not to exceed four hundred forty thousand dollars,
 in  the Capital off-track betting corporation's capital acquisition fund
 established pursuant to this section shall also  be  available  to  such
 off-track betting corporation for the purposes of statutory obligations,
 payroll, and expenditures necessary to accept authorized wagers.
   B.    NOTWITHSTANDING  ANY  OTHER PROVISION OF LAW  OR  REGULATION  TO
 THE CONTRARY,  FROM APRIL FIRST, TWO THOUSAND TWENTY-TWO TO MARCH  THIR-
 TY-FIRST,  TWO THOUSAND TWENTY-THREE, TWENTY-THREE PERCENT OF THE FUNDS,
 NOT TO EXCEED FOUR HUNDRED FORTY THOUSAND DOLLARS,    IN    THE  CAPITAL
 OFF-TRACK   BETTING  CORPORATION'S  CAPITAL ACQUISITION FUND ESTABLISHED
 PURSUANT TO   THIS SECTION SHALL ALSO BE  AVAILABLE  TO  SUCH  OFF-TRACK
 BETTING    CORPORATION    FOR  THE  PURPOSES  OF  STATUTORY OBLIGATIONS,
 PAYROLL, AND EXPENDITURES NECESSARY TO ACCEPT AUTHORIZED WAGERS.
   3. The Catskill off-track betting corporation  and  the  Capital  off-
 track  betting  corporation shall make a report to the governor, speaker
 of the assembly, temporary president of the senate  and  the  commission
 detailing  the  actual  use  of  the funds made available in the capital
 acquisition fund. Such report shall include, but not be limited to,  any
 impact on employment levels since utilizing the funds, the status of any
 statutory  obligations,  an accounting of the use of such funds, and any
 other information as deemed necessary by  the  commission.  Such  report
 shall  be due no later than the [first day of April two thousand twenty-
 two] LAST DAY OF THE FISCAL YEAR IN WHICH THE MONIES WERE SPENT.
   § 2.  Section 2 of part LLL of chapter 59 of the laws of 2021 amending
 the racing, pari-mutuel  wagering  and   breeding law, relating  to  the
 utilization  of  funds  in  the Catskill and Capital  regions  off-track
 betting  corporation's  capital  acquisition  funds, is amended to  read
 as follows:
   §  2.  This act shall take effect immediately [and shall expire and be
 deemed repealed one year after such date].
   § 3. This act shall take effect immediately.
 
                                  PART EE
 
   Section 1. Paragraph (a) of subdivision  1  of  section  1003  of  the
 racing,  pari-mutuel  wagering and breeding law, as amended by section 1
 of part DD of chapter 59 of the laws of 2021,  is  amended  to  read  as
 follows:
   (a)  Any  racing  association  or  corporation  or  regional off-track
 betting corporation, authorized to conduct  pari-mutuel  wagering  under
 this  chapter, desiring to display the simulcast of horse races on which
 pari-mutuel betting shall be permitted in the manner and subject to  the
 conditions  provided for in this article may apply to the commission for
 a license so to do. Applications for licenses shall be in such  form  as
 S. 8009                            77                            A. 9009
 
 may  be  prescribed by the commission and shall contain such information
 or other material or evidence as the commission may require. No  license
 shall be issued by the commission authorizing the simulcast transmission
 of  thoroughbred  races  from a track located in Suffolk county. The fee
 for such licenses shall be five hundred dollars per  simulcast  facility
 and  for  account wagering licensees that do not operate either a simul-
 cast facility that is open to the public within the state of New York or
 a licensed racetrack within the state, twenty thousand dollars per  year
 payable  by  the licensee to the commission for deposit into the general
 fund. Except as provided in  this  section,  the  commission  shall  not
 approve any application to conduct simulcasting into individual or group
 residences,  homes  or  other areas for the purposes of or in connection
 with pari-mutuel wagering. The commission may approve simulcasting  into
 residences,  homes or other areas to be conducted jointly by one or more
 regional off-track betting corporations and one or more of  the  follow-
 ing:  a  franchised  corporation,  thoroughbred  racing corporation or a
 harness racing corporation or association; provided (i) the simulcasting
 consists only of those races on which pari-mutuel betting is  authorized
 by  this  chapter  at  one  or more simulcast facilities for each of the
 contracting off-track betting corporations which  shall  include  wagers
 made  in  accordance  with  section  one  thousand fifteen, one thousand
 sixteen and one thousand seventeen of  this  article;  provided  further
 that  the  contract  provisions or other simulcast arrangements for such
 simulcast facility shall be no less favorable than those  in  effect  on
 January  first,  two  thousand  five;  (ii)  that each off-track betting
 corporation having within its  geographic  boundaries  such  residences,
 homes  or  other  areas  technically  capable of receiving the simulcast
 signal shall be a contracting party; (iii) the distribution of  revenues
 shall  be  subject  to  contractual agreement of the parties except that
 statutory payments to  non-contracting  parties,  if  any,  may  not  be
 reduced;  provided,  however,  that nothing herein to the contrary shall
 prevent a track from televising its races on an irregular basis primari-
 ly for promotional or marketing purposes as found by the commission. For
 purposes of this paragraph, the provisions of section one thousand thir-
 teen of this article shall  not  apply.  Any  agreement  authorizing  an
 in-home simulcasting experiment commencing prior to May fifteenth, nine-
 teen hundred ninety-five, may, and all its terms, be extended until June
 thirtieth,  two  thousand  [twenty-two] TWENTY-THREE; provided, however,
 that any party to such agreement may elect to terminate  such  agreement
 upon  conveying written notice to all other parties of such agreement at
 least forty-five days prior to the effective date  of  the  termination,
 via  registered mail. Any party to an agreement receiving such notice of
 an intent to terminate, may request the commission  to  mediate  between
 the  parties new terms and conditions in a replacement agreement between
 the parties as will permit continuation of an in-home  experiment  until
 June  thirtieth,  two  thousand  [twenty-two]  TWENTY-THREE; and (iv) no
 in-home simulcasting in the thoroughbred special betting district  shall
 occur without the approval of the regional thoroughbred track.
   §  2.  Subparagraph  (iii)  of paragraph d of subdivision 3 of section
 1007 of the racing, pari-mutuel wagering and breeding law, as amended by
 section 2 of part DD of chapter 59 of the laws of 2021,  is  amended  to
 read as follows:
   (iii) Of the sums retained by a receiving track located in Westchester
 county  on  races received from a franchised corporation, for the period
 commencing January first, two thousand eight and continuing through June
 thirtieth, two  thousand  [twenty-two]  TWENTY-THREE,  the  amount  used
 S. 8009                            78                            A. 9009
 
 exclusively  for purses to be awarded at races conducted by such receiv-
 ing track shall be computed as follows: of the sums so retained, two and
 one-half percent of the total pools. Such amount shall be  increased  or
 decreased  in  the  amount  of  fifty percent of the difference in total
 commissions determined by  comparing  the  total  commissions  available
 after  July  twenty-first,  nineteen  hundred  ninety-five  to the total
 commissions that would have been available to such track prior  to  July
 twenty-first, nineteen hundred ninety-five.
   §  3.  The  opening  paragraph of subdivision 1 of section 1014 of the
 racing, pari-mutuel wagering and breeding law, as amended by  section  3
 of  part  DD  of  chapter  59 of the laws of 2021, is amended to read as
 follows:
   The provisions of this section shall govern the simulcasting of  races
 conducted  at thoroughbred tracks located in another state or country on
 any day during which a franchised corporation is conducting a race meet-
 ing in Saratoga county at Saratoga  thoroughbred  racetrack  until  June
 thirtieth, two thousand [twenty-two] TWENTY-THREE and on any day regard-
 less  of  whether  or  not a franchised corporation is conducting a race
 meeting in Saratoga county at Saratoga thoroughbred racetrack after June
 thirtieth, two thousand [twenty-two] TWENTY-THREE. On any day on which a
 franchised  corporation  has  not  scheduled  a  racing  program  but  a
 thoroughbred  racing  corporation located within the state is conducting
 racing, each off-track betting corporation branch office and each simul-
 casting facility licensed in accordance with section one thousand  seven
 (that  has  entered into a written agreement with such facility's repre-
 sentative horsemen's organization, as approved by the  commission),  one
 thousand eight, or one thousand nine of this article shall be authorized
 to accept wagers and display the live simulcast signal from thoroughbred
 tracks  located  in  another  state  or  foreign  country subject to the
 following provisions:
   § 4. Subdivision 1 of section 1015 of the racing, pari-mutuel wagering
 and breeding law, as amended by section 4 of part DD of  chapter  59  of
 the laws of 2021, is amended to read as follows:
   1.  The  provisions  of  this section shall govern the simulcasting of
 races conducted at harness tracks located in another  state  or  country
 during  the period July first, nineteen hundred ninety-four through June
 thirtieth, two thousand [twenty-two] TWENTY-THREE.  This  section  shall
 supersede all inconsistent provisions of this chapter.
   §  5.  The  opening  paragraph of subdivision 1 of section 1016 of the
 racing, pari-mutuel wagering and breeding law, as amended by  section  5
 of  part  DD  of  chapter  59 of the laws of 2021, is amended to read as
 follows:
   The provisions of this section shall govern the simulcasting of  races
 conducted  at thoroughbred tracks located in another state or country on
 any day during which a franchised corporation is not conducting  a  race
 meeting in Saratoga county at Saratoga thoroughbred racetrack until June
 thirtieth,  two  thousand  [twenty-two]  TWENTY-THREE.   Every off-track
 betting  corporation  branch  office  and  every  simulcasting  facility
 licensed in accordance with section one thousand seven that have entered
 into  a written agreement with such facility's representative horsemen's
 organization as approved by the commission, one thousand  eight  or  one
 thousand  nine  of this article shall be authorized to accept wagers and
 display the live  full-card  simulcast  signal  of  thoroughbred  tracks
 (which  may  include  quarter  horse or mixed meetings provided that all
 such wagering on such races shall be construed to be thoroughbred races)
 located in another state or foreign country, subject  to  the  following
 S. 8009                            79                            A. 9009

 provisions;  provided,  however,  no  such  written  agreement  shall be
 required of a franchised corporation licensed in accordance with section
 one thousand seven of this article:
   §  6. The opening paragraph of section 1018 of the racing, pari-mutuel
 wagering and breeding law, as amended by section 6 of part DD of chapter
 59 of the laws of 2021, is amended to read as follows:
   Notwithstanding any other provision of this chapter,  for  the  period
 July  twenty-fifth, two thousand one through September eighth, two thou-
 sand [twenty-one] TWENTY-TWO, when a franchised corporation is  conduct-
 ing  a race meeting within the state at Saratoga Race Course, every off-
 track betting corporation branch office and every simulcasting  facility
 licensed in accordance with section one thousand seven (that has entered
 into  a written agreement with such facility's representative horsemen's
 organization as approved by the commission), one thousand eight  or  one
 thousand  nine  of this article shall be authorized to accept wagers and
 display the live simulcast signal from thoroughbred  tracks  located  in
 another  state, provided that such facility shall accept wagers on races
 run at all in-state thoroughbred  tracks  which  are  conducting  racing
 programs subject to the following provisions; provided, however, no such
 written agreement shall be required of a franchised corporation licensed
 in accordance with section one thousand seven of this article.
   §  7.  Section  32  of  chapter  281 of the laws of 1994, amending the
 racing, pari-mutuel wagering and breeding law and other laws relating to
 simulcasting, as amended by section 7 of part DD of chapter  59  of  the
 laws of 2021, is amended to read as follows:
   §  32.  This act shall take effect immediately and the pari-mutuel tax
 reductions in section six  of  this  act  shall  expire  and  be  deemed
 repealed  on  July  1,  [2022]  2023;  provided,  however,  that nothing
 contained herein shall be deemed to affect the  application,  qualifica-
 tion,  expiration,  or  repeal  of  any  provision of law amended by any
 section of this act, and such provisions shall be applied  or  qualified
 or  shall  expire  or be deemed repealed in the same manner, to the same
 extent and on the same date as the case may be as otherwise provided  by
 law;  provided  further, however, that sections twenty-three and twenty-
 five of this act shall remain in full force and effect only until May 1,
 1997 and at such time shall be deemed to be repealed.
   § 8. Section 54 of chapter 346 of  the  laws  of  1990,  amending  the
 racing, pari-mutuel wagering and breeding law and other laws relating to
 simulcasting  and the imposition of certain taxes, as amended by section
 8 of part DD of chapter 59 of the laws of 2021, is amended  to  read  as
 follows:
   §  54.  This  act  shall  take  effect immediately; provided, however,
 sections three through twelve of this act shall take effect  on  January
 1, 1991, and section 1013 of the racing, pari-mutuel wagering and breed-
 ing  law, as added by section thirty-eight of this act, shall expire and
 be deemed repealed on July 1, [2022] 2023; and section eighteen of  this
 act  shall take effect on July 1, 2008 and sections fifty-one and fifty-
 two of this act shall take effect as of the same date as chapter 772  of
 the laws of 1989 took effect.
   §  9.  Paragraph  (a)  of  subdivision 1 of section 238 of the racing,
 pari-mutuel wagering and breeding law, as amended by section 9  of  part
 DD of chapter 59 of the laws of 2021, is amended to read as follows:
   (a)  The  franchised  corporation  authorized  under  this  chapter to
 conduct pari-mutuel betting at a race meeting or races run thereat shall
 distribute all sums deposited in any pari-mutuel pool to the holders  of
 winning tickets therein, provided such tickets are presented for payment
 S. 8009                            80                            A. 9009
 
 before  April  first  of  the year following the year of their purchase,
 less an amount that shall be established and retained by such franchised
 corporation of between twelve to seventeen percent of the total deposits
 in  pools  resulting from on-track regular bets, and fourteen to twenty-
 one percent of the total  deposits  in  pools  resulting  from  on-track
 multiple  bets  and fifteen to twenty-five percent of the total deposits
 in pools resulting from on-track exotic bets and fifteen  to  thirty-six
 percent  of  the  total  deposits in pools resulting from on-track super
 exotic bets, plus the breaks. The retention rate to  be  established  is
 subject to the prior approval of the commission.
   Such rate may not be changed more than once per calendar quarter to be
 effective  on  the  first day of the calendar quarter. "Exotic bets" and
 "multiple bets" shall have  the  meanings  set  forth  in  section  five
 hundred  nineteen  of  this  chapter. "Super exotic bets" shall have the
 meaning set forth in section three hundred  one  of  this  chapter.  For
 purposes  of  this  section, a "pick six bet" shall mean a single bet or
 wager on the outcomes of six races. The breaks are hereby defined as the
 odd cents over any multiple of five for payoffs greater than one  dollar
 five  cents  but  less  than  five dollars, over any multiple of ten for
 payoffs greater than five dollars but  less  than  twenty-five  dollars,
 over  any  multiple  of twenty-five for payoffs greater than twenty-five
 dollars but less than two hundred fifty dollars, or over any multiple of
 fifty for payoffs over two hundred fifty dollars. Out of the  amount  so
 retained  there  shall  be  paid  by  such franchised corporation to the
 commissioner of taxation and finance, as a reasonable tax by  the  state
 for  the privilege of conducting pari-mutuel betting on the races run at
 the race meetings held by such  franchised  corporation,  the  following
 percentages of the total pool for regular and multiple bets five percent
 of regular bets and four percent of multiple bets plus twenty percent of
 the  breaks;  for  exotic  wagers seven and one-half percent plus twenty
 percent of the breaks, and for super  exotic  bets  seven  and  one-half
 percent plus fifty percent of the breaks.
   For  the period April first, two thousand one through December thirty-
 first, two thousand [twenty-two] TWENTY-THREE, such tax  on  all  wagers
 shall  be  one and six-tenths percent, plus, in each such period, twenty
 percent of the breaks. Payment to the New York state thoroughbred breed-
 ing and development fund by such franchised corporation  shall  be  one-
 half  of one percent of total daily on-track pari-mutuel pools resulting
 from regular, multiple and exotic bets and three percent of super exotic
 bets and for the period April first, two thousand one  through  December
 thirty-first, two thousand [twenty-two] TWENTY-THREE, such payment shall
 be seven-tenths of one percent of regular, multiple and exotic pools.
   § 10. This act shall take effect immediately.
   § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
 sion,  section  or  part  of  this act shall be adjudged by any court of
 competent jurisdiction to be invalid, such judgment  shall  not  affect,
 impair,  or  invalidate  the remainder thereof, but shall be confined in
 its operation to the clause, sentence, paragraph,  subdivision,  section
 or part thereof directly involved in the controversy in which such judg-
 ment shall have been rendered. It is hereby declared to be the intent of
 the  legislature  that  this  act  would  have been enacted even if such
 invalid provisions had not been included herein.
   § 3. This act shall take effect immediately  provided,  however,  that
 the applicable effective date of Parts A through EE of this act shall be
 as specifically set forth in the last section of such Parts.

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
     S. 8009--A                                            A. 9009--A
 
                       S E N A T E - A S S E M B L Y
 
                             January 19, 2022
                                ___________
 
 IN  SENATE -- A BUDGET BILL, submitted by the Governor pursuant to arti-
   cle seven of the Constitution -- read twice and ordered  printed,  and
   when  printed to be committed to the Committee on Finance -- committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to said committee
 
 IN ASSEMBLY -- A BUDGET BILL, submitted  by  the  Governor  pursuant  to
   article  seven  of  the  Constitution -- read once and referred to the
   Committee on Ways and Means --  committee  discharged,  bill  amended,
   ordered reprinted as amended and recommitted to said committee
 
 AN  ACT  to  amend  the tax law, in relation to accelerating the middle-
   class tax cut (Part A); to amend the tax law, in relation to providing
   an enhanced investment tax credit to farmers (Subpart A); to amend the
   tax law and chapter 60 of the laws of 2016 amending the tax law relat-
   ing to creating a farm workforce retention credit, in relation to  the
   effectiveness of such credit (Subpart B); and to amend the tax law, in
   relation  to  establishing a farm employer overtime credit (Subpart C)
   (Part B); to amend the tax law and the administrative code of the city
   of New York, in relation to expanding the small  business  subtraction
   modification  (Part C); to amend the tax law, in relation to excluding
   certain loan forgiveness awards from state income  tax  (Part  D);  to
   amend  the  economic  development  law and the tax law, in relation to
   creating the COVID-19 capital costs tax credit program  (Part  E);  to
   amend  the tax law and the state finance law, in relation to extending
   and expanding the New York city musical and theatrical production  tax
   credit  and  the  purposes  of  the New York state council on the arts
   cultural programs fund; and to amend subpart B of part PP  of  chapter
   59  of the laws of 2021 amending the tax law and the state finance law
   relating to establishing the New  York  city  musical  and  theatrical
   production  tax  credit and establishing the New York state council on
   the arts cultural program fund, in relation to the effectiveness ther-
   eof (Part F); to amend the tax law,  in  relation  to  establishing  a
   permanent  rate  for  the  metropolitan  transportation  business  tax
   surcharge (Part G); to amend the tax law, in relation to extending and
   modifying the hire a vet credit (Part H); to amend  the  tax  law,  in
   relation  to  establishing  a tax credit for the conversion from grade
   no. 6 heating oil  usage  to  biodiesel  heating  oil  and  geothermal
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                       [ ] is old law to be omitted.
                                                            LBD12674-02-2
 S. 8009--A                          2                         A. 9009--A
 
   systems  (Part  I);  to  amend  the public housing law, in relation to
   extending the credit  against  income  tax  for  persons  or  entities
   investing  in  low-income  housing  (Part J); to amend the tax law, in
   relation  to  extending  the   clean   heating fuel credit  for  three
   years  (Part K); to amend chapter 604 of the laws of 2011 amending the
   tax law relating to the credit for companies who  provide  transporta-
   tion  to  people  with  disabilities, in relation to the effectiveness
   thereof; and to amend the tax law, in relation to the application of a
   credit for companies who provide transportation  to  individuals  with
   disabilities (Part L); to amend the tax law, in relation to the empire
   state film production credit and the empire state film post production
   credit  (Part M); to amend the labor law, in relation to extending the
   New York youth jobs program tax credit (Part N); to  amend  the  labor
   law,  in  relation  to  extending  the empire state apprenticeship tax
   credit program (Part O); to amend the tax law, in relation to  extend-
   ing  the  alternative  fuels  and electric vehicle recharging property
   credit (Part P); to amend the labor law, in relation  to  the  program
   period  for  the  workers with disabilities tax credit program; and to
   amend part MM of chapter 59 of the laws of 2014 amending the labor law
   and the tax law relating to the creation of the workers with disabili-
   ties tax credit program, in  relation  to  the  effectiveness  thereof
   (Part Q); to amend the tax law, in relation to making changes conform-
   ing  to  the federal taxation of S corporations; and to repeal certain
   provisions of such law relating thereto (Part R);  to  amend  the  tax
   law,  in  relation to the investment tax credit (Part S); to amend the
   tax law, in relation to exempting certain fuels used by  tugboats  and
   towboats  from  the  petroleum business tax (Part T); to amend the tax
   law, in relation to the authority of  counties  to  impose  sales  and
   compensating  use  taxes; and to repeal certain provisions of such law
   relating thereto (Part U); to  amend  the  tax  law,  in  relation  to
   requiring  vacation  rental  marketplace  providers  collect sales tax
   (Part V); to amend the tax law in relation to requiring publication of
   changes in withholding tables and interest rates (Part  W);  to  amend
   the  tax  law,  in  relation  to expanding the definition of financial
   institution under the financial institution data match  program  (Part
   X);  to amend the real property tax law and chapter 475 of the laws of
   2013, relating to assessment ceilings for local  public  utility  mass
   real  property,  in  relation  to extending the assessment ceiling for
   local public utility mass real property to January 1, 2027  (Part  Y);
   to  amend the real property tax law, in relation to good cause refunds
   for the STAR program (Subpart A); to amend the real property tax  law,
   in relation to moving up the deadline for taxpayers to switch from the
   STAR  exemption  to the STAR credit (Subpart B); to amend the tax law,
   in relation to clarifying the applicable income tax year for the basic
   STAR credit (Subpart C); to amend the tax law, in relation to allowing
   names of STAR credit recipients to be shared with assessors outside of
   New York state (Subpart D); and to amend the  tax  law  and  the  real
   property tax law, in relation to allowing decedent reports to be given
   to  assessors  and improving the tax enforcement process as it relates
   to decedents (Subpart E) (Part Z); to amend the real property tax law,
   in relation to the grievance process with respect to the valuation  of
   solar  and  wind  energy  systems  (Part AA); to amend the tax law, in
   relation to establishing a homeowner tax rebate credit (Part  BB);  to
   amend  the  racing, pari-mutuel wagering and breeding law, in relation
   to gaming facility determinations and licensing (Part  CC);  to  amend
   the  racing, pari-mutuel   wagering  and  breeding law, in relation to
 S. 8009--A                          3                         A. 9009--A
 
   the utilization of funds in the Catskill and  Capital    regions  off-
   track  betting  corporation's  capital acquisition funds; and to amend
   chapter 59 of the laws of 2021 amending the racing, pari-mutuel wager-
   ing  and  breeding  law,  relating  to the utilization of funds in the
   Catskill and Capital regions off-track betting  corporation's  capital
   acquisition funds, in relation to the effectiveness thereof (Part DD);
   and  to  amend  the  racing, pari-mutuel wagering and breeding law, in
   relation to licenses for simulcast facilities, sums relating to  track
   simulcast,  simulcast of out-of-state thoroughbred races, simulcasting
   of races run by  out-of-state  harness  tracks  and  distributions  of
   wagers;  to amend chapter 281 of the laws of 1994 amending the racing,
   pari-mutuel wagering and breeding  law  and  other  laws  relating  to
   simulcasting;  to  amend  chapter 346 of the laws of 1990 amending the
   racing, pari-mutuel wagering and breeding law and other laws  relating
   to  simulcasting  and  the imposition of certain taxes, in relation to
   extending certain provisions thereof; and to amend the  racing,  pari-
   mutuel  wagering  and  breeding  law, in relation to extending certain
   provisions thereof (Part EE)
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  This  act enacts into law major components of legislation
 which are necessary to implement the state fiscal plan for the 2022-2023
 state fiscal year. Each component is  wholly  contained  within  a  Part
 identified as Parts A through EE. The effective date for each particular
 provision contained within such Part is set forth in the last section of
 such  Part.    Any  provision  in  any  section contained within a Part,
 including the effective date of the Part, which makes a reference  to  a
 section  "of  this  act",  when  used in connection with that particular
 component, shall be deemed  to  mean  and  refer  to  the  corresponding
 section of the Part in which it is found. Section three of this act sets
 forth the general effective date of this act.
 
                                  PART A
 
   Section 1. Clauses (vi), (vii), (viii) and (ix) of subparagraph (B) of
 paragraph  1  of  subsection  (a) of section 601 of the tax law, clauses
 (vi), (vii) and (viii) as amended and clause (ix) as added by section  1
 of  part  A  of  chapter  59 of the laws of 2021, are amended to read as
 follows:
   (vi) For taxable years beginning  in  two  thousand  twenty-three  AND
 BEFORE TWO THOUSAND TWENTY-EIGHT the following rates shall apply:
 [If the New York taxable income is:   The tax is:
 Not over $17,150                      4% of the New York taxable income
 Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
                                       $17,150
 Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
                                       $23,600
 Over $27,900 but not over $161,550    $1,202 plus 5.73% of excess over
                                       $27,900
 Over $161,550 but not over $323,200   $8,860 plus 6.17% of excess over
                                       $161,550
 Over $323,200 but not over            $18,834 plus 6.85% of
 $2,155,350                            excess over $323,200
 S. 8009--A                          4                         A. 9009--A

 Over $2,155,350 but not over          $144,336 plus 9.65% of excess over
 $5,000,000                            $2,155,350
 Over $5,000,000 but not over          $418,845 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,478,845 plus 10.90% of excess over
                                       $25,000,000
   (vii)  For  taxable  years  beginning  in two thousand twenty-four the
 following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $17,150                      4% of the New York taxable income
 Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
                                       $17,150
 Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
                                       $23,600
 Over $27,900 but not over $161,550    $1,202 plus 5.61% of excess over
                                       $27,900
 Over $161,550 but not over $323,200   $8,700 plus 6.09% of excess over
                                       $161,550
 Over $323,200 but not over            $18,544 plus 6.85% of excess over
 $2,155,350                            $323,200
 Over $2,155,350 but not over          $144,047 plus 9.65% of excess over
 $5,000,000                            $2,155,350
 Over $5,000,000 but not over          $418,555 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,478,555 plus 10.90% of excess over
                                       $25,000,000
   (viii) For taxable years beginning after two thousand twenty-four  and
 before two thousand twenty-eight the following rates shall apply:]
 If the New York taxable income is:    The tax is:
 Not over $17,150                      4% of the New York taxable income
 Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
                                       $17,150
 Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
                                       $23,600
 Over $27,900 but not over $161,550    $1,202 plus 5.5% of excess over
                                       $27,900
 Over $161,550 but not over $323,200   $8,553 plus 6.00% of excess over
                                       $161,550
 Over $323,200 but not over            $18,252 plus 6.85% of excess over
 $2,155,350                            $323,200
 Over $2,155,350 but not over          $143,754 plus 9.65% of excess over
 $5,000,000                            $2,155,350
 Over $5,000,000 but not over          $418,263 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,478,263 plus 10.90% of excess over
                                       $25,000,000
 
   [(ix)](VII) For taxable years beginning after two thousand twenty-sev-
 en the following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $17,150                      4% of the New York taxable income
 Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
                                       $17,150
 Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
                                       $23,600
 Over $27,900 but not over $161,550    $1,202 plus 5.5% of excess over
 S. 8009--A                          5                         A. 9009--A
 
                                       $27,900
 Over $161,550 but not over $323,200   $8,553 plus 6.00% of excess
                                       over $161,550
 Over $323,200 but not over            $18,252 plus 6.85% of excess
 $2,155,350                            over $323,200
 Over $2,155,350                       $143,754 plus  8.82% of excess
                                       over $2,155,350
 
   § 2. Clauses (vi), (vii), (viii) and (ix) of subparagraph (B) of para-
 graph  1  of subsection (b) of section 601 of the tax law, clauses (vi),
 (vii) and (viii) as amended and clause (ix) as added  by  section  2  of
 part  A  of  chapter  59  of  the  laws  of 2021, are amended to read as
 follows:
   (vi) For taxable years beginning  in  two  thousand  twenty-three  AND
 BEFORE TWO THOUSAND TWENTY-EIGHT the following rates shall apply:
 [If the New York taxable income is:   The tax is:
 Not over $12,800                      4% of the New York taxable income
 Over $12,800 but not over $17,650     $512 plus 4.5% of excess over
                                       $12,800
 Over $17,650 but not over $20,900     $730 plus 5.25% of excess over
                                       $17,650
 Over $20,900 but not over $107,650    $901 plus 5.73% of excess over
                                       $20,900
 Over $107,650 but not over $269,300   $5,872 plus 6.17% of excess over
                                       $107,650
 Over $269,300 but not over            $15,845 plus 6.85% of excess
 $1,616,450                            over $269,300
 Over $1,616,450 but not over          $108,125 plus 9.65% of excess over
 $5,000,000                            $1,616,450
 Over $5,000,000 but not over          $434,638 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,494,638 plus 10.90% of excess over
                                       $25,000,000
   (vii)  For  taxable  years  beginning  in two thousand twenty-four the
 following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $12,800                      4% of the New York taxable income
 Over $12,800 but not over $17,650     $512 plus 4.5% of excess over
                                       $12,800
 Over $17,650 but not over $20,900     $730 plus 5.25% of excess over
                                       $17,650
 Over $20,900 but not over $107,650    $901 plus 5.61% of excess over
                                       $20,900
 Over $107,650 but not over $269,300   $5,768 plus 6.09% of excess over
                                       $107,650
 Over $269,300 but not over            $15,612 plus 6.85% of excess
 $1,616,450                            over $269,300
 Over $1,616,450 but not over          $107,892 plus 9.65% of excess over
 $5,000,000                            $1,616,450
 Over $5,000,000 but not over          $434,404 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,494,404 plus 10.90% of excess over
                                       $25,000,000
   (viii) For taxable years beginning after two thousand twenty-four  and
 before two thousand twenty-eight the following rates shall apply:]
 S. 8009--A                          6                         A. 9009--A

 If the New York taxable income is:    The tax is:
 Not over $12,800                      4% of the New York taxable income
 Over $12,800 but not over $17,650     $512 plus 4.5% of excess over
                                       $12,800
 Over $17,650 but not over $20,900     $730 plus 5.25% of excess over
                                       $17,650
 Over $20,900 but not over $107,650    $901 plus 5.5% of excess over
                                       $20,900
 Over $107,650 but not over $269,300   $5,672 plus 6.00% of excess over
                                       $107,650
 Over $269,300 but not over            $15,371 plus 6.85% of excess over
 $1,616,450                            $269,300
 Over $1,616,450 but not over          $107,651 plus 9.65% of excess over
 $5,000,000                            $1,616,450
 Over $5,000,000 but not over          $434,163 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,494,163 plus 10.90% of excess over
                                       $25,000,000
 
   [(ix)](VII) For taxable years beginning after two thousand twenty-sev-
 en the following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $12,800                      4% of the New York taxable income
 Over $12,800 but not over             $512 plus 4.5% of excess over
 $17,650                               $12,800
 Over $17,650 but not over             $730 plus 5.25% of excess over
 $20,900                               $17,650
 Over $20,900 but not over             $901 plus 5.5% of excess over
 $107,650                              $20,900
 Over $107,650 but not over            $5,672 plus 6.00% of excess
 $269,300                              over $107,650
 Over $269,300 but not over            $15,371 plus 6.85% of excess
 $1,616,450                            over $269,300
 Over $1,616,450                       $107,651 plus  8.82% of excess
                                       over $1,616,450
 
   § 3. Clauses (vi), (vii), (viii) and (ix) of subparagraph (B) of para-
 graph  1  of subsection (c) of section 601 of the tax law, clauses (vi),
 (vii) and (viii) as amended, and clause (ix) as added by  section  3  of
 part  A  of  chapter  59  of  the  laws  of 2021, are amended to read as
 follows:
   (vi) For taxable years beginning  in  two  thousand  twenty-three  AND
 BEFORE TWO THOUSAND TWENTY-EIGHT the following rates shall apply:
 [If the New York taxable income is:   The tax is:
 Not over $8,500                       4% of the New York taxable income
 Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
                                       $8,500
 Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
                                       $11,700
 Over $13,900 but not over $80,650     $600 plus 5.73% of excess over
                                       $13,900
 Over $80,650 but not over $215,400    $4,424 plus 6.17% of excess over
                                       $80,650
 Over $215,400 but not over            $12,738 plus 6.85% of excess
 $1,077,550                            over $215,400
 Over $1,077,550 but not over          $71,796 plus 9.65% of excess over
 S. 8009--A                          7                         A. 9009--A

 $5,000,000                            $1,077,550
 Over $5,000,000 but not over          $450,312 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,510,312 plus 10.90% of excess over
                                       $25,000,000
   (vii)  For  taxable  years  beginning  in two thousand twenty-four the
 following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $8,500                       4% of the New York taxable income
 Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
                                       $8,500
 Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
                                       $11,700
 Over $13,900 but not over $80,650     $600 plus 5.61% of excess over
                                       $13,900
 Over $80,650 but not over $215,400    $4,344 plus 6.09% of excess over
                                       $80,650
 Over $215,400 but not over            $12,550 plus 6.85% of excess
 $1,077,550                            over $215,400
 Over $1,077,550 but not over          $71,608 plus 9.65% of excess over
 $5,000,000                            $1,077,550
 Over $5,000,000 but not over          $450,124 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,510,124 plus 10.90% of excess over
                                       $25,000,000
   (viii) For taxable years beginning after two thousand twenty-four  and
 before two thousand twenty-eight the following rates shall apply:]
 If the New York taxable income is:    The tax is:
 Not over $8,500                       4% of the New York taxable income
 Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
                                       $8,500
 Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
                                       $11,700
 Over $13,900 but not over $80,650     $600 plus 5.50% of excess over
                                       $13,900
 Over $80,650 but not over $215,400    $4,271 plus 6.00% of excess over
                                       $80,650
 Over $215,400 but not over            $12,356 plus 6.85% of excess over
 $1,077,550                            $215,400
 Over $1,077,550 but not over          $71,413 plus 9.65% of excess over
 $5,000,000                            $1,077,550
 Over $5,000,000 but not over          $449,929 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,509,929 plus 10.90% of excess over
                                       $25,000,000
   [(ix)](VII) For taxable years beginning after two thousand twenty-sev-
 en the following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $8,500                       4% of the New York taxable income
 Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
                                       $8,500
 Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
                                       $11,700
 Over $13,900 but not over $80,650     $600 plus 5.50% of excess over
                                       $13,900
 Over $80,650 but not over $215,400    $4,271 plus 6.00% of excess
 S. 8009--A                          8                         A. 9009--A
 
                                       over $80,650
 Over $215,400 but not over            $12,356 plus 6.85% of excess
 $1,077,550                            over $215,400
 Over $1,077,550                       $71,413 plus 8.82% of excess
                                       over $1,077,550

   § 4. This act shall take effect immediately.
 
                                  PART B
 
   Section 1. This act enacts into law components of legislation relating
 to  certain  tax  credits.  Each  component is wholly contained within a
 Subpart identified as Subparts A through C. The effective date for  each
 particular  provision  contained within such Subpart is set forth in the
 last section of such Subpart. Any provision  in  any  section  contained
 within  a  Subpart,  including  the effective date of the Subpart, which
 makes reference to a section "of this act", when used in connection with
 that particular component, shall be deemed to  mean  and  refer  to  the
 corresponding section of the Subpart in which it is found. Section three
 of this act sets forth the general effective date of this act.
 
                                 SUBPART A

   Section 1. Subdivision 1 of section 210-B of the tax law is amended by
 adding a new paragraph (a-1) to read as follows:
   (A-1)  FOR A TAXPAYER THAT IS AN ELIGIBLE FARMER, AS DEFINED IN SUBDI-
 VISION ELEVEN OF THIS SECTION, THE PERCENTAGE TO BE USED TO COMPUTE  THE
 CREDIT  ALLOWED UNDER THIS SUBDIVISION SHALL BE TWENTY PERCENT FOR PROP-
 ERTY DESCRIBED IN SUBPARAGRAPH (I) OF PARAGRAPH (B) OF THIS  SUBDIVISION
 THAT  IS  PRINCIPALLY USED BY THE TAXPAYER IN THE PRODUCTION OF GOODS BY
 FARMING, AGRICULTURE, HORTICULTURE, FLORICULTURE OR VITICULTURE.
   § 2. Subsection (a) of section 606 of the tax law is amended by adding
 a new paragraph 1-a to read as follows:
   (1-A) FOR A TAXPAYER  THAT  IS  AN  ELIGIBLE  FARMER,  AS  DEFINED  IN
 SUBSECTION (N) OF THIS SECTION, THE PERCENTAGE TO BE USED TO COMPUTE THE
 CREDIT ALLOWED UNDER THIS SUBSECTION SHALL BE TWENTY PERCENT FOR PROPER-
 TY  DESCRIBED  IN  SUBPARAGRAPH  (A) OF PARAGRAPH TWO OF THIS SUBSECTION
 THAT IS PRINCIPALLY USED BY THE TAXPAYER IN THE PRODUCTION OF  GOODS  BY
 FARMING, AGRICULTURE, HORTICULTURE, FLORICULTURE OR VITICULTURE.
   §  3.  This  act  shall  take effect immediately and apply to property
 placed in service on or after April 1, 2022.
 
                                 SUBPART B
 
   Section 1. Subsection (e) of section 42 of the tax law, as amended  by
 section  1  of  part FF of chapter 59 of the laws of 2021, is amended to
 read as follows:
   (e) For taxable years beginning on or after January first,  two  thou-
 sand  seventeen  and  before  January  first, two thousand eighteen, the
 amount of the credit allowed under this section shall be  equal  to  the
 product  of  the total number of eligible farm employees and two hundred
 fifty dollars. For taxable years beginning on or  after  January  first,
 two  thousand  eighteen and before January first, two thousand nineteen,
 the amount of the credit allowed under this section shall  be  equal  to
 the  product  of  the  total number of eligible farm employees and three
 hundred dollars. For taxable years beginning on or after January  first,
 S. 8009--A                          9                         A. 9009--A
 
 two thousand nineteen and before January first, two thousand twenty, the
 amount  of  the  credit allowed under this section shall be equal to the
 product of the total number of eligible farm employees and five  hundred
 dollars.  For  taxable  years  beginning  on or after January first, two
 thousand twenty and before January first, two thousand  twenty-one,  the
 amount  of  the  credit allowed under this section shall be equal to the
 product of the total number of eligible farm employees and four  hundred
 dollars.  For  taxable  years  beginning  on or after January first, two
 thousand twenty-one and before January first, two thousand [twenty-five]
 TWENTY-SIX, the amount of the credit allowed under this section shall be
 equal to the product of the total number of eligible farm employees  and
 [six] TWELVE hundred dollars.
   §  2.  Section 5 of part RR of chapter 60 of the laws of 2016 amending
 the tax law relating to creating a farm workforce retention  credit,  as
 amended  by  section  2 of part FF of chapter 59 of the laws of 2021, is
 amended to read as follows:
   § 5. This act shall take effect immediately and shall  apply  only  to
 taxable  years  beginning on or after January 1, 2017 and before January
 1, [2025] 2026.
   § 3. This act shall take effect immediately.
 
                                 SUBPART C
 
   Section 1. Subdivision (f) of section 42 of the tax law, as  added  by
 section  1  of  part RR of chapter 60 of the laws of 2016, is amended to
 read as follows:
   (f) A taxpayer claiming the credit allowed under  this  section  shall
 not be allowed to claim any other tax credit allowed under this chapter,
 EXCEPT  THE  CREDIT  ALLOWED  UNDER SECTION FORTY-TWO-A OF THIS ARTICLE,
 with respect to any eligible farm employee included in the total  number
 of  eligible  farm  employees used to determine the amount of the credit
 allowed under this section.
   § 2. The tax law is amended by adding a new section 42-a  to  read  as
 follows:
   § 42-A. FARM EMPLOYER OVERTIME CREDIT. (A) NOTWITHSTANDING SUBDIVISION
 (F)  OF  SECTION  FORTY-TWO  OF  THIS ARTICLE, A TAXPAYER THAT IS A FARM
 EMPLOYER OR AN OWNER OF A FARM EMPLOYER SHALL BE ELIGIBLE FOR  A  CREDIT
 AGAINST THE TAX IMPOSED UNDER ARTICLE NINE-A OR TWENTY-TWO OF THIS CHAP-
 TER,  PURSUANT  TO  THE PROVISIONS REFERENCED IN SUBDIVISION (H) OF THIS
 SECTION.
   (B) A FARM EMPLOYER IS A CORPORATION (INCLUDING A NEW  YORK  S  CORPO-
 RATION),  A  SOLE PROPRIETORSHIP, A LIMITED LIABILITY COMPANY OR A PART-
 NERSHIP THAT IS AN ELIGIBLE FARMER.
   (C) FOR PURPOSES OF THIS SECTION, THE TERM "ELIGIBLE FARMER"  MEANS  A
 TAXPAYER   WHOSE  FEDERAL  GROSS  INCOME  FROM  FARMING  AS  DEFINED  IN
 SUBSECTION (N) OF SECTION SIX HUNDRED SIX OF THIS CHAPTER FOR THE  TAXA-
 BLE  YEAR  IS AT LEAST TWO-THIRDS OF EXCESS FEDERAL GROSS INCOME. EXCESS
 FEDERAL GROSS INCOME MEANS THE AMOUNT OF FEDERAL GROSS INCOME  FROM  ALL
 SOURCES  FOR  THE TAXABLE YEAR IN EXCESS OF THIRTY THOUSAND DOLLARS. FOR
 PURPOSES OF THIS SECTION, PAYMENTS FROM THE STATE'S FARMLAND  PROTECTION
 PROGRAM,  ADMINISTERED  BY  THE  DEPARTMENT  OF AGRICULTURE AND MARKETS,
 SHALL BE INCLUDED AS FEDERAL GROSS INCOME  FROM  FARMING  FOR  OTHERWISE
 ELIGIBLE FARMERS.
   (D)  AN  ELIGIBLE  FARM  EMPLOYEE IS AN INDIVIDUAL WHO MEETS THE DEFI-
 NITION OF A "FARM LABORER" UNDER SECTION TWO OF THE  LABOR  LAW  WHO  IS
 S. 8009--A                         10                         A. 9009--A
 
 EMPLOYED  BY  A  FARM  EMPLOYER IN NEW YORK STATE, BUT EXCLUDING GENERAL
 EXECUTIVE OFFICERS OF THE FARM EMPLOYER.
   (E)  ELIGIBLE  OVERTIME  IS  THE  AGGREGATE  NUMBER  OF  HOURS OF WORK
 PERFORMED DURING THE TAXABLE YEAR BY AN ELIGIBLE FARM EMPLOYEE  THAT  IN
 ANY CALENDAR WEEK EXCEEDS THE OVERTIME WORK THRESHOLD SET BY THE COMMIS-
 SIONER OF LABOR PURSUANT TO THE RECOMMENDATION OF THE FARM LABORERS WAGE
 BOARD,  PROVIDED  THAT WORK PERFORMED IN SUCH CALENDAR WEEK IN EXCESS OF
 SIXTY HOURS SHALL NOT BE INCLUDED.
   (F) SPECIAL RULES. IF MORE THAN FIFTY PERCENT OF SUCH  ELIGIBLE  FARM-
 ER'S  FEDERAL  GROSS INCOME FROM FARMING IS FROM THE SALE OF WINE FROM A
 LICENSED FARM WINERY AS PROVIDED FOR IN ARTICLE  SIX  OF  THE  ALCOHOLIC
 BEVERAGE  CONTROL  LAW,  OR  FROM THE SALE OF CIDER FROM A LICENSED FARM
 CIDERY AS PROVIDED FOR IN SECTION FIFTY-EIGHT-C OF THE ALCOHOLIC  BEVER-
 AGE  CONTROL LAW, THEN AN ELIGIBLE FARM EMPLOYEE OF SUCH ELIGIBLE FARMER
 SHALL BE INCLUDED FOR PURPOSES  OF  CALCULATING  THE  AMOUNT  OF  CREDIT
 ALLOWED  UNDER  THIS  SECTION  ONLY  IF  SUCH  ELIGIBLE FARM EMPLOYEE IS
 EMPLOYED BY SUCH ELIGIBLE FARMER ON QUALIFIED AGRICULTURAL  PROPERTY  AS
 DEFINED  IN  PARAGRAPH FOUR OF SUBSECTION (N) OF SECTION SIX HUNDRED SIX
 OF THIS CHAPTER.
   (G) THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SECTION SHALL BE EQUAL
 TO THE AGGREGATE AMOUNT OF SUCH CREDIT ALLOWED PER ELIGIBLE FARM EMPLOY-
 EE, AS FOLLOWS. THE AMOUNT OF  THE  CREDIT  ALLOWED  PER  ELIGIBLE  FARM
 EMPLOYEE  SHALL  BE  EQUAL  TO  THE PRODUCT OF (I) THE ELIGIBLE OVERTIME
 WORKED DURING THE TAXABLE YEAR BY THE ELIGIBLE FARM  EMPLOYEE  AND  (II)
 THE OVERTIME RATE PAID BY THE FARM EMPLOYER TO THE ELIGIBLE FARM EMPLOY-
 EE LESS SUCH EMPLOYEE'S REGULAR RATE OF PAY.
   (H)  CROSS  REFERENCES: FOR APPLICATION OF THE CREDIT PROVIDED IN THIS
 SECTION, SEE THE FOLLOWING PROVISIONS OF THIS CHAPTER:
   (1) ARTICLE 9-A: SECTION 210-B, SUBDIVISION 58.
   (2) ARTICLE 22: SECTION 606, SUBSECTION (NNN).
   § 3. Section 210-B of the tax law is amended by adding a new  subdivi-
 sion 58 to read as follows:
   58. FARM EMPLOYER OVERTIME CREDIT.  (A) ALLOWANCE OF CREDIT. A TAXPAY-
 ER  SHALL  BE  ALLOWED  A  CREDIT, TO BE COMPUTED AS PROVIDED IN SECTION
 FORTY-TWO-A OF THIS CHAPTER, AGAINST THE TAX IMPOSED BY THIS ARTICLE.
   (B) 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 AMOUNT PRESCRIBED  IN  PARAGRAPH  (D)  OF  SUBDIVISION  ONE  OF
 SECTION TWO HUNDRED TEN OF THIS ARTICLE. HOWEVER, IF THE AMOUNT OF CRED-
 IT  ALLOWED  UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR REDUCES THE TAX
 TO SUCH AMOUNT OR IF THE TAXPAYER OTHERWISE PAYS TAX BASED ON THE  FIXED
 DOLLAR  MINIMUM 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.  PROVIDED,  HOWEVER,  THE  PROVISIONS  OF
 SUBSECTION (C) OF SECTION ONE  THOUSAND  EIGHTY-EIGHT  OF  THIS  CHAPTER
 NOTWITHSTANDING, 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  (xlix)  to  read  as
 follows:
 (XLIX) FARM EMPLOYER OVERTIME        AMOUNT OF CREDIT UNDER
 CREDIT UNDER SUBSECTION (NNN)        SUBDIVISION FIFTY-EIGHT OF
                                      SECTION TWO HUNDRED TEN-B
   §  5. Section 606 of the tax law is amended by adding a new subsection
 (nnn) to read as follows:
 S. 8009--A                         11                         A. 9009--A
 
   (NNN) FARM EMPLOYER OVERTIME CREDIT. (1) A TAXPAYER SHALL BE ALLOWED A
 CREDIT, TO BE COMPUTED AS PROVIDED IN SECTION FORTY-TWO-A OF THIS  CHAP-
 TER, AGAINST THE TAX IMPOSED BY THIS ARTICLE.
   (2)  APPLICATION OF CREDIT. IF THE AMOUNT OF CREDIT ALLOWED UNDER THIS
 SUBSECTION FOR ANY TAXABLE YEAR EXCEEDS  THE  TAXPAYER'S  TAX  FOR  SUCH
 YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDIT-
 ED  OR  REFUNDED IN ACCORDANCE WITH THE PROVISION OF SECTION SIX HUNDRED
 EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST SHALL BE
 PAID THEREON.
   § 6. This act shall take effect immediately and shall apply to taxable
 years beginning on or after January 1, 2022.
   § 2. This act shall take effect immediately  provided,  however,  that
 the  applicable effective date of Subparts A through C of this act shall
 be as specifically set forth in the last section of such Subparts.
 
                                  PART C
 
   Section 1. Paragraph 39 of subsection (c) of section 612  of  the  tax
 law,  as added by section 1 of part Y of chapter 59 of the laws of 2013,
 is amended to read as follows:
   (39) (A) In the case of a taxpayer who is  a  small  business    OR  A
 TAXPAYER WHO IS A MEMBER, PARTNER, OR SHAREHOLDER OF A LIMITED LIABILITY
 COMPANY, PARTNERSHIP, OR NEW YORK S CORPORATION, RESPECTIVELY, THAT IS A
 SMALL  BUSINESS,  who OR WHICH has business income and/or farm income as
 defined in the laws of the United States, an  amount  equal  to  [three]
 FIFTEEN  percent  of  the  net items of income, gain, loss and deduction
 attributable to such business or farm  entering  into  federal  adjusted
 gross income, but not less than zero[, for taxable years beginning after
 two  thousand  thirteen,  an  amount  equal  to three and three-quarters
 percent of the net items of income, gain, loss and  deduction  attribut-
 able  to  such  business  or  farm  entering into federal adjusted gross
 income, but not less than zero, for taxable years  beginning  after  two
 thousand  fourteen, and an amount equal to five percent of the net items
 of income, gain, loss and deduction attributable  to  such  business  or
 farm  entering  into  federal  adjusted  gross income, but not less than
 zero, for taxable years beginning after two thousand fifteen].
   (B) (I) For the purposes of this paragraph, the  term  small  business
 shall  mean:  (I) a sole proprietor [or a farm business] who employs one
 or more persons during the taxable year and who has net business  income
 or  net farm income of GREATER THAN ZERO BUT less than two hundred fifty
 thousand dollars;
   (II) A LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW  YORK  S  CORPO-
 RATION  THAT DURING THE TAXABLE YEAR EMPLOYS ONE OR MORE PERSONS AND HAS
 NET FARM INCOME ATTRIBUTABLE TO A FARM BUSINESS  THAT  IS  GREATER  THAN
 ZERO BUT LESS THAN TWO HUNDRED FIFTY THOUSAND DOLLARS; OR
   (III)  A  LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW YORK S CORPO-
 RATION THAT DURING THE TAXABLE YEAR EMPLOYS ONE OR MORE PERSONS AND  HAS
 NEW  YORK GROSS BUSINESS INCOME ATTRIBUTABLE TO A NON-FARM BUSINESS THAT
 IS GREATER THAN ZERO BUT LESS THAN ONE  MILLION  FIVE  HUNDRED  THOUSAND
 DOLLARS.
   (II)  FOR PURPOSES OF THIS PARAGRAPH, THE TERM NEW YORK GROSS BUSINESS
 INCOME SHALL MEAN: (I) IN THE CASE OF A LIMITED LIABILITY COMPANY  OR  A
 PARTNERSHIP, NEW YORK SOURCE GROSS INCOME AS DEFINED IN SUBPARAGRAPH (B)
 OF  PARAGRAPH THREE OF SUBSECTION (C) OF SECTION SIX HUNDRED FIFTY-EIGHT
 OF THIS ARTICLE; AND (II) IN THE CASE OF A NEW YORK S  CORPORATION,  NEW
 YORK  RECEIPTS  INCLUDED  IN  THE  NUMERATOR OF THE APPORTIONMENT FACTOR
 S. 8009--A                         12                         A. 9009--A
 
 DETERMINED UNDER SECTION TWO HUNDRED TEN-A OF THIS CHAPTER FOR THE TAXA-
 BLE YEAR.
   (C)  TO  QUALIFY FOR THIS MODIFICATION IN RELATION TO A NON-FARM SMALL
 BUSINESS THAT IS A LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW YORK S
 CORPORATION, THE TAXPAYER'S INCOME  ATTRIBUTABLE  TO  THE  NET  BUSINESS
 INCOME FROM ITS OWNERSHIP INTERESTS IN NON-FARM LIMITED LIABILITY COMPA-
 NIES,  PARTNERSHIPS,  OR  NEW  YORK S CORPORATIONS MUST BE LESS THAN TWO
 HUNDRED FIFTY THOUSAND DOLLARS.
   § 2. Paragraph 35 of subdivision (c) of section 11-1712 of the  admin-
 istrative  code of the city of New York, as added by section 2 of part Y
 of chapter 59 of the laws of 2013, is amended to read as follows:
   (35) (A) In the case of a taxpayer  who  is  a  small  business  OR  A
 TAXPAYER WHO IS A MEMBER, PARTNER, OR SHAREHOLDER OF A LIMITED LIABILITY
 COMPANY, PARTNERSHIP, OR NEW YORK S CORPORATION, RESPECTIVELY, THAT IS A
 SMALL  BUSINESS,  who OR WHICH has business income and/or farm income as
 defined in the laws of the United States, an  amount  equal  to  [three]
 FIFTEEN  percent  of  the  net items of income, gain, loss and deduction
 attributable to such business or farm  entering  into  federal  adjusted
 gross income, but not less than zero[, for taxable years beginning after
 two  thousand  thirteen,  an  amount  equal  to three and three-quarters
 percent of the net items of income, gain, loss and  deduction  attribut-
 able  to  such  business  or  farm  entering into federal adjusted gross
 income, but not less than zero, for taxable years  beginning  after  two
 thousand  fourteen, and an amount equal to five percent of the net items
 of income, gain, loss and deduction attributable  to  such  business  or
 farm  entering  into  federal  adjusted  gross income, but not less than
 zero, for taxable years beginning after two thousand fifteen].
   (B) (I) For the purposes of this paragraph, the  term  small  business
 shall  mean:  (I) a sole proprietor [or a farm business] who employs one
 or more persons during the taxable year and who has net business  income
 or  net farm income of GREATER THAN ZERO BUT less than two hundred fifty
 thousand dollars;
   (II) A LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW  YORK  S  CORPO-
 RATION  THAT DURING THE TAXABLE YEAR EMPLOYS ONE OR MORE PERSONS AND HAS
 NET FARM INCOME THAT IS GREATER THAN ZERO  BUT  LESS  THAN  TWO  HUNDRED
 FIFTY THOUSAND DOLLARS; OR
   (III)  A  LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW YORK S CORPO-
 RATION THAT DURING THE TAXABLE YEAR EMPLOYS ONE OR MORE PERSONS AND  HAS
 NEW  YORK GROSS BUSINESS INCOME ATTRIBUTABLE TO A NON-FARM BUSINESS THAT
 IS GREATER THAN ZERO BUT LESS THAN ONE  MILLION  FIVE  HUNDRED  THOUSAND
 DOLLARS.
   (II)  FOR PURPOSES OF THIS PARAGRAPH, THE TERM NEW YORK GROSS BUSINESS
 INCOME SHALL MEAN: (I) IN THE CASE OF A LIMITED LIABILITY COMPANY  OR  A
 PARTNERSHIP, NEW YORK SOURCE GROSS INCOME AS DEFINED IN SUBPARAGRAPH (B)
 OR  PARAGRAPH THREE OF SUBSECTION (C) OF SECTION SIX HUNDRED FIFTY-EIGHT
 OF THE TAX LAW, AND, (II) IN THE CASE OF A NEW YORK S  CORPORATION,  NEW
 YORK  RECEIPTS  INCLUDED  IN  THE  NUMERATOR OF THE APPORTIONMENT FACTOR
 DETERMINED UNDER SECTION TWO HUNDRED TEN-A OF THE TAX LAW FOR THE  TAXA-
 BLE YEAR.
   (C)  TO  QUALIFY FOR THIS MODIFICATION IN RELATION TO A NON-FARM SMALL
 BUSINESS THAT IS A LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW YORK S
 CORPORATION, THE TAXPAYER'S INCOME  ATTRIBUTABLE  TO  THE  NET  BUSINESS
 INCOME FROM ITS OWNERSHIP INTERESTS IN NON-FARM LIMITED LIABILITY COMPA-
 NIES,  PARTNERSHIPS,  OR  NEW  YORK S CORPORATIONS MUST BE LESS THAN TWO
 HUNDRED FIFTY THOUSAND DOLLARS.
 S. 8009--A                         13                         A. 9009--A
 
   § 3. This act shall take effect immediately and shall apply to taxable
 years beginning on or after January 1, 2022.
 
                                  PART D
 
    Section  1.   Subsection (c) of section 612 of the tax law is amended
 by adding a new paragraph 46 to read as follows:
   (46) THE AMOUNT OF ANY STUDENT LOAN FORGIVENESS AWARD MADE PURSUANT TO
 A PROGRAM ESTABLISHED UNDER ARTICLE FOURTEEN OF THE EDUCATION LAW TO THE
 EXTENT INCLUDED IN FEDERAL ADJUSTED GROSS INCOME.
   § 2. This act shall take effect immediately and  shall  apply  to  tax
 years beginning on or after January 1, 2022.
 
                                  PART E
 
   Section  1.  The  economic  development law is amended by adding a new
 article 26 to read as follows:
                                ARTICLE 26
                 COVID-19 CAPITAL COSTS TAX CREDIT PROGRAM
 SECTION 480. SHORT TITLE.
         481. STATEMENT OF LEGISLATIVE FINDINGS AND DECLARATION.
         482. DEFINITIONS.
         483. ELIGIBILITY CRITERIA.
         484. APPLICATION AND APPROVAL PROCESS.
         485. COVID-19 CAPITAL COSTS TAX CREDIT.
         486. POWERS AND DUTIES OF THE COMMISSIONER.
         487. MAINTENANCE OF RECORDS.
         488. CAP ON TAX CREDIT.
   § 480. SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY  BE  CITED  AS
 THE "COVID-19 CAPITAL COSTS TAX CREDIT PROGRAM ACT".
   § 481. STATEMENT OF LEGISLATIVE FINDINGS AND DECLARATION. IT IS HEREBY
 FOUND  AND  DECLARED  THAT  NEW  YORK STATE NEEDS, AS A MATTER OF PUBLIC
 POLICY, TO PROVIDE CRITICAL ASSISTANCE TO  SMALL  BUSINESSES  TO  COMPLY
 WITH PUBLIC HEALTH OR OTHER EMERGENCY ORDERS OR REGULATIONS, AND TO TAKE
 INFECTIOUS DISEASE MITIGATION MEASURES RELATED TO THE COVID-19 PANDEMIC.
 THE  COVID-19  CAPITAL  COSTS  TAX  CREDIT PROGRAM IS CREATED TO PROVIDE
 FINANCIAL ASSISTANCE TO ECONOMICALLY HARMED BUSINESSES TO  OFFER  RELIEF
 AND  REDUCE  THE DURATION AND SEVERITY OF THE CURRENT ECONOMIC DIFFICUL-
 TIES.
   § 482. DEFINITIONS. FOR THE PURPOSES OF THIS ARTICLE:
   1. "CERTIFICATE OF TAX CREDIT" MEANS THE DOCUMENT ISSUED TO A BUSINESS
 ENTITY BY THE DEPARTMENT AFTER THE  DEPARTMENT  HAS  VERIFIED  THAT  THE
 BUSINESS  ENTITY  HAS  MET  ALL  APPLICABLE ELIGIBILITY CRITERIA IN THIS
 ARTICLE. THE CERTIFICATE SHALL SPECIFY THE EXACT AMOUNT OF THE TAX CRED-
 IT UNDER THIS ARTICLE THAT A BUSINESS  ENTITY  MAY  CLAIM,  PURSUANT  TO
 SECTION FOUR HUNDRED EIGHTY-FIVE OF THIS ARTICLE.
   2. "COMMISSIONER" SHALL MEAN COMMISSIONER OF THE DEPARTMENT OF ECONOM-
 IC DEVELOPMENT.
   3. "DEPARTMENT" SHALL MEAN THE DEPARTMENT OF ECONOMIC DEVELOPMENT.
   4.  "QUALIFIED  COVID-19 CAPITAL COSTS" SHALL MEAN COSTS INCURRED FROM
 JANUARY FIRST, TWO THOUSAND TWENTY-ONE  THROUGH  DECEMBER  THIRTY-FIRST,
 TWO  THOUSAND  TWENTY-TWO  AT  A  BUSINESS LOCATION IN NEW YORK STATE TO
 COMPLY WITH PUBLIC HEALTH  OR  OTHER  EMERGENCY  ORDERS  OR  REGULATIONS
 RELATED  TO  THE  COVID-19  PANDEMIC,  OR  TO  GENERALLY INCREASE SAFETY
 THROUGH INFECTIOUS DISEASE MITIGATION, INCLUDING COSTS FOR: (I) SUPPLIES
 TO DISINFECT AND/OR PROTECT AGAINST COVID-19 TRANSMISSION; (II) RESTOCK-
 S. 8009--A                         14                         A. 9009--A
 
 ING OF PERISHABLE GOODS  TO  REPLACE  THOSE  LOST  DURING  THE  COVID-19
 PANDEMIC; (III) PHYSICAL BARRIERS AND SNEEZE GUARDS; (IV) HAND SANITIZER
 STATIONS; (V) RESPIRATORY DEVICES SUCH AS AIR PURIFIER SYSTEMS INSTALLED
 AT  THE BUSINESS ENTITY'S LOCATION; (VI) SIGNAGE RELATED TO THE COVID-19
 PANDEMIC INCLUDING, BUT NOT LIMITED TO, SIGNAGE  DETAILING  VACCINE  AND
 MASKING REQUIREMENTS, AND SOCIAL DISTANCING; (VII) MATERIALS REQUIRED TO
 DEFINE AND/OR PROTECT SPACE SUCH AS BARRIERS; (VIII) MATERIALS NEEDED TO
 BLOCK  OFF  CERTAIN  SEATS  TO ALLOW FOR SOCIAL DISTANCING; (IX) CERTAIN
 POINT OF SALE PAYMENT EQUIPMENT TO ALLOW FOR  CONTACTLESS  PAYMENT;  (X)
 EQUIPMENT  AND/OR  MATERIALS  AND  SUPPLIES  FOR  NEW  PRODUCT  LINES IN
 RESPONSE TO THE COVID-19 PANDEMIC;  (XI)  SOFTWARE  FOR  ONLINE  PAYMENT
 PLATFORMS  TO  ENABLE  DELIVERY OR CONTACTLESS PURCHASES; (XII) BUILDING
 CONSTRUCTION AND RETROFITS TO ACCOMMODATE SOCIAL DISTANCING AND  INSTAL-
 LATION  OF  AIR  PURIFYING  EQUIPMENT BUT NOT FOR COSTS FOR NON-COVID-19
 PANDEMIC RELATED CAPITAL RENOVATIONS OR GENERAL "CLOSED FOR RENOVATIONS"
 UPGRADES; (XIII) MACHINERY  AND  EQUIPMENT  TO  ACCOMMODATE  CONTACTLESS
 SALES; (XIV) MATERIALS TO ACCOMMODATE INCREASED OUTDOOR ACTIVITY SUCH AS
 HEAT  LAMPS,  OUTDOOR  LIGHTING,  AND MATERIALS RELATED TO OUTDOOR SPACE
 EXPANSIONS; AND (XV) OTHER COSTS AS DETERMINED BY THE DEPARTMENT  TO  BE
 ELIGIBLE UNDER THIS SECTION; PROVIDED, HOWEVER, THAT "QUALIFIED COVID-19
 CAPITAL  COSTS"  DO  NOT  INCLUDE  ANY COST PAID FOR WITH OTHER COVID-19
 GRANT FUNDS AS DETERMINED BY THE COMMISSIONER.
   § 483. ELIGIBILITY CRITERIA. 1. TO BE ELIGIBLE FOR A TAX CREDIT  UNDER
 THE COVID-19 CAPITAL COSTS TAX CREDIT PROGRAM, A BUSINESS ENTITY MUST:
   (A)  BE  A SMALL BUSINESS AS DEFINED IN SECTION ONE HUNDRED THIRTY-ONE
 OF THIS CHAPTER AND HAVE TWO MILLION FIVE HUNDRED  THOUSAND  DOLLARS  OR
 LESS  OF GROSS RECEIPTS IN THE TAXABLE YEAR THAT INCLUDES DECEMBER THIR-
 TY-FIRST, TWO THOUSAND TWENTY-ONE; AND
   (B) OPERATE A BUSINESS LOCATION IN NEW YORK STATE.
   2. A BUSINESS ENTITY MUST BE IN SUBSTANTIAL COMPLIANCE WITH ANY PUBLIC
 HEALTH OR OTHER EMERGENCY ORDERS OR REGULATIONS RELATED TO THE  ENTITY'S
 BUSINESS  SECTOR  OR  OTHER  LAWS  AND  REGULATIONS AS DETERMINED BY THE
 COMMISSIONER. IN ADDITION, A BUSINESS ENTITY MAY NOT OWE PAST DUE  STATE
 TAXES  OR  LOCAL  PROPERTY  TAXES  UNLESS  THE BUSINESS ENTITY IS MAKING
 PAYMENTS AND  COMPLYING  WITH  AN  APPROVED  BINDING  PAYMENT  AGREEMENT
 ENTERED INTO WITH THE TAXING AUTHORITY.
   §  484.  APPLICATION  AND  APPROVAL PROCESS. 1. A BUSINESS ENTITY MUST
 SUBMIT A COMPLETE APPLICATION AS PRESCRIBED BY THE COMMISSIONER.
   2. THE COMMISSIONER SHALL ESTABLISH PROCEDURES  AND  A  TIMEFRAME  FOR
 BUSINESS  ENTITIES  TO  SUBMIT APPLICATIONS. AS PART OF THE APPLICATION,
 EACH BUSINESS ENTITY MUST:
   (A) PROVIDE EVIDENCE IN A FORM AND MANNER PRESCRIBED  BY  THE  COMMIS-
 SIONER OF THEIR BUSINESS ELIGIBILITY;
   (B) AGREE TO ALLOW THE DEPARTMENT OF TAXATION AND FINANCE TO SHARE THE
 BUSINESS  ENTITY'S  TAX  INFORMATION  WITH  THE DEPARTMENT. HOWEVER, ANY
 INFORMATION SHARED AS A RESULT OF THIS PROGRAM SHALL  NOT  BE  AVAILABLE
 FOR DISCLOSURE OR INSPECTION UNDER THE STATE FREEDOM OF INFORMATION LAW;
   (C)  ALLOW  THE  DEPARTMENT AND ITS AGENTS ACCESS TO ANY AND ALL BOOKS
 AND RECORDS THE DEPARTMENT MAY REQUIRE TO MONITOR COMPLIANCE;
   (D) CERTIFY, UNDER PENALTY OF  PERJURY,  THAT  IT  IS  IN  SUBSTANTIAL
 COMPLIANCE  WITH  ALL  EMERGENCY  ORDERS  OR  PUBLIC  HEALTH REGULATIONS
 CURRENTLY REQUIRED OF SUCH ENTITY, AND LOCAL, AND STATE TAX LAWS;
   (E) CERTIFY, UNDER PENALTY OF PERJURY, THAT IT  DID  NOT  INCLUDE  ANY
 COST  PAID  FOR  WITH  OTHER  COVID-19  GRANT FUNDS AS DETERMINED BY THE
 COMMISSIONER IN ITS APPLICATION FOR A  TAX  CREDIT  UNDER  THE  COVID-19
 CAPITAL COSTS TAX CREDIT PROGRAM; AND
 S. 8009--A                         15                         A. 9009--A
 
   (F)  AGREE  TO  PROVIDE  ANY  ADDITIONAL  INFORMATION  REQUIRED BY THE
 DEPARTMENT RELEVANT TO THIS ARTICLE.
   3. AFTER REVIEWING A BUSINESS ENTITY'S COMPLETED FINAL APPLICATION AND
 DETERMINING  THAT  THE BUSINESS ENTITY MEETS THE ELIGIBILITY CRITERIA AS
 SET FORTH IN THIS ARTICLE, THE DEPARTMENT MAY  ISSUE  TO  THAT  BUSINESS
 ENTITY A CERTIFICATE OF TAX CREDIT.
   4.  THE  BUSINESS  ENTITY MUST SUBMIT ITS APPLICATION BY MARCH THIRTY-
 FIRST, TWO THOUSAND TWENTY-THREE.
   § 485. COVID-19 CAPITAL COSTS TAX CREDIT. 1. A BUSINESS ENTITY IN  THE
 COVID-19  CAPITAL  COSTS  TAX  CREDIT PROGRAM THAT MEETS THE ELIGIBILITY
 REQUIREMENTS OF SECTION FOUR HUNDRED EIGHTY-THREE OF THIS ARTICLE MAY BE
 ELIGIBLE TO CLAIM A CREDIT EQUAL  TO  FIFTY  PERCENT  OF  ITS  QUALIFIED
 COVID-19  CAPITAL  COSTS  AS DEFINED IN SUBDIVISION FOUR OF SECTION FOUR
 HUNDRED EIGHTY-TWO OF THIS ARTICLE.
   2. A BUSINESS  ENTITY,  INCLUDING  A  PARTNERSHIP,  LIMITED  LIABILITY
 COMPANY AND SUBCHAPTER S CORPORATION, MAY NOT RECEIVE IN EXCESS OF TWEN-
 TY-FIVE THOUSAND DOLLARS UNDER THIS PROGRAM.
   3.  THE  CREDIT  SHALL  BE ALLOWED AS PROVIDED IN SECTION FORTY-SEVEN,
 SUBDIVISION FIFTY-EIGHT OF SECTION  TWO  HUNDRED  TEN-B  AND  SUBSECTION
 (NNN) OF SECTION SIX HUNDRED SIX OF THE TAX LAW.
   4. A BUSINESS ENTITY MAY CLAIM THE TAX CREDIT IN THE TAXABLE YEAR THAT
 INCLUDES  THE  DATE  THE  CERTIFICATE  OF  TAX  CREDIT WAS ISSUED BY THE
 DEPARTMENT PURSUANT TO SUBDIVISION THREE OF SECTION FOUR HUNDRED  EIGHT-
 Y-FOUR OF THIS ARTICLE.
   §  486. POWERS AND DUTIES OF THE COMMISSIONER. 1. THE COMMISSIONER MAY
 PROMULGATE REGULATIONS ESTABLISHING AN APPLICATION PROCESS AND ELIGIBIL-
 ITY CRITERIA, THAT WILL BE APPLIED CONSISTENT WITH THE PURPOSES OF  THIS
 ARTICLE,  SO AS NOT TO EXCEED THE ANNUAL CAP ON TAX CREDITS SET FORTH IN
 SECTION FOUR HUNDRED EIGHTY-EIGHT OF THIS ARTICLE WHICH, NOTWITHSTANDING
 ANY PROVISIONS TO THE CONTRARY IN  THE  STATE  ADMINISTRATIVE  PROCEDURE
 ACT, MAY BE ADOPTED ON AN EMERGENCY BASIS.
   2.  THE  COMMISSIONER  SHALL,  IN  CONSULTATION WITH THE DEPARTMENT OF
 TAXATION AND FINANCE, DEVELOP A CERTIFICATE OF TAX CREDIT THAT SHALL  BE
 ISSUED  BY  THE  COMMISSIONER  TO  ELIGIBLE BUSINESSES. SUCH CERTIFICATE
 SHALL CONTAIN SUCH INFORMATION AS REQUIRED BY THE DEPARTMENT OF TAXATION
 AND FINANCE.
   3. THE COMMISSIONER SHALL SOLELY  DETERMINE  THE  ELIGIBILITY  OF  ANY
 APPLICANT APPLYING FOR ENTRY INTO THE PROGRAM AND SHALL REMOVE ANY BUSI-
 NESS ENTITY FROM THE PROGRAM FOR FAILING TO MEET ANY OF THE REQUIREMENTS
 SET  FORTH  IN SECTION FOUR HUNDRED EIGHTY-THREE OF THIS ARTICLE, OR FOR
 FAILING TO MEET THE REQUIREMENTS SET FORTH IN SUBDIVISION ONE OF SECTION
 FOUR HUNDRED EIGHTY-FOUR OF THIS ARTICLE.
   § 487. MAINTENANCE OF RECORDS. EACH BUSINESS ENTITY  PARTICIPATING  IN
 THE  PROGRAM  SHALL  KEEP  ALL  RELEVANT  RECORDS  FOR THEIR DURATION OF
 PROGRAM PARTICIPATION FOR AT LEAST THREE YEARS.
   § 488. CAP ON TAX CREDIT. THE TOTAL AMOUNT OF TAX  CREDITS  LISTED  ON
 CERTIFICATES  OF  TAX CREDIT ISSUED BY THE COMMISSIONER PURSUANT TO THIS
 ARTICLE MAY NOT EXCEED TWO HUNDRED FIFTY MILLION DOLLARS.
   § 2. The tax law is amended by adding a new  section  47  to  read  as
 follows:
   §  47.  COVID-19  CAPITAL COSTS TAX CREDIT. (A) ALLOWANCE OF CREDIT. A
 TAXPAYER SUBJECT TO TAX UNDER ARTICLE NINE-A OR TWENTY-TWO OF THIS CHAP-
 TER SHALL BE  ALLOWED  A  CREDIT  AGAINST  SUCH  TAX,  PURSUANT  TO  THE
 PROVISIONS  REFERENCED IN SUBDIVISION (F) OF THIS SECTION. THE AMOUNT OF
 THE CREDIT IS EQUAL TO THE AMOUNT DETERMINED PURSUANT  TO  SECTION  FOUR
 HUNDRED  EIGHTY-FIVE OF THE ECONOMIC DEVELOPMENT LAW. NO COST OR EXPENSE
 S. 8009--A                         16                         A. 9009--A
 
 PAID OR INCURRED BY THE TAXPAYER WHICH IS INCLUDED AS PART OF THE CALCU-
 LATION OF THIS CREDIT SHALL BE THE BASIS OF ANY OTHER TAX CREDIT ALLOWED
 UNDER THIS CHAPTER.
   (B)  ELIGIBILITY.  TO  BE  ELIGIBLE FOR THE COVID-19 CAPITAL COSTS TAX
 CREDIT, THE TAXPAYER SHALL HAVE BEEN ISSUED A CERTIFICATE OF TAX  CREDIT
 BY  THE DEPARTMENT OF ECONOMIC DEVELOPMENT PURSUANT TO SUBDIVISION THREE
 OF SECTION FOUR HUNDRED EIGHTY-FOUR OF  THE  ECONOMIC  DEVELOPMENT  LAW,
 WHICH  CERTIFICATE  SHALL SET FORTH THE AMOUNT OF THE CREDIT THAT MAY BE
 CLAIMED FOR THE TAXABLE YEAR. THE TAXPAYER SHALL  BE  ALLOWED  TO  CLAIM
 ONLY THE AMOUNT LISTED ON THE CERTIFICATE OF TAX CREDIT FOR THAT TAXABLE
 YEAR. A TAXPAYER THAT IS A PARTNER IN A PARTNERSHIP, MEMBER OF A LIMITED
 LIABILITY  COMPANY OR SHAREHOLDER IN A SUBCHAPTER S CORPORATION THAT HAS
 RECEIVED A CERTIFICATE OF TAX CREDIT SHALL BE ALLOWED ITS PRO RATA SHARE
 OF THE CREDIT EARNED BY THE PARTNERSHIP, LIMITED  LIABILITY  COMPANY  OR
 SUBCHAPTER S CORPORATION.
   (C)  TAX  RETURN REQUIREMENT. THE TAXPAYER SHALL BE REQUIRED TO ATTACH
 TO ITS TAX RETURN IN THE FORM PRESCRIBED BY THE COMMISSIONER,  PROOF  OF
 RECEIPT  OF  ITS CERTIFICATE OF TAX CREDIT ISSUED BY THE COMMISSIONER OF
 THE DEPARTMENT OF ECONOMIC DEVELOPMENT.
   (D) INFORMATION SHARING. NOTWITHSTANDING ANY PROVISION OF  THIS  CHAP-
 TER, EMPLOYEES OF THE DEPARTMENT OF ECONOMIC DEVELOPMENT AND THE DEPART-
 MENT SHALL BE ALLOWED AND ARE DIRECTED TO SHARE AND EXCHANGE:
   (1)  INFORMATION  DERIVED FROM TAX RETURNS OR REPORTS THAT IS RELEVANT
 TO A TAXPAYER'S ELIGIBILITY TO PARTICIPATE IN THE COVID-19 CAPITAL COSTS
 TAX CREDIT PROGRAM;
   (2) INFORMATION REGARDING THE CREDIT APPLIED FOR, ALLOWED  OR  CLAIMED
 PURSUANT  TO THIS SECTION AND TAXPAYERS THAT ARE APPLYING FOR THE CREDIT
 OR THAT ARE CLAIMING THE CREDIT; AND
   (3) INFORMATION CONTAINED  IN  OR  DERIVED  FROM  CREDIT  CLAIM  FORMS
 SUBMITTED  TO  THE  DEPARTMENT  AND  APPLICATIONS FOR ADMISSION INTO THE
 COVID-19 CAPITAL COSTS TAX CREDIT PROGRAM. EXCEPT AS PROVIDED  IN  PARA-
 GRAPH  TWO  OF  THIS  SUBDIVISION, ALL INFORMATION EXCHANGED BETWEEN THE
 DEPARTMENT OF ECONOMIC DEVELOPMENT  AND  THE  DEPARTMENT  SHALL  NOT  BE
 SUBJECT  TO DISCLOSURE OR INSPECTION UNDER THE STATE'S FREEDOM OF INFOR-
 MATION LAW.
   (E) CREDIT RECAPTURE. IF A CERTIFICATE OF TAX  CREDIT  ISSUED  BY  THE
 DEPARTMENT  OF  ECONOMIC  DEVELOPMENT  UNDER  ARTICLE  TWENTY-SIX OF THE
 ECONOMIC DEVELOPMENT LAW IS REVOKED BY SUCH DEPARTMENT,  THE  AMOUNT  OF
 CREDIT  DESCRIBED  IN  THIS SECTION AND CLAIMED BY THE TAXPAYER PRIOR TO
 THAT REVOCATION SHALL BE ADDED BACK TO TAX IN THE TAXABLE YEAR IN  WHICH
 ANY SUCH REVOCATION BECOMES FINAL.
   (F)  CROSS  REFERENCES.  FOR APPLICATION OF THE CREDIT PROVIDED FOR IN
 THIS SECTION, SEE THE FOLLOWING PROVISIONS OF THIS CHAPTER:
   (1) ARTICLE 9-A: SECTION 210-B, SUBDIVISION 58;
   (2) ARTICLE 22: SECTION 606, SUBSECTION (NNN).
   § 3. Section 210-B of the tax law is amended by adding a new  subdivi-
 sion 58 to read as follows:
   58.  COVID-19  CAPITAL  COSTS  TAX  CREDIT. (A) ALLOWANCE OF CREDIT. A
 TAXPAYER SHALL BE ALLOWED A  CREDIT,  TO  BE  COMPUTED  AS  PROVIDED  IN
 SECTION  FORTY-SEVEN  OF THIS CHAPTER, AGAINST THE TAXES IMPOSED BY THIS
 ARTICLE.
   (B) APPLICATION OF CREDIT. THE CREDIT ALLOWED UNDER  THIS  SUBDIVISION
 FOR  THE TAXABLE YEAR SHALL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO LESS
 THAN THE AMOUNT PRESCRIBED  IN  PARAGRAPH  (D)  OF  SUBDIVISION  ONE  OF
 SECTION TWO HUNDRED TEN OF THIS ARTICLE. HOWEVER, IF THE AMOUNT OF CRED-
 IT  ALLOWED  UNDER THIS SUBDIVISION FOR THE TAXABLE YEAR REDUCES THE TAX
 S. 8009--A                         17                         A. 9009--A
 
 TO SUCH AMOUNT OR IF THE TAXPAYER OTHERWISE PAYS TAX BASED ON THE  FIXED
 DOLLAR  MINIMUM 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.  PROVIDED,  HOWEVER,  THE  PROVISIONS  OF
 SUBSECTION  (C)  OF  SECTION  ONE  THOUSAND EIGHTY-EIGHT OF THIS CHAPTER
 NOTWITHSTANDING, NO INTEREST WILL BE PAID THEREON.
   § 4. Section 606 of the tax law is amended by adding a new  subsection
 (nnn) to read as follows:
   (NNN)  COVID-19  CAPITAL  COSTS TAX CREDIT. (1) ALLOWANCE OF CREDIT. A
 TAXPAYER SHALL BE ALLOWED A  CREDIT,  TO  BE  COMPUTED  AS  PROVIDED  IN
 SECTION  FORTY-SEVEN  OF  THIS  CHAPTER, AGAINST THE TAX IMPOSED BY THIS
 ARTICLE.
   (2) APPLICATION OF CREDIT. IF THE AMOUNT OF THE CREDIT  ALLOWED  UNDER
 THIS SUBSECTION FOR THE TAXABLE YEAR EXCEEDS THE TAXPAYER'S TAX FOR SUCH
 YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDIT-
 ED  OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX HUNDRED
 EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST WILL  BE
 PAID THEREON.
   §  5. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
 of the tax law is amended by adding a  new  clause  (xlix)  to  read  as
 follows:
 (XLIX) COVID-19 CAPITAL COSTS        AMOUNT OF CREDIT UNDER
 TAX CREDIT UNDER SUBSECTION (NNN)    SUBDIVISION 58 OF
                                      SECTION TWO HUNDRED TEN-B
   § 6. This act shall take effect immediately.
 
                                  PART F
 
   Section  1.  Paragraph 2 of subdivision (a) of section 24-c of the tax
 law, as added by section 1 of subpart B of part PP of chapter 59 of  the
 laws of 2021,  is amended to read as follows:
   (2)  The  amount of the credit shall be the product (or pro rata share
 of the product, in the case of a member of a partnership) of twenty-five
 percent and the sum of the qualified production  expenditures  paid  for
 during  the  qualified New York city musical and theatrical production's
 credit period. Provided however that the amount  of  the  credit  cannot
 exceed  three  million  dollars  per qualified New York city musical and
 theatrical production for productions whose first performance is [during
 the first year in which applications  are  accepted]  PRIOR  TO  JANUARY
 FIRST,  TWO  THOUSAND TWENTY-THREE. For productions whose first perform-
 ance is [during the second year in which applications are  accepted]  ON
 OR  AFTER  JANUARY  FIRST,  TWO  THOUSAND  TWENTY-THREE,  such cap shall
 decrease to one million five hundred thousand dollars per qualified  New
 York  city  musical  and  theatrical production unless the New York city
 tourism economy has not sufficiently recovered,  as  determined  by  the
 department  of economic development in consultation with the division of
 the budget. In determining whether the New York city tourism economy has
 sufficiently recovered, the  department  of  economic  development  will
 perform an analysis of key New York city economic indicators which shall
 include,  but  not  be  limited  to,  hotel  occupancy  rates and travel
 metrics. The department of economic development's analysis shall also be
 informed by the status of any remaining COVID-19 restrictions  affecting
 New  York  city  musical and theatrical productions. In no event shall a
 qualified New York city musical and theatrical  production  be  eligible
 for more than one credit under this program.
 S. 8009--A                         18                         A. 9009--A
 
   §  2.  Subparagraph  (i)  of paragraph 5 of subdivision (b) of section
 24-c of the tax law, as added by section 1 of subpart B of  part  PP  of
 chapter 59 of the laws of 2021, is amended to read as follows:
   (i) "The credit period of a qualified New York city musical and theat-
 rical production company" is the period starting on the production start
 date  and  ending  on  the earlier of the date the qualified musical and
 theatrical  production  has  expended  sufficient  qualified  production
 expenditures  to  reach  its  credit cap, [March thirty-first] SEPTEMBER
 THIRTIETH, two thousand twenty-three or the date the  qualified  musical
 and theatrical production closes.
   § 3. Paragraph 1 of subdivision (f) of section 24-c of the tax law, as
 added  by section 1 of subpart B of part PP of chapter 59 of the laws of
 2021, is amended to read as follows:
   (1) The aggregate amount of tax credits allowed  under  this  section,
 subdivision  fifty-seven  of  section  two  hundred ten-B and subsection
 (mmm) of section six hundred six of this  chapter  shall  be  [one]  TWO
 hundred million dollars. Such aggregate amount of credits shall be allo-
 cated by the department of economic development among taxpayers based on
 the  date  of  first performance of the qualified musical and theatrical
 production.
   § 4. Paragraph 2 of subdivision (f) of section 24-c of the tax law, as
 added by section 1 of subpart B of part PP of chapter 59 of the laws  of
 2021, is amended to read as follows:
   (2)  The  commissioner  of economic development, after consulting with
 the commissioner, shall promulgate regulations to  establish  procedures
 for  the  allocation  of  tax  credits as required by this section. Such
 rules and regulations shall include provisions describing  the  applica-
 tion  process,  the  due dates for such applications, the standards that
 will be used to evaluate the applications, the documentation  that  will
 be  provided  by applicants to substantiate to the department the amount
 of qualified production expenditures of such applicants, and such  other
 provisions  as  deemed  necessary  and  appropriate. Notwithstanding any
 other provisions to the contrary in the state  administrative  procedure
 act, such rules and regulations may be adopted on an emergency basis. In
 no  event  shall  a  qualified  New  York  city  musical  and theatrical
 production submit an application for this program after [December  thir-
 ty-first,  two thousand twenty-two] JUNE THIRTIETH, TWO THOUSAND TWENTY-
 THREE.
   § 5. Subdivision (g) of section 24-c of  the  tax  law,  as  added  by
 section  1 of subpart B of part PP of chapter 59 of the laws of 2021, is
 amended to read as follows:
   (g) Any qualified New York  city  musical  and  theatrical  production
 company  that  performs in a qualified New York city production facility
 and applies to receive a credit under this section shall be required to:
 (1) participate in a New York state  diversity  and  arts  job  training
 program; (2) create and implement a plan to ensure that their production
 is  available  and accessible for low-or no-cost to low income New York-
 ers; and (3) contribute to the New  York  state  council  on  the  arts,
 cultural program fund an amount up to fifty percent of the total credits
 received if its production earns ongoing revenue prospectively after the
 end  of  the credit period that is at least equal to two hundred percent
 of its ongoing production costs, with such amount payable  from  twenty-
 five percent of net operating profits, such amounts payable on a monthly
 basis,  up  until  such  fifty  percent  of  the  total credit amount is
 reached. Any funds deposited pursuant to this subdivision  may  be  used
 S. 8009--A                         19                         A. 9009--A
 
 for  arts  and  cultural  [educational  and workforce development] GRANT
 programs OF THE NEW YORK STATE COUNCIL ON THE ARTS.
   § 6. Subdivision 5 of section 99-ll of the state finance law, as added
 by  section 5 of subpart B of part PP of chapter 59 of the laws of 2021,
 is amended to read as follows:
   5. The moneys in such fund  shall  be  expended  for  the  purpose  of
 supplementing art and cultural GRANT programs [for secondary and elemen-
 tary  children,  including  programs  that  increase  access  to art and
 cultural programs and events for children in underserved communities] OF
 THE NEW YORK STATE COUNCIL ON THE ARTS.
   § 7. Section 6 of subpart B of part PP of chapter 59 of  the  laws  of
 2021  amending  the tax law and the state finance law relating to estab-
 lishing the New York city musical and theatrical production  tax  credit
 and establishing the New York state council on the arts cultural program
 fund, is amended to read as follows:
   §  6.  This act shall take effect immediately [and]; PROVIDED HOWEVER,
 THAT SECTION ONE, TWO, THREE AND FOUR OF THIS ACT shall apply to taxable
 years beginning on or after January 1, 2021, and before January 1,  2024
 and  shall  expire and be deemed repealed [on] January 1, 2024; provided
 FURTHER, however that the obligations under paragraph 3  of  subdivision
 [g]  (G) of section 24-c of the tax law, as added by section one of this
 act, shall remain in effect until December 31, 2025.
   § 8. This act shall take effect immediately; provided that the  amend-
 ments  to  section 24-c of the tax law made by sections one, two, three,
 four and five of this act shall not affect the repeal  of  such  section
 and shall be deemed repealed therewith.
 
                                  PART G
 
   Section 1. Paragraphs (a) and (f) of subdivision 1 of section 209-b of
 the  tax  law,  paragraph  (a)  as amended and paragraph (f) as added by
 section 7 of part A of chapter 59 of the laws of 2014,  are  amended  to
 read as follows:
   (a)  For  the  privilege  of exercising its corporate franchise, or of
 doing business, or of employing capital, or of owning or leasing proper-
 ty in a corporate or organized capacity, or of maintaining an office, or
 of deriving receipts from activity in the metropolitan  commuter  trans-
 portation  district,  for  all or any part of its taxable year, there is
 hereby imposed on every corporation, other than  a  New  York  S  corpo-
 ration,  subject  to tax under section two hundred nine of this article,
 or any receiver, referee, trustee, assignee or other fiduciary,  or  any
 officer  or  agent  appointed by any court, who conducts the business of
 any such corporation, a tax surcharge, in addition to  the  tax  imposed
 under  section  two  hundred nine of this article, to be computed at the
 rate of seventeen percent of the tax imposed under such section for such
 taxable years or any part of such  taxable  years  ending  on  or  after
 December  thirty-first, nineteen hundred eighty-three and before January
 first, two thousand fifteen after the deduction of any credits otherwise
 allowable under this article, at the rate of twenty-five and  six-tenths
 percent  of  the tax imposed under such section for taxable years begin-
 ning on or after January first, two thousand fifteen and before  January
 first,  two  thousand sixteen before the deduction of any credits other-
 wise allowable under this article, [and] at the rate determined  by  the
 commissioner  pursuant  to  paragraph (f) of this subdivision of the tax
 imposed under such section, for taxable  years  beginning  on  or  after
 January  first, two thousand sixteen AND BEFORE JANUARY FIRST, TWO THOU-
 S. 8009--A                         20                         A. 9009--A
 
 SAND TWENTY-THREE before the deduction of any credits  otherwise  allow-
 able  under  this  article, AND AT THE RATE OF THIRTY PERCENT OF THE TAX
 IMPOSED UNDER SUCH SECTION FOR TAXABLE YEARS BEGINNING ON OR AFTER JANU-
 ARY FIRST, TWO THOUSAND TWENTY-THREE BEFORE THE DEDUCTION OF ANY CREDITS
 OTHERWISE  ALLOWABLE  UNDER  THIS  ARTICLE.    However, such rate of tax
 surcharge shall be applied only to that portion of the tax imposed under
 section two hundred nine of this article before  the  deduction  of  any
 credits  otherwise allowable under this article which is attributable to
 the taxpayer's business activity  carried  on  within  the  metropolitan
 commuter  transportation  district; and provided, further, the surcharge
 computed on a combined report shall include a  surcharge  on  the  fixed
 dollar  minimum tax for each member of the combined group subject to the
 surcharge under this subdivision.
   (f) The commissioner shall determine the rate of tax for taxable years
 beginning on or after January first, two  thousand  sixteen  AND  BEFORE
 JANUARY FIRST, TWO THOUSAND TWENTY-THREE by adjusting the rate for taxa-
 ble  years beginning on or after January first, two thousand fifteen and
 before January first, two thousand sixteen as necessary to  ensure  that
 the  receipts attributable to such surcharge, as impacted by the chapter
 of the laws of two thousand fourteen which added  this  paragraph,  will
 meet  and not exceed the financial projections for state fiscal year two
 thousand sixteen-two thousand seventeen, as reflected  in  state  fiscal
 year  two  thousand  fifteen-two  thousand  sixteen  enacted budget. The
 commissioner shall annually determine  the  rate  thereafter  using  the
 financial  projections  for  the state fiscal year that commences in the
 year for which the rate is to be set as reflected in the enacted  budget
 for the fiscal year commencing on the previous April first.
   § 2. This act shall take effect immediately.
 
                                  PART H
 
   Section  1.  Paragraphs  (a), (b) and (d) of subdivision 29 of section
 210-B of the tax law, paragraph (a) and subparagraph 2 of paragraph  (b)
 as  amended  by  section 1 of part II of chapter 59 of the laws of 2021,
 paragraph (b) as amended by section 1 of part Q of  chapter  59  of  the
 laws  of 2018, subparagraph 1 of paragraph (b) as amended by chapter 490
 of the laws of 2019 and paragraph (d) as added by section 17 of  part  A
 of chapter 59 of the laws of 2014, are amended to read as follows:
   (a) Allowance of credit. For taxable years beginning on or after Janu-
 ary  first,  two thousand fifteen and before January first, two thousand
 [twenty-three] TWENTY-SIX, a taxpayer shall be allowed a credit,  to  be
 computed  as  provided  in  this subdivision, against the tax imposed by
 this article, for hiring and employing, for not less than [one year  and
 for  not  less  than  thirty-five hours each week] TWELVE CONTINUOUS AND
 UNINTERRUPTED MONTHS (HEREINAFTER REFERRED TO AS THE TWELVE-MONTH  PERI-
 OD) IN A FULL-TIME OR PART-TIME POSITION, a qualified veteran within the
 state.  The taxpayer may claim the credit in the year in which the qual-
 ified veteran completes [one year] THE TWELVE-MONTH PERIOD of employment
 by  the  taxpayer.  If the taxpayer claims the credit allowed under this
 subdivision, the taxpayer may not use the hiring of a qualified  veteran
 that  is  the  basis  for  this  credit in the basis of any other credit
 allowed under this article.
   (b) Qualified veteran. A qualified veteran is an individual:
   (1) who served on active duty in the United  States  army,  navy,  air
 force,  SPACE  FORCE, marine corps, coast guard or the reserves thereof,
 or who served in active military service  of  the  United  States  as  a
 S. 8009--A                         21                         A. 9009--A
 
 member of the army national guard, air national guard, New York guard or
 New York naval militia; who (i) was released from active duty by general
 or  honorable discharge [after September eleventh, two thousand one], or
 (ii)  has  a  qualifying  condition, as defined in section three hundred
 fifty of the executive law, and has received a discharge other than  bad
 conduct or dishonorable from such service [after September eleventh, two
 thousand  one],  or  (iii)  is  a discharged LGBT veteran, as defined in
 section three hundred fifty of the executive law,  and  has  received  a
 discharge  other  than  bad  conduct  or  dishonorable from such service
 [after September eleventh, two thousand one];
   (2) who commences employment by the qualified  taxpayer  on  or  after
 January  first,  two  thousand  fourteen,  and before January first, two
 thousand [twenty-two] TWENTY-FIVE; and
   (3) who certifies by signed affidavit, under penalty of perjury,  that
 he or she has not been employed for thirty-five or more hours during any
 week  in  the  one hundred eighty day period immediately prior to his or
 her employment by the taxpayer.
   (d) Amount of credit. The amount of the credit shall be [ten]  FIFTEEN
 percent  of  the  total  amount  of  wages paid to the qualified veteran
 during the veteran's first [full year] TWELVE-MONTH  PERIOD  of  employ-
 ment.  Provided,  however, that[, if the qualified veteran is a disabled
 veteran, as defined in paragraph  (b)  of  subdivision  one  of  section
 eighty-five  of the civil service law, the amount of the credit shall be
 fifteen percent of the total amount  of  wages  paid  to  the  qualified
 veteran  during  the  veteran's  first full year of employment. The] THE
 credit allowed pursuant to this subdivision  shall  not  exceed  in  any
 taxable  year, [five] FIFTEEN thousand dollars for any qualified veteran
 EMPLOYED IN A FULL-TIME POSITION FOR ONE THOUSAND EIGHT  HUNDRED  TWENTY
 OR  MORE  HOURS IN ONE TWELVE-MONTH PERIOD and [fifteen thousand dollars
 for any qualified veteran who is a disabled veteran] SEVEN THOUSAND FIVE
 HUNDRED DOLLARS FOR ANY QUALIFIED VETERAN EMPLOYED IN A PART-TIME  POSI-
 TION  FOR  AT LEAST ONE THOUSAND FORTY HOURS BUT NOT MORE THAN ONE THOU-
 SAND EIGHT HUNDRED NINETEEN HOURS IN ONE TWELVE-MONTH PERIOD.
   § 2. Paragraphs 1, 2 and 4 of subsection (a-2) of section 606  of  the
 tax  law,  paragraph 1 and subparagraph (B) of paragraph 2 as amended by
 section 2 of part II of chapter 59 of the laws of 2021, paragraph  2  as
 amended  by  section  2  of  part  Q  of chapter 59 of the laws of 2018,
 subparagraph (A) of paragraph 2 as amended by chapter 490 of the laws of
 2019 and paragraph 4 as added by section 3 of part AA of chapter  59  of
 the laws of 2013, are amended to read as follows:
   (1) Allowance of credit. For taxable years beginning on or after Janu-
 ary  first,  two thousand fifteen and before January first, two thousand
 [twenty-three] TWENTY-SIX, a taxpayer shall be allowed a credit,  to  be
 computed as provided in this subsection, against the tax imposed by this
 article,  for  hiring and employing, for not less than [one year and for
 not less than thirty-five hours each week] TWELVE CONTINUOUS  AND  UNIN-
 TERRUPTED MONTHS (HEREINAFTER REFERRED TO AS THE TWELVE-MONTH PERIOD) IN
 A FULL-TIME OR PART-TIME POSITION, a qualified veteran within the state.
 The  taxpayer  may  claim  the credit in the year in which the qualified
 veteran completes [one year] THE TWELVE-MONTH PERIOD  of  employment  by
 the  taxpayer.  If  the  taxpayer  claims  the credit allowed under this
 subsection, the taxpayer may not use the hiring of a  qualified  veteran
 that  is  the  basis  for  this  credit in the basis of any other credit
 allowed under this article.
   (2) Qualified veteran. A qualified veteran is an individual:
 S. 8009--A                         22                         A. 9009--A
 
   (A) who served on active duty in the United  States  army,  navy,  air
 force,  SPACE  FORCE, marine corps, coast guard or the reserves thereof,
 or who served in active military service  of  the  United  States  as  a
 member of the army national guard, air national guard, New York guard or
 New York naval militia; who (i) was released from active duty by general
 or  honorable discharge [after September eleventh, two thousand one], or
 (ii) has a qualifying condition, as defined  in  section  three  hundred
 fifty  of the executive law, and has received a discharge other than bad
 conduct or dishonorable from such service [after September eleventh, two
 thousand one], or (iii) is a discharged  LGBT  veteran,  as  defined  in
 section  three  hundred  fifty  of the executive law, and has received a
 discharge other than bad  conduct  or  dishonorable  from  such  service
 [after September eleventh, two thousand one];
   (B)  who  commences  employment  by the qualified taxpayer on or after
 January first, two thousand fourteen,  and  before  January  first,  two
 thousand [twenty-two] TWENTY-FIVE; and
   (C)  who certifies by signed affidavit, under penalty of perjury, that
 he or she has not been employed for thirty-five or more hours during any
 week in the one hundred eighty day period immediately prior  to  his  or
 her employment by the taxpayer.
   (4)  Amount of credit. The amount of the credit shall be [ten] FIFTEEN
 percent of the total amount of wages paid to [he] THE qualified  veteran
 during  the  veteran's  first [full year] TWELVE-MONTH PERIOD of employ-
 ment. Provided, however, that[, if the qualified veteran is  a  disabled
 veteran,  as  defined  in  paragraph  (b)  of subdivision one of section
 eighty-five of the civil service law, the amount of the credit shall  be
 fifteen  percent  of  the  total  amount  of wages paid to the qualified
 veteran during the veteran's first full year  of  employment.  The]  THE
 credit allowed pursuant to this subsection shall not exceed in any taxa-
 ble  year,  [five]  FIFTEEN  thousand  dollars for any qualified veteran
 EMPLOYED IN A FULL-TIME POSITION FOR ONE THOUSAND EIGHT  HUNDRED  TWENTY
 OR  MORE  HOURS IN ONE TWELVE-MONTH PERIOD and [fifteen thousand dollars
 for any qualified veteran who is a disabled veteran] SEVEN THOUSAND FIVE
 HUNDRED DOLLARS FOR ANY QUALIFIED VETERAN EMPLOYED IN A PART-TIME  POSI-
 TION  FOR  AT LEAST ONE THOUSAND FORTY HOURS BUT NOT MORE THAN ONE THOU-
 SAND EIGHT HUNDRED NINETEEN HOURS IN ONE TWELVE-MONTH PERIOD.
   § 3. Paragraphs 1, 2 and 4 of subdivision (g-1) of section 1511 of the
 tax law, paragraph 1 and subparagraph (B) of paragraph 2 as  amended  by
 section  3  of part II of chapter 59 of the laws of 2021, paragraph 2 as
 amended by section 3 of part Q of  chapter  59  of  the  laws  of  2018,
 subparagraph (A) of paragraph 2 as amended by chapter 490 of the laws of
 2019  and  paragraph 4 as added by section 5 of part AA of chapter 59 of
 the laws of 2013, are amended to read as follows:
   (1) Allowance of credit. For taxable years beginning on or after Janu-
 ary first, two thousand fifteen and before January first,  two  thousand
 [twenty-three]  TWENTY-SIX,  a taxpayer shall be allowed a credit, to be
 computed as provided in this subdivision, against  the  tax  imposed  by
 this  article, for hiring and employing, for not less than [one year and
 for not less than thirty-five hours each  week]  TWELVE  CONTINUOUS  AND
 UNINTERRUPTED  MONTHS (HEREINAFTER REFERRED TO AS THE TWELVE-MONTH PERI-
 OD) IN A FULL-TIME OR PART-TIME POSITION, a qualified veteran within the
 state.  The taxpayer may claim the credit in the year in which the qual-
 ified veteran completes [one year] THE TWELVE-MONTH PERIOD of employment
 by the taxpayer. If the taxpayer claims the credit  allowed  under  this
 subdivision,  the taxpayer may not use the hiring of a qualified veteran
 S. 8009--A                         23                         A. 9009--A
 
 that is the basis for this credit in  the  basis  of  any  other  credit
 allowed under this article.
   (2) Qualified veteran. A qualified veteran is an individual:
   (A)  who  served  on  active duty in the United States army, navy, air
 force, SPACE FORCE, marine corps, coast guard or the  reserves  thereof,
 or  who  served  in  active  military  service of the United States as a
 member of the army national guard, air national guard, New York guard or
 New York naval militia; who (i) was released from active duty by general
 or honorable discharge [after September eleventh, two thousand one],  or
 (ii)  has  a  qualifying  condition, as defined in section three hundred
 fifty of the executive law, and has received a discharge other than  bad
 conduct or dishonorable from such service [after September eleventh, two
 thousand  one],  or  (iii)  is  a discharged LGBT veteran, as defined in
 section three hundred fifty of the executive law,  and  has  received  a
 discharge  other  than  bad  conduct  or  dishonorable from such service
 [after September eleventh, two thousand one];
   (B) who commences employment by the qualified  taxpayer  on  or  after
 January  first,  two  thousand  fourteen,  and before January first, two
 thousand [twenty-two] TWENTY-FIVE; and
   (C) who certifies by signed affidavit, under penalty of perjury,  that
 he or she has not been employed for thirty-five or more hours during any
 week  in  the  one hundred eighty day period immediately prior to his or
 her employment by the taxpayer.
   (4) Amount of credit. The amount of the credit shall be [ten]  FIFTEEN
 percent  of  the  total  amount  of  wages paid to the qualified veteran
 during the veteran's first [full year] TWELVE-MONTH  PERIOD  of  employ-
 ment.  Provided,  however, that[, if the qualified veteran is a disabled
 veteran, as defined in paragraph  (b)  of  subdivision  one  of  section
 eighty-five  of the civil service law, the amount of the credit shall be
 fifteen percent of the total amount  of  wages  paid  to  the  qualified
 veteran  during  the  veteran's  first full year of employment. The] THE
 credit allowed pursuant to this subdivision  shall  not  exceed  in  any
 taxable  year, [five] FIFTEEN thousand dollars for any qualified veteran
 EMPLOYED IN A FULL-TIME POSITION FOR ONE THOUSAND EIGHT  HUNDRED  TWENTY
 OR  MORE  HOURS IN ONE TWELVE-MONTH PERIOD and [fifteen thousand dollars
 for any qualified veteran who is a disabled veteran] SEVEN THOUSAND FIVE
 HUNDRED DOLLARS FOR ANY QUALIFIED VETERAN EMPLOYED IN A PART-TIME  POSI-
 TION  FOR  AT LEAST ONE THOUSAND FORTY HOURS BUT NOT MORE THAN ONE THOU-
 SAND EIGHT HUNDRED NINETEEN HOURS IN ONE TWELVE-MONTH PERIOD.
   § 4. This act shall take effect immediately and shall apply to taxable
 years beginning on or after January 1, 2022.
 
                                  PART I
 
   Section 1. The tax law is amended by adding a new section 47  to  read
 as follows:
   § 47. GRADE NO. 6 HEATING OIL CONVERSION TAX CREDIT. (A) (1) ALLOWANCE
 OF  CREDIT. A TAXPAYER THAT MEETS THE ELIGIBILITY REQUIREMENTS OF SUBDI-
 VISION (B) OF THIS SECTION AND IS SUBJECT TO TAX UNDER ARTICLE NINE-A OR
 TWENTY-TWO OF THIS CHAPTER MAY BE ELIGIBLE TO CLAIM A GRADE NO. 6  HEAT-
 ING  OIL  CONVERSION  TAX  CREDIT  IN THE TAXABLE YEAR THE CONVERSION IS
 COMPLETE.  THE CREDIT SHALL BE EQUAL TO FIFTY PERCENT OF THE  CONVERSION
 COSTS FOR ALL OF THE TAXPAYER'S BUILDINGS LOCATED IN A MUNICIPALITY PAID
 BY  SUCH TAXPAYER ON OR AFTER JANUARY FIRST, TWO THOUSAND TWENTY-TWO AND
 BEFORE JULY FIRST, TWO THOUSAND TWENTY-THREE. THE CREDIT  CANNOT  EXCEED
 FIVE HUNDRED THOUSAND DOLLARS PER MUNICIPALITY.
 S. 8009--A                         24                         A. 9009--A
 
   (2) A TAXPAYER THAT IS A PARTNER IN A PARTNERSHIP, MEMBER OF A LIMITED
 LIABILITY  COMPANY OR SHAREHOLDER IN A SUBCHAPTER S CORPORATION SHALL BE
 ALLOWED ITS PRO RATA SHARE OF THE  CREDIT  EARNED  BY  THE  PARTNERSHIP,
 LIMITED  LIABILITY  COMPANY  OR  SUBCHAPTER S CORPORATION THAT MEETS THE
 ELIGIBILITY  CRITERIA  DESCRIBED  IN  SUBDIVISION (B) OF THIS SECTION TO
 CLAIM A GRADE NO. 6 HEATING OIL CONVERSION TAX CREDIT. IN NO  EVENT  MAY
 THE  TOTAL  AMOUNT  OF  THE  CREDIT  EARNED  BY THE PARTNERSHIP, LIMITED
 LIABILITY COMPANY OR SUBCHAPTER S CORPORATION EXCEED FIVE HUNDRED  THOU-
 SAND DOLLARS FOR ALL BUILDINGS LOCATED IN A MUNICIPALITY.
   (3)  NO  COST  OR  EXPENSE  PAID  OR  INCURRED BY THE TAXPAYER THAT IS
 INCLUDED AS PART OF THE CALCULATION OF THIS CREDIT SHALL BE THE BASIS OF
 ANY OTHER TAX CREDIT ALLOWED UNDER THIS CHAPTER.
   (B) ELIGIBILITY CRITERIA. (1) TO BE ELIGIBLE TO CLAIM A  GRADE  NO.  6
 HEATING OIL CONVERSION TAX CREDIT, A BUSINESS ENTITY MUST:
   (I)  INCUR  EXPENSES  FOR  THE CONVERSION FROM GRADE NO. 6 HEATING OIL
 FUEL, AS DESCRIBED AS "CONVERSION COSTS" IN PARAGRAPH (1) OF SUBDIVISION
 (C) OF THIS SECTION, TO BIODIESEL HEATING OIL OR A GEOTHERMAL SYSTEM  AT
 ANY BUILDING LOCATED IN NEW YORK STATE OUTSIDE THE CITY OF NEW YORK;
   (II)  SUBMIT AN APPLICATION TO AND OBTAIN APPROVAL OF SUCH APPLICATION
 BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY DESCRIB-
 ING THE CONVERSION AND APPROVED COSTS TO COMPLETE SUCH CONVERSION;
   (III) NOT BE PRINCIPALLY ENGAGED IN THE GENERATION OR DISTRIBUTION  OF
 ELECTRICITY, POWER OR ENERGY;
   (IV)  BE  IN  COMPLIANCE  WITH ALL ENVIRONMENTAL CONSERVATION LAWS AND
 REGULATIONS; AND
   (V) NOT OWE PAST DUE STATE TAXES UNLESS THE BUSINESS ENTITY IS  MAKING
 PAYMENTS  AND  COMPLYING  WITH  AN  APPROVED  BINDING  PAYMENT AGREEMENT
 ENTERED INTO WITH THE TAXING AUTHORITY.
   (C) DEFINITIONS. AS USED IN THIS SECTION  THE  FOLLOWING  TERMS  SHALL
 HAVE THE FOLLOWING MEANINGS:
   (1)  CONVERSION  COSTS  MEANS THE EQUIPMENT AND LABOR COSTS ASSOCIATED
 WITH THE DESIGN, INSTALLATION AND USE OF SPACE HEATING AND OTHER  ENERGY
 CONVERSION  SYSTEMS THAT ARE DESIGNED TO OR ACCOMMODATE THE USE OF BIOD-
 IESEL FUEL OR A GEOTHERMAL SYSTEM AND, AT THE OPTION  OF  THE  TAXPAYER,
 THE COSTS OF COMPLETING AN ASHRAE LEVEL 2 ENERGY AUDIT INCLUDING ASSESS-
 MENT OF ELECTRIFICATION OPTIONS.
   (2)  BIODIESEL MEANS A MINIMUM BLEND OF EIGHTY-FIVE (85) PERCENT BIOD-
 IESEL, DEFINED AS FUEL MANUFACTURED FROM VEGETABLE OILS, ANIMAL FATS, OR
 OTHER AGRICULTURAL OR OTHER PRODUCTS OR  BY-PRODUCTS,  WITH  PETRODIESEL
 FUEL COMMONLY USED FOR HEATING SYSTEMS.
   (3)  GEOTHERMAL MEANS A SYSTEM THAT USES THE GROUND OR GROUND WATER AS
 A THERMAL ENERGY SOURCE/SINK TO HEAT OR COOL A BUILDING OR  PROVIDE  HOT
 WATER WITHIN THE BUILDING.
   (4) MUNICIPALITY, FOR PURPOSES OF THIS SECTION, MEANS A CITY OR TOWN.
   (D)  THE  COMMISSIONER, IN CONSULTATION WITH THE NEW YORK STATE ENERGY
 RESEARCH AND DEVELOPMENT AUTHORITY, WILL DEVELOP AN APPLICATION  PROCESS
 TO CERTIFY THE EXPENSES NECESSARY FOR THE CONVERSION AND A TAXPAYER WILL
 NOT  BE ELIGIBLE TO CLAIM THE CREDIT UNLESS IT HAS COMPLETED THAT APPLI-
 CATION PROCESS AND THE APPLICATION HAS BEEN APPROVED  BY  THE  NEW  YORK
 STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY.
   (E)  INFORMATION  SHARING.  THE DEPARTMENT, THE DEPARTMENT OF ENVIRON-
 MENTAL CONSERVATION AND THE NEW YORK STATE ENERGY RESEARCH AND  DEVELOP-
 MENT  AUTHORITY  SHALL BE ALLOWED AND ARE DIRECTED TO SHARE AND EXCHANGE
 INFORMATION REGARDING THE INFORMATION CONTAINED ON THE  CREDIT  APPLICA-
 TION  FOR CLAIMING THE GRADE NO. 6 HEATING OIL CONVERSION TAX CREDIT AND
 SUCH INFORMATION EXCHANGED BETWEEN THE  DEPARTMENT,  THE  DEPARTMENT  OF
 S. 8009--A                         25                         A. 9009--A

 ENVIRONMENTAL  CONSERVATION  AND  THE NEW YORK STATE ENERGY RESEARCH AND
 DEVELOPMENT AUTHORITY SHALL NOT BE SUBJECT TO DISCLOSURE  OR  INSPECTION
 UNDER THE STATE'S FREEDOM OF INFORMATION LAW.
   (F)  CROSS  REFERENCES.  FOR APPLICATION OF THE CREDIT PROVIDED FOR IN
 THIS SECTION, SEE THE FOLLOWING PROVISIONS OF THIS CHAPTER:
   (1) ARTICLE 9-A: SECTION 210-B, SUBDIVISION 58;
   (2) ARTICLE 22: SECTION 606, SUBSECTION (NNN).
   § 2. Section 210-B of the tax law is amended by adding a new  subdivi-
 sion 58 to read as follows:
   58.  GRADE NO.   6 HEATING OIL CONVERSION TAX CREDIT. (A) ALLOWANCE OF
 CREDIT. A TAXPAYER WILL BE ALLOWED A CREDIT, TO BE COMPUTED AS  PROVIDED
 IN  SECTION  FORTY-SEVEN  OF  THIS CHAPTER, AGAINST THE TAXES IMPOSED BY
 THIS ARTICLE.
   (B) APPLICATION OF CREDIT. THE CREDIT ALLOWED UNDER  THIS  SUBDIVISION
 FOR  THE  TAXABLE YEAR WILL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO LESS
 THAN THE AMOUNT PRESCRIBED  IN  PARAGRAPH  (D)  OF  SUBDIVISION  ONE  OF
 SECTION TWO HUNDRED TEN OF THIS ARTICLE. HOWEVER, IF THE AMOUNT OF CRED-
 IT  ALLOWED  UNDER THIS SUBDIVISION FOR THE TAXABLE YEAR REDUCES THE TAX
 TO SUCH AMOUNT OR IF THE TAXPAYER OTHERWISE PAYS TAX BASED ON THE  FIXED
 DOLLAR MINIMUM AMOUNT, ANY AMOUNT OF CREDIT NOT DEDUCTIBLE IN SUCH TAXA-
 BLE  YEAR  WILL  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.  PROVIDED,  HOWEVER,  THE  PROVISIONS  OF
 SUBSECTION (C) OF SECTION ONE  THOUSAND  EIGHTY-EIGHT  OF  THIS  CHAPTER
 NOTWITHSTANDING, NO INTEREST WILL BE PAID THEREON.
   §  3. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
 of the tax law is amended by adding a  new  clause  (xlix)  to  read  as
 follows:
 (XLIX) GRADE NO. 6 HEATING OIL          AMOUNT OF CREDIT UNDER SUBDIVISION
 CONVERSION TAX CREDIT UNDER             FIFTY-EIGHT OF SECTION TWO HUNDRED
 SUBSECTION (NNN)                        TEN-B
   §  4. Section 606 of the tax law is amended by adding a new subsection
 (nnn) to read as follows:
   (NNN) GRADE NO. 6 HEATING OIL CONVERSION TAX CREDIT. (1) ALLOWANCE  OF
 CREDIT. A TAXPAYER SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED
 IN  SECTION FORTY-SEVEN OF THIS CHAPTER, AGAINST THE TAX IMPOSED BY THIS
 ARTICLE.
   (2) APPLICATION OF CREDIT. IF THE AMOUNT OF THE CREDIT  ALLOWED  UNDER
 THIS SUBSECTION FOR THE TAXABLE YEAR EXCEEDS THE TAXPAYER'S TAX FOR SUCH
 YEAR, THE EXCESS 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, THAT NO INTEREST WILL  BE
 PAID THEREON.
   § 5. This act shall take effect immediately and shall apply to taxable
 years beginning on or after January 1, 2022.
 
                                  PART J
 
   Section  1.  Subdivision 4 of section 22 of the public housing law, as
 amended by section 2 of part GG of chapter 59 of the laws  of  2021,  is
 amended to read as follows:
   4.  Statewide  limitation. The aggregate dollar amount of credit which
 the commissioner may allocate to  eligible  low-income  buildings  under
 this article shall be one hundred [twenty] TWENTY-SEVEN million dollars.
 The  limitation  provided by this subdivision applies only to allocation
 of the aggregate dollar amount of credit by the commissioner,  and  does
 S. 8009--A                         26                         A. 9009--A
 
 not  apply  to  allowance to a taxpayer of the credit with respect to an
 eligible low-income building for each year of the credit period.
   §  2.    Subdivision  4  of  section  22 of the public housing law, as
 amended by section 3 of part GG of chapter 59 of the laws  of  2021,  is
 amended to read as follows:
   4.  Statewide  limitation. The aggregate dollar amount of credit which
 the commissioner may allocate to  eligible  low-income  buildings  under
 this  article  shall  be  one  hundred  [twenty-eight] FORTY-TWO million
 dollars. The limitation provided by this  subdivision  applies  only  to
 allocation of the aggregate dollar amount of credit by the commissioner,
 and does not apply to allowance to a taxpayer of the credit with respect
 to an eligible low-income building for each year of the credit period.
   § 3. Subdivision 4 of section 22 of the public housing law, as amended
 by section 4 of part GG of chapter 59 of the laws of 2021, is amended to
 read as follows:
   4.  Statewide  limitation. The aggregate dollar amount of credit which
 the commissioner may allocate to  eligible  low-income  buildings  under
 this  article  shall  be  one  hundred  [thirty-six] FIFTY-SEVEN million
 dollars. The limitation provided by this  subdivision  applies  only  to
 allocation of the aggregate dollar amount of credit by the commissioner,
 and does not apply to allowance to a taxpayer of the credit with respect
 to an eligible low-income building for each year of the credit period.
   § 4. Subdivision 4 of section 22 of the public housing law, as amended
 by section 5 of part GG of chapter 59 of the laws of 2021, is amended to
 read as follows:
   4.  Statewide  limitation. The aggregate dollar amount of credit which
 the commissioner may allocate to  eligible  low-income  buildings  under
 this  article  shall  be  one  hundred  [forty-four] SEVENTY-TWO million
 dollars. The limitation provided by this  subdivision  applies  only  to
 allocation of the aggregate dollar amount of credit by the commissioner,
 and does not apply to allowance to a taxpayer of the credit with respect
 to an eligible low-income building for each year of the credit period.
   §  5.  This  act  shall  take  effect  immediately; provided, however,
 section one of this act shall take effect April 1, 2022; section two  of
 this  act  shall  take  effect  April 1, 2023; section three of this act
 shall take effect April 1, 2024; and section four of this act shall take
 effect April 1, 2025.
 
                                  PART K
 
   Section 1. Paragraph (a) of subdivision 25 of section 210-B of the tax
 law, as amended by section 1 of part R of chapter  59  of  the  laws  of
 2019, is amended to read as follows:
   (a)  General.  A  taxpayer  shall  be allowed a credit against the tax
 imposed by this article. Such credit,  to  be  computed  as  hereinafter
 provided,  shall  be allowed for bioheating fuel, used for space heating
 or hot water production  for  residential  purposes  within  this  state
 purchased  before January first, two thousand [twenty-three] TWENTY-SIX.
 Such credit shall be $0.01  per  percent  of  biodiesel  per  gallon  of
 bioheating  fuel,  not  to  exceed twenty cents per gallon, purchased by
 such taxpayer.  Provided, however, that on or after January  first,  two
 thousand  seventeen, this credit shall not apply to bioheating fuel that
 is less than six percent biodiesel per gallon of bioheating fuel.
   § 2. Paragraph 1 of subdivision (mm) of section 606 of the tax law, as
 amended by section 2 of part R of chapter 59 of the  laws  of  2019,  is
 amended to read as follows:
 S. 8009--A                         27                         A. 9009--A
 
   (1)  A  taxpayer  shall be allowed a credit against the tax imposed by
 this article. Such credit, to be computed as hereinafter provided, shall
 be allowed for bioheating fuel, used for  space  heating  or  hot  water
 production  for  residential purposes within this state and purchased on
 or  after  July first, two thousand six and before July first, two thou-
 sand seven and on or after January first, two thousand eight and  before
 January first, two thousand [twenty-three] TWENTY-SIX. Such credit shall
 be  $0.01 per percent of biodiesel per gallon of bioheating fuel, not to
 exceed twenty cents per gallon, purchased by  such  taxpayer.  Provided,
 however,  that  on  or after January first, two thousand seventeen, this
 credit shall not apply to bioheating fuel that is less than six  percent
 biodiesel per gallon of bioheating fuel.
   § 3. This act shall take effect immediately.
 
                                  PART L
 
   Section  1.  Section 5 of chapter 604 of the laws of 2011 amending the
 tax law relating to the credit for companies who provide  transportation
 to  people with disabilities, as amended by section 1 of part K of chap-
 ter 60 of the laws of 2016, is amended to read as follows:
   § 5. This act shall take effect immediately and shall remain in effect
 until December 31, 2016 when upon such date it shall be deemed repealed;
 provided that this act shall be deemed to have been in  full  force  and
 effect  on December 31, 2010; provided further that this act shall apply
 to all tax years commencing on or after January 1,  2011;  and  provided
 further  that  sections  one  and two of this act shall remain in effect
 until December 31, [2022] 2028 when upon such date such  sections  shall
 be deemed repealed.
   §  2. Paragraph (c) of subdivision 38 of section 210-B of the tax law,
 as amended by section 2 of part K of chapter 60 of the laws of 2016,  is
 amended to read as follows:
   (c)  Application of credit. In no event shall the credit allowed under
 this subdivision for any taxable year reduce the tax due for  such  year
 to  less  than the amount prescribed in paragraph (d) of subdivision one
 of section two hundred ten of this article. However, if  the  amount  of
 credit  allowed  under this subdivision for any taxable year reduces the
 tax to such amount or if the taxpayer otherwise pays tax  based  on  the
 fixed dollar minimum amount, any amount of credit thus not deductible in
 such  taxable year shall be carried over to the following year or years,
 and may be deducted from the taxpayer's tax for such year or years.  The
 tax credit allowed pursuant to this subdivision shall not apply to taxa-
 ble  years  beginning  on  or after January first, two thousand [twenty-
 three] TWENTY-NINE.
   § 3. This act shall take effect immediately.
 
                                  PART M
 
   Section  1.    Paragraph 4 of subdivision (a) of section 24 of the tax
 law, as added by section 5 of part Q of chapter 57 of the laws of  2010,
 is amended to read as follows:
   (4)  (I) Notwithstanding the foregoing provisions of this subdivision,
 a qualified  film  production  company  or  qualified  independent  film
 production  company, that has applied for credit under the provisions of
 this section, agrees as a condition for  the  granting  of  the  credit:
 [(i)] (A) to include in each qualified film distributed by DVD, or other
 media for the secondary market, a New York promotional video approved by
 S. 8009--A                         28                         A. 9009--A
 
 the governor's office of motion picture and television development or to
 include  in  the  end  credits  of  each qualified film "Filmed With the
 Support of the New York State Governor's Office of  Motion  Picture  and
 Television  Development" and a logo provided by the governor's office of
 motion picture and television development, and  [(ii)]  (B)  to  certify
 that it will purchase taxable tangible property and services, defined as
 qualified  production costs pursuant to paragraph one of subdivision (b)
 of this section, only from companies registered  to  collect  and  remit
 state  and  local  sales and use taxes pursuant to articles twenty-eight
 and twenty-nine of this chapter.
   (II) ON OR AFTER JANUARY FIRST, TWO THOUSAND TWENTY-THREE, A QUALIFIED
 FILM PRODUCTION COMPANY OR QUALIFIED INDEPENDENT FILM PRODUCTION COMPANY
 THAT HAS APPLIED FOR CREDIT UNDER THE PROVISIONS OF THIS SECTION  SHALL,
 AS  A  CONDITION  FOR  THE GRANTING OF THE CREDIT, FILE A DIVERSITY PLAN
 WITH THE GOVERNOR'S OFFICE FOR MOTION PICTURE AND TELEVISION DEVELOPMENT
 OUTLINING SPECIFIC GOALS FOR HIRING A DIVERSE WORKFORCE. THE COMMISSION-
 ER OF ECONOMIC DEVELOPMENT SHALL PROMULGATE REGULATIONS IMPLEMENTING THE
 REQUIREMENTS OF THIS PARAGRAPH, WHICH, NOTWITHSTANDING ANY PROVISIONS TO
 THE CONTRARY IN THE STATE ADMINISTRATIVE PROCEDURE ACT, MAY  BE  ADOPTED
 ON  AN EMERGENCY BASIS, TO ENSURE COMPLIANCE WITH THE PROVISIONS OF THIS
 PARAGRAPH. THE GOVERNOR'S  OFFICE  FOR  MOTION  PICTURE  AND  TELEVISION
 DEVELOPMENT  SHALL REVIEW EACH SUBMITTED PLAN AS TO WHETHER IT MEETS THE
 REQUIREMENTS ESTABLISHED BY THE COMMISSIONER  OF  ECONOMIC  DEVELOPMENT,
 AND  SHALL  VERIFY THAT THE APPLICANT HAS MET OR MADE GOOD-FAITH EFFORTS
 IN ACHIEVING THESE GOALS. THE DIVERSITY PLAN ALSO SHALL INDICATE WHETHER
 THE QUALIFIED FILM PRODUCTION  COMPANY  OR  QUALIFIED  INDEPENDENT  FILM
 PRODUCTION  COMPANY  THAT HAS APPLIED FOR CREDIT UNDER THE PROVISIONS OF
 THIS SECTION INTENDS TO PARTICIPATE IN TRAINING, EDUCATION, AND RECRUIT-
 MENT PROGRAMS THAT ARE DESIGNED TO PROMOTE AND  ENCOURAGE  THE  TRAINING
 AND HIRING IN THE FILM AND TELEVISION INDUSTRY OF NEW YORK RESIDENTS WHO
 REPRESENT THE DIVERSITY OF THE STATE'S POPULATION.
   §  2.  Paragraph 5 of subdivision (a) of section 24 of the tax law, as
 amended by section 1 of part F of chapter 59 of the  laws  of  2021,  is
 amended to read as follows:
   (5)  For the period two thousand fifteen through two thousand [twenty-
 six] TWENTY-NINE, in addition to the amount  of  credit  established  in
 paragraph  two of this subdivision, a taxpayer shall be allowed a credit
 equal to the product (or pro rata share of the product, in the case of a
 member of a partnership) of ten percent and the amount of wages or sala-
 ries paid to individuals directly employed (excluding those employed  as
 writers, directors, music directors, producers and performers, including
 background actors with no scripted lines) by a qualified film production
 company  or a qualified independent film production company for services
 performed by those individuals in one of the counties specified in  this
 paragraph  in  connection with a qualified film with a minimum budget of
 five hundred thousand dollars. For purposes of this  additional  credit,
 the services must be performed in one or more of the following counties:
 Albany,  Allegany,  Broome,  Cattaraugus,  Cayuga,  Chautauqua, Chemung,
 Chenango, Clinton, Columbia, Cortland, Delaware, Dutchess, Erie,  Essex,
 Franklin, Fulton, Genesee, Greene, Hamilton, Herkimer, Jefferson, Lewis,
 Livingston,  Madison,  Monroe,  Montgomery,  Niagara,  Oneida, Onondaga,
 Ontario, Orange, Orleans, Oswego, Otsego, Putnam, Rensselaer,  Saratoga,
 Schenectady,  Schoharie, Schuyler, Seneca, St. Lawrence, Steuben, Sulli-
 van, Tioga, Tompkins, Ulster, Warren,  Washington,  Wayne,  Wyoming,  or
 Yates.  The  aggregate  amount  of  tax  credits allowed pursuant to the
 authority of this paragraph shall be  five  million  dollars  each  year
 S. 8009--A                         29                         A. 9009--A
 
 during the period two thousand fifteen through two thousand [twenty-six]
 TWENTY-NINE  of  the  annual  allocation  made  available to the program
 pursuant to paragraph four of subdivision  (e)  of  this  section.  Such
 aggregate  amount of credits shall be allocated by the governor's office
 for motion picture and television development among taxpayers  in  order
 of  priority based upon the date of filing an application for allocation
 of film production credit with such office. If the total amount of allo-
 cated credits applied for under this paragraph in any year  exceeds  the
 aggregate  amount  of tax credits allowed for such year under this para-
 graph, such excess shall be treated as having been applied  for  on  the
 first day of the next year. If the total amount of allocated tax credits
 applied  for  under this paragraph at the conclusion of any year is less
 than five million dollars, the remainder shall be treated as part of the
 annual allocation made available to the program  pursuant  to  paragraph
 four  of  subdivision  (e) of this section. However, in no event may the
 total of the credits allocated under  this  paragraph  and  the  credits
 allocated  under paragraph five of subdivision (a) of section thirty-one
 of this article exceed five million dollars in any year during the peri-
 od two thousand fifteen through two thousand [twenty-six] TWENTY-NINE.
   § 3. Paragraph 4 of subdivision (e) of section 24 of the tax  law,  as
 amended  by  section  2  of part F of chapter 59 of the laws of 2021, is
 amended to read as follows:
   (4) Additional pool 2 - The aggregate amount of tax credits allowed in
 subdivision (a) of this section shall be increased by an additional four
 hundred twenty million dollars in each year starting in two thousand ten
 through two thousand [twenty-six] TWENTY-NINE  provided  however,  seven
 million  dollars  of  the  annual  allocation shall be available for the
 empire state film post production credit pursuant to section  thirty-one
 of  this  article  in  two  thousand thirteen and two thousand fourteen,
 twenty-five million dollars of the annual allocation shall be  available
 for  the  empire  state  film post production credit pursuant to section
 thirty-one of this article in each year starting in two thousand fifteen
 through two thousand [twenty-six] TWENTY-NINE and five  million  dollars
 of  the  annual  allocation  shall  be made available for the television
 writers' and directors' fees and salaries  credit  pursuant  to  section
 twenty-four-b  of  this  article  in  each year starting in two thousand
 twenty through two thousand [twenty-six] TWENTY-NINE. This amount  shall
 be  allocated by the governor's office for motion picture and television
 development among taxpayers in accordance with subdivision (a)  of  this
 section. If the commissioner of economic development determines that the
 aggregate amount of tax credits available from additional pool 2 for the
 empire  state film production tax credit have been previously allocated,
 and determines that the pending applications  from  eligible  applicants
 for the empire state film post production tax credit pursuant to section
 thirty-one  of  this  article  is insufficient to utilize the balance of
 unallocated empire state film post  production  tax  credits  from  such
 pool,  the  remainder,  after  such pending applications are considered,
 shall be made available for allocation in  the  empire  state  film  tax
 credit  pursuant  to  this  section,  subdivision  twenty of section two
 hundred ten-B and subsection (gg) of section six  hundred  six  of  this
 chapter.  Also,  if  the commissioner of economic development determines
 that the aggregate amount of tax credits available from additional  pool
 2  for the empire state film post production tax credit have been previ-
 ously allocated, and  determines  that  the  pending  applications  from
 eligible  applicants  for  the  empire  state film production tax credit
 pursuant to this section is insufficient to utilize the balance of unal-
 S. 8009--A                         30                         A. 9009--A
 
 located film production tax credits from such pool, then all or part  of
 the  remainder, after such pending applications are considered, shall be
 made available for allocation for the empire state film post  production
 credit  pursuant  to this section, subdivision thirty-two of section two
 hundred ten-B and subsection (qq) of section six  hundred  six  of  this
 chapter.  The governor's office for motion picture and television devel-
 opment must notify taxpayers of their allocation year  and  include  the
 allocation  year on the certificate of tax credit. Taxpayers eligible to
 claim a credit must report the allocation year directly on their  empire
 state  film production credit tax form for each year a credit is claimed
 and include a copy of the certificate with their tax return. In the case
 of a qualified film that receives  funds  from  additional  pool  2,  no
 empire state film production credit shall be claimed before the later of
 the  taxable  year  the production of the qualified film is complete, or
 the taxable year immediately following the allocation year for which the
 film has been allocated credit  by  the  governor's  office  for  motion
 picture and television development.
   §  4.  Paragraph 4 of subdivision (e) of section 24 of the tax law, as
 amended by section 3 of part F of chapter 59 of the  laws  of  2021,  is
 amended to read as follows:
   (4) Additional pool 2 - The aggregate amount of tax credits allowed in
 subdivision (a) of this section shall be increased by an additional four
 hundred twenty million dollars in each year starting in two thousand ten
 through  two  thousand  [twenty-six] TWENTY-NINE provided however, seven
 million dollars of the annual allocation  shall  be  available  for  the
 empire  state film post production credit pursuant to section thirty-one
 of this article in two thousand thirteen and two thousand  fourteen  and
 twenty-five  million dollars of the annual allocation shall be available
 for the empire state film post production  credit  pursuant  to  section
 thirty-one of this article in each year starting in two thousand fifteen
 through  two  thousand  [twenty-six]  TWENTY-NINE.  This amount shall be
 allocated by the governor's office for  motion  picture  and  television
 development  among  taxpayers in accordance with subdivision (a) of this
 section. If the commissioner of economic development determines that the
 aggregate amount of tax credits available from additional pool 2 for the
 empire state film production tax credit have been previously  allocated,
 and  determines  that  the pending applications from eligible applicants
 for the empire state film post production tax credit pursuant to section
 thirty-one of this article is insufficient to  utilize  the  balance  of
 unallocated  empire  state  film  post  production tax credits from such
 pool, the remainder, after such  pending  applications  are  considered,
 shall  be  made  available  for  allocation in the empire state film tax
 credit pursuant to this  section,  subdivision  twenty  of  section  two
 hundred  ten-B  and  subsection  (gg) of section six hundred six of this
 chapter. Also, if the commissioner of  economic  development  determines
 that  the aggregate amount of tax credits available from additional pool
 2 for the empire state film post production tax credit have been  previ-
 ously  allocated,  and  determines  that  the  pending applications from
 eligible applicants for the empire  state  film  production  tax  credit
 pursuant to this section is insufficient to utilize the balance of unal-
 located  film production tax credits from such pool, then all or part of
 the remainder, after such pending applications are considered, shall  be
 made  available for allocation for the empire state film post production
 credit pursuant to this section, subdivision thirty-two of  section  two
 hundred  ten-B  and  subsection  (qq) of section six hundred six of this
 chapter. The governor's office for motion picture and television  devel-
 S. 8009--A                         31                         A. 9009--A
 
 opment  must  notify  taxpayers of their allocation year and include the
 allocation year on the certificate of tax credit. Taxpayers eligible  to
 claim  a credit must report the allocation year directly on their empire
 state  film production credit tax form for each year a credit is claimed
 and include a copy of the certificate with their tax return. In the case
 of a qualified film that receives  funds  from  additional  pool  2,  no
 empire state film production credit shall be claimed before the later of
 the  taxable  year  the production of the qualified film is complete, or
 the taxable year immediately following the allocation year for which the
 film has been allocated credit  by  the  governor's  office  for  motion
 picture and television development.
   §  5.  Paragraph 1 of subdivision (f) of section 24 of the tax law, as
 added by section 2 of subpart A of part H of chapter 39 of the  laws  of
 2019, is amended to read as follows:
   (1) With regard to certificates of tax credit issued on or after Janu-
 ary first, two thousand twenty, the commissioner of economic development
 shall  reduce by one-quarter of one percent the amount of credit allowed
 to a taxpayer and this reduced amount shall be reported on a certificate
 of tax credit issued  pursuant  to  this  section  and  the  regulations
 promulgated  by  the  commissioner  of economic development to implement
 this credit program.  PROVIDED, HOWEVER, FOR CERTIFICATES OF TAX  CREDIT
 ISSUED  ON OR AFTER JANUARY FIRST, TWO THOUSAND TWENTY-THREE, THE AMOUNT
 OF CREDIT SHALL BE REDUCED BY ONE-HALF OF ONE  PERCENT  ALLOWED  TO  THE
 TAXPAYER.
   §  6.  Paragraph 6 of subdivision (a) of section 31 of the tax law, as
 amended by section 4 of part F of chapter 59 of the  laws  of  2021,  is
 amended to read as follows:
   (6)  For the period two thousand fifteen through two thousand [twenty-
 six] TWENTY-NINE, in addition to the amount  of  credit  established  in
 paragraph  two of this subdivision, a taxpayer shall be allowed a credit
 equal to the product (or pro rata share of the product, in the case of a
 member of a partnership) of ten percent and the amount of wages or sala-
 ries paid to individuals directly employed (excluding those employed  as
 writers, directors, music directors, producers and performers, including
 background  actors  with  no  scripted  lines) for services performed by
 those individuals in one of the counties specified in this paragraph  in
 connection  with  the  post  production  work on a qualified film with a
 minimum budget of five hundred thousand  dollars  at  a  qualified  post
 production facility in one of the counties listed in this paragraph. For
 purposes  of  this  additional credit, the services must be performed in
 one or more of the following counties: Albany, Allegany, Broome,  Catta-
 raugus,  Cayuga, Chautauqua, Chemung, Chenango, Clinton, Columbia, Cort-
 land,  Delaware,  Dutchess,  Erie,  Essex,  Franklin,  Fulton,  Genesee,
 Greene,  Hamilton,  Herkimer,  Jefferson,  Lewis,  Livingston,  Madison,
 Monroe, Montgomery, Niagara, Oneida, Onondaga, Ontario, Orange, Orleans,
 Oswego, Otsego, Putnam, Rensselaer,  Saratoga,  Schenectady,  Schoharie,
 Schuyler,  Seneca,  St.  Lawrence,  Steuben,  Sullivan, Tioga, Tompkins,
 Ulster, Warren, Washington, Wayne,  Wyoming,  or  Yates.  The  aggregate
 amount  of  tax  credits allowed pursuant to the authority of this para-
 graph shall be five million dollars each  year  during  the  period  two
 thousand  fifteen  through  two thousand [twenty-six] TWENTY-NINE of the
 annual  allocation  made  available  to  the  empire  state  film   post
 production  credit  pursuant  to  paragraph  four  of subdivision (e) of
 section twenty-four of this article. Such aggregate  amount  of  credits
 shall be allocated by the governor's office for motion picture and tele-
 vision  development  among taxpayers in order of priority based upon the
 S. 8009--A                         32                         A. 9009--A
 
 date of filing an application for allocation of post  production  credit
 with  such  office. If the total amount of allocated credits applied for
 under this paragraph in any year exceeds the  aggregate  amount  of  tax
 credits allowed for such year under this paragraph, such excess shall be
 treated as having been applied for on the first day of the next year. If
 the  total  amount of allocated tax credits applied for under this para-
 graph at the conclusion of any year is less than five  million  dollars,
 the  remainder shall be treated as part of the annual allocation for two
 thousand  seventeen  made  available  to  the  empire  state  film  post
 production  credit  pursuant  to  paragraph  four  of subdivision (e) of
 section twenty-four of this article. However, in no event may the  total
 of  the credits allocated under this paragraph and the credits allocated
 under paragraph five of subdivision (a) of section twenty-four  of  this
 article  exceed  five  million dollars in any year during the period two
 thousand fifteen through two thousand [twenty-six] TWENTY-NINE.
   § 7. This act shall take effect immediately;  provided,  however  that
 the  amendments  to  paragraph 4 of subdivision (e) of section 24 of the
 tax law made by section three of this act shall take effect on the  same
 date  and  in the same manner as section 5 of chapter 683 of the laws of
 2019, as amended, takes effect.
 
                                  PART N
 
   Section 1. Subdivision (a) of  section  25-a  of  the  labor  law,  as
 amended by section 1 of subpart A of part N of chapter 59 of the laws of
 2017, is amended to read as follows:
   (a)  The  commissioner  is  authorized to establish and administer the
 program established under this section  to  provide  tax  incentives  to
 employers  for  employing at risk youth in part-time and full-time posi-
 tions. There will be ten distinct pools of tax incentives.  Program  one
 will  cover  tax  incentives  allocated  for two thousand twelve and two
 thousand thirteen. Program two will cover tax  incentives  allocated  in
 two thousand fourteen. Program three will cover tax incentives allocated
 in  two  thousand  fifteen. Program four will cover tax incentives allo-
 cated in two thousand sixteen. Program five will  cover  tax  incentives
 allocated  in  two thousand seventeen. Program six will cover tax incen-
 tives allocated in two thousand eighteen. Program seven will  cover  tax
 incentives  allocated in two thousand nineteen. Program eight will cover
 tax incentives allocated in two thousand twenty. Program nine will cover
 tax incentives allocated in two thousand twenty-one.  Program  ten  will
 cover tax incentives allocated in two thousand twenty-two. PROGRAM ELEV-
 EN  WILL  COVER  TAX  INCENTIVES ALLOCATED IN TWO THOUSAND TWENTY-THREE.
 PROGRAM TWELVE WILL COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND TWEN-
 TY-FOUR. PROGRAM THIRTEEN WILL COVER TAX  INCENTIVES  ALLOCATED  IN  TWO
 THOUSAND  TWENTY-FIVE.  PROGRAM FOURTEEN WILL COVER TAX INCENTIVES ALLO-
 CATED IN TWO THOUSAND TWENTY-SIX. PROGRAM FIFTEEN WILL COVER TAX  INCEN-
 TIVES  ALLOCATED  IN  TWO  THOUSAND  TWENTY-SEVEN.  The  commissioner is
 authorized to allocate up to twenty-five million dollars of tax  credits
 under program one, ten million dollars of tax credits under program two,
 twenty million dollars of tax credits under program three, fifty million
 dollars  of  tax credits under each of programs four and five, and forty
 million dollars of tax credits under programs six,  seven,  eight,  nine
 [and], ten, ELEVEN, TWELVE, THIRTEEN, FOURTEEN AND FIFTEEN.
   § 2.  Paragraph 4 of subdivision (b) of section 25-a of the labor law,
 as added by section 1-a of subpart A of part N of chapter 59 of the laws
 of 2017, is amended to read as follows:
 S. 8009--A                         33                         A. 9009--A
 
   (4)  For  programs six, seven, eight, nine [and], ten, ELEVEN, TWELVE,
 THIRTEEN, FOURTEEN, AND FIFTEEN the tax credit under each program  shall
 be  allocated  as  follows: (i) twenty million dollars of tax credit for
 qualified employees; and (ii) twenty million dollars of tax  credit  for
 individuals  who  meet  all of the requirements for a qualified employee
 except for the residency requirement of subparagraph (ii)  of  paragraph
 two  of  this subdivision, which individuals shall be deemed to meet the
 residency requirements of subparagraph (ii) of  paragraph  two  of  this
 subdivision if they reside in New York state.
   §  3.  The opening paragraph of subdivision (d) of section 25-a of the
 labor law, as amended by section 2 of part R of chapter 59 of  the  laws
 of 2018, is amended to read as follows:
   To  participate  in  the  program  established  under this section, an
 employer must submit an application (in a form prescribed by the commis-
 sioner) to the commissioner after January first, two thousand twelve but
 no later than November thirtieth, two thousand twelve 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 January first, two thousand sixteen but
 no later than November thirtieth, two thousand sixteen for program four,
 after January first, two thousand seventeen but no later  than  November
 thirtieth, two thousand seventeen for program five, after January first,
 two thousand eighteen but no later than November thirtieth, two thousand
 eighteen for program six, after January first, two thousand nineteen but
 no  later  than  November  thirtieth,  two thousand nineteen for program
 seven, after January first, two thousand twenty but no later than Novem-
 ber thirtieth, two thousand twenty  for  program  eight,  after  January
 first, two thousand twenty-one but no later than November thirtieth, two
 thousand  twenty-one  for  program  nine, [and] after January first, two
 thousand twenty-two but no later than November thirtieth,  two  thousand
 twenty-two  for  program  ten, AFTER JANUARY FIRST, TWO THOUSAND TWENTY-
 THREE BUT NO LATER THAN NOVEMBER THIRTIETH,  TWO  THOUSAND  TWENTY-THREE
 FOR PROGRAM ELEVEN, AFTER JANUARY FIRST, TWO THOUSAND TWENTY-FOUR BUT NO
 LATER  THAN  NOVEMBER  THIRTIETH,  TWO  THOUSAND TWENTY-FOUR FOR PROGRAM
 TWELVE, AFTER JANUARY FIRST, TWO THOUSAND TWENTY-FIVE BUT NO LATER  THAN
 NOVEMBER THIRTIETH, TWO THOUSAND TWENTY-FIVE FOR PROGRAM THIRTEEN, AFTER
 JANUARY  FIRST, TWO THOUSAND TWENTY-SIX BUT NO LATER THAN NOVEMBER THIR-
 TIETH, TWO THOUSAND TWENTY-SIX FOR PROGRAM FOURTEEN, AND  AFTER  JANUARY
 FIRST,  TWO  THOUSAND TWENTY-SEVEN BUT NO LATER THAN NOVEMBER THIRTIETH,
 TWO THOUSAND TWENTY-SEVEN FOR PROGRAM FIFTEEN. The  qualified  employees
 must  start  their  employment  on  or after January first, two thousand
 twelve but no later than December thirty-first, two thousand twelve  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 Decem-
 ber thirty-first, two thousand fifteen for program three,  on  or  after
 January  first,  two thousand sixteen but no later than December thirty-
 first, two thousand sixteen for program four, on or after January first,
 two thousand seventeen but no  later  than  December  thirty-first,  two
 thousand  seventeen  for  program  five,  on or after January first, two
 thousand eighteen but no later than December thirty-first, two  thousand
 eighteen  for program six, on or after January first, two thousand nine-
 teen but no later than December thirty-first, two thousand nineteen  for
 program  seven,  on  or  after January first, two thousand twenty but no
 later than December thirty-first, two thousand twenty for program eight,
 S. 8009--A                         34                         A. 9009--A
 
 on or after January first, two thousand twenty-one  but  no  later  than
 December  thirty-first,  two thousand twenty-one for program nine, [and]
 on or after January first, two thousand twenty-two  but  no  later  than
 December  thirty-first,  two  thousand twenty-two for program ten, ON OR
 AFTER JANUARY FIRST, TWO THOUSAND TWENTY-THREE BUT NO LATER THAN  DECEM-
 BER  THIRTY-FIRST,  TWO  THOUSAND  THREE FOR PROGRAM ELEVEN, ON OR AFTER
 JANUARY FIRST, TWO THOUSAND TWENTY-FOUR BUT NO LATER THAN DECEMBER THIR-
 TY-FIRST, TWO THOUSAND TWENTY-FOUR FOR PROGRAM TWELVE, ON OR AFTER JANU-
 ARY FIRST, TWO THOUSAND TWENTY-FIVE BUT NO LATER THAN  DECEMBER  THIRTY-
 FIRST,  TWO  THOUSAND  TWENTY-FIVE  FOR  PROGRAM  THIRTEEN,  ON OR AFTER
 JANUARY FIRST, TWO THOUSAND TWENTY-SIX BUT NO LATER THAN DECEMBER  THIR-
 TY-FIRST,  TWO THOUSAND TWENTY-SIX FOR PROGRAM FOURTEEN, AND ON OR AFTER
 JANUARY FIRST, TWO THOUSAND TWENTY-SEVEN  BUT  NO  LATER  THAN  DECEMBER
 THIRTY-FIRST,  TWO THOUSAND TWENTY-SEVEN FOR PROGRAM FIFTEEN. As part of
 such application, an employer must:
   § 4. This act shall take effect immediately.
 
                                  PART O
 
   Section 1. Subdivision (a) of section 25-c of the labor law, as  added
 by  section  1 of subpart B of part N of chapter 59 of the laws of 2017,
 is amended to read as follows:
   (a) The commissioner is authorized to  establish  and  administer  the
 empire state apprenticeship tax credit program to provide tax incentives
 to  certified  employers for employing qualified apprentices pursuant to
 an apprenticeship agreement registered with the department  pursuant  to
 paragraph (d) of subdivision one of section eight hundred eleven of this
 chapter.  The  commissioner  is authorized to allocate up to ten million
 dollars of tax credits annually, beginning in two thousand eighteen  and
 ending before two thousand [twenty-three] TWENTY-EIGHT. Any unused annu-
 al  allocation  of  the  credit  shall  be made available in each of the
 subsequent years before two thousand [twenty-three] TWENTY-EIGHT.
   § 2. This act shall take effect immediately.
 
                                  PART P
 
   Section 1. Subdivision 6 of section 187-b of the tax law,  as  amended
 by  section 1 of part O of chapter 59 of the laws of 2017, is amended to
 read as follows:
   6. Termination. The credit allowed by subdivision two of this  section
 shall  not apply in taxable years beginning after December thirty-first,
 two thousand [twenty-two] TWENTY-SEVEN.
   § 2. Paragraph (f) of subdivision 30 of section 210-B of the tax  law,
 as  amended by section 2 of part O of chapter 59 of the laws of 2017, is
 amended to read as follows:
   (f) Termination. The credit allowed by paragraph (b) of this  subdivi-
 sion  shall  not apply in taxable years beginning after December thirty-
 first, two thousand [twenty-two] TWENTY-SEVEN.
   § 3. Paragraph 6 of subsection (p) of section 606 of the tax  law,  as
 amended  by  section  3  of part O of chapter 59 of the laws of 2017, is
 amended to read as follows:
   (6) Termination. The credit allowed by this subsection shall not apply
 in taxable years beginning after  December  thirty-first,  two  thousand
 [twenty-two] TWENTY-SEVEN.
   § 4. This act shall take effect immediately.
 S. 8009--A                         35                         A. 9009--A

                                  PART Q
 
   Section  1.  Section  5  of  part MM of chapter 59 of the laws of 2014
 amending the labor law and the tax law relating to the creation  of  the
 workers with disabilities tax credit program, as amended by section 1 of
 part E of chapter 59 of the laws of 2019, is amended to read as follows:
   §  5.  This  act shall take effect January 1, 2015, and shall apply to
 taxable years beginning on and after that date[; provided, however, that
 this act shall expire and be deemed repealed January 1, 2023].
   § 2. Section 25-b of the labor law is amended by adding a new subdivi-
 sion (f) to read as follows:
   (F) THE TAX CREDITS PROVIDED UNDER THIS PROGRAM SHALL BE APPLICABLE TO
 TAXABLE PERIODS BEGINNING BEFORE JANUARY  FIRST,  TWO  THOUSAND  TWENTY-
 NINE.
   § 3. This act shall take effect immediately.
 
                                  PART R
 
   Section  1.  Subdivision 1-A of section 208 of the tax law, as amended
 by section 4 of part A of chapter 59 of the laws of 2014, is amended  to
 read as follows:
   1-A.  The  term  "New  York  S corporation" means, with respect to any
 taxable year, a corporation subject to tax under this article [for which
 an election is in effect pursuant to] AND DESCRIBED IN PARAGRAPH (I)  OR
 (II) OF subsection (a) of section six hundred sixty of this chapter [for
 such year], AND any such year shall be denominated a "New York S year"[,
 and  such  election  shall  be denominated a "New York S election"]. The
 term "New York C corporation" means, with respect to any taxable year, a
 corporation subject to tax under this article which is not a New York  S
 corporation, and any such year shall be denominated a "New York C year".
 The  term  "termination  year"  means  any taxable year of a corporation
 during which the CORPORATION'S STATUS AS A New York S [election]  CORPO-
 RATION  terminates  on  a day other than the first day of such year. The
 portion of the taxable year ending before the first day for  which  such
 termination  is  effective  shall be denominated the "S short year", and
 the portion of such year beginning on such first day  shall  be  denomi-
 nated  the  "C short year". The term "New York S termination year" means
 any termination year which is [not]  also  an  S  termination  year  for
 federal purposes.
   §  2.  Subdivision  1-B and subparagraph (ii) of the opening paragraph
 and paragraph (k) of subdivision 9 of section 208 of  the  tax  law  are
 REPEALED.
   § 3. Subparagraph (A) and the opening paragraph of subparagraph (B) of
 paragraph  5  of subdivision (a) of section 292 of the tax law, as added
 by section 48 of part A of chapter 389 of the laws of 1997, are  amended
 to read as follows:
   (A) In the case of a shareholder of an S corporation,
   (i)  [where the election provided for in] SUBJECT TO subsection (a) of
 section six hundred sixty of this chapter [is in effect with respect  to
 such  corporation],  there  shall be added to federal unrelated business
 taxable income an amount equal to the shareholder's pro  rata  share  of
 the  corporation's  reductions for taxes described in paragraphs two and
 three of subsection (f) of section thirteen  hundred  sixty-six  of  the
 internal revenue code, and
   (ii)  [where  such  election  has  not  been made with respect to such
 corporation, there shall be subtracted from federal  unrelated  business
 S. 8009--A                         36                         A. 9009--A

 taxable  income any items of income of the corporation included therein,
 and there shall be added to federal unrelated  business  taxable  income
 any items of loss or deduction included therein, and
   (iii)] in the case of a New York S termination year, the amount of any
 such  items  of S corporation income, loss, deduction and reductions for
 taxes shall be adjusted in the manner provided in paragraph two or three
 of subsection (s) of section six hundred twelve of this chapter.
   In the case of a shareholder of a corporation which was,  for  any  of
 its  taxable  years  beginning  after  nineteen hundred ninety-seven AND
 BEFORE TWO THOUSAND TWENTY-THREE, a federal S corporation but a New York
 C corporation:
   § 4. Paragraph 18 of subsection (b) of section 612 of the tax law,  as
 amended  by chapter 606 of the laws of 1984, subparagraph (A) as amended
 by chapter 28 of the laws of 1987 and subparagraph  (B)  as  amended  by
 chapter 190 of the laws of 1990, is amended to read as follows:
   (18)  In the case of a shareholder of an S corporation AS DESCRIBED IN
 SUBSECTION (A) OF SECTION SIX HUNDRED SIXTY
   (A) [where the election provided for in subsection (a) of section  six
 hundred  sixty is in effect with respect to such corporation,] an amount
 equal to [his] SUCH SHAREHOLDER'S pro rata share  of  the  corporation's
 reductions for taxes described in paragraphs two and three of subsection
 (f)  of section thirteen hundred sixty-six of the internal revenue code,
 and
   (B) in the case of a New York S termination year, subparagraph (A)  of
 this  paragraph shall apply to the amount of reductions for taxes deter-
 mined under subsection (s) of this section.
   § 5. Paragraph 19 of subsection (b) of section 612 of the tax  law  is
 REPEALED.
   §  6. Paragraphs 20 and 21 of subsection (b) of section 612 of the tax
 law, paragraph 20 as amended by chapter 606 of  the  laws  of  1984  and
 paragraph  21  as  amended  by section 70 of part A of chapter 59 of the
 laws of 2014, are amended to read as follows:
   (20) S corporation distributions to the extent not included in federal
 gross income for the taxable year because of the application of  section
 thirteen hundred sixty-eight, subsection (e) of section thirteen hundred
 seventy-one  or  subsection (c) of section thirteen hundred seventy-nine
 of the internal revenue  code  which  represent  income  not  previously
 subject  to  tax under this article because the election provided for in
 subsection (a) of section six hundred sixty IN EFFECT FOR TAXABLE  YEARS
 BEGINNING  BEFORE  JANUARY FIRST, TWO THOUSAND TWENTY-THREE had not been
 made. Any such distribution treated in the manner described in paragraph
 two of subsection (b) of section thirteen  hundred  sixty-eight  of  the
 internal  revenue  code for federal income tax purposes shall be treated
 as ordinary income for purposes of this article.
   (21) In relation to the disposition of  stock  or  indebtedness  of  a
 corporation  which  elected  under  subchapter  s  of chapter one of the
 internal revenue code for any taxable year of  such  corporation  begin-
 ning,  in the case of a corporation taxable under article nine-A of this
 chapter, after December thirty-first, nineteen hundred eighty AND BEFORE
 JANUARY FIRST, TWO THOUSAND TWENTY-THREE,  the  amount  required  to  be
 added  to  federal  adjusted  gross income pursuant to subsection (n) of
 this section.
   § 7. Paragraph 21 of subsection (c) of section 612 of the tax law,  as
 amended  by  section  70 of part A of chapter 59 of the laws of 2014, is
 amended to read as follows:
 S. 8009--A                         37                         A. 9009--A
 
   (21) In relation to the disposition of  stock  or  indebtedness  of  a
 corporation  which  elected  under  subchapter  s  of chapter one of the
 internal revenue code for any taxable year of  such  corporation  begin-
 ning,  in the case of a corporation taxable under article nine-A of this
 chapter, after December thirty-first, nineteen hundred eighty AND BEFORE
 JANUARY  FIRST,  TWO  THOUSAND  TWENTY-THREE, the amounts required to be
 subtracted from federal adjusted gross income pursuant to subsection (n)
 of this section.
   § 8. Paragraph 22 of subsection (c) of section 612 of the tax  law  is
 REPEALED.
   § 9. Subsection (e) of section 612 of the tax law, as amended by chap-
 ter  166 of the laws of 1991, paragraph 3 as added by chapter 760 of the
 laws of 1992, is amended to read as follows:
   (e) Modifications of partners and shareholders of S corporations.  (1)
 Partners  and  shareholders  of S corporations [which are not New York C
 corporations]. The amounts of modifications required to  be  made  under
 this  section  by  a  partner  or  by  a shareholder of an S corporation
 [(other than an S corporation which is a New York C corporation)], which
 relate to partnership or S corporation items of income,  gain,  loss  or
 deduction  shall  be determined under section six hundred seventeen and,
 in the case of a partner of a partnership doing an insurance business as
 a member of the New York insurance exchange  described  in  section  six
 thousand two hundred one of the insurance law, under section six hundred
 seventeen-a of this article.
   (2) [Shareholders of S corporations which are New York C corporations.
 In  the  case of a shareholder of an S corporation which is a New York C
 corporation, the modifications under this section which  relate  to  the
 corporation's  items  of  income,  loss  and  deduction shall not apply,
 except for  the  modifications  provided  under  paragraph  nineteen  of
 subsection  (b)  and  paragraph  twenty-two  of  subsection  (c) of this
 section.
   (3)] New York S termination year. In the case of a New York  S  termi-
 nation  year,  the  amounts  of  the  modifications  required under this
 section which relate to the  S  corporation's  items  of  income,  loss,
 deduction  and  reductions for taxes (as described in paragraphs two and
 three of subsection (f) of section thirteen  hundred  sixty-six  of  the
 internal  revenue  code) shall be adjusted in the same manner that the S
 corporation's items are adjusted under subsection  (s)  of  section  six
 hundred twelve.
   §  10.  Subsection  (n)  of  section 612 of the tax law, as amended by
 section 61 of part A of chapter 389 of the laws of 1997, is  amended  to
 read as follows:
   (n)  Where  gain or loss is recognized for federal income tax purposes
 upon the disposition of stock or indebtedness of a corporation  electing
 under subchapter s of chapter one of the internal revenue code
   (1)  There  shall be added to federal adjusted gross income the amount
 of increase in basis with respect to such stock or indebtedness pursuant
 to subsection (a) of section thirteen hundred seventy-six of the  inter-
 nal  revenue code as such section was in effect for taxable years begin-
 ning before January first, nineteen hundred  eighty-three  and  subpara-
 graphs  (A)  and  (B)  of  paragraph  one  of  subsection (a) of section
 thirteen hundred sixty-seven of such code, for each taxable year of  the
 corporation  beginning, in the case of a corporation taxable under arti-
 cle nine-A  of  this  chapter,  after  December  thirty-first,  nineteen
 hundred  eighty AND BEFORE JANUARY FIRST, TWO THOUSAND TWENTY-THREE, and
 in the case of a corporation taxable under FORMER article thirty-two  of
 S. 8009--A                         38                         A. 9009--A
 
 this  chapter,  after December thirty-first, nineteen hundred ninety-six
 AND BEFORE JANUARY FIRST, TWO THOUSAND FIFTEEN, for which  the  election
 provided  for  in  subsection  (a)  of section six hundred sixty of this
 article was not in effect, and
   (2) There shall be subtracted from federal adjusted gross income
   (A)  the  amount  of  reduction in basis with respect to such stock or
 indebtedness pursuant to subsection  (b)  of  section  thirteen  hundred
 seventy-six  of  the internal revenue code as such section was in effect
 for taxable years  beginning  before  January  first,  nineteen  hundred
 eighty-three   and  subparagraphs  (B)  and  (C)  of  paragraph  two  of
 subsection (a) of section thirteen hundred sixty-seven of such code, for
 each taxable year of the corporation beginning, in the case of a  corpo-
 ration  taxable  under  article  nine-A  of this chapter, after December
 thirty-first, nineteen hundred eighty  AND  BEFORE  JANUARY  FIRST,  TWO
 THOUSAND  TWENTY-THREE,  and  in the case of a corporation taxable under
 FORMER article thirty-two of this chapter, after December  thirty-first,
 nineteen  hundred  ninety-six  AND  BEFORE  JANUARY  FIRST, TWO THOUSAND
 FIFTEEN, for which the  election  provided  for  in  subsection  (a)  of
 section six hundred sixty of this article was not in effect and
   (B)  the  amount  of  any  modifications  to federal gross income with
 respect to such stock pursuant to paragraph twenty of subsection (b)  of
 this section.
   §  11.  Paragraph 6 of subsection (c) of section 615 of the tax law is
 REPEALED.
   § 12. Subsection (e) of section 615 of the  tax  law,  as  amended  by
 chapter 760 of the laws of 1992, is amended to read as follows:
   (e)  Modifications of partners and shareholders of S corporations. (1)
 Partners and shareholders of S corporations [which are not  New  York  C
 corporations].  The  amounts  of  modifications  under subsection (c) or
 under paragraph (2) or (3) of subsection (d) required to be  made  by  a
 partner or by a shareholder of an S corporation [(other than an S corpo-
 ration  which  is  a  New York C corporation)], with respect to items of
 deduction of a partnership or S corporation shall  be  determined  under
 section six hundred seventeen.
   (2) [Shareholders of S corporations which are New York C corporations.
 In  the  case of a shareholder of an S corporation which is a New York C
 corporation, the modifications under this section which  relate  to  the
 corporation's items of deduction shall not apply, except for the modifi-
 cation provided under paragraph six of subsection (c).
   (3)]  New  York S termination year. In the case of a New York S termi-
 nation year, the  amounts  of  the  modifications  required  under  this
 section  which relate to the S corporation's items of deduction shall be
 adjusted in the same manner that the S corporation's items are  adjusted
 under subsection (s) of section six hundred twelve.
   §  13.  Subsection  (a)  of  section 617 of the tax law, as amended by
 chapter 190 of the laws of 1990, is amended to read as follows:
   (a) Partner's and shareholder's modifications. In determining New York
 adjusted gross income and New York taxable income of a resident  partner
 or  a  resident shareholder of an S corporation [(other than an S corpo-
 ration which is a New York C corporation)], any  modification  described
 in subsections (b), (c) or (d) of section six hundred twelve, subsection
 (c)  of  section  six  hundred  fifteen  or  paragraphs  (2)  or  (3) of
 subsection (d) of such section, which relates to an item of  partnership
 or  S  corporation  income,  gain,  loss  or  deduction shall be made in
 accordance with the partner's distributive share  or  the  shareholder's
 pro  rata  share,  for federal income tax purposes, of the item to which
 S. 8009--A                         39                         A. 9009--A
 
 the modification relates.   Where a partner's distributive  share  or  a
 shareholder's  pro  rata  share  of  any such item is not required to be
 taken into account separately for federal income tax purposes, the part-
 ner's or shareholder's share of such item shall be determined in accord-
 ance with his OR HER share, for federal income tax purposes, of partner-
 ship or S corporation taxable income or loss generally. In the case of a
 New  York S termination year, his OR HER pro rata share of any such item
 shall be determined under subsection (s) of section six hundred twelve.
   § 14. Subparagraph (E-1) of paragraph 1 of subsection (b)  of  section
 631 of the tax law, as added by section 3 of part C of chapter 57 of the
 laws of 2010, is amended to read as follows:
   (E-1)  in  the  case  of an S corporation [for which an election is in
 effect pursuant] SUBJECT to subsection (a) of section six hundred  sixty
 of  this  article  that  terminates  its taxable status in New York, any
 income or gain recognized on the receipt of payments from an installment
 sale contract entered into when the S corporation was subject to tax  in
 New  York,  allocated in a manner consistent with the applicable methods
 and rules for [allocation] APPORTIONMENT under article nine-A or  FORMER
 ARTICLE  thirty-two  of this chapter, in the year that the S corporation
 sold its assets.
   § 15. The section heading and paragraph 2 of subsection (a) of section
 632 of the tax law, the section heading as amended by chapter 606 of the
 laws of 1984, and paragraph 2 of subsection (a) as amended by section 71
 of part A of chapter 59 of the laws of 2014,  are  amended  to  read  as
 follows:
   Nonresident partners and [electing] shareholders of S corporations.
   (2) In determining New York source income of a nonresident shareholder
 of  an  S  corporation  [where  the election provided for in] SUBJECT TO
 subsection (a) of section six hundred  sixty  of  this  article  [is  in
 effect],  there  shall  be  included  only  the  portion derived from or
 connected with New York sources of such shareholder's pro rata share  of
 items  of  S  corporation income, loss and deduction entering into [his]
 SUCH  SHAREHOLDER'S  federal  adjusted  gross   income,   increased   by
 reductions for taxes described in paragraphs two and three of subsection
 (f)  of section thirteen hundred sixty-six of the internal revenue code,
 as such portion shall be determined under regulations of the commission-
 er consistent with the applicable methods  and  rules  for  [allocation]
 APPORTIONMENT  under  article  nine-A  of  this  chapter[, regardless of
 whether or not such item or reduction is included in entire  net  income
 under article nine-A for the tax year]. If a nonresident is a sharehold-
 er  in  an S corporation [where the election provided for in] SUBJECT TO
 subsection (a) of section six hundred  sixty  of  this  article  [is  in
 effect], and the S corporation has distributed an installment obligation
 under  section  453(h)(1)(A) of the Internal Revenue Code, then any gain
 recognized on the receipt of payments from  the  installment  obligation
 for  federal  income  tax  purposes  will  be treated as New York source
 income allocated in a manner consistent with the applicable methods  and
 rules  for [allocation] APPORTIONMENT under article nine-A of this chap-
 ter in the year that the assets were sold. In addition,  if  the  share-
 holders  of  the  S  corporation  have  made  an  election under section
 338(h)(10) of the Internal Revenue Code, then any gain recognized on the
 deemed asset sale for federal income tax purposes will be treated as New
 York source income allocated in a manner consistent with the  applicable
 methods and rules for [allocation] APPORTIONMENT under article nine-A of
 this  chapter  in  the  year  that  the  shareholder  made  the  section
 338(h)(10) election. For purposes of a section 338(h)(10) election, when
 S. 8009--A                         40                         A. 9009--A
 
 a nonresident shareholder exchanges his or her S  corporation  stock  as
 part  of  the  deemed  liquidation, any gain or loss recognized shall be
 treated as the disposition of an intangible asset and will not  increase
 or  offset  any gain recognized on the deemed assets sale as a result of
 the section 338(h)(10) election.
   § 16. Subsection (a) of section 632-a of the  tax  law,  as  added  by
 section  1  of  part  K of chapter 60 of the laws of 2007, is amended to
 read as follows:
   (a) General. If (1) substantially all of the services  of  a  personal
 service  corporation  or S corporation are performed for or on behalf of
 another corporation, partnership, or other entity and (2) the effect  of
 forming  or  availing  of  such personal service corporation or S corpo-
 ration is the avoidance or evasion of New York income  tax  by  reducing
 the  income  of,  or in the case of a nonresident, reducing the New York
 source income of, or securing the benefit  of  any  expense,  deduction,
 credit,  exclusion,  or  other  allowance  for, any employee-owner which
 would not otherwise be available, then the commissioner may allocate all
 income, deductions, credits, exclusions, and  other  allowances  between
 such  personal  service  corporation  or  S  corporation  (even  if such
 personal service corporation or S corporation [is  taxed  under  article
 nine-A  of this chapter or] is not subject to tax in this state) and its
 employee-owners, provided such allocation is necessary to prevent avoid-
 ance or evasion of New York state income tax or to clearly  reflect  the
 source  and the amount of the income of the personal service corporation
 or S corporation or any of its employee-owners.
   § 17. Paragraph 2 and subparagraph (A) of paragraph  4  of  subsection
 (c) of section 658 of the tax law, paragraph 2 as amended by chapter 190
 of  the  laws of 1990, and subparagraph (A) of paragraph 4 as amended by
 section 72 of part A of chapter 59 of the laws of 2014, are  amended  to
 read as follows:
   (2)  S  corporations.  Every  S  corporation  [for  which the election
 provided for in] SUBJECT TO subsection (a) of section six hundred  sixty
 [is  in  effect]  shall make a return for the taxable year setting forth
 all items of income, loss and deduction and such other pertinent  infor-
 mation  as  the  commissioner of taxation and finance may by regulations
 and instructions prescribe. Such return shall be filed on or before  the
 fifteenth  day  of  the  third month following the close of each taxable
 year.
   (A) General. Every entity which is a partnership, other than a public-
 ly traded partnership as defined in section 7704 of the federal Internal
 Revenue Code, subchapter K limited liability company or an S corporation
 [for which the election provided for in subsection (a)  of  section  six
 hundred sixty of this part is in effect], which has partners, members or
 shareholders   who   are   nonresident  individuals,  as  defined  under
 subsection (b) of section six hundred five of this article, or C  corpo-
 rations,  and which has any income derived from New York sources, deter-
 mined in accordance with the applicable rules  of  section  six  hundred
 thirty-one  of  this article as in the case of a nonresident individual,
 shall pay estimated tax on such  income  on  behalf  of  such  partners,
 members  or  shareholders  in  the manner and at the times prescribed by
 subsection (c) of section six hundred eighty-five of this  article.  For
 purposes  of this paragraph, the term "estimated tax" shall mean a part-
 ner's, member's or shareholder's distributive share or pro rata share of
 the entity income derived from New York sources, multiplied by the high-
 est rate of tax prescribed by section six hundred one  of  this  article
 for  the  taxable  year  of any partner, member or shareholder who is an
 S. 8009--A                         41                         A. 9009--A
 
 individual taxpayer, or paragraph (a) of subdivision one of section  two
 hundred  ten of this chapter for the taxable year of any partner, member
 or shareholder which is a C corporation, whether or not  such  C  corpo-
 ration  is  subject to tax under article nine, nine-A or thirty-three of
 this chapter, and reduced by the distributive share or pro rata share of
 any credits determined  under  section  one  hundred  eighty-seven,  one
 hundred  eighty-seven-a,  six  hundred  six or fifteen hundred eleven of
 this chapter, whichever is applicable, derived from the entity.
   § 18. Section 660 of the tax law, as amended by  chapter  606  of  the
 laws of 1984, subsections (a) and (h) as amended by section 73 of part A
 of  chapter  59  of  the  laws of 2014, paragraph 3 of subsection (b) as
 amended by section 51, paragraphs 4 and 5 of subsection (b) as added and
 paragraph  6  of  subsection  (b)  as  renumbered  by  section  52   and
 subsections  (e)  and  (f)  as added and subsection (g) as relettered by
 section 53 of part A of chapter 389 of the laws of 1997, subsection  (d)
 as  added by chapter 760 of the laws of 1992, subsection (i) as added by
 section 1 of part L of chapter 60 of the laws of 2007 and paragraph 1 of
 subsection (i) as amended by section 39 of part T of chapter 59  of  the
 laws of 2015, is amended to read as follows:
   §  660.  [Election by shareholders of S corporations] TAX TREATMENT OF
 FEDERAL S CORPORATIONS.  (a) [Election.] If a corporation is an eligible
 S corporation, the shareholders of the corporation  [may  elect  in  the
 manner  set  forth in subsection (b) of this section to] SHALL take into
 account, to the extent provided for in this article (or in article thir-
 teen of this chapter, in the case of a shareholder which is  a  taxpayer
 under  such article), the S corporation items of income, loss, deduction
 and reductions for taxes  described  in  paragraphs  two  and  three  of
 subsection  (f)  of  section  thirteen hundred sixty-six of the internal
 revenue code which  are  taken  into  account  for  federal  income  tax
 purposes  for the taxable year. [No election under this subsection shall
 be  effective  unless  all  shareholders  of  the  corporation  have  so
 elected.] An eligible S corporation is (i) [an S] A corporation THAT HAS
 ELECTED  TO BE AN S CORPORATION FOR FEDERAL INCOME TAX PURPOSES PURSUANT
 TO SECTION THIRTEEN HUNDRED SIXTY-TWO OF THE INTERNAL REVENUE CODE which
 is subject to tax under article nine-A of this chapter, or (ii) [an S] A
 corporation THAT HAS ELECTED TO BE AN S CORPORATION FOR  FEDERAL  INCOME
 TAX  PURPOSES  PURSUANT  TO  SECTION  THIRTEEN  HUNDRED SIXTY-TWO OF THE
 INTERNAL REVENUE CODE which is the parent of a  qualified  subchapter  S
 subsidiary  AS  DEFINED  IN  SUBPARAGRAPH  (B)  OF  PARAGRAPH  THREE  OF
 SUBSECTION (B) OF SECTION THIRTEEN HUNDRED  SIXTY-ONE  OF  THE  INTERNAL
 REVENUE  CODE subject to tax under article nine-A[, where the sharehold-
 ers of such parent corporation are entitled to make the  election  under
 this  subsection  by  reason  of  subparagraph three of paragraph (k) of
 subdivision nine of section two hundred eight] of this chapter.
   (b) [Requirements of election. An election  under  subsection  (a)  of
 this  section  shall  be made on such form and in such manner as the tax
 commission may prescribe by regulation or instruction.
   (1) When made. An election under subsection (a) of this section may be
 made at any time during the preceding taxable year of the corporation or
 at any time during the taxable year of the corporation and on or  before
 the fifteenth day of the third month of such taxable year.
   (2) Certain elections made during first two and one-half months. If an
 election made under subsection (a) of this section is made for any taxa-
 ble  year  of  the  corporation  during  such  year and on or before the
 fifteenth day of the third month of such year, such  election  shall  be
 treated as made for the following taxable year if
 S. 8009--A                         42                         A. 9009--A

   (A)  on  one or more days in such taxable year before the day on which
 the election was made the corporation did not meet the  requirements  of
 subsection  (b)  of  section  thirteen hundred sixty-one of the internal
 revenue code or
   (B)  one or more of the shareholders who held stock in the corporation
 during such taxable year and  before  the  election  was  made  did  not
 consent to the election.
   (3) Elections made after first two and one-half months. If an election
 under subsection (a) of this section is made for any taxable year of the
 corporation  and  such  election  is made after the fifteenth day of the
 third month of such taxable year and on or before the fifteenth  day  of
 the  third  month  of the following taxable year, such election shall be
 treated as made for the following taxable year.
   (4) Taxable years of two and one-half months or less. For purposes  of
 this  subsection, an election for a taxable year made not later than two
 months and fifteen days after the first day of the taxable year shall be
 treated as timely made during such year.
   (5) Authority to treat late elections, etc.,  as  timely.  If  (A)  an
 election  under  subsection  (a) of this section is made for any taxable
 year (determined without regard to paragraph three of  this  subsection)
 after  the  date  prescribed by this subsection for making such election
 for such taxable year, or if no such election is made  for  any  taxable
 year, and
   (B)  the  commissioner  determines that there was reasonable cause for
 failure to timely make such election, then
   (C) the commissioner may treat such an election  as  timely  made  for
 such  taxable  year  (and  paragraph  three of this subsection shall not
 apply).
   (6) Years for which effective. An election  under  subsection  (a)  of
 this  section shall be effective for the taxable year of the corporation
 for which it is made and for all succeeding taxable years of the  corpo-
 ration  until  such  election is terminated under subsection (c) of this
 section.
   (c)] Termination. An [election under]  ELIGIBLE  S  CORPORATION  SHALL
 CEASE TO BE SUBJECT TO subsection (a) of this section [shall cease to be
 effective
   (1)] on the day an election to be an S corporation ceases to be effec-
 tive  for  federal  income  tax  purposes  pursuant to subsection (d) of
 section thirteen hundred sixty-two of the internal revenue code[, or
   (2) if shareholders holding more than one-half of the shares of  stock
 of  the  corporation  on  the day on which the revocation is made revoke
 such election in the manner the tax commission may  prescribe  by  regu-
 lation,
   (A)  on  the  first day of the taxable year of the corporation, if the
 revocation is made during  such  taxable  year  and  on  or  before  the
 fifteenth day of the third month thereof, or
   (B) on the first day of the following taxable year of the corporation,
 if  the  revocation  is  made  during  the  taxable  year  but after the
 fifteenth day of the third month thereof, or
   (C) on and after the date so specified, if the revocation specifies  a
 date for revocation which is on or after the day on which the revocation
 is made, or
   (3)  if any person who was not a shareholder of the corporation on the
 day on which the election is made becomes a shareholder  in  the  corpo-
 ration  and  affirmatively  refuses  to  consent to such election in the
 S. 8009--A                         43                         A. 9009--A

 manner the tax commission may prescribe by regulation, on the  day  such
 person becomes a shareholder].
   [(d)]  (C)  New  York  S termination year. In the case of a New York S
 termination year, the amount of any item of S corporation  income,  loss
 and  deduction  and reductions for taxes (as described in paragraphs two
 and three of subsection (f) of section thirteen hundred sixty-six of the
 internal revenue code) required to be taken account of under this  arti-
 cle  shall be adjusted in the same manner that the S corporation's items
 which are included in the shareholder's federal  adjusted  gross  income
 are adjusted under subsection (s) of section six hundred twelve.
   [(e)   Inadvertent   invalid  elections.  If  (1)  an  election  under
 subsection (a) of this section was not effective for  the  taxable  year
 for which made (determined without regard to paragraph two of subsection
 (b)  of  this  section)  by  reason  of  a failure to obtain shareholder
 consents,
   (2) the commissioner determines that the  circumstances  resulting  in
 such ineffectiveness were inadvertent,
   (3)  no  later than a reasonable period of time after discovery of the
 circumstances resulting in such ineffectiveness,  steps  were  taken  to
 acquire the required shareholder consents, and
   (4)  the  corporation,  and  each  person who was a shareholder in the
 corporation at any time during the period  specified  pursuant  to  this
 subsection,  agrees to make such adjustments (consistent with the treat-
 ment of the corporation as a New York S corporation) as may be  required
 by the commissioner with respect to such period,
   (5) then, notwithstanding the circumstances resulting in such ineffec-
 tiveness,  such corporation shall be treated as a New York S corporation
 during the period specified by the commissioner.
   (f)] (D) QUALIFIED SUBCHAPTER S SUBSIDIARIES. IF AN S CORPORATION  HAS
 ELECTED TO TREAT ITS WHOLLY OWNED SUBSIDIARY AS A QUALIFIED SUBCHAPTER S
 SUBSIDIARY  FOR  FEDERAL  INCOME  TAX  PURPOSES UNDER PARAGRAPH THREE OF
 SUBSECTION (B) OF SECTION THIRTEEN HUNDRED  SIXTY-ONE  OF  THE  INTERNAL
 REVENUE  CODE,  SUCH ELECTION SHALL BE APPLICABLE FOR NEW YORK STATE TAX
 PURPOSES AND
   (1) THE ASSETS, LIABILITIES, INCOME,  DEDUCTIONS,  PROPERTY,  PAYROLL,
 RECEIPTS, CAPITAL, CREDITS, AND ALL OTHER TAX ATTRIBUTES AND ELEMENTS OF
 ECONOMIC  ACTIVITY  OF THE SUBSIDIARY SHALL BE DEEMED TO BE THOSE OF THE
 PARENT CORPORATION,
   (2) TRANSACTIONS BETWEEN THE PARENT CORPORATION  AND  THE  SUBSIDIARY,
 INCLUDING THE PAYMENT OF INTEREST AND DIVIDENDS, SHALL NOT BE TAKEN INTO
 ACCOUNT, AND
   (3) GENERAL EXECUTIVE OFFICERS OF THE SUBSIDIARY SHALL BE DEEMED TO BE
 GENERAL EXECUTIVE OFFICERS OF THE PARENT CORPORATION.
   (E)  Validated federal elections. If [(1) an election under subsection
 (a) of this section was made for a taxable year or  years  of  a  corpo-
 ration,  which  years  occur  with  or  within the period for which] the
 federal S election of [such] AN ELIGIBLE S corporation  has  been  vali-
 dated  pursuant  to the provisions of subsection (f) of section thirteen
 hundred sixty-two of the internal revenue code, [and
   (2) the corporation, and each person who  was  a  shareholder  in  the
 corporation at any time during such taxable year or years agrees to make
 such  adjustments (consistent with the treatment of the corporation as a
 New York S corporation) as may be  required  by  the  commissioner  with
 respect to such year or years,
 S. 8009--A                         44                         A. 9009--A

   (3)  then] such corporation shall be treated as [a New York] AN ELIGI-
 BLE S corporation SUBJECT TO  SUBSECTION  (A)  OF  THIS  SECTION  during
 [such] THE year or years FOR WHICH SUCH ELECTION HAS BEEN VALIDATED.
   [(g)  Transitional  rule.  Any election made under this section (as in
 effect for  taxable  years  beginning  before  January  first,  nineteen
 hundred  eighty-three)  shall  be  treated  as  an  election  made under
 subsection (a) of this section.
   (h) Cross reference. For definitions relating to S  corporations,  see
 subdivision one-A of section two hundred eight of this chapter.
   (i) Mandated New York S corporation election.  (1) Notwithstanding the
 provisions in subsection (a) of this section, in the case of an eligible
 S  corporation  for  which  the  election  under  subsection (a) of this
 section is not in effect for the current taxable year, the  shareholders
 of  an  eligible  S  corporation  are  deemed to have made that election
 effective for the eligible S corporation's entire current taxable  year,
 if  the eligible S corporation's investment income for the current taxa-
 ble year is more than fifty percent of its federal gross income for such
 year. In determining whether an eligible S corporation is deemed to have
 made that election, the income of a qualified  subchapter  S  subsidiary
 owned  directly  or  indirectly  by  the eligible S corporation shall be
 included with the income of the eligible S corporation.
   (2) For the purposes of this subsection, the term "eligible  S  corpo-
 ration" has the same definition as in subsection (a) of this section.
   (3)  For the purposes of this subsection, the term "investment income"
 means the sum of an eligible S corporation's gross income from interest,
 dividends, royalties, annuities, rents and gains derived  from  dealings
 in  property,  including  the  corporation's  share of such items from a
 partnership, estate or trust, to the extent such items would be includa-
 ble in federal gross income for the taxable year.
   (4)  Estimated  tax  payments.  When  making  estimated  tax  payments
 required  to  be  made  under  this chapter in the current tax year, the
 eligible S corporation and its shareholders may rely on the  eligible  S
 corporation's filing status for the prior year. If the eligible S corpo-
 ration's  filing  status changes from the prior tax year the corporation
 or the shareholders, as the case may be, which made the  payments  shall
 be entitled to a refund of such estimated tax payments.  No additions to
 tax  with  respect to any required declarations or payments of estimated
 tax imposed under this chapter shall be imposed on  the  corporation  or
 shareholders, whichever is the taxpayer for the current taxable year, if
 the corporation or the shareholders file such declarations and make such
 estimated  tax  payments  by January fifteenth of the following calendar
 year, regardless of whether the taxpayer's tax year is a calendar  or  a
 fiscal year.]
   §  19.  Transition  rules.  Any  prior  net  operating loss conversion
 subtraction and net operating loss  carryforward  that  otherwise  would
 have  been allowed under subparagraphs (viii) and (ix), respectively, of
 paragraph (a) of subdivision 1 of section 210 of the  tax  law  for  the
 taxable years beginning on or after January 1, 2023 to any taxpayer that
 was  a  New  York C corporation for a taxable year beginning on or after
 January 1, 2022 and before January 1, 2023, and that becomes a New  York
 S  corporation  for a taxable year beginning on or after January 1, 2023
 as a result of the amendments made by this act, shall be held  in  abey-
 ance and be available to such taxpayer if its election to be a federal S
 corporation  is terminated. Further, any credit carryforwards allowed to
 such a taxpayer under section 210-B of the tax  law  shall  be  held  in
 abeyance  and  be  available  to  such  taxpayer if its election to be a
 S. 8009--A                         45                         A. 9009--A
 
 federal S corporation is terminated. However, the taxpayer's years as  a
 New  York  S  corporation shall be counted for purposes of computing any
 time period applicable to the allowance of the prior net operating  loss
 conversion   subtraction   or   carryforward,  the  net  operating  loss
 deduction, or any credit carryforward.
   § 20. This act shall take effect immediately and shall apply to  taxa-
 ble years beginning on or after January 1, 2023.
 
                                  PART S
 
   Section  1.  Subparagraph  (i)  of  paragraph  (b) of subdivision 1 of
 section 210-B of the tax law, as amended by section 2 of part P of chap-
 ter 59 of the laws of 2017, is amended to read as follows:
   (i) A credit shall be allowed under this subdivision with  respect  to
 tangible personal property and other tangible property, including build-
 ings  and  structural  components  of  buildings, which are: depreciable
 pursuant to section one hundred  sixty-seven  of  the  internal  revenue
 code, have a useful life of four years or more, are acquired by purchase
 as  defined  in  section  one  hundred  seventy-nine (d) of the internal
 revenue code, have a situs in this state and are (A) principally used by
 the taxpayer in the production of goods  by  manufacturing,  processing,
 assembling,  refining,  mining, extracting, farming, agriculture, horti-
 culture, floriculture, viticulture or commercial fishing, (B) industrial
 waste treatment facilities or air pollution control facilities, used  in
 the taxpayer's trade or business, (C) research and development property,
 or  (D)  principally used in the ordinary course of the taxpayer's trade
 or business as a broker or dealer in connection  with  the  purchase  or
 sale  (which  shall include but not be limited to the issuance, entering
 into, assumption,  offset,  assignment,  termination,  or  transfer)  of
 stocks,  bonds  or  other  securities as defined in section four hundred
 seventy-five (c)(2) of the Internal Revenue Code, or of  commodities  as
 defined in section four hundred seventy-five (e) of the Internal Revenue
 Code,  (E)  principally  used  in  the ordinary course of the taxpayer's
 trade or business of providing investment advisory services for a  regu-
 lated  investment  company as defined in section eight hundred fifty-one
 of the Internal Revenue Code, or lending, loan arrangement or loan orig-
 ination services to customers in connection with the  purchase  or  sale
 (which  shall include but not be limited to the issuance, entering into,
 assumption, offset, assignment, termination, or transfer) of  securities
 as  defined  in section four hundred seventy-five (c)(2) of the Internal
 Revenue Code, (F) principally used in the ordinary course of the taxpay-
 er's business  as  an  exchange  registered  as  a  national  securities
 exchange  within the meaning of sections 3(a)(1) and 6(a) of the Securi-
 ties Exchange Act of 1934 or a board of trade as defined in subparagraph
 one of paragraph (a) of section fourteen hundred ten of the not-for-pro-
 fit corporation law or as an entity that is wholly owned by one or  more
 such  national securities exchanges or boards of trade and that provides
 automation or technical services thereto, or (G) principally used  as  a
 qualified  film  production facility including qualified film production
 facilities having a situs in an empire zone designated as such  pursuant
 to  article  eighteen-B of the general municipal law, where the taxpayer
 is providing three or more services to  any  qualified  film  production
 company using the facility, including such services as a studio lighting
 grid,  lighting  and grip equipment, multi-line phone service, broadband
 information technology access,  industrial  scale  electrical  capacity,
 food  services,  security  services,  and  heating,  ventilation and air
 S. 8009--A                         46                         A. 9009--A
 
 conditioning. For purposes of clauses (D), (E) and (F) of this  subpara-
 graph,  property  purchased  by  a  taxpayer affiliated with a regulated
 broker,  dealer,  registered  investment  advisor,  national  securities
 exchange  or  board of trade, is allowed a credit under this subdivision
 if the property is used by  its  affiliated  regulated  broker,  dealer,
 registered  investment advisor, national securities exchange or board of
 trade in accordance with this subdivision. For purposes  of  determining
 if  the property is principally used in qualifying uses, the uses by the
 taxpayer described in clauses (D) and (E) of this  subparagraph  may  be
 aggregated.  In addition, the uses by the taxpayer, its affiliated regu-
 lated broker, dealer and registered investment advisor under  either  or
 both  of  those clauses may be aggregated. Provided, however, a taxpayer
 shall not be allowed the credit provided by clauses (D), (E) and (F)  of
 this  subparagraph unless the property is first placed in service before
 October first, two thousand fifteen and (i) eighty percent  or  more  of
 the  employees  performing  the  administrative  and  support  functions
 resulting from or related to the qualifying uses of such  equipment  are
 located  in  this  state  or  (ii)  the average number of employees that
 perform the administrative  and  support  functions  resulting  from  or
 related to the qualifying uses of such equipment and are located in this
 state  during  the taxable year for which the credit is claimed is equal
 to or greater than ninety-five percent of the average number of  employ-
 ees  that  perform  these functions and are located in this state during
 the thirty-six months immediately preceding the year for which the cred-
 it is claimed, or (iii) the number of employees located  in  this  state
 during  the  taxable year for which the credit is claimed is equal to or
 greater than ninety percent of the number of employees located  in  this
 state on December thirty-first, nineteen hundred ninety-eight or, if the
 taxpayer  was  not  a calendar year taxpayer in nineteen hundred ninety-
 eight, the last day of its first  taxable  year  ending  after  December
 thirty-first,  nineteen  hundred  ninety-eight.  If the taxpayer becomes
 subject to tax in this state after the taxable year beginning  in  nine-
 teen  hundred ninety-eight, then the taxpayer is not required to satisfy
 the employment test provided in the preceding sentence of this  subpara-
 graph  for  its first taxable year. For purposes of clause (iii) of this
 subparagraph the employment test will be based on the number of  employ-
 ees  located in this state on the last day of the first taxable year the
 taxpayer is subject to tax in this state. If the uses  of  the  property
 must be aggregated to determine whether the property is principally used
 in  qualifying  uses, then either each affiliate using the property must
 satisfy this employment test or this employment test must  be  satisfied
 through the aggregation of the employees of the taxpayer, its affiliated
 regulated  broker,  dealer,  and registered investment adviser using the
 property. For purposes of clause  (A)  of  this  subparagraph,  tangible
 personal property and other tangible property shall not include property
 principally  used  by the taxpayer (I) in the production or distribution
 of electricity, natural gas after extraction from wells, steam, or water
 delivered through pipes and mains, OR (II) IN THE  CREATION,  PRODUCTION
 OR  REPRODUCTION,  IN  ANY  MEDIUM,  OF  ANY  AUDIO OR VISUAL RECORDING,
 INCLUDING BUT NOT LIMITED TO FILMS, TELEVISION SHOWS,  COMMERCIALS,  AND
 MUSICAL  RECORDINGS, OR IN THE DUPLICATION, FOR PURPOSES OF BROADCAST IN
 ANY MEDIUM, OF A MASTER OF ANY AUDIO OR VISUAL RECORDING, INCLUDING  BUT
 NOT  LIMITED  TO  FILMS,  TELEVISION  SHOWS,  COMMERCIALS,  AND  MUSICAL
 RECORDINGS.
 S. 8009--A                         47                         A. 9009--A
 
   § 2. Subparagraph (A) of paragraph 2 of subsection (a) of section  606
 of  the  tax law, as amended by section 3 of part P of chapter 59 of the
 laws of 2017, is amended to read as follows:
   (A)  A  credit  shall be allowed under this subsection with respect to
 tangible personal property and other tangible property, including build-
 ings and structural components  of  buildings,  which  are:  depreciable
 pursuant  to  section  one  hundred  sixty-seven of the internal revenue
 code, have a useful life of four years or more, are acquired by purchase
 as defined in section one  hundred  seventy-nine  (d)  of  the  internal
 revenue code, have a situs in this state and are (i) principally used by
 the  taxpayer  in  the production of goods by manufacturing, processing,
 assembling, refining, mining, extracting, farming,  agriculture,  horti-
 culture,  floriculture,  viticulture  or commercial fishing, (ii) indus-
 trial waste treatment facilities or air  pollution  control  facilities,
 used in the taxpayer's trade or business, (iii) research and development
 property, (iv) principally used in the ordinary course of the taxpayer's
 trade  or business as a broker or dealer in connection with the purchase
 or sale (which shall include but not be limited to the issuance,  enter-
 ing  into,  assumption, offset, assignment, termination, or transfer) of
 stocks, bonds or other securities as defined  in  section  four  hundred
 seventy-five  (c)(2)  of the Internal Revenue Code, or of commodities as
 defined in section 475(e) of the Internal Revenue Code, (v)  principally
 used  in  the  ordinary  course  of  the taxpayer's trade or business of
 providing investment advisory services for a regulated investment compa-
 ny as defined in section eight hundred fifty-one of the Internal Revenue
 Code, or lending, loan  arrangement  or  loan  origination  services  to
 customers  in  connection with the purchase or sale (which shall include
 but not be limited to the issuance, entering into,  assumption,  offset,
 assignment,  termination,  or  transfer)  of  securities  as  defined in
 section four hundred seventy-five (c)(2) of the Internal  Revenue  Code,
 or (vi) principally used as a qualified film production facility includ-
 ing  qualified  film  production  facilities having a situs in an empire
 zone designated as such pursuant to article eighteen-B  of  the  general
 municipal law, where the taxpayer is providing three or more services to
 any qualified film production company using the facility, including such
 services  as a studio lighting grid, lighting and grip equipment, multi-
 line phone service, broadband information technology access,  industrial
 scale  electrical  capacity, food services, security services, and heat-
 ing, ventilation and air conditioning. For purposes of clauses (iv)  and
 (v)  of  this  subparagraph, property purchased by a taxpayer affiliated
 with a regulated broker, dealer, or  registered  investment  adviser  is
 allowed  a  credit  under this subsection if the property is used by its
 affiliated regulated broker, dealer or registered investment adviser  in
 accordance  with  this  subsection.  For  purposes of determining if the
 property is principally used in qualifying uses, the uses by the taxpay-
 er described in clauses (iv) and (v) of this subparagraph may be  aggre-
 gated.  In  addition, the uses by the taxpayer, its affiliated regulated
 broker, dealer and registered investment adviser under either or both of
 those clauses may be aggregated. Provided, however, a taxpayer shall not
 be allowed the credit provided by clauses (iv) and (v) of this  subpara-
 graph  unless (I) eighty percent or more of the employees performing the
 administrative and support functions resulting from or  related  to  the
 qualifying uses of such equipment are located in this state, or (II) the
 average  number of employees that perform the administrative and support
 functions resulting from or related  to  the  qualifying  uses  of  such
 equipment  and  are  located  in  this state during the taxable year for
 S. 8009--A                         48                         A. 9009--A
 
 which the credit is claimed is equal  to  or  greater  than  ninety-five
 percent  of the average number of employees that perform these functions
 and are located in this state during the thirty-six  months  immediately
 preceding  the year for which the credit is claimed, or (III) the number
 of employees located in this state during the taxable year for which the
 credit is claimed is equal to or greater  than  ninety  percent  of  the
 number  of  employees  located  in  this state on December thirty-first,
 nineteen hundred ninety-eight or, if the taxpayer  was  not  a  calendar
 year  taxpayer  in  nineteen  hundred  ninety-eight, the last day of its
 first taxable year ending after December thirty-first, nineteen  hundred
 ninety-eight. If the taxpayer becomes subject to tax in this state after
 the  taxable  year  beginning in nineteen hundred ninety-eight, then the
 taxpayer is not required to satisfy the employment test provided in  the
 preceding  sentence of this subparagraph for its first taxable year. For
 the purposes of clause (III) of this subparagraph  the  employment  test
 will  be  based  on the number of employees located in this state on the
 last day of the first taxable year the taxpayer is  subject  to  tax  in
 this  state. If the uses of the property must be aggregated to determine
 whether the property is principally used in qualifying uses, then either
 each affiliate using the property must satisfy this employment  test  or
 this  employment  test  must be satisfied through the aggregation of the
 employees of the taxpayer, its affiliated regulated broker, dealer,  and
 registered investment adviser using the property. For purposes of clause
 (i)  of this subparagraph, tangible personal property and other tangible
 property shall not include property principally used by the taxpayer (A)
 in the production or distribution  of  electricity,  natural  gas  after
 extraction  from  wells,  steam,  or  water  delivered through pipes and
 mains, OR (B) IN THE CREATION, PRODUCTION OR REPRODUCTION, IN ANY  MEDI-
 UM,  OF  ANY  AUDIO  OR  VISUAL  RECORDING, INCLUDING BUT NOT LIMITED TO
 FILMS, TELEVISION SHOWS, COMMERCIALS, AND MUSICAL RECORDINGS, OR IN  THE
 DUPLICATION, FOR PURPOSES OF BROADCAST IN ANY MEDIUM, OF A MASTER OF ANY
 AUDIO  OR  VISUAL  RECORDING,  INCLUDING BUT NOT LIMITED TO FILMS, TELE-
 VISION SHOWS, COMMERCIALS, AND MUSICAL RECORDINGS.
   § 3. This act shall take effect immediately, and shall apply to  prop-
 erty placed in service on or after January 1, 2023.
 
                                  PART T
 
   Section  1.  Section  301-b  of the tax law is amended by adding a new
 subdivision (j) to read as follows:
   (J) EXEMPTION FOR TUGBOATS AND TOWBOATS.  THE  USE  BY  A  TUGBOAT  OR
 TOWBOAT OF MOTOR FUEL, DIESEL MOTOR FUEL, OR RESIDUAL PETROLEUM PRODUCT.
 PROVIDED,  THAT THE COMMISSIONER SHALL REQUIRE SUCH DOCUMENTARY PROOF TO
 QUALIFY FOR ANY EXEMPTION PROVIDED HEREUNDER AS THE  COMMISSIONER  DEEMS
 APPROPRIATE.
   § 2. The opening paragraph of section 301-c of the tax law, as amended
 by  section 5 of part W-1 of chapter 109 of the laws of 2006, is amended
 to read as follows:
   A subsequent purchaser shall be eligible for reimbursement of tax with
 respect to the following gallonage, subsequently sold by such  purchaser
 in  accordance with subdivision (a), (b), (e), (h), (j), (k), (n) or (o)
 of this section or used by such purchaser in accordance with subdivision
 (c), (d), (f), (g), (i), (l) [or], (m) OR (Q)  of  this  section,  which
 gallonage  has  been  included in the measure of the tax imposed by this
 article on a petroleum business:
 S. 8009--A                         49                         A. 9009--A
 
   § 3. The opening paragraph of section 301-c of the tax law, as amended
 by chapter 468 of the laws of 2000, is amended to read as follows:
   A subsequent purchaser shall be eligible for reimbursement of tax with
 respect  to the following gallonage, subsequently sold by such purchaser
 in accordance with subdivision (a), (b), (e), (h), (j) or  (k)  of  this
 section  or  used  by such purchaser in accordance with subdivision (c),
 (d), (f), (g), (i), (l) [or], (m) OR (Q) of this section,  which  gallo-
 nage has been included in the measure of the tax imposed by this article
 on a petroleum business:
   §  4. Section 301-c of the tax law is amended by adding a new subdivi-
 sion (q) to read as follows:
   (Q) REIMBURSEMENT FOR TUGBOATS AND TOWBOATS. A USE  BY  A  TUGBOAT  OR
 TOWBOAT OF MOTOR FUEL, DIESEL MOTOR FUEL, OR RESIDUAL PETROLEUM PRODUCT.
 THIS  REIMBURSEMENT MAY BE CLAIMED ONLY WHERE (1) ANY TAX IMPOSED PURSU-
 ANT TO THIS ARTICLE HAS BEEN PAID WITH RESPECT TO SUCH GALLONAGE AND THE
 ENTIRE AMOUNT OF SUCH TAX HAS BEEN ABSORBED BY SUCH PURCHASER,  AND  (2)
 SUCH  TUGBOAT OR TOWBOAT POSSESSES DOCUMENTARY PROOF SATISFACTORY TO THE
 COMMISSIONER EVIDENCING THE ABSORPTION BY IT OF  THE  ENTIRE  AMOUNT  OF
 SUCH TAX. PROVIDED, THAT THE COMMISSIONER SHALL REQUIRE SUCH DOCUMENTARY
 PROOF TO QUALIFY FOR ANY REIMBURSEMENT PROVIDED HEREUNDER AS THE COMMIS-
 SIONER DEEMS APPROPRIATE.
   §  5. This act shall take effect September 1, 2022, and shall apply to
 uses of motor fuel, diesel motor fuel and residual petroleum product  on
 and after such date; provided however that the amendments to the opening
 paragraph  of  section  301-c of the tax law made by section two of this
 act shall be subject to the expiration and reversion of  such  paragraph
 pursuant  to  section 19 of part W-1 of chapter 109 of the laws of 2006,
 as amended, when upon such date the provisions of section three of  this
 act shall take effect.
 
                                  PART U
 
   Section  1.  Subparagraph (i) of the opening paragraph of section 1210
 of the tax law is REPEALED and a new subparagraph (i) is added  to  read
 as follows:
   (I)  WITH  RESPECT  TO A CITY OF ONE MILLION OR MORE AND THE FOLLOWING
 COUNTIES: (1) ANY SUCH CITY HAVING A POPULATION OF ONE MILLION  OR  MORE
 IS  HEREBY AUTHORIZED AND EMPOWERED TO ADOPT AND AMEND LOCAL LAWS, ORDI-
 NANCES OR RESOLUTIONS IMPOSING SUCH TAXES IN ANY SUCH CITY, AT THE  RATE
 OF FOUR AND ONE-HALF PERCENT;
   (2)  THE FOLLOWING COUNTIES THAT IMPOSE TAXES DESCRIBED IN SUBDIVISION
 (A) OF THIS SECTION AT THE RATE OF THREE PERCENT AS AUTHORIZED ABOVE  IN
 THIS  PARAGRAPH ARE HEREBY FURTHER AUTHORIZED AND EMPOWERED TO ADOPT AND
 AMEND LOCAL LAWS, ORDINANCES, OR  RESOLUTIONS  IMPOSING  SUCH  TAXES  AT
 ADDITIONAL  RATES,  IN  QUARTER  PERCENT  INCREMENTS,  NOT TO EXCEED THE
 FOLLOWING RATES, WHICH RATES ARE ADDITIONAL TO THE  THREE  PERCENT  RATE
 AUTHORIZED ABOVE IN THIS PARAGRAPH:
   (A)  ONE  PERCENT  -  ALBANY, BROOME, CATTARAUGUS, CAYUGA, CHAUTAUQUA,
 CHEMUNG, CHENANGO,  CLINTON,  COLUMBIA,  CORTLAND,  DELAWARE,  DUTCHESS,
 ESSEX,  FRANKLIN,  FULTON,  GENESEE, GREENE, HAMILTON, JEFFERSON, LEWIS,
 LIVINGSTON, MADISON, MONROE,  MONTGOMERY,  NIAGARA,  ONONDAGA,  ONTARIO,
 ORANGE,  ORLEANS,  OSWEGO,  OTSEGO,  PUTNAM,  RENSSELAER,  ROCKLAND, ST.
 LAWRENCE, SARATOGA, SCHENECTADY, SCHOHARIE, SCHUYLER,  SENECA,  STEUBEN,
 SUFFOLK,  SULLIVAN,  TIOGA, TOMPKINS, ULSTER, WARREN, WASHINGTON, WAYNE,
 WESTCHESTER, WYOMING, YATES;
   (B) ONE AND ONE-QUARTER PERCENT - HERKIMER, NASSAU;
 S. 8009--A                         50                         A. 9009--A
 
   (C) ONE AND ONE-HALF PERCENT - ALLEGANY;
   (D) ONE AND THREE-QUARTERS PERCENT - ERIE, ONEIDA.
   (E)  PROVIDED,  HOWEVER,  THAT  (I)  THE COUNTY OF ROCKLAND MAY IMPOSE
 ADDITIONAL RATES OF FIVE-EIGHTHS PERCENT AND THREE-EIGHTHS  PERCENT,  IN
 LIEU  OF  IMPOSING  SUCH  ADDITIONAL RATE IN QUARTER PERCENT INCREMENTS;
 (II) THE COUNTY OF ONTARIO MAY IMPOSE  ADDITIONAL  RATES  OF  ONE-EIGHTH
 PERCENT  AND  THREE-EIGHTHS PERCENT, IN LIEU OF IMPOSING SUCH ADDITIONAL
 RATE IN QUARTER PERCENT INCREMENTS; (III) THREE-QUARTERS PERCENT OF  THE
 ADDITIONAL  RATE  AUTHORIZED TO BE IMPOSED BY THE COUNTY OF NASSAU SHALL
 BE SUBJECT TO THE LIMITATION SET FORTH IN SECTION TWELVE HUNDRED  SIXTY-
 TWO-E OF THIS ARTICLE.
   § 2. Subparagraph (ii) of the opening paragraph of section 1210 of the
 tax  law  is  REPEALED  and  a new subparagraph (ii) is added to read as
 follows:
   (II) THE FOLLOWING CITIES THAT IMPOSE TAXES DESCRIBED  IN  SUBDIVISION
 (A) OF THIS SECTION AT THE RATE OF ONE AND ONE-HALF PERCENT OR HIGHER AS
 AUTHORIZED  ABOVE  IN  THIS PARAGRAPH FOR SUCH CITIES ARE HEREBY FURTHER
 AUTHORIZED AND EMPOWERED TO ADOPT AND AMEND LOCAL LAWS,  ORDINANCES,  OR
 RESOLUTIONS  IMPOSING SUCH TAXES AT ADDITIONAL RATES, IN QUARTER PERCENT
 INCREMENTS, NOT TO EXCEED THE FOLLOWING RATES,  WHICH  RATES  ARE  ADDI-
 TIONAL  TO THE ONE AND ONE-HALF PERCENT OR HIGHER RATES AUTHORIZED ABOVE
 IN THIS PARAGRAPH:
   (1) ONE PERCENT - MOUNT VERNON; NEW ROCHELLE; OSWEGO; WHITE PLAINS;
   (2) ONE AND ONE-QUARTER PERCENT - NONE;
   (3) ONE AND ONE-HALF PERCENT - YONKERS.
   § 3. Subparagraphs (iii) and (iv) of the opening paragraph of  section
 1210  of  the tax law are REPEALED and a new subparagraph (iii) is added
 to read as follows:
   (III) THE MAXIMUM RATE REFERRED TO IN SECTION TWELVE  HUNDRED  TWENTY-
 FOUR  OF THIS ARTICLE SHALL BE CALCULATED WITHOUT REFERENCE TO THE ADDI-
 TIONAL RATES AUTHORIZED FOR COUNTIES, OTHER THAN THE COUNTIES OF CAYUGA,
 CORTLAND, FULTON, MADISON, AND OTSEGO, IN CLAUSE TWO OF SUBPARAGRAPH (I)
 AND THE CITIES IN SUBPARAGRAPH (II) OF THIS PARAGRAPH.
   § 4. Section 1210 of the tax law is amended by adding a  new  subdivi-
 sion (p) to read as follows:
   (P)  NOTWITHSTANDING ANY PROVISION OF THIS SECTION OR ANY OTHER LAW TO
 THE CONTRARY, A COUNTY AUTHORIZED TO IMPOSE AN ADDITIONAL RATE OR  RATES
 OF SALES AND COMPENSATING USE TAXES BY CLAUSE TWO OF SUBPARAGRAPH (I) OF
 THE OPENING PARAGRAPH OF THIS SECTION, OR A CITY, OTHER THAN THE CITY OF
 MOUNT  VERNON,  AUTHORIZED TO IMPOSE AN ADDITIONAL RATE OF SUCH TAXES BY
 SUBPARAGRAPH (II) OF SUCH OPENING PARAGRAPH,  MAY  ADOPT  A  LOCAL  LAW,
 ORDINANCE, OR RESOLUTION BY A MAJORITY VOTE OF ITS GOVERNING BODY IMPOS-
 ING  SUCH  RATE  OR  RATES FOR A PERIOD NOT TO EXCEED TWO YEARS, AND ANY
 SUCH PERIOD MUST END ON NOVEMBER  THIRTIETH  OF  AN  ODD-NUMBERED  YEAR.
 NOTWITHSTANDING  THE  PRECEDING  SENTENCE,  THE  CITY OF WHITE PLAINS IS
 AUTHORIZED TO EXCEED SUCH TWO-YEAR LIMITATION TO IMPOSE THE TAX  AUTHOR-
 IZED  BY  SUBPARAGRAPH  (II)  OF  SUCH  OPENING PARAGRAPH FOR THE PERIOD
 COMMENCING ON SEPTEMBER FIRST, TWO THOUSAND TWENTY-THREE AND  ENDING  ON
 NOVEMBER THIRTIETH, TWO THOUSAND TWENTY-FIVE.  ANY SUCH LOCAL LAW, ORDI-
 NANCE, OR RESOLUTION SHALL ALSO BE SUBJECT TO THE PROVISIONS OF SUBDIVI-
 SIONS (D) AND (E) OF THIS SECTION.
   § 5. Section 1210-E of the tax law is REPEALED.
   §  6.  Subdivisions  (d), (e), (f), (g), (h), (i), (j), (k), (l), (m),
 (n), (o), (p), (q), (r), (s), (t), (u), (v), (w), (x), (y), (z),  (z-1),
 (aa), (bb), (cc), (dd), (ee), (ff), (gg), (hh), (ii) and (jj) of section
 1224 of the tax law are REPEALED.
 S. 8009--A                         51                         A. 9009--A
 
   § 7. Section 1224 of the tax law is amended by adding three new subdi-
 visions (d), (e), and (f) to read as follows:
   (D)  FOR  PURPOSES  OF THIS SECTION, THE TERM "PRIOR RIGHT" SHALL MEAN
 THE PREFERENTIAL RIGHT TO IMPOSE ANY TAX DESCRIBED  IN  SECTIONS  TWELVE
 HUNDRED  TWO  AND TWELVE HUNDRED THREE, OR TWELVE HUNDRED TEN AND TWELVE
 HUNDRED ELEVEN, OF THIS ARTICLE AND THEREBY TO PREEMPT SUCH TAX  AND  TO
 PRECLUDE  ANOTHER  MUNICIPAL CORPORATION FROM IMPOSING OR CONTINUING THE
 IMPOSITION OF SUCH TAX TO THE  EXTENT  THAT  SUCH  RIGHT  IS  EXERCISED.
 HOWEVER, THE RIGHT OF PREEMPTION SHALL ONLY APPLY WITHIN THE TERRITORIAL
 LIMITS OF THE TAXING JURISDICTION HAVING THE RIGHT OF PREEMPTION.
   (E)  EACH  OF  THE  FOLLOWING  COUNTIES AND CITIES SHALL HAVE THE SOLE
 RIGHT TO IMPOSE THE FOLLOWING ADDITIONAL RATE OF SALES AND  COMPENSATING
 USE TAXES IN EXCESS OF THREE PERCENT THAT SUCH COUNTY OR CITY IS AUTHOR-
 IZED  TO  IMPOSE  PURSUANT TO CLAUSE TWO OF SUBPARAGRAPH (I) OR SUBPARA-
 GRAPH (II) OF THE OPENING PARAGRAPH OF SECTION  TWELVE  HUNDRED  TEN  OF
 THIS  ARTICLE.  SUCH  ADDITIONAL  RATES  OF  TAX SHALL NOT BE SUBJECT TO
 PREEMPTION.
   (1) COUNTIES:
   (A) ONE PERCENT - ALBANY, BROOME,  CATTARAUGUS,  CHAUTAUQUA,  CHEMUNG,
 CHENANGO,  CLINTON, COLUMBIA, DELAWARE, DUTCHESS, ESSEX, FRANKLIN, GENE-
 SEE, GREENE, HAMILTON, JEFFERSON, LEWIS, LIVINGSTON, MONROE, MONTGOMERY,
 NIAGARA, ONONDAGA, ONTARIO, ORANGE, ORLEANS, OSWEGO, PUTNAM, RENSSELAER,
 ROCKLAND, ST.   LAWRENCE, SARATOGA,  SCHENECTADY,  SCHOHARIE,  SCHUYLER,
 SENECA,  STEUBEN,  SUFFOLK,  SULLIVAN,  TIOGA, TOMPKINS, ULSTER, WARREN,
 WASHINGTON, WAYNE, WESTCHESTER, WYOMING, YATES;
   (B) ONE AND ONE-QUARTER PERCENT - HERKIMER, NASSAU;
   (C) ONE AND ONE-HALF PERCENT - ALLEGANY;
   (D) ONE AND THREE-QUARTERS PERCENT - ERIE, ONEIDA.
   (E) PROVIDED, HOWEVER, THAT THE COUNTY OF WESTCHESTER SHALL  HAVE  THE
 SOLE  RIGHT  TO IMPOSE THE ADDITIONAL ONE PERCENT RATE OF TAX WHICH SUCH
 COUNTY IS AUTHORIZED TO IMPOSE PURSUANT TO THE AUTHORITY OF  CLAUSE  TWO
 OF  SUBPARAGRAPH  (I) OF THE OPENING PARAGRAPH OF SECTION TWELVE HUNDRED
 TEN OF THIS ARTICLE IN THE AREA OF THE  COUNTY  OUTSIDE  THE  CITIES  OF
 MOUNT VERNON, NEW ROCHELLE, WHITE PLAINS, AND YONKERS.
   (2) CITIES:
   (A) ONE-QUARTER OF ONE PERCENT - ROME;
   (B) ONE-HALF OF ONE PERCENT - NONE;
   (C) THREE-QUARTERS OF ONE PERCENT - NONE;
   (D) ONE PERCENT - MOUNT VERNON, NEW ROCHELLE, WHITE PLAINS;
   (E) ONE AND ONE-QUARTER PERCENT - NONE;
   (F) ONE AND ONE-HALF PERCENT - YONKERS.
   (F)  EACH  OF  THE FOLLOWING CITIES IS AUTHORIZED TO PREEMPT THE TAXES
 IMPOSED BY THE COUNTY IN WHICH IT IS LOCATED PURSUANT TO  THE  AUTHORITY
 OF SECTION TWELVE HUNDRED TEN OF THIS ARTICLE, TO THE EXTENT OF ONE-HALF
 THE  MAXIMUM  AGGREGATE RATE AUTHORIZED UNDER SECTION TWELVE HUNDRED TEN
 OF THIS ARTICLE, INCLUDING THE ADDITIONAL RATE THAT THE COUNTY IN  WHICH
 SUCH  CITY IS LOCATED IS AUTHORIZED TO IMPOSE: AUBURN, IN CAYUGA COUNTY;
 CORTLAND, IN CORTLAND COUNTY;  GLOVERSVILLE  AND  JOHNSTOWN,  IN  FULTON
 COUNTY;  ONEIDA, IN MADISON COUNTY; ONEONTA, IN OTSEGO COUNTY. AS OF THE
 DATE THIS SUBDIVISION TAKES EFFECT, ANY SUCH PREEMPTION BY SUCH  A  CITY
 IN EFFECT ON SUCH DATE SHALL CONTINUE IN FULL FORCE AND EFFECT UNTIL THE
 EFFECTIVE  DATE  OF  A  LOCAL  LAW,  ORDINANCE, OR RESOLUTION ADOPTED OR
 AMENDED BY THE CITY TO CHANGE SUCH PREEMPTION. ANY PREEMPTION BY SUCH  A
 CITY  PURSUANT TO THIS SUBDIVISION THAT TAKES EFFECT AFTER THE EFFECTIVE
 DATE OF THIS SUBDIVISION SHALL BE SUBJECT TO THE NOTICE REQUIREMENTS  IN
 S. 8009--A                         52                         A. 9009--A
 
 SECTION  TWELVE  HUNDRED  TWENTY-THREE  OF THIS SUBPART AND TO THE OTHER
 REQUIREMENTS OF THIS ARTICLE.
   § 8. Section 1262-g of the tax law, as amended by section 2 of item DD
 of  subpart  C of part XXX of chapter 58 of the laws of 2020, is amended
 to read as follows:
   § 1262-g. Oneida county allocation and distribution of net collections
 from the additional [one percent rate] RATES of sales  and  compensating
 use  taxes.  Notwithstanding  any  contrary provision of law, (A) if the
 county of Oneida imposes sales and compensating  use  taxes  at  a  rate
 which  is one percent additional to the three percent rate authorized by
 section twelve hundred ten  of  this  article,  as  authorized  by  such
 section,  [(a)]  (I) where a city in such county imposes tax pursuant to
 the authority of subdivision (a) of such  section  twelve  hundred  ten,
 such county shall allocate, distribute and pay in cash quarterly to such
 city one-half of the net collections attributable to such additional one
 percent  rate of the county's taxes collected in such city's boundaries;
 [(b)] (II) where a city in such county does not impose tax  pursuant  to
 the  authority  of  such  subdivision (a) of such section twelve hundred
 ten, such county shall allocate, distribute and pay in cash quarterly to
 such city not so imposing tax a portion of the net collections attribut-
 able to one-half of the county's additional  one  percent  rate  of  tax
 calculated  on the basis of the ratio which such city's population bears
 to the county's total population,  such  populations  as  determined  in
 accordance  with  the  latest  decennial federal census or special popu-
 lation census taken pursuant to section twenty of the general  municipal
 law  completed  and  published prior to the end of the quarter for which
 the allocation is made, which special census  must  include  the  entire
 area  of the county; [and (c)] provided, however, that such county shall
 dedicate the first one million five  hundred  thousand  dollars  of  net
 collections  attributable  to  such  additional  one percent rate of tax
 received by such county after the county receives in the aggregate eigh-
 teen million five hundred thousand dollars of net collections from  such
 additional  one  percent  rate  of  tax [imposed for any of the periods:
 September first, two thousand twelve through  August  thirty-first,  two
 thousand thirteen; September first, two thousand thirteen through August
 thirty-first,  two  thousand fourteen; and September first, two thousand
 fourteen through August thirty-first, two  thousand  fifteen;  September
 first,  two  thousand  fifteen through August thirty-first, two thousand
 sixteen; and September first, two thousand sixteen through August  thir-
 ty-first,  two  thousand seventeen; September first, two thousand seven-
 teen through  August  thirty-first,  two  thousand  eighteen;  September
 first,  two  thousand eighteen through August thirty-first, two thousand
 twenty; and September first, two thousand twenty through August  thirty-
 first,  two  thousand  twenty-three,]  to  an allocation on a per capita
 basis, utilizing figures from the latest  decennial  federal  census  or
 special population census taken pursuant to section twenty of the gener-
 al  municipal  law, completed and published prior to the end of the year
 for which such allocation is made, which special census must include the
 entire area of such county, to be allocated and  distributed  among  the
 towns  of  Oneida  county  by appropriation of its board of legislators;
 provided, further, that nothing  herein  shall  require  such  board  of
 legislators to make any such appropriation until it has been notified by
 any  town  by  appropriate  resolution and, in any case where there is a
 village wholly or partly located within a town, a  resolution  of  every
 such  village,  embodying  the  agreement  of  such  town and village or
 villages upon the amount of such appropriation to be distributed to such
 S. 8009--A                         53                         A. 9009--A
 
 village or villages out of the allocation to the town or towns in  which
 it  is located. (B) IF THE COUNTY OF ONEIDA IMPOSES SALES AND COMPENSAT-
 ING USE TAXES AT A RATE WHICH IS ONE AND  THREE-QUARTERS  PERCENT  ADDI-
 TIONAL  TO  THE  THREE PERCENT RATE AUTHORIZED BY SECTION TWELVE HUNDRED
 TEN OF THIS ARTICLE, AS AUTHORIZED PURSUANT TO CLAUSE  TWO  OF  SUBPARA-
 GRAPH (I) OF THE OPENING PARAGRAPH OF SECTION TWELVE HUNDRED TEN OF THIS
 ARTICLE,  NET  COLLECTIONS ATTRIBUTABLE TO THE ADDITIONAL THREE-QUARTERS
 PERCENT OF SUCH ADDITIONAL RATE SHALL NOT  BE  SUBJECT  TO  ANY  REVENUE
 DISTRIBUTION  AGREEMENT ENTERED INTO BY THE COUNTY AND THE CITIES IN THE
 COUNTY PURSUANT TO THE AUTHORITY OF SUBDIVISION (C)  OF  SECTION  TWELVE
 HUNDRED SIXTY-TWO OF THIS PART.
   §  9. The opening paragraph of section 1262-r of the tax law, as added
 by chapter 37 of the laws of 2006, is amended to read as follows:
   (1) NOTWITHSTANDING ANY CONTRARY PROVISION OF LAW, IF  THE  COUNTY  OF
 ONTARIO  IMPOSES  THE ADDITIONAL ONE-EIGHTH OF ONE PERCENT AND THE ADDI-
 TIONAL THREE-EIGHTHS OF ONE PERCENT RATES OF TAX AUTHORIZED PURSUANT  TO
 CLAUSE  TWO  OF  SUBPARAGRAPH  (I)  OF  THE OPENING PARAGRAPH OF SECTION
 TWELVE HUNDRED TEN OF THIS ARTICLE, NET COLLECTIONS FROM THE SUCH  ADDI-
 TIONAL  THREE-EIGHTHS  OF  ONE  PERCENT  RATE OF SUCH TAXES SHALL BE SET
 ASIDE FOR COUNTY PURPOSES AND SHALL NOT  BE  SUBJECT  TO  ANY  AGREEMENT
 ENTERED  INTO BY THE COUNTY AND THE CITIES IN THE COUNTY PURSUANT TO THE
 AUTHORITY OF SUBDIVISION (C) OF SECTION TWELVE HUNDRED SIXTY-TWO OF THIS
 PART OR THIS SECTION.
   (2) Notwithstanding the  provisions  of  subdivision  (c)  of  section
 twelve  hundred sixty-two of this part to the contrary, if the cities of
 Canandaigua and Geneva in the county of Ontario do not impose sales  and
 compensating  use  taxes  pursuant  to  the  authority of section twelve
 hundred ten of this article and such cities and  county  enter  into  an
 agreement pursuant to the authority of subdivision (c) of section twelve
 hundred sixty-two of this part to be effective March first, two thousand
 six, such agreement may provide that:
   § 10. The tax law is amended by adding a new section 1262-v to read as
 follows:
   §  1262-V.  DISPOSITION OF NET COLLECTIONS FROM THE ADDITIONAL RATE OF
 SALES AND COMPENSATING USE TAX IN CLINTON  COUNTY.  NOTWITHSTANDING  ANY
 CONTRARY  PROVISION  OF  LAW, IF THE COUNTY OF CLINTON IMPOSES THE ADDI-
 TIONAL ONE PERCENT RATE OF SALES AND COMPENSATING USE  TAXES  AUTHORIZED
 PURSUANT  TO  CLAUSE TWO OF SUBPARAGRAPH (I) OF THE OPENING PARAGRAPH OF
 SECTION TWELVE HUNDRED TEN OF THIS ARTICLE, NET  COLLECTIONS  FROM  SUCH
 ADDITIONAL  RATE  SHALL  BE  PAID TO THE COUNTY AND THE COUNTY SHALL SET
 ASIDE SUCH NET COLLECTIONS AND USE THEM SOLELY FOR COUNTY PURPOSES. SUCH
 NET COLLECTIONS SHALL NOT BE SUBJECT TO ANY REVENUE DISTRIBUTION  AGREE-
 MENT  ENTERED  INTO BY THE COUNTY AND THE CITY IN THE COUNTY PURSUANT TO
 THE AUTHORITY OF SUBDIVISION (C) OF SECTION TWELVE HUNDRED SIXTY-TWO  OF
 THIS PART.
   § 11. Section 1262-s of the tax law, as amended by section 3 of item U
 of  subpart  C of part XXX of chapter 58 of the laws of 2020, is amended
 to read as follows:
   § 1262-s. Disposition of net collections from the additional one-quar-
 ter of one percent rate of sales and compensating use taxes in the coun-
 ty of Herkimer. Notwithstanding any contrary provision of  law,  if  the
 county  of  Herkimer imposes [the additional] SALES AND COMPENSATING USE
 TAX AT A RATE THAT IS ONE AND one-quarter  [of  one]  percent  [rate  of
 sales  and  compensating use taxes] ADDITIONAL TO THE THREE PERCENT RATE
 AUTHORIZED BY SECTION TWELVE HUNDRED TEN OF THIS ARTICLE  AS  authorized
 by  [section twelve hundred ten-E] CLAUSE TWO OF SUBPARAGRAPH (I) OF THE
 S. 8009--A                         54                         A. 9009--A
 
 OPENING PARAGRAPH OF SECTION TWELVE HUNDRED TEN of this article [for all
 or any portion of the period  beginning  December  first,  two  thousand
 seven  and  ending  November  thirtieth, two thousand twenty-three], the
 county  shall  use  all  net collections [from such] ATTRIBUTABLE TO THE
 additional one-quarter [of one] percent OF SUCH ADDITIONAL rate  to  pay
 the  county's  expenses  for the construction of additional correctional
 facilities. The net collections from [the] SUCH  ADDITIONAL  ONE-QUARTER
 PERCENT  OF  SUCH  additional  rate  [imposed pursuant to section twelve
 hundred ten-E of this article] shall be deposited in a special  fund  to
 be  created  by  such county separate and apart from any other funds and
 accounts of the county. Any and all remaining net collections from  such
 additional  tax, after the expenses of such construction are paid, shall
 be deposited by the county of Herkimer in the general fund of such coun-
 ty for any county purpose.
   § 12. The tax law is amended by adding a new section 1265 to  read  as
 follows:
   §  1265. REFERENCES TO CERTAIN PROVISIONS AUTHORIZING ADDITIONAL RATES
 OR TO EXPIRATIONS OF A PERIOD. NOTWITHSTANDING ANY PROVISION OF  LAW  TO
 THE  CONTRARY: (A) ANY REFERENCE IN ANY SECTION OF THIS CHAPTER OR OTHER
 LAW, OR IN ANY LOCAL LAW, ORDINANCE, OR RESOLUTION ADOPTED  PURSUANT  TO
 THE AUTHORITY OF THIS ARTICLE, TO NET COLLECTIONS OR REVENUES FROM A TAX
 IMPOSED BY A COUNTY OR CITY PURSUANT TO THE AUTHORITY OF A CLAUSE, OR TO
 A  SUBCLAUSE  OF  A  CLAUSE,  OF SUBPARAGRAPH (I) OR (II) OF THE OPENING
 PARAGRAPH OF SECTION TWELVE HUNDRED TEN  OF  THIS  ARTICLE  REPEALED  BY
 SECTION  ONE  OR  TWO OF A PART OF A CHAPTER OF THE LAWS OF TWO THOUSAND
 TWENTY-TWO THAT ADDED THIS SECTION OR PURSUANT TO SECTION TWELVE HUNDRED
 TEN-E OF THIS ARTICLE REPEALED BY SECTION FIVE OF  SUCH  PART  SHALL  BE
 DEEMED  TO  BE  A  REFERENCE  TO  NET COLLECTIONS OR REVENUES FROM A TAX
 IMPOSED BY THAT COUNTY OR CITY PURSUANT TO THE AUTHORITY OF  THE  EQUIV-
 ALENT  PROVISION  OF  CLAUSE  TWO OF SUBPARAGRAPH (I) OR TO SUBPARAGRAPH
 (II) OF THE OPENING PARAGRAPH OF SUCH  SECTION  TWELVE  HUNDRED  TEN  AS
 ADDED  BY  SUCH SECTION ONE OR TWO OF SUCH PART OF A CHAPTER OF THE LAWS
 OF TWO THOUSAND TWENTY-TWO; (B) ANY REFERENCE IN THIS CHAPTER OR IN  ANY
 OTHER  LAW  RELATING  TO  THE  EXPIRATION  OF A PROVISION CONCERNING THE
 DISTRIBUTION OF REVENUE FROM THE TAXES AUTHORIZED TO BE IMPOSED  BY  THE
 OPENING PARAGRAPH OF SECTION TWELVE HUNDRED TEN OF THIS ARTICLE SHALL BE
 DISREGARDED,  AND  SUCH  PROVISION SHALL CONTINUE IN EFFECT UNLESS LATER
 AMENDED OR REPEALED.
   § 13. This act shall take effect immediately.
 
                                  PART V
 
   Section 1.  Subdivision (c) of section 1101 of the tax law,  as  added
 by  chapter  93 of the laws of 1965, paragraphs 2, 3, 4 and 6 as amended
 by section 2 and paragraph 8 as added by section 3 of part AA of chapter
 57 of the laws of 2010, and paragraph 5 as amended by chapter 575 of the
 laws of 1965, is amended to read as follows:
   (c) When used in this article for the  purposes  of  the  tax  imposed
 under  subdivision  (e)  of section eleven hundred five OF THIS ARTICLE,
 the following terms shall mean:
   (1) Hotel. A building or portion of it which  is  regularly  used  and
 kept  open  as such for the lodging of guests. The term "hotel" includes
 an apartment hotel, a motel, boarding house  or  club,  whether  or  not
 meals are served.
   (2)  Occupancy.  The  use  or  possession,  or the right to the use or
 possession, of any room in a hotel OR VACATION RENTAL.   "Right  to  the
 S. 8009--A                         55                         A. 9009--A
 
 use or possession" includes the rights of a room remarketer as described
 in paragraph eight of this subdivision.
   (3)  Occupant.  A person who, for a consideration, uses, possesses, or
 has the right to use or possess, any room in a hotel OR VACATION  RENTAL
 under  any lease, concession, permit, right of access, license to use or
 other agreement, or otherwise. "Right to use or  possess"  includes  the
 rights  of  a  room  remarketer  as described in paragraph eight of this
 subdivision.
   (4) Operator. Any person operating a hotel OR VACATION RENTAL.    Such
 term  shall  include a room remarketer and such room remarketer shall be
 deemed to operate a hotel, or portion thereof,  with  respect  to  which
 such person has the rights of a room remarketer.
   (5)  Permanent  resident. Any occupant of any room or rooms in a hotel
 OR VACATION RENTAL for at least ninety consecutive days shall be consid-
 ered a permanent resident with regard to the period of such occupancy.
   (6) Rent. The consideration  received  for  occupancy,  including  any
 service or other charge or amount required to be paid as a condition for
 occupancy,  valued  in money, whether received in money or otherwise and
 whether received by the operator or a room remarketer or another  person
 on behalf of either of them.
   (7)  Room.  Any  room or rooms of any kind in any part or portion of a
 hotel OR VACATION RENTAL, which is available for  or  let  out  for  any
 purpose other than a place of assembly.
   (8)  Room remarketer. A person who reserves, arranges for, conveys, or
 furnishes occupancy, whether directly or indirectly, to an occupant  for
 rent in A HOTEL FOR an amount determined by the room remarketer, direct-
 ly or indirectly, whether pursuant to a written or other agreement. Such
 person's  ability  or  authority  to  reserve,  arrange  for, convey, or
 furnish occupancy, directly or indirectly, and to determine rent  there-
 for,  shall  be  the "rights of a room remarketer". A room remarketer is
 not a permanent resident with respect to a room for  which  such  person
 has the rights of a room remarketer.
   (9)  VACATION RENTAL. A BUILDING OR PORTION OF IT THAT IS USED FOR THE
 LODGING OF GUESTS. THE TERM  "VACATION  RENTAL"  INCLUDES  A  HOUSE,  AN
 APARTMENT,  A  CONDOMINIUM, A COOPERATIVE UNIT, A CABIN, A COTTAGE, OR A
 BUNGALOW, OR ONE OR MORE ROOMS THEREIN,  WHERE  SLEEPING  ACCOMMODATIONS
 ARE  PROVIDED FOR THE LODGING OF PAYING OCCUPANTS, THE TYPICAL OCCUPANTS
 ARE TRANSIENTS OR TRAVELERS, AND THE RELATIONSHIP BETWEEN  THE  OPERATOR
 AND  OCCUPANT  IS NOT THAT OF A LANDLORD AND TENANT. IT IS NOT NECESSARY
 THAT MEALS ARE SERVED. A BUILDING OR PORTION OF A BUILDING  MAY  QUALIFY
 AS A VACATION RENTAL WHETHER OR NOT AMENITIES, INCLUDING BUT NOT LIMITED
 TO  DAILY  HOUSEKEEPING SERVICES, CONCIERGE SERVICES, OR LINEN SERVICES,
 ARE PROVIDED.
   (10) (I) VACATION RENTAL MARKETPLACE PROVIDER. A PERSON WHO,  PURSUANT
 TO  AN  AGREEMENT WITH AN OPERATOR, FACILITATES THE OCCUPANCY OF A VACA-
 TION RENTAL BY SUCH OPERATOR OR OPERATORS.  A  PERSON  "FACILITATES  THE
 OCCUPANCY  OF A VACATION RENTAL" FOR PURPOSES OF THIS PARAGRAPH WHEN THE
 PERSON MEETS BOTH OF THE FOLLOWING CONDITIONS: (A) SUCH PERSON  PROVIDES
 THE  FORUM  IN  WHICH,  OR  BY MEANS OF WHICH, THE SALE OF THE OCCUPANCY
 TAKES PLACE OR THE OFFER OF SUCH SALE IS  ACCEPTED,  INCLUDING  A  SHOP,
 STORE, OR BOOTH, AN INTERNET WEBSITE, CATALOG, OR SIMILAR FORUM; AND (B)
 SUCH  PERSON  OR AN AFFILIATE OF SUCH PERSON COLLECTS THE RENT PAID BY A
 CUSTOMER TO AN OPERATOR FOR THE  OCCUPANCY  OF  A  VACATION  RENTAL,  OR
 CONTRACTS WITH A THIRD PARTY TO COLLECT SUCH RENT.
   (II)  FOR  THE  PURPOSES  OF  THIS  ARTICLE, THE TERM "VACATION RENTAL
 MARKETPLACE PROVIDER" SHALL NOT INCLUDE A "ROOM REMARKETER"  AS  DEFINED
 S. 8009--A                         56                         A. 9009--A
 
 IN  PARAGRAPH EIGHT OF THIS SUBDIVISION. FOR PURPOSES OF THIS PARAGRAPH,
 PERSONS ARE AFFILIATED IF ONE PERSON HAS AN OWNERSHIP INTEREST  OF  MORE
 THAN  FIVE  PERCENT, WHETHER DIRECT OR INDIRECT, IN ANOTHER, OR WHERE AN
 OWNERSHIP  INTEREST  OF  MORE THAN FIVE PERCENT, WHETHER DIRECT OR INDI-
 RECT, IS HELD IN EACH OF SUCH PERSONS BY ANOTHER PERSON OR BY A GROUP OF
 OTHER PERSONS THAT ARE AFFILIATED PERSONS WITH RESPECT  TO  EACH  OTHER.
 THE  TERM  "VACATION  RENTAL  MARKETPLACE  PROVIDER" SHALL NOT INCLUDE A
 "REAL ESTATE BROKER" AS LICENSED UNDER  ARTICLE  TWELVE-A  OF  THE  REAL
 PROPERTY LAW.
   § 2. Subdivision (a) of section 1104 of the tax law, as added by chap-
 ter 3 of the laws of 2004, is amended to read as follows:
   (a)  Imposition.  In  addition to any other fee or tax imposed by this
 article or any other law, on and after April first, two  thousand  five,
 there  is  hereby imposed within the territorial limits of a city with a
 population of a million or more and there shall be paid a  unit  fee  on
 every  occupancy of a unit in a hotel OR VACATION RENTAL in such city at
 the rate of one dollar and fifty cents per unit  per  day,  except  that
 such  unit  fee  shall  not be imposed upon (1) occupancy by a permanent
 resident or (2) where the rent per unit is not more than at the rate  of
 two dollars per day.
   § 3. Paragraph 1 of subdivision (e) of section 1105 of the tax law, as
 amended  by  section  1  of part Q of chapter 59 of the laws of 2012, is
 amended to read as follows:
   (1) The rent for every occupancy of a room or rooms  in  a  hotel  AND
 VACATION  RENTAL in this state, except that the tax shall not be imposed
 upon (i) a permanent resident, or (ii) where the rent is not  more  than
 at the rate of two dollars per day.
   § 4.  Subdivisions 1 and 2 of section 1131 of the tax law, subdivision
 1  as  amended  by section 2 of part G of chapter 59 of the laws of 2019
 and subdivision 2 as added by chapter  93  of  the  laws  of  1965,  are
 amended to read as follows:
   (1)  "Persons  required to collect tax" or "person required to collect
 any tax imposed by this article" shall include: every vendor of tangible
 personal property or services; every  recipient  of  amusement  charges;
 every  operator  of  a  hotel  OR VACATION RENTAL; EVERY VACATION RENTAL
 MARKETPLACE PROVIDER WITH RESPECT TO THE RENT FOR EVERY OCCUPANCY  OF  A
 VACATION RENTAL IT FACILITATES AS DESCRIBED IN PARAGRAPH TEN OF SUBDIVI-
 SION  (C)  OF  SECTION  ELEVEN  HUNDRED  ONE  OF THIS ARTICLE; and every
 marketplace provider with respect to sales of tangible personal property
 it facilitates as described in  paragraph  one  of  subdivision  (e)  of
 section  eleven  hundred  one  of  this  article.  Said terms shall also
 include any officer, director or employee  of  a  corporation  or  of  a
 dissolved  corporation,  any  employee of a partnership, any employee or
 manager of a limited liability company, or any employee of an individual
 proprietorship who as such officer, director,  employee  or  manager  is
 under a duty to act for such corporation, partnership, limited liability
 company  or  individual proprietorship in complying with any requirement
 of this article, or has so acted; and any member  of  a  partnership  or
 limited  liability company.  Provided, however, that any person who is a
 vendor solely by reason of clause (D) or  (E)  of  subparagraph  (i)  of
 paragraph  [(8)]  EIGHT of subdivision (b) of section eleven hundred one
 of this article shall not be a  "person  required  to  collect  any  tax
 imposed  by this article" until twenty days after the date by which such
 person is required to file a certificate  of  registration  pursuant  to
 section  eleven  hundred  thirty-four of this part. SUCH TERMS SHALL NOT
 INCLUDE AN OPERATOR OF A VACATION RENTAL WHO RENTS  OUT  THE  OPERATOR'S
 S. 8009--A                         57                         A. 9009--A
 
 OWN PROPERTY FOR THREE DAYS OR FEWER IN A CALENDAR YEAR AND DOES NOT USE
 A VACATION RENTAL MARKETPLACE PROVIDER TO FACILITATE SUCH RENTAL.
   (2)  "Customer"  shall  include:  every purchaser of tangible personal
 property or services; every patron paying or liable for the  payment  of
 any  amusement  charge; and every occupant of a room or rooms in a hotel
 OR VACATION RENTAL.
   § 5. Section 1132 of the tax law is amended by adding a  new  subdivi-
 sion (m) to read as follows:
   (M)(L)  A  VACATION RENTAL MARKETPLACE PROVIDER WITH RESPECT TO A SALE
 FOR EVERY OCCUPANCY OF A VACATION RENTAL IT FACILITATES: (A) SHALL  HAVE
 ALL  THE OBLIGATIONS AND RIGHTS OF A VENDOR UNDER THIS ARTICLE AND ARTI-
 CLE TWENTY-NINE OF THIS CHAPTER AND UNDER ANY REGULATIONS ADOPTED PURSU-
 ANT THERETO, INCLUDING, BUT NOT LIMITED TO, THE DUTY TO OBTAIN A CERTIF-
 ICATE OF AUTHORITY, TO COLLECT TAX, FILE RETURNS,  REMIT  TAX,  AND  THE
 RIGHT  TO  ACCEPT  A  CERTIFICATE OR OTHER DOCUMENTATION FROM A CUSTOMER
 SUBSTANTIATING AN EXEMPTION OR EXCLUSION FROM TAX, THE RIGHT TO  RECEIVE
 THE  REFUND AUTHORIZED BY SUBDIVISION (E) OF THIS SECTION AND THE CREDIT
 ALLOWED BY SUBDIVISION (F) OF SECTION  ELEVEN  HUNDRED  THIRTY-SEVEN  OF
 THIS  PART SUBJECT TO THE PROVISIONS OF SUCH SUBDIVISIONS; AND (B) SHALL
 KEEP SUCH RECORDS AND INFORMATION AND COOPERATE WITH THE COMMISSIONER TO
 ENSURE THE PROPER COLLECTION AND REMITTANCE OF TAX IMPOSED, COLLECTED OR
 REQUIRED TO BE COLLECTED UNDER THIS ARTICLE AND ARTICLE  TWENTY-NINE  OF
 THIS CHAPTER.
   (2)  AN OPERATOR IS RELIEVED FROM THE DUTY TO COLLECT TAX IN REGARD TO
 A PARTICULAR RENT FOR THE OCCUPANCY OF A VACATION RENTAL SUBJECT TO  TAX
 UNDER SUBDIVISION (E) OF SECTION ELEVEN HUNDRED FIVE OF THIS ARTICLE AND
 SHALL  NOT INCLUDE THE RENT FROM SUCH OCCUPANCY IN ITS TAXABLE SALES FOR
 PURPOSES OF SECTION ELEVEN HUNDRED THIRTY-SIX OF THIS PART IF, IN REGARD
 TO SUCH OCCUPANCY: (A) THE OPERATOR OF THE VACATION RENTAL CAN SHOW THAT
 SUCH OCCUPANCY WAS FACILITATED BY A VACATION RENTAL MARKETPLACE PROVIDER
 FROM WHOM SUCH OPERATOR HAS RECEIVED IN GOOD FAITH A PROPERLY  COMPLETED
 CERTIFICATE  OF  COLLECTION  IN  A  FORM PRESCRIBED BY THE COMMISSIONER,
 CERTIFYING THAT THE VACATION RENTAL MARKETPLACE PROVIDER  IS  REGISTERED
 TO  COLLECT SALES TAX AND WILL COLLECT SALES TAX ON ALL TAXABLE SALES OF
 OCCUPANCY OF A VACATION RENTAL BY THE OPERATOR FACILITATED BY THE  VACA-
 TION RENTAL MARKETPLACE PROVIDER, AND WITH SUCH OTHER INFORMATION AS THE
 COMMISSIONER  MAY  PRESCRIBE; AND (B) ANY FAILURE OF THE VACATION RENTAL
 MARKETPLACE PROVIDER TO COLLECT THE PROPER AMOUNT OF TAX  IN  REGARD  TO
 SUCH  SALE  WAS  NOT  THE RESULT OF SUCH OPERATOR PROVIDING THE VACATION
 RENTAL MARKETPLACE PROVIDER WITH INCORRECT INFORMATION.  THIS  PROVISION
 SHALL  BE  ADMINISTERED  IN A MANNER CONSISTENT WITH SUBPARAGRAPH (I) OF
 PARAGRAPH ONE OF SUBDIVISION (C) OF THIS SECTION AS IF A CERTIFICATE  OF
 COLLECTION  WERE  A RESALE OR EXEMPTION CERTIFICATE FOR PURPOSES OF SUCH
 SUBPARAGRAPH, INCLUDING WITH REGARD TO THE COMPLETENESS OF SUCH  CERTIF-
 ICATE  OF  COLLECTION  AND THE TIMING OF ITS ACCEPTANCE BY THE OPERATOR.
 PROVIDED THAT, WITH REGARD TO ANY  SALES  OF  OCCUPANCY  OF  A  VACATION
 RENTAL  BY AN OPERATOR THAT ARE FACILITATED BY A VACATION RENTAL MARKET-
 PLACE PROVIDER WHO IS AFFILIATED WITH SUCH OPERATOR WITHIN  THE  MEANING
 OF  PARAGRAPH  TEN  OF  SUBDIVISION (C) OF SECTION ELEVEN HUNDRED ONE OF
 THIS ARTICLE, THE OPERATOR SHALL BE DEEMED LIABLE AS A  PERSON  UNDER  A
 DUTY  TO  ACT FOR SUCH VACATION RENTAL MARKETPLACE PROVIDER FOR PURPOSES
 OF SUBDIVISION ONE OF SECTION ELEVEN HUNDRED THIRTY-ONE OF THIS PART.
   (3) THE COMMISSIONER MAY, AT HIS OR  HER  DISCRETION:  (A)  DEVELOP  A
 STANDARD  PROVISION,  OR  APPROVE  A  PROVISION  DEVELOPED BY A VACATION
 RENTAL MARKETPLACE PROVIDER, IN WHICH THE  VACATION  RENTAL  MARKETPLACE
 PROVIDER  OBLIGATES ITSELF TO COLLECT THE TAX ON BEHALF OF ALL OPERATORS
 S. 8009--A                         58                         A. 9009--A

 FOR WHOM THE VACATION RENTAL MARKETPLACE PROVIDER FACILITATES  SALES  OF
 OCCUPANCY OF A VACATION RENTAL, WITH RESPECT TO ALL SALES THAT IT FACIL-
 ITATES  FOR SUCH OPERATORS WHERE THE RENTAL OCCURS IN THE STATE; AND (B)
 PROVIDE  BY REGULATION OR OTHERWISE THAT THE INCLUSION OF SUCH PROVISION
 IN THE PUBLICLY-AVAILABLE AGREEMENT BETWEEN THE VACATION RENTAL  MARKET-
 PLACE  PROVIDER  AND OPERATOR WILL HAVE THE SAME EFFECT AS AN OPERATOR'S
 ACCEPTANCE OF A CERTIFICATE OF  COLLECTION  FROM  SUCH  VACATION  RENTAL
 MARKETPLACE PROVIDER UNDER PARAGRAPH TWO OF THIS SUBDIVISION.
   §  6.  Section 1133 of the tax law is amended by adding a new subdivi-
 sion (g) to read as follows:
   (G) A VACATION RENTAL MARKETPLACE PROVIDER IS  RELIEVED  OF  LIABILITY
 UNDER  THIS  SECTION FOR FAILURE TO COLLECT THE CORRECT AMOUNT OF TAX TO
 THE EXTENT THAT THE VACATION RENTAL MARKETPLACE PROVIDER CAN  SHOW  THAT
 THE  ERROR WAS DUE TO INCORRECT OR INSUFFICIENT INFORMATION GIVEN TO THE
 VACATION RENTAL MARKETPLACE PROVIDER BY THE OPERATOR. PROVIDED, HOWEVER,
 THIS SUBDIVISION SHALL NOT APPLY IF THE  OPERATOR  AND  VACATION  RENTAL
 MARKETPLACE  PROVIDER ARE AFFILIATED WITHIN THE MEANING OF PARAGRAPH TEN
 OF SUBDIVISION (C) OF SECTION ELEVEN HUNDRED ONE OF THIS ARTICLE.
   § 7. Subdivision (a) of section 1134 of the  tax  law  is  amended  by
 adding a new paragraph 7 to read as follows:
   (7)  AN OPERATOR OF A VACATION RENTAL, AS DEFINED IN PARAGRAPH NINE OF
 SUBDIVISION (C) OF SECTION  ELEVEN  HUNDRED  ONE  OF  THIS  ARTICLE,  IS
 RELIEVED  OF THE REQUIREMENT TO REGISTER IN PARAGRAPH ONE OF THIS SUBDI-
 VISION IF ITS SALES OF OCCUPANCY ARE WHOLLY FACILITATED BY ONE  OR  MORE
 VACATION  RENTAL  MARKETPLACE  PROVIDERS  FROM  WHOM  THE  OPERATOR  HAS
 RECEIVED IN GOOD FAITH  A  CERTIFICATE  OF  COLLECTION  THAT  MEETS  THE
 REQUIREMENTS  SET  FORTH  IN PARAGRAPH TWO OF SUBDIVISION (M) OF SECTION
 ELEVEN HUNDRED THIRTY-TWO OF THIS PART.
   § 8. Paragraph 4 of subdivision (a) of section 1136 of the tax law, as
 amended by section 5 of part G of chapter 59 of the  laws  of  2019,  is
 amended to read as follows:
   (4)  The  return of a vendor of tangible personal property or services
 shall show such vendor's receipts from sales and the number  of  gallons
 of any motor fuel or diesel motor fuel sold and also the aggregate value
 of tangible personal property and services and number of gallons of such
 fuels  sold by the vendor, the use of which is subject to tax under this
 article,  and  the  amount  of  tax  payable  thereon  pursuant  to  the
 provisions  of  section  eleven  hundred  thirty-seven of this part. The
 return of a recipient of amusement charges shall show all  such  charges
 and the amount of tax thereon, and the return of an operator required to
 collect  tax  on  rents shall show all rents received or charged and the
 amount of tax thereon. The return of a marketplace seller shall  exclude
 the  receipts from a sale of tangible personal property facilitated by a
 marketplace provider if, in regard to such  sale:  (A)  the  marketplace
 seller  has  timely  received in good faith a properly completed certif-
 icate of collection from the marketplace  provider  or  the  marketplace
 provider  has  included  a provision approved by the commissioner in the
 publicly-available agreement between the marketplace  provider  and  the
 marketplace  seller  as  described  in subdivision one of section eleven
 hundred thirty-two of this part, and (B) the information provided by the
 marketplace seller to  the  marketplace  provider  about  such  tangible
 personal  property  is accurate. THE RETURN OF AN OPERATOR SHALL EXCLUDE
 THE RENT FROM OCCUPANCY OF A VACATION RENTAL FACILITATED BY  A  VACATION
 RENTAL MARKETPLACE PROVIDER IF, IN REGARD TO SUCH SALE: (A) THE VACATION
 RENTAL  OPERATOR  HAS TIMELY RECEIVED IN GOOD FAITH A PROPERLY COMPLETED
 CERTIFICATE OF COLLECTION FROM THE VACATION RENTAL MARKETPLACE  PROVIDER
 S. 8009--A                         59                         A. 9009--A
 
 OR  THE  VACATION  RENTAL  MARKETPLACE PROVIDER HAS INCLUDED A PROVISION
 APPROVED BY THE COMMISSIONER IN THE PUBLICLY-AVAILABLE AGREEMENT BETWEEN
 THE VACATION RENTAL MARKETPLACE PROVIDER AND THE OPERATOR  AS  DESCRIBED
 IN  SUBDIVISION  (M)  OF SECTION ELEVEN HUNDRED THIRTY-TWO OF THIS PART,
 AND (B) THE INFORMATION PROVIDED BY THE OPERATOR TO THE VACATION  RENTAL
 MARKETPLACE PROVIDER ABOUT SUCH RENT AND SUCH OCCUPANCY IS ACCURATE.
   §  9.  Subparagraph  (B)  of paragraph 3 of subdivision (a) of section
 1138 of the tax law, as amended by chapter 456 of the laws of  1998,  is
 amended to read as follows:
   (B)  The  liability,  pursuant  to  subdivision  (a) of section eleven
 hundred thirty-three of  this  article,  of  any  officer,  director  or
 employee  of  a  corporation  or  of  a dissolved corporation, member or
 employee of a partnership or employee of  an  individual  proprietorship
 who as such officer, director, employee or member is under a duty to act
 for  such  corporation,  partnership  or  individual  proprietorship  in
 complying with any requirement of this  article  for  the  tax  imposed,
 collected  or  required  to  be collected, or for the tax required to be
 paid or paid over to the [tax commission] COMMISSIONER under this  arti-
 cle,  and  the  amount of such tax liability (whether or not a return is
 filed under this article, whether or  not  such  return  when  filed  is
 incorrect  or  insufficient,  or  where  the  tax shown to be due on the
 return filed under this article has not been paid or has not  been  paid
 in full) shall be determined by the [tax commission] COMMISSIONER in the
 manner  provided for in paragraphs one and two of this subdivision. Such
 determination shall be an assessment of the tax and  liability  for  the
 tax  with  respect to such person unless such person, within ninety days
 after the giving of notice of such determination,  shall  apply  to  the
 division of tax appeals for a hearing.  If such determination is identi-
 cal  to or arises out of a previously issued determination of tax of the
 corporation, dissolved corporation, partnership or  individual  proprie-
 torship  for  which  such  person is under a duty to act, an application
 filed with the division of tax appeals on  behalf  of  the  corporation,
 dissolved corporation, partnership or individual proprietorship shall be
 deemed  to  include  any  and  all subsequently issued personal determi-
 nations and a separate application to the division of tax appeals for  a
 hearing  shall  not  be required. The [tax commission] COMMISSIONER may,
 nevertheless, of [its] HIS OR HER own motion, redetermine such  determi-
 nation  of  tax or liability for tax. Where the [tax commission] COMMIS-
 SIONER determines or redetermines that the amount of tax claimed  to  be
 due from a vendor of tangible personal property or services, a recipient
 of  amusement  charges,  or an operator of a hotel OR VACATION RENTAL is
 erroneous or excessive in whole or in part, [it] HE OR SHE  shall  rede-
 termine  the amount of tax properly due from any such person as a person
 required to collect tax with respect to such vendor, recipient, or oper-
 ator, and if such amount is less than the amount of tax for  which  such
 person  would  have  been liable in the absence of such determination or
 redetermination, [it] HE OR SHE shall reduce such liability accordingly.
 Furthermore, the [tax commission] COMMISSIONER may, of [its] HIS OR  HER
 own  motion,  abate  on  behalf  of any such person, any part of the tax
 determined to be erroneous or excessive whether  or  not  such  tax  had
 become  finally and irrevocably fixed with respect to such person but no
 claim for abatement may be filed by any such person. The  provisions  of
 this  paragraph shall not be construed to limit in any manner the powers
 of the attorney general under subdivision (a) of section eleven  hundred
 forty-one OF THIS PART or the powers of the [tax commission] COMMISSION-
 S. 8009--A                         60                         A. 9009--A
 
 ER  to issue a warrant under subdivision (b) of such section against any
 person whose liability has become finally and irrevocably fixed.
   §  10. Section 1142 of the tax law is amended by adding a new subdivi-
 sion 16 to read as follows:
   16. TO PUBLISH A LIST ON THE DEPARTMENT'S WEBSITE OF  VACATION  RENTAL
 MARKETPLACE  PROVIDERS WHOSE CERTIFICATES OF AUTHORITY HAVE BEEN REVOKED
 AND, IF NECESSARY TO PROTECT SALES TAX REVENUE, PROVIDE BY REGULATION OR
 OTHERWISE THAT A VACATION  RENTAL  OPERATOR  WILL  BE  RELIEVED  OF  THE
 REQUIREMENT  TO  REGISTER  AND  THE  DUTY TO COLLECT TAX ON THE RENT FOR
 OCCUPANCY OF A VACATION RENTAL FACILITATED BY A VACATION RENTAL  MARKET-
 PLACE  PROVIDER  ONLY  IF,  IN  ADDITION TO THE CONDITIONS PRESCRIBED BY
 PARAGRAPH TWO OF SUBDIVISION (M) OF SECTION  ELEVEN  HUNDRED  THIRTY-TWO
 AND  PARAGRAPH  SIX OF SUBDIVISION (A) OF SECTION ELEVEN HUNDRED THIRTY-
 FOUR OF THIS PART BEING MET, SUCH VACATION RENTAL  MARKETPLACE  PROVIDER
 IS  NOT ON SUCH LIST AT THE COMMENCEMENT OF THE QUARTERLY PERIOD COVERED
 THEREBY.
   § 11. Subparagraph (i) of paragraph 3 of subdivision  (a)  of  section
 1145 of the tax law, as amended by section 48 of part K of chapter 61 of
 the laws of 2011, is amended to read as follows:
   (i)  Any  person  required  to obtain a certificate of authority under
 section eleven hundred thirty-four of this part who, without  possessing
 a  valid  certificate of authority, (A) sells tangible personal property
 or services subject to tax, receives amusement  charges  or  operates  a
 hotel OR VACATION RENTAL, (B) purchases or sells tangible personal prop-
 erty  for  resale, (C) sells petroleum products, or (D) sells cigarettes
 shall, in addition to any other penalty  imposed  by  this  chapter,  be
 subject to a penalty in an amount not exceeding five hundred dollars for
 the  first day on which such sales or purchases are made, plus an amount
 not exceeding two hundred dollars for each subsequent day on which  such
 sales  or  purchases are made, not to exceed ten thousand dollars in the
 aggregate.
   § 12. Subparagraph (v) of paragraph 4 of subdivision  (a)  of  section
 1210 of the tax law, as amended by section 2 of part WW of chapter 60 of
 the laws of 2016, is amended to read as follows:
   (v)  shall provide that, for purposes of the tax described in subdivi-
 sion (e) of section eleven hundred  five  of  this  chapter,  "permanent
 resident" means any occupant of any room or rooms in a hotel OR VACATION
 RENTAL  for  at least one hundred eighty consecutive days with regard to
 the period of such occupancy;
   § 13. Subdivisions (a) and (b) of section 1817  of  the  tax  law,  as
 amended  by  section 53 of part K of chapter 61 of the laws of 2011, are
 amended to read as follows:
   (a) Any person required to obtain a  certificate  of  authority  under
 section eleven hundred thirty-four of this chapter who, without possess-
 ing  a  valid  certificate  of  authority,  willfully (1) sells tangible
 personal property or services subject to tax, receives amusement charges
 or operates a hotel OR VACATION RENTAL, (2) purchases or sells  tangible
 personal  property  for resale, or (3) sells petroleum products; and any
 person who fails to surrender a certificate of authority as required  by
 such article shall be guilty of a misdemeanor.
   (b)  Any  person  required  to obtain a certificate of authority under
 section eleven hundred thirty-four of this chapter who within five years
 after a determination by the commissioner, pursuant to such section,  to
 suspend, revoke or refuse to issue a certificate of authority has become
 final,  and  without  possession of a valid certificate of authority (1)
 sells tangible personal property or services subject  to  tax,  receives
 S. 8009--A                         61                         A. 9009--A

 amusement  charges or operates a hotel OR VACATION RENTAL, (2) purchases
 or sells tangible personal property for resale, or (3)  sells  petroleum
 products,  shall  be guilty of a misdemeanor. It shall be an affirmative
 defense  that  such person performed the acts described in this subdivi-
 sion without knowledge of such determination. Any person who violates  a
 provision  of  this  subdivision, upon conviction, shall be subject to a
 fine in any amount authorized by this article, but not  less  than  five
 hundred dollars, in addition to any other penalty provided by law.
   §  14.  This  act  shall  take  effect  immediately and shall apply to
 collections of rent by  the  operator  or  vacation  rental  marketplace
 provider on or after September 1, 2022.
 
                                  PART W

   Section  1.    Paragraph 1 of subsection (a) of section 671 of the tax
 law, as amended by chapter 760 of the laws of 1992, is amended  to  read
 as follows:
   (1) Every employer maintaining an office or transacting business with-
 in this state and making payment of any wages taxable under this article
 shall  deduct and withhold from such wages for each payroll period a tax
 computed in such manner as to result, so far as  practicable,  in  with-
 holding  from  the  employee's wages during each calendar year an amount
 substantially equivalent to the tax reasonably estimated to be due under
 this article resulting from the inclusion in  the  employee's  New  York
 adjusted  gross income or New York source income of [his] THE EMPLOYEE'S
 wages received during such calendar year. The method of determining  the
 amount  to  be  withheld  shall  be  prescribed  by [regulations of] the
 commissioner, with due regard to the New York withholding exemptions  of
 the  employee  and  the  sum  of any credits allowable against [his] THE
 EMPLOYEE'S tax. THE COMMISSIONER SHALL PUBLISH ANY CHANGES TO SUCH METH-
 OD OF DETERMINING THE AMOUNT OF TAX TO BE WITHHELD ON THE WEBSITE OF THE
 DEPARTMENT OF TAXATION AND FINANCE. THE COMMISSIONER  SHALL  ALSO  CAUSE
 NOTICE  OF SUCH CHANGES TO BE PUBLISHED IN THE SECTION FOR MISCELLANEOUS
 NOTICES IN THE STATE REGISTER AND SHALL GIVE OTHER  APPROPRIATE  GENERAL
 NOTICE OF SUCH CHANGES.
   §  2.  Paragraph 6 of subsection (j) of section 697 of the tax law, as
 amended by chapter 61 of the  laws  of  1989,  is  amended  to  read  as
 follows:
   (6)  Publication  of  interest rates. The commissioner of taxation and
 finance SHALL PUBLISH THE INTEREST RATES SET UNDER  THIS  SUBSECTION  ON
 THE  WEBSITE  OF  THE  DEPARTMENT  OF  TAXATION AND FINANCE. IMMEDIATELY
 FOLLOWING SUCH PUBLICATION, THE COMMISSIONER shall cause  SUCH  INTEREST
 RATES  to  be  published in the section for miscellaneous notices in the
 state register[,] and give other appropriate general  notice  of[,  the]
 SUCH interest rates [to be set under this subsection no later than twen-
 ty  days  preceding  the  first day of the calendar quarter during which
 such interest rates apply]. The setting and publication of such interest
 rates shall not be included within paragraph (a) of subdivision  two  of
 section one hundred two of the state administrative procedure act relat-
 ing to the definition of a rule.
   §  3. Paragraph 5 of subsection (e) of section 1096 of the tax law, as
 amended by chapter 61 of the  laws  of  1989,  is  amended  to  read  as
 follows:
   (5)  Publication  of  interest rates. The commissioner of taxation and
 finance shall PUBLISH THE INTEREST RATES SET UNDER  THIS  SUBSECTION  ON
 THE  WEBSITE  OF  THE  DEPARTMENT  OF  TAXATION AND FINANCE. IMMEDIATELY
 S. 8009--A                         62                         A. 9009--A
 
 FOLLOWING SUCH PUBLICATION, THE COMMISSIONER SHALL cause  SUCH  INTEREST
 RATES  to  be  published in the section for miscellaneous notices in the
 state register[,] and give other appropriate general  notice  of[,  the]
 SUCH interest rates [to be set under this subsection no later than twen-
 ty  days  preceding  the  first day of the calendar quarter during which
 such interest rates apply]. The setting and publication of such interest
 rates shall not be included within paragraph (a) of subdivision  two  of
 section one hundred two of the state administrative procedure act relat-
 ing to the definition of a rule.
   § 4. This act shall take effect immediately.
 
                                  PART X
 
   Section  1.  Paragraph (c) of subdivision 1 of section 1701 of the tax
 law, as added by section 1 of part CC-1 of chapter 57  of  the  laws  of
 2008, is amended to read as follows:
   (c)  "Financial  institution"  means  (I)  any  financial  institution
 authorized or required to participate in a  financial  institution  data
 match  system  or  program  for child support enforcement purposes under
 federal or state law, AND (II) ANY VIRTUAL CURRENCY BUSINESS LICENSED BY
 THE SUPERINTENDENT OF FINANCIAL SERVICES.
   § 2. This act shall take effect immediately.
 
                                  PART Y
 
   Section 1. Section 4 of chapter 475 of the laws of 2013,  relating  to
 assessment  ceilings  for  local  public  utility mass real property, as
 amended by section 1 of part G of chapter 59 of the  laws  of  2018,  is
 amended to read as follows:
   §  4. This act shall take effect on the first of January of the second
 calendar year commencing after this act shall  have  become  a  law  and
 shall  apply  to  assessment rolls with taxable status dates on or after
 such date; provided, however, that this act shall expire and  be  deemed
 repealed  [eight]  TWELVE years after such effective date; and provided,
 further, that no assessment of local public utility mass  real  property
 appearing  on  the  municipal assessment roll with a taxable status date
 occurring in the first calendar year after this act shall have become  a
 law  shall  be  less  than  ninety  percent or more than one hundred ten
 percent of the assessment of the same property  on  the  date  this  act
 shall have become a law.
   §  2.  Subdivision 4 of section 499-pppp of the real property tax law,
 as added by chapter 475 of the laws of  2013,  is  amended  to  read  as
 follows:
   4. Any final determination of an assessment ceiling by the commission-
 er pursuant to subdivision one of this section shall be subject to judi-
 cial challenge by an owner of local public utility mass real property or
 a  local  assessing  jurisdiction in a proceeding under article seven of
 this chapter; provided however, the time  to  commence  such  proceeding
 shall be within sixty days of the issuance of the final assessment ceil-
 ing certificate and all questions of fact and law shall be determined de
 novo. Any judicial proceeding shall be commenced in the supreme court in
 the  county  of Albany or the county agreed upon by the parties in which
 the local public utility mass real property is located. Nothing in  this
 section  shall preclude a challenge of the assessed value established by
 a local assessing jurisdiction with respect to local public utility mass
 real property as otherwise provided in article seven  of  this  chapter,
 S. 8009--A                         63                         A. 9009--A
 
 PROVIDED  HOWEVER  THAT UPON MOTION OF THE LOCAL ASSESSING JURISDICTION,
 SUCH CHALLENGE SHALL BE CONSOLIDATED WITH THE  CHALLENGE  TO  THE  FINAL
 ASSESSMENT  CEILING COMMENCED PURSUANT TO THIS SUBDIVISION AND LITIGATED
 IN  THE VENUE SPECIFIED BY THIS SUBDIVISION. In any proceeding challeng-
 ing an assessed value established by a local assessing jurisdiction  for
 local  public utility mass real property, the final certified assessment
 ceiling established pursuant to subdivision one of this  section  [shall
 not], AND THE EVIDENCE SUBMITTED IN CONNECTION THEREWITH, MAY be consid-
 ered  by  the  court WHEN DETERMINING THE MERITS OF THE CHALLENGE TO THE
 ASSESSED VALUE ESTABLISHED BY THE ASSESSING UNIT.  IN SUCH A PROCEEDING,
 THE LOCAL ASSESSING JURISDICTION, UPON REQUEST TO THE LOCAL PUBLIC UTIL-
 ITY MASS REAL PROPERTY OWNER, SHALL BE PROVIDED WITH A COPY OF THE ANNU-
 AL REPORT PROVIDED TO THE COMMISSIONER UNDER SECTION FOUR HUNDRED  NINE-
 TY-NINE-RRRR  OF  THIS  TITLE.  IF  THE  LOCAL  PUBLIC UTILITY MASS REAL
 PROPERTY OWNER FAILS TO PROVIDE THE REPORT WITHIN THIRTY DAYS OF SUCH  A
 REQUEST, THE PROCEEDING SHALL BE DISMISSED.
   §  3.  This act shall take effect immediately, provided, however, that
 the amendments to subdivision 4 of section 499-pppp of the real property
 tax law made by section two of this act shall not affect the  repeal  of
 such subdivision and shall be deemed to be repealed therewith.

                                  PART Z
 
   Section  1.  This Part enacts into law major components of legislation
 relating to the administration of the STAR program authorized by section
 425 of the real property tax law and subsection (eee) of section 606  of
 the tax law. Each component is wholly contained within a Subpart identi-
 fied  as  Subparts  A  through E. The effective date for each particular
 provision contained within such Subpart is set forth in the last section
 of such Subpart.  Any  provision  in  any  section  contained  within  a
 Subpart, including the effective date of the Subpart, which makes refer-
 ence  to  a  section  of  "this  act", when used in connection with that
 particular component, shall be deemed to mean and refer  to  the  corre-
 sponding  section  of  the  Subpart  in  which  it is found. Section two
 contains a severability clause for  all  provisions  contained  in  each
 Subpart  of this Part.  Section three of this act sets forth the general
 effective date of this Part.
 
                                 SUBPART A
 
   Section 1. Paragraph (a-2) of subdivision 6 of section 425 of the real
 property tax law, as amended by section 1 of part TT of  chapter  59  of
 the laws of 2019, is amended to read as follows:
   (a-2)  Notwithstanding  any provision of law to the contrary, where an
 application for the "enhanced" STAR exemption authorized by  subdivision
 four  of this section has not been filed on or before the taxable status
 date, and the owner believes that good cause existed for the failure  to
 file the application by that date, the owner may, no later than the last
 day  for  paying  school  taxes  without  incurring interest or penalty,
 submit a written request to the commissioner asking him or her to extend
 the filing deadline and grant the exemption. Such request shall  contain
 an  explanation of why the deadline was missed, and shall be accompanied
 by an application,  reflecting  the  facts  and  circumstances  as  they
 existed  on the taxable status date. After consulting with the assessor,
 the commissioner may extend the filing deadline and grant the  exemption
 if  the  commissioner  is  satisfied that (i) good cause existed for the
 S. 8009--A                         64                         A. 9009--A
 
 failure to file the application by the taxable  status  date,  and  that
 (ii)  the  applicant is otherwise entitled to the exemption. The commis-
 sioner shall mail notice of his or her determination to such  owner  and
 the  assessor.  If  the  determination  states that the commissioner has
 granted the exemption, the assessor shall thereupon  be  authorized  and
 directed  to  correct  the  assessment  roll accordingly, or, if another
 person has custody or control of the assessment  roll,  to  direct  that
 person  to  make  the appropriate corrections. [If the correction is not
 made before school taxes are levied,  the  school  district  authorities
 shall  be  authorized  and directed to take account of the fact that the
 commissioner has granted the exemption by correcting the applicant's tax
 bill and/or issuing a refund accordingly] PROVIDED, HOWEVER, THAT IF THE
 ASSESSMENT ROLL CANNOT BE CORRECTED IN TIME FOR THE EXEMPTION TO  APPEAR
 ON THE APPLICANT'S SCHOOL TAX BILL, THE COMMISSIONER SHALL BE AUTHORIZED
 TO  REMIT  DIRECTLY  TO  THE  APPLICANT  THE  TAX  SAVINGS THAT THE STAR
 EXEMPTION WOULD HAVE YIELDED IF IT HAD APPEARED ON THE  APPLICANT'S  TAX
 BILL.  THE AMOUNTS SO PAYABLE SHALL BE PAID FROM THE ACCOUNT ESTABLISHED
 FOR THE PAYMENT OF STAR BENEFITS TO LATE REGISTRANTS PURSUANT TO SUBPAR-
 AGRAPH (III) OF PARAGRAPH (A) OF SUBDIVISION FOURTEEN OF THIS SECTION.
   § 2. This act shall take effect immediately.
 
                                 SUBPART B
 
   Section 1. Subparagraph (i) of paragraph  (c)  of  subdivision  17  of
 section  425 of the real property tax law, as added by section 2 of part
 G of chapter 39 of the laws of 2019, is amended to read as follows:
   (i) A STAR credit switch may be deferred if the  application  for  the
 credit  is  submitted  after a cutoff date set by the commissioner. When
 setting a cutoff date, the commissioner shall take into account the time
 required to ensure that the STAR exemptions of all  STAR  credit  appli-
 cants  in the assessing unit will be removed before school tax bills are
 prepared. The commissioner shall specify  the  applicable  cutoff  dates
 after  taking  into  account  local  assessment calendars, provided that
 different cutoff dates may be  set  for  municipalities  with  different
 assessment calendars, and provided further that any such cutoff date may
 be  no earlier than the [fifteenth] FORTY-FIFTH day prior to the date on
 which the applicable final assessment roll is  required  by  law  to  be
 completed and filed.
   § 2. This act shall take effect immediately.
 
                                 SUBPART C

   Section  1.  Subparagraph  (A)  of  paragraph 3 of subsection (eee) of
 section 606 of the tax law, as amended by section 2 of part RR of  chap-
 ter 59 of the laws of 2019, is amended to read as follows:
   (A)  Beginning  with taxable years after two thousand fifteen, a basic
 STAR credit shall be available to a qualified taxpayer if the affiliated
 income of the parcel that serves as the taxpayer's primary residence  is
 less  than  or equal to five hundred thousand dollars FOR THE APPLICABLE
 INCOME TAX YEAR SPECIFIED BY PARAGRAPH (B-1)  OF  SUBDIVISION  THREE  OF
 SECTION  FOUR  HUNDRED  TWENTY-FIVE  OF  THE REAL PROPERTY TAX LAW.  The
 income limit established for the basic STAR exemption by paragraph (b-1)
 of subdivision three of section four hundred  twenty-five  of  the  real
 property tax law shall not be taken into account when determining eligi-
 bility for the basic STAR credit.
   § 2. This act shall take effect immediately.
 S. 8009--A                         65                         A. 9009--A
 
                                 SUBPART D
 
   Section  1.  Subparagraph  (B)  of  paragraph 7 of subsection (eee) of
 section 606 of the tax law, as amended by section 7 of part E of chapter
 59 of the laws of 2018, is amended to read as follows:
   (B) Notwithstanding any provision of law to the  contrary,  the  names
 and  addresses  of individuals who have applied for or are receiving the
 credit authorized by this subsection  may  be  disclosed  to  assessors,
 county  directors  of  real  property  tax  services,  and municipal tax
 collecting officers WITHIN NEW YORK STATE. In addition, [where an agree-
 ment is in place between the  commissioner  and  the  head  of  the  tax
 department  of  another state, such information may be disclosed to such
 official or his or her designees] SUCH INFORMATION MAY BE EXCHANGED WITH
 ASSESSORS AND TAX OFFICIALS FROM JURISDICTIONS OUTSIDE NEW YORK STATE IF
 THE LAWS OF THE OTHER JURISDICTION ALLOW IT TO PROVIDE SIMILAR  INFORMA-
 TION  TO  THIS  STATE. Such information shall be considered confidential
 and shall not be subject to further disclosure pursuant to  the  freedom
 of information law or otherwise.
   § 2. This act shall take effect immediately.
 
                                 SUBPART E
 
   Section 1. Subsection (c) of section 651 of the tax law, as amended by
 section  3  of  part QQ of chapter 59 of the laws of 2019, is amended to
 read as follows:
   (c) Decedents. The return for any deceased individual  shall  be  made
 and  filed  by  [his]  THE  DECEDENT'S executor, administrator, or other
 person charged with [his] THE DECEDENT'S property. If a final return  of
 a  decedent  is  for  a  fractional part of a year, the due date of such
 return shall be the fifteenth day of  the  fourth  month  following  the
 close  of the twelve-month period which began with the first day of such
 fractional part of the year. Notwithstanding any provision of law to the
 contrary, when a return has been filed for a decedent, the  commissioner
 may  disclose the decedent's name, address, and the date of death to the
 director of real property tax services of the county AND THE ASSESSOR OF
 THE ASSESSING UNIT in which the  address  reported  on  such  return  is
 located.
   §  2. Paragraph (a) of subdivision 1 of section 1125 of the real prop-
 erty tax law, as amended by chapter 415 of the laws of 2006, is  amended
 to read as follows:
   (a)  Parties  entitled  to  notice.  The enforcing officer shall on or
 before the date of the first publication of the notice above  set  forth
 cause a notice to be mailed to (i) each owner and any other person whose
 right,  title,  or interest was a matter of public record as of the date
 the list of delinquent taxes was filed, which right, title  or  interest
 will  be affected by the termination of the redemption period, and whose
 name and address are reasonably ascertainable from  the  public  record,
 including  the records in the offices of the surrogate of the county, or
 from material submitted to the enforcing officer pursuant  to  paragraph
 (d)  of this subdivision, (ii) any other person who has filed a declara-
 tion of interest pursuant to section eleven hundred twenty-six  of  this
 title  which has not expired, [and] (iii) WHERE A POSTHUMOUS DECLARATION
 OF INTEREST HAS BEEN FILED PURSUANT TO SECTION  ELEVEN  HUNDRED  TWENTY-
 SIX-A  OF  THIS  TITLE, THE PERSON SPECIFIED THEREON AS THE PERSON TO BE
 INFORMED WHEN TAXES ARE OWED ON THE PROPERTY,  AND  (IV)  the  enforcing
 officer  of any other tax district having a right to enforce the payment
 S. 8009--A                         66                         A. 9009--A
 
 of a tax imposed upon any of the parcels described upon  such  petition.
 NOTHING  CONTAINED HEREIN SHALL BE CONSTRUED AS MAKING ANY SUCH PERSON A
 PARTY TO THE PROCEEDING OR AS MAKING ANY SUCH PERSON  PERSONALLY  LIABLE
 FOR THE TAXES OR OTHER LEGAL CHARGES DUE THEREON.
   §  3.  The  real  property  tax law is amended by adding a new section
 1126-a to read as follows:
   §  1126-A. POSTHUMOUS DECLARATION OF INTEREST. 1. UPON THE DEATH OF AN
 OWNER OF REAL PROPERTY, A  PERSONAL  REPRESENTATIVE  OF  THE  DECEDENT'S
 ESTATE  OR A SUCCESSOR IN INTEREST OF THE DECEDENT MAY FILE A POSTHUMOUS
 DECLARATION OF INTEREST WITH THE ENFORCING OFFICER ON A FORM  PRESCRIBED
 BY  THE  COMMISSIONER.  SUCH  POSTHUMOUS  DECLARATION  SHALL PROVIDE THE
 DECEDENT'S NAME AND DATE OF DEATH, A DESCRIPTION  OF  THE  PROPERTY  THE
 DECEDENT  HAD OWNED, AND THE NAME AND ADDRESS OF A PERSON TO BE INFORMED
 WHEN TAXES ARE OWED ON THAT PROPERTY. THEREAFTER,  IN  ADDITION  TO  ANY
 OTHER  NOTIFICATION  REQUIREMENTS  THAT MAY APPLY, THE ENFORCING OFFICER
 SHALL CAUSE ANY NOTICES REQUIRED BY THIS ARTICLE TO BE  MAILED  TO  SUCH
 PERSON  AT THE ADDRESS SO PROVIDED UNTIL SUCH TIME AS THE ACQUISITION OF
 TITLE BY THE DECEDENT'S SUCCESSOR OR SUCCESSORS IN INTEREST HAS BECOME A
 MATTER OF PUBLIC RECORD, OR THE DECLARATION IS REVOKED OR MODIFIED.  THE
 ENFORCING  OFFICER  SHALL PROVIDE COPIES OF ANY DECLARATIONS SO FILED TO
 THE ASSESSOR, TAX COLLECTING OFFICER AND COUNTY DIRECTOR OF REAL PROPER-
 TY TAX SERVICES WITHIN FIFTEEN DAYS OF RECEIPT, OR AS SOON THEREAFTER AS
 IS PRACTICABLE.
   2. IF NO POSTHUMOUS DECLARATION OF INTEREST HAS BEEN FILED,  A  DELIN-
 QUENT  TAX  LIEN  MAY  BE FORECLOSED BY A PROCEEDING IN REM AS OTHERWISE
 PROVIDED BY THIS ARTICLE, NOTWITHSTANDING THE  FACT  THAT  THE  PROPERTY
 OWNER  HAS  DIED.  IN  SUCH  CASES,  THE  ENFORCING OFFICER SHALL NOT BE
 OBLIGED TO OBTAIN IN PERSONAM JURISDICTION  OVER  A  PERSONAL  REPRESEN-
 TATIVE  OF  THE  DECEDENT'S  ESTATE;  PROVIDED,  HOWEVER,  THAT  NOTHING
 CONTAINED HEREIN SHALL BE CONSTRUED TO RELIEVE THE ENFORCING OFFICER  OF
 THE  OBLIGATION  TO  CAUSE  A  NOTICE  TO BE MAILED TO ANY PERSONS WHOSE
 INTERESTS IN THE PROPERTY ARE REASONABLY ASCERTAINABLE FROM THE  RECORDS
 OF THE SURROGATE OF THE COUNTY, AS PROVIDED BY SUBPARAGRAPH (I) OF PARA-
 GRAPH  (A)  OF  SUBDIVISION ONE OF SECTION ELEVEN HUNDRED TWENTY-FIVE OF
 THIS TITLE.
   § 4. This act shall take effect immediately.
   § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
 sion, section or subpart contained in any part  of  this  act  shall  be
 adjudged  by  any  court  of  competent jurisdiction to be invalid, such
 judgment shall not affect, impair, or invalidate the remainder  thereof,
 but  shall  be  confined in its operation to the clause, sentence, para-
 graph, subdivision, section or subpart contained  in  any  part  thereof
 directly  involved  in the controversy in which such judgment shall have
 been rendered. It is hereby declared to be the intent of the legislature
 that this act would have been enacted even if  such  invalid  provisions
 had not been included herein.
   §  3.  This act shall take effect immediately, provided, however, that
 the applicable effective date of Subparts A through E of this act  shall
 be as specifically set forth in the last section of such Subparts.
 
                                  PART AA
 
   Section  1.  Section  575-b of the real property tax law is amended by
 adding a new subdivision 4 to read as follows:
 S. 8009--A                         67                         A. 9009--A
 
   4. COMPLAINTS  WITH  RESPECT  TO  ASSESSMENTS  DETERMINED  UNDER  THIS
 SECTION  SHALL  BE  GOVERNED  BY  SECTIONS  FIVE HUNDRED TWELVE AND FIVE
 HUNDRED TWENTY-FOUR OF THIS ARTICLE AND THE FOLLOWING PROVISIONS:
   (A)  THE  ASSESSOR  SHALL,  UPON  REQUEST,  PROVIDE THE OWNER WITH THE
 INPUTS THAT HE OR SHE ENTERED INTO THE  COMMISSIONER'S  APPRAISAL  MODEL
 WHEN VALUING THE PROPERTY PURSUANT TO THIS SECTION.
   (B)  THE  PROPERTY OWNER MAY ADVISE THE ASSESSOR OF ANY ALLEGED ERRORS
 TO THE APPRAISAL MODEL INPUTS BELIEVED TO HAVE BEEN MADE BY  THE  ASSES-
 SOR,  AND  MAY  PROVIDE  INFORMATION  TO  THE ASSESSOR IN SUPPORT OF ANY
 PROPOSED CHANGE TO THOSE INPUTS.
   (C) IF THE PROPERTY OWNER PROVIDES SUCH INFORMATION  TO  THE  ASSESSOR
 PRIOR  TO  THE FILING OF THE TENTATIVE ASSESSMENT ROLL, THE ASSESSOR MAY
 MAKE SUCH ADJUSTMENTS TO THE APPRAISAL MODEL INPUTS AS HE OR  SHE  DEEMS
 WARRANTED BASED UPON THE INFORMATION PROVIDED BY THE PROPERTY OWNER, AND
 MAY  RECALCULATE THE PROPERTY VALUE BY ENTERING THE ADJUSTED INPUTS INTO
 THE APPRAISAL MODEL.
   (D) IF DISSATISFIED WITH THE ASSESSED VALUE APPEARING ON THE TENTATIVE
 ASSESSMENT ROLL, THE PROPERTY OWNER MAY FILE A COMPLAINT WITH THE  BOARD
 OF  ASSESSMENT REVIEW; PROVIDED, HOWEVER, THAT THE GROUNDS FOR REVIEW OF
 AN ASSESSMENT DETERMINED UNDER THIS SECTION WITH RESPECT TO BOTH ARTICLE
 FIVE AND ARTICLE SEVEN OF THIS CHAPTER SHALL BE LIMITED TO THE  ACCURACY
 OF THE APPRAISAL MODEL INPUTS MADE BY THE ASSESSOR.
   (E) ACTIONS OR PROCEEDINGS THAT CHALLENGE THE VALIDITY AND ACCURACY OF
 THE APPRAISAL MODEL OR DISCOUNT RATES ESTABLISHED UNDER THIS SECTION MAY
 NOT  BE  COMMENCED  AGAINST ASSESSING UNITS. SUCH CHALLENGES MAY ONLY BE
 BROUGHT BY COMMENCING AN ACTION AGAINST THE COMMISSIONER  IN  THE  THIRD
 DEPARTMENT  OF THE APPELLATE DIVISION OF THE SUPREME COURT IN THE MANNER
 PROVIDED BY ARTICLE SEVENTY-EIGHT OF THE CIVIL PRACTICE LAW AND RULES.
   § 2. This act shall take effect immediately.
 
                                  PART BB
 
   Section 1. The subsection heading and paragraphs 1, 2,  3,  and  4  of
 subsection (n-1) of section 606 of the tax law, as added by subpart B of
 part  C  of  chapter  20  of  the laws of 2015, the opening paragraph of
 subparagraph (a) of paragraph 2 as amended by section 7  of  part  A  of
 chapter 60 of the laws of 2016, are amended to read as follows:
   [Property  tax  relief] HOMEOWNER TAX REBATE credit. (1) An individual
 taxpayer who meets the eligibility standards in paragraph  two  of  this
 subsection  shall  be allowed a credit against the taxes imposed by this
 article in the amount specified in paragraph three  of  this  subsection
 for  tax  [years two thousand sixteen, two thousand seventeen, two thou-
 sand eighteen, and two thousand nineteen] YEAR TWO THOUSAND TWENTY-TWO.
   (2) (a) To be eligible for the  credit,  the  taxpayer  (or  taxpayers
 filing  joint  returns)  on the personal income tax return filed for the
 taxable year two years prior, must have (i) been a resident, (ii)  owned
 and  primarily  resided  in  real  property  receiving  either  the STAR
 exemption authorized by section four hundred  twenty-five  of  the  real
 property  tax  law  or  the  school  tax  relief  credit  authorized  by
 subsection (eee) of this section, and (iii) had qualified  gross  income
 no  greater  than  two  hundred  [seventy-five]  FIFTY thousand dollars.
 [Provided, however, that no credit  shall  be  allowed  if  any  of  the
 following apply:
   (i) Such property is located in an independent school district that is
 subject  to the provisions of section two thousand twenty-three-a of the
 education law and that has adopted a budget in excess of  the  tax  levy
 S. 8009--A                         68                         A. 9009--A

 limit  prescribed  by that section. To render its taxpayers eligible for
 the credit authorized by  this  subsection,  the  school  district  must
 certify its compliance with such tax levy limit in the manner prescribed
 by  subdivision two of section two thousand twenty-three-b of the educa-
 tion law.
   (ii) Such property is located  in  a  city  with  a  dependent  school
 district  that  is  subject  to the provisions of section three-c of the
 general municipal law and that has adopted a budget in excess of the tax
 levy limit prescribed by that section. To render its taxpayers  eligible
 for  the credit authorized by this subsection, the city must certify its
 compliance with such tax levy limit in the manner prescribed by subdivi-
 sion two of section three-d of the general municipal law.
   (iii) Such property is located in the city of New York.]
   (3) Amount of credit. (a) [For the two thousand sixteen  taxable  year
 (i)  for  a taxpayer residing in real property located within the metro-
 politan commuter transportation district (MCTD) and outside the city  of
 New  York,  the  amount of the credit shall be $130; (ii) for a taxpayer
 residing in real property located outside the MCTD, the  amount  of  the
 credit shall be $185.
   (b)  For  the  two  thousand  seventeen, two thousand eighteen and two
 thousand nineteen taxable years (i)] For a taxpayer who owned and prima-
 rily resided in real property receiving the basic STAR exemption OR  WHO
 RECEIVED THE BASIC STAR CREDIT, the amount of the credit shall equal the
 STAR  tax  savings  associated with such basic STAR exemption IN THE TWO
 THOUSAND TWENTY-ONE--TWO THOUSAND TWENTY-TWO SCHOOL YEAR, multiplied  by
 the following percentage:
   [(A) for the two thousand seventeen taxable year:
 Qualified Gross Income                  Percentage
 Not over $75,000                        28%
 Over $75,000 but not over $150,000      20.5%
 Over $150,000 but not over $200,000     13%
 Over $200,000 but not over $275,000     5.5%
 Over $275,000                           No credit
   (B) for the two thousand eighteen taxable year:
 Qualified Gross Income                  Percentage
 Not over $75,000                        60%
 Over $75,000 but not over $150,000      42.5%
 Over $150,000 but not over $200,000     25%
 Over $200,000 but not over $275,000     7.5%
 Over $275,000                           No credit
   (C) for the two thousand nineteen taxable year:]
   (I) FOR A TAXPAYER WHOSE PRIMARY RESIDENCE IS LOCATED OUTSIDE THE CITY
 OF NEW YORK:
 Qualified Gross Income                  Percentage
 Not over $75,000                        [85%] 163%
 Over $75,000 but not over $150,000      [60%] 115%
 Over $150,000 but not over $200,000     [35%] 66%
 Over $200,000 but not over              [10%] 18%
 [$275,000] $250,000
 Over [$275,000] $250,000                No credit
   (II) FOR A TAXPAYER WHOSE PRIMARY RESIDENCE IS LOCATED WITHIN THE CITY
 OF NEW YORK:
 QUALIFIED GROSS INCOME                  PERCENTAGE
 NOT OVER $75,000                        125%
 OVER $75,000 BUT NOT OVER $150,000      115%
 OVER $150,000 BUT NOT OVER $200,000     105%
 S. 8009--A                         69                         A. 9009--A
 
 OVER $200,000 BUT NOT OVER $250,000     100%
 OVER $250,000                           NO CREDIT
   [(c)] (B) For a taxpayer who owned and primarily resided in real prop-
 erty  receiving the enhanced STAR exemption OR WHO RECEIVED THE ENHANCED
 STAR CREDIT, the amount of the credit shall equal the STAR  tax  savings
 associated  with  such enhanced STAR exemption IN THE TWO THOUSAND TWEN-
 TY-ONE--TWO THOUSAND TWENTY-TWO SCHOOL YEAR, multiplied by [the  follow-
 ing percentage:
 Taxable Year                            Percentage
 two thousand seventeen                  12%
 two thousand eighteen                   26%
 two thousand nineteen                   34%]
 SIXTY-SIX PERCENT IF THE TAXPAYER'S PRIMARY RESIDENCE IS LOCATED OUTSIDE
 THE  CITY  OF  NEW  YORK,  OR  ONE HUNDRED TEN PERCENT IF THE TAXPAYER'S
 PRIMARY RESIDENCE IS LOCATED WITHIN THE CITY OF NEW YORK.
   [(d)] (C) In no case may the amount of the credit allowed  under  this
 subsection  exceed  the  school  district  taxes due with respect to the
 residence for that school year, NOR SHALL ANY CREDIT  BE  ALLOWED  UNDER
 THIS  SUBSECTION  IF THE AMOUNT DETERMINED PURSUANT TO THIS PARAGRAPH IS
 LESS THAN ONE HUNDRED DOLLARS.
   (4) For purposes of this subsection:
   (a) "Qualified gross income" means the adjusted gross  income  of  the
 qualified  taxpayer  for the taxable year as reported for federal income
 tax purposes, or which would be reported as adjusted gross income  if  a
 federal income tax return were required to be filed. In computing quali-
 fied  gross  income, the net amount of loss reported on Federal Schedule
 C, D, E, or F shall not exceed three thousand dollars per  schedule.  In
 addition,  the  net  amount of any other separate category of loss shall
 not exceed three thousand dollars. The aggregate amount  of  all  losses
 included  in  computing  qualified gross income shall not exceed fifteen
 thousand dollars.
   (b) "STAR tax savings" means the tax savings attributable to the basic
 or enhanced STAR exemption, whichever is applicable, within a portion of
 a school district, as determined by the commissioner pursuant to  subdi-
 vision  two  of  section thirteen hundred six-a of the real property tax
 law.
   [(c) "Metropolitan commuter transportation district" or  "MCTD"  means
 the  metropolitan commuter transportation district as defined in section
 twelve hundred sixty-two of the public authorities law.]
   § 2. This act shall take effect immediately.
 
                                  PART CC
 
   Section 1.  The opening paragraph and subdivisions 1 and 2 of  section
 1306  of  the racing, pari-mutuel wagering and breeding law, the opening
 paragraph as amended by chapter 243 of the laws of 2020 and subdivisions
 1 and 2 as added by chapter 174 of the laws of 2013, are amended to read
 as follows:
   The New York  state  gaming  facility  location  board  shall  select,
 following  a competitive process and subject to the restrictions of this
 article, no more than [four] SEVEN entities to apply to  the  commission
 for  gaming  facility  licenses.  In exercising its authority, the board
 shall have all powers necessary or convenient to  fully  carry  out  and
 effectuate  its  purposes  including,  but not limited to, the following
 powers. The board shall:
 S. 8009--A                         70                         A. 9009--A
 
   1. issue a request for applications for zone ONE OR two gaming facili-
 ty licenses pursuant to section one thousand  three  hundred  twelve  OR
 SECTION ONE THOUSAND THREE HUNDRED TWENTY-ONE-B of this article;
   2.  assist  the  commission in prescribing the form of the application
 for zone ONE OR two gaming facility licenses including information to be
 furnished by an applicant concerning an applicant's antecedents, habits,
 character, associates, criminal record, business activities  and  finan-
 cial  affairs,  past  or  present pursuant to section one thousand three
 hundred thirteen OR SECTION ONE THOUSAND THREE HUNDRED  TWENTY-ONE-C  of
 this article;
   §  2. Subparagraph 2 of paragraph (a) of subdivision 2 of section 1310
 of the racing, pari-mutuel wagering and breeding law, as added by  chap-
 ter 174 of the laws of 2013, is amended to read as follows:
   (2)  Region  two  shall  consist of Bronx, Kings, New York, Queens and
 Richmond counties[. No gaming facility shall  be  authorized  in  region
 two]; and
   §  3.  The title heading of title 2 of article 13 of the racing, pari-
 mutuel wagering and breeding law, as added by chapter 174 of the laws of
 2013, is amended to read as follows:
       FACILITY DETERMINATION AND LICENSING: UPSTATE GAMING FACILITIES
   § 4. Section 1310 of title 2 of article 13 of the racing,  pari-mutuel
 wagering  and  breeding  law  is redesignated section 1310 of title 1 of
 such article.
   § 5. Subdivision 1 of section 1311 of the racing, pari-mutuel wagering
 and breeding law, as amended by chapter 175 of  the  laws  of  2013,  is
 amended to read as follows:
   1.  The  commission  is authorized to award up to four gaming facility
 licenses, in regions one, two and five of zone two. The duration of such
 initial license shall be ten years. The term of renewal shall be  deter-
 mined by the commission.  The commission may award a second license to a
 qualified  applicant  in no more than a single region. The commission is
 not empowered to award any license [in zone one.  No  gaming  facilities
 are  authorized]  NOR  ARE  ANY  GAMING FACILITIES AUTHORIZED under this
 [article] TITLE for the city of New York or any other  portion  of  zone
 one.
   As a condition of licensure, licensees are required to commence gaming
 operations  no  more than twenty-four months following license award. No
 additional licenses may be awarded during the twenty-four month  period,
 nor  for an additional sixty months following the end of the twenty-four
 month period. Should the state legislatively authorize additional gaming
 facility licenses within these periods, licensees shall have  the  right
 to  recover  the license fee paid pursuant to section one thousand three
 hundred six of this article.
   This right shall be incorporated into the license  itself,  vest  upon
 the  opening  of  a gaming facility in zone one or in the same region as
 the licensee and entitle the holder of such license to bring  an  action
 in  the  court  of  claims  to  recover the license fee paid pursuant to
 section one thousand three hundred fifteen of this  [article]  TITLE  in
 the  event  that  any  gaming  facility  license in excess of the number
 authorized by this section as of the effective date of this  section  is
 awarded within seven years from the date that the initial gaming facili-
 ty  license  is  awarded.    This right to recover any such fee shall be
 proportionate to the length of  the  respective  period  that  is  still
 remaining upon the vesting of such right.
   Additionally,  the  right to bring an action in the court of claims to
 recover the fee paid to the state on the twenty-fourth day of September,
 S. 8009--A                         71                         A. 9009--A
 
 two thousand ten, by the operator of a video lottery gaming facility  in
 a  city  of more than one million shall vest with such operator upon the
 opening of any gaming facility licensed by the commission  in  zone  one
 within  seven  years  from  the  date  that  the initial gaming facility
 license is awarded; provided however that the amount  recoverable  shall
 be limited to the pro rata amount of the time remaining until the end of
 the  seven  year exclusivity period, proportionate to the period of time
 between the date of opening of the  video  lottery  facility  until  the
 conclusion of the seven year period.
   2.  Notwithstanding  the foregoing, no casino gaming facility shall be
 authorized:
   (a) in the counties of Clinton, Essex, Franklin, Hamilton,  Jefferson,
 Lewis, Saint Lawrence and Warren;
   (b)  within  the  following area: (1) to the east, State Route 14 from
 Sodus Point to the Pennsylvania border with New York; (2) to the  north,
 the border between New York and Canada; (3) to the south, the Pennsylva-
 nia  border  with  New York; and (4) to the west, the border between New
 York and Canada and the border between Pennsylvania and New York; and
   (c) in the counties of Cayuga, Chenango,  Cortland,  Herkimer,  Lewis,
 Madison, Oneida, Onondaga, Oswego and Otsego.
   3. As a condition for continued licensure, licensees shall be required
 to  house  upon  the  physical premises of the licensed gaming facility,
 UPON REQUEST, a mobile sports wagering  platform  provider's  server  or
 other  equipment  used  for  receiving  mobile sports wagers pursuant to
 section [1367-a of the racing, pari-mutuel wagering  and  breeding  law]
 1367-A  OF  THIS  ARTICLE; provided however, that such licensee shall be
 entitled to the reasonable and actual costs, as determined by the gaming
 commission, of physically housing and  securing  such  server  or  other
 equipment  used  for  receiving  mobile sports wagers at such licensee's
 licensed gaming facility; and provided further, FOR THE DURATION OF  THE
 INITIAL  LICENSE  TERM,  [that as consideration for housing and securing
 such server at the physical premises of the licensed gaming facility,] a
 mobile sports wagering platform provider[s] shall pay [to such  licensed
 gaming  facility, five] TWO AND A HALF million dollars per year [for the
 duration of the time that such server is housed  and  operating  at  the
 physical  premises  of  such  licensed gaming facility] FROM  WHICH EACH
 GAMING FACILITY LICENSED UNDER TITLE TWO OF THIS ARTICLE  SHALL  RECEIVE
 FIVE MILLION DOLLARS PER YEAR.
   §  6.  The  opening  paragraph of subdivision 1 of section 1312 of the
 racing, pari-mutuel wagering and breeding law, as added by  chapter  174
 of the laws of 2013, is amended to read as follows:
   The  board  shall  issue  within  ninety days of a majority of members
 being appointed a request for applications for a gaming facility license
 in regions one, two and five in zone two; provided,  however,  that  the
 board  shall  not  issue any requests for applications for any region in
 zone one UNDER THIS TITLE; and further provided that the board shall not
 issue any requests for applications with respect to any gaming  facility
 subsequently  legislatively  authorized  until seven years following the
 commencement of gaming activities in zone two, UNLESS SUCH  REQUEST  FOR
 APPLICATION  WITH  RESPECT  TO ANY SUBSEQUENTLY LEGISLATIVELY AUTHORIZED
 GAMING FACILITY ADHERES TO THE PROCEDURE AS  DESCRIBED  IN  SECTION  ONE
 THOUSAND  THREE  HUNDRED ELEVEN OF THIS TITLE. All requests for applica-
 tions shall include:
   § 7. Article 13 of the racing, pari-mutuel wagering and  breeding  law
 is amended by adding a new title 2-A to read as follows:
 S. 8009--A                         72                         A. 9009--A
 
                                 TITLE 2-A
    FACILITY DETERMINATION AND LICENSING: ADDITIONAL GAMING FACILITIES
 SECTION 1321-A. LICENSE AUTHORIZATION; RESTRICTIONS.
         1321-B. REQUESTS FOR APPLICATIONS; REQUESTS FOR INFORMATION.
         1321-C. FORM OF APPLICATION.
         1321-D. LICENSE APPLICANT ELIGIBILITY.
         1321-E. REQUIRED CAPITAL INVESTMENT.
         1321-F. MINIMUM LICENSE THRESHOLDS.
         1321-G. INVESTIGATION OF LICENSE APPLICANTS.
         1321-H. DISQUALIFYING CRITERIA.
         1321-I. HEARINGS.
         1321-J. SITING EVALUATION.
   §  1321-A.  LICENSE  AUTHORIZATION; RESTRICTIONS. 1. THE COMMISSION IS
 AUTHORIZED TO AWARD UP TO THREE ADDITIONAL GAMING FACILITY LICENSES. THE
 DURATION OF SUCH INITIAL LICENSE AND THE TERM OF RENEWAL SHALL BE DETER-
 MINED BY THE COMMISSION.
   2. NOTWITHSTANDING THE FOREGOING, NO CASINO GAMING FACILITY  SHALL  BE
 AUTHORIZED:
   (A)  IN THE COUNTIES OF CLINTON, ESSEX, FRANKLIN, HAMILTON, JEFFERSON,
 LEWIS, SAINT LAWRENCE AND WARREN;
   (B) WITHIN THE FOLLOWING AREA: (1) TO THE EAST, STATE  ROUTE  14  FROM
 SODUS  POINT TO THE PENNSYLVANIA BORDER WITH NEW YORK; (2) TO THE NORTH,
 THE BORDER BETWEEN NEW YORK AND CANADA; (3) TO THE SOUTH, THE PENNSYLVA-
 NIA BORDER WITH NEW YORK; AND (4) TO THE WEST, THE  BORDER  BETWEEN  NEW
 YORK AND CANADA AND THE BORDER BETWEEN PENNSYLVANIA AND NEW YORK; AND
   (C)  IN  THE  COUNTIES OF CAYUGA, CHENANGO, CORTLAND, HERKIMER, LEWIS,
 MADISON, ONEIDA, ONONDAGA, OSWEGO AND OTSEGO.
   §  1321-B.  REQUESTS  FOR  APPLICATIONS;  REQUESTS  FOR   INFORMATION.
 REQUESTS  FOR  APPLICATIONS  SHALL  BE  HANDLED  IN  THE  SAME MANNER AS
 PROVIDED FOR IN SECTION THIRTEEN HUNDRED  TWELVE  OF  THIS  ARTICLE  FOR
 GAMING  LICENSES  AUTHORIZED  BUT NOT AWARDED, PROVIDED HOWEVER THAT ANY
 REQUESTS FOR APPLICATIONS FOR GAMING FACILITY  LICENSES  AUTHORIZED  BUT
 NOT  AWARDED  MAY  BE FOR GAMING FACILITY LICENSES IN ANY REGION IN ZONE
 ONE OR IN REGIONS ONE, TWO AND FIVE IN ZONE TWO.
   § 1321-C. FORM OF APPLICATION.  THE FORM OF THE APPLICATION  SHALL  BE
 THE  SAME AS ESTABLISHED UNDER SECTION THIRTEEN HUNDRED THIRTEEN OF THIS
 ARTICLE.
   § 1321-D. LICENSE APPLICANT ELIGIBILITY. 1. GAMING  FACILITY  LICENSES
 SHALL  ONLY BE ISSUED TO APPLICANTS WHO ARE QUALIFIED UNDER THE CRITERIA
 SET FORTH IN THIS ARTICLE, AS DETERMINED BY THE COMMISSION.
   2. AS A CONDITION OF FILING, EACH POTENTIAL LICENSE APPLICANT MUST:
   (A) DEMONSTRATE TO THE BOARD'S SATISFACTION  THAT  THE  APPLICANT  HAS
 CONSULTED  WITH LOCAL GOVERNMENTS AND CONSIDERED INPUT FROM THE COMMUNI-
 TY; AND
   (B) WAIVE ALL RIGHTS THEY  OR  ANY  AFFILIATED  ENTITY  POSSESS  UNDER
 SECTION  ONE  THOUSAND  THREE HUNDRED ELEVEN OF THIS ARTICLE TO BRING AN
 ACTION TO RECOVER A FEE.
   3. THE EXPIRATION OF THE SEVEN YEAR RESTRICTED PERIOD  FROM  THE  DATE
 THAT  AN INITIAL GAMING FACILITY LICENSE WAS AWARDED IS FEBRUARY TWENTY-
 EIGHTH, TWO THOUSAND TWENTY-THREE FOR THE THREE INITIAL CASINO  LICENSES
 AND  NOVEMBER  TWENTY-SECOND,  TWO  THOUSAND  TWENTY-THREE FOR THE FINAL
 CASINO LICENSE AWARDED.  SHOULD  AN  APPLICANT  OR  APPLICANTS  COMMENCE
 GAMING  ACTIVITIES  PRIOR  TO  SUCH  DATES, SUCH APPLICANT OR APPLICANTS
 SHALL BE JOINTLY AND SEVERALLY LIABLE FOR PAYMENT OF  THE  PROPORTIONATE
 FEE FOR THE RESPECTIVE PERIOD REMAINING AS REQUIRED BY SECTION ONE THOU-
 SAND THREE HUNDRED ELEVEN OF THIS ARTICLE.
 S. 8009--A                         73                         A. 9009--A
 
   §  1321-E.  REQUIRED  CAPITAL INVESTMENT. 1. THE BOARD SHALL ESTABLISH
 THE MINIMUM  CAPITAL  INVESTMENT  FOR  EACH  UNAWARDED  GAMING  FACILITY
 LICENSE.  SUCH  INVESTMENT  MAY INCLUDE, BUT NOT BE LIMITED TO, A CASINO
 AREA, HOTEL AND OTHER AMENITIES; AND PROVIDED FURTHER,  THAT  THE  BOARD
 SHALL  DETERMINE  WHETHER IT WILL INCLUDE THE PURCHASE OR LEASE PRICE OF
 THE LAND WHERE THE GAMING FACILITY WILL BE LOCATED OR ANY INFRASTRUCTURE
 DESIGNED TO SUPPORT THE SITE INCLUDING, BUT NOT  LIMITED  TO,  DRAINAGE,
 UTILITY SUPPORT, ROADWAYS, INTERCHANGES, FILL AND SOIL OR GROUNDWATER OR
 SURFACE WATER CONTAMINATION ISSUES. THE BOARD MAY CONSIDER PRIVATE CAPI-
 TAL  INVESTMENT  MADE  PREVIOUS TO THE EFFECTIVE DATE OF THIS TITLE, BUT
 MAY, IN ITS DISCRETION, DISCOUNT A PERCENTAGE OF  THE  INVESTMENT  MADE.
 UPON AWARD OF A GAMING LICENSE BY THE COMMISSION, THE APPLICANT SHALL BE
 REQUIRED  TO DEPOSIT TEN PERCENT OF THE TOTAL INVESTMENT PROPOSED IN THE
 APPLICATION INTO AN INTEREST-BEARING ACCOUNT. MONIES RECEIVED  FROM  THE
 APPLICANT SHALL BE HELD IN ESCROW UNTIL THE FINAL STAGE OF CONSTRUCTION,
 AS   DETAILED  IN  THE  TIMELINE  OF  CONSTRUCTION  SUBMITTED  WITH  THE
 LICENSEE'S APPLICATION AND APPROVED BY THE COMMISSION, AT WHICH TIME THE
 DEPOSIT PLUS INTEREST EARNED SHALL BE RETURNED TO THE  APPLICANT  TO  BE
 APPLIED  FOR THE FINAL STAGE. SHOULD THE APPLICANT BE UNABLE TO COMPLETE
 THE GAMING FACILITY, THE DEPOSIT SHALL BE FORFEITED  TO  THE  STATE.  IN
 PLACE  OF  A  CASH DEPOSIT, THE COMMISSION MAY ALLOW FOR AN APPLICANT TO
 SECURE A DEPOSIT BOND INSURING THAT TEN PERCENT OF THE PROPOSED  CAPITAL
 INVESTMENT SHALL BE FORFEITED TO THE STATE IF THE APPLICANT IS UNABLE TO
 COMPLETE THE GAMING FACILITY.
   2.  EACH  APPLICANT  SHALL SUBMIT ITS PROPOSED CAPITAL INVESTMENT WITH
 ITS APPLICATION TO THE BOARD WHICH SHALL INCLUDE STAGES OF  CONSTRUCTION
 OF  THE GAMING FACILITY AND THE DEADLINE BY WHICH THE STAGES AND OVERALL
 CONSTRUCTION AND ANY INFRASTRUCTURE IMPROVEMENTS WILL BE  COMPLETED.  IN
 AWARDING  A  LICENSE,  THE  COMMISSION  SHALL DETERMINE AT WHAT STAGE OF
 CONSTRUCTION A LICENSEE SHALL BE APPROVED TO OPEN FOR GAMING;  PROVIDED,
 HOWEVER,  THAT A LICENSEE SHALL NOT BE APPROVED TO OPEN FOR GAMING UNTIL
 THE COMMISSION HAS DETERMINED THAT AT LEAST THE GAMING  AREA  AND  OTHER
 ANCILLARY  ENTERTAINMENT  SERVICES AND NON-GAMING AMENITIES, AS REQUIRED
 BY THE BOARD, HAVE BEEN BUILT AND ARE OF A SUPERIOR QUALITY AS SET FORTH
 IN THE CONDITIONS OF LICENSURE.  THE  COMMISSION  SHALL  NOT  APPROVE  A
 GAMING  FACILITY  TO  OPEN BEFORE THE COMPLETION OF THE PERMANENT CASINO
 AREA.
   3. THE BOARD SHALL DETERMINE A LICENSING FEE TO BE PAID BY A  LICENSEE
 WITHIN  THIRTY DAYS AFTER THE AWARD OF THE LICENSE WHICH SHALL BE DEPOS-
 ITED INTO THE COMMERCIAL GAMING REVENUE  FUND.  THE  LICENSE  SHALL  SET
 FORTH  THE  CONDITIONS TO BE SATISFIED BY THE LICENSEE BEFORE THE GAMING
 FACILITY SHALL BE OPENED TO THE PUBLIC. THE  COMMISSION  SHALL  SET  ANY
 RENEWAL  FEE  FOR SUCH LICENSE BASED ON THE COST OF FEES ASSOCIATED WITH
 THE EVALUATION OF A LICENSEE UNDER THIS ARTICLE WHICH SHALL BE DEPOSITED
 INTO THE COMMERCIAL GAMING FUND.  SUCH RENEWAL FEE SHALL BE EXCLUSIVE OF
 ANY SUBSEQUENT LICENSING FEES UNDER THIS SECTION.
   4. THE COMMISSION SHALL DETERMINE THE SOURCES AND TOTAL AMOUNT  OF  AN
 APPLICANT'S  PROPOSED CAPITALIZATION TO DEVELOP, CONSTRUCT, MAINTAIN AND
 OPERATE A PROPOSED GAMING FACILITY UNDER THIS ARTICLE. UPON AWARD  OF  A
 GAMING  LICENSE, THE COMMISSION SHALL CONTINUE TO ASSESS THE CAPITALIZA-
 TION OF A LICENSEE FOR THE DURATION  OF  CONSTRUCTION  OF  THE  PROPOSED
 GAMING FACILITY AND THE TERM OF THE LICENSE.
   §  1321-F.  MINIMUM LICENSE THRESHOLDS.  THE MINIMUM LICENSING THRESH-
 OLDS SHALL BE THE SAME  AS  THOSE  ESTABLISHED  UNDER  SECTION  THIRTEEN
 HUNDRED SIXTEEN OF THIS ARTICLE.
 S. 8009--A                         74                         A. 9009--A
 
   §  1321-G.  INVESTIGATION  OF LICENSE APPLICANTS.  THE PROCESS USED TO
 INVESTIGATE LICENSE APPLICANTS SHALL BE  THE  SAME  PROCESS  ESTABLISHED
 UNDER SECTION THIRTEEN HUNDRED SEVENTEEN OF THIS ARTICLE.
   §  1321-H.  DISQUALIFYING CRITERIA.  THE CRITERIA TO DISQUALIFY APPLI-
 CANTS SHALL BE THE  SAME  CRITERIA  USED  FOR  UPSTATE  GAMING  FACILITY
 LICENSING,  WHICH ARE ENUMERATED IN SECTION THIRTEEN HUNDRED EIGHTEEN OF
 THIS ARTICLE.
   § 1321-I. HEARINGS.  THE PROCESS USED FOR HEARINGS SHALL BE  THE  SAME
 PROCESS  ESTABLISHED  UNDER  SECTION  THIRTEEN  HUNDRED NINETEEN OF THIS
 ARTICLE.
   § 1321-J. SITING EVALUATION. IN DETERMINING WHETHER AN APPLICANT SHALL
 BE ELIGIBLE FOR A GAMING FACILITY LICENSE, THE BOARD SHALL EVALUATE  HOW
 EACH APPLICANT PROPOSES TO ADVANCE THE FOLLOWING OBJECTIVES WITH CONSID-
 ERATION  GIVEN  TO  THE DIFFERENCES BETWEEN PROPOSED PROJECTS RELATED TO
 WHETHER IT IS A CONVERSION OF AN EXISTING VIDEO LOTTERY GAMING  FACILITY
 OR  NEW  FACILITY CONSTRUCTION, AND THE PROPOSED LOCATION.  THE DECISION
 BY THE BOARD TO SELECT A GAMING  FACILITY  LICENSE  APPLICANT  SHALL  BE
 DETERMINED  BASED  ON THE FOLLOWING FACTORS WHICH SHALL INCLUDE, BUT NOT
 BE LIMITED TO:
   (A) REALIZING MAXIMUM CAPITAL INVESTMENT EXCLUSIVE OF LAND ACQUISITION
 AND INFRASTRUCTURE IMPROVEMENTS;
   (B) MAXIMIZING REVENUES RECEIVED BY THE STATE AND LOCALITIES;
   (C) PROVIDING THE HIGHEST NUMBER OF QUALITY JOBS IN THE GAMING FACILI-
 TY;
   (D) BUILDING A GAMING FACILITY OF THE HIGHEST CALIBER WITH  A  VARIETY
 OF QUALITY AMENITIES TO BE INCLUDED AS PART OF THE GAMING FACILITY;
   (E)  OFFERING THE HIGHEST AND BEST VALUE TO PATRONS TO CREATE A SECURE
 AND ROBUST GAMING MARKET IN THE REGION AND THE STATE;
   (F) PROVIDING A MARKET ANALYSIS DETAILING THE  BENEFITS  OF  THE  SITE
 LOCATION  OF  THE  GAMING  FACILITY  AND THE ESTIMATED RECAPTURE RATE OF
 GAMING-RELATED SPENDING  BY  RESIDENTS  TRAVELLING  TO  AN  OUT-OF-STATE
 GAMING FACILITY;
   (G)  OFFERING  A  REASONABLE  AND  FEASIBLE  CONSTRUCTION  SCHEDULE TO
 COMPLETION OF THE FULL GAMING FACILITY;
   (H) DEMONSTRATING THE ABILITY TO FULLY FINANCE THE GAMING FACILITY;
   (I) DEMONSTRATING EXPERIENCE IN THE DEVELOPMENT  AND  OPERATION  OF  A
 QUALITY GAMING FACILITY;
   (J)  MITIGATING  POTENTIAL  IMPACTS  ON HOST AND NEARBY MUNICIPALITIES
 WHICH MIGHT RESULT FROM THE  DEVELOPMENT  OR  OPERATION  OF  THE  GAMING
 FACILITY;
   (K)  CAREFULLY CONSIDERING LOCAL VIEWS AND CONSULTING WITH APPROPRIATE
 LOCAL GOVERNMENTS;
   (L) OPERATING IN PARTNERSHIP WITH AND PROMOTING LOCAL HOTELS,  RESTAU-
 RANTS AND RETAIL FACILITIES SO THAT PATRONS EXPERIENCE THE FULL DIVERSI-
 FIED REGIONAL TOURISM INDUSTRY;
   (M)  ESTABLISHING  A  FAIR AND REASONABLE PARTNERSHIP WITH LIVE ENTER-
 TAINMENT VENUES THAT MAY BE IMPACTED BY A GAMING  FACILITY  UNDER  WHICH
 THE  GAMING  FACILITY ACTIVELY SUPPORTS THE MISSION AND THE OPERATION OF
 THE IMPACTED ENTERTAINMENT VENUES;
   (N) IMPLEMENTING A WORKFORCE DEVELOPMENT PLAN THAT UTILIZES THE EXIST-
 ING LABOR FORCE, INCLUDING THE ESTIMATED NUMBER OF CONSTRUCTION  JOBS  A
 PROPOSED  GAMING  FACILITY  WILL  GENERATE, THE DEVELOPMENT OF WORKFORCE
 TRAINING PROGRAMS THAT SERVE THE UNEMPLOYED AND  METHODS  FOR  ACCESSING
 EMPLOYMENT AT THE GAMING FACILITY;
 S. 8009--A                         75                         A. 9009--A
 
   (O)  TAKING ADDITIONAL MEASURES TO ADDRESS PROBLEM GAMBLING INCLUDING,
 BUT NOT LIMITED TO, TRAINING OF GAMING  EMPLOYEES  TO  IDENTIFY  PATRONS
 EXHIBITING PROBLEMS WITH GAMBLING;
   (P)  UTILIZING  SUSTAINABLE  DEVELOPMENT PRINCIPLES INCLUDING, BUT NOT
 LIMITED TO:
   (1) HAVING NEW AND RENOVATION CONSTRUCTION CERTIFIED UNDER THE  APPRO-
 PRIATE  CERTIFICATION  CATEGORY IN THE LEADERSHIP IN ENERGY AND ENVIRON-
 MENTAL DESIGN GREEN BUILDING RATING SYSTEM CREATED BY THE UNITED  STATES
 GREEN BUILDING COUNCIL;
   (2) EFFORTS TO MITIGATE VEHICLE TRIPS;
   (3) EFFORTS TO CONSERVE WATER AND MANAGE STORM WATER;
   (4)  DEMONSTRATING  THAT  ELECTRICAL AND HVAC EQUIPMENT AND APPLIANCES
 WILL BE ENERGY STAR LABELED WHERE AVAILABLE;
   (5) PROCURING OR GENERATING ON-SITE TEN PERCENT OF  ITS  ANNUAL  ELEC-
 TRICITY CONSUMPTION FROM RENEWABLE SOURCES; AND
   (6)  DEVELOPING  AN  ONGOING  PLAN  TO  SUBMETER AND MONITOR ALL MAJOR
 SOURCES OF ENERGY CONSUMPTION AND UNDERTAKE REGULAR EFFORTS TO  MAINTAIN
 AND IMPROVE ENERGY EFFICIENCY OF BUILDINGS IN THEIR SYSTEMS;
   (Q)  ESTABLISHING,  FUNDING  AND MAINTAINING HUMAN RESOURCE HIRING AND
 TRAINING PRACTICES THAT PROMOTE THE DEVELOPMENT OF A SKILLED AND DIVERSE
 WORKFORCE AND ACCESS TO  PROMOTION  OPPORTUNITIES  THROUGH  A  WORKFORCE
 TRAINING PROGRAM THAT:
   (1)  ESTABLISHES  TRANSPARENT  CAREER  PATHS  WITH MEASURABLE CRITERIA
 WITHIN THE GAMING FACILITY THAT LEAD  TO  INCREASED  RESPONSIBILITY  AND
 HIGHER  PAY GRADES THAT ARE DESIGNED TO ALLOW EMPLOYEES TO PURSUE CAREER
 ADVANCEMENT AND PROMOTION;
   (2) PROVIDES EMPLOYEE ACCESS TO ADDITIONAL RESOURCES, SUCH AS  TUITION
 REIMBURSEMENT  OR  STIPEND  POLICIES, TO ENABLE EMPLOYEES TO ACQUIRE THE
 EDUCATION OR JOB TRAINING  NEEDED  TO  ADVANCE  CAREER  PATHS  BASED  ON
 INCREASED RESPONSIBILITY AND PAY GRADES; AND
   (3) ESTABLISHES AN ON-SITE CHILD DAY CARE PROGRAM;
   (R)  PURCHASING,  WHENEVER  POSSIBLE,  DOMESTICALLY  MANUFACTURED SLOT
 MACHINES FOR INSTALLATION IN THE GAMING FACILITY;
   (S) IMPLEMENTING A WORKFORCE DEVELOPMENT PLAN THAT:
   (1) INCORPORATES AN AFFIRMATIVE ACTION PROGRAM OF EQUAL OPPORTUNITY BY
 WHICH THE APPLICANT GUARANTEES TO PROVIDE EQUAL EMPLOYMENT OPPORTUNITIES
 TO ALL EMPLOYEES QUALIFIED FOR LICENSURE IN ALL  EMPLOYMENT  CATEGORIES,
 INCLUDING PERSONS WITH DISABILITIES;
   (2) UTILIZES THE EXISTING LABOR FORCE IN THE STATE;
   (3)  ESTIMATES  THE NUMBER OF CONSTRUCTION JOBS A GAMING FACILITY WILL
 GENERATE AND PROVIDES  FOR  EQUAL  EMPLOYMENT  OPPORTUNITIES  AND  WHICH
 INCLUDES  SPECIFIC  GOALS  FOR  THE UTILIZATION OF MINORITIES, WOMEN AND
 VETERANS ON THOSE CONSTRUCTION JOBS;
   (4) IDENTIFIES WORKFORCE  TRAINING  PROGRAMS  OFFERED  BY  THE  GAMING
 FACILITY; AND
   (5)  IDENTIFIES  THE  METHODS  FOR  ACCESSING EMPLOYMENT AT THE GAMING
 FACILITY; AND
   (T) DEMONSTRATING THAT THE APPLICANT HAS AN AGREEMENT  WITH  ORGANIZED
 LABOR,  INCLUDING HOSPITALITY SERVICES, AND HAS THE SUPPORT OF ORGANIZED
 LABOR FOR ITS APPLICATION, WHICH SPECIFIES:
   (1) THE NUMBER OF EMPLOYEES TO BE EMPLOYED  AT  THE  GAMING  FACILITY,
 INCLUDING  DETAILED INFORMATION ON THE PAY RATE AND BENEFITS FOR EMPLOY-
 EES AND CONTRACTORS  IN  THE  GAMING  FACILITY  AND  ALL  INFRASTRUCTURE
 IMPROVEMENTS RELATED TO THE PROJECT; AND
 S. 8009--A                         76                         A. 9009--A
 
   (2) DETAILED PLANS FOR ASSURING LABOR HARMONY DURING ALL PHASES OF THE
 CONSTRUCTION,  RECONSTRUCTION,  RENOVATION, DEVELOPMENT AND OPERATION OF
 THE GAMING FACILITY.
   § 8. Section 1351 of the racing, pari-mutuel wagering and breeding law
 is amended by adding a new subdivision 1-a to read as follows:
   1-A.    FOR A GAMING FACILITY LICENSED PURSUANT TO TITLE TWO-A OF THIS
 ARTICLE, THERE IS HEREBY IMPOSED A TAX ON GROSS GAMING REVENUES WITH THE
 RATES TO BE DETERMINED BY THE GAMING COMMISSION PURSUANT  TO  A  COMPET-
 ITIVE BIDDING PROCESS AS OUTLINED IN TITLE TWO-A OF THIS ARTICLE.
   § 9. This act shall take effect immediately.
 
                                  PART DD
 
   Section  1.  Section  509-a  of  the  racing, pari-mutuel wagering and
 breeding law, as amended by section 1 of part LLL of chapter 59  of  the
 laws of 2021, is amended to read as follows:
   §  509-a.  Capital acquisition fund. 1. The corporation may create and
 establish a capital acquisition fund for the purpose  of  financing  the
 acquisition,  construction  or equipping of offices, facilities or prem-
 ises of the corporation. Such capital acquisition fund shall consist  of
 (i)  the  amounts  specified  pursuant to subdivision three-a of section
 five hundred thirty-two of this chapter; and (ii) contributions from the
 corporation's pari-mutuel wagering pools, subject to the following limi-
 tations:
   a. no contribution shall exceed the amount of one percent of the total
 pari-mutuel wagering pools for the quarter in which the contribution  is
 made;
   b.  no contribution shall reduce the amount of quarterly net revenues,
 exclusive of surcharge revenues, to an amount less than fifty percent of
 such net revenues; and
   c. the balance of the fund shall not exceed the lesser of one  percent
 of  total  pari-mutuel  wagering pools for the previous twelve months or
 the undepreciated value of the  corporation's  offices,  facilities  and
 premises.
   2.  A. Notwithstanding any other provision of law or regulation to the
 contrary, FROM APRIL NINETEENTH, TWO THOUSAND TWENTY-ONE TO MARCH  THIR-
 TY-FIRST,  TWO  THOUSAND  TWENTY-TWO, twenty-three percent of the funds,
 not to exceed two and one-half million dollars,  in  the  Catskill  off-
 track  betting  corporation's  capital acquisition fund and twenty-three
 percent of the funds, not to exceed four hundred forty thousand dollars,
 in the Capital off-track betting corporation's capital acquisition  fund
 established  pursuant  to  this  section shall also be available to such
 off-track betting corporation for the purposes of statutory obligations,
 payroll, and expenditures necessary to accept authorized wagers.
   B.  NOTWITHSTANDING ANY OTHER PROVISION OF LAW   OR   REGULATION    TO
 THE  CONTRARY,  FROM APRIL FIRST, TWO THOUSAND TWENTY-TWO TO MARCH THIR-
 TY-FIRST, TWO THOUSAND TWENTY-THREE, TWENTY-THREE PERCENT OF THE  FUNDS,
 NOT  TO  EXCEED  FOUR  HUNDRED FORTY THOUSAND DOLLARS,   IN  THE CAPITAL
 OFF-TRACK  BETTING  CORPORATION'S  CAPITAL ACQUISITION FUND  ESTABLISHED
 PURSUANT  TO    THIS  SECTION  SHALL ALSO BE AVAILABLE TO SUCH OFF-TRACK
 BETTING   CORPORATION    FOR  THE  PURPOSES  OF  STATUTORY  OBLIGATIONS,
 PAYROLL, AND EXPENDITURES NECESSARY TO ACCEPT AUTHORIZED WAGERS.
   3.  The  Catskill  off-track  betting corporation and the Capital off-
 track betting corporation shall make a report to the  governor,  speaker
 of  the  assembly,  temporary president of the senate and the commission
 detailing the actual use of the funds  made  available  in  the  capital
 S. 8009--A                         77                         A. 9009--A
 
 acquisition  fund. Such report shall include, but not be limited to, any
 impact on employment levels since utilizing the funds, the status of any
 statutory obligations, an accounting of the use of such funds,  and  any
 other  information  as  deemed  necessary by the commission. Such report
 shall be due no later than the [first day of April two thousand  twenty-
 two] LAST DAY OF THE FISCAL YEAR IN WHICH THE MONIES WERE SPENT.
   § 2.  Section 2 of part LLL of chapter 59 of the laws of 2021 amending
 the  racing, pari-mutuel   wagering   and  breeding law, relating to the
 utilization of funds in the Catskill and Capital    regions    off-track
 betting   corporation's  capital  acquisition  funds, is amended to read
 as follows:
   § 2. This act shall take effect immediately [and shall expire  and  be
 deemed repealed one year after such date].
   § 3. This act shall take effect immediately.
 
                                  PART EE
 
   Section  1.  Paragraph  (a)  of  subdivision  1 of section 1003 of the
 racing, pari-mutuel wagering and breeding law, as amended by  section  1
 of  part  DD  of  chapter  59 of the laws of 2021, is amended to read as
 follows:
   (a) Any  racing  association  or  corporation  or  regional  off-track
 betting  corporation,  authorized  to conduct pari-mutuel wagering under
 this chapter, desiring to display the simulcast of horse races on  which
 pari-mutuel  betting shall be permitted in the manner and subject to the
 conditions provided for in this article may apply to the commission  for
 a  license  so to do. Applications for licenses shall be in such form as
 may be prescribed by the commission and shall contain  such  information
 or  other material or evidence as the commission may require. No license
 shall be issued by the commission authorizing the simulcast transmission
 of thoroughbred races from a track located in Suffolk  county.  The  fee
 for  such  licenses shall be five hundred dollars per simulcast facility
 and for account wagering licensees that do not operate either  a  simul-
 cast facility that is open to the public within the state of New York or
 a  licensed racetrack within the state, twenty thousand dollars per year
 payable by the licensee to the commission for deposit into  the  general
 fund.  Except  as  provided  in  this  section, the commission shall not
 approve any application to conduct simulcasting into individual or group
 residences, homes or other areas for the purposes of  or  in  connection
 with  pari-mutuel wagering. The commission may approve simulcasting into
 residences, homes or other areas to be conducted jointly by one or  more
 regional  off-track  betting corporations and one or more of the follow-
 ing: a franchised corporation,  thoroughbred  racing  corporation  or  a
 harness racing corporation or association; provided (i) the simulcasting
 consists  only of those races on which pari-mutuel betting is authorized
 by this chapter at one or more simulcast  facilities  for  each  of  the
 contracting  off-track  betting  corporations which shall include wagers
 made in accordance with  section  one  thousand  fifteen,  one  thousand
 sixteen  and  one  thousand  seventeen of this article; provided further
 that the contract provisions or other simulcast  arrangements  for  such
 simulcast  facility  shall  be no less favorable than those in effect on
 January first, two thousand  five;  (ii)  that  each  off-track  betting
 corporation  having  within  its  geographic boundaries such residences,
 homes or other areas technically  capable  of  receiving  the  simulcast
 signal  shall be a contracting party; (iii) the distribution of revenues
 shall be subject to contractual agreement of  the  parties  except  that
 S. 8009--A                         78                         A. 9009--A
 
 statutory  payments  to  non-contracting  parties,  if  any,  may not be
 reduced; provided, however, that nothing herein to  the  contrary  shall
 prevent a track from televising its races on an irregular basis primari-
 ly for promotional or marketing purposes as found by the commission. For
 purposes of this paragraph, the provisions of section one thousand thir-
 teen  of  this  article  shall  not  apply. Any agreement authorizing an
 in-home simulcasting experiment commencing prior to May fifteenth, nine-
 teen hundred ninety-five, may, and all its terms, be extended until June
 thirtieth, two thousand [twenty-two]  TWENTY-THREE;  provided,  however,
 that  any  party to such agreement may elect to terminate such agreement
 upon conveying written notice to all other parties of such agreement  at
 least  forty-five  days  prior to the effective date of the termination,
 via registered mail. Any party to an agreement receiving such notice  of
 an  intent  to  terminate, may request the commission to mediate between
 the parties new terms and conditions in a replacement agreement  between
 the  parties  as will permit continuation of an in-home experiment until
 June thirtieth, two thousand  [twenty-two]  TWENTY-THREE;  and  (iv)  no
 in-home  simulcasting in the thoroughbred special betting district shall
 occur without the approval of the regional thoroughbred track.
   § 2. Subparagraph (iii) of paragraph d of  subdivision  3  of  section
 1007 of the racing, pari-mutuel wagering and breeding law, as amended by
 section  2  of  part DD of chapter 59 of the laws of 2021, is amended to
 read as follows:
   (iii) Of the sums retained by a receiving track located in Westchester
 county on races received from a franchised corporation, for  the  period
 commencing January first, two thousand eight and continuing through June
 thirtieth,  two  thousand  [twenty-two]  TWENTY-THREE,  the  amount used
 exclusively for purses to be awarded at races conducted by such  receiv-
 ing track shall be computed as follows: of the sums so retained, two and
 one-half  percent  of the total pools. Such amount shall be increased or
 decreased in the amount of fifty percent  of  the  difference  in  total
 commissions  determined  by  comparing  the  total commissions available
 after July twenty-first,  nineteen  hundred  ninety-five  to  the  total
 commissions  that  would have been available to such track prior to July
 twenty-first, nineteen hundred ninety-five.
   § 3. The opening paragraph of subdivision 1 of  section  1014  of  the
 racing,  pari-mutuel  wagering and breeding law, as amended by section 3
 of part DD of chapter 59 of the laws of 2021,  is  amended  to  read  as
 follows:
   The  provisions of this section shall govern the simulcasting of races
 conducted at thoroughbred tracks located in another state or country  on
 any day during which a franchised corporation is conducting a race meet-
 ing  in  Saratoga  county  at Saratoga thoroughbred racetrack until June
 thirtieth, two thousand [twenty-two] TWENTY-THREE and on any day regard-
 less of whether or not a franchised corporation  is  conducting  a  race
 meeting in Saratoga county at Saratoga thoroughbred racetrack after June
 thirtieth, two thousand [twenty-two] TWENTY-THREE. On any day on which a
 franchised  corporation  has  not  scheduled  a  racing  program  but  a
 thoroughbred racing corporation located within the state  is  conducting
 racing, each off-track betting corporation branch office and each simul-
 casting  facility licensed in accordance with section one thousand seven
 (that has entered into a written agreement with such  facility's  repre-
 sentative  horsemen's  organization, as approved by the commission), one
 thousand eight, or one thousand nine of this article shall be authorized
 to accept wagers and display the live simulcast signal from thoroughbred
 S. 8009--A                         79                         A. 9009--A
 
 tracks located in another  state  or  foreign  country  subject  to  the
 following provisions:
   § 4. Subdivision 1 of section 1015 of the racing, pari-mutuel wagering
 and  breeding  law,  as amended by section 4 of part DD of chapter 59 of
 the laws of 2021, is amended to read as follows:
   1. The provisions of this section shall  govern  the  simulcasting  of
 races  conducted  at  harness tracks located in another state or country
 during the period July first, nineteen hundred ninety-four through  June
 thirtieth,  two  thousand  [twenty-two] TWENTY-THREE. This section shall
 supersede all inconsistent provisions of this chapter.
   § 5. The opening paragraph of subdivision 1 of  section  1016  of  the
 racing,  pari-mutuel  wagering and breeding law, as amended by section 5
 of part DD of chapter 59 of the laws of 2021,  is  amended  to  read  as
 follows:
   The  provisions of this section shall govern the simulcasting of races
 conducted at thoroughbred tracks located in another state or country  on
 any  day  during which a franchised corporation is not conducting a race
 meeting in Saratoga county at Saratoga thoroughbred racetrack until June
 thirtieth, two thousand  [twenty-two]  TWENTY-THREE.    Every  off-track
 betting  corporation  branch  office  and  every  simulcasting  facility
 licensed in accordance with section one thousand seven that have entered
 into a written agreement with such facility's representative  horsemen's
 organization  as  approved  by the commission, one thousand eight or one
 thousand nine of this article shall be authorized to accept  wagers  and
 display  the  live  full-card  simulcast  signal  of thoroughbred tracks
 (which may include quarter horse or mixed  meetings  provided  that  all
 such wagering on such races shall be construed to be thoroughbred races)
 located  in  another  state or foreign country, subject to the following
 provisions; provided,  however,  no  such  written  agreement  shall  be
 required of a franchised corporation licensed in accordance with section
 one thousand seven of this article:
   §  6. The opening paragraph of section 1018 of the racing, pari-mutuel
 wagering and breeding law, as amended by section 6 of part DD of chapter
 59 of the laws of 2021, is amended to read as follows:
   Notwithstanding any other provision of this chapter,  for  the  period
 July  twenty-fifth, two thousand one through September eighth, two thou-
 sand [twenty-one] TWENTY-TWO, when a franchised corporation is  conduct-
 ing  a race meeting within the state at Saratoga Race Course, every off-
 track betting corporation branch office and every simulcasting  facility
 licensed in accordance with section one thousand seven (that has entered
 into  a written agreement with such facility's representative horsemen's
 organization as approved by the commission), one thousand eight  or  one
 thousand  nine  of this article shall be authorized to accept wagers and
 display the live simulcast signal from thoroughbred  tracks  located  in
 another  state, provided that such facility shall accept wagers on races
 run at all in-state thoroughbred  tracks  which  are  conducting  racing
 programs subject to the following provisions; provided, however, no such
 written agreement shall be required of a franchised corporation licensed
 in accordance with section one thousand seven of this article.
   §  7.  Section  32  of  chapter  281 of the laws of 1994, amending the
 racing, pari-mutuel wagering and breeding law and other laws relating to
 simulcasting, as amended by section 7 of part DD of chapter  59  of  the
 laws of 2021, is amended to read as follows:
   §  32.  This act shall take effect immediately and the pari-mutuel tax
 reductions in section six  of  this  act  shall  expire  and  be  deemed
 repealed  on  July  1,  [2022]  2023;  provided,  however,  that nothing
 S. 8009--A                         80                         A. 9009--A
 
 contained herein shall be deemed to affect the  application,  qualifica-
 tion,  expiration,  or  repeal  of  any  provision of law amended by any
 section of this act, and such provisions shall be applied  or  qualified
 or  shall  expire  or be deemed repealed in the same manner, to the same
 extent and on the same date as the case may be as otherwise provided  by
 law;  provided  further, however, that sections twenty-three and twenty-
 five of this act shall remain in full force and effect only until May 1,
 1997 and at such time shall be deemed to be repealed.
   § 8. Section 54 of chapter 346 of  the  laws  of  1990,  amending  the
 racing, pari-mutuel wagering and breeding law and other laws relating to
 simulcasting  and the imposition of certain taxes, as amended by section
 8 of part DD of chapter 59 of the laws of 2021, is amended  to  read  as
 follows:
   §  54.  This  act  shall  take  effect immediately; provided, however,
 sections three through twelve of this act shall take effect  on  January
 1, 1991, and section 1013 of the racing, pari-mutuel wagering and breed-
 ing  law, as added by section thirty-eight of this act, shall expire and
 be deemed repealed on July 1, [2022] 2023; and section eighteen of  this
 act  shall take effect on July 1, 2008 and sections fifty-one and fifty-
 two of this act shall take effect as of the same date as chapter 772  of
 the laws of 1989 took effect.
   §  9.  Paragraph  (a)  of  subdivision 1 of section 238 of the racing,
 pari-mutuel wagering and breeding law, as amended by section 9  of  part
 DD of chapter 59 of the laws of 2021, is amended to read as follows:
   (a)  The  franchised  corporation  authorized  under  this  chapter to
 conduct pari-mutuel betting at a race meeting or races run thereat shall
 distribute all sums deposited in any pari-mutuel pool to the holders  of
 winning tickets therein, provided such tickets are presented for payment
 before  April  first  of  the year following the year of their purchase,
 less an amount that shall be established and retained by such franchised
 corporation of between twelve to seventeen percent of the total deposits
 in pools resulting from on-track regular bets, and fourteen  to  twenty-
 one  percent  of  the  total  deposits  in pools resulting from on-track
 multiple bets and fifteen to twenty-five percent of the  total  deposits
 in  pools  resulting from on-track exotic bets and fifteen to thirty-six
 percent of the total deposits in pools  resulting  from  on-track  super
 exotic  bets,  plus  the breaks. The retention rate to be established is
 subject to the prior approval of the commission.
   Such rate may not be changed more than once per calendar quarter to be
 effective on the first day of the calendar quarter.  "Exotic  bets"  and
 "multiple  bets"  shall  have  the  meanings  set  forth in section five
 hundred nineteen of this chapter. "Super exotic  bets"  shall  have  the
 meaning  set  forth  in  section  three hundred one of this chapter. For
 purposes of this section, a "pick six bet" shall mean a  single  bet  or
 wager on the outcomes of six races. The breaks are hereby defined as the
 odd  cents over any multiple of five for payoffs greater than one dollar
 five cents but less than five dollars, over  any  multiple  of  ten  for
 payoffs  greater  than  five  dollars but less than twenty-five dollars,
 over any multiple of twenty-five for payoffs  greater  than  twenty-five
 dollars but less than two hundred fifty dollars, or over any multiple of
 fifty  for  payoffs over two hundred fifty dollars. Out of the amount so
 retained there shall be paid  by  such  franchised  corporation  to  the
 commissioner  of  taxation and finance, as a reasonable tax by the state
 for the privilege of conducting pari-mutuel betting on the races run  at
 the  race  meetings  held  by such franchised corporation, the following
 percentages of the total pool for regular and multiple bets five percent
 S. 8009--A                         81                         A. 9009--A
 
 of regular bets and four percent of multiple bets plus twenty percent of
 the breaks; for exotic wagers seven and  one-half  percent  plus  twenty
 percent  of  the  breaks,  and  for super exotic bets seven and one-half
 percent plus fifty percent of the breaks.
   For  the period April first, two thousand one through December thirty-
 first, two thousand [twenty-two] TWENTY-THREE, such tax  on  all  wagers
 shall  be  one and six-tenths percent, plus, in each such period, twenty
 percent of the breaks. Payment to the New York state thoroughbred breed-
 ing and development fund by such franchised corporation  shall  be  one-
 half  of one percent of total daily on-track pari-mutuel pools resulting
 from regular, multiple and exotic bets and three percent of super exotic
 bets and for the period April first, two thousand one  through  December
 thirty-first, two thousand [twenty-two] TWENTY-THREE, such payment shall
 be seven-tenths of one percent of regular, multiple and exotic pools.
   § 10. This act shall take effect immediately.
   § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
 sion,  section  or  part  of  this act shall be adjudged by any court of
 competent jurisdiction to be invalid, such judgment  shall  not  affect,
 impair,  or  invalidate  the remainder thereof, but shall be confined in
 its operation to the clause, sentence, paragraph,  subdivision,  section
 or part thereof directly involved in the controversy in which such judg-
 ment shall have been rendered. It is hereby declared to be the intent of
 the  legislature  that  this  act  would  have been enacted even if such
 invalid provisions had not been included herein.
   § 3. This act shall take effect immediately  provided,  however,  that
 the applicable effective date of Parts A through EE of this act shall be
 as specifically set forth in the last section of such Parts.

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
     S. 8009--C                                            A. 9009--C
 
                       S E N A T E - A S S E M B L Y
 
                             January 19, 2022
                                ___________
 
 IN  SENATE -- A BUDGET BILL, submitted by the Governor pursuant to arti-
   cle seven of the Constitution -- read twice and ordered  printed,  and
   when  printed to be committed to the Committee on Finance -- 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 -- committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to said committee
 
 IN ASSEMBLY -- A BUDGET BILL, submitted  by  the  Governor  pursuant  to
   article  seven  of  the  Constitution -- read once and referred to the
   Committee on Ways and Means --  committee  discharged,  bill  amended,
   ordered  reprinted  as  amended  and  recommitted to said committee --
   again reported from said committee with amendments, ordered  reprinted
   as  amended  and  recommitted to said committee -- again reported from
   said committee with  amendments,  ordered  reprinted  as  amended  and
   recommitted to said committee
 
 AN  ACT  to  amend  the tax law, in relation to accelerating the middle-
   class tax cut (Subpart A); and to amend the tax law,  in  relation  to
   alternative tax table benefit recapture for certain taxpayers (Subpart
   B)  (Part  A);  to  amend  the  tax  law,  in relation to providing an
   enhanced investment tax credit to farmers (Subpart A);  to  amend  the
   tax law and chapter 60 of the laws of 2016 amending the tax law relat-
   ing  to creating a farm workforce retention credit, in relation to the
   effectiveness of such credit (Subpart B); and to amend the tax law, in
   relation to establishing a farm employer overtime credit  (Subpart  C)
   (Part B); to amend the tax law and the administrative code of the city
   of  New  York, in relation to expanding the small business subtraction
   modification (Part C); to amend the tax law, in relation to  excluding
   certain  loan  forgiveness  awards  from state income tax (Part D); to
   amend the economic development law and the tax  law,  in  relation  to
   creating  the  COVID-19  capital costs tax credit program (Part E); to
   amend the tax law and the state finance law, in relation to  extending
   and  expanding the New York city musical and theatrical production tax
   credit and the purposes of the New York  state  council  on  the  arts
   cultural  programs  fund; and to amend subpart B of part PP of chapter
   59 of the laws of 2021 amending the tax law and the state finance  law
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                       [ ] is old law to be omitted.
                                                            LBD12674-05-2
 S. 8009--C                          2                         A. 9009--C
 
   relating  to  establishing  the  New  York city musical and theatrical
   production tax credit and establishing the New York state  council  on
   the arts cultural program fund, in relation to the effectiveness ther-
   eof (Part F); intentionally omitted (Part G); to amend the tax law, in
   relation to extending and modifying the hire a vet credit (Part H); to
   amend  the  tax  law, in relation to establishing a tax credit for the
   conversion from grade no. 6 heating oil usage to biodiesel heating oil
   and geothermal systems (Part I); to amend the public housing  law,  in
   relation  to  extending  the  credit against income tax for persons or
   entities investing in low-income housing (Part J); to  amend  the  tax
   law,  in relation to extending the clean heating fuel credit for three
   years (Part K); to amend chapter 604 of the laws of 2011 amending  the
   tax  law  relating to the credit for companies who provide transporta-
   tion to people with disabilities, in  relation  to  the  effectiveness
   thereof; and to amend the tax law, in relation to the application of a
   credit  for  companies  who provide transportation to individuals with
   disabilities (Part L); to amend the tax law, in relation to the empire
   state film production credit and the empire state film post production
   credit (Part M); to amend the labor law, in relation to extending  the
   New  York  youth  jobs program tax credit (Part N); to amend the labor
   law, in relation to extending  the  empire  state  apprenticeship  tax
   credit  program (Part O); to amend the tax law, in relation to extend-
   ing the alternative fuels and  electric  vehicle  recharging  property
   credit  (Part  P);  to amend the labor law, in relation to the program
   period for the workers with disabilities tax credit  program;  and  to
   amend part MM of chapter 59 of the laws of 2014 amending the labor law
   and the tax law relating to the creation of the workers with disabili-
   ties  tax  credit  program,  in  relation to the effectiveness thereof
   (Part Q); intentionally omitted (Part R); intentionally omitted  (Part
   S);  to amend the tax law, in relation to exempting certain fuels used
   by tugboats and towboats from the petroleum  business  tax  (Part  T);
   intentionally  omitted  (Part  U);  intentionally omitted (Part V); to
   amend the tax law, in relation to requiring publication of changes  in
   withholding  tables and interest rates (Part W); to amend the tax law,
   in relation to expanding the definition of financial institution under
   the financial institution data match program (Part X);  to  amend  the
   real  property tax law, in relation to the challenge of assessed value
   by  owners of local public utility mass real property;  and  to  amend
   chapter  475  of the laws of 2013, relating to assessment ceilings for
   local public utility mass real property, in relation to extending  the
   assessment  ceiling  for  local  public  utility mass real property to
   January 1, 2027 (Part Y); to amend  the  real  property  tax  law,  in
   relation  to  good  cause  refunds  for  the STAR program (Subpart A);
   intentionally omitted (Subpart B); to amend the tax law,  in  relation
   to clarifying the applicable income tax year for the basic STAR credit
   (Subpart  C);  to  amend the tax law, in relation to allowing names of
   STAR credit recipients to be shared with assessors outside of New York
   state (Subpart D); and to amend the tax law, in relation  to  allowing
   decedent  reports  to  be  given to assessors (Subpart E) (Part Z); to
   amend the real property tax law, in relation to the grievance  process
   with  respect  to the valuation of solar and wind energy systems (Part
   AA); to amend the tax law, in relation to establishing a homeowner tax
   rebate credit (Part BB); intentionally omitted (Part CC); to amend the
   racing, pari-mutuel  wagering  and  breeding law, in relation  to  the
   utilization  of  funds  in the Catskill and Capital  regions off-track
   betting corporation's capital acquisition funds; and to amend part LLL
 S. 8009--C                          3                         A. 9009--C
 
   of chapter 59 of the laws of 2021  amending  the  racing,  pari-mutuel
   wagering and breeding law, relating to the utilization of funds in the
   Catskill  and  Capital regions off-track betting corporation's capital
   acquisition funds, in relation to the effectiveness thereof (Part DD);
   to  amend  the  racing,  pari-mutuel  wagering  and  breeding  law, in
   relation to licenses for simulcast facilities, sums relating to  track
   simulcast,  simulcast of out-of-state thoroughbred races, simulcasting
   of races run by  out-of-state  harness  tracks  and  distributions  of
   wagers;  to amend chapter 281 of the laws of 1994 amending the racing,
   pari-mutuel wagering and breeding  law  and  other  laws  relating  to
   simulcasting;  to  amend  chapter 346 of the laws of 1990 amending the
   racing, pari-mutuel wagering and breeding law and other laws  relating
   to  simulcasting  and  the imposition of certain taxes, in relation to
   extending certain provisions thereof; and to amend the  racing,  pari-
   mutuel  wagering  and  breeding  law, in relation to extending certain
   provisions thereof (Part EE); to amend the tax  law,  in  relation  to
   establishing  a  credit  for  geothermal  energy systems (Part FF); to
   amend the tax law, in relation to extending sales  tax  exemption  for
   certain  food  and drink vending machines (Part GG); to amend the real
   property tax law, in relation to an abatement of real  property  taxes
   for  the  creation or expansion of childcare centers in certain build-
   ings in a city having a population of one million or more  (Part  HH);
   to  amend the administrative code of the city of New York, in relation
   to establishing a tax credit for child care against the unincorporated
   business tax, general corporation tax, and  the  business  corporation
   tax  of  2015  (Part  II); to amend the tax law and the administrative
   code of the city of New York, in relation to  the  earned  income  tax
   credit  (Part  JJ);  to amend the economic development law and the tax
   law, in relation to creating the additional restaurant  return-to-work
   credit (Part KK); clarifying for certain tax credit programs that work
   performed remotely within the state due to the outbreak of novel coro-
   navirus,  COVID-19,  qualifies  for  certain  tax credit programs; and
   providing for the repeal of such provisions  upon  expiration  thereof
   (Part  LL);  to  amend the tax law, in relation to pass-through entity
   tax for electing resident and standard S corporations (Subpart A); and
   to amend the tax law, the public authorities law, and the  administra-
   tive  code of the city of New York, in relation to establishing a city
   pass-through entity tax (Subpart B) (Part MM); to amend the  tax  law,
   in  relation  to  providing  a supplemental empire state child credit,
   earned income tax credit payment and enhanced earned income tax credit
   payment to resident taxpayers (Part NN); to amend the tax law and  the
   economic  development  law,  in relation to the creation of the empire
   state digital gaming media production credit (Part OO); to  amend  the
   tax  law, in relation to permitting deductions for commercial cannabis
   activity (Part PP); to amend  the  racing,  pari-mutuel  wagering  and
   breeding  law,  in relation to the New York Jockey Injury Compensation
   Fund, Inc. (Part QQ); and  to  amend  the  tax  law,  in  relation  to
   suspending  the excise tax, prepaid sales tax and state sales taxes on
   motor fuel and Diesel motor fuel, and authorizing localities to  elect
   a  cents-per-gallon  rate  of  tax on such fuels based on four dollars
   (Part RR)

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 S. 8009--C                          4                         A. 9009--C
 
   Section  1.  This  act enacts into law major components of legislation
 which are necessary to implement the state fiscal plan for the 2022-2023
 state fiscal year. Each component is  wholly  contained  within  a  Part
 identified as Parts A through RR. The effective date for each particular
 provision contained within such Part is set forth in the last section of
 such  Part.    Any  provision  in  any  section contained within a Part,
 including the effective date of the Part, which makes a reference  to  a
 section  "of  this  act",  when  used in connection with that particular
 component, shall be deemed  to  mean  and  refer  to  the  corresponding
 section of the Part in which it is found. Section three of this act sets
 forth the general effective date of this act.
 
                                  PART A
 
   Section  1.  This Part enacts into law major components of legislation
 accelerating middle class tax cuts and providing for an alternative  tax
 table  benefit recapture for certain taxpayers. Each component is wholly
 contained within a Subpart identified as Subparts A and B. The effective
 date for each particular provision contained within such Subpart is  set
 forth  in the last section of such Subpart. Any provision in any section
 contained within a Subpart, including the effective date of the Subpart,
 which makes  reference  to  a  section  of  "this  act",  when  used  in
 connection  with  that particular component, shall be deemed to mean and
 refer to the corresponding section of the Subpart in which it is  found.
 Section two this act sets forth the general effective date of this Part.
 
                                 SUBPART A
 
   Section 1. Clauses (vi), (vii), (viii) and (ix) of subparagraph (B) of
 paragraph  1  of  subsection  (a) of section 601 of the tax law, clauses
 (vi), (vii) and (viii) as amended and clause (ix) as added by section  1
 of  part  A  of  chapter  59 of the laws of 2021, are amended to read as
 follows:
   (vi) For taxable years beginning  in  two  thousand  twenty-three  AND
 BEFORE TWO THOUSAND TWENTY-EIGHT the following rates shall apply:
 [If the New York taxable income is:   The tax is:
 Not over $17,150                      4% of the New York taxable income
 Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
                                       $17,150
 Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
                                       $23,600
 Over $27,900 but not over $161,550    $1,202 plus 5.73% of excess over
                                       $27,900
 Over $161,550 but not over $323,200   $8,860 plus 6.17% of excess over
                                       $161,550
 Over $323,200 but not over            $18,834 plus 6.85% of
 $2,155,350                            excess over $323,200
 Over $2,155,350 but not over          $144,336 plus 9.65% of excess over
 $5,000,000                            $2,155,350
 Over $5,000,000 but not over          $418,845 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,478,845 plus 10.90% of excess over
                                       $25,000,000
   (vii)  For  taxable  years  beginning  in two thousand twenty-four the
 following rates shall apply:
 S. 8009--C                          5                         A. 9009--C

 If the New York taxable income is:    The tax is:
 Not over $17,150                      4% of the New York taxable income
 Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
                                       $17,150
 Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
                                       $23,600
 Over $27,900 but not over $161,550    $1,202 plus 5.61% of excess over
                                       $27,900
 Over $161,550 but not over $323,200   $8,700 plus 6.09% of excess over
                                       $161,550
 Over $323,200 but not over            $18,544 plus 6.85% of excess over
 $2,155,350                            $323,200
 Over $2,155,350 but not over          $144,047 plus 9.65% of excess over
 $5,000,000                            $2,155,350
 Over $5,000,000 but not over          $418,555 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,478,555 plus 10.90% of excess over
                                       $25,000,000
   (viii)  For taxable years beginning after two thousand twenty-four and
 before two thousand twenty-eight the following rates shall apply:]
 If the New York taxable income is:    The tax is:
 Not over $17,150                      4% of the New York taxable income
 Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
                                       $17,150
 Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
                                       $23,600
 Over $27,900 but not over $161,550    $1,202 plus 5.5% of excess over
                                       $27,900
 Over $161,550 but not over $323,200   $8,553 plus 6.00% of excess over
                                       $161,550
 Over $323,200 but not over            $18,252 plus 6.85% of excess over
 $2,155,350                            $323,200
 Over $2,155,350 but not over          $143,754 plus 9.65% of excess over
 $5,000,000                            $2,155,350
 Over $5,000,000 but not over          $418,263 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,478,263 plus 10.90% of excess over
                                       $25,000,000
 
   [(ix)](VII) For taxable years beginning after two thousand twenty-sev-
 en the following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $17,150                      4% of the New York taxable income
 Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
                                       $17,150
 Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
                                       $23,600
 Over $27,900 but not over $161,550    $1,202 plus 5.5% of excess over
                                       $27,900
 Over $161,550 but not over $323,200   $8,553 plus 6.00% of excess
                                       over $161,550
 Over $323,200 but not over            $18,252 plus 6.85% of excess
 $2,155,350                            over $323,200
 Over $2,155,350                       $143,754 plus  8.82% of excess
                                       over $2,155,350
 S. 8009--C                          6                         A. 9009--C
 
   § 2. Clauses (vi), (vii), (viii) and (ix) of subparagraph (B) of para-
 graph 1 of subsection (b) of section 601 of the tax law,  clauses  (vi),
 (vii)  and  (viii)  as  amended and clause (ix) as added by section 2 of
 part A of chapter 59 of the  laws  of  2021,  are  amended  to  read  as
 follows:
   (vi)  For  taxable  years  beginning  in two thousand twenty-three AND
 BEFORE TWO THOUSAND TWENTY-EIGHT the following rates shall apply:
 [If the New York taxable income is:   The tax is:
 Not over $12,800                      4% of the New York taxable income
 Over $12,800 but not over $17,650     $512 plus 4.5% of excess over
                                       $12,800
 Over $17,650 but not over $20,900     $730 plus 5.25% of excess over
                                       $17,650
 Over $20,900 but not over $107,650    $901 plus 5.73% of excess over
                                       $20,900
 Over $107,650 but not over $269,300   $5,872 plus 6.17% of excess over
                                       $107,650
 Over $269,300 but not over            $15,845 plus 6.85% of excess
 $1,616,450                            over $269,300
 Over $1,616,450 but not over          $108,125 plus 9.65% of excess over
 $5,000,000                            $1,616,450
 Over $5,000,000 but not over          $434,638 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,494,638 plus 10.90% of excess over
                                       $25,000,000
   (vii) For taxable years beginning  in  two  thousand  twenty-four  the
 following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $12,800                      4% of the New York taxable income
 Over $12,800 but not over $17,650     $512 plus 4.5% of excess over
                                       $12,800
 Over $17,650 but not over $20,900     $730 plus 5.25% of excess over
                                       $17,650
 Over $20,900 but not over $107,650    $901 plus 5.61% of excess over
                                       $20,900
 Over $107,650 but not over $269,300   $5,768 plus 6.09% of excess over
                                       $107,650
 Over $269,300 but not over            $15,612 plus 6.85% of excess
 $1,616,450                            over $269,300
 Over $1,616,450 but not over          $107,892 plus 9.65% of excess over
 $5,000,000                            $1,616,450
 Over $5,000,000 but not over          $434,404 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,494,404 plus 10.90% of excess over
                                       $25,000,000
   (viii)  For taxable years beginning after two thousand twenty-four and
 before two thousand twenty-eight the following rates shall apply:]
 If the New York taxable income is:    The tax is:
 Not over $12,800                      4% of the New York taxable income
 Over $12,800 but not over $17,650     $512 plus 4.5% of excess over
                                       $12,800
 Over $17,650 but not over $20,900     $730 plus 5.25% of excess over
                                       $17,650
 Over $20,900 but not over $107,650    $901 plus 5.5% of excess over
                                       $20,900
 Over $107,650 but not over $269,300   $5,672 plus 6.00% of excess over
 S. 8009--C                          7                         A. 9009--C
 
                                       $107,650
 Over $269,300 but not over            $15,371 plus 6.85% of excess over
 $1,616,450                            $269,300
 Over $1,616,450 but not over          $107,651 plus 9.65% of excess over
 $5,000,000                            $1,616,450
 Over $5,000,000 but not over          $434,163 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,494,163 plus 10.90% of excess over
                                       $25,000,000

   [(ix)](VII) For taxable years beginning after two thousand twenty-sev-
 en the following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $12,800                      4% of the New York taxable income
 Over $12,800 but not over             $512 plus 4.5% of excess over
 $17,650                               $12,800
 Over $17,650 but not over             $730 plus 5.25% of excess over
 $20,900                               $17,650
 Over $20,900 but not over             $901 plus 5.5% of excess over
 $107,650                              $20,900
 Over $107,650 but not over            $5,672 plus 6.00% of excess
 $269,300                              over $107,650
 Over $269,300 but not over            $15,371 plus 6.85% of excess
 $1,616,450                            over $269,300
 Over $1,616,450                       $107,651 plus  8.82% of excess
                                       over $1,616,450
 
   § 3. Clauses (vi), (vii), (viii) and (ix) of subparagraph (B) of para-
 graph  1  of subsection (c) of section 601 of the tax law, clauses (vi),
 (vii) and (viii) as amended, and clause (ix) as added by  section  3  of
 part  A  of  chapter  59  of  the  laws  of 2021, are amended to read as
 follows:
   (vi) For taxable years beginning  in  two  thousand  twenty-three  AND
 BEFORE TWO THOUSAND TWENTY-EIGHT the following rates shall apply:
 [If the New York taxable income is:   The tax is:
 Not over $8,500                       4% of the New York taxable income
 Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
                                       $8,500
 Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
                                       $11,700
 Over $13,900 but not over $80,650     $600 plus 5.73% of excess over
                                       $13,900
 Over $80,650 but not over $215,400    $4,424 plus 6.17% of excess over
                                       $80,650
 Over $215,400 but not over            $12,738 plus 6.85% of excess
 $1,077,550                            over $215,400
 Over $1,077,550 but not over          $71,796 plus 9.65% of excess over
 $5,000,000                            $1,077,550
 Over $5,000,000 but not over          $450,312 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,510,312 plus 10.90% of excess over
                                       $25,000,000
   (vii)  For  taxable  years  beginning  in two thousand twenty-four the
 following rates shall apply:
 S. 8009--C                          8                         A. 9009--C

 If the New York taxable income is:    The tax is:
 Not over $8,500                       4% of the New York taxable income
 Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
                                       $8,500
 Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
                                       $11,700
 Over $13,900 but not over $80,650     $600 plus 5.61% of excess over
                                       $13,900
 Over $80,650 but not over $215,400    $4,344 plus 6.09% of excess over
                                       $80,650
 Over $215,400 but not over            $12,550 plus 6.85% of excess
 $1,077,550                            over $215,400
 Over $1,077,550 but not over          $71,608 plus 9.65% of excess over
 $5,000,000                            $1,077,550
 Over $5,000,000 but not over          $450,124 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,510,124 plus 10.90% of excess over
                                       $25,000,000
   (viii)  For taxable years beginning after two thousand twenty-four and
 before two thousand twenty-eight the following rates shall apply:]
 If the New York taxable income is:    The tax is:
 Not over $8,500                       4% of the New York taxable income
 Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
                                       $8,500
 Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
                                       $11,700
 Over $13,900 but not over $80,650     $600 plus 5.50% of excess over
                                       $13,900
 Over $80,650 but not over $215,400    $4,271 plus 6.00% of excess over
                                       $80,650
 Over $215,400 but not over            $12,356 plus 6.85% of excess over
 $1,077,550                            $215,400
 Over $1,077,550 but not over          $71,413 plus 9.65% of excess over
 $5,000,000                            $1,077,550
 Over $5,000,000 but not over          $449,929 plus 10.30% of excess over
 $25,000,000                           $5,000,000
 Over $25,000,000                      $2,509,929 plus 10.90% of excess over
                                       $25,000,000
   [(ix)](VII) For taxable years beginning after two thousand twenty-sev-
 en the following rates shall apply:
 If the New York taxable income is:    The tax is:
 Not over $8,500                       4% of the New York taxable income
 Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
                                       $8,500
 Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
                                       $11,700
 Over $13,900 but not over $80,650     $600 plus 5.50% of excess over
                                       $13,900
 Over $80,650 but not over $215,400    $4,271 plus 6.00% of excess
                                       over $80,650
 Over $215,400 but not over            $12,356 plus 6.85% of excess
 $1,077,550                            over $215,400
 Over $1,077,550                       $71,413 plus 8.82% of excess
                                       over $1,077,550
 
   § 4. This act shall take effect immediately.
 S. 8009--C                          9                         A. 9009--C
 
                                 SUBPART B
 
   Section  1.  Section  601  of  the  tax law is amended by adding a new
 subsection (d-2) to read as follows:
   (D-2) ALTERNATIVE TAX TABLE  BENEFIT  RECAPTURE.  NOTWITHSTANDING  THE
 PROVISIONS OF SUBSECTION (D) OR (D-1) OF THIS SECTION, FOR TAXABLE YEARS
 BEGINNING  ON  OR  AFTER TWO THOUSAND TWENTY-ONE AND BEFORE TWO THOUSAND
 TWENTY-TWO, THERE IS HEREBY IMPOSED A SUPPLEMENTAL TAX  IN  ADDITION  TO
 THE  TAX  IMPOSED UNDER SUBSECTIONS (A), (B) AND (C) OF THIS SECTION FOR
 THE PURPOSE OF RECAPTURING THE BENEFIT OF THE TAX  TABLES  CONTAINED  IN
 SUCH  SUBSECTIONS.  DURING  THESE  TAXABLE  YEARS, ANY REFERENCE IN THIS
 CHAPTER TO SUBSECTION (D) OR (D-1) OF THIS SECTION SHALL BE  READ  AS  A
 REFERENCE TO THIS SUBSECTION.
   (1) FOR RESIDENT MARRIED INDIVIDUALS FILING JOINT RETURNS AND RESIDENT
 SURVIVING SPOUSES:
   (A)  IF  NEW  YORK ADJUSTED GROSS INCOME IS GREATER THAN $107,650, BUT
 NOT OVER $25,000,000:
   (I) THE RECAPTURE BASE AND INCREMENTAL BENEFIT SHALL BE DETERMINED  BY
 NEW YORK TAXABLE INCOME AS FOLLOWS:
 GREATER THAN    NOT OVER          RECAPTURE BASE    INCREMENTAL BENEFIT
 $43,000         $161,550          $0                $474
 $161,550        $323,200          $474              $582
 $323,200        $2,155,350        $1,056            $1,680
 $2,155,350      $5,000,000        $2,736            $60,350
 $5,000,000      $25,000,000       $63,086           $32,500
   (II)  THE  APPLICABLE  AMOUNT  SHALL BE DETERMINED BY NEW YORK TAXABLE
 INCOME AS FOLLOWS:
 GREATER THAN NOT OVER    APPLICABLE AMOUNT
 $43,000      $161,550    NEW YORK ADJUSTED GROSS INCOME MINUS $107,650
 $161,550     $323,200    NEW YORK ADJUSTED GROSS INCOME MINUS $161,550
 $323,200     $2,155,350  NEW YORK ADJUSTED GROSS INCOME MINUS $323,200
 $2,155,350   $5,000,000  NEW YORK ADJUSTED GROSS INCOME MINUS $2,155,350
 $5,000,000   $25,000,000 NEW YORK ADJUSTED GROSS INCOME MINUS $5,000,000
   (III) THE PHASE-IN FRACTION SHALL BE  A  FRACTION,  THE  NUMERATOR  OF
 WHICH  SHALL  BE  THE LESSER OF FIFTY THOUSAND DOLLARS OR THE APPLICABLE
 AMOUNT AND THE DENOMINATOR OF WHICH SHALL BE FIFTY THOUSAND DOLLARS; AND
   (IV) THE SUPPLEMENTAL TAX DUE SHALL EQUAL THE  SUM  OF  THE  RECAPTURE
 BASE  AND THE PRODUCT OF (I) THE INCREMENTAL BENEFIT AND (II) THE PHASE-
 IN FRACTION. PROVIDED, HOWEVER, THAT IF THE NEW YORK TAXABLE  INCOME  OF
 THE TAXPAYER IS LESS THAN FORTY-THREE THOUSAND DOLLARS, THE SUPPLEMENTAL
 TAX  SHALL  EQUAL THE DIFFERENCE BETWEEN THE PRODUCT OF 5.97 PERCENT AND
 NEW YORK TAXABLE INCOME AND THE TAX TABLE COMPUTATION ON  THE  NEW  YORK
 TAXABLE  INCOME  SET  FORTH  IN  PARAGRAPH ONE OF SUBSECTION (A) OF THIS
 SECTION, MULTIPLIED BY A FRACTION, THE NUMERATOR OF WHICH IS THE  LESSER
 OF  FIFTY  THOUSAND DOLLARS OR NEW YORK ADJUSTED GROSS INCOME MINUS  ONE
 HUNDRED SEVEN THOUSAND SIX HUNDRED FIFTY DOLLARS, AND THE DENOMINATOR OF
 WHICH IS FIFTY THOUSAND DOLLARS.
   (B) IF NEW YORK ADJUSTED GROSS INCOME IS  GREATER  THAN    TWENTY-FIVE
 MILLION  DOLLARS,  THE  SUPPLEMENTAL  TAX DUE SHALL EQUAL THE DIFFERENCE
 BETWEEN THE PRODUCT OF 10.90 PERCENT AND NEW YORK TAXABLE INCOME AND THE
 TAX TABLE COMPUTATION ON THE NEW YORK TAXABLE INCOME SET FORTH IN  PARA-
 GRAPH ONE OF SUBSECTION (A) OF THIS SECTION.
   (2) FOR RESIDENT HEADS OF HOUSEHOLDS:
   (A)  IF  NEW  YORK ADJUSTED GROSS INCOME IS GREATER THAN $107,650, BUT
 NOT OVER $25,000,000:
 S. 8009--C                         10                         A. 9009--C

   (I) THE RECAPTURE BASE AND INCREMENTAL BENEFIT SHALL BE DETERMINED  BY
 NEW YORK TAXABLE INCOME AS FOLLOWS:
 GREATER THAN    NOT OVER          RECAPTURE BASE    INCREMENTAL BENEFIT
 $107,650        $269,300          $0                $742
 $269,300        $1,616,450        $742              $1,401
 $1,616,450      $5,000,000        $2,143            $45,260
 $5,000,000      $25,000,000       $47,403           $32,500
   (II)  THE  APPLICABLE  AMOUNT  SHALL BE DETERMINED BY NEW YORK TAXABLE
 INCOME AS FOLLOWS:
 GREATER THAN NOT OVER    APPLICABLE AMOUNT
 $107,650     $269,300    NEW YORK ADJUSTED GROSS INCOME MINUS $107,650
 $269,300     $1,616,450  NEW YORK ADJUSTED GROSS INCOME MINUS $269,300
 $1,616,450   $5,000,000  NEW YORK ADJUSTED GROSS INCOME MINUS $1,616,450
 $5,000,000   $25,000,000 NEW YORK ADJUSTED GROSS INCOME MINUS $5,000,000
   (III) THE PHASE-IN FRACTION SHALL BE  A  FRACTION,  THE  NUMERATOR  OF
 WHICH  SHALL  BE THE LESSER OF  FIFTY THOUSAND DOLLARS OR THE APPLICABLE
 AMOUNT AND THE DENOMINATOR OF WHICH SHALL BE FIFTY THOUSAND DOLLARS; AND
   (IV) THE SUPPLEMENTAL TAX DUE SHALL EQUAL THE  SUM  OF  THE  RECAPTURE
 BASE  AND THE PRODUCT OF (I) THE INCREMENTAL BENEFIT AND (II) THE PHASE-
 IN FRACTION. PROVIDED, HOWEVER, THAT IF THE NEW YORK TAXABLE  INCOME  OF
 THE  TAXPAYER IS LESS THAN  ONE HUNDRED SEVEN THOUSAND SIX HUNDRED FIFTY
 DOLLARS, THE SUPPLEMENTAL TAX SHALL EQUAL  THE  DIFFERENCE  BETWEEN  THE
 PRODUCT  OF  6.33  PERCENT AND NEW YORK TAXABLE INCOME AND THE TAX TABLE
 COMPUTATION ON THE NEW YORK TAXABLE INCOME SET FORTH IN PARAGRAPH ONE OF
 SUBSECTION (B) OF THIS SECTION, MULTIPLIED BY A FRACTION, THE  NUMERATOR
 OF  WHICH  IS  THE LESSER OF FIFTY THOUSAND DOLLARS OR NEW YORK ADJUSTED
 GROSS INCOME MINUS    ONE  HUNDRED  SEVEN  THOUSAND  SIX  HUNDRED  FIFTY
 DOLLARS, AND THE DENOMINATOR OF WHICH IS FIFTY THOUSAND DOLLARS.
   (B)  IF  NEW  YORK  ADJUSTED GROSS INCOME IS GREATER THAN  TWENTY-FIVE
 MILLION DOLLARS, THE SUPPLEMENTAL TAX DUE  SHALL  EQUAL  THE  DIFFERENCE
 BETWEEN THE PRODUCT OF 10.90 PERCENT AND NEW YORK TAXABLE INCOME AND THE
 TAX  TABLE COMPUTATION ON THE NEW YORK TAXABLE INCOME SET FORTH IN PARA-
 GRAPH ONE OF SUBSECTION (B) OF THIS SECTION.
   (3) FOR RESIDENT UNMARRIED INDIVIDUALS, RESIDENT  MARRIED  INDIVIDUALS
 FILING SEPARATE RETURNS AND RESIDENT ESTATES AND TRUSTS:
   (A)  IF  NEW  YORK ADJUSTED GROSS INCOME IS GREATER THAN $107,650, BUT
 NOT OVER $25,000,000:
   (I) THE RECAPTURE BASE AND INCREMENTAL BENEFIT SHALL BE DETERMINED  BY
 NEW YORK TAXABLE INCOME AS FOLLOWS:
 GREATER THAN    NOT OVER          RECAPTURE BASE    INCREMENTAL BENEFIT
 $80,650         $215,400          $0                $526
 $215,400        $1,077,550        $526              $1,120
 $1,077,550      $5,000,000        $1,646            $30,171
 $5,000,000      $25,000,000       $31,817           $32,500
   (II)  THE  APPLICABLE  AMOUNT  SHALL BE DETERMINED BY NEW YORK TAXABLE
 INCOME AS FOLLOWS:
 GREATER THAN NOT OVER    APPLICABLE AMOUNT
 $80,650      $215,400    NEW YORK ADJUSTED GROSS INCOME MINUS $107,650
 $215,400     $1,077,550  NEW YORK ADJUSTED GROSS INCOME MINUS $215,400
 $1,077,550   $5,000,000  NEW YORK ADJUSTED GROSS INCOME MINUS $1,077,550
 $5,000,000   $25,000,000 NEW YORK ADJUSTED GROSS INCOME MINUS $5,000,000
   (III) THE PHASE-IN FRACTION SHALL BE  A  FRACTION,  THE  NUMERATOR  OF
 WHICH  SHALL  BE THE LESSER OF  FIFTY THOUSAND DOLLARS OR THE APPLICABLE
 AMOUNT AND THE DENOMINATOR OF WHICH SHALL BE FIFTY THOUSAND DOLLARS; AND
   (IV) THE SUPPLEMENTAL TAX DUE SHALL EQUAL THE  SUM  OF  THE  RECAPTURE
 BASE  AND THE PRODUCT OF (I) THE INCREMENTAL BENEFIT AND (II) THE PHASE-
 S. 8009--C                         11                         A. 9009--C

 IN FRACTION. PROVIDED, HOWEVER, THAT IF THE NEW YORK TAXABLE  INCOME  OF
 THE  TAXPAYER  IS LESS THAN   EIGHTY THOUSAND SIX HUNDRED FIFTY DOLLARS,
 THE SUPPLEMENTAL TAX SHALL EQUAL THE DIFFERENCE BETWEEN THE  PRODUCT  OF
 6.33  PERCENT  AND NEW YORK TAXABLE INCOME AND THE TAX TABLE COMPUTATION
 ON THE NEW YORK TAXABLE INCOME SET FORTH IN PARAGRAPH ONE OF  SUBSECTION
 (C) OF THIS SECTION, MULTIPLIED BY A FRACTION, THE NUMERATOR OF WHICH IS
 THE  LESSER  OF FIFTY THOUSAND DOLLARS OR NEW YORK ADJUSTED GROSS INCOME
 MINUS ONE HUNDRED SEVEN THOUSAND SIX  HUNDRED  FIFTY  DOLLARS,  AND  THE
 DENOMINATOR OF WHICH IS FIFTY THOUSAND DOLLARS.
   (B)  IF  NEW  YORK  ADJUSTED GROSS INCOME IS GREATER THAN  TWENTY-FIVE
 MILLION DOLLARS, THE SUPPLEMENTAL TAX DUE  SHALL  EQUAL  THE  DIFFERENCE
 BETWEEN THE PRODUCT OF 10.90 PERCENT AND NEW YORK TAXABLE INCOME AND THE
 TAX  TABLE COMPUTATION ON THE NEW YORK TAXABLE INCOME SET FORTH IN PARA-
 GRAPH ONE OF SUBSECTION (C) OF THIS SECTION.
   § 2. Section 601 of the tax law is amended by adding a new  subsection
 (d-3) to read as follows:
   (D-3)  ALTERNATIVE  TAX  TABLE  BENEFIT RECAPTURE. NOTWITHSTANDING THE
 PROVISIONS OF SUBSECTION (D), (D-1) OR (D-2) OF THIS SECTION, FOR  TAXA-
 BLE  YEARS  BEGINNING ON OR AFTER TWO THOUSAND TWENTY-TWO AND BEFORE TWO
 THOUSAND TWENTY-THREE, THERE IS HEREBY IMPOSED  A  SUPPLEMENTAL  TAX  IN
 ADDITION  TO  THE TAX IMPOSED UNDER SUBSECTIONS (A), (B) AND (C) OF THIS
 SECTION FOR THE PURPOSE OF RECAPTURING THE BENEFIT  OF  THE  TAX  TABLES
 CONTAINED IN SUCH SUBSECTIONS. DURING THESE TAXABLE YEARS, ANY REFERENCE
 IN  THIS CHAPTER TO SUBSECTION (D), (D-1) OR (D-2) OF THIS SECTION SHALL
 BE READ AS A REFERENCE TO THIS SUBSECTION.
   (1) FOR RESIDENT MARRIED INDIVIDUALS FILING JOINT RETURNS AND RESIDENT
 SURVIVING SPOUSES:
   (A)  IF NEW YORK ADJUSTED GROSS INCOME IS GREATER THAN  $107,650,  BUT
 NOT OVER $25,000,000:
   (I)  THE RECAPTURE BASE AND INCREMENTAL BENEFIT SHALL BE DETERMINED BY
 NEW YORK TAXABLE INCOME AS FOLLOWS:
 GREATER THAN    NOT OVER          RECAPTURE BASE    INCREMENTAL BENEFIT
 $27,900         $161,550          $0                $430
 $161,550        $323,200          $430              $646
 $323,200        $2,155,350        $1,076            $1,940
 $2,155,350      $5,000,000        $3,016            $60,349
 $5,000,000      $25,000,000       $63,365           $32,500
   (II) THE APPLICABLE AMOUNT SHALL BE DETERMINED  BY  NEW  YORK  TAXABLE
 INCOME AS FOLLOWS:
 GREATER THAN NOT OVER    APPLICABLE AMOUNT
 $27,900      $161,550    NEW YORK ADJUSTED GROSS INCOME MINUS $107,650
 $161,550     $323,200    NEW YORK ADJUSTED GROSS INCOME MINUS $161,550
 $323,200     $2,155,350  NEW YORK ADJUSTED GROSS INCOME MINUS $323,200
 $2,155,350   $5,000,000  NEW YORK ADJUSTED GROSS INCOME MINUS $2,155,350
 $5,000,000   $25,000,000 NEW YORK ADJUSTED GROSS INCOME MINUS $5,000,000
   (III)  THE  PHASE-IN  FRACTION  SHALL  BE A FRACTION, THE NUMERATOR OF
 WHICH SHALL BE THE LESSER OF  FIFTY THOUSAND DOLLARS OR  THE  APPLICABLE
 AMOUNT AND THE DENOMINATOR OF WHICH SHALL BE FIFTY THOUSAND DOLLARS; AND
   (IV)  THE  SUPPLEMENTAL  TAX  DUE SHALL EQUAL THE SUM OF THE RECAPTURE
 BASE AND THE PRODUCT OF (I) THE INCREMENTAL BENEFIT AND (II) THE  PHASE-
 IN  FRACTION.  PROVIDED, HOWEVER, THAT IF THE NEW YORK TAXABLE INCOME OF
 THE TAXPAYER IS LESS THAN  TWENTY-SEVEN THOUSAND NINE  HUNDRED  DOLLARS,
 THE  SUPPLEMENTAL  TAX SHALL EQUAL THE DIFFERENCE BETWEEN THE PRODUCT OF
 5.85 PERCENT AND NEW YORK TAXABLE INCOME AND THE TAX  TABLE  COMPUTATION
 ON  THE NEW YORK TAXABLE INCOME SET FORTH IN PARAGRAPH ONE OF SUBSECTION
 (A) OF THIS SECTION, MULTIPLIED BY A FRACTION, THE NUMERATOR OF WHICH IS
 S. 8009--C                         12                         A. 9009--C
 
 THE LESSER OF FIFTY THOUSAND DOLLARS OR NEW YORK ADJUSTED  GROSS  INCOME
 MINUS  ONE  HUNDRED  SEVEN  THOUSAND  SIX HUNDRED FIFTY DOLLARS, AND THE
 DENOMINATOR OF WHICH IS FIFTY THOUSAND DOLLARS.
   (B)  IF  NEW  YORK  ADJUSTED GROSS INCOME IS GREATER THAN  TWENTY-FIVE
 MILLION DOLLARS, THE SUPPLEMENTAL TAX DUE  SHALL  EQUAL  THE  DIFFERENCE
 BETWEEN THE PRODUCT OF 10.90 PERCENT AND NEW YORK TAXABLE INCOME AND THE
 TAX  TABLE COMPUTATION ON THE NEW YORK TAXABLE INCOME SET FORTH IN PARA-
 GRAPH ONE OF SUBSECTION (A) OF THIS SECTION.
   (2) FOR RESIDENT HEADS OF HOUSEHOLDS:
   (A) IF NEW YORK ADJUSTED GROSS INCOME IS GREATER  THAN  $107,650,  BUT
 NOT OVER $25,000,000:
   (I)  THE RECAPTURE BASE AND INCREMENTAL BENEFIT SHALL BE DETERMINED BY
 NEW YORK TAXABLE INCOME AS FOLLOWS:
 GREATER THAN    NOT OVER          RECAPTURE BASE    INCREMENTAL BENEFIT
 $107,650        $269,300          $0                $752
 $269,300        $1,616,450        $752              $1,616
 $1,616,450      $5,000,000        $2,368            $45,261
 $5,000,000      $25,000,000       $47,629           $32,500
   (II) THE APPLICABLE AMOUNT SHALL BE DETERMINED  BY  NEW  YORK  TAXABLE
 INCOME AS FOLLOWS:
 GREATER THAN NOT OVER    APPLICABLE AMOUNT
 $107,650     $269,300    NEW YORK ADJUSTED GROSS INCOME MINUS $107,650
 $269,300     $1,616,450  NEW YORK ADJUSTED GROSS INCOME MINUS $269,300
 $1,616,450   $5,000,000  NEW YORK ADJUSTED GROSS INCOME MINUS $1,616,450
 $5,000,000   $25,000,000 NEW YORK ADJUSTED GROSS INCOME MINUS $5,000,000
   (III)  THE  PHASE-IN  FRACTION  SHALL  BE A FRACTION, THE NUMERATOR OF
 WHICH SHALL BE THE LESSER OF  FIFTY THOUSAND DOLLARS OR  THE  APPLICABLE
 AMOUNT AND THE DENOMINATOR OF WHICH SHALL BE FIFTY THOUSAND DOLLARS; AND
   (IV)  THE  SUPPLEMENTAL  TAX  DUE SHALL EQUAL THE SUM OF THE RECAPTURE
 BASE AND THE PRODUCT OF (I) THE INCREMENTAL BENEFIT AND (II) THE  PHASE-
 IN  FRACTION.  PROVIDED, HOWEVER, THAT IF THE NEW YORK TAXABLE INCOME OF
 THE TAXPAYER IS LESS THAN  ONE HUNDRED SEVEN THOUSAND SIX HUNDRED  FIFTY
 DOLLARS,  THE  SUPPLEMENTAL  TAX  SHALL EQUAL THE DIFFERENCE BETWEEN THE
 PRODUCT OF 6.25 PERCENT AND NEW YORK TAXABLE INCOME AND  THE  TAX  TABLE
 COMPUTATION ON THE NEW YORK TAXABLE INCOME SET FORTH IN PARAGRAPH ONE OF
 SUBSECTION  (B) OF THIS SECTION, MULTIPLIED BY A FRACTION, THE NUMERATOR
 OF WHICH IS THE LESSER OF FIFTY THOUSAND DOLLARS OR  NEW  YORK  ADJUSTED
 GROSS  INCOME  MINUS    ONE  HUNDRED  SEVEN  THOUSAND  SIX HUNDRED FIFTY
 DOLLARS, AND THE DENOMINATOR OF WHICH IS FIFTY THOUSAND DOLLARS.
   (B) IF NEW YORK ADJUSTED GROSS INCOME IS  GREATER  THAN    TWENTY-FIVE
 MILLION  DOLLARS,  THE  SUPPLEMENTAL  TAX DUE SHALL EQUAL THE DIFFERENCE
 BETWEEN THE PRODUCT OF 10.90 PERCENT AND NEW YORK TAXABLE INCOME AND THE
 TAX TABLE COMPUTATION ON THE NEW YORK TAXABLE INCOME SET FORTH IN  PARA-
 GRAPH ONE OF SUBSECTION (B) OF THIS SECTION.
   (3)  FOR  RESIDENT UNMARRIED INDIVIDUALS, RESIDENT MARRIED INDIVIDUALS
 FILING SEPARATE RETURNS AND RESIDENT ESTATES AND TRUSTS:
   (A) IF NEW YORK ADJUSTED GROSS INCOME IS GREATER  THAN  $107,650,  BUT
 NOT OVER $25,000,000:
   (I)  THE RECAPTURE BASE AND INCREMENTAL BENEFIT SHALL BE DETERMINED BY
 NEW YORK TAXABLE INCOME AS FOLLOWS:
 GREATER THAN    NOT OVER          RECAPTURE BASE    INCREMENTAL BENEFIT
 $80,650         $215,400          $0                $536
 $215,400        $1,077,550        $536              $1,293
 $1,077,550      $5,000,000        $1,829            $30,171
 $5,000,000      $25,000,000       $32,000           $32,500
 S. 8009--C                         13                         A. 9009--C
 
   (II) THE APPLICABLE AMOUNT SHALL BE DETERMINED  BY  NEW  YORK  TAXABLE
 INCOME AS FOLLOWS:
 GREATER THAN NOT OVER    APPLICABLE AMOUNT
 $80,650      $215,400    NEW YORK ADJUSTED GROSS INCOME MINUS $107,650
 $215,400     $1,077,550  NEW YORK ADJUSTED GROSS INCOME MINUS $215,400
 $1,077,550   $5,000,000  NEW YORK ADJUSTED GROSS INCOME MINUS $1,077,550
 $5,000,000   $25,000,000 NEW YORK ADJUSTED GROSS INCOME MINUS $5,000,000
   (III)  THE  PHASE-IN  FRACTION  SHALL  BE A FRACTION, THE NUMERATOR OF
 WHICH SHALL BE THE LESSER OF  FIFTY THOUSAND DOLLARS OR  THE  APPLICABLE
 AMOUNT AND THE DENOMINATOR OF WHICH SHALL BE FIFTY THOUSAND DOLLARS; AND
   (IV)  THE  SUPPLEMENTAL  TAX  DUE SHALL EQUAL THE SUM OF THE RECAPTURE
 BASE AND THE PRODUCT OF (I) THE INCREMENTAL BENEFIT AND (II) THE  PHASE-
 IN  FRACTION.  PROVIDED, HOWEVER, THAT IF THE NEW YORK TAXABLE INCOME OF
 THE TAXPAYER IS LESS THAN  EIGHTY THOUSAND SIX  HUNDRED  FIFTY  DOLLARS,
 THE  SUPPLEMENTAL  TAX SHALL EQUAL THE DIFFERENCE BETWEEN THE PRODUCT OF
 6.25 PERCENT AND NEW YORK TAXABLE INCOME AND THE TAX  TABLE  COMPUTATION
 ON  THE NEW YORK TAXABLE INCOME SET FORTH IN PARAGRAPH ONE OF SUBSECTION
 (C) OF THIS SECTION, MULTIPLIED BY A FRACTION, THE NUMERATOR OF WHICH IS
 THE LESSER OF FIFTY THOUSAND DOLLARS OR NEW YORK ADJUSTED  GROSS  INCOME
 MINUS  ONE  HUNDRED  SEVEN  THOUSAND  SIX HUNDRED FIFTY DOLLARS, AND THE
 DENOMINATOR OF WHICH IS FIFTY THOUSAND DOLLARS.
   (B) IF NEW YORK ADJUSTED GROSS INCOME IS  GREATER  THAN    TWENTY-FIVE
 MILLION  DOLLARS,  THE  SUPPLEMENTAL  TAX DUE SHALL EQUAL THE DIFFERENCE
 BETWEEN THE PRODUCT OF 10.90 PERCENT AND NEW YORK TAXABLE INCOME AND THE
 TAX TABLE COMPUTATION ON THE NEW YORK TAXABLE INCOME SET FORTH IN  PARA-
 GRAPH ONE OF SUBSECTION (C) OF THIS SECTION.
   §  3. Section 601 of the tax law is amended by adding a new subsection
 (d-4) to read as follows:
   (D-4) ALTERNATIVE TAX TABLE  BENEFIT  RECAPTURE.  NOTWITHSTANDING  THE
 PROVISIONS OF SUBSECTION (D), (D-1), (D-2) OR (D-3) OF THIS SECTION, FOR
 TAXABLE YEARS BEGINNING ON OR AFTER TWO THOUSAND TWENTY-THREE AND BEFORE
 TWO THOUSAND TWENTY-EIGHT, THERE IS HEREBY IMPOSED A SUPPLEMENTAL TAX IN
 ADDITION  TO  THE TAX IMPOSED UNDER SUBSECTIONS (A), (B) AND (C) OF THIS
 SECTION FOR THE PURPOSE OF RECAPTURING THE BENEFIT  OF  THE  TAX  TABLES
 CONTAINED IN SUCH SUBSECTIONS. DURING THESE TAXABLE YEARS, ANY REFERENCE
 IN THIS CHAPTER TO SUBSECTION (D), (D-1), (D-2) OR (D-3) OF THIS SECTION
 SHALL BE READ AS A REFERENCE TO THIS SUBSECTION.
   (1) FOR RESIDENT MARRIED INDIVIDUALS FILING JOINT RETURNS AND RESIDENT
 SURVIVING SPOUSES:
   (A)  IF  NEW  YORK ADJUSTED GROSS INCOME IS GREATER THAN $107,650, BUT
 NOT OVER $25,000,000:
   (I) THE RECAPTURE BASE AND INCREMENTAL BENEFIT SHALL BE DETERMINED  BY
 NEW YORK TAXABLE INCOME AS FOLLOWS:
 GREATER THAN    NOT OVER          RECAPTURE BASE    INCREMENTAL BENEFIT
 $27,900         $161,550          $0                $333
 $161,550        $323,200          $333              $807
 $323,200        $2,155,350        $1,140            $2,747
 $2,155,350      $5,000,000        $3,887            $60,350
 $5,000,000      $25,000,000       $64,237           $32,500
   (II)  THE  APPLICABLE  AMOUNT  SHALL BE DETERMINED BY NEW YORK TAXABLE
 INCOME AS FOLLOWS:
 GREATER THAN NOT OVER    APPLICABLE AMOUNT
 $27,900      $161,550    NEW YORK ADJUSTED GROSS INCOME MINUS $107,650
 $161,550     $323,200    NEW YORK ADJUSTED GROSS INCOME MINUS $161,550
 $323,200     $2,155,350  NEW YORK ADJUSTED GROSS INCOME MINUS $323,200
 S. 8009--C                         14                         A. 9009--C
 
 $2,155,350   $5,000,000  NEW YORK ADJUSTED GROSS INCOME MINUS $2,155,350
 $5,000,000   $25,000,000 NEW YORK ADJUSTED GROSS INCOME MINUS $5,000,000
   (III)  THE  PHASE-IN  FRACTION  SHALL  BE A FRACTION, THE NUMERATOR OF
 WHICH SHALL BE THE LESSER OF  FIFTY THOUSAND DOLLARS OR  THE  APPLICABLE
 AMOUNT AND THE DENOMINATOR OF WHICH SHALL BE FIFTY THOUSAND DOLLARS; AND
   (IV)  THE  SUPPLEMENTAL  TAX  DUE SHALL EQUAL THE SUM OF THE RECAPTURE
 BASE AND THE PRODUCT OF (I) THE INCREMENTAL BENEFIT AND (II) THE  PHASE-
 IN  FRACTION.  PROVIDED, HOWEVER, THAT IF THE NEW YORK TAXABLE INCOME OF
 THE TAXPAYER IS LESS THAN  TWENTY-SEVEN THOUSAND NINE  HUNDRED  DOLLARS,
 THE  SUPPLEMENTAL  TAX SHALL EQUAL THE DIFFERENCE BETWEEN THE PRODUCT OF
 5.50 PERCENT AND NEW YORK TAXABLE INCOME AND THE TAX  TABLE  COMPUTATION
 ON  THE NEW YORK TAXABLE INCOME SET FORTH IN PARAGRAPH ONE OF SUBSECTION
 (A) OF THIS SECTION, MULTIPLIED BY A FRACTION, THE NUMERATOR OF WHICH IS
 THE LESSER OF FIFTY THOUSAND DOLLARS OR NEW YORK ADJUSTED  GROSS  INCOME
 MINUS  ONE  HUNDRED  SEVEN  THOUSAND  SIX HUNDRED FIFTY DOLLARS, AND THE
 DENOMINATOR OF WHICH IS FIFTY THOUSAND DOLLARS.
   (B) IF NEW YORK ADJUSTED GROSS INCOME IS  GREATER  THAN    TWENTY-FIVE
 MILLION  DOLLARS,  THE  SUPPLEMENTAL  TAX DUE SHALL EQUAL THE DIFFERENCE
 BETWEEN THE PRODUCT OF 10.90 PERCENT AND NEW YORK TAXABLE INCOME AND THE
 TAX TABLE COMPUTATION ON THE NEW YORK TAXABLE INCOME SET FORTH IN  PARA-
 GRAPH ONE OF SUBSECTION (A) OF THIS SECTION.
   (2) FOR RESIDENT HEADS OF HOUSEHOLDS:
   (A)  IF  NEW  YORK ADJUSTED GROSS INCOME IS GREATER THAN $107,650, BUT
 NOT OVER $25,000,000:
   (I) THE RECAPTURE BASE AND INCREMENTAL BENEFIT SHALL BE DETERMINED  BY
 NEW YORK TAXABLE INCOME AS FOLLOWS:
 GREATER THAN    NOT OVER          RECAPTURE BASE    INCREMENTAL BENEFIT
 $107,650        $269,300          $0                $787
 $269,300        $1,616,450        $787              $2,289
 $1,616,450      $5,000,000        $3,076            $45,261
 $5,000,000      $25,000,000       $48,337           $32,500
   (II)  THE  APPLICABLE  AMOUNT  SHALL BE DETERMINED BY NEW YORK TAXABLE
 INCOME AS FOLLOWS:
 GREATER THAN NOT OVER    APPLICABLE AMOUNT
 $107,650     $269,300    NEW YORK ADJUSTED GROSS INCOME MINUS $107,650
 $269,300     $1,616,450  NEW YORK ADJUSTED GROSS INCOME MINUS $269,300
 $1,616,450   $5,000,000  NEW YORK ADJUSTED GROSS INCOME MINUS $1,616,450
 $5,000,000   $25,000,000 NEW YORK ADJUSTED GROSS INCOME MINUS $5,000,000
   (III) THE PHASE-IN FRACTION SHALL BE  A  FRACTION,  THE  NUMERATOR  OF
 WHICH  SHALL  BE THE LESSER OF  FIFTY THOUSAND DOLLARS OR THE APPLICABLE
 AMOUNT AND THE DENOMINATOR OF WHICH SHALL BE FIFTY THOUSAND DOLLARS; AND
   (IV) THE SUPPLEMENTAL TAX DUE SHALL EQUAL THE  SUM  OF  THE  RECAPTURE
 BASE  AND THE PRODUCT OF (I) THE INCREMENTAL BENEFIT AND (II) THE PHASE-
 IN FRACTION. PROVIDED, HOWEVER, THAT IF THE NEW YORK TAXABLE  INCOME  OF
 THE  TAXPAYER IS LESS THAN  ONE HUNDRED SEVEN THOUSAND SIX HUNDRED FIFTY
 DOLLARS, THE SUPPLEMENTAL TAX SHALL EQUAL  THE  DIFFERENCE  BETWEEN  THE
 PRODUCT  OF  6.00  PERCENT AND NEW YORK TAXABLE INCOME AND THE TAX TABLE
 COMPUTATION ON THE NEW YORK TAXABLE INCOME SET FORTH IN PARAGRAPH ONE OF
 SUBSECTION (B) OF THIS SECTION, MULTIPLIED BY A FRACTION, THE  NUMERATOR
 OF  WHICH  IS  THE LESSER OF FIFTY THOUSAND DOLLARS OR NEW YORK ADJUSTED
 GROSS INCOME MINUS    ONE  HUNDRED  SEVEN  THOUSAND  SIX  HUNDRED  FIFTY
 DOLLARS, AND THE DENOMINATOR OF WHICH IS FIFTY THOUSAND DOLLARS.
   (B)  IF  NEW  YORK  ADJUSTED GROSS INCOME IS GREATER THAN  TWENTY-FIVE
 MILLION DOLLARS, THE SUPPLEMENTAL TAX DUE  SHALL  EQUAL  THE  DIFFERENCE
 BETWEEN THE PRODUCT OF 10.90 PERCENT AND NEW YORK TAXABLE INCOME AND THE
 S. 8009--C                         15                         A. 9009--C
 
 TAX  TABLE COMPUTATION ON THE NEW YORK TAXABLE INCOME SET FORTH IN PARA-
 GRAPH ONE OF SUBSECTION (B) OF THIS SECTION.
   (3)  FOR  RESIDENT UNMARRIED INDIVIDUALS, RESIDENT MARRIED INDIVIDUALS
 FILING SEPARATE RETURNS AND RESIDENT ESTATES AND TRUSTS:
   (A) IF NEW YORK ADJUSTED GROSS INCOME IS GREATER  THAN  $107,650,  BUT
 NOT OVER $25,000,000:
   (I)  THE RECAPTURE BASE AND INCREMENTAL BENEFIT SHALL BE DETERMINED BY
 NEW YORK TAXABLE INCOME AS FOLLOWS:
 GREATER THAN    NOT OVER          RECAPTURE BASE    INCREMENTAL BENEFIT
 $80,650         $215,400          $0                $568
 $215,400        $1,077,550        $568              $1,831
 $1,077,550      $5,000,000        $2,399            $30,172
 $5,000,000      $25,000,000       $32,571           $32,500
   (II) THE APPLICABLE AMOUNT SHALL BE DETERMINED  BY  NEW  YORK  TAXABLE
 INCOME AS FOLLOWS:
 GREATER THAN NOT OVER    APPLICABLE AMOUNT
 $80,650      $215,400    NEW YORK ADJUSTED GROSS INCOME MINUS $107,650
 $215,400     $1,077,550  NEW YORK ADJUSTED GROSS INCOME MINUS $215,400
 $1,077,550   $5,000,000  NEW YORK ADJUSTED GROSS INCOME MINUS $1,077,550
 $5,000,000   $25,000,000 NEW YORK ADJUSTED GROSS INCOME MINUS $5,000,000
   (III)  THE  PHASE-IN  FRACTION  SHALL  BE A FRACTION, THE NUMERATOR OF
 WHICH SHALL BE THE LESSER OF FIFTY THOUSAND DOLLARS  OR  THE  APPLICABLE
 AMOUNT AND THE DENOMINATOR OF WHICH SHALL BE FIFTY THOUSAND DOLLARS; AND
   (IV)  THE  SUPPLEMENTAL  TAX  DUE SHALL EQUAL THE SUM OF THE RECAPTURE
 BASE AND THE PRODUCT OF (I) THE INCREMENTAL BENEFIT AND (II) THE  PHASE-
 IN  FRACTION.  PROVIDED, HOWEVER, THAT IF THE NEW YORK TAXABLE INCOME OF
 THE TAXPAYER IS LESS THAN  EIGHTY THOUSAND SIX  HUNDRED  FIFTY  DOLLARS,
 THE  SUPPLEMENTAL  TAX SHALL EQUAL THE DIFFERENCE BETWEEN THE PRODUCT OF
 6.00 PERCENT AND NEW YORK TAXABLE INCOME AND THE TAX  TABLE  COMPUTATION
 ON  THE NEW YORK TAXABLE INCOME SET FORTH IN PARAGRAPH ONE OF SUBSECTION
 (C) OF THIS SECTION, MULTIPLIED BY A FRACTION, THE NUMERATOR OF WHICH IS
 THE LESSER OF FIFTY THOUSAND DOLLARS OR NEW YORK ADJUSTED  GROSS  INCOME
 MINUS  ONE  HUNDRED  SEVEN  THOUSAND  SIX HUNDRED FIFTY DOLLARS, AND THE
 DENOMINATOR OF WHICH IS FIFTY THOUSAND DOLLARS.
   (B) IF NEW YORK ADJUSTED GROSS INCOME IS  GREATER  THAN    TWENTY-FIVE
 MILLION  DOLLARS,  THE  SUPPLEMENTAL  TAX DUE SHALL EQUAL THE DIFFERENCE
 BETWEEN THE PRODUCT OF 10.90 PERCENT AND NEW YORK TAXABLE INCOME AND THE
 TAX TABLE COMPUTATION ON THE NEW YORK TAXABLE INCOME SET FORTH IN  PARA-
 GRAPH ONE OF SUBSECTION (C) OF THIS SECTION.
   § 4. This act shall take effect immediately.
   §  2.  This act shall take effect immediately, provided, however, that
 the applicable effective date of Subparts A and B of this act  shall  be
 as specifically set forth in the last section of such Subparts.
 
                                  PART B
 
   Section 1. This act enacts into law components of legislation relating
 to  certain  tax  credits.  Each  component is wholly contained within a
 Subpart identified as Subparts A through C. The effective date for  each
 particular  provision  contained within such Subpart is set forth in the
 last section of such Subpart. Any provision  in  any  section  contained
 within  a  Subpart,  including  the effective date of the Subpart, which
 makes reference to a section "of this act", when used in connection with
 that particular component, shall be deemed to  mean  and  refer  to  the
 corresponding section of the Subpart in which it is found. Section three
 of this act sets forth the general effective date of this act.
 S. 8009--C                         16                         A. 9009--C
 
                                 SUBPART A
 
   Section 1. Subdivision 1 of section 210-B of the tax law is amended by
 adding a new paragraph (a-1) to read as follows:
   (A-1)  FOR A TAXPAYER THAT IS AN ELIGIBLE FARMER, AS DEFINED IN SUBDI-
 VISION ELEVEN OF THIS SECTION, THE PERCENTAGE TO BE USED TO COMPUTE  THE
 CREDIT  ALLOWED UNDER THIS SUBDIVISION SHALL BE TWENTY PERCENT FOR PROP-
 ERTY DESCRIBED IN SUBPARAGRAPH (I) OF PARAGRAPH (B) OF THIS  SUBDIVISION
 THAT  IS  PRINCIPALLY USED BY THE TAXPAYER IN THE PRODUCTION OF GOODS BY
 FARMING, AGRICULTURE, HORTICULTURE, FLORICULTURE OR VITICULTURE.
   § 2. Subsection (a) of section 606 of the tax law is amended by adding
 a new paragraph 1-a to read as follows:
   (1-A) FOR A TAXPAYER  THAT  IS  AN  ELIGIBLE  FARMER,  AS  DEFINED  IN
 SUBSECTION (N) OF THIS SECTION, THE PERCENTAGE TO BE USED TO COMPUTE THE
 CREDIT ALLOWED UNDER THIS SUBSECTION SHALL BE TWENTY PERCENT FOR PROPER-
 TY  DESCRIBED  IN  SUBPARAGRAPH  (A) OF PARAGRAPH TWO OF THIS SUBSECTION
 THAT IS PRINCIPALLY USED BY THE TAXPAYER IN THE PRODUCTION OF  GOODS  BY
 FARMING, AGRICULTURE, HORTICULTURE, FLORICULTURE OR VITICULTURE.
   §  3.  This  act  shall  take effect immediately and apply to property
 placed in service on or after April 1, 2022.
 
                                 SUBPART B
 
   Section 1. Subsection (e) of section 42 of the tax law, as amended  by
 section  1  of  part FF of chapter 59 of the laws of 2021, is amended to
 read as follows:
   (e) For taxable years beginning on or after January first,  two  thou-
 sand  seventeen  and  before  January  first, two thousand eighteen, the
 amount of the credit allowed under this section shall be  equal  to  the
 product  of  the total number of eligible farm employees and two hundred
 fifty dollars. For taxable years beginning on or  after  January  first,
 two  thousand  eighteen and before January first, two thousand nineteen,
 the amount of the credit allowed under this section shall  be  equal  to
 the  product  of  the  total number of eligible farm employees and three
 hundred dollars. For taxable years beginning on or after January  first,
 two thousand nineteen and before January first, two thousand twenty, the
 amount  of  the  credit allowed under this section shall be equal to the
 product of the total number of eligible farm employees and five  hundred
 dollars.  For  taxable  years  beginning  on or after January first, two
 thousand twenty and before January first, two thousand  twenty-one,  the
 amount  of  the  credit allowed under this section shall be equal to the
 product of the total number of eligible farm employees and four  hundred
 dollars.  For  taxable  years  beginning  on or after January first, two
 thousand twenty-one and before January first, two thousand [twenty-five]
 TWENTY-TWO, the amount of the credit allowed under this section shall be
 equal to the product of the total number of eligible farm employees  and
 six  hundred  dollars.  FOR  TAXABLE YEARS BEGINNING ON OR AFTER JANUARY
 FIRST, TWO THOUSAND TWENTY-TWO AND BEFORE JANUARY  FIRST,  TWO  THOUSAND
 TWENTY-SIX, THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SECTION SHALL BE
 EQUAL  TO THE PRODUCT OF THE TOTAL NUMBER OF ELIGIBLE FARM EMPLOYEES AND
 TWELVE HUNDRED DOLLARS.
   § 2. Section 5 of part RR of chapter 60 of the laws of  2016  amending
 the  tax  law relating to creating a farm workforce retention credit, as
 amended by section 2 of part FF of chapter 59 of the laws  of  2021,  is
 amended to read as follows:
 S. 8009--C                         17                         A. 9009--C
 
   §  5.  This  act shall take effect immediately and shall apply only to
 taxable years beginning on or after January 1, 2017 and  before  January
 1, [2025] 2026.
   § 3. This act shall take effect immediately.
 
                                 SUBPART C
 
   Section  1.  Subdivision (f) of section 42 of the tax law, as added by
 section 1 of part RR of chapter 60 of the laws of 2016,  is  amended  to
 read as follows:
   (f)  A  taxpayer  claiming the credit allowed under this section shall
 not be allowed to claim any other tax credit allowed under this chapter,
 EXCEPT THE CREDIT ALLOWED UNDER SECTION  FORTY-TWO-A  OF  THIS  ARTICLE,
 with  respect to any eligible farm employee included in the total number
 of eligible farm employees used to determine the amount  of  the  credit
 allowed under this section.
   §  2.  The  tax law is amended by adding a new section 42-a to read as
 follows:
   § 42-A. FARM EMPLOYER OVERTIME CREDIT. (A) NOTWITHSTANDING SUBDIVISION
 (F) OF SECTION FORTY-TWO OF THIS ARTICLE, A  TAXPAYER  THAT  IS  A  FARM
 EMPLOYER  OR  AN OWNER OF A FARM EMPLOYER SHALL BE ELIGIBLE FOR A CREDIT
 AGAINST THE TAX IMPOSED UNDER ARTICLE NINE-A OR TWENTY-TWO OF THIS CHAP-
 TER, PURSUANT TO THE PROVISIONS REFERENCED IN SUBDIVISION  (I)  OF  THIS
 SECTION.
   (B)  A  FARM  EMPLOYER IS A CORPORATION (INCLUDING A NEW YORK S CORPO-
 RATION), A SOLE PROPRIETORSHIP, A LIMITED LIABILITY COMPANY OR  A  PART-
 NERSHIP THAT IS AN ELIGIBLE FARMER.
   (C)  FOR  PURPOSES OF THIS SECTION, THE TERM "ELIGIBLE FARMER" MEANS A
 TAXPAYER  WHOSE  FEDERAL  GROSS  INCOME  FROM  FARMING  AS  DEFINED   IN
 SUBSECTION  (N) OF SECTION SIX HUNDRED SIX OF THIS CHAPTER FOR THE TAXA-
 BLE YEAR IS AT LEAST TWO-THIRDS OF EXCESS FEDERAL GROSS  INCOME.  EXCESS
 FEDERAL  GROSS  INCOME MEANS THE AMOUNT OF FEDERAL GROSS INCOME FROM ALL
 SOURCES FOR THE TAXABLE YEAR IN EXCESS OF THIRTY THOUSAND  DOLLARS.  FOR
 PURPOSES  OF THIS SECTION, PAYMENTS FROM THE STATE'S FARMLAND PROTECTION
 PROGRAM, ADMINISTERED BY THE  DEPARTMENT  OF  AGRICULTURE  AND  MARKETS,
 SHALL  BE  INCLUDED  AS  FEDERAL GROSS INCOME FROM FARMING FOR OTHERWISE
 ELIGIBLE FARMERS.
   (D) AN ELIGIBLE FARM EMPLOYEE IS AN INDIVIDUAL  WHO  MEETS  THE  DEFI-
 NITION  OF  A  "FARM  LABORER" UNDER SECTION TWO OF THE LABOR LAW WHO IS
 EMPLOYED BY A FARM EMPLOYER IN NEW YORK  STATE,  BUT  EXCLUDING  GENERAL
 EXECUTIVE OFFICERS OF THE FARM EMPLOYER.
   (E)  ELIGIBLE  OVERTIME  IS  THE  AGGREGATE  NUMBER  OF  HOURS OF WORK
 PERFORMED DURING THE TAXABLE YEAR BY AN ELIGIBLE FARM EMPLOYEE  THAT  IN
 ANY CALENDAR WEEK EXCEEDS THE OVERTIME WORK THRESHOLD SET BY THE COMMIS-
 SIONER OF LABOR PURSUANT TO THE RECOMMENDATION OF THE FARM LABORERS WAGE
 BOARD,  PROVIDED  THAT WORK PERFORMED IN SUCH CALENDAR WEEK IN EXCESS OF
 SIXTY HOURS SHALL NOT BE INCLUDED.
   (F) SPECIAL RULES. IF MORE THAN FIFTY PERCENT OF SUCH  ELIGIBLE  FARM-
 ER'S  FEDERAL  GROSS INCOME FROM FARMING IS FROM THE SALE OF WINE FROM A
 LICENSED FARM WINERY AS PROVIDED FOR IN ARTICLE  SIX  OF  THE  ALCOHOLIC
 BEVERAGE  CONTROL  LAW,  OR  FROM THE SALE OF CIDER FROM A LICENSED FARM
 CIDERY AS PROVIDED FOR IN SECTION FIFTY-EIGHT-C OF THE ALCOHOLIC  BEVER-
 AGE  CONTROL LAW, THEN AN ELIGIBLE FARM EMPLOYEE OF SUCH ELIGIBLE FARMER
 SHALL BE INCLUDED FOR PURPOSES  OF  CALCULATING  THE  AMOUNT  OF  CREDIT
 ALLOWED  UNDER  THIS  SECTION  ONLY  IF  SUCH  ELIGIBLE FARM EMPLOYEE IS
 EMPLOYED BY SUCH ELIGIBLE FARMER ON QUALIFIED AGRICULTURAL  PROPERTY  AS
 S. 8009--C                         18                         A. 9009--C
 
 DEFINED  IN  PARAGRAPH FOUR OF SUBSECTION (N) OF SECTION SIX HUNDRED SIX
 OF THIS CHAPTER.
   (G) THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SECTION SHALL BE EQUAL
 TO THE AGGREGATE AMOUNT OF SUCH CREDIT ALLOWED PER ELIGIBLE FARM EMPLOY-
 EE,  AS  FOLLOWS.  THE  AMOUNT  OF  THE CREDIT ALLOWED PER ELIGIBLE FARM
 EMPLOYEE SHALL BE EQUAL TO ONE HUNDRED EIGHTEEN PERCENT OF  THE  PRODUCT
 OF  (1)  THE  ELIGIBLE  OVERTIME  WORKED  DURING THE TAXABLE YEAR BY THE
 ELIGIBLE FARM EMPLOYEE AND (2)  THE  OVERTIME  RATE  PAID  BY  THE  FARM
 EMPLOYER TO THE ELIGIBLE FARM EMPLOYEE LESS SUCH EMPLOYEE'S REGULAR RATE
 OF PAY.
   (H)(1)  TAXPAYERS  SHALL HAVE THE OPTION TO REQUEST AN ADVANCE PAYMENT
 OF THE PORTION OF THE AMOUNT OF TAX CREDIT THEY ARE ALLOWED  UNDER  THIS
 SECTION  FOR THE AMOUNT OF ELIGIBLE OVERTIME THAT THE FARM EMPLOYER PAID
 FROM JANUARY FIRST THROUGH JULY THIRTY-FIRST. TO  BE  ELIGIBLE  FOR  THE
 ADVANCE  PAYMENT, THE FARM EMPLOYER MUST SUBMIT BY SEPTEMBER THIRTIETH A
 PROPERLY COMPLETED APPLICATION TO  THE  DEPARTMENT  OF  AGRICULTURE  AND
 MARKETS,  IN  A  FORM  PRESCRIBED BY THE COMMISSIONER OF AGRICULTURE AND
 MARKETS, THAT DEMONSTRATES HOW MUCH THE FARM EMPLOYER PAID  IN  ELIGIBLE
 OVERTIME DURING THAT PERIOD. AFTER REVIEWING A FARM EMPLOYER'S COMPLETED
 APPLICATION  FOR  THE  ADVANCE PAYMENT OF A PORTION OF THE AMOUNT OF TAX
 CREDIT ALLOWED UNDER THIS SECTION, THE  DEPARTMENT  OF  AGRICULTURE  AND
 MARKETS MAY ISSUE TO THAT FARM EMPLOYER A CERTIFICATE OF TAX CREDIT THAT
 SPECIFIES  THE  EXACT AMOUNT OF THE TAX CREDIT UNDER THIS ARTICLE THAT A
 TAXPAYER MAY CLAIM AS AN ADVANCE PAYMENT PURSUANT TO THIS SUBDIVISION.
   (2) A TAXPAYER MUST SUBMIT A REQUEST TO THE DEPARTMENT IN  THE  MANNER
 PRESCRIBED BY THE COMMISSIONER AFTER IT HAS BEEN ISSUED A CERTIFICATE OF
 TAX  CREDIT  BY  THE  DEPARTMENT  OF AGRICULTURE AND MARKETS PURSUANT TO
 PARAGRAPH ONE OF THIS SUBDIVISION (OR SUCH CERTIFICATE HAS  BEEN  ISSUED
 TO  A PARTNERSHIP, LIMITED LIABILITY COMPANY OR SUBCHAPTER S CORPORATION
 IN WHICH IT IS A PARTNER, MEMBER OR SHAREHOLDER, RESPECTIVELY, THAT IS A
 FARM EMPLOYER), BUT SUCH REQUEST MUST BE SUBMITTED NO LATER THAN  NOVEM-
 BER FIRST OF THE TAXABLE YEAR FOR WHICH THE CREDIT IS BEING CLAIMED. FOR
 THOSE  TAXPAYERS  WHO HAVE REQUESTED AN ADVANCE PAYMENT AND FOR WHOM THE
 COMMISSIONER HAS DETERMINED TO BE ELIGIBLE FOR THIS CREDIT, THE  COMMIS-
 SIONER SHALL ADVANCE A PAYMENT OF THE PORTION OF THE AMOUNT OF TAX CRED-
 IT  ALLOWED  TO  THE TAXPAYER. THE TAXPAYER WILL CLAIM ON THE TAXPAYERS'
 RETURN FOR THE TAXABLE YEAR THE PORTION OF  THE  AMOUNT  OF  TAX  CREDIT
 ALLOWED  FOR  ELIGIBLE  OVERTIME  PAID  BY THE FARM EMPLOYER FROM AUGUST
 FIRST THROUGH DECEMBER THIRTY-FIRST. THE TAXPAYER MUST  PROPERLY  RECON-
 CILE THE ADVANCE PAYMENT OF TAX CREDIT ALLOWED UNDER THIS SUBDIVISION ON
 THE TAXPAYER'S RETURN.
   (3)  IF  A  TAXPAYER  THAT  HAS  RECEIVED AN ADVANCE PAYMENT IS NOT AN
 ELIGIBLE FARMER FOR THE TAXABLE YEAR FOR WHICH IT  RECEIVED  AN  ADVANCE
 PAYMENT, THE TAXPAYER SHALL BE REQUIRED TO ADD BACK AS TAX THE AMOUNT OF
 ADVANCE PAYMENT THE TAXPAYER RECEIVED DURING THE TAXABLE YEAR.
   (4)  NOTWITHSTANDING  ANY  PROVISION OF THIS CHAPTER, EMPLOYEES OF THE
 DEPARTMENT OF AGRICULTURE  AND  MARKETS  AND  THE  DEPARTMENT  SHALL  BE
 ALLOWED TO SHARE AND EXCHANGE:
   (I)  INFORMATION  DERIVED FROM TAX RETURNS OR REPORTS THAT IS RELEVANT
 TO A TAXPAYER'S ELIGIBILITY FOR THE CREDIT ALLOWED BY THIS SECTION;
   (II) INFORMATION REGARDING THE CREDIT APPLIED FOR, ALLOWED OR  CLAIMED
 PURSUANT  TO  THIS SECTION AND REGARDING TAXPAYERS THAT ARE APPLYING FOR
 THE CREDIT OR THAT ARE CLAIMING THE CREDIT; AND
   (III) INFORMATION COLLECTED  BY  THE  DEPARTMENT  OF  AGRICULTURE  AND
 MARKETS  AND EXCHANGED BETWEEN THE DEPARTMENT OF AGRICULTURE AND MARKETS
 S. 8009--C                         19                         A. 9009--C
 
 AND THE DEPARTMENT PURSUANT TO THIS SECTION  SHALL  NOT  BE  SUBJECT  TO
 DISCLOSURE OR INSPECTION UNDER THE STATE'S FREEDOM OF INFORMATION LAW.
   (I)  CROSS  REFERENCES: FOR APPLICATION OF THE CREDIT PROVIDED IN THIS
 SECTION, SEE THE FOLLOWING PROVISIONS OF THIS CHAPTER:
   (1) ARTICLE 9-A: SECTION 210-B, SUBDIVISION 58.
   (2) ARTICLE 22: SECTION 606, SUBSECTION (NNN).
   § 3. Section 210-B of the tax law is amended by adding a new  subdivi-
 sion 58 to read as follows:
   58. FARM EMPLOYER OVERTIME CREDIT.  (A) ALLOWANCE OF CREDIT. A TAXPAY-
 ER  SHALL  BE  ALLOWED  A  CREDIT, TO BE COMPUTED AS PROVIDED IN SECTION
 FORTY-TWO-A OF THIS CHAPTER, AGAINST THE TAX IMPOSED BY THIS ARTICLE.
   (B) 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 AMOUNT PRESCRIBED  IN  PARAGRAPH  (D)  OF  SUBDIVISION  ONE  OF
 SECTION TWO HUNDRED TEN OF THIS ARTICLE. HOWEVER, IF THE AMOUNT OF CRED-
 IT  ALLOWED  UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR REDUCES THE TAX
 TO SUCH AMOUNT OR IF THE TAXPAYER OTHERWISE PAYS TAX BASED ON THE  FIXED
 DOLLAR  MINIMUM 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.  PROVIDED,  HOWEVER,  THE  PROVISIONS  OF
 SUBSECTION (C) OF SECTION ONE  THOUSAND  EIGHTY-EIGHT  OF  THIS  CHAPTER
 NOTWITHSTANDING, 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  (xlix)  to  read  as
 follows:
 (XLIX) FARM EMPLOYER OVERTIME        AMOUNT OF CREDIT UNDER
 CREDIT UNDER SUBSECTION (NNN)        SUBDIVISION FIFTY-EIGHT OF
                                      SECTION TWO HUNDRED TEN-B
   §  5. Section 606 of the tax law is amended by adding a new subsection
 (nnn) to read as follows:
   (NNN) FARM EMPLOYER OVERTIME CREDIT. (1) A TAXPAYER SHALL BE ALLOWED A
 CREDIT, TO BE COMPUTED AS PROVIDED IN SECTION FORTY-TWO-A OF THIS  CHAP-
 TER, AGAINST THE TAX IMPOSED BY THIS ARTICLE.
   (2)  APPLICATION OF CREDIT. IF THE AMOUNT OF CREDIT ALLOWED UNDER THIS
 SUBSECTION FOR ANY TAXABLE YEAR EXCEEDS  THE  TAXPAYER'S  TAX  FOR  SUCH
 YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDIT-
 ED  OR  REFUNDED IN ACCORDANCE WITH THE PROVISION OF SECTION SIX HUNDRED
 EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST SHALL BE
 PAID THEREON.
   § 6. This act shall take effect immediately and shall apply to taxable
 years beginning on or after January 1, 2022.
   § 2. This act shall take effect immediately  provided,  however,  that
 the  applicable effective date of Subparts A through C of this act shall
 be as specifically set forth in the last section of such Subparts.
 
                                  PART C
 
   Section 1. Paragraph 39 of subsection (c) of section 612  of  the  tax
 law,  as added by section 1 of part Y of chapter 59 of the laws of 2013,
 is amended to read as follows:
   (39) (A) In the case of a taxpayer who is  a  small  business    OR  A
 TAXPAYER WHO IS A MEMBER, PARTNER, OR SHAREHOLDER OF A LIMITED LIABILITY
 COMPANY, PARTNERSHIP, OR NEW YORK S CORPORATION, RESPECTIVELY, THAT IS A
 SMALL  BUSINESS,  who OR WHICH has business income and/or farm income as
 defined in the laws of the United States, an  amount  equal  to  [three]
 S. 8009--C                         20                         A. 9009--C
 
 FIFTEEN  percent  of  the  net items of income, gain, loss and deduction
 attributable to such business or farm  entering  into  federal  adjusted
 gross income, but not less than zero[, for taxable years beginning after
 two  thousand  thirteen,  an  amount  equal  to three and three-quarters
 percent of the net items of income, gain, loss and  deduction  attribut-
 able  to  such  business  or  farm  entering into federal adjusted gross
 income, but not less than zero, for taxable years  beginning  after  two
 thousand  fourteen, and an amount equal to five percent of the net items
 of income, gain, loss and deduction attributable  to  such  business  or
 farm  entering  into  federal  adjusted  gross income, but not less than
 zero, for taxable years beginning after two thousand fifteen].
   (B) (I) For the purposes of this paragraph, the  term  small  business
 shall  mean:  (I) a sole proprietor [or a farm business] who employs one
 or more persons during the taxable year and who has net business  income
 or  net farm income of GREATER THAN ZERO BUT less than two hundred fifty
 thousand dollars;
   (II) A LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW  YORK  S  CORPO-
 RATION  THAT DURING THE TAXABLE YEAR EMPLOYS ONE OR MORE PERSONS AND HAS
 NET FARM INCOME ATTRIBUTABLE TO A FARM BUSINESS  THAT  IS  GREATER  THAN
 ZERO BUT LESS THAN TWO HUNDRED FIFTY THOUSAND DOLLARS; OR
   (III)  A  LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW YORK S CORPO-
 RATION THAT DURING THE TAXABLE YEAR EMPLOYS ONE OR MORE PERSONS AND  HAS
 NEW  YORK GROSS BUSINESS INCOME ATTRIBUTABLE TO A NON-FARM BUSINESS THAT
 IS GREATER THAN ZERO BUT LESS THAN ONE  MILLION  FIVE  HUNDRED  THOUSAND
 DOLLARS.
   (II)  FOR PURPOSES OF THIS PARAGRAPH, THE TERM NEW YORK GROSS BUSINESS
 INCOME SHALL MEAN: (I) IN THE CASE OF A LIMITED LIABILITY COMPANY  OR  A
 PARTNERSHIP, NEW YORK SOURCE GROSS INCOME AS DEFINED IN SUBPARAGRAPH (B)
 OF  PARAGRAPH THREE OF SUBSECTION (C) OF SECTION SIX HUNDRED FIFTY-EIGHT
 OF THIS ARTICLE; AND (II) IN THE CASE OF A NEW YORK S  CORPORATION,  NEW
 YORK  RECEIPTS  INCLUDED  IN  THE  NUMERATOR OF THE APPORTIONMENT FACTOR
 DETERMINED UNDER SECTION TWO HUNDRED TEN-A OF THIS CHAPTER FOR THE TAXA-
 BLE YEAR.
   (C) TO QUALIFY FOR THIS MODIFICATION IN RELATION TO A  NON-FARM  SMALL
 BUSINESS THAT IS A LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW YORK S
 CORPORATION,  THE  TAXPAYER'S  INCOME  ATTRIBUTABLE  TO THE NET BUSINESS
 INCOME FROM ITS OWNERSHIP INTERESTS IN NON-FARM LIMITED LIABILITY COMPA-
 NIES, PARTNERSHIPS, OR NEW YORK S CORPORATIONS MUST  BE  LESS  THAN  TWO
 HUNDRED FIFTY THOUSAND DOLLARS.
   §  2. Paragraph 35 of subdivision (c) of section 11-1712 of the admin-
 istrative code of the city of New York, as added by section 2 of part  Y
 of chapter 59 of the laws of 2013, is amended to read as follows:
   (35)  (A)  In  the  case  of  a  taxpayer who is a small business OR A
 TAXPAYER WHO IS A MEMBER, PARTNER, OR SHAREHOLDER OF A LIMITED LIABILITY
 COMPANY, PARTNERSHIP, OR NEW YORK S CORPORATION, RESPECTIVELY, THAT IS A
 SMALL BUSINESS, who OR WHICH has business income and/or farm  income  as
 defined  in  the  laws  of the United States, an amount equal to [three]
 FIFTEEN percent of the net items of income,  gain,  loss  and  deduction
 attributable  to  such  business  or farm entering into federal adjusted
 gross income, but not less than zero[, for taxable years beginning after
 two thousand thirteen, an  amount  equal  to  three  and  three-quarters
 percent  of  the net items of income, gain, loss and deduction attribut-
 able to such business or  farm  entering  into  federal  adjusted  gross
 income,  but  not  less than zero, for taxable years beginning after two
 thousand fourteen, and an amount equal to five percent of the net  items
 of  income,  gain,  loss  and deduction attributable to such business or
 S. 8009--C                         21                         A. 9009--C

 farm entering into federal adjusted gross  income,  but  not  less  than
 zero, for taxable years beginning after two thousand fifteen].
   (B)  (I)  For  the purposes of this paragraph, the term small business
 shall mean: (I) a sole proprietor [or a farm business] who  employs  one
 or  more persons during the taxable year and who has net business income
 or net farm income of GREATER THAN ZERO BUT less than two hundred  fifty
 thousand dollars;
   (II)  A  LIMITED  LIABILITY COMPANY, PARTNERSHIP, OR NEW YORK S CORPO-
 RATION THAT DURING THE TAXABLE YEAR EMPLOYS ONE OR MORE PERSONS AND  HAS
 NET  FARM  INCOME  THAT  IS  GREATER THAN ZERO BUT LESS THAN TWO HUNDRED
 FIFTY THOUSAND DOLLARS; OR
   (III) A LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW YORK  S  CORPO-
 RATION  THAT DURING THE TAXABLE YEAR EMPLOYS ONE OR MORE PERSONS AND HAS
 NEW YORK GROSS BUSINESS INCOME ATTRIBUTABLE TO A NON-FARM BUSINESS  THAT
 IS  GREATER  THAN  ZERO  BUT LESS THAN ONE MILLION FIVE HUNDRED THOUSAND
 DOLLARS.
   (II) FOR PURPOSES OF THIS PARAGRAPH, THE TERM NEW YORK GROSS  BUSINESS
 INCOME  SHALL  MEAN: (I) IN THE CASE OF A LIMITED LIABILITY COMPANY OR A
 PARTNERSHIP, NEW YORK SOURCE GROSS INCOME AS DEFINED IN SUBPARAGRAPH (B)
 OR PARAGRAPH THREE OF SUBSECTION (C) OF SECTION SIX HUNDRED  FIFTY-EIGHT
 OF  THE  TAX LAW, AND, (II) IN THE CASE OF A NEW YORK S CORPORATION, NEW
 YORK RECEIPTS INCLUDED IN THE  NUMERATOR  OF  THE  APPORTIONMENT  FACTOR
 DETERMINED  UNDER SECTION TWO HUNDRED TEN-A OF THE TAX LAW FOR THE TAXA-
 BLE YEAR.
   (C) TO QUALIFY FOR THIS MODIFICATION IN RELATION TO A  NON-FARM  SMALL
 BUSINESS THAT IS A LIMITED LIABILITY COMPANY, PARTNERSHIP, OR NEW YORK S
 CORPORATION,  THE  TAXPAYER'S  INCOME  ATTRIBUTABLE  TO THE NET BUSINESS
 INCOME FROM ITS OWNERSHIP INTERESTS IN NON-FARM LIMITED LIABILITY COMPA-
 NIES, PARTNERSHIPS, OR NEW YORK S CORPORATIONS MUST  BE  LESS  THAN  TWO
 HUNDRED FIFTY THOUSAND DOLLARS.
   § 3. This act shall take effect immediately and shall apply to taxable
 years beginning on or after January 1, 2022.
 
                                  PART D
 
   Section 1.  Subsection (c) of section 612 of the tax law is amended by
 adding a new paragraph 46 to read as follows:
   (46)  THE  AMOUNT  OF  ANY  STUDENT LOAN FORGIVENESS AWARD MADE BY THE
 STATE, INCLUDING ANY AWARDS MADE PURSUANT TO A PROGRAM ESTABLISHED UNDER
 ARTICLE FOURTEEN OF THE EDUCATION LAW TO THE EXTENT INCLUDED IN  FEDERAL
 ADJUSTED GROSS INCOME.
   §  2.  This  act  shall take effect immediately and shall apply to tax
 years beginning on or after January 1, 2022.
 
                                  PART E
 
   Section 1. The economic development law is amended  by  adding  a  new
 article 26 to read as follows:
                                ARTICLE 26
                 COVID-19 CAPITAL COSTS TAX CREDIT PROGRAM
 SECTION 480. SHORT TITLE.
         481. STATEMENT OF LEGISLATIVE FINDINGS AND DECLARATION.
         482. DEFINITIONS.
         483. ELIGIBILITY CRITERIA.
         484. APPLICATION AND APPROVAL PROCESS.
         485. COVID-19 CAPITAL COSTS TAX CREDIT.
 S. 8009--C                         22                         A. 9009--C
 
         486. POWERS AND DUTIES OF THE COMMISSIONER.
         487. MAINTENANCE OF RECORDS.
         488. REPORTING.
         489. CAP ON TAX CREDIT.
   §  480.  SHORT  TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED AS
 THE "COVID-19 CAPITAL COSTS TAX CREDIT PROGRAM ACT".
   § 481. STATEMENT OF LEGISLATIVE FINDINGS AND DECLARATION. IT IS HEREBY
 FOUND AND DECLARED THAT NEW YORK STATE NEEDS,  AS  A  MATTER  OF  PUBLIC
 POLICY,  TO  PROVIDE  CRITICAL  ASSISTANCE TO SMALL BUSINESSES TO COMPLY
 WITH PUBLIC HEALTH OR OTHER EMERGENCY ORDERS OR REGULATIONS, AND TO TAKE
 INFECTIOUS DISEASE MITIGATION MEASURES RELATED TO THE COVID-19 PANDEMIC.
 THE COVID-19 CAPITAL COSTS TAX CREDIT  PROGRAM  IS  CREATED  TO  PROVIDE
 FINANCIAL  ASSISTANCE  TO ECONOMICALLY HARMED BUSINESSES TO OFFER RELIEF
 AND REDUCE THE DURATION AND SEVERITY OF THE CURRENT  ECONOMIC  DIFFICUL-
 TIES.
   § 482. DEFINITIONS. FOR THE PURPOSES OF THIS ARTICLE:
   1. "CERTIFICATE OF TAX CREDIT" MEANS THE DOCUMENT ISSUED TO A BUSINESS
 ENTITY  BY  THE  DEPARTMENT  AFTER  THE DEPARTMENT HAS VERIFIED THAT THE
 BUSINESS ENTITY HAS MET ALL  APPLICABLE  ELIGIBILITY  CRITERIA  IN  THIS
 ARTICLE. THE CERTIFICATE SHALL SPECIFY THE EXACT AMOUNT OF THE TAX CRED-
 IT  UNDER  THIS  ARTICLE  THAT  A BUSINESS ENTITY MAY CLAIM, PURSUANT TO
 SECTION FOUR HUNDRED EIGHTY-FIVE OF THIS ARTICLE.
   2. "COMMISSIONER" SHALL MEAN COMMISSIONER OF THE DEPARTMENT OF ECONOM-
 IC DEVELOPMENT.
   3. "DEPARTMENT" SHALL MEAN THE DEPARTMENT OF ECONOMIC DEVELOPMENT.
   4. "QUALIFIED COVID-19 CAPITAL COSTS" SHALL MEAN COSTS  INCURRED  FROM
 JANUARY  FIRST,  TWO  THOUSAND TWENTY-ONE THROUGH DECEMBER THIRTY-FIRST,
 TWO THOUSAND TWENTY-TWO AT A BUSINESS LOCATION  IN  NEW  YORK  STATE  TO
 COMPLY  WITH  PUBLIC  HEALTH  OR  OTHER  EMERGENCY ORDERS OR REGULATIONS
 RELATED TO THE  COVID-19  PANDEMIC,  OR  TO  GENERALLY  INCREASE  SAFETY
 THROUGH INFECTIOUS DISEASE MITIGATION, INCLUDING COSTS FOR: (I) SUPPLIES
 TO DISINFECT AND/OR PROTECT AGAINST COVID-19 TRANSMISSION; (II) RESTOCK-
 ING  OF  PERISHABLE  GOODS  TO  REPLACE  THOSE  LOST DURING THE COVID-19
 PANDEMIC; (III) PHYSICAL BARRIERS AND SNEEZE GUARDS; (IV) HAND SANITIZER
 STATIONS; (V) RESPIRATORY DEVICES SUCH AS AIR PURIFIER SYSTEMS INSTALLED
 AT THE BUSINESS ENTITY'S LOCATION; (VI) SIGNAGE RELATED TO THE  COVID-19
 PANDEMIC  INCLUDING,  BUT  NOT LIMITED TO, SIGNAGE DETAILING VACCINE AND
 MASKING REQUIREMENTS, AND SOCIAL DISTANCING; (VII) MATERIALS REQUIRED TO
 DEFINE AND/OR PROTECT SPACE SUCH AS BARRIERS; (VIII) MATERIALS NEEDED TO
 BLOCK OFF CERTAIN SEATS TO ALLOW FOR  SOCIAL  DISTANCING;  (IX)  CERTAIN
 POINT  OF  SALE  PAYMENT EQUIPMENT TO ALLOW FOR CONTACTLESS PAYMENT; (X)
 EQUIPMENT AND/OR  MATERIALS  AND  SUPPLIES  FOR  NEW  PRODUCT  LINES  IN
 RESPONSE  TO  THE  COVID-19  PANDEMIC;  (XI) SOFTWARE FOR ONLINE PAYMENT
 PLATFORMS TO ENABLE DELIVERY OR CONTACTLESS  PURCHASES;  (XII)  BUILDING
 CONSTRUCTION  AND RETROFITS TO ACCOMMODATE SOCIAL DISTANCING AND INSTAL-
 LATION OF AIR PURIFYING EQUIPMENT BUT NOT  FOR  COSTS  FOR  NON-COVID-19
 PANDEMIC RELATED CAPITAL RENOVATIONS OR GENERAL "CLOSED FOR RENOVATIONS"
 UPGRADES;  (XIII)  MACHINERY  AND  EQUIPMENT  TO ACCOMMODATE CONTACTLESS
 SALES; (XIV) MATERIALS TO ACCOMMODATE INCREASED OUTDOOR ACTIVITY SUCH AS
 HEAT LAMPS, OUTDOOR LIGHTING, AND MATERIALS  RELATED  TO  OUTDOOR  SPACE
 EXPANSIONS;  AND  (XV) OTHER COSTS AS DETERMINED BY THE DEPARTMENT TO BE
 ELIGIBLE UNDER THIS SECTION; PROVIDED, HOWEVER, THAT "QUALIFIED COVID-19
 CAPITAL COSTS" DO NOT INCLUDE ANY COSTS PAID  FOR  WITH  OTHER  COVID-19
 GRANT FUNDS AS DETERMINED BY THE COMMISSIONER.
   §  483. ELIGIBILITY CRITERIA. 1. TO BE ELIGIBLE FOR A TAX CREDIT UNDER
 THE COVID-19 CAPITAL COSTS TAX CREDIT PROGRAM, A BUSINESS ENTITY MUST:
 S. 8009--C                         23                         A. 9009--C

   (A) BE A SMALL BUSINESS AS DEFINED IN SECTION ONE  HUNDRED  THIRTY-ONE
 OF  THIS  CHAPTER  AND HAVE TWO MILLION FIVE HUNDRED THOUSAND DOLLARS OR
 LESS OF GROSS RECEIPTS IN THE TAXABLE YEAR THAT INCLUDES DECEMBER  THIR-
 TY-FIRST, TWO THOUSAND TWENTY-ONE;
   (B) OPERATE A BUSINESS LOCATION IN NEW YORK STATE; AND
   (C)  HAVE AT LEAST TWO THOUSAND DOLLARS IN QUALIFYING COVID-19 CAPITAL
 COSTS.
   2. A BUSINESS ENTITY MUST BE IN SUBSTANTIAL COMPLIANCE WITH ANY PUBLIC
 HEALTH OR OTHER EMERGENCY ORDERS OR REGULATIONS RELATED TO THE  ENTITY'S
 BUSINESS  SECTOR  OR  OTHER  LAWS  AND  REGULATIONS AS DETERMINED BY THE
 COMMISSIONER. IN ADDITION, A BUSINESS ENTITY MAY NOT OWE PAST DUE  STATE
 TAXES  OR  LOCAL  PROPERTY  TAXES  UNLESS  THE BUSINESS ENTITY IS MAKING
 PAYMENTS AND  COMPLYING  WITH  AN  APPROVED  BINDING  PAYMENT  AGREEMENT
 ENTERED INTO WITH THE TAXING AUTHORITY.
   §  484.  APPLICATION  AND  APPROVAL PROCESS. 1. A BUSINESS ENTITY MUST
 SUBMIT A COMPLETE APPLICATION AS PRESCRIBED BY THE COMMISSIONER.
   2. THE COMMISSIONER SHALL ESTABLISH PROCEDURES  AND  A  TIMEFRAME  FOR
 BUSINESS  ENTITIES  TO  SUBMIT APPLICATIONS. AS PART OF THE APPLICATION,
 EACH BUSINESS ENTITY MUST:
   (A) PROVIDE EVIDENCE IN A FORM AND MANNER PRESCRIBED  BY  THE  COMMIS-
 SIONER OF THEIR BUSINESS ELIGIBILITY;
   (B) AGREE TO ALLOW THE DEPARTMENT OF TAXATION AND FINANCE TO SHARE THE
 BUSINESS  ENTITY'S  TAX  INFORMATION  WITH  THE DEPARTMENT. HOWEVER, ANY
 INFORMATION SHARED AS A RESULT OF THIS PROGRAM SHALL  NOT  BE  AVAILABLE
 FOR DISCLOSURE OR INSPECTION UNDER THE STATE FREEDOM OF INFORMATION LAW;
   (C)  ALLOW  THE  DEPARTMENT AND ITS AGENTS ACCESS TO ANY AND ALL BOOKS
 AND RECORDS THE DEPARTMENT MAY REQUIRE TO MONITOR COMPLIANCE;
   (D) CERTIFY, UNDER PENALTY OF  PERJURY,  THAT  IT  IS  IN  SUBSTANTIAL
 COMPLIANCE  WITH  ALL  EMERGENCY  ORDERS  OR  PUBLIC  HEALTH REGULATIONS
 CURRENTLY REQUIRED OF SUCH ENTITY, AND LOCAL, AND STATE TAX LAWS;
   (E) CERTIFY, UNDER PENALTY OF PERJURY, THAT IT  DID  NOT  INCLUDE  ANY
 COST  PAID  FOR  WITH  OTHER  COVID-19  GRANT FUNDS AS DETERMINED BY THE
 COMMISSIONER IN ITS APPLICATION FOR A  TAX  CREDIT  UNDER  THE  COVID-19
 CAPITAL COSTS TAX CREDIT PROGRAM; AND
   (F)  AGREE  TO  PROVIDE  ANY  ADDITIONAL  INFORMATION  REQUIRED BY THE
 DEPARTMENT RELEVANT TO THIS ARTICLE.
   3. AFTER REVIEWING A BUSINESS ENTITY'S COMPLETED FINAL APPLICATION AND
 DETERMINING THAT THE BUSINESS ENTITY MEETS THE ELIGIBILITY  CRITERIA  AS
 SET  FORTH  IN  THIS  ARTICLE, THE DEPARTMENT MAY ISSUE TO THAT BUSINESS
 ENTITY A CERTIFICATE OF TAX CREDIT.
   4. THE BUSINESS ENTITY MUST SUBMIT ITS APPLICATION  BY  MARCH  THIRTY-
 FIRST, TWO THOUSAND TWENTY-THREE.
   §  485. COVID-19 CAPITAL COSTS TAX CREDIT. 1. A BUSINESS ENTITY IN THE
 COVID-19 CAPITAL COSTS TAX CREDIT PROGRAM  THAT  MEETS  THE  ELIGIBILITY
 REQUIREMENTS OF SECTION FOUR HUNDRED EIGHTY-THREE OF THIS ARTICLE MAY BE
 ELIGIBLE  TO  CLAIM  A  CREDIT  EQUAL  TO FIFTY PERCENT OF ITS QUALIFIED
 COVID-19 CAPITAL COSTS AS DEFINED IN SUBDIVISION FOUR  OF  SECTION  FOUR
 HUNDRED EIGHTY-TWO OF THIS ARTICLE.  PROVIDED, HOWEVER, THAT SUCH CREDIT
 SHALL NOT BE LESS THAN ONE THOUSAND DOLLARS.
   2.  A  BUSINESS  ENTITY,  INCLUDING  A  PARTNERSHIP, LIMITED LIABILITY
 COMPANY AND SUBCHAPTER S CORPORATION, MAY NOT RECEIVE IN EXCESS OF TWEN-
 TY-FIVE THOUSAND DOLLARS UNDER THIS PROGRAM.
   3. THE CREDIT SHALL BE ALLOWED AS  PROVIDED  IN  SECTION  FORTY-SEVEN,
 SUBDIVISION  FIFTY-EIGHT  OF  SECTION  TWO  HUNDRED TEN-B AND SUBSECTION
 (NNN) OF SECTION SIX HUNDRED SIX OF THE TAX LAW.
 S. 8009--C                         24                         A. 9009--C
 
   4. A BUSINESS ENTITY MAY CLAIM THE TAX CREDIT IN THE TAXABLE YEAR THAT
 INCLUDES THE DATE THE CERTIFICATE  OF  TAX  CREDIT  WAS  ISSUED  BY  THE
 DEPARTMENT  PURSUANT TO SUBDIVISION THREE OF SECTION FOUR HUNDRED EIGHT-
 Y-FOUR OF THIS ARTICLE.
   §  486. POWERS AND DUTIES OF THE COMMISSIONER. 1. THE COMMISSIONER MAY
 PROMULGATE REGULATIONS ESTABLISHING AN APPLICATION PROCESS AND ELIGIBIL-
 ITY CRITERIA, THAT WILL BE APPLIED CONSISTENT WITH THE PURPOSES OF  THIS
 ARTICLE,  SO AS NOT TO EXCEED THE ANNUAL CAP ON TAX CREDITS SET FORTH IN
 SECTION FOUR HUNDRED EIGHTY-NINE OF THIS ARTICLE WHICH,  NOTWITHSTANDING
 ANY  PROVISIONS  TO  THE  CONTRARY IN THE STATE ADMINISTRATIVE PROCEDURE
 ACT, MAY BE ADOPTED ON AN EMERGENCY BASIS.
   2. THE COMMISSIONER SHALL, IN  CONSULTATION  WITH  THE  DEPARTMENT  OF
 TAXATION  AND FINANCE, DEVELOP A CERTIFICATE OF TAX CREDIT THAT SHALL BE
 ISSUED BY THE COMMISSIONER  TO  ELIGIBLE  BUSINESSES.  SUCH  CERTIFICATE
 SHALL CONTAIN SUCH INFORMATION AS REQUIRED BY THE DEPARTMENT OF TAXATION
 AND FINANCE.
   3.  THE  COMMISSIONER  SHALL  SOLELY  DETERMINE THE ELIGIBILITY OF ANY
 APPLICANT APPLYING FOR ENTRY INTO THE PROGRAM AND SHALL REMOVE ANY BUSI-
 NESS ENTITY FROM THE PROGRAM FOR FAILING TO MEET ANY OF THE REQUIREMENTS
 SET FORTH IN SECTION FOUR HUNDRED EIGHTY-THREE OF THIS ARTICLE,  OR  FOR
 FAILING TO MEET THE REQUIREMENTS SET FORTH IN SUBDIVISION ONE OF SECTION
 FOUR HUNDRED EIGHTY-FOUR OF THIS ARTICLE.
   §  487.  MAINTENANCE OF RECORDS. EACH BUSINESS ENTITY PARTICIPATING IN
 THE PROGRAM SHALL KEEP  ALL  RELEVANT  RECORDS  FOR  THEIR  DURATION  OF
 PROGRAM PARTICIPATION FOR AT LEAST THREE YEARS.
   §  488.  REPORTING. EACH BUSINESS ENTITY PARTICIPATING IN THIS PROGRAM
 SHALL SUBMIT A PERFORMANCE REPORT TO THE DEPARTMENT AT A TIME PRESCRIBED
 IN REGULATIONS BY THE COMMISSIONER. THE COMMISSIONER SHALL ON OR  BEFORE
 APRIL  FIRST,  TWO  THOUSAND  TWENTY-THREE AND EVERY QUARTER  THEREAFTER
 UNTIL PROGRAM FUNDS ARE FULLY EXPENDED, SUBMIT A REPORT TO THE GOVERNOR,
 THE  TEMPORARY PRESIDENT OF THE SENATE, THE SPEAKER OF THE ASSEMBLY, THE
 CHAIR  OF  THE  SENATE  FINANCE COMMITTEE, AND THE CHAIR OF THE ASSEMBLY
 WAYS AND MEANS COMMITTEE, SETTING FORTH THE ACTIVITIES UNDERTAKEN BY THE
 PROGRAM. SUCH REPORT SHALL INCLUDE, BUT NOT NECESSARILY BE LIMITED   TO,
 THE FOLLOWING  IN  EACH  REPORTING PERIOD TO THE EXTENT SUCH INFORMATION
 IS  AVAILABLE:  TOTAL  NUMBER OF PARTICIPANTS  APPROVED AND THE ECONOMIC
 DEVELOPMENT REGION IN WHICH  THE  BUSINESS  IS LOCATED; TOTAL AMOUNT  OF
 PAYMENTS  DISBURSED  AND  TAX  CREDITS CLAIMED, AND AVERAGE   AMOUNT  OF
 PAYMENTS DISBURSED AND TAX CREDITS CLAIMED; NAMES OF PAYMENT  RECIPIENTS
 AND  TAX  CREDITS CLAIMED; AND SUCH  OTHER  INFORMATION AS  THE  COMMIS-
 SIONER DETERMINES NECESSARY AND APPROPRIATE TO EFFECTUATE THE PURPOSE OF
 THE PROGRAM. SUCH REPORTS SHALL, AT  THE  SAME  TIME,  BE INCLUDED    ON
 THE DEPARTMENT'S WEBSITE AND ANY OTHER PUBLICLY ACCESSIBLE DATABASE THAT
 LISTS ECONOMIC DEVELOPMENT PROGRAMS AS DETERMINED  BY  THE DEPARTMENT.
   §  489.  CAP  ON TAX CREDIT. THE TOTAL AMOUNT OF TAX CREDITS LISTED ON
 CERTIFICATES OF TAX CREDIT ISSUED BY THE COMMISSIONER PURSUANT  TO  THIS
 ARTICLE MAY NOT EXCEED TWO HUNDRED FIFTY MILLION DOLLARS.
   §  2.  The  tax  law  is amended by adding a new section 47 to read as
 follows:
   § 47. COVID-19 CAPITAL COSTS TAX CREDIT. (A) ALLOWANCE  OF  CREDIT.  A
 TAXPAYER SUBJECT TO TAX UNDER ARTICLE NINE-A OR TWENTY-TWO OF THIS CHAP-
 TER  SHALL  BE  ALLOWED  A  CREDIT  AGAINST  SUCH  TAX,  PURSUANT TO THE
 PROVISIONS REFERENCED IN SUBDIVISION (F) OF THIS SECTION. THE AMOUNT  OF
 THE  CREDIT  IS  EQUAL TO THE AMOUNT DETERMINED PURSUANT TO SECTION FOUR
 HUNDRED EIGHTY-FIVE OF THE ECONOMIC DEVELOPMENT LAW. NO COST OR  EXPENSE
 PAID OR INCURRED BY THE TAXPAYER WHICH IS INCLUDED AS PART OF THE CALCU-
 S. 8009--C                         25                         A. 9009--C
 
 LATION OF THIS CREDIT SHALL BE THE BASIS OF ANY OTHER TAX CREDIT ALLOWED
 UNDER THIS CHAPTER.
   (B)  ELIGIBILITY.  TO  BE  ELIGIBLE FOR THE COVID-19 CAPITAL COSTS TAX
 CREDIT, THE TAXPAYER SHALL HAVE BEEN ISSUED A CERTIFICATE OF TAX  CREDIT
 BY  THE DEPARTMENT OF ECONOMIC DEVELOPMENT PURSUANT TO SUBDIVISION THREE
 OF SECTION FOUR HUNDRED EIGHTY-FOUR OF  THE  ECONOMIC  DEVELOPMENT  LAW,
 WHICH  CERTIFICATE  SHALL SET FORTH THE AMOUNT OF THE CREDIT THAT MAY BE
 CLAIMED FOR THE TAXABLE YEAR. THE TAXPAYER SHALL  BE  ALLOWED  TO  CLAIM
 ONLY THE AMOUNT LISTED ON THE CERTIFICATE OF TAX CREDIT FOR THAT TAXABLE
 YEAR. A TAXPAYER THAT IS A PARTNER IN A PARTNERSHIP, MEMBER OF A LIMITED
 LIABILITY  COMPANY OR SHAREHOLDER IN A SUBCHAPTER S CORPORATION THAT HAS
 RECEIVED A CERTIFICATE OF TAX CREDIT SHALL BE ALLOWED ITS PRO RATA SHARE
 OF THE CREDIT EARNED BY THE PARTNERSHIP, LIMITED  LIABILITY  COMPANY  OR
 SUBCHAPTER S CORPORATION.
   (C)  TAX  RETURN REQUIREMENT. THE TAXPAYER SHALL BE REQUIRED TO ATTACH
 TO ITS TAX RETURN IN THE FORM PRESCRIBED BY THE COMMISSIONER,  PROOF  OF
 RECEIPT  OF  ITS CERTIFICATE OF TAX CREDIT ISSUED BY THE COMMISSIONER OF
 THE DEPARTMENT OF ECONOMIC DEVELOPMENT.
   (D) INFORMATION SHARING. NOTWITHSTANDING ANY PROVISION OF  THIS  CHAP-
 TER, EMPLOYEES OF THE DEPARTMENT OF ECONOMIC DEVELOPMENT AND THE DEPART-
 MENT SHALL BE ALLOWED AND ARE DIRECTED TO SHARE AND EXCHANGE:
   (1)  INFORMATION  DERIVED FROM TAX RETURNS OR REPORTS THAT IS RELEVANT
 TO A TAXPAYER'S ELIGIBILITY TO PARTICIPATE IN THE COVID-19 CAPITAL COSTS
 TAX CREDIT PROGRAM;
   (2) INFORMATION REGARDING THE CREDIT APPLIED FOR, ALLOWED  OR  CLAIMED
 PURSUANT  TO THIS SECTION AND TAXPAYERS THAT ARE APPLYING FOR THE CREDIT
 OR THAT ARE CLAIMING THE CREDIT; AND
   (3) INFORMATION CONTAINED  IN  OR  DERIVED  FROM  CREDIT  CLAIM  FORMS
 SUBMITTED  TO  THE  DEPARTMENT  AND  APPLICATIONS FOR ADMISSION INTO THE
 COVID-19 CAPITAL COSTS TAX CREDIT PROGRAM. EXCEPT AS PROVIDED  IN  PARA-
 GRAPH  TWO  OF  THIS  SUBDIVISION, ALL INFORMATION EXCHANGED BETWEEN THE
 DEPARTMENT OF ECONOMIC DEVELOPMENT  AND  THE  DEPARTMENT  SHALL  NOT  BE
 SUBJECT  TO DISCLOSURE OR INSPECTION UNDER THE STATE'S FREEDOM OF INFOR-
 MATION LAW.
   (E) CREDIT RECAPTURE. IF A CERTIFICATE OF TAX  CREDIT  ISSUED  BY  THE
 DEPARTMENT  OF  ECONOMIC  DEVELOPMENT  UNDER  ARTICLE  TWENTY-SIX OF THE
 ECONOMIC DEVELOPMENT LAW IS REVOKED BY SUCH DEPARTMENT,  THE  AMOUNT  OF
 CREDIT  DESCRIBED  IN  THIS SECTION AND CLAIMED BY THE TAXPAYER PRIOR TO
 THAT REVOCATION SHALL BE ADDED BACK TO TAX IN THE TAXABLE YEAR IN  WHICH
 ANY SUCH REVOCATION BECOMES FINAL.
   (F)  CROSS  REFERENCES.  FOR APPLICATION OF THE CREDIT PROVIDED FOR IN
 THIS SECTION, SEE THE FOLLOWING PROVISIONS OF THIS CHAPTER:
   (1) ARTICLE 9-A: SECTION 210-B, SUBDIVISION 58;
   (2) ARTICLE 22: SECTION 606, SUBSECTION (NNN).
   § 3. Section 210-B of the tax law is amended by adding a new  subdivi-
 sion 58 to read as follows:
   58.  COVID-19  CAPITAL  COSTS  TAX  CREDIT. (A) ALLOWANCE OF CREDIT. A
 TAXPAYER SHALL BE ALLOWED A  CREDIT,  TO  BE  COMPUTED  AS  PROVIDED  IN
 SECTION  FORTY-SEVEN  OF THIS CHAPTER, AGAINST THE TAXES IMPOSED BY THIS
 ARTICLE.
   (B) APPLICATION OF CREDIT. THE CREDIT ALLOWED UNDER  THIS  SUBDIVISION
 FOR  THE TAXABLE YEAR SHALL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO LESS
 THAN THE AMOUNT PRESCRIBED  IN  PARAGRAPH  (D)  OF  SUBDIVISION  ONE  OF
 SECTION TWO HUNDRED TEN OF THIS ARTICLE. HOWEVER, IF THE AMOUNT OF CRED-
 IT  ALLOWED  UNDER THIS SUBDIVISION FOR THE TAXABLE YEAR REDUCES THE TAX
 TO SUCH AMOUNT OR IF THE TAXPAYER OTHERWISE PAYS TAX BASED ON THE  FIXED
 S. 8009--C                         26                         A. 9009--C
 
 DOLLAR  MINIMUM 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.  PROVIDED,  HOWEVER,  THE  PROVISIONS  OF
 SUBSECTION (C) OF SECTION ONE  THOUSAND  EIGHTY-EIGHT  OF  THIS  CHAPTER
 NOTWITHSTANDING, NO INTEREST WILL BE PAID THEREON.
   §  4. Section 606 of the tax law is amended by adding a new subsection
 (nnn) to read as follows:
   (NNN) COVID-19 CAPITAL COSTS TAX CREDIT. (1) ALLOWANCE  OF  CREDIT.  A
 TAXPAYER  SHALL  BE  ALLOWED  A  CREDIT,  TO  BE COMPUTED AS PROVIDED IN
 SECTION FORTY-SEVEN OF THIS CHAPTER, AGAINST THE  TAX  IMPOSED  BY  THIS
 ARTICLE.
   (2)  APPLICATION  OF CREDIT. IF THE AMOUNT OF THE CREDIT ALLOWED UNDER
 THIS SUBSECTION FOR THE TAXABLE YEAR EXCEEDS THE TAXPAYER'S TAX FOR SUCH
 YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDIT-
 ED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX  HUNDRED
 EIGHTY-SIX  OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST WILL BE
 PAID THEREON.
   § 5. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
 of  the  tax  law  is  amended  by adding a new clause (xlix) to read as
 follows:
 (XLIX) COVID-19 CAPITAL COSTS        AMOUNT OF CREDIT UNDER
 TAX CREDIT UNDER SUBSECTION (NNN)    SUBDIVISION 58 OF
                                      SECTION TWO HUNDRED TEN-B
   § 6. This act shall take effect immediately.
 
                                  PART F
 
   Section 1. Paragraph 2 of subdivision (a) of section 24-c of  the  tax
 law,  as added by section 1 of subpart B of part PP of chapter 59 of the
 laws of 2021,  is amended to read as follows:
   (2) The amount of the credit shall be the product (or pro  rata  share
 of the product, in the case of a member of a partnership) of twenty-five
 percent  and  the  sum of the qualified production expenditures paid for
 during the qualified New York city musical and  theatrical  production's
 credit  period.  Provided  however  that the amount of the credit cannot
 exceed three million dollars per qualified New  York  city  musical  and
 theatrical production for productions whose first performance is [during
 the  first  year  in  which  applications are accepted] PRIOR TO JANUARY
 FIRST, TWO THOUSAND TWENTY-THREE. For productions whose  first  perform-
 ance  is  [during the second year in which applications are accepted] ON
 OR AFTER JANUARY  FIRST,  TWO  THOUSAND  TWENTY-THREE,  such  cap  shall
 decrease  to one million five hundred thousand dollars per qualified New
 York city musical and theatrical production unless  the  New  York  city
 tourism  economy  has  not  sufficiently recovered, as determined by the
 department of economic development in consultation with the division  of
 the budget. In determining whether the New York city tourism economy has
 sufficiently  recovered,  the  department  of  economic development will
 perform an analysis of key New York city economic indicators which shall
 include, but not  be  limited  to,  hotel  occupancy  rates  and  travel
 metrics. The department of economic development's analysis shall also be
 informed  by the status of any remaining COVID-19 restrictions affecting
 New York city musical and theatrical productions. In no  event  shall  a
 qualified  New  York  city musical and theatrical production be eligible
 for more than one credit under this program.
 S. 8009--C                         27                         A. 9009--C
 
   § 2. Subparagraph (i) of paragraph 5 of  subdivision  (b)  of  section
 24-c  of  the  tax law, as added by section 1 of subpart B of part PP of
 chapter 59 of the laws of 2021, is amended to read as follows:
   (i) "The credit period of a qualified New York city musical and theat-
 rical production company" is the period starting on the production start
 date  and  ending  on  the earlier of the date the qualified musical and
 theatrical  production  has  expended  sufficient  qualified  production
 expenditures  to  reach  its  credit cap, [March thirty-first] SEPTEMBER
 THIRTIETH, two thousand twenty-three or the date the  qualified  musical
 and theatrical production closes.
   § 3. Paragraph 1 of subdivision (f) of section 24-c of the tax law, as
 added  by section 1 of subpart B of part PP of chapter 59 of the laws of
 2021, is amended to read as follows:
   (1) The aggregate amount of tax credits allowed  under  this  section,
 subdivision  fifty-seven  of  section  two  hundred ten-B and subsection
 (mmm) of section six hundred six of this  chapter  shall  be  [one]  TWO
 hundred million dollars. Such aggregate amount of credits shall be allo-
 cated by the department of economic development among taxpayers based on
 the  date  of  first performance of the qualified musical and theatrical
 production.
   § 4. Paragraph 2 of subdivision (f) of section 24-c of the tax law, as
 added by section 1 of subpart B of part PP of chapter 59 of the laws  of
 2021, is amended to read as follows:
   (2)  The  commissioner  of economic development, after consulting with
 the commissioner, shall promulgate regulations to  establish  procedures
 for  the  allocation  of  tax  credits as required by this section. Such
 rules and regulations shall include provisions describing  the  applica-
 tion  process,  the  due dates for such applications, the standards that
 will be used to evaluate the applications, the documentation  that  will
 be  provided  by applicants to substantiate to the department the amount
 of qualified production expenditures of such applicants, and such  other
 provisions  as  deemed  necessary  and  appropriate. Notwithstanding any
 other provisions to the contrary in the state  administrative  procedure
 act, such rules and regulations may be adopted on an emergency basis. In
 no  event  shall  a  qualified  New  York  city  musical  and theatrical
 production submit an application for this program after [December  thir-
 ty-first,  two thousand twenty-two] JUNE THIRTIETH, TWO THOUSAND TWENTY-
 THREE.
   § 5. Subdivision (g) of section 24-c of  the  tax  law,  as  added  by
 section  1 of subpart B of part PP of chapter 59 of the laws of 2021, is
 amended to read as follows:
   (g) Any qualified New York  city  musical  and  theatrical  production
 company  that  performs in a qualified New York city production facility
 and applies to receive a credit under this section shall be required to:
 (1) participate in a New York state  diversity  and  arts  job  training
 program; (2) create and implement a plan to ensure that their production
 is  available  and accessible for low-or no-cost to low income New York-
 ers; and (3) contribute to the New  York  state  council  on  the  arts,
 cultural program fund an amount up to fifty percent of the total credits
 received if its production earns ongoing revenue prospectively after the
 end  of  the credit period that is at least equal to two hundred percent
 of its ongoing production costs, with such amount payable  from  twenty-
 five percent of net operating profits, such amounts payable on a monthly
 basis,  up  until  such  fifty  percent  of  the  total credit amount is
 reached. Any funds deposited pursuant to this subdivision  may  be  used
 for  arts  and  cultural  [educational  and workforce development] GRANT
 S. 8009--C                         28                         A. 9009--C
 
 programs OF THE NEW YORK STATE COUNCIL  ON  THE  ARTS  AS  SPECIFIED  IN
 SUBDIVISION FIVE OF SECTION NINETY-NINE-LL OF THE STATE FINANCE LAW.
   § 6. Subdivision 5 of section 99-ll of the state finance law, as added
 by  section 5 of subpart B of part PP of chapter 59 of the laws of 2021,
 is amended to read as follows:
   5. The moneys in such fund  shall  be  expended  for  the  purpose  of
 supplementing art and cultural GRANT programs [for secondary and elemen-
 tary  children]  OF  THE  NEW  YORK STATE COUNCIL ON THE ARTS, including
 [programs that increase access to art and cultural programs  and  events
 for children in underserved communities] BUT NOT LIMITED TO: ARTS EDUCA-
 TION  PROGRAMS,  AND  ART AND CULTURAL PROGRAMS FOR CHILDREN AND ADULTS,
 INCLUDING PROGRAMS THAT INCREASE ACCESS TO ART AND CULTURAL PROGRAMS AND
 EVENTS IN UNDERSERVED COMMUNITIES.
   § 7. Section 6 of subpart B of part PP of chapter 59 of  the  laws  of
 2021  amending  the tax law and the state finance law relating to estab-
 lishing the New York city musical and theatrical production  tax  credit
 and establishing the New York state council on the arts cultural program
 fund, is amended to read as follows:
   §  6.  This act shall take effect immediately [and]; PROVIDED HOWEVER,
 THAT SECTION ONE, TWO, THREE AND FOUR OF THIS ACT shall apply to taxable
 years beginning on or after January 1, 2021, and before January 1,  2024
 and  shall  expire and be deemed repealed [on] January 1, 2024; provided
 FURTHER, however that the obligations under paragraph 3  of  subdivision
 [g]  (G) of section 24-c of the tax law, as added by section one of this
 act, shall remain in effect until December 31, 2025.
   § 8. This act shall take effect immediately; provided that the  amend-
 ments  to  section 24-c of the tax law made by sections one, two, three,
 four and five of this act shall not affect the repeal  of  such  section
 and shall be deemed repealed therewith.
 
                                  PART G
 
                           Intentionally Omitted
 
                                  PART H
 
   Section  1.  Paragraphs  (a), (b) and (d) of subdivision 29 of section
 210-B of the tax law, paragraph (a) and subparagraph 2 of paragraph  (b)
 as  amended  by  section 1 of part II of chapter 59 of the laws of 2021,
 paragraph (b) as amended by section 1 of part Q of  chapter  59  of  the
 laws  of 2018, subparagraph 1 of paragraph (b) as amended by chapter 490
 of the laws of 2019 and paragraph (d) as added by section 17 of  part  A
 of chapter 59 of the laws of 2014, are amended to read as follows:
   (a) Allowance of credit. For taxable years beginning on or after Janu-
 ary  first,  two thousand fifteen and before January first, two thousand
 [twenty-three] TWENTY-SIX, a taxpayer shall be allowed a credit,  to  be
 computed  as  provided  in  this subdivision, against the tax imposed by
 this article, for hiring and employing, for not less than [one year  and
 for  not  less  than  thirty-five hours each week] TWELVE CONTINUOUS AND
 UNINTERRUPTED MONTHS (HEREINAFTER REFERRED TO AS THE TWELVE-MONTH  PERI-
 OD) IN A FULL-TIME OR PART-TIME POSITION, a qualified veteran within the
 state.  The taxpayer may claim the credit in the year in which the qual-
 ified veteran completes [one year] THE TWELVE-MONTH PERIOD of employment
 by  the  taxpayer.  If the taxpayer claims the credit allowed under this
 subdivision, the taxpayer may not use the hiring of a qualified  veteran
 S. 8009--C                         29                         A. 9009--C
 
 that  is  the  basis  for  this  credit in the basis of any other credit
 allowed under this article.
   (b) Qualified veteran. A qualified veteran is an individual:
   (1)  who  served  on  active duty in the United States army, navy, air
 force, SPACE FORCE, marine corps, coast guard or the  reserves  thereof,
 or  who  served  in  active  military  service of the United States as a
 member of the army national guard, air national guard, New York guard or
 New York naval militia, OR WHO SERVED IN THE ACTIVE  UNIFORMED  SERVICES
 OF  THE  UNITED  STATES  AS  A  MEMBER  OF THE COMMISSIONED CORPS OF THE
 NATIONAL OCEANIC AND  ATMOSPHERIC  ADMINISTRATION  OR  THE  COMMISSIONED
 CORPS  OF  THE UNITED STATES PUBLIC HEALTH SERVICE; who (i) was released
 from active duty by general  or  honorable  discharge  [after  September
 eleventh,  two  thousand  one],  or  (ii) has a qualifying condition, as
 defined in section three hundred fifty of the  executive  law,  and  has
 received  a  discharge  other than bad conduct or dishonorable from such
 service [after September eleventh, two thousand  one],  or  (iii)  is  a
 discharged  LGBT  veteran,  as defined in section three hundred fifty of
 the executive law, and has received a discharge other than  bad  conduct
 or  dishonorable  from such service [after September eleventh, two thou-
 sand one];
   (2) who commences employment by the qualified  taxpayer  on  or  after
 January  first,  two  thousand  fourteen,  and before January first, two
 thousand [twenty-two] TWENTY-FIVE; and
   (3) who certifies by signed affidavit, under penalty of perjury,  that
 he or she has not been employed for thirty-five or more hours during any
 week  in  the  one hundred eighty day period immediately prior to his or
 her employment by the taxpayer.
   (d) Amount of credit. The amount of the credit shall be [ten]  FIFTEEN
 percent  of  the  total  amount  of  wages paid to the qualified veteran
 during the veteran's first [full year] TWELVE-MONTH  PERIOD  of  employ-
 ment.  Provided,  however,  that, if the qualified veteran is a disabled
 veteran, as defined in paragraph  (b)  of  subdivision  one  of  section
 eighty-five  of the civil service law, the amount of the credit shall be
 [fifteen] TWENTY percent of the total amount of wages paid to the quali-
 fied veteran during the veteran's first [full year] TWELVE-MONTH  PERIOD
 of employment. The credit allowed pursuant to this subdivision shall not
 exceed in any taxable year[, five]: (1) FIFTEEN thousand dollars for any
 qualified veteran [and fifteen], OTHER THAN A DISABLED VETERAN, EMPLOYED
 IN  A  FULL-TIME  POSITION FOR ONE THOUSAND EIGHT HUNDRED TWENTY OR MORE
 HOURS IN ONE TWELVE-MONTH PERIOD, (2) TWENTY thousand  dollars  for  any
 qualified  veteran  who  is  a  disabled veteran EMPLOYED IN A FULL-TIME
 POSITION FOR ONE THOUSAND EIGHT HUNDRED TWENTY  OR  MORE  HOURS  IN  ONE
 TWELVE-MONTH  PERIOD,  (3)  SEVEN  THOUSAND FIVE HUNDRED DOLLARS FOR ANY
 QUALIFIED VETERAN, OTHER THAN A DISABLED VETERAN, EMPLOYED  IN  A  PART-
 TIME  POSITION  FOR  AT LEAST ONE THOUSAND FORTY HOURS BUT NOT MORE THAN
 ONE THOUSAND EIGHT HUNDRED NINETEEN HOURS IN  ONE  TWELVE-MONTH  PERIOD,
 AND (4) TEN THOUSAND DOLLARS FOR ANY QUALIFIED VETERAN WHO IS A DISABLED
 VETERAN EMPLOYED IN A PART-TIME POSITION FOR AT LEAST ONE THOUSAND FORTY
 HOURS BUT NOT MORE THAN ONE THOUSAND EIGHT HUNDRED NINETEEN HOURS IN ONE
 TWELVE-MONTH PERIOD.
   §  2.  Paragraphs 1, 2 and 4 of subsection (a-2) of section 606 of the
 tax law, paragraph 1 and subparagraph (B) of paragraph 2 as  amended  by
 section  2  of part II of chapter 59 of the laws of 2021, paragraph 2 as
 amended by section 2 of part Q of  chapter  59  of  the  laws  of  2018,
 subparagraph (A) of paragraph 2 as amended by chapter 490 of the laws of
 S. 8009--C                         30                         A. 9009--C
 
 2019  and  paragraph 4 as added by section 3 of part AA of chapter 59 of
 the laws of 2013, are amended to read as follows:
   (1) Allowance of credit. For taxable years beginning on or after Janu-
 ary  first,  two thousand fifteen and before January first, two thousand
 [twenty-three] TWENTY-SIX, a taxpayer shall be allowed a credit,  to  be
 computed as provided in this subsection, against the tax imposed by this
 article,  for  hiring and employing, for not less than [one year and for
 not less than thirty-five hours each week] TWELVE CONTINUOUS  AND  UNIN-
 TERRUPTED MONTHS (HEREINAFTER REFERRED TO AS THE TWELVE-MONTH PERIOD) IN
 A FULL-TIME OR PART-TIME POSITION, a qualified veteran within the state.
 The  taxpayer  may  claim  the credit in the year in which the qualified
 veteran completes [one year] THE TWELVE-MONTH PERIOD  of  employment  by
 the  taxpayer.  If  the  taxpayer  claims  the credit allowed under this
 subsection, the taxpayer may not use the hiring of a  qualified  veteran
 that  is  the  basis  for  this  credit in the basis of any other credit
 allowed under this article.
   (2) Qualified veteran. A qualified veteran is an individual:
   (A) who served on active duty in the United  States  army,  navy,  air
 force,  SPACE  FORCE, marine corps, coast guard or the reserves thereof,
 or who served in active military service  of  the  United  States  as  a
 member of the army national guard, air national guard, New York guard or
 New  York  naval militia, OR WHO SERVED IN THE ACTIVE UNIFORMED SERVICES
 OF THE UNITED STATES AS A  MEMBER  OF  THE  COMMISSIONED  CORPS  OF  THE
 NATIONAL  OCEANIC  AND  ATMOSPHERIC  ADMINISTRATION  OR THE COMMISSIONED
 CORPS OF THE UNITED STATES PUBLIC HEALTH SERVICE; who (i)  was  released
 from  active  duty  by  general  or honorable discharge [after September
 eleventh, two thousand one], or (ii)  has  a  qualifying  condition,  as
 defined  in  section  three  hundred fifty of the executive law, and has
 received a discharge other than bad conduct or  dishonorable  from  such
 service  [after  September  eleventh,  two  thousand one], or (iii) is a
 discharged LGBT veteran, as defined in section three  hundred  fifty  of
 the  executive  law, and has received a discharge other than bad conduct
 or dishonorable from such service [after September eleventh,  two  thou-
 sand one];
   (B)  who  commences  employment  by the qualified taxpayer on or after
 January first, two thousand fourteen,  and  before  January  first,  two
 thousand [twenty-two] TWENTY-FIVE; and
   (C)  who certifies by signed affidavit, under penalty of perjury, that
 he or she has not been employed for thirty-five or more hours during any
 week in the one hundred eighty day period immediately prior  to  his  or
 her employment by the taxpayer.
   (4)  Amount of credit. The amount of the credit shall be [ten] FIFTEEN
 percent of the total amount of wages paid to [he] THE qualified  veteran
 during  the  veteran's  first [full year] TWELVE-MONTH PERIOD of employ-
 ment. Provided, however, that, if the qualified veteran  is  a  disabled
 veteran,  as  defined  in  paragraph  (b)  of subdivision one of section
 eighty-five of the civil service law, the amount of the credit shall  be
 [fifteen] TWENTY percent of the total amount of wages paid to the quali-
 fied  veteran during the veteran's first [full year] TWELVE-MONTH PERIOD
 of employment. The credit allowed pursuant to this subsection shall  not
 exceed in any taxable year[, five]: (I) FIFTEEN thousand dollars for any
 qualified veteran [and fifteen], OTHER THAN A DISABLED VETERAN, EMPLOYED
 IN  A  FULL-TIME  POSITION FOR ONE THOUSAND EIGHT HUNDRED TWENTY OR MORE
 HOURS IN ONE TWELVE-MONTH PERIOD, (II) TWENTY thousand dollars  for  any
 qualified  veteran  who  is  a  disabled veteran EMPLOYED IN A FULL-TIME
 POSITION FOR ONE THOUSAND EIGHT HUNDRED TWENTY  OR  MORE  HOURS  IN  ONE
 S. 8009--C                         31                         A. 9009--C

 TWELVE-MONTH  PERIOD,  (III) SEVEN THOUSAND FIVE HUNDRED DOLLARS FOR ANY
 QUALIFIED VETERAN, OTHER THAN A DISABLED VETERAN, EMPLOYED  IN  A  PART-
 TIME  POSITION  FOR  AT LEAST ONE THOUSAND FORTY HOURS BUT NOT MORE THAN
 ONE  THOUSAND  EIGHT  HUNDRED NINETEEN HOURS IN ONE TWELVE-MONTH PERIOD,
 AND (IV) TEN THOUSAND DOLLARS FOR ANY QUALIFIED VETERAN WHO IS  A  DISA-
 BLED  VETERAN EMPLOYED IN A PART-TIME POSITION FOR AT LEAST ONE THOUSAND
 FORTY HOURS BUT NOT MORE THAN ONE THOUSAND EIGHT HUNDRED NINETEEN  HOURS
 IN ONE TWELVE-MONTH PERIOD.
   § 3. Paragraphs 1, 2 and 4 of subdivision (g-1) of section 1511 of the
 tax  law,  paragraph 1 and subparagraph (B) of paragraph 2 as amended by
 section 3 of part II of chapter 59 of the laws of 2021, paragraph  2  as
 amended  by  section  3  of  part  Q  of chapter 59 of the laws of 2018,
 subparagraph (A) of paragraph 2 as amended by chapter 490 of the laws of
 2019 and paragraph 4 as added by section 5 of part AA of chapter  59  of
 the laws of 2013, are amended to read as follows:
   (1) Allowance of credit. For taxable years beginning on or after Janu-
 ary  first,  two thousand fifteen and before January first, two thousand
 [twenty-three] TWENTY-SIX, a taxpayer shall be allowed a credit,  to  be
 computed  as  provided  in  this subdivision, against the tax imposed by
 this article, for hiring and employing, for not less than [one year  and
 for  not  less  than  thirty-five hours each week] TWELVE CONTINUOUS AND
 UNINTERRUPTED MONTHS (HEREINAFTER REFERRED TO AS THE TWELVE-MONTH  PERI-
 OD) IN A FULL-TIME OR PART-TIME POSITION, a qualified veteran within the
 state.  The taxpayer may claim the credit in the year in which the qual-
 ified veteran completes [one year] THE TWELVE-MONTH PERIOD of employment
 by  the  taxpayer.  If the taxpayer claims the credit allowed under this
 subdivision, the taxpayer may not use the hiring of a qualified  veteran
 that  is  the  basis  for  this  credit in the basis of any other credit
 allowed under this article.
   (2) Qualified veteran. A qualified veteran is an individual:
   (A) who served on active duty in the United  States  army,  navy,  air
 force,  SPACE  FORCE, marine corps, coast guard or the reserves thereof,
 or who served in active military service  of  the  United  States  as  a
 member of the army national guard, air national guard, New York guard or
 New  York  naval militia, OR WHO SERVED IN THE ACTIVE UNIFORMED SERVICES
 OF THE UNITED STATES AS A  MEMBER  OF  THE  COMMISSIONED  CORPS  OF  THE
 NATIONAL  OCEANIC  AND  ATMOSPHERIC  ADMINISTRATION  OR THE COMMISSIONED
 CORPS OF THE UNITED STATES PUBLIC HEALTH SERVICE; who (i)  was  released
 from  active  duty  by  general  or honorable discharge [after September
 eleventh, two thousand one], or (ii)  has  a  qualifying  condition,  as
 defined  in  section  three  hundred fifty of the executive law, and has
 received a discharge other than bad conduct or  dishonorable  from  such
 service  [after  September  eleventh,  two  thousand one], or (iii) is a
 discharged LGBT veteran, as defined in section three  hundred  fifty  of
 the  executive  law, and has received a discharge other than bad conduct
 or dishonorable from such service [after September eleventh,  two  thou-
 sand one];
   (B)  who  commences  employment  by the qualified taxpayer on or after
 January first, two thousand fourteen,  and  before  January  first,  two
 thousand [twenty-two] TWENTY-FIVE; and
   (C)  who certifies by signed affidavit, under penalty of perjury, that
 he or she has not been employed for thirty-five or more hours during any
 week in the one hundred eighty day period immediately prior  to  his  or
 her employment by the taxpayer.
   (4)  Amount of credit. The amount of the credit shall be [ten] FIFTEEN
 percent of the total amount of  wages  paid  to  the  qualified  veteran
 S. 8009--C                         32                         A. 9009--C

 during  the  veteran's  first [full year] TWELVE-MONTH PERIOD of employ-
 ment. Provided, however, that, if the qualified veteran  is  a  disabled
 veteran,  as  defined  in  paragraph  (b)  of subdivision one of section
 eighty-five  of the civil service law, the amount of the credit shall be
 [fifteen] TWENTY percent of the total amount of wages paid to the quali-
 fied veteran during the veteran's first [full year] TWELVE-MONTH  PERIOD
 of employment. The credit allowed pursuant to this subdivision shall not
 exceed in any taxable year[, five]: (I) FIFTEEN thousand dollars for any
 qualified veteran [and fifteen], OTHER THAN A DISABLED VETERAN, EMPLOYED
 IN  A  FULL-TIME  POSITION FOR ONE THOUSAND EIGHT HUNDRED TWENTY OR MORE
 HOURS IN ONE TWELVE-MONTH PERIOD, (II) TWENTY thousand dollars  for  any
 qualified  veteran  who  is  a  disabled veteran EMPLOYED IN A FULL-TIME
 POSITION FOR ONE THOUSAND EIGHT  HUNDRED  TWENTY OR MORE  HOURS  IN  ONE
 TWELVE-MONTH  PERIOD,  (III) SEVEN THOUSAND FIVE HUNDRED DOLLARS FOR ANY
 QUALIFIED VETERAN, OTHER THAN A DISABLED VETERAN, EMPLOYED  IN  A  PART-
 TIME  POSITION  FOR  AT LEAST ONE THOUSAND FORTY HOURS BUT NOT MORE THAN
 ONE THOUSAND EIGHT HUNDRED NINETEEN HOURS IN  ONE  TWELVE-MONTH  PERIOD,
 AND  (IV)  TEN THOUSAND DOLLARS FOR ANY QUALIFIED VETERAN WHO IS A DISA-
 BLED VETERAN EMPLOYED IN A PART-TIME POSITION FOR AT LEAST ONE  THOUSAND
 FORTY  HOURS BUT NOT MORE THAN ONE THOUSAND EIGHT HUNDRED NINETEEN HOURS
 IN ONE TWELVE-MONTH PERIOD.
   § 4. This act shall take effect immediately and shall apply to taxable
 years beginning on or after January 1, 2022.
 
                                  PART I
 
   Section 1. The tax law is amended by adding a new section 47  to  read
 as follows:
   § 47. GRADE NO. 6 HEATING OIL CONVERSION TAX CREDIT. (A) (1) ALLOWANCE
 OF  CREDIT. A TAXPAYER THAT MEETS THE ELIGIBILITY REQUIREMENTS OF SUBDI-
 VISION (B) OF THIS SECTION AND IS SUBJECT TO TAX UNDER ARTICLE NINE-A OR
 TWENTY-TWO OF THIS CHAPTER MAY BE ELIGIBLE TO CLAIM A GRADE NO. 6  HEAT-
 ING  OIL  CONVERSION  TAX  CREDIT  IN THE TAXABLE YEAR THE CONVERSION IS
 COMPLETE.  THE CREDIT SHALL BE EQUAL TO FIFTY PERCENT OF THE  CONVERSION
 COSTS  FOR  ALL  OF THE TAXPAYER'S BUILDINGS LOCATED AT A FACILITY REGU-
 LATED PURSUANT TO SECTION 19-0302 OR TITLE TEN OF ARTICLE  SEVENTEEN  OF
 THE  ENVIRONMENTAL  CONSERVATION  LAW, PAID BY SUCH TAXPAYER ON OR AFTER
 JANUARY FIRST, TWO THOUSAND TWENTY-TWO AND BEFORE JULY FIRST, TWO  THOU-
 SAND  TWENTY-THREE.  THE  CREDIT  CANNOT  EXCEED  FIVE  HUNDRED THOUSAND
 DOLLARS PER FACILITY.
   (2) A TAXPAYER THAT IS A PARTNER IN A PARTNERSHIP, MEMBER OF A LIMITED
 LIABILITY COMPANY OR SHAREHOLDER IN A SUBCHAPTER S CORPORATION SHALL  BE
 ALLOWED  ITS  PRO  RATA  SHARE  OF THE CREDIT EARNED BY THE PARTNERSHIP,
 LIMITED LIABILITY COMPANY OR SUBCHAPTER S  CORPORATION  THAT  MEETS  THE
 ELIGIBILITY  CRITERIA  DESCRIBED  IN  SUBDIVISION (B) OF THIS SECTION TO
 CLAIM A GRADE NO. 6 HEATING OIL CONVERSION TAX CREDIT. IN NO  EVENT  MAY
 THE  TOTAL  AMOUNT  OF  THE  CREDIT  EARNED  BY THE PARTNERSHIP, LIMITED
 LIABILITY COMPANY OR SUBCHAPTER S CORPORATION EXCEED FIVE HUNDRED  THOU-
 SAND DOLLARS FOR ALL BUILDINGS LOCATED AT A NEW YORK STATE DEPARTMENT OF
 ENVIRONMENTAL CONSERVATION REGULATED FACILITY.
   (3)  NO  COST  OR  EXPENSE  PAID  OR  INCURRED BY THE TAXPAYER THAT IS
 INCLUDED AS PART OF THE CALCULATION OF THIS CREDIT SHALL BE THE BASIS OF
 ANY OTHER TAX CREDIT ALLOWED UNDER THIS CHAPTER.
   (B) ELIGIBILITY CRITERIA. (1) TO BE ELIGIBLE TO CLAIM A  GRADE  NO.  6
 HEATING OIL CONVERSION TAX CREDIT, A BUSINESS ENTITY MUST:
 S. 8009--C                         33                         A. 9009--C

   (I)  INCUR  EXPENSES  FOR  THE CONVERSION FROM GRADE NO. 6 HEATING OIL
 FUEL, AS DESCRIBED AS "CONVERSION COSTS" IN PARAGRAPH (1) OF SUBDIVISION
 (C) OF THIS SECTION, TO BIODIESEL HEATING OIL OR A GEOTHERMAL SYSTEM  AT
 ANY BUILDING LOCATED IN NEW YORK STATE OUTSIDE THE CITY OF NEW YORK;
   (II)  SUBMIT AN APPLICATION TO AND OBTAIN APPROVAL OF SUCH APPLICATION
 BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY DESCRIB-
 ING THE CONVERSION AND APPROVED COSTS TO COMPLETE SUCH CONVERSION;
   (III) NOT BE PRINCIPALLY ENGAGED IN THE GENERATION OR DISTRIBUTION  OF
 ELECTRICITY, POWER OR ENERGY;
   (IV)  BE  IN  COMPLIANCE  WITH ALL ENVIRONMENTAL CONSERVATION LAWS AND
 REGULATIONS; AND
   (V) NOT OWE PAST DUE STATE TAXES UNLESS THE BUSINESS ENTITY IS  MAKING
 PAYMENTS  AND  COMPLYING  WITH  AN  APPROVED  BINDING  PAYMENT AGREEMENT
 ENTERED INTO WITH THE TAXING AUTHORITY.
   (C) DEFINITIONS. AS USED IN THIS SECTION  THE  FOLLOWING  TERMS  SHALL
 HAVE THE FOLLOWING MEANINGS:
   (1)  CONVERSION  COSTS  MEANS THE EQUIPMENT AND LABOR COSTS ASSOCIATED
 WITH THE DESIGN, INSTALLATION AND USE OF SPACE HEATING AND OTHER  ENERGY
 CONVERSION  SYSTEMS THAT ARE DESIGNED TO OR ACCOMMODATE THE USE OF BIOD-
 IESEL FUEL OR A GEOTHERMAL SYSTEM AND, AT THE OPTION  OF  THE  TAXPAYER,
 THE COSTS OF COMPLETING AN ASHRAE LEVEL 2 ENERGY AUDIT INCLUDING ASSESS-
 MENT OF ELECTRIFICATION OPTIONS.
   (2)  BIODIESEL MEANS A MINIMUM BLEND OF EIGHTY-FIVE (85) PERCENT BIOD-
 IESEL, DEFINED AS FUEL MANUFACTURED FROM VEGETABLE OILS, ANIMAL FATS, OR
 OTHER AGRICULTURAL OR OTHER PRODUCTS OR  BY-PRODUCTS,  WITH  PETRODIESEL
 FUEL COMMONLY USED FOR HEATING SYSTEMS.
   (3)  GEOTHERMAL MEANS A SYSTEM THAT USES THE GROUND OR GROUND WATER AS
 A THERMAL ENERGY SOURCE/SINK TO HEAT OR COOL A BUILDING OR  PROVIDE  HOT
 WATER WITHIN THE BUILDING.
   (4)  A  NEW  YORK STATE DEPARTMENT OF ENVIRONMENTAL CONSERVATION REGU-
 LATED FACILITY IS A FACILITY REGULATED PURSUANT TO  SECTION  19-0302  OR
 TITLE TEN OF ARTICLE SEVENTEEN OF THE ENVIRONMENTAL CONSERVATION LAW.
   (D)  THE  COMMISSIONER, IN CONSULTATION WITH THE NEW YORK STATE ENERGY
 RESEARCH AND DEVELOPMENT AUTHORITY, WILL DEVELOP AN APPLICATION  PROCESS
 TO CERTIFY THE EXPENSES NECESSARY FOR THE CONVERSION AND A TAXPAYER WILL
 NOT  BE ELIGIBLE TO CLAIM THE CREDIT UNLESS IT HAS COMPLETED THAT APPLI-
 CATION PROCESS AND THE APPLICATION HAS BEEN APPROVED  BY  THE  NEW  YORK
 STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY.
   (E)  INFORMATION  SHARING.  THE DEPARTMENT, THE DEPARTMENT OF ENVIRON-
 MENTAL CONSERVATION AND THE NEW YORK STATE ENERGY RESEARCH AND  DEVELOP-
 MENT  AUTHORITY  SHALL BE ALLOWED AND ARE DIRECTED TO SHARE AND EXCHANGE
 INFORMATION REGARDING THE INFORMATION CONTAINED ON THE  CREDIT  APPLICA-
 TION  FOR CLAIMING THE GRADE NO. 6 HEATING OIL CONVERSION TAX CREDIT AND
 SUCH INFORMATION EXCHANGED BETWEEN THE  DEPARTMENT,  THE  DEPARTMENT  OF
 ENVIRONMENTAL  CONSERVATION  AND  THE NEW YORK STATE ENERGY RESEARCH AND
 DEVELOPMENT AUTHORITY SHALL NOT BE SUBJECT TO DISCLOSURE  OR  INSPECTION
 UNDER THE STATE'S FREEDOM OF INFORMATION LAW.
   (F)  CROSS  REFERENCES.  FOR APPLICATION OF THE CREDIT PROVIDED FOR IN
 THIS SECTION, SEE THE FOLLOWING PROVISIONS OF THIS CHAPTER:
   (1) ARTICLE 9-A: SECTION 210-B, SUBDIVISION 58;
   (2) ARTICLE 22: SECTION 606, SUBSECTION (NNN).
   § 2. Section 210-B of the tax law is amended by adding a new  subdivi-
 sion 58 to read as follows:
   58.  GRADE NO.   6 HEATING OIL CONVERSION TAX CREDIT. (A) ALLOWANCE OF
 CREDIT. A TAXPAYER WILL BE ALLOWED A CREDIT, TO BE COMPUTED AS  PROVIDED
 S. 8009--C                         34                         A. 9009--C
 
 IN  SECTION  FORTY-SEVEN  OF  THIS CHAPTER, AGAINST THE TAXES IMPOSED BY
 THIS ARTICLE.
   (B)  APPLICATION  OF CREDIT. THE CREDIT ALLOWED UNDER THIS SUBDIVISION
 FOR THE TAXABLE YEAR WILL NOT REDUCE THE TAX DUE FOR SUCH YEAR  TO  LESS
 THAN  THE  AMOUNT  PRESCRIBED  IN  PARAGRAPH  (D)  OF SUBDIVISION ONE OF
 SECTION TWO HUNDRED TEN OF THIS ARTICLE. HOWEVER, IF THE AMOUNT OF CRED-
 IT ALLOWED UNDER THIS SUBDIVISION FOR THE TAXABLE YEAR REDUCES  THE  TAX
 TO  SUCH AMOUNT OR IF THE TAXPAYER OTHERWISE PAYS TAX BASED ON THE FIXED
 DOLLAR MINIMUM AMOUNT, ANY AMOUNT OF CREDIT NOT DEDUCTIBLE IN SUCH TAXA-
 BLE YEAR WILL 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.  PROVIDED,  HOWEVER,  THE  PROVISIONS  OF
 SUBSECTION  (C)  OF  SECTION  ONE  THOUSAND EIGHTY-EIGHT OF THIS CHAPTER
 NOTWITHSTANDING, NO INTEREST WILL BE PAID THEREON.
   § 3. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
 of  the  tax  law  is  amended  by adding a new clause (xlix) to read as
 follows:
 (XLIX) GRADE NO. 6 HEATING OIL       AMOUNT OF CREDIT UNDER SUBDIVISION
 CONVERSION TAX CREDIT UNDER          FIFTY-EIGHT OF SECTION TWO HUNDRED
 SUBSECTION (NNN)                     TEN-B
   § 4. Section 606 of the tax law is amended by adding a new  subsection
 (nnn) to read as follows:
   (NNN)  GRADE NO. 6 HEATING OIL CONVERSION TAX CREDIT. (1) ALLOWANCE OF
 CREDIT. A TAXPAYER SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED
 IN SECTION FORTY-SEVEN OF THIS CHAPTER, AGAINST THE TAX IMPOSED BY  THIS
 ARTICLE.
   (2)  APPLICATION  OF CREDIT. IF THE AMOUNT OF THE CREDIT ALLOWED UNDER
 THIS SUBSECTION FOR THE TAXABLE YEAR EXCEEDS THE TAXPAYER'S TAX FOR SUCH
 YEAR, THE EXCESS 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, THAT NO INTEREST WILL BE
 PAID THEREON.
   § 5. This act shall take effect immediately and shall apply to taxable
 years beginning on or after January 1, 2022.
 
                                  PART J
 
   Section 1. Subdivision 4 of section 22 of the public housing  law,  as
 amended  by  section  2 of part GG of chapter 59 of the laws of 2021, is
 amended to read as follows:
   4. Statewide limitation. The aggregate dollar amount of  credit  which
 the  commissioner  may  allocate  to eligible low-income buildings under
 this article shall be one hundred [twenty] TWENTY-SEVEN million dollars.
 The limitation provided by this subdivision applies only  to  allocation
 of  the  aggregate dollar amount of credit by the commissioner, and does
 not apply to allowance to a taxpayer of the credit with  respect  to  an
 eligible low-income building for each year of the credit period.
   §  2.    Subdivision  4  of  section  22 of the public housing law, as
 amended by section 3 of part GG of chapter 59 of the laws  of  2021,  is
 amended to read as follows:
   4.  Statewide  limitation. The aggregate dollar amount of credit which
 the commissioner may allocate to  eligible  low-income  buildings  under
 this  article  shall  be  one  hundred  [twenty-eight] FORTY-TWO million
 dollars. The limitation provided by this  subdivision  applies  only  to
 allocation of the aggregate dollar amount of credit by the commissioner,
 S. 8009--C                         35                         A. 9009--C
 
 and does not apply to allowance to a taxpayer of the credit with respect
 to an eligible low-income building for each year of the credit period.
   § 3. Subdivision 4 of section 22 of the public housing law, as amended
 by section 4 of part GG of chapter 59 of the laws of 2021, is amended to
 read as follows:
   4.  Statewide  limitation. The aggregate dollar amount of credit which
 the commissioner may allocate to  eligible  low-income  buildings  under
 this  article  shall  be  one  hundred  [thirty-six] FIFTY-SEVEN million
 dollars. The limitation provided by this  subdivision  applies  only  to
 allocation of the aggregate dollar amount of credit by the commissioner,
 and does not apply to allowance to a taxpayer of the credit with respect
 to an eligible low-income building for each year of the credit period.
   § 4. Subdivision 4 of section 22 of the public housing law, as amended
 by section 5 of part GG of chapter 59 of the laws of 2021, is amended to
 read as follows:
   4.  Statewide  limitation. The aggregate dollar amount of credit which
 the commissioner may allocate to  eligible  low-income  buildings  under
 this  article  shall  be  one  hundred  [forty-four] SEVENTY-TWO million
 dollars. The limitation provided by this  subdivision  applies  only  to
 allocation of the aggregate dollar amount of credit by the commissioner,
 and does not apply to allowance to a taxpayer of the credit with respect
 to an eligible low-income building for each year of the credit period.
   §  5.  This  act  shall  take  effect  immediately; provided, however,
 section one of this act shall take effect April 1, 2022; section two  of
 this  act  shall  take  effect  April 1, 2023; section three of this act
 shall take effect April 1, 2024; and section four of this act shall take
 effect April 1, 2025.

                                  PART K
 
   Section 1. Paragraph (a) of subdivision 25 of section 210-B of the tax
 law, as amended by section 1 of part R of chapter  59  of  the  laws  of
 2019, is amended to read as follows:
   (a)  General.  A  taxpayer  shall  be allowed a credit against the tax
 imposed by this article. Such credit,  to  be  computed  as  hereinafter
 provided,  shall  be allowed for bioheating fuel, used for space heating
 or hot water production  for  residential  purposes  within  this  state
 purchased  before January first, two thousand [twenty-three] TWENTY-SIX.
 Such credit shall be $0.01  per  percent  of  biodiesel  per  gallon  of
 bioheating  fuel,  not  to  exceed twenty cents per gallon, purchased by
 such taxpayer.  Provided, however, that on or after January  first,  two
 thousand  seventeen, this credit shall not apply to bioheating fuel that
 is less than six percent biodiesel per gallon of bioheating fuel.
   § 2. Paragraph 1 of subdivision (mm) of section 606 of the tax law, as
 amended by section 2 of part R of chapter 59 of the  laws  of  2019,  is
 amended to read as follows:
   (1)  A  taxpayer  shall be allowed a credit against the tax imposed by
 this article. Such credit, to be computed as hereinafter provided, shall
 be allowed for bioheating fuel, used for  space  heating  or  hot  water
 production  for  residential purposes within this state and purchased on
 or after July first, two thousand six and before July first,  two  thou-
 sand  seven and on or after January first, two thousand eight and before
 January first, two thousand [twenty-three] TWENTY-SIX. Such credit shall
 be $0.01 per percent of biodiesel per gallon of bioheating fuel, not  to
 exceed  twenty  cents  per gallon, purchased by such taxpayer. Provided,
 however, that on or after January first, two  thousand  seventeen,  this
 S. 8009--C                         36                         A. 9009--C
 
 credit  shall not apply to bioheating fuel that is less than six percent
 biodiesel per gallon of bioheating fuel.
   § 3. This act shall take effect immediately.
 
                                  PART L
 
   Section  1.  Section 5 of chapter 604 of the laws of 2011 amending the
 tax law relating to the credit for companies who provide  transportation
 to  people with disabilities, as amended by section 1 of part K of chap-
 ter 60 of the laws of 2016, is amended to read as follows:
   § 5. This act shall take effect immediately and shall remain in effect
 until December 31, 2016 when upon such date it shall be deemed repealed;
 provided that this act shall be deemed to have been in  full  force  and
 effect  on December 31, 2010; provided further that this act shall apply
 to all tax years commencing on or after January 1,  2011;  and  provided
 further  that  sections  one  and two of this act shall remain in effect
 until December 31, [2022] 2028 when upon such date such  sections  shall
 be deemed repealed.
   §  2. Paragraphs (a) and (b) of subdivision 38 of section 210-B of the
 tax law, as added by section 17 of part A of chapter 59 of the  laws  of
 2014, are amended to read as follows:
   (a) Allowance and amount of credit. A taxpayer, who provides a taxicab
 service  as  defined in section one hundred forty-eight-a of the vehicle
 and traffic law, or a livery service as defined in section  one  hundred
 twenty-one-e  of the vehicle and traffic law, shall be allowed a credit,
 to be computed as provided in this subdivision, against the tax  imposed
 by  this  article. The amount of the credit shall be equal to the incre-
 mental cost associated with upgrading a vehicle so that it is accessible
 by individuals with disabilities as defined in  paragraph  (b)  of  this
 subdivision.  Provided,  however,  that  such  credit  shall  not exceed
 FIFTEEN THOUSAND DOLLARS PER ELECTRIC VEHICLE AND ten  thousand  dollars
 per  ANY  OTHER  vehicle. For purposes of this subdivision, purchases of
 new vehicles that are initially manufactured to be accessible for  indi-
 viduals  with disabilities and for which there is no comparable make and
 model that does not include the equipment necessary to provide  accessi-
 bility  to  individuals  with  disabilities, the credit shall be FIFTEEN
 THOUSAND DOLLARS PER ELECTRIC VEHICLE AND ten thousand dollars  per  ANY
 OTHER vehicle.
   (b)  [Definition]  DEFINITIONS.    The term "accessible by individuals
 with disabilities" shall, for the purposes of this subdivision, refer to
 a vehicle that complies with federal regulations promulgated pursuant to
 the Americans with Disabilities Act applicable to vans under  twenty-two
 feet  in length, by the federal Department of Transportation, in Code of
 Federal Regulations, title 49, parts 37  and  38,  and  by  the  federal
 Architecture  and  Transportation  Barriers Compliance Board, in Code of
 Federal Regulations, title 36, section 1192.23, and  the  Federal  Motor
 Vehicle  Safety  Standards,  Code of Federal Regulations, title 49, part
 57. THE TERM "ELECTRIC VEHICLE" SHALL, FOR THE PURPOSES OF THIS SUBDIVI-
 SION, HAVE THE SAME MEANING AS IN  SECTION  SIXTY-SIX-S  OF  THE  PUBLIC
 SERVICE LAW.
   §  3. Paragraph (c) of subdivision 38 of section 210-B of the tax law,
 as amended by section 2 of part K of chapter 60 of the laws of 2016,  is
 amended to read as follows:
   (c)  Application of credit. In no event shall the credit allowed under
 this subdivision for any taxable year reduce the tax due for  such  year
 to  less  than the amount prescribed in paragraph (d) of subdivision one
 S. 8009--C                         37                         A. 9009--C
 
 of section two hundred ten of this article. However, if  the  amount  of
 credit  allowed  under this subdivision for any taxable year reduces the
 tax to such amount or if the taxpayer otherwise pays tax  based  on  the
 fixed dollar minimum amount, any amount of credit thus not deductible in
 such  taxable year shall be carried over to the following year or years,
 and may be deducted from the taxpayer's tax for such year or years.  The
 tax credit allowed pursuant to this subdivision shall not apply to taxa-
 ble  years  beginning  on  or after January first, two thousand [twenty-
 three] TWENTY-NINE.
   § 4. Paragraphs 1 and 2 of subsection (tt) of section 606 of  the  tax
 law, as added by chapter 604 of the laws of 2011, are amended to read as
 follows:
   (1) Allowance and amount of credit. A taxpayer, who provides a taxicab
 service  as  defined in section one hundred forty-eight-a of the vehicle
 and traffic law, or a livery service as defined in section  one  hundred
 twenty-one-e  of the vehicle and traffic law, shall be allowed a credit,
 to be computed as provided in this subsection, against the  tax  imposed
 by  this  article. The amount of the credit shall be equal to the incre-
 mental cost associated with upgrading a vehicle so that it is accessible
 by individuals with disabilities as defined in  paragraph  two  of  this
 subsection. Provided, however, that such credit shall not exceed FIFTEEN
 THOUSAND  DOLLARS  PER ELECTRIC VEHICLE AND ten thousand dollars per ANY
 OTHER vehicle. For purposes of this subsection, purchases of  new  vehi-
 cles  that  are  initially manufactured to be accessible for individuals
 with disabilities and for which there is no comparable  make  and  model
 that  does  not include the equipment necessary to provide accessibility
 to individuals with disabilities, the credit shall be  FIFTEEN  THOUSAND
 DOLLARS  PER  ELECTRIC  VEHICLE  AND  ten thousand dollars per ANY OTHER
 vehicle.
   (2) [Definition] DEFINITIONS.   The term  "accessible  by  individuals
 with  disabilities" shall, for the purposes of this subsection, refer to
 a vehicle that complies with federal regulations promulgated pursuant to
 the Americans with Disabilities Act applicable to vans under  twenty-two
 feet  in length, by the federal Department of Transportation, in Code of
 Federal Regulations, title 49, parts 37  and  38,  and  by  the  federal
 Architecture  and  Transportation  Barriers Compliance Board, in Code of
 Federal Regulations, title 36, section 1192.23, and  the  Federal  Motor
 Vehicle  Safety  Standards,  Code of Federal Regulations, title 29, part
 57. THE  TERM  "ELECTRIC  VEHICLE"  SHALL,  FOR  THE  PURPOSES  OF  THIS
 SUBSECTION,  HAVE  THE  SAME  MEANING  AS  IN SECTION SIXTY-SIX-S OF THE
 PUBLIC SERVICE LAW.
   § 5. This act shall take effect immediately; provided,  however,  that
 sections two and four of this act shall apply to taxable years beginning
 on  or  after January 1, 2023, provided, however, that the amendments to
 subsection (tt) of section 606 of the tax law made by  section  four  of
 this  act  shall  not  affect the repeal of such subsection and shall be
 deemed repealed therewith.
 
                                  PART M
 
   Section  1.    Paragraph 4 of subdivision (a) of section 24 of the tax
 law, as added by section 5 of part Q of chapter 57 of the laws of  2010,
 is amended to read as follows:
   (4)  (I) Notwithstanding the foregoing provisions of this subdivision,
 a qualified  film  production  company  or  qualified  independent  film
 production  company, that has applied for credit under the provisions of
 S. 8009--C                         38                         A. 9009--C
 
 this section, agrees as a condition for  the  granting  of  the  credit:
 [(i)] (A) to include in each qualified film distributed by DVD, or other
 media for the secondary market, a New York promotional video approved by
 the governor's office of motion picture and television development or to
 include  in  the  end  credits  of  each qualified film "Filmed With the
 Support of the New York State Governor's Office of  Motion  Picture  and
 Television  Development" and a logo provided by the governor's office of
 motion picture and television development, and  [(ii)]  (B)  to  certify
 that it will purchase taxable tangible property and services, defined as
 qualified  production costs pursuant to paragraph one of subdivision (b)
 of this section, only from companies registered  to  collect  and  remit
 state  and  local  sales and use taxes pursuant to articles twenty-eight
 and twenty-nine of this chapter.
   (II) ON OR AFTER JANUARY FIRST, TWO THOUSAND TWENTY-THREE, A QUALIFIED
 FILM PRODUCTION COMPANY OR QUALIFIED INDEPENDENT FILM PRODUCTION COMPANY
 THAT HAS APPLIED FOR CREDIT UNDER THE PROVISIONS OF THIS SECTION  SHALL,
 AS  A  CONDITION  FOR  THE GRANTING OF THE CREDIT, FILE A DIVERSITY PLAN
 WITH THE GOVERNOR'S OFFICE FOR MOTION PICTURE AND TELEVISION DEVELOPMENT
 OUTLINING SPECIFIC GOALS FOR HIRING A DIVERSE WORKFORCE. THE COMMISSION-
 ER OF ECONOMIC DEVELOPMENT SHALL PROMULGATE REGULATIONS IMPLEMENTING THE
 REQUIREMENTS OF THIS PARAGRAPH, WHICH, NOTWITHSTANDING ANY PROVISIONS TO
 THE CONTRARY IN THE STATE ADMINISTRATIVE PROCEDURE ACT, MAY  BE  ADOPTED
 ON  AN EMERGENCY BASIS, TO ENSURE COMPLIANCE WITH THE PROVISIONS OF THIS
 PARAGRAPH. THE GOVERNOR'S  OFFICE  FOR  MOTION  PICTURE  AND  TELEVISION
 DEVELOPMENT  SHALL REVIEW EACH SUBMITTED PLAN AS TO WHETHER IT MEETS THE
 REQUIREMENTS ESTABLISHED BY THE COMMISSIONER  OF  ECONOMIC  DEVELOPMENT,
 AND  SHALL  VERIFY THAT THE APPLICANT HAS MET OR MADE GOOD-FAITH EFFORTS
 IN ACHIEVING THESE GOALS. THE DIVERSITY PLAN ALSO SHALL INDICATE WHETHER
 THE QUALIFIED FILM PRODUCTION  COMPANY  OR  QUALIFIED  INDEPENDENT  FILM
 PRODUCTION  COMPANY  THAT HAS APPLIED FOR CREDIT UNDER THE PROVISIONS OF
 THIS SECTION INTENDS TO PARTICIPATE IN TRAINING, EDUCATION, AND RECRUIT-
 MENT PROGRAMS THAT ARE DESIGNED TO PROMOTE AND  ENCOURAGE  THE  TRAINING
 AND HIRING IN THE FILM AND TELEVISION INDUSTRY OF NEW YORK RESIDENTS WHO
 REPRESENT THE DIVERSITY OF THE STATE'S POPULATION.
   §  2.  Paragraph 5 of subdivision (a) of section 24 of the tax law, as
 amended by section 1 of part F of chapter 59 of the  laws  of  2021,  is
 amended to read as follows:
   (5)  For the period two thousand fifteen through two thousand [twenty-
 six] TWENTY-NINE, in addition to the amount  of  credit  established  in
 paragraph  two of this subdivision, a taxpayer shall be allowed a credit
 equal to the product (or pro rata share of the product, in the case of a
 member of a partnership) of ten percent and the amount of wages or sala-
 ries paid to individuals directly employed (excluding those employed  as
 writers, directors, music directors, producers and performers, including
 background actors with no scripted lines) by a qualified film production
 company  or a qualified independent film production company for services
 performed by those individuals in one of the counties specified in  this
 paragraph  in  connection with a qualified film with a minimum budget of
 five hundred thousand dollars. For purposes of this  additional  credit,
 the services must be performed in one or more of the following counties:
 Albany,  Allegany,  Broome,  Cattaraugus,  Cayuga,  Chautauqua, Chemung,
 Chenango, Clinton, Columbia, Cortland, Delaware, Dutchess, Erie,  Essex,
 Franklin, Fulton, Genesee, Greene, Hamilton, Herkimer, Jefferson, Lewis,
 Livingston,  Madison,  Monroe,  Montgomery,  Niagara,  Oneida, Onondaga,
 Ontario, Orange, Orleans, Oswego, Otsego, Putnam, Rensselaer,  Saratoga,
 Schenectady,  Schoharie, Schuyler, Seneca, St. Lawrence, Steuben, Sulli-
 S. 8009--C                         39                         A. 9009--C
 
 van, Tioga, Tompkins, Ulster, Warren,  Washington,  Wayne,  Wyoming,  or
 Yates.  The  aggregate  amount  of  tax  credits allowed pursuant to the
 authority of this paragraph shall be  five  million  dollars  each  year
 during the period two thousand fifteen through two thousand [twenty-six]
 TWENTY-NINE  of  the  annual  allocation  made  available to the program
 pursuant to paragraph four of subdivision  (e)  of  this  section.  Such
 aggregate  amount of credits shall be allocated by the governor's office
 for motion picture and television development among taxpayers  in  order
 of  priority based upon the date of filing an application for allocation
 of film production credit with such office. If the total amount of allo-
 cated credits applied for under this paragraph in any year  exceeds  the
 aggregate  amount  of tax credits allowed for such year under this para-
 graph, such excess shall be treated as having been applied  for  on  the
 first day of the next year. If the total amount of allocated tax credits
 applied  for  under this paragraph at the conclusion of any year is less
 than five million dollars, the remainder shall be treated as part of the
 annual allocation made available to the program  pursuant  to  paragraph
 four  of  subdivision  (e) of this section. However, in no event may the
 total of the credits allocated under  this  paragraph  and  the  credits
 allocated  under paragraph five of subdivision (a) of section thirty-one
 of this article exceed five million dollars in any year during the peri-
 od two thousand fifteen through two thousand [twenty-six] TWENTY-NINE.
   § 3. Paragraph 4 of subdivision (e) of section 24 of the tax  law,  as
 amended  by  section  2  of part F of chapter 59 of the laws of 2021, is
 amended to read as follows:
   (4) Additional pool 2 - The aggregate amount of tax credits allowed in
 subdivision (a) of this section shall be increased by an additional four
 hundred twenty million dollars in each year starting in two thousand ten
 through two thousand [twenty-six] TWENTY-NINE  provided  however,  seven
 million  dollars  of  the  annual  allocation shall be available for the
 empire state film post production credit pursuant to section  thirty-one
 of  this  article  in  two  thousand thirteen and two thousand fourteen,
 twenty-five million dollars of the annual allocation shall be  available
 for  the  empire  state  film post production credit pursuant to section
 thirty-one of this article in each year starting in two thousand fifteen
 through two thousand [twenty-six] TWENTY-NINE and five  million  dollars
 of  the  annual  allocation  shall  be made available for the television
 writers' and directors' fees and salaries  credit  pursuant  to  section
 twenty-four-b  of  this  article  in  each year starting in two thousand
 twenty through two thousand [twenty-six] TWENTY-NINE. This amount  shall
 be  allocated by the governor's office for motion picture and television
 development among taxpayers in accordance with subdivision (a)  of  this
 section. If the commissioner of economic development determines that the
 aggregate amount of tax credits available from additional pool 2 for the
 empire  state film production tax credit have been previously allocated,
 and determines that the pending applications  from  eligible  applicants
 for the empire state film post production tax credit pursuant to section
 thirty-one  of  this  article  is insufficient to utilize the balance of
 unallocated empire state film post  production  tax  credits  from  such
 pool,  the  remainder,  after  such pending applications are considered,
 shall be made available for allocation in  the  empire  state  film  tax
 credit  pursuant  to  this  section,  subdivision  twenty of section two
 hundred ten-B and subsection (gg) of section six  hundred  six  of  this
 chapter.  Also,  if  the commissioner of economic development determines
 that the aggregate amount of tax credits available from additional  pool
 2  for the empire state film post production tax credit have been previ-
 S. 8009--C                         40                         A. 9009--C
 
 ously allocated, and  determines  that  the  pending  applications  from
 eligible  applicants  for  the  empire  state film production tax credit
 pursuant to this section is insufficient to utilize the balance of unal-
 located  film production tax credits from such pool, then all or part of
 the remainder, after such pending applications are considered, shall  be
 made  available for allocation for the empire state film post production
 credit pursuant to this section, subdivision thirty-two of  section  two
 hundred  ten-B  and  subsection  (qq) of section six hundred six of this
 chapter. The governor's office for motion picture and television  devel-
 opment  must  notify  taxpayers of their allocation year and include the
 allocation year on the certificate of tax credit. Taxpayers eligible  to
 claim  a credit must report the allocation year directly on their empire
 state film production credit tax form for each year a credit is  claimed
 and include a copy of the certificate with their tax return. In the case
 of  a  qualified  film  that  receives  funds from additional pool 2, no
 empire state film production credit shall be claimed before the later of
 the taxable year the production of the qualified film  is  complete,  or
 the taxable year immediately following the allocation year for which the
 film  has  been  allocated  credit  by  the governor's office for motion
 picture and television development.
   § 4. Paragraph 4 of subdivision (e) of section 24 of the tax  law,  as
 amended  by  section  3  of part F of chapter 59 of the laws of 2021, is
 amended to read as follows:
   (4) Additional pool 2 - The aggregate amount of tax credits allowed in
 subdivision (a) of this section shall be increased by an additional four
 hundred twenty million dollars in each year starting in two thousand ten
 through two thousand [twenty-six] TWENTY-NINE  provided  however,  seven
 million  dollars  of  the  annual  allocation shall be available for the
 empire state film post production credit pursuant to section  thirty-one
 of  this  article in two thousand thirteen and two thousand fourteen and
 twenty-five million dollars of the annual allocation shall be  available
 for  the  empire  state  film post production credit pursuant to section
 thirty-one of this article in each year starting in two thousand fifteen
 through two thousand [twenty-six]  TWENTY-NINE.  This  amount  shall  be
 allocated  by  the  governor's  office for motion picture and television
 development among taxpayers in accordance with subdivision (a)  of  this
 section. If the commissioner of economic development determines that the
 aggregate amount of tax credits available from additional pool 2 for the
 empire  state film production tax credit have been previously allocated,
 and determines that the pending applications  from  eligible  applicants
 for the empire state film post production tax credit pursuant to section
 thirty-one  of  this  article  is insufficient to utilize the balance of
 unallocated empire state film post  production  tax  credits  from  such
 pool,  the  remainder,  after  such pending applications are considered,
 shall be made available for allocation in  the  empire  state  film  tax
 credit  pursuant  to  this  section,  subdivision  twenty of section two
 hundred ten-B and subsection (gg) of section six  hundred  six  of  this
 chapter.  Also,  if  the commissioner of economic development determines
 that the aggregate amount of tax credits available from additional  pool
 2  for the empire state film post production tax credit have been previ-
 ously allocated, and  determines  that  the  pending  applications  from
 eligible  applicants  for  the  empire  state film production tax credit
 pursuant to this section is insufficient to utilize the balance of unal-
 located film production tax credits from such pool, then all or part  of
 the  remainder, after such pending applications are considered, shall be
 made available for allocation for the empire state film post  production
 S. 8009--C                         41                         A. 9009--C
 
 credit  pursuant  to this section, subdivision thirty-two of section two
 hundred ten-B and subsection (qq) of section six  hundred  six  of  this
 chapter.  The governor's office for motion picture and television devel-
 opment  must  notify  taxpayers of their allocation year and include the
 allocation year on the certificate of tax credit. Taxpayers eligible  to
 claim  a credit must report the allocation year directly on their empire
 state film production credit tax form for each year a credit is  claimed
 and include a copy of the certificate with their tax return. In the case
 of  a  qualified  film  that  receives  funds from additional pool 2, no
 empire state film production credit shall be claimed before the later of
 the taxable year the production of the qualified film  is  complete,  or
 the taxable year immediately following the allocation year for which the
 film  has  been  allocated  credit  by  the governor's office for motion
 picture and television development.
   § 5. Paragraph 1 of subdivision (f) of section 24 of the tax  law,  as
 added  by  section 2 of subpart A of part H of chapter 39 of the laws of
 2019, is amended to read as follows:
   (1) With regard to certificates of tax credit issued on or after Janu-
 ary first, two thousand twenty, the commissioner of economic development
 shall reduce by one-quarter of one percent the amount of credit  allowed
 to a taxpayer and this reduced amount shall be reported on a certificate
 of  tax  credit  issued  pursuant  to  this  section and the regulations
 promulgated by the commissioner of  economic  development  to  implement
 this  credit program.  PROVIDED, HOWEVER, FOR CERTIFICATES OF TAX CREDIT
 ISSUED ON OR AFTER JANUARY FIRST, TWO THOUSAND TWENTY-THREE, THE  AMOUNT
 OF  CREDIT  SHALL  BE  REDUCED BY ONE-HALF OF ONE PERCENT ALLOWED TO THE
 TAXPAYER.
   § 6. Paragraph 6 of subdivision (a) of section 31 of the tax  law,  as
 amended  by  section  4  of part F of chapter 59 of the laws of 2021, is
 amended to read as follows:
   (6) For the period two thousand fifteen through two thousand  [twenty-
 six]  TWENTY-NINE,  in  addition  to the amount of credit established in
 paragraph two of this subdivision, a taxpayer shall be allowed a  credit
 equal to the product (or pro rata share of the product, in the case of a
 member of a partnership) of ten percent and the amount of wages or sala-
 ries  paid to individuals directly employed (excluding those employed as
 writers, directors, music directors, producers and performers, including
 background actors with no scripted  lines)  for  services  performed  by
 those  individuals in one of the counties specified in this paragraph in
 connection with the post production work on  a  qualified  film  with  a
 minimum  budget  of  five  hundred  thousand dollars at a qualified post
 production facility in one of the counties listed in this paragraph. For
 purposes of this additional credit, the services must  be  performed  in
 one  or more of the following counties: Albany, Allegany, Broome, Catta-
 raugus, Cayuga, Chautauqua, Chemung, Chenango, Clinton, Columbia,  Cort-
 land,  Delaware,  Dutchess,  Erie,  Essex,  Franklin,  Fulton,  Genesee,
 Greene,  Hamilton,  Herkimer,  Jefferson,  Lewis,  Livingston,  Madison,
 Monroe, Montgomery, Niagara, Oneida, Onondaga, Ontario, Orange, Orleans,
 Oswego,  Otsego,  Putnam,  Rensselaer, Saratoga, Schenectady, Schoharie,
 Schuyler, Seneca, St.  Lawrence,  Steuben,  Sullivan,  Tioga,  Tompkins,
 Ulster,  Warren,  Washington,  Wayne,  Wyoming,  or Yates. The aggregate
 amount of tax credits allowed pursuant to the authority  of  this  para-
 graph  shall  be  five  million  dollars each year during the period two
 thousand fifteen through two thousand [twenty-six]  TWENTY-NINE  of  the
 annual   allocation  made  available  to  the  empire  state  film  post
 production credit pursuant to  paragraph  four  of  subdivision  (e)  of
 S. 8009--C                         42                         A. 9009--C
 
 section  twenty-four  of  this article. Such aggregate amount of credits
 shall be allocated by the governor's office for motion picture and tele-
 vision development among taxpayers in order of priority based  upon  the
 date  of  filing an application for allocation of post production credit
 with such office. If the total amount of allocated credits  applied  for
 under  this  paragraph  in  any year exceeds the aggregate amount of tax
 credits allowed for such year under this paragraph, such excess shall be
 treated as having been applied for on the first day of the next year. If
 the total amount of allocated tax credits applied for under  this  para-
 graph  at  the conclusion of any year is less than five million dollars,
 the remainder shall be treated as part of the annual allocation for  two
 thousand  seventeen  made  available  to  the  empire  state  film  post
 production credit pursuant to  paragraph  four  of  subdivision  (e)  of
 section  twenty-four of this article. However, in no event may the total
 of the credits allocated under this paragraph and the credits  allocated
 under  paragraph  five of subdivision (a) of section twenty-four of this
 article exceed five million dollars in any year during  the  period  two
 thousand fifteen through two thousand [twenty-six] TWENTY-NINE.
   §  7.  This  act shall take effect immediately; provided, however that
 the amendments to paragraph 4 of subdivision (e) of section  24  of  the
 tax  law made by section three of this act shall take effect on the same
 date and in the same manner as section 5 of chapter 683 of the  laws  of
 2019, as amended, takes effect.
 
                                  PART N
 
   Section  1.  Subdivision  (a)  of  section  25-a  of the labor law, as
 amended by section 1 of subpart A of part N of chapter 59 of the laws of
 2017, is amended to read as follows:
   (a) The commissioner is authorized to  establish  and  administer  the
 program  established  under  this  section  to provide tax incentives to
 employers for employing at risk youth in part-time and  full-time  posi-
 tions.  There  will be ten distinct pools of tax incentives. Program one
 will cover tax incentives allocated for  two  thousand  twelve  and  two
 thousand  thirteen.  Program  two will cover tax incentives allocated in
 two thousand fourteen. Program three will cover tax incentives allocated
 in two thousand fifteen. Program four will cover  tax  incentives  allo-
 cated  in  two  thousand sixteen. Program five will cover tax incentives
 allocated in two thousand seventeen. Program six will cover  tax  incen-
 tives  allocated  in two thousand eighteen. Program seven will cover tax
 incentives allocated in two thousand nineteen. Program eight will  cover
 tax incentives allocated in two thousand twenty. Program nine will cover
 tax  incentives  allocated  in two thousand twenty-one. Program ten will
 cover tax incentives allocated in two thousand twenty-two. PROGRAM ELEV-
 EN WILL COVER TAX INCENTIVES ALLOCATED  IN  TWO  THOUSAND  TWENTY-THREE.
 PROGRAM TWELVE WILL COVER TAX INCENTIVES ALLOCATED IN TWO THOUSAND TWEN-
 TY-FOUR.  PROGRAM  THIRTEEN  WILL  COVER TAX INCENTIVES ALLOCATED IN TWO
 THOUSAND TWENTY-FIVE. PROGRAM FOURTEEN WILL COVER TAX  INCENTIVES  ALLO-
 CATED  IN TWO THOUSAND TWENTY-SIX. PROGRAM FIFTEEN WILL COVER TAX INCEN-
 TIVES ALLOCATED  IN  TWO  THOUSAND  TWENTY-SEVEN.  The  commissioner  is
 authorized  to allocate up to twenty-five million dollars of tax credits
 under program one, ten million dollars of tax credits under program two,
 twenty million dollars of tax credits under program three, fifty million
 dollars of tax credits under each of programs four and five,  and  forty
 million  dollars  of  tax credits under programs six, seven, eight, nine
 [and], ten, ELEVEN, TWELVE, THIRTEEN, FOURTEEN AND FIFTEEN.
 S. 8009--C                         43                         A. 9009--C
 
   § 2.  Paragraph 4 of subdivision (b) of section 25-a of the labor law,
 as added by section 1-a of subpart A of part N of chapter 59 of the laws
 of 2017, is amended to read as follows:
   (4)  For  programs six, seven, eight, nine [and], ten, ELEVEN, TWELVE,
 THIRTEEN, FOURTEEN, AND FIFTEEN the tax credit under each program  shall
 be  allocated  as  follows: (i) twenty million dollars of tax credit for
 qualified employees; and (ii) twenty million dollars of tax  credit  for
 individuals  who  meet  all of the requirements for a qualified employee
 except for the residency requirement of subparagraph (ii)  of  paragraph
 two  of  this subdivision, which individuals shall be deemed to meet the
 residency requirements of subparagraph (ii) of  paragraph  two  of  this
 subdivision if they reside in New York state.
   §  3.  The opening paragraph of subdivision (d) of section 25-a of the
 labor law, as amended by section 2 of part R of chapter 59 of  the  laws
 of 2018, is amended to read as follows:
   To  participate  in  the  program  established  under this section, an
 employer must submit an application (in a form prescribed by the commis-
 sioner) to the commissioner after January first, two thousand twelve but
 no later than November thirtieth, two thousand twelve 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 January first, two thousand sixteen but
 no later than November thirtieth, two thousand sixteen for program four,
 after January first, two thousand seventeen but no later  than  November
 thirtieth, two thousand seventeen for program five, after January first,
 two thousand eighteen but no later than November thirtieth, two thousand
 eighteen for program six, after January first, two thousand nineteen but
 no  later  than  November  thirtieth,  two thousand nineteen for program
 seven, after January first, two thousand twenty but no later than Novem-
 ber thirtieth, two thousand twenty  for  program  eight,  after  January
 first, two thousand twenty-one but no later than November thirtieth, two
 thousand  twenty-one  for  program  nine, [and] after January first, two
 thousand twenty-two but no later than November thirtieth,  two  thousand
 twenty-two  for  program  ten, AFTER JANUARY FIRST, TWO THOUSAND TWENTY-
 THREE BUT NO LATER THAN NOVEMBER THIRTIETH,  TWO  THOUSAND  TWENTY-THREE
 FOR PROGRAM ELEVEN, AFTER JANUARY FIRST, TWO THOUSAND TWENTY-FOUR BUT NO
 LATER  THAN  NOVEMBER  THIRTIETH,  TWO  THOUSAND TWENTY-FOUR FOR PROGRAM
 TWELVE, AFTER JANUARY FIRST, TWO THOUSAND TWENTY-FIVE BUT NO LATER  THAN
 NOVEMBER THIRTIETH, TWO THOUSAND TWENTY-FIVE FOR PROGRAM THIRTEEN, AFTER
 JANUARY  FIRST, TWO THOUSAND TWENTY-SIX BUT NO LATER THAN NOVEMBER THIR-
 TIETH, TWO THOUSAND TWENTY-SIX FOR PROGRAM FOURTEEN, AND  AFTER  JANUARY
 FIRST,  TWO  THOUSAND TWENTY-SEVEN BUT NO LATER THAN NOVEMBER THIRTIETH,
 TWO THOUSAND TWENTY-SEVEN FOR PROGRAM FIFTEEN. The  qualified  employees
 must  start  their  employment  on  or after January first, two thousand
 twelve but no later than December thirty-first, two thousand twelve  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 Decem-
 ber thirty-first, two thousand fifteen for program three,  on  or  after
 January  first,  two thousand sixteen but no later than December thirty-
 first, two thousand sixteen for program four, on or after January first,
 two thousand seventeen but no  later  than  December  thirty-first,  two
 thousand  seventeen  for  program  five,  on or after January first, two
 thousand eighteen but no later than December thirty-first, two  thousand
 eighteen  for program six, on or after January first, two thousand nine-
 S. 8009--C                         44                         A. 9009--C
 
 teen but no later than December thirty-first, two thousand nineteen  for
 program  seven,  on  or  after January first, two thousand twenty but no
 later than December thirty-first, two thousand twenty for program eight,
 on  or  after  January  first, two thousand twenty-one but no later than
 December thirty-first, two thousand twenty-one for program  nine,  [and]
 on  or  after  January  first, two thousand twenty-two but no later than
 December thirty-first, two thousand twenty-two for program  ten,  ON  OR
 AFTER  JANUARY FIRST, TWO THOUSAND TWENTY-THREE BUT NO LATER THAN DECEM-
 BER THIRTY-FIRST, TWO THOUSAND THREE FOR PROGRAM  ELEVEN,  ON  OR  AFTER
 JANUARY FIRST, TWO THOUSAND TWENTY-FOUR BUT NO LATER THAN DECEMBER THIR-
 TY-FIRST, TWO THOUSAND TWENTY-FOUR FOR PROGRAM TWELVE, ON OR AFTER JANU-
 ARY  FIRST,  TWO THOUSAND TWENTY-FIVE BUT NO LATER THAN DECEMBER THIRTY-
 FIRST, TWO THOUSAND  TWENTY-FIVE  FOR  PROGRAM  THIRTEEN,  ON  OR  AFTER
 JANUARY  FIRST, TWO THOUSAND TWENTY-SIX BUT NO LATER THAN DECEMBER THIR-
 TY-FIRST, TWO THOUSAND TWENTY-SIX FOR PROGRAM FOURTEEN, AND ON OR  AFTER
 JANUARY  FIRST,  TWO  THOUSAND  TWENTY-SEVEN  BUT NO LATER THAN DECEMBER
 THIRTY-FIRST, TWO THOUSAND TWENTY-SEVEN FOR PROGRAM FIFTEEN. As part  of
 such application, an employer must:
   § 4. This act shall take effect immediately.
 
                                  PART O
 
   Section  1. Subdivision (a) of section 25-c of the labor law, as added
 by section 1 of subpart B of part N of chapter 59 of the laws  of  2017,
 is amended to read as follows:
   (a)  The  commissioner  is  authorized to establish and administer the
 empire state apprenticeship tax credit program to provide tax incentives
 to certified employers for employing qualified apprentices  pursuant  to
 an  apprenticeship  agreement registered with the department pursuant to
 paragraph (d) of subdivision one of section eight hundred eleven of this
 chapter. The commissioner is authorized to allocate up  to  ten  million
 dollars  of tax credits annually, beginning in two thousand eighteen and
 ending before two thousand [twenty-three] TWENTY-EIGHT. Any unused annu-
 al allocation of the credit shall be  made  available  in  each  of  the
 subsequent years before two thousand [twenty-three] TWENTY-EIGHT.
   § 2. This act shall take effect immediately.
 
                                  PART P
 
   Section  1.  Subdivision 6 of section 187-b of the tax law, as amended
 by section 1 of part O of chapter 59 of the laws of 2017, is amended  to
 read as follows:
   6.  Termination. The credit allowed by subdivision two of this section
 shall not apply in taxable years beginning after December  thirty-first,
 two thousand [twenty-two] TWENTY-FIVE.
   §  2. Paragraph (f) of subdivision 30 of section 210-B of the tax law,
 as amended by section 2 of part O of chapter 59 of the laws of 2017,  is
 amended to read as follows:
   (f)  Termination. The credit allowed by paragraph (b) of this subdivi-
 sion shall not apply in taxable years beginning after  December  thirty-
 first, two thousand [twenty-two] TWENTY-FIVE.
   §  3.  Paragraph 6 of subsection (p) of section 606 of the tax law, as
 amended by section 3 of part O of chapter 59 of the  laws  of  2017,  is
 amended to read as follows:
 S. 8009--C                         45                         A. 9009--C
 
   (6) Termination. The credit allowed by this subsection shall not apply
 in  taxable  years  beginning  after December thirty-first, two thousand
 [twenty-two] TWENTY-FIVE.
   § 4. This act shall take effect immediately.
 
                                  PART Q
 
   Section  1.  Section  5  of  part MM of chapter 59 of the laws of 2014
 amending the labor law and the tax law relating to the creation  of  the
 workers with disabilities tax credit program, as amended by section 1 of
 part E of chapter 59 of the laws of 2019, is amended to read as follows:
   §  5.  This  act shall take effect January 1, 2015, and shall apply to
 taxable years beginning on and after that date[; provided, however, that
 this act shall expire and be deemed repealed January 1, 2023].
   § 2. Section 25-b of the labor law is amended by adding a new subdivi-
 sion (f) to read as follows:
   (F) THE TAX CREDITS PROVIDED UNDER THIS PROGRAM SHALL BE APPLICABLE TO
 TAXABLE PERIODS BEGINNING BEFORE JANUARY FIRST, TWO THOUSAND TWENTY-SIX.
   § 3. This act shall take effect immediately.
 
                                  PART R
 
                           Intentionally Omitted
 
                                  PART S
 
                           Intentionally Omitted
 
                                  PART T
 
   Section 1. Section 301-b of the tax law is amended  by  adding  a  new
 subdivision (j) to read as follows:
   (J)  EXEMPTION  FOR  TUGBOATS  AND  TOWBOATS.  THE USE BY A TUGBOAT OR
 TOWBOAT OF MOTOR FUEL, DIESEL MOTOR FUEL, OR RESIDUAL PETROLEUM PRODUCT.
 PROVIDED, THAT THE COMMISSIONER SHALL REQUIRE SUCH DOCUMENTARY PROOF  TO
 QUALIFY  FOR  ANY EXEMPTION PROVIDED HEREUNDER AS THE COMMISSIONER DEEMS
 APPROPRIATE.
   § 2. The opening paragraph of section 301-c of the tax law, as amended
 by section 5 of part W-1 of chapter 109 of the laws of 2006, is  amended
 to read as follows:
   A subsequent purchaser shall be eligible for reimbursement of tax with
 respect  to the following gallonage, subsequently sold by such purchaser
 in accordance with subdivision (a), (b), (e), (h), (j), (k), (n) or  (o)
 of this section or used by such purchaser in accordance with subdivision
 (c),  (d),  (f),  (g),  (i), (l) [or], (m) OR (Q) of this section, which
 gallonage has been included in the measure of the tax  imposed  by  this
 article on a petroleum business:
   § 3. The opening paragraph of section 301-c of the tax law, as amended
 by chapter 468 of the laws of 2000, is amended to read as follows:
   A subsequent purchaser shall be eligible for reimbursement of tax with
 respect  to the following gallonage, subsequently sold by such purchaser
 in accordance with subdivision (a), (b), (e), (h), (j) or  (k)  of  this
 section  or  used  by such purchaser in accordance with subdivision (c),
 (d), (f), (g), (i), (l) [or], (m) OR (Q) of this section,  which  gallo-
 S. 8009--C                         46                         A. 9009--C
 
 nage has been included in the measure of the tax imposed by this article
 on a petroleum business:
   §  4. Section 301-c of the tax law is amended by adding a new subdivi-
 sion (q) to read as follows:
   (Q) REIMBURSEMENT FOR TUGBOATS AND TOWBOATS. A USE  BY  A  TUGBOAT  OR
 TOWBOAT OF MOTOR FUEL, DIESEL MOTOR FUEL, OR RESIDUAL PETROLEUM PRODUCT.
 THIS  REIMBURSEMENT MAY BE CLAIMED ONLY WHERE (1) ANY TAX IMPOSED PURSU-
 ANT TO THIS ARTICLE HAS BEEN PAID WITH RESPECT TO SUCH GALLONAGE AND THE
 ENTIRE AMOUNT OF SUCH TAX HAS BEEN ABSORBED BY SUCH PURCHASER,  AND  (2)
 SUCH  TUGBOAT OR TOWBOAT POSSESSES DOCUMENTARY PROOF SATISFACTORY TO THE
 COMMISSIONER EVIDENCING THE ABSORPTION BY IT OF  THE  ENTIRE  AMOUNT  OF
 SUCH TAX. PROVIDED, THAT THE COMMISSIONER SHALL REQUIRE SUCH DOCUMENTARY
 PROOF TO QUALIFY FOR ANY REIMBURSEMENT PROVIDED HEREUNDER AS THE COMMIS-
 SIONER DEEMS APPROPRIATE.
   §  5. This act shall take effect September 1, 2022, and shall apply to
 uses of motor fuel, diesel motor fuel and residual petroleum product  on
 and after such date; provided however that the amendments to the opening
 paragraph  of  section  301-c of the tax law made by section two of this
 act shall be subject to the expiration and reversion of  such  paragraph
 pursuant  to  section 19 of part W-1 of chapter 109 of the laws of 2006,
 as amended, when upon such date the provisions of section three of  this
 act shall take effect.
 
                                  PART U
 
                           Intentionally Omitted
 
                                  PART V
 
                           Intentionally Omitted
 
                                  PART W
 
   Section  1.    Paragraph 1 of subsection (a) of section 671 of the tax
 law, as amended by chapter 760 of the laws of 1992, is amended  to  read
 as follows:
   (1) Every employer maintaining an office or transacting business with-
 in this state and making payment of any wages taxable under this article
 shall  deduct and withhold from such wages for each payroll period a tax
 computed in such manner as to result, so far as  practicable,  in  with-
 holding  from  the  employee's wages during each calendar year an amount
 substantially equivalent to the tax reasonably estimated to be due under
 this article resulting from the inclusion in  the  employee's  New  York
 adjusted  gross income or New York source income of [his] THE EMPLOYEE'S
 wages received during such calendar year. The method of determining  the
 amount  to  be  withheld  shall  be  prescribed  by [regulations of] the
 commissioner, with due regard to the New York withholding exemptions  of
 the  employee  and  the  sum  of any credits allowable against [his] THE
 EMPLOYEE'S tax. THE COMMISSIONER SHALL PUBLISH ANY CHANGES TO SUCH METH-
 OD OF DETERMINING THE AMOUNT OF TAX TO BE WITHHELD ON THE WEBSITE OF THE
 DEPARTMENT OF TAXATION AND FINANCE. THE COMMISSIONER  SHALL  ALSO  CAUSE
 NOTICE  OF SUCH CHANGES TO BE PUBLISHED IN THE SECTION FOR MISCELLANEOUS
 NOTICES IN THE STATE REGISTER AND SHALL GIVE OTHER  APPROPRIATE  GENERAL
 NOTICE OF SUCH CHANGES.
 S. 8009--C                         47                         A. 9009--C
 
   §  2.  Paragraph 6 of subsection (j) of section 697 of the tax law, as
 amended by chapter 61 of the  laws  of  1989,  is  amended  to  read  as
 follows:
   (6)  Publication  of  interest rates. The commissioner of taxation and
 finance SHALL PUBLISH THE INTEREST RATES SET UNDER  THIS  SUBSECTION  ON
 THE  WEBSITE  OF  THE  DEPARTMENT  OF  TAXATION AND FINANCE. IMMEDIATELY
 FOLLOWING SUCH PUBLICATION, THE COMMISSIONER shall cause  SUCH  INTEREST
 RATES  to  be  published in the section for miscellaneous notices in the
 state register[,] and give other appropriate general  notice  of[,  the]
 SUCH interest rates [to be set under this subsection no later than twen-
 ty  days  preceding  the  first day of the calendar quarter during which
 such interest rates apply]. The setting and publication of such interest
 rates shall not be included within paragraph (a) of subdivision  two  of
 section one hundred two of the state administrative procedure act relat-
 ing to the definition of a rule.
   §  3. Paragraph 5 of subsection (e) of section 1096 of the tax law, as
 amended by chapter 61 of the  laws  of  1989,  is  amended  to  read  as
 follows:
   (5)  Publication  of  interest rates. The commissioner of taxation and
 finance shall PUBLISH THE INTEREST RATES SET UNDER  THIS  SUBSECTION  ON
 THE  WEBSITE  OF  THE  DEPARTMENT  OF  TAXATION AND FINANCE. IMMEDIATELY
 FOLLOWING SUCH PUBLICATION, THE COMMISSIONER SHALL cause  SUCH  INTEREST
 RATES  to  be  published in the section for miscellaneous notices in the
 state register[,] and give other appropriate general  notice  of[,  the]
 SUCH interest rates [to be set under this subsection no later than twen-
 ty  days  preceding  the  first day of the calendar quarter during which
 such interest rates apply]. The setting and publication of such interest
 rates shall not be included within paragraph (a) of subdivision  two  of
 section one hundred two of the state administrative procedure act relat-
 ing to the definition of a rule.
   § 4. This act shall take effect immediately.
 
                                  PART X
 
   Section  1.  Paragraph (c) of subdivision 1 of section 1701 of the tax
 law, as added by section 1 of part CC-1 of chapter 57  of  the  laws  of
 2008, is amended to read as follows:
   (c)  "Financial  institution"  means  (I)  any  financial  institution
 authorized or required to participate in a  financial  institution  data
 match  system  or  program  for child support enforcement purposes under
 federal or state law, AND (II) ANY VIRTUAL CURRENCY BUSINESS LICENSED BY
 THE SUPERINTENDENT OF FINANCIAL SERVICES.
   § 2. This act shall take effect immediately.
 
                                  PART Y
 
   Section 1. Section 4 of chapter 475 of the laws of 2013,  relating  to
 assessment  ceilings  for  local  public  utility mass real property, as
 amended by section 1 of part G of chapter 59 of the  laws  of  2018,  is
 amended to read as follows:
   §  4. This act shall take effect on the first of January of the second
 calendar year commencing after this act shall  have  become  a  law  and
 shall  apply  to  assessment rolls with taxable status dates on or after
 such date; provided, however, that this act shall expire and  be  deemed
 repealed  [eight]  TWELVE years after such effective date; and provided,
 further, that no assessment of local public utility mass  real  property
 S. 8009--C                         48                         A. 9009--C
 
 appearing  on  the  municipal assessment roll with a taxable status date
 occurring in the first calendar year after this act shall have become  a
 law  shall  be  less  than  ninety  percent or more than one hundred ten
 percent  of  the  assessment  of  the same property on the date this act
 shall have become a law.
   § 2. Subdivision 4 of section 499-pppp of the real property  tax  law,
 as  added  by  chapter  475  of  the laws of 2013, is amended to read as
 follows:
   4. (A) Any final determination of an assessment ceiling by the commis-
 sioner pursuant to subdivision one of this section shall be  subject  to
 judicial challenge by an owner of local public utility mass real proper-
 ty or a local assessing jurisdiction in a proceeding under article seven
 of  this chapter; provided however, the time to commence such proceeding
 shall be within sixty days of the issuance of the final assessment ceil-
 ing certificate and all questions of fact and law shall be determined de
 novo. Any judicial proceeding shall be commenced in the supreme court in
 the county of Albany or the county agreed upon by the parties  in  which
 the local public utility mass real property is located.
   (B) Nothing in this section shall preclude a challenge of the assessed
 value  established  by  a  local  assessing jurisdiction with respect to
 local public utility mass real property as otherwise provided in article
 seven of this chapter, PROVIDED HOWEVER THAT:
   (I) UPON MOTION OF THE LOCAL ASSESSING  JURISDICTION,  SUCH  CHALLENGE
 SHALL BE CONSOLIDATED WITH THE CHALLENGE TO THE FINAL ASSESSMENT CEILING
 COMMENCED PURSUANT TO THIS SUBDIVISION AND LITIGATED IN THE VENUE SPECI-
 FIED BY THIS SUBDIVISION.
   (II)  In  any proceeding INITIATED BY AN OWNER OF LOCAL PUBLIC UTILITY
 MASS REAL PROPERTY challenging an assessed value established by a  local
 assessing  jurisdiction for local public utility mass real property, the
 final certified assessment ceiling established pursuant  to  subdivision
 one  of  this  section  [shall  not],  AND  THE  EVIDENCE  SUBMITTED  IN
 CONNECTION THEREWITH, MAY be considered by the  court  WHEN  DETERMINING
 THE  MERITS  OF  THE  CHALLENGE TO THE ASSESSED VALUE ESTABLISHED BY THE
 ASSESSING UNIT.
   (III) IN SUCH A PROCEEDING, THE  LOCAL  ASSESSING  JURISDICTION,  UPON
 REQUEST  TO  THE LOCAL PUBLIC UTILITY MASS REAL PROPERTY OWNER, SHALL BE
 PROVIDED WITH A COPY OF THE PORTION OF THE ANNUAL REPORT PROVIDED TO THE
 COMMISSIONER UNDER SECTION FOUR HUNDRED NINETY-NINE-RRRR OF  THIS  TITLE
 THAT  DIRECTLY  RELATES  TO  THE LOCAL PUBLIC UTILITY MASS REAL PROPERTY
 LOCATED WITHIN THE LOCAL ASSESSING JURISDICTION, PROVIDED THAT:
   (A) SUCH REPORT, OR THE APPLICABLE PORTION THEREOF, NEED  ONLY  BE  SO
 PROVIDED  IF  (1) THE PROPERTY AT ISSUE IN THE PROCEEDING IS PROPERTY TO
 WHICH AN ASSESSMENT CEILING APPLIES, AND (2) THE ASSESSED  VALUE  ESTAB-
 LISHED  BY  THE  ASSESSING  UNIT FOR THE PROPERTY IS NO GREATER THAN THE
 ASSESSMENT CEILING SET FOR THE PROPERTY BY THE COMMISSIONER.
   (B) NOTWITHSTANDING ANY OTHER REQUIREMENTS OF LAW TO THE CONTRARY, THE
 ANNUAL REPORT OR PORTION THEREOF SO PROVIDED SHALL  BE  TREATED  BY  THE
 LOCAL  ASSESSING JURISDICTION AS CONFIDENTIAL IN ALL RESPECTS, AND SHALL
 NOT BE PUBLISHED OR OTHERWISE DISCLOSED TO ANY PERSON OR AGENCY,  EXCEPT
 THAT  SUCH REPORT MAY BE SHARED WITH PERSONS WHO ARE PROVIDING THE LOCAL
 ASSESSING JURISDICTION WITH LEGAL OR APPRAISAL  SERVICES  IN  CONNECTION
 WITH  THE  LITIGATION,  IN  WHICH  CASE  SUCH  PERSONS SHALL BE LIKEWISE
 OBLIGED TO TREAT SUCH REPORT AS CONFIDENTIAL IN ALL RESPECTS, AND EXCEPT
 THAT SUCH REPORT MAY BE OFFERED INTO EVIDENCE IN THE LITIGATION, SUBJECT
 TO ITS ADMISSIBILITY BEING DETERMINED BY THE COURT.   IF RULED  ADMISSI-
 BLE,  THE  OWNER OF PUBLIC UTILITY MASS REAL PROPERTY MAY MOVE THE COURT
 S. 8009--C                         49                         A. 9009--C
 
 FOR AN ORDER DIRECTING THAT THE PORTION OF THE  RECORD  CONTAINING  SUCH
 REPORT,  OR  THE  APPLICABLE  PORTION THEREOF, NOT BE MADE AVAILABLE FOR
 PUBLIC INSPECTION OR DISCLOSURE.  IF SUCH A MOTION IS  MADE,  THE  LOCAL
 ASSESSING JURISDICTION SHALL BE DEEMED TO CONSENT THERETO.
   (C)  IF  THE LOCAL PUBLIC UTILITY MASS REAL PROPERTY OWNER IS REQUIRED
 BY THIS SUBPARAGRAPH TO PROVIDE TO THE LOCAL ASSESSING JURISDICTION SUCH
 REPORT, OR THE APPLICABLE PORTION THEREOF, BUT IT FAILS TO DO SO  WITHIN
 THIRTY DAYS OF SUCH A REQUEST, THE PROCEEDING SHALL BE DISMISSED.
   §  3.  This act shall take effect immediately, provided, however, that
 the amendments to subdivision 4 of section 499-pppp of the real property
 tax law made by section two of this act shall not affect the  repeal  of
 such section and shall be deemed to be repealed therewith.
 
                                  PART Z
 
   Section  1.  This Part enacts into law major components of legislation
 relating to the administration of the STAR program authorized by section
 425 of the real property tax law and subsection (eee) of section 606  of
 the tax law. Each component is wholly contained within a Subpart identi-
 fied  as  Subparts A, C, D and E. The effective date for each particular
 provision contained within such Subpart is set forth in the last section
 of such Subpart.  Any  provision  in  any  section  contained  within  a
 Subpart, including the effective date of the Subpart, which makes refer-
 ence  to  a  section  of  "this  act", when used in connection with that
 particular component, shall be deemed to mean and refer  to  the  corre-
 sponding  section  of  the  Subpart in which it is found. Section two of
 this act sets forth the general effective date of this Part.
 
                                 SUBPART A
 
   Section 1. Paragraph (a-2) of subdivision 6 of section 425 of the real
 property tax law, as amended by section 1 of part TT of  chapter  59  of
 the laws of 2019, is amended to read as follows:
   (a-2)  Notwithstanding  any provision of law to the contrary, where an
 application for the "enhanced" STAR exemption authorized by  subdivision
 four  of this section has not been filed on or before the taxable status
 date, and the owner believes that good cause existed for the failure  to
 file the application by that date, the owner may, no later than the last
 day  for  paying  school  taxes  without  incurring interest or penalty,
 submit a written request to the commissioner asking him or her to extend
 the filing deadline and grant the exemption. Such request shall  contain
 an  explanation of why the deadline was missed, and shall be accompanied
 by an application,  reflecting  the  facts  and  circumstances  as  they
 existed  on the taxable status date. After consulting with the assessor,
 the commissioner may extend the filing deadline and grant the  exemption
 if  the  commissioner  is  satisfied that (i) good cause existed for the
 failure to file the application by the taxable  status  date,  and  that
 (ii)  the  applicant is otherwise entitled to the exemption. The commis-
 sioner shall mail notice of his or her determination to such  owner  and
 the  assessor.  If  the  determination  states that the commissioner has
 granted the exemption, the assessor shall thereupon  be  authorized  and
 directed  to  correct  the  assessment  roll accordingly, or, if another
 person has custody or control of the assessment  roll,  to  direct  that
 person  to  make  the appropriate corrections. [If the correction is not
 made before school taxes are levied,  the  school  district  authorities
 shall  be  authorized  and directed to take account of the fact that the
 S. 8009--C                         50                         A. 9009--C

 commissioner has granted the exemption by correcting the applicant's tax
 bill and/or issuing a refund accordingly] PROVIDED, HOWEVER, THAT IF THE
 ASSESSMENT ROLL CANNOT BE CORRECTED IN TIME FOR THE EXEMPTION TO  APPEAR
 ON THE APPLICANT'S SCHOOL TAX BILL, THE COMMISSIONER SHALL BE AUTHORIZED
 TO  REMIT  DIRECTLY  TO  THE  APPLICANT  THE  TAX  SAVINGS THAT THE STAR
 EXEMPTION WOULD HAVE YIELDED IF IT HAD APPEARED ON THE  APPLICANT'S  TAX
 BILL.  THE AMOUNTS SO PAYABLE SHALL BE PAID FROM THE ACCOUNT ESTABLISHED
 FOR THE PAYMENT OF STAR BENEFITS TO LATE REGISTRANTS PURSUANT TO SUBPAR-
 AGRAPH (III) OF PARAGRAPH (A) OF SUBDIVISION FOURTEEN OF THIS SECTION.
   § 2. This act shall take effect immediately.
 
                                 SUBPART B
 
                           Intentionally Omitted
 
                                 SUBPART C

   Section 1. Subparagraph (A) of paragraph  3  of  subsection  (eee)  of
 section  606 of the tax law, as amended by section 2 of part RR of chap-
 ter 59 of the laws of 2019, is amended to read as follows:
   (A) Beginning with taxable years after two thousand fifteen,  a  basic
 STAR credit shall be available to a qualified taxpayer if the affiliated
 income  of the parcel that serves as the taxpayer's primary residence is
 less than or equal to five hundred thousand dollars FOR  THE  APPLICABLE
 INCOME  TAX  YEAR  SPECIFIED  BY PARAGRAPH (B-1) OF SUBDIVISION THREE OF
 SECTION FOUR HUNDRED TWENTY-FIVE OF THE REAL  PROPERTY  TAX  LAW.    The
 income limit established for the basic STAR exemption by paragraph (b-1)
 of  subdivision  three  of  section four hundred twenty-five of the real
 property tax law shall not be taken into account when determining eligi-
 bility for the basic STAR credit.
   § 2. This act shall take effect immediately.
 
                                 SUBPART D
 
   Section 1. Subparagraph (B) of paragraph  7  of  subsection  (eee)  of
 section 606 of the tax law, as amended by section 7 of part E of chapter
 59 of the laws of 2018, is amended to read as follows:
   (B)  Notwithstanding  any  provision of law to the contrary, the names
 and addresses of individuals who have applied for or are  receiving  the
 credit  authorized  by  this  subsection  may be disclosed to assessors,
 county directors of  real  property  tax  services,  and  municipal  tax
 collecting officers WITHIN NEW YORK STATE. In addition, [where an agree-
 ment  is  in  place  between  the  commissioner  and the head of the tax
 department of another state, such information may be disclosed  to  such
 official or his or her designees] SUCH INFORMATION MAY BE EXCHANGED WITH
 ASSESSORS AND TAX OFFICIALS FROM JURISDICTIONS OUTSIDE NEW YORK STATE IF
 THE  LAWS OF THE OTHER JURISDICTION ALLOW IT TO PROVIDE SIMILAR INFORMA-
 TION TO THIS STATE. Such information shall  be  considered  confidential
 and  shall  not be subject to further disclosure pursuant to the freedom
 of information law or otherwise.
   § 2. This act shall take effect immediately.
 
                                 SUBPART E
 S. 8009--C                         51                         A. 9009--C
 
   Section 1. Subsection (c) of section 651 of the tax law, as amended by
 section 3 of part QQ of chapter 59 of the laws of 2019,  is  amended  to
 read as follows:
   (c)  Decedents.  The  return for any deceased individual shall be made
 and filed by [his] THE  DECEDENT'S  executor,  administrator,  or  other
 person  charged with [his] THE DECEDENT'S property. If a final return of
 a decedent is for a fractional part of a year,  the  due  date  of  such
 return  shall  be  the  fifteenth  day of the fourth month following the
 close of the twelve-month period which began with the first day of  such
 fractional part of the year. Notwithstanding any provision of law to the
 contrary,  when a return has been filed for a decedent, the commissioner
 may disclose the decedent's name, address, and the date of death to  the
 director of real property tax services of the county AND THE ASSESSOR OF
 THE  ASSESSING  UNIT  in  which  the  address reported on such return is
 located.
   § 2. This act shall take effect immediately.
   § 2. This act shall take effect immediately, provided,  however,  that
 the  applicable  effective  date  of  Subparts A, C, D and E of this act
 shall be as specifically set forth in the last section of such Subparts.
 
                                  PART AA
 
   Section 1. Section 575-b of the real property tax law  is  amended  by
 adding a new subdivision 4 to read as follows:
   4.  COMPLAINTS  WITH  RESPECT  TO  ASSESSMENTS  DETERMINED  UNDER THIS
 SECTION SHALL BE GOVERNED BY  SECTIONS  FIVE  HUNDRED  TWELVE  AND  FIVE
 HUNDRED TWENTY-FOUR OF THIS ARTICLE AND THE FOLLOWING PROVISIONS:
   (A)  THE  ASSESSOR  SHALL,  UPON  REQUEST,  PROVIDE THE OWNER WITH THE
 INPUTS THAT HE OR SHE ENTERED INTO THE  COMMISSIONER'S  APPRAISAL  MODEL
 WHEN VALUING THE PROPERTY PURSUANT TO THIS SECTION.
   (B)  THE  PROPERTY OWNER MAY ADVISE THE ASSESSOR OF ANY ALLEGED ERRORS
 TO THE APPRAISAL MODEL INPUTS BELIEVED TO HAVE BEEN MADE BY  THE  ASSES-
 SOR,  AND  MAY  PROVIDE  INFORMATION  TO  THE ASSESSOR IN SUPPORT OF ANY
 PROPOSED CHANGE TO THOSE INPUTS.
   (C) IF THE PROPERTY OWNER PROVIDES SUCH INFORMATION  TO  THE  ASSESSOR
 PRIOR  TO  THE FILING OF THE TENTATIVE ASSESSMENT ROLL, THE ASSESSOR MAY
 MAKE SUCH ADJUSTMENTS TO THE APPRAISAL MODEL INPUTS AS HE OR  SHE  DEEMS
 WARRANTED BASED UPON THE INFORMATION PROVIDED BY THE PROPERTY OWNER, AND
 MAY  RECALCULATE THE PROPERTY VALUE BY ENTERING THE ADJUSTED INPUTS INTO
 THE APPRAISAL MODEL.
   (D) IF DISSATISFIED WITH THE ASSESSED VALUE APPEARING ON THE TENTATIVE
 ASSESSMENT ROLL, THE PROPERTY OWNER MAY FILE A COMPLAINT WITH THE  BOARD
 OF  ASSESSMENT REVIEW; PROVIDED, HOWEVER, THAT THE GROUNDS FOR REVIEW OF
 AN ASSESSMENT DETERMINED UNDER THIS SECTION WITH RESPECT TO BOTH ARTICLE
 FIVE AND ARTICLE SEVEN OF THIS CHAPTER SHALL BE LIMITED TO THE  ACCURACY
 OF THE APPRAISAL MODEL INPUTS MADE BY THE ASSESSOR.
   (E) ACTIONS OR PROCEEDINGS THAT CHALLENGE THE VALIDITY AND ACCURACY OF
 THE APPRAISAL MODEL OR DISCOUNT RATES ESTABLISHED UNDER THIS SECTION MAY
 NOT  BE  COMMENCED  AGAINST ASSESSING UNITS. SUCH CHALLENGES MAY ONLY BE
 BROUGHT BY COMMENCING AN ACTION AGAINST THE COMMISSIONER  IN  THE  THIRD
 DEPARTMENT  OF THE APPELLATE DIVISION OF THE SUPREME COURT IN THE MANNER
 PROVIDED BY ARTICLE SEVENTY-EIGHT OF THE CIVIL PRACTICE LAW AND RULES.
   § 2. This act shall take effect immediately.
 
                                  PART BB
 S. 8009--C                         52                         A. 9009--C
 
   Section 1. The subsection heading and paragraphs 1, 2,  3,  and  4  of
 subsection (n-1) of section 606 of the tax law, as added by section 1 of
 subpart B of part C of chapter 20 of the laws of 2015, the opening para-
 graph of subparagraph (a) of paragraph 2 as amended by section 7 of part
 A of chapter 60 of the laws of 2016, are amended to read as follows:
   [Property  tax  relief] HOMEOWNER TAX REBATE credit. (1) An individual
 taxpayer who meets the eligibility standards in paragraph  two  of  this
 subsection  shall  be allowed a credit against the taxes imposed by this
 article in the amount specified in paragraph three  of  this  subsection
 for  tax  [years two thousand sixteen, two thousand seventeen, two thou-
 sand eighteen, and two thousand nineteen] YEAR TWO THOUSAND TWENTY-TWO.
   (2) [(a)] To be eligible for the credit, the  taxpayer  (or  taxpayers
 filing  joint  returns) [on the personal income tax return filed for the
 taxable year two years prior, must have (i) been a resident, (ii)  owned
 and primarily resided] (A) MUST OWN AND PRIMARILY RESIDE in real proper-
 ty  receiving  either  the  STAR  exemption  authorized  by section four
 hundred twenty-five of the real property  tax  law  or  the  school  tax
 relief  credit  authorized  by  subsection  (eee)  of  this section, and
 [(iii)] (B) MUST HAVE had qualified gross income  no  greater  than  two
 hundred  [seventy-five]  FIFTY thousand dollars IN TAX YEAR TWO THOUSAND
 TWENTY.  [Provided, however, that no credit shall be allowed if  any  of
 the following apply:
   (i) Such property is located in an independent school district that is
 subject  to the provisions of section two thousand twenty-three-a of the
 education law and that has adopted a budget in excess of  the  tax  levy
 limit  prescribed  by that section. To render its taxpayers eligible for
 the credit authorized by  this  subsection,  the  school  district  must
 certify its compliance with such tax levy limit in the manner prescribed
 by  subdivision two of section two thousand twenty-three-b of the educa-
 tion law.
   (ii) Such property is located  in  a  city  with  a  dependent  school
 district  that  is  subject  to the provisions of section three-c of the
 general municipal law and that has adopted a budget in excess of the tax
 levy limit prescribed by that section. To render its taxpayers  eligible
 for  the credit authorized by this subsection, the city must certify its
 compliance with such tax levy limit in the manner prescribed by subdivi-
 sion two of section three-d of the general municipal law.
   (iii) Such property is located in the city of New York.]
   (3) Amount of credit. (a) [For the two thousand sixteen  taxable  year
 (i)  for  a taxpayer residing in real property located within the metro-
 politan commuter transportation district (MCTD) and outside the city  of
 New  York,  the  amount of the credit shall be $130; (ii) for a taxpayer
 residing in real property located outside the MCTD, the  amount  of  the
 credit shall be $185.
   (b)  For  the  two  thousand  seventeen, two thousand eighteen and two
 thousand nineteen taxable years (i)] For a taxpayer who owned and prima-
 rily resided in real property receiving the basic STAR exemption OR  WHO
 RECEIVED THE BASIC STAR CREDIT, the amount of the credit shall equal the
 STAR  tax  savings  associated with such basic STAR exemption IN THE TWO
 THOUSAND TWENTY-ONE--TWO THOUSAND TWENTY-TWO SCHOOL YEAR, multiplied  by
 the following percentage:
   [(A) for the two thousand seventeen taxable year:
 Qualified Gross Income                  Percentage
 Not over $75,000                        28%
 Over $75,000 but not over $150,000      20.5%
 Over $150,000 but not over $200,000     13%
 S. 8009--C                         53                         A. 9009--C

 Over $200,000 but not over $275,000     5.5%
 Over $275,000                           No credit
   (B) for the two thousand eighteen taxable year:
 Qualified Gross Income                  Percentage
 Not over $75,000                        60%
 Over $75,000 but not over $150,000      42.5%
 Over $150,000 but not over $200,000     25%
 Over $200,000 but not over $275,000     7.5%
 Over $275,000                           No credit
   (C) for the two thousand nineteen taxable year:]
   (I) FOR A TAXPAYER WHOSE PRIMARY RESIDENCE IS LOCATED OUTSIDE THE CITY
 OF NEW YORK:
 Qualified Gross Income                  Percentage
 Not over $75,000                        [85%] 163%
 Over $75,000 but not over $150,000      [60%] 115%
 Over $150,000 but not over $200,000     [35%] 66%
 Over $200,000 but not over              [10%] 18%
 [$275,000] $250,000
 Over [$275,000] $250,000                No credit
   (II) FOR A TAXPAYER WHOSE PRIMARY RESIDENCE IS LOCATED WITHIN THE CITY
 OF NEW YORK:
 QUALIFIED GROSS INCOME                  PERCENTAGE
 NOT OVER $75,000                        125%
 OVER $75,000 BUT NOT OVER $150,000      115%
 OVER $150,000 BUT NOT OVER $200,000     105%
 OVER $200,000 BUT NOT OVER $250,000     100%
 OVER $250,000                           NO CREDIT
   [(c)] (B) For a taxpayer who owned and primarily resided in real prop-
 erty  receiving the enhanced STAR exemption OR WHO RECEIVED THE ENHANCED
 STAR CREDIT, the amount of the credit shall equal the STAR  tax  savings
 associated  with  such enhanced STAR exemption IN THE TWO THOUSAND TWEN-
 TY-ONE--TWO THOUSAND TWENTY-TWO SCHOOL YEAR, multiplied by [the  follow-
 ing percentage:
 Taxable Year                            Percentage
 two thousand seventeen                  12%
 two thousand eighteen                   26%
 two thousand nineteen                   34%]
 SIXTY-SIX PERCENT IF THE TAXPAYER'S PRIMARY RESIDENCE IS LOCATED OUTSIDE
 THE  CITY  OF  NEW  YORK,  OR  ONE HUNDRED TEN PERCENT IF THE TAXPAYER'S
 PRIMARY RESIDENCE IS LOCATED WITHIN THE CITY OF NEW YORK.
   [(d)] (C) In no case may the amount of the credit allowed  under  this
 subsection  exceed  the  school  district  taxes due with respect to the
 residence for that school year, NOR SHALL ANY CREDIT  BE  ALLOWED  UNDER
 THIS  SUBSECTION  IF THE AMOUNT DETERMINED PURSUANT TO THIS PARAGRAPH IS
 LESS THAN ONE HUNDRED DOLLARS.
   (4) For purposes of this subsection:
   (a) "Qualified gross income" means the adjusted gross  income  of  the
 qualified  taxpayer  for the taxable year as reported for federal income
 tax purposes, or which would be reported as adjusted gross income  if  a
 federal income tax return were required to be filed. In computing quali-
 fied  gross  income, the net amount of loss reported on Federal Schedule
 C, D, E, or F shall not exceed three thousand dollars per  schedule.  In
 addition,  the  net  amount of any other separate category of loss shall
 not exceed three thousand dollars. The aggregate amount  of  all  losses
 included  in  computing  qualified gross income shall not exceed fifteen
 thousand dollars.
 S. 8009--C                         54                         A. 9009--C
 
   (b) "STAR tax savings" means the tax savings attributable to the basic
 or enhanced STAR exemption, whichever is applicable, within a portion of
 a school district, as determined by the commissioner pursuant to  subdi-
 vision  two  of  section thirteen hundred six-a of the real property tax
 law.
   [(c)  "Metropolitan  commuter transportation district" or "MCTD" means
 the metropolitan commuter transportation district as defined in  section
 twelve hundred sixty-two of the public authorities law.]
   § 2. This act shall take effect immediately.

                                  PART CC
 
                           Intentionally Omitted
 
                                  PART DD
 
   Section  1.  Section  509-a  of  the  racing, pari-mutuel wagering and
 breeding law, as amended by section 1 of part LLL of chapter 59  of  the
 laws of 2021, is amended to read as follows:
   §  509-a.  Capital acquisition fund. 1. The corporation may create and
 establish a capital acquisition fund for the purpose  of  financing  the
 acquisition,  construction  or equipping of offices, facilities or prem-
 ises of the corporation. Such capital acquisition fund shall consist  of
 (i)  the  amounts  specified  pursuant to subdivision three-a of section
 five hundred thirty-two of this chapter; and (ii) contributions from the
 corporation's pari-mutuel wagering pools, subject to the following limi-
 tations:
   a. no contribution shall exceed the amount of one percent of the total
 pari-mutuel wagering pools for the quarter in which the contribution  is
 made;
   b.  no contribution shall reduce the amount of quarterly net revenues,
 exclusive of surcharge revenues, to an amount less than fifty percent of
 such net revenues; and
   c. the balance of the fund shall not exceed the lesser of one  percent
 of  total  pari-mutuel  wagering pools for the previous twelve months or
 the undepreciated value of the  corporation's  offices,  facilities  and
 premises.
   2.  A. Notwithstanding any other provision of law or regulation to the
 contrary, FROM APRIL NINETEENTH, TWO THOUSAND TWENTY-ONE TO MARCH  THIR-
 TY-FIRST,  TWO  THOUSAND  TWENTY-TWO, twenty-three percent of the funds,
 not to exceed two and one-half million dollars,  in  the  Catskill  off-
 track  betting  corporation's  capital acquisition fund and twenty-three
 percent of the funds, not to exceed four hundred forty thousand dollars,
 in the Capital off-track betting corporation's capital acquisition  fund
 established  pursuant  to  this  section shall also be available to such
 off-track betting corporation for the purposes of statutory obligations,
 payroll, and expenditures necessary to accept authorized wagers.
   B. NOTWITHSTANDING ANY OTHER PROVISION OF LAW  OR  REGULATION  TO  THE
 CONTRARY,  FROM  APRIL  FIRST,  TWO THOUSAND TWENTY-TWO TO MARCH THIRTY-
 FIRST, TWO THOUSAND TWENTY-THREE, TWENTY-THREE PERCENT OF THE FUNDS, NOT
 TO EXCEED TWO AND ONE-HALF MILLION DOLLARS, IN  THE  CATSKILL  OFF-TRACK
 BETTING  CORPORATION'S  CAPITAL ACQUISITION FUND ESTABLISHED PURSUANT TO
 THIS SECTION, AND TWENTY-THREE PERCENT OF THE FUNDS, NOT TO EXCEED  FOUR
 HUNDRED  FORTY  THOUSAND  DOLLARS,    IN   THE CAPITAL OFF-TRACK BETTING
 CORPORATION'S CAPITAL ACQUISITION  FUND  ESTABLISHED  PURSUANT  TO  THIS
 SECTION,  SHALL  BE AVAILABLE TO SUCH OFF-TRACK BETTING CORPORATIONS FOR
 S. 8009--C                         55                         A. 9009--C
 
 THE PURPOSES OF STATUTORY OBLIGATIONS, PAYROLL, AND EXPENDITURES  NECES-
 SARY TO ACCEPT AUTHORIZED WAGERS.
   C.  PRIOR  TO A CORPORATION BEING ABLE TO UTILIZE THE FUNDS AUTHORIZED
 BY PARAGRAPH B OF THIS  SUBDIVISION,  THE  CORPORATION  MUST  SUBMIT  AN
 EXPENDITURE  PLAN  TO  THE GAMING COMMISSION FOR REVIEW. SUCH PLAN SHALL
 INCLUDE THE CORPORATION'S OUTSTANDING LIABILITIES, PROJECTED REVENUE FOR
 THE UPCOMING YEAR, A DETAILED EXPLANATION OF HOW THE FUNDS WILL BE USED,
 AND ANY OTHER INFORMATION DETERMINED NECESSARY BY THE  COMMISSION.  UPON
 REVIEW, THE COMMISSION WILL MAKE A DETERMINATION AS TO WHETHER ACCESS TO
 THE FUNDS IS NEEDED AND WARRANTED.
   3.  The  Catskill  off-track  betting corporation and the Capital off-
 track betting corporation shall make a report to the  governor,  speaker
 of  the  assembly,  temporary president of the senate and the commission
 detailing the actual use of the funds  made  available  in  the  capital
 acquisition  fund. Such report shall include, but not be limited to, any
 impact on employment levels since utilizing the funds, the status of any
 statutory obligations, an accounting of the use of such funds,  and  any
 other  information  as  deemed  necessary by the commission. Such report
 shall be due no later than the [first day of April two thousand  twenty-
 two] LAST DAY OF THE FISCAL YEAR IN WHICH THE MONIES WERE SPENT.
   § 2.  Section 2 of part LLL of chapter 59 of the laws of 2021 amending
 the  racing, pari-mutuel   wagering   and  breeding law, relating to the
 utilization of funds in the Catskill and Capital    regions    off-track
 betting   corporation's  capital  acquisition  funds, is amended to read
 as follows:
   § 2. This act shall take effect immediately [and shall expire  and  be
 deemed repealed one year after such date].
   § 3. This act shall take effect immediately.
 
                                  PART EE

   Section  1.  Paragraph  (a)  of  subdivision  1 of section 1003 of the
 racing, pari-mutuel wagering and breeding law, as amended by  section  1
 of  part  DD  of  chapter  59 of the laws of 2021, is amended to read as
 follows:
   (a) Any  racing  association  or  corporation  or  regional  off-track
 betting  corporation,  authorized  to conduct pari-mutuel wagering under
 this chapter, desiring to display the simulcast of horse races on  which
 pari-mutuel  betting shall be permitted in the manner and subject to the
 conditions provided for in this article may apply to the commission  for
 a  license  so to do. Applications for licenses shall be in such form as
 may be prescribed by the commission and shall contain  such  information
 or  other material or evidence as the commission may require. No license
 shall be issued by the commission authorizing the simulcast transmission
 of thoroughbred races from a track located in Suffolk  county.  The  fee
 for  such  licenses shall be five hundred dollars per simulcast facility
 and for account wagering licensees that do not operate either  a  simul-
 cast facility that is open to the public within the state of New York or
 a  licensed racetrack within the state, twenty thousand dollars per year
 payable by the licensee to the commission for deposit into  the  general
 fund.  Except  as  provided  in  this  section, the commission shall not
 approve any application to conduct simulcasting into individual or group
 residences, homes or other areas for the purposes of  or  in  connection
 with  pari-mutuel wagering. The commission may approve simulcasting into
 residences, homes or other areas to be conducted jointly by one or  more
 regional  off-track  betting corporations and one or more of the follow-
 S. 8009--C                         56                         A. 9009--C
 
 ing: a franchised corporation,  thoroughbred  racing  corporation  or  a
 harness racing corporation or association; provided (i) the simulcasting
 consists  only of those races on which pari-mutuel betting is authorized
 by  this  chapter  at  one  or more simulcast facilities for each of the
 contracting off-track betting corporations which  shall  include  wagers
 made  in  accordance  with  section  one  thousand fifteen, one thousand
 sixteen and one thousand seventeen of  this  article;  provided  further
 that  the  contract  provisions or other simulcast arrangements for such
 simulcast facility shall be no less favorable than those  in  effect  on
 January  first,  two  thousand  five;  (ii)  that each off-track betting
 corporation having within its  geographic  boundaries  such  residences,
 homes  or  other  areas  technically  capable of receiving the simulcast
 signal shall be a contracting party; (iii) the distribution of  revenues
 shall  be  subject  to  contractual agreement of the parties except that
 statutory payments to  non-contracting  parties,  if  any,  may  not  be
 reduced;  provided,  however,  that nothing herein to the contrary shall
 prevent a track from televising its races on an irregular basis primari-
 ly for promotional or marketing purposes as found by the commission. For
 purposes of this paragraph, the provisions of section one thousand thir-
 teen of this article shall  not  apply.  Any  agreement  authorizing  an
 in-home simulcasting experiment commencing prior to May fifteenth, nine-
 teen hundred ninety-five, may, and all its terms, be extended until June
 thirtieth,  two  thousand  [twenty-two] TWENTY-THREE; provided, however,
 that any party to such agreement may elect to terminate  such  agreement
 upon  conveying written notice to all other parties of such agreement at
 least forty-five days prior to the effective date  of  the  termination,
 via  registered mail. Any party to an agreement receiving such notice of
 an intent to terminate, may request the commission  to  mediate  between
 the  parties new terms and conditions in a replacement agreement between
 the parties as will permit continuation of an in-home  experiment  until
 June  thirtieth,  two  thousand  [twenty-two]  TWENTY-THREE; and (iv) no
 in-home simulcasting in the thoroughbred special betting district  shall
 occur without the approval of the regional thoroughbred track.
   §  2.  Subparagraph  (iii)  of paragraph d of subdivision 3 of section
 1007 of the racing, pari-mutuel wagering and breeding law, as amended by
 section 2 of part DD of chapter 59 of the laws of 2021,  is  amended  to
 read as follows:
   (iii) Of the sums retained by a receiving track located in Westchester
 county  on  races received from a franchised corporation, for the period
 commencing January first, two thousand eight and continuing through June
 thirtieth, two  thousand  [twenty-two]  TWENTY-THREE,  the  amount  used
 exclusively  for purses to be awarded at races conducted by such receiv-
 ing track shall be computed as follows: of the sums so retained, two and
 one-half percent of the total pools. Such amount shall be  increased  or
 decreased  in  the  amount  of  fifty percent of the difference in total
 commissions determined by  comparing  the  total  commissions  available
 after  July  twenty-first,  nineteen  hundred  ninety-five  to the total
 commissions that would have been available to such track prior  to  July
 twenty-first, nineteen hundred ninety-five.
   §  3.  The  opening  paragraph of subdivision 1 of section 1014 of the
 racing, pari-mutuel wagering and breeding law, as amended by  section  3
 of  part  DD  of  chapter  59 of the laws of 2021, is amended to read as
 follows:
   The provisions of this section shall govern the simulcasting of  races
 conducted  at thoroughbred tracks located in another state or country on
 any day during which a franchised corporation is conducting a race meet-
 S. 8009--C                         57                         A. 9009--C

 ing in Saratoga county at Saratoga  thoroughbred  racetrack  until  June
 thirtieth, two thousand [twenty-two] TWENTY-THREE and on any day regard-
 less  of  whether  or  not a franchised corporation is conducting a race
 meeting in Saratoga county at Saratoga thoroughbred racetrack after June
 thirtieth, two thousand [twenty-two] TWENTY-THREE. On any day on which a
 franchised  corporation  has  not  scheduled  a  racing  program  but  a
 thoroughbred racing corporation located within the state  is  conducting
 racing, each off-track betting corporation branch office and each simul-
 casting  facility licensed in accordance with section one thousand seven
 (that has entered into a written agreement with such  facility's  repre-
 sentative  horsemen's  organization, as approved by the commission), one
 thousand eight, or one thousand nine of this article shall be authorized
 to accept wagers and display the live simulcast signal from thoroughbred
 tracks located in another  state  or  foreign  country  subject  to  the
 following provisions:
   § 4. Subdivision 1 of section 1015 of the racing, pari-mutuel wagering
 and  breeding  law,  as amended by section 4 of part DD of chapter 59 of
 the laws of 2021, is amended to read as follows:
   1. The provisions of this section shall  govern  the  simulcasting  of
 races  conducted  at  harness tracks located in another state or country
 during the period July first, nineteen hundred ninety-four through  June
 thirtieth,  two  thousand  [twenty-two] TWENTY-THREE. This section shall
 supersede all inconsistent provisions of this chapter.
   § 5. The opening paragraph of subdivision 1 of  section  1016  of  the
 racing,  pari-mutuel  wagering and breeding law, as amended by section 5
 of part DD of chapter 59 of the laws of 2021,  is  amended  to  read  as
 follows:
   The  provisions of this section shall govern the simulcasting of races
 conducted at thoroughbred tracks located in another state or country  on
 any  day  during which a franchised corporation is not conducting a race
 meeting in Saratoga county at Saratoga thoroughbred racetrack until June
 thirtieth, two thousand  [twenty-two]  TWENTY-THREE.    Every  off-track
 betting  corporation  branch  office  and  every  simulcasting  facility
 licensed in accordance with section one thousand seven that have entered
 into a written agreement with such facility's representative  horsemen's
 organization  as  approved  by the commission, one thousand eight or one
 thousand nine of this article shall be authorized to accept  wagers  and
 display  the  live  full-card  simulcast  signal  of thoroughbred tracks
 (which may include quarter horse or mixed  meetings  provided  that  all
 such wagering on such races shall be construed to be thoroughbred races)
 located  in  another  state or foreign country, subject to the following
 provisions; provided,  however,  no  such  written  agreement  shall  be
 required of a franchised corporation licensed in accordance with section
 one thousand seven of this article:
   §  6. The opening paragraph of section 1018 of the racing, pari-mutuel
 wagering and breeding law, as amended by section 6 of part DD of chapter
 59 of the laws of 2021, is amended to read as follows:
   Notwithstanding any other provision of this chapter,  for  the  period
 July  twenty-fifth, two thousand one through September eighth, two thou-
 sand [twenty-one] TWENTY-TWO, when a franchised corporation is  conduct-
 ing  a race meeting within the state at Saratoga Race Course, every off-
 track betting corporation branch office and every simulcasting  facility
 licensed in accordance with section one thousand seven (that has entered
 into  a written agreement with such facility's representative horsemen's
 organization as approved by the commission), one thousand eight  or  one
 thousand  nine  of this article shall be authorized to accept wagers and
 S. 8009--C                         58                         A. 9009--C
 
 display the live simulcast signal from thoroughbred  tracks  located  in
 another  state, provided that such facility shall accept wagers on races
 run at all in-state thoroughbred  tracks  which  are  conducting  racing
 programs subject to the following provisions; provided, however, no such
 written agreement shall be required of a franchised corporation licensed
 in accordance with section one thousand seven of this article.
   §  7.  Section  32  of  chapter  281 of the laws of 1994, amending the
 racing, pari-mutuel wagering and breeding law and other laws relating to
 simulcasting, as amended by section 7 of part DD of chapter  59  of  the
 laws of 2021, is amended to read as follows:
   §  32.  This act shall take effect immediately and the pari-mutuel tax
 reductions in section six  of  this  act  shall  expire  and  be  deemed
 repealed  on  July  1,  [2022]  2023;  provided,  however,  that nothing
 contained herein shall be deemed to affect the  application,  qualifica-
 tion,  expiration,  or  repeal  of  any  provision of law amended by any
 section of this act, and such provisions shall be applied  or  qualified
 or  shall  expire  or be deemed repealed in the same manner, to the same
 extent and on the same date as the case may be as otherwise provided  by
 law;  provided  further, however, that sections twenty-three and twenty-
 five of this act shall remain in full force and effect only until May 1,
 1997 and at such time shall be deemed to be repealed.
   § 8. Section 54 of chapter 346 of  the  laws  of  1990,  amending  the
 racing, pari-mutuel wagering and breeding law and other laws relating to
 simulcasting  and the imposition of certain taxes, as amended by section
 8 of part DD of chapter 59 of the laws of 2021, is amended  to  read  as
 follows:
   §  54.  This  act  shall  take  effect immediately; provided, however,
 sections three through twelve of this act shall take effect  on  January
 1, 1991, and section 1013 of the racing, pari-mutuel wagering and breed-
 ing  law, as added by section thirty-eight of this act, shall expire and
 be deemed repealed on July 1, [2022] 2023; and section eighteen of  this
 act  shall take effect on July 1, 2008 and sections fifty-one and fifty-
 two of this act shall take effect as of the same date as chapter 772  of
 the laws of 1989 took effect.
   §  9.  Paragraph  (a)  of  subdivision 1 of section 238 of the racing,
 pari-mutuel wagering and breeding law, as amended by section 9  of  part
 DD of chapter 59 of the laws of 2021, is amended to read as follows:
   (a)  The  franchised  corporation  authorized  under  this  chapter to
 conduct pari-mutuel betting at a race meeting or races run thereat shall
 distribute all sums deposited in any pari-mutuel pool to the holders  of
 winning tickets therein, provided such tickets are presented for payment
 before  April  first  of  the year following the year of their purchase,
 less an amount that shall be established and retained by such franchised
 corporation of between twelve to seventeen percent of the total deposits
 in pools resulting from on-track regular bets, and fourteen  to  twenty-
 one  percent  of  the  total  deposits  in pools resulting from on-track
 multiple bets and fifteen to twenty-five percent of the  total  deposits
 in  pools  resulting from on-track exotic bets and fifteen to thirty-six
 percent of the total deposits in pools  resulting  from  on-track  super
 exotic  bets,  plus  the breaks. The retention rate to be established is
 subject to the prior approval of the commission.
   Such rate may not be changed more than once per calendar quarter to be
 effective on the first day of the calendar quarter.  "Exotic  bets"  and
 "multiple  bets"  shall  have  the  meanings  set  forth in section five
 hundred nineteen of this chapter. "Super exotic  bets"  shall  have  the
 meaning  set  forth  in  section  three hundred one of this chapter. For
 S. 8009--C                         59                         A. 9009--C
 
 purposes of this section, a "pick six bet" shall mean a  single  bet  or
 wager on the outcomes of six races. The breaks are hereby defined as the
 odd  cents over any multiple of five for payoffs greater than one dollar
 five  cents  but  less  than  five dollars, over any multiple of ten for
 payoffs greater than five dollars but  less  than  twenty-five  dollars,
 over  any  multiple  of twenty-five for payoffs greater than twenty-five
 dollars but less than two hundred fifty dollars, or over any multiple of
 fifty for payoffs over two hundred fifty dollars. Out of the  amount  so
 retained  there  shall  be  paid  by  such franchised corporation to the
 commissioner of taxation and finance, as a reasonable tax by  the  state
 for  the privilege of conducting pari-mutuel betting on the races run at
 the race meetings held by such  franchised  corporation,  the  following
 percentages of the total pool for regular and multiple bets five percent
 of regular bets and four percent of multiple bets plus twenty percent of
 the  breaks;  for  exotic  wagers seven and one-half percent plus twenty
 percent of the breaks, and for super  exotic  bets  seven  and  one-half
 percent plus fifty percent of the breaks.
   For  the period April first, two thousand one through December thirty-
 first, two thousand [twenty-two] TWENTY-THREE, such tax  on  all  wagers
 shall  be  one and six-tenths percent, plus, in each such period, twenty
 percent of the breaks. Payment to the New York state thoroughbred breed-
 ing and development fund by such franchised corporation  shall  be  one-
 half  of one percent of total daily on-track pari-mutuel pools resulting
 from regular, multiple and exotic bets and three percent of super exotic
 bets and for the period April first, two thousand one  through  December
 thirty-first, two thousand [twenty-two] TWENTY-THREE, such payment shall
 be seven-tenths of one percent of regular, multiple and exotic pools.
   § 10. This act shall take effect immediately.
 
                                  PART FF

   Section  1.  Section  606  of  the  tax law is amended by adding a new
 subsection (g-4) to read as follows:
   (G-4) GEOTHERMAL ENERGY SYSTEMS CREDIT.   (1) GENERAL.  AN  INDIVIDUAL
 TAXPAYER SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY THIS ARTI-
 CLE  EQUAL  TO TWENTY-FIVE PERCENT OF QUALIFIED GEOTHERMAL ENERGY SYSTEM
 EXPENDITURES, EXCEPT AS PROVIDED IN SUBPARAGRAPH (D) OF PARAGRAPH TWO OF
 THIS SUBSECTION, NOT TO EXCEED FIVE THOUSAND DOLLARS.
   (2) QUALIFIED GEOTHERMAL ENERGY SYSTEMS  EXPENDITURES.  (A)  THE  TERM
 "QUALIFIED  GEOTHERMAL  ENERGY  SYSTEM  EXPENDITURES" MEANS EXPENDITURES
 FOR:
   (I) THE PURCHASE  OF  GEOTHERMAL  ENERGY  SYSTEM  EQUIPMENT  WHICH  IS
 INSTALLED  IN  CONNECTION WITH RESIDENTIAL PROPERTY WHICH IS (I) LOCATED
 IN THIS STATE AND (II) WHICH IS THE TAXPAYER'S RESIDENCE AT THE TIME THE
 GEOTHERMAL ENERGY SYSTEM IS PLACED IN SERVICE; OR
   (II) THE LEASE OF GEOTHERMAL ENERGY SYSTEM EQUIPMENT UNDER  A  WRITTEN
 AGREEMENT  THAT SPANS AT LEAST TEN YEARS WHERE SUCH EQUIPMENT OWNED BY A
 PERSON OTHER THAN THE TAXPAYER IS INSTALLED IN CONNECTION WITH  RESIDEN-
 TIAL  PROPERTY  WHICH IS (I) LOCATED IN THIS STATE AND (II) WHICH IS THE
 TAXPAYER'S RESIDENCE AT THE TIME THE GEOTHERMAL ENERGY SYSTEM  EQUIPMENT
 IS PLACED IN SERVICE.
   (B) SUCH QUALIFIED EXPENDITURES SHALL INCLUDE EXPENDITURES FOR MATERI-
 ALS, LABOR COSTS PROPERLY ALLOCABLE TO ON-SITE PREPARATION, ASSEMBLY AND
 ORIGINAL  INSTALLATION,  ARCHITECTURAL  AND  ENGINEERING  SERVICES,  AND
 DESIGNS AND PLANS DIRECTLY RELATED TO THE CONSTRUCTION  OR  INSTALLATION
 OF THE GEOTHERMAL ENERGY SYSTEM EQUIPMENT.
 S. 8009--C                         60                         A. 9009--C
 
   (C)  SUCH QUALIFIED EXPENDITURES FOR THE PURCHASE OF GEOTHERMAL ENERGY
 SYSTEM EQUIPMENT SHALL NOT INCLUDE INTEREST OR OTHER FINANCE CHARGES  OR
 COSTS THAT HAVE BEEN USED TO QUALIFY FOR ANY OTHER CREDIT.
   (D)  SUCH  QUALIFIED  EXPENDITURES  FOR THE LEASE OF GEOTHERMAL ENERGY
 SYSTEM EQUIPMENT UNDER AN AGREEMENT DESCRIBED IN CLAUSE (II) OF SUBPARA-
 GRAPH (A) OF THIS  PARAGRAPH  SHALL  INCLUDE  AN  AMOUNT  EQUAL  TO  ALL
 PAYMENTS  MADE  DURING  THE TAXABLE YEAR UNDER SUCH AGREEMENT. PROVIDED,
 HOWEVER, SUCH CREDITS SHALL ONLY BE ALLOWED FOR FOURTEEN YEARS AFTER THE
 FIRST TAXABLE YEAR IN WHICH SUCH CREDIT IS  ALLOWED.  PROVIDED  FURTHER,
 HOWEVER,  THE  TWENTY-FIVE  PERCENT  LIMITATION IN PARAGRAPH ONE OF THIS
 SUBSECTION SHALL ONLY  APPLY  TO  THE  TOTAL  AGGREGATE  AMOUNT  OF  ALL
 PAYMENTS  TO  BE MADE PURSUANT TO AN AGREEMENT REFERENCED IN CLAUSE (II)
 OF SUBPARAGRAPH (A) OF THIS PARAGRAPH, AND SHALL NOT APPLY TO INDIVIDUAL
 PAYMENTS MADE DURING A TAXABLE YEAR UNDER SUCH AGREEMENT EXCEPT  TO  THE
 EXTENT SUCH LIMITATION ON AN AGGREGATE BASIS HAS BEEN REACHED.
   (3)  GEOTHERMAL  ENERGY  SYSTEM EQUIPMENT. THE TERM "GEOTHERMAL ENERGY
 SYSTEM EQUIPMENT" SHALL MEAN A SYSTEM WHOSE ORIGINAL USE BEGINS WITH THE
 TAXPAYER; WHICH MEETS THE ELIGIBILITY CRITERIA, IF  ANY,  PRESCRIBED  BY
 THE  DEPARTMENT; AND WHICH IS A GROUND COUPLED SOLAR THERMAL SYSTEM THAT
 UTILIZES THE SOLAR THERMAL ENERGY STORED IN THE GROUND OR IN  BODIES  OF
 WATER  TO PRODUCE HEAT, AND WHICH IS COMMONLY KNOWN AS OR REFERRED TO AS
 A GROUND SOURCE HEAT PUMP SYSTEM.
   (4) MULTIPLE TAXPAYERS. WHERE GEOTHERMAL ENERGY  SYSTEM  EQUIPMENT  IS
 PURCHASED  AND INSTALLED IN A RESIDENCE SHARED BY TWO OR MORE TAXPAYERS,
 THE AMOUNT OF THE CREDIT ALLOWABLE UNDER THIS SUBSECTION FOR  EACH  SUCH
 TAXPAYER  SHALL  BE  PRORATED  ACCORDING  TO THE PERCENTAGE OF THE TOTAL
 EXPENDITURE FOR SUCH GEOTHERMAL ENERGY SYSTEM EQUIPMENT  CONTRIBUTED  BY
 EACH TAXPAYER.
   (5)  PROPORTIONATE  SHARE. WHERE GEOTHERMAL ENERGY SYSTEM EQUIPMENT IS
 PURCHASED AND INSTALLED BY A CONDOMINIUM  MANAGEMENT  ASSOCIATION  OR  A
 COOPERATIVE  HOUSING  CORPORATION,  A  TAXPAYER  WHO  IS A MEMBER OF THE
 CONDOMINIUM MANAGEMENT ASSOCIATION OR WHO IS A TENANT-STOCKHOLDER IN THE
 COOPERATIVE HOUSING CORPORATION MAY FOR THE PURPOSE OF  THIS  SUBSECTION
 CLAIM  A PROPORTIONATE SHARE OF THE TOTAL EXPENSE AS THE EXPENDITURE FOR
 THE PURPOSES OF THE CREDIT ATTRIBUTABLE TO THE TAXPAYER'S RESIDENCE.
   (6) GRANTS. FOR PURPOSES OF DETERMINING THE AMOUNT OF THE  EXPENDITURE
 INCURRED  IN  PURCHASING  AND INSTALLING GEOTHERMAL ENERGY SYSTEM EQUIP-
 MENT, THE AMOUNT OF ANY FEDERAL, STATE OR LOCAL GRANT  RECEIVED  BY  THE
 TAXPAYER,  WHICH  WAS  USED FOR THE PURCHASE AND/OR INSTALLATION OF SUCH
 EQUIPMENT AND WHICH WAS NOT INCLUDED IN THE FEDERAL GROSS INCOME OF  THE
 TAXPAYER, SHALL NOT BE INCLUDED IN THE AMOUNT OF SUCH EXPENDITURES.
   (7) LIMITATION. THE CREDIT SHALL ONLY BE ALLOWED FOR GEOTHERMAL ENERGY
 SYSTEM  EQUIPMENT INSTALLED IN CONNECTION WITH RESIDENTIAL PROPERTY USED
 EXCLUSIVELY FOR PERSONAL PURPOSES BY THE TAXPAYER. NO  CREDIT  SHALL  BE
 ALLOWED  FOR  GEOTHERMAL ENERGY SYSTEM EQUIPMENT INSTALLED IN CONNECTION
 WITH RESIDENTIAL PROPERTY THAT IS RENTED AT ANY TIME DURING THE  TAXABLE
 YEAR FOR WHICH THE CREDIT IS BEING CLAIMED.
   (8)  WHEN  CREDIT  ALLOWED.  THE  CREDIT  PROVIDED FOR HEREIN SHALL BE
 ALLOWED WITH RESPECT TO THE TAXABLE YEAR IN WHICH THE GEOTHERMAL  ENERGY
 SYSTEM  EQUIPMENT  IS  PLACED  IN  SERVICE AND SHALL BE ALLOWED ONLY FOR
 GEOTHERMAL ENERGY SYSTEM EQUIPMENT PLACED  INTO  SERVICE  AFTER  JANUARY
 FIRST, TWO THOUSAND TWENTY-TWO. HOWEVER, THE TAXPAYER SHALL BE ALLOWED A
 CREDIT FOR ONLY ONE SUCH SYSTEM IN ANY TAXABLE YEAR.
   (9)  CARRYOVER  OF CREDIT. IF THE AMOUNT OF THE CREDIT, AND CARRYOVERS
 OF SUCH CREDIT, ALLOWABLE UNDER THIS SUBSECTION  FOR  ANY  TAXABLE  YEAR
 SHALL EXCEED THE TAXPAYER'S TAX FOR SUCH YEAR, SUCH EXCESS AMOUNT MAY BE
 S. 8009--C                         61                         A. 9009--C
 
 CARRIED  OVER  TO THE FIVE TAXABLE YEARS NEXT FOLLOWING THE TAXABLE YEAR
 WITH RESPECT TO WHICH THE CREDIT IS ALLOWED AND MAY BE DEDUCTED FROM THE
 TAXPAYER'S TAX FOR SUCH YEAR OR YEARS.
   § 2. This act shall take effect immediately and shall apply to taxable
 years commencing on and after January 1, 2022.
 
                                  PART GG
 
   Section  1.  Subparagraph  (B)  of  paragraph  1 of subdivision (a) of
 section 1115 of the tax law, as amended by section 1 of part SS of chap-
 ter 59 of the laws of 2021, is amended to read as follows:
   (B) Until May thirty first, two  thousand  [twenty-two]  TWENTY-THREE,
 the  food and drink excluded from the exemption provided by clauses (i),
 (ii) and (iii) of subparagraph (A) of this paragraph, and bottled water,
 shall be exempt under this subparagraph when sold  for  one  dollar  and
 fifty  cents  or  less  through any vending machine that accepts coin or
 currency only or when sold for two dollars or less through  any  vending
 machine  that  accepts  any form of payment other than coin or currency,
 whether or not it also accepts coin or currency.
   § 2. This act shall take effect immediately.
 
                                  PART HH
 
   Section 1. Article 4 of the real property tax law is amended by adding
 a new title 6 to read as follows:
                                  TITLE 6
      CHILDCARE CENTER TAX ABATEMENT FOR CERTAIN PROPERTIES IN A CITY
                HAVING A POPULATION OF ONE MILLION OR MORE
 SECTION 499-AAAAA. DEFINITIONS.
         499-BBBBB. REAL PROPERTY TAX ABATEMENT.
         499-CCCCC. APPLICATION FOR TAX ABATEMENT.
         499-DDDDD. CONTINUING REQUIREMENTS.
         499-EEEEE. REVOCATION OF TAX ABATEMENT.
         499-FFFFF. ENFORCEMENT AND ADMINISTRATION.
   § 499-AAAAA. DEFINITIONS. WHEN USED IN THIS TITLE, THE FOLLOWING TERMS
 SHALL HAVE THE FOLLOWING MEANINGS:
   1. "ABATEMENT PERIOD" MEANS THE TAX YEAR OR TAX  YEARS  IN  WHICH  THE
 ABATEMENT  IS  APPLIED BY THE DEPARTMENT OF FINANCE TO THE REAL PROPERTY
 TAX LIABILITY OF AN ELIGIBLE BUILDING, PROVIDED THAT SUCH ABATEMENT  MAY
 NOT  BE  APPLIED  TO  THE  REAL  PROPERTY TAX LIABILITY OF SUCH BUILDING
 DURING MORE THAN FIVE TAX YEARS.
   2. "APPLICANT" MEANS AN OWNER WHO FILES AN APPLICATION FOR TAX  ABATE-
 MENT.
   3.  "APPLICATION  FOR TAX ABATEMENT" MEANS AN APPLICATION FOR A CHILD-
 CARE CENTER TAX ABATEMENT PURSUANT TO SECTION FOUR HUNDRED  NINETY-NINE-
 CCCCC OF THIS TITLE.
   4.  "CHILDCARE CENTER" MEANS A CHILDCARE PROGRAM FOR WHICH A PERMIT TO
 OPERATE SUCH PROGRAM HAS BEEN ISSUED BY THE  DEPARTMENT  OF  HEALTH  AND
 MENTAL HYGIENE PURSUANT TO THE HEALTH CODE OF THE CITY.
   5.  "CHILDCARE  DESERT"  MEANS A CENSUS TRACT IN A CITY HAVING A POPU-
 LATION OF ONE MILLION OR MORE WHERE, AT THE TIME OF AN  APPLICATION  FOR
 TAX  ABATEMENT, THERE ARE THREE OR MORE CHILDREN UNDER FIVE YEARS OF AGE
 FOR EACH AVAILABLE CHILDCARE SLOT,  OR  WHERE  THERE  ARE  NO  AVAILABLE
 CHILDCARE SLOTS, AS OF THE MOST RECENTLY PUBLISHED DETERMINATIONS BY THE
 OFFICE OF CHILDREN AND FAMILY SERVICES.
   6. "CITY" MEANS A CITY WITH A POPULATION OF ONE MILLION OR MORE.
 S. 8009--C                         62                         A. 9009--C
 
   7.  "COST-REASONABLE"  MEANS  HAVING  A  COST  THAT, IN ITS NATURE AND
 AMOUNT, DOES NOT EXCEED THAT WHICH WOULD BE INCURRED BY A PRUDENT PERSON
 UNDER THE CIRCUMSTANCES PREVAILING AT THE TIME THE DECISION WAS MADE  TO
 INCUR THE COST.
   8.  "DEPARTMENT  OF FINANCE" MEANS THE DEPARTMENT OF FINANCE OF A CITY
 HAVING A POPULATION OF ONE MILLION OR MORE.
   9. "DEPARTMENT OF HEALTH AND MENTAL HYGIENE" MEANS THE  DEPARTMENT  OF
 HEALTH  AND  MENTAL HYGIENE OF A CITY HAVING A POPULATION OF ONE MILLION
 OR MORE.
   10. "DESIGNATED AGENCY" MEANS AN AGENCY OF A CITY HAVING A  POPULATION
 OF  ONE  MILLION OR MORE THAT IS DESIGNATED BY THE MAYOR OF SUCH CITY TO
 EXERCISE THE FUNCTIONS, POWERS AND DUTIES OF A DESIGNATED AGENCY  PURSU-
 ANT TO THIS TITLE.
   11.  "ELIGIBLE  BUILDING"  MEANS  A CLASS ONE, CLASS TWO OR CLASS FOUR
 PROPERTY, AS SUCH CLASSES OF PROPERTY ARE DEFINED IN SUBDIVISION ONE  OF
 SECTION  EIGHTEEN  HUNDRED  TWO  OF  THIS CHAPTER, LOCATED WITHIN A CITY
 HAVING A POPULATION OF ONE MILLION OR MORE, PROVIDED THAT, FOR ANY  SUCH
 PROPERTY  HELD IN THE CONDOMINIUM FORM OF OWNERSHIP, "ELIGIBLE BUILDING"
 SHALL MEAN A TAX LOT IN SUCH PROPERTY.
   12. "OWNER" MEANS THE OWNER OF AN ELIGIBLE BUILDING, OR  WITH  RESPECT
 TO  AN  ELIGIBLE BUILDING HELD IN THE COOPERATIVE FORM OF OWNERSHIP, THE
 BOARD OF DIRECTORS OF A  COOPERATIVE  APARTMENT  CORPORATION,  OR,  WITH
 RESPECT  TO  AN ELIGIBLE BUILDING HELD IN THE CONDOMINIUM FORM OF OWNER-
 SHIP, AN OWNER OF A TAX LOT IN SUCH BUILDING OR THE BOARD OF MANAGERS OF
 SUCH BUILDING.
   13. "PREMISES" MEANS THE LOCATION OF A CHILDCARE CENTER  AS  SPECIFIED
 ON  THE PERMIT FOR THE OPERATION OF SUCH CENTER ISSUED BY THE DEPARTMENT
 OF HEALTH AND MENTAL HYGIENE PURSUANT TO THE HEALTH CODE OF THE CITY.
   § 499-BBBBB. REAL PROPERTY TAX ABATEMENT. 1. THE DEPARTMENT OF FINANCE
 SHALL PROVIDE AN ABATEMENT OF  REAL  PROPERTY  TAXES  PURSUANT  TO  THIS
 SECTION  TO  AN  ELIGIBLE  BUILDING  IN  WHICH CONSTRUCTION, CONVERSION,
 ALTERATION OR IMPROVEMENT THAT IS COMPLETED ON OR AFTER APRIL FIRST, TWO
 THOUSAND TWENTY-TWO HAS RESULTED IN THE CREATION  OF  A  PREMISES  OF  A
 CHILDCARE  CENTER  OR  IN  AN INCREASE IN THE MAXIMUM NUMBER OF CHILDREN
 ALLOWED ON THE PREMISES OF AN EXISTING CHILDCARE CENTER WHEN SUCH CENTER
 IS IN OPERATION, AS SUCH NUMBER IS SPECIFIED IN THE PERMIT ISSUED BY THE
 DEPARTMENT OF HEALTH AND MENTAL HYGIENE  TO  OPERATE  SUCH  CENTER.  THE
 DEPARTMENT  OF FINANCE MAY ONLY GRANT ONE SUCH ABATEMENT TO ANY ELIGIBLE
 BUILDING.
   2. (A) BEGINNING IN THE TAX YEAR COMMENCING ON OR  AFTER  JULY  FIRST,
 TWO  THOUSAND TWENTY-THREE, THE AMOUNT OF SUCH TAX ABATEMENT PROVIDED TO
 AN ELIGIBLE BUILDING DESCRIBED IN SUBDIVISION ONE OF THIS SECTION  SHALL
 BE  EQUAL  TO THE COSTS INCURRED IN THE CONSTRUCTION, CONVERSION, ALTER-
 ATION OR IMPROVEMENT THAT HAS RESULTED IN THE CREATION OF A PREMISES  OF
 A  CHILDCARE  CENTER OR IN AN INCREASE IN THE MAXIMUM NUMBER OF CHILDREN
 ALLOWED ON THE PREMISES OF AN EXISTING CHILDCARE CENTER,  PROVIDED  THAT
 SUCH COSTS ARE CERTIFIED IN ACCORDANCE WITH PARAGRAPH (D) OF SUBDIVISION
 TWO  OF  SECTION  FOUR  HUNDRED  NINETY-NINE-CCCCC  OF  THIS  TITLE, AND
 PROVIDED FURTHER THAT, DURING THE ABATEMENT PERIOD, THE AMOUNT  OF  SUCH
 ABATEMENT  SHALL  NOT EXCEED THIRTY-FIVE DOLLARS FOR EACH SQUARE FOOT OF
 THE PREMISES, NOR EXCEED ONE HUNDRED THOUSAND DOLLARS.
   (I) FOR ANY TAX YEAR, SUCH ABATEMENT SHALL NOT  EXCEED  SEVEN  DOLLARS
 FOR  EACH  SQUARE FOOT OF THE PREMISES, PROVIDED THAT SUCH AMOUNT MAY BE
 REDUCED AS A RESULT OF AN ALLOCATION OF AVAILABLE FUNDS FOR SUCH  ABATE-
 MENT  PURSUANT  TO  PARAGRAPH  (D)  OF  THIS  SUBDIVISION; AND PROVIDED,
 FURTHER, THAT THE AMOUNT OF SUCH TAX ABATEMENT IN ANY TAX YEAR SHALL NOT
 S. 8009--C                         63                         A. 9009--C
 
 EXCEED THE LESSER OF (A) TWENTY THOUSAND DOLLARS OR (B) THE REAL PROPER-
 TY TAX LIABILITY FOR THE ELIGIBLE BUILDING IN THE TAX YEAR IN WHICH SUCH
 TAX ABATEMENT IS TAKEN.
   (II) TO THE EXTENT THE AMOUNT OF SUCH TAX ABATEMENT EXCEEDS THE LESSER
 OF (A) TWENTY THOUSAND DOLLARS OR (B) THE REAL PROPERTY TAX LIABILITY OF
 THE  ELIGIBLE BUILDING IN ANY TAX YEAR, ANY AMOUNT OF SUCH TAX ABATEMENT
 THAT REMAINS MAY BE APPLIED TO THE REAL PROPERTY TAX LIABILITY  OF  SUCH
 BUILDING  IN  SUCCEEDING TAX YEARS, PROVIDED THAT SUCH ABATEMENT MUST BE
 APPLIED TO THE REAL PROPERTY TAX LIABILITY OF SUCH BUILDING  IN  ONE  OR
 MORE  OF  THE  FOUR  TAX YEARS SUCCEEDING THE TAX YEAR IN WHICH SUCH TAX
 ABATEMENT WAS INITIALLY TAKEN.
   (B) NOTWITHSTANDING PARAGRAPH (A) OF THIS SUBDIVISION, AN ENHANCED TAX
 ABATEMENT SHALL BE PROVIDED TO AN ELIGIBLE BUILDING DESCRIBED IN  SUBDI-
 VISION  ONE OF THIS SECTION THAT IS LOCATED WITHIN A CHILDCARE DESERT AS
 DESCRIBED IN THIS TITLE AND IN ANY RULES PROMULGATED  HEREUNDER.  BEGIN-
 NING  IN  THE  TAX  YEAR COMMENCING ON OR AFTER JULY FIRST, TWO THOUSAND
 TWENTY-THREE, THE AMOUNT OF SUCH ENHANCED TAX ABATEMENT SHALL  BE  EQUAL
 TO  THE  COSTS  INCURRED  IN THE CONSTRUCTION, CONVERSION, ALTERATION OR
 IMPROVEMENT THAT HAS RESULTED IN THE CREATION OF A PREMISES OF A  CHILD-
 CARE  CENTER OR IN AN INCREASE IN THE MAXIMUM NUMBER OF CHILDREN ALLOWED
 ON THE PREMISES OF AN EXISTING  CHILDCARE  CENTER,  PROVIDED  THAT  SUCH
 COSTS  ARE CERTIFIED IN ACCORDANCE WITH PARAGRAPH (D) OF SUBDIVISION TWO
 OF SECTION FOUR HUNDRED NINETY-NINE-CCCCC OF THIS  TITLE,  AND  PROVIDED
 FURTHER  THAT, DURING THE ABATEMENT PERIOD, THE AMOUNT OF SUCH ABATEMENT
 SHALL NOT EXCEED SEVENTY-FIVE DOLLARS FOR EACH SQUARE FOOT OF THE  PREM-
 ISES NOR EXCEED TWO HUNDRED TWENTY-FIVE THOUSAND DOLLARS.
   (I)  FOR ANY TAX YEAR, SUCH ABATEMENT SHALL NOT EXCEED FIFTEEN DOLLARS
 FOR EACH SQUARE FOOT OF THE PREMISES, PROVIDED THAT SUCH AMOUNT  MAY  BE
 REDUCED  AS A RESULT OF AN ALLOCATION OF AVAILABLE FUNDS FOR SUCH ABATE-
 MENT PURSUANT TO PARAGRAPH (D) OF THIS SUBDIVISION; AND PROVIDED FURTHER
 THAT THE AMOUNT OF SUCH ENHANCED TAX ABATEMENT IN ANY TAX YEAR SHALL NOT
 EXCEED THE LESSER OF (A) FORTY-FIVE THOUSAND DOLLARS  OR  (B)  THE  REAL
 PROPERTY  TAX  LIABILITY  FOR  THE  ELIGIBLE BUILDING IN THE TAX YEAR IN
 WHICH SUCH TAX ABATEMENT IS TAKEN.
   (II) TO THE EXTENT THE AMOUNT OF SUCH ENHANCED TAX  ABATEMENT  EXCEEDS
 THE  LESSER  OF (A) FORTY-FIVE THOUSAND DOLLARS OR (B) THE REAL PROPERTY
 TAX LIABILITY OF THE ELIGIBLE BUILDING IN ANY TAX YEAR,  ANY  AMOUNT  OF
 SUCH  TAX ABATEMENT THAT REMAINS MAY BE APPLIED TO THE REAL PROPERTY TAX
 LIABILITY OF SUCH BUILDING IN SUCCEEDING TAX YEARS, PROVIDED  THAT  SUCH
 ABATEMENT  MUST  BE  APPLIED  TO THE REAL PROPERTY TAX LIABILITY OF SUCH
 BUILDING IN ONE OR MORE OF THE FOUR TAX YEARS SUCCEEDING THE TAX YEAR IN
 WHICH THE TAX ABATEMENT WAS INITIALLY TAKEN.
   (C) NOTWITHSTANDING PARAGRAPH (A) OR  (B)  OF  THIS  SUBDIVISION,  THE
 AGGREGATE  AMOUNT  OF TAX ABATEMENTS AUTHORIZED PURSUANT TO THIS SECTION
 FOR ANY TAX YEAR SHALL BE A MAXIMUM OF TWENTY-FIVE MILLION  DOLLARS.  NO
 TAX  ABATEMENTS SHALL BE AUTHORIZED PURSUANT TO THIS SECTION FOR ANY TAX
 YEAR COMMENCING ON OR AFTER JULY FIRST, TWO THOUSAND THIRTY.
   (D) SUCH AGGREGATE AMOUNT OF TAX ABATEMENTS, INCLUDING THE TAX  ABATE-
 MENT DESCRIBED IN PARAGRAPH (A) OF THIS SUBDIVISION AND THE ENHANCED TAX
 ABATEMENT DESCRIBED IN PARAGRAPH (B) OF THIS SUBDIVISION, SHALL BE ALLO-
 CATED  BY THE DEPARTMENT OF FINANCE ON A PRO RATA BASIS AMONG APPLICANTS
 WHOSE APPLICATIONS HAVE BEEN APPROVED BY THE DESIGNATED AGENCY. IF  SUCH
 ALLOCATION  IS  NOT  MADE  PRIOR  TO THE DATE THAT THE REAL PROPERTY TAX
 BILL, STATEMENT OF  ACCOUNT  OR  OTHER  SIMILAR  BILL  OR  STATEMENT  IS
 PREPARED,  THE  DEPARTMENT  OF  FINANCE  SHALL, AS NECESSARY, AFTER SUCH
 ALLOCATION IS MADE, SUBMIT AN AMENDED REAL PROPERTY TAX BILL,  STATEMENT
 S. 8009--C                         64                         A. 9009--C
 
 OF  ACCOUNT  OR  OTHER  SIMILAR BILL OR STATEMENT TO ANY APPLICANT WHOSE
 ABATEMENT REQUIRES ADJUSTMENT TO REFLECT  SUCH  ALLOCATION.  NOTHING  IN
 THIS  PARAGRAPH SHALL BE DEEMED TO AFFECT THE OBLIGATION OF ANY TAXPAYER
 UNDER  APPLICABLE  LAW WITH RESPECT TO THE PAYMENT OF ANY INSTALLMENT OF
 REAL PROPERTY TAX FOR THE FISCAL YEAR AS TO  WHICH  SUCH  ALLOCATION  IS
 MADE,  WHICH  WAS  DUE  AND  PAYABLE PRIOR TO THE DATE SUCH AMENDED REAL
 PROPERTY TAX BILLS ARE SENT, AND THE  DEPARTMENT  OF  FINANCE  SHALL  BE
 AUTHORIZED TO DETERMINE THE DATE ON WHICH ANY SUCH AMENDED BILLS BE SENT
 AND THE INSTALLMENTS OF REAL PROPERTY TAX BE REFLECTED THEREIN.
   (E)  NOTWITHSTANDING ANY LAW TO THE CONTRARY, ANY ABATEMENT GRANTED TO
 AN ELIGIBLE BUILDING PURSUANT TO THIS SECTION SHALL BE  IN  ADDITION  TO
 ANY OTHER ABATEMENT OR EXEMPTION GRANTED TO SUCH BUILDING, PROVIDED THAT
 ANY  ABATEMENT  GRANTED  UNDER  THIS  SECTION SHALL BE APPLIED AFTER ANY
 OTHER ABATEMENT OR EXEMPTION GRANTED  TO  SUCH  BUILDING,  AND  PROVIDED
 FURTHER  THAT  THE  APPLICATION  OF  THIS ABATEMENT AFTER ANY OTHER SUCH
 EXEMPTION OR ABATEMENT SHALL NOT EXCEED THE REAL PROPERTY TAX  LIABILITY
 DUE ON SUCH ELIGIBLE PROPERTY.
   3.  SUCH  ABATEMENT  SHALL COMMENCE ON THE FIRST OF JULY FOLLOWING THE
 APPROVAL OF AN APPLICATION FOR ABATEMENT BY THE DESIGNATED AGENCY.
   4. IF, AS A RESULT OF APPLICATION TO THE TAX  COMMISSION  OR  A  COURT
 ORDER  OR  ACTION  BY  THE  DEPARTMENT OF FINANCE, THE BILLABLE ASSESSED
 VALUE OF THE ELIGIBLE BUILDING FOR THE FISCAL  YEAR  IN  WHICH  THE  TAX
 ABATEMENT  IS  TAKEN IS REDUCED AFTER THE ASSESSMENT ROLL BECOMES FINAL,
 THE DEPARTMENT OF FINANCE SHALL RECALCULATE SUCH ABATEMENT SO  THAT  THE
 ABATEMENT  GRANTED  SHALL  NOT  EXCEED  THE ANNUAL TAX LIABILITY OF SUCH
 BUILDING AS SO REDUCED. THE AMOUNT EQUAL TO THE DIFFERENCE  BETWEEN  THE
 INITIAL  ABATEMENT  GRANTED  BY  THE  DEPARTMENT AND THE ABATEMENT AS SO
 RECALCULATED SHALL BE DEDUCTED FROM  ANY  REFUND  OTHERWISE  PAYABLE  OR
 REMISSION  OTHERWISE  DUE  AS  A  RESULT  OF  SUCH REDUCTION IN BILLABLE
 ASSESSED VALUE.
   § 499-CCCCC. APPLICATION FOR TAX ABATEMENT. 1. TO OBTAIN A TAX  ABATE-
 MENT AUTHORIZED BY THIS TITLE, AN APPLICATION FOR TAX ABATEMENT SHALL BE
 FILED  WITH  A  DESIGNATED  AGENCY  NO LATER THAN THE FIFTEENTH OF MARCH
 BEFORE THE TAX YEAR, COMMENCING ON THE FIRST OF JULY, FOR WHICH THE  TAX
 ABATEMENT  AUTHORIZED  BY  THIS TITLE IS SOUGHT, PROVIDED, HOWEVER, THAT
 SUCH APPLICATION FOR TAX ABATEMENT MAY NOT BE  FILED  LATER  THAN  MARCH
 FIFTEENTH, TWO THOUSAND TWENTY-FIVE.
   2. SUCH APPLICATION SHALL CONTAIN THE FOLLOWING:
   (A) THE NAME, ADDRESS AND ELECTRONIC MAIL ADDRESS OF THE APPLICANT AND
 THE LOCATION OF THE ELIGIBLE BUILDING.
   (B)  PROOF  THAT  ALL REQUIRED PERMITS AND OTHER APPROVALS, AS FURTHER
 DESIGNATED BY RULE, TO CONSTRUCT, CONVERT, ALTER OR IMPROVE THE PREMISES
 OF THE CHILDCARE CENTER IN THE ELIGIBLE BUILDING DESCRIBED  IN  SUBDIVI-
 SION  ONE  OF  SECTION FOUR HUNDRED NINETY-NINE-BBBBB OF THIS TITLE WERE
 OBTAINED.
   (C) PROOF THAT THE APPLICANT HAS ENTERED INTO A LEASE OR OTHER  AGREE-
 MENT  WITH A PERSON TO OPERATE A CHILDCARE CENTER IN THE ELIGIBLE BUILD-
 ING DESCRIBED IN SUBDIVISION ONE OF SECTION  FOUR  HUNDRED  NINETY-NINE-
 BBBBB  OF  THIS  TITLE, OR A COPY OF THE NEW OR AMENDED PERMIT ISSUED TO
 SUCH CHILDCARE CENTER BY THE DEPARTMENT OF HEALTH AND MENTAL HYGIENE FOR
 SUCH OPERATION.
   (D) DETERMINATIONS THAT HAVE BEEN CERTIFIED, IN A FORM  PRESCRIBED  BY
 THE  DESIGNATED  AGENCY,  BY AN ENGINEER, ARCHITECT, OR CERTIFIED PUBLIC
 ACCOUNTANT, LICENSED AND REGISTERED PURSUANT TO THE EDUCATION LAW, OR BY
 ANOTHER CERTIFIED OR LICENSED PROFESSIONAL IN THE FIELD OF  BUSINESS  OR
 DESIGN, AS FURTHER DESIGNATED BY RULE, AS FOLLOWS:
 S. 8009--C                         65                         A. 9009--C
 
   (I)  THE AREA, IN SQUARE FEET, OF THE PREMISES OF THE CHILDCARE CENTER
 IN THE ELIGIBLE BUILDING DESCRIBED IN SUBDIVISION ONE  OF  SECTION  FOUR
 HUNDRED NINETY-NINE-BBBBB OF THIS TITLE;
   (II) THE COSTS INCURRED IN THE CONSTRUCTION, CONVERSION, ALTERATION OR
 IMPROVEMENT  THAT HAS RESULTED IN THE CREATION OF A PREMISES OF A CHILD-
 CARE CENTER IN SUCH BUILDING; OR, FOR CONSTRUCTION,  CONVERSION,  ALTER-
 ATION  OR  IMPROVEMENT RESULTING IN AN INCREASE IN THE MAXIMUM NUMBER OF
 CHILDREN ALLOWED ON THE PREMISES OF AN EXISTING CHILDCARE CENTER IN SUCH
 BUILDING, SUCH COSTS THAT WERE NECESSARY TO INCREASE THE MAXIMUM  NUMBER
 OF CHILDREN ALLOWED ON SUCH PREMISES; AND
   (III)  THE REASONABLENESS OF THE COSTS TO CONSTRUCT, CONVERT, ALTER OR
 IMPROVE THE PREMISES OF THE CHILDCARE CENTER IN  THE  ELIGIBLE  BUILDING
 DESCRIBED  IN SUBDIVISION ONE OF SECTION FOUR HUNDRED NINETY-NINE-BBBBB,
 WHICH REQUIRES FINDING THAT SUCH COSTS WERE COST-REASONABLE AND COMPARA-
 BLE TO THE COST OF CONSTRUCTING, CONVERTING,  ALTERING  OR  IMPROVING  A
 PREMISES  OF  A CHILDCARE CENTER PURSUANT TO THE HEALTH CODE OF THE CITY
 IN A SIMILAR ELIGIBLE BUILDING.
   (E) ANY OTHER INFORMATION OR CERTIFICATIONS REQUIRED BY  A  DESIGNATED
 AGENCY PURSUANT TO THIS TITLE AND THE RULES PROMULGATED HEREUNDER.
   3.  AN APPLICATION FOR TAX ABATEMENT SHALL BE IN ANY FORMAT PRESCRIBED
 BY A DESIGNATED AGENCY, INCLUDING ELECTRONIC FORM.
   4. AN APPLICATION FOR TAX ABATEMENT SHALL BE APPROVED BY A  DESIGNATED
 AGENCY  UPON DETERMINING THAT THE APPLICANT HAS SUBMITTED PROOF ACCEPTA-
 BLE TO SUCH AGENCY THAT THE REQUIREMENTS FOR OBTAINING SUCH  TAX  ABATE-
 MENT  HAVE BEEN SATISFIED. THE BURDEN OF PROOF SHALL BE ON THE APPLICANT
 TO SHOW BY CLEAR AND  CONVINCING  EVIDENCE  THAT  THE  REQUIREMENTS  FOR
 GRANTING SUCH TAX ABATEMENT HAVE BEEN SATISFIED.
   5.  UPON  RECEIPT  OF  NOTIFICATION  FROM  A DESIGNATED AGENCY THAT AN
 APPLICATION FOR TAX ABATEMENT  HAS  BEEN  APPROVED,  THE  DEPARTMENT  OF
 FINANCE  SHALL APPLY SUCH TAX ABATEMENT TO THE REAL PROPERTY TAX LIABIL-
 ITY OF THE ELIGIBLE BUILDING FOR THE TAX YEAR FOR  WHICH  THE  ABATEMENT
 WAS  SOUGHT, PROVIDED THAT THERE ARE NO OUTSTANDING REAL PROPERTY TAXES,
 WATER AND SEWER CHARGES, PAYMENTS IN LIEU OF TAXES  OR  OTHER  MUNICIPAL
 CHARGES WITH RESPECT TO THE ELIGIBLE BUILDING.
   §  499-DDDDD.  CONTINUING  REQUIREMENTS. GRANTING OF THE TAX ABATEMENT
 AUTHORIZED BY THIS TITLE REQUIRES THAT AN OWNER  WHOSE  APPLICATION  FOR
 TAX ABATEMENT HAS BEEN APPROVED:
   1.  COMPLIES  WITH ALL APPLICABLE PROVISIONS OF LAW, INCLUDING BUT NOT
 LIMITED TO, THE LOCAL HEALTH, BUILDING AND FIRE CODES; AND
   2. DOES NOT  HAVE  REAL  PROPERTY  TAXES,  WATER  AND  SEWER  CHARGES,
 PAYMENTS  IN LIEU OF TAXES OR OTHER MUNICIPAL CHARGES WITH RESPECT TO AN
 ELIGIBLE BUILDING DUE AND OWING DURING THE ABATEMENT PERIOD FOR A PERIOD
 OF SIX MONTHS OR MORE.
   § 499-EEEEE. REVOCATION OF TAX  ABATEMENT.  1.    NOTWITHSTANDING  ANY
 PROVISION  OF  LAW  TO  THE  CONTRARY,  THE  DEPARTMENT OF FINANCE SHALL
 REVOKE, IN WHOLE OR IN PART, ANY TAX ABATEMENT GRANTED PURSUANT TO  THIS
 TITLE  WHENEVER  A  DESIGNATED  AGENCY  HAS DETERMINED AND NOTIFIED SUCH
 DEPARTMENT THAT:
   (A) THE CHILDCARE CENTER IN THE ELIGIBLE BUILDING OF THE  OWNER  WHOSE
 APPLICATION  FOR TAX ABATEMENT HAS BEEN APPROVED HAS CEASED OPERATION AS
 A CHILDCARE CENTER FOR A PERIOD EXCEEDING ONE HUNDRED EIGHTY DAYS OF THE
 ABATEMENT PERIOD, EXCEPT WHEN SUCH CHILDCARE CENTER CEASES OPERATION DUE
 TO AN ACT OR EVENT BEYOND THE CONTROL AND WITHOUT ANY  FAULT  OR  NEGLI-
 GENCE  OF  THE CHILDCARE CENTER OR OF THE OWNER OF THE ELIGIBLE BUILDING
 IN WHICH SUCH CHILDCARE CENTER OPERATES, WHICH MAY INCLUDE, BUT  IS  NOT
 LIMITED  TO,  FIRE,  FLOOD, EARTHQUAKE, STORM OR OTHER NATURAL DISASTER,
 S. 8009--C                         66                         A. 9009--C
 
 CIVIL COMMOTION, WAR, TERRORISM, RIOT, AND LABOR  DISPUTES  NOT  BROUGHT
 ABOUT BY ANY ACT OR OMISSION OF SUCH CHILDCARE CENTER OR SUCH OWNER; OR
   (B)  AN APPLICATION, CERTIFICATION, REPORT OR OTHER DOCUMENT SUBMITTED
 BY THE OWNER WHOSE APPLICATION  FOR  TAX  ABATEMENT  HAS  BEEN  APPROVED
 CONTAINS  A FALSE OR MISLEADING STATEMENT AS TO A MATERIAL FACT OR OMITS
 TO STATE ANY MATERIAL FACT NECESSARY IN  ORDER  TO  MAKE  THE  STATEMENT
 THEREIN NOT FALSE OR MISLEADING.
   2.  THE DEPARTMENT OF FINANCE MAY REVOKE, IN WHOLE OR IN PART, ANY TAX
 ABATEMENT GRANTED PURSUANT TO THIS TITLE WHENEVER IT HAS DETERMINED THAT
 AN OWNER WHOSE APPLICATION FOR  TAX  ABATEMENT  HAS  BEEN  APPROVED  HAS
 OUTSTANDING  REAL  PROPERTY  TAXES, WATER AND SEWER CHARGES, PAYMENTS IN
 LIEU OF TAXES OR OTHER MUNICIPAL CHARGES THAT HAVE BEEN  DUE  AND  OWING
 DURING THE ABATEMENT PERIOD FOR A PERIOD OF SIX MONTHS OR MORE.
   3.  UPON  A  DETERMINATION BY A DESIGNATED AGENCY, AFTER NOTICE AND AN
 OPPORTUNITY TO BE HEARD, THAT  THE  CHILDCARE  CENTER  IN  THE  ELIGIBLE
 BUILDING  OF  THE  OWNER  WHOSE  APPLICATION  FOR TAX ABATEMENT HAS BEEN
 APPROVED HAS CEASED OPERATION AS A CHILDCARE CENTER FOR A PERIOD EXCEED-
 ING ONE HUNDRED EIGHTY DAYS OF THE ABATEMENT PERIOD, SUCH  AGENCY  SHALL
 NOTIFY THE DEPARTMENT OF FINANCE OF SUCH DETERMINATION NO LATER THAN THE
 NINETIETH DAY AFTER SUCH DETERMINATION WAS REACHED.
   4. AN OWNER WHOSE APPLICATION FOR TAX ABATEMENT HAS BEEN APPROVED, AND
 FOR  WHOM SUCH TAX ABATEMENT HAS BEEN REVOKED DUE TO A FALSE OR MISLEAD-
 ING STATEMENT, OR AN OMISSION, PURSUANT TO PARAGRAPH (B) OF  SUBDIVISION
 ONE  OF  THIS  SECTION,  SHALL  PAY, WITH INTEREST, SUCH PART OF ANY TAX
 ABATEMENT RECEIVED PURSUANT TO THIS TITLE THAT REPRESENTS THE PERIOD  OF
 NON-COMPLIANCE  AS DETERMINED BY THE DESIGNATED AGENCY OR THE DEPARTMENT
 OF FINANCE, AS THE CASE MAY BE.
   § 499-FFFFF. ENFORCEMENT AND  ADMINISTRATION.  1.  THE  DEPARTMENT  OF
 FINANCE  SHALL  HAVE,  IN  ADDITION  TO  ANY OTHER FUNCTIONS, POWERS AND
 DUTIES THAT HAVE BEEN OR MAY BE CONFERRED ON IT BY  LAW,  THE  FOLLOWING
 FUNCTIONS,  POWERS  AND  DUTIES  TO BE EXERCISED IN ACCORDANCE WITH THIS
 TITLE:
   (A) TO APPLY THE TAX ABATEMENT AUTHORIZED BY THIS TITLE  TO  THE  REAL
 PROPERTY TAX LIABILITY OF AN ELIGIBLE BUILDING;
   (B) TO REVOKE ALL OR PART OF ANY SUCH TAX ABATEMENT;
   (C)  TO  PROMULGATE  RULES  TO  CARRY  OUT THE PURPOSES OF THIS TITLE,
 INCLUDING, BUT NOT LIMITED TO, REQUIRING, NOTWITHSTANDING ANY INCONSIST-
 ENT PROVISION OF LAW, THAT ANY SUBMISSION BE MADE  IN  ELECTRONIC  FORM;
 AND
   (D)  ANY  OTHER  FUNCTION,  POWER  OR DUTY NECESSARILY IMPLIED BY THIS
 TITLE.
   2. A DESIGNATED AGENCY SHALL HAVE, IN ADDITION TO ANY OTHER FUNCTIONS,
 POWERS AND DUTIES THAT HAVE BEEN OR MAY BE CONFERRED ON IT BY  LAW,  THE
 FOLLOWING  FUNCTIONS,  POWERS  AND  DUTIES TO BE EXERCISED IN ACCORDANCE
 WITH THIS TITLE:
   (A) TO ACCEPT, REVIEW, APPROVE AND DENY APPLICATIONS  FOR  TAX  ABATE-
 MENT;
   (B)  TO  PROMULGATE  RULES  TO  CARRY  OUT THE PURPOSES OF THIS TITLE,
 INCLUDING, BUT NOT LIMITED TO, REQUIRING, NOTWITHSTANDING ANY INCONSIST-
 ENT PROVISION OF LAW, THAT ANY SUBMISSION BE MADE IN ELECTRONIC FORM;
   (C) TO MAKE THE DETERMINATIONS PROVIDED FOR IN THIS TITLE; AND
   (D) ANY OTHER FUNCTION, POWER OR  DUTY  NECESSARILY  IMPLIED  BY  THIS
 TITLE.
   3.  IF  A  DESIGNATED  AGENCY  DETERMINES THAT AN ARCHITECT, ENGINEER,
 CERTIFIED PUBLIC ACCOUNTANT, OR OTHER CERTIFIED OR LICENSED PROFESSIONAL
 IN THE FIELD OF BUSINESS OR DESIGN WHOM SUCH AGENCY DESIGNATES BY  RULE,
 S. 8009--C                         67                         A. 9009--C
 
 IN  MAKING  ANY  CERTIFICATION  UNDER THIS TITLE OR ANY RULE PROMULGATED
 HEREUNDER, ENGAGED IN PROFESSIONAL  MISCONDUCT,  SUCH  AGENCY  SHALL  SO
 INFORM  THE  EDUCATION  DEPARTMENT  OR  OTHER  APPROPRIATE CERTIFYING OR
 LICENSING AUTHORITY.
   §  2.  This  act  shall take effect immediately and shall apply to tax
 years beginning on and after July 1, 2023.
 
                                  PART II
 
   Section 1. The administrative code of the city of New York is  amended
 by adding a new section 11-144 to read as follows:
   §  11-144 CHILD CARE CREDIT AGAINST CERTAIN BUSINESS INCOME TAXES.  A.
 DEFINITIONS. FOR PURPOSES OF THIS SECTION:
   1. CHILD CARE PROGRAM. THE TERM "CHILD CARE  PROGRAM"  MEANS  A  CHILD
 CARE  PROGRAM FOR WHICH A PERMIT TO OPERATE SUCH PROGRAM HAS BEEN ISSUED
 BY THE DEPARTMENT OF HEALTH  AND  MENTAL  HYGIENE  PURSUANT  TO  ARTICLE
 FORTY-SEVEN OF THE HEALTH CODE.
   2.  CHILD CARE RATE. THE TERM "CHILD CARE RATE" MEANS THE WEEKLY CHILD
 CARE SUBSIDY MARKET RATES, BASED ON THE SIXTY-NINTH  PERCENTILE  OF  THE
 2017-18  NEW  YORK  STATE  CHILD CARE MARKET RATE SURVEY, FOR INFANT AND
 TODDLER CARE PROVIDED BY A PERMITTED DAY CARE CENTER IN  COUNTY  CLUSTER
 FIVE,  AS  REFLECTED  IN  THE  2019 CHILD CARE MARKET RATE SURVEY REPORT
 PUBLISHED BY THE NEW YORK STATE OFFICE OF CHILDREN AND  FAMILY  SERVICES
 IN  COMPLIANCE  WITH  SECTION  98.45  OF TITLE FORTY-FIVE OF THE CODE OF
 FEDERAL REGULATIONS, PROVIDED THAT THE DEPARTMENT  OF  FINANCE  MAY,  BY
 RULE,  REVISE  SUCH RATES BASED ON SUBSEQUENT EDITIONS OF THE CHILD CARE
 MARKET RATE SURVEY REPORT, AS PUBLISHED BY SUCH  OFFICE,  OR  ANY  OTHER
 SIMILAR REPORT PUBLISHED BY SUCH OFFICE IN COMPLIANCE WITH SUCH SECTION.
   3.  CHILD  CARE  SEATS.  THE TERM "CHILD CARE SEATS" MEANS THE MAXIMUM
 NUMBER OF CHILDREN TO BE ALLOWED ON THE PREMISES OF A CHILD CARE PROGRAM
 AT ANY TIME THAT SUCH PROGRAM IS IN OPERATION AS SPECIFIED ON THE PERMIT
 ISSUED FOR SUCH PROGRAM BY THE DEPARTMENT OF HEALTH AND MENTAL HYGIENE.
   4. CHILD CARE SEATS THAT ARE OCCUPIED. THE TERM "CHILD CARE SEATS THAT
 ARE OCCUPIED" MEANS, FOR EACH SERVICE YEAR IN WHICH A CHILD CARE PROGRAM
 IS IN OPERATION, THE AVERAGE DAILY NUMBER OF CHILDREN IN  ATTENDANCE  ON
 THE PREMISES OF SUCH CHILD CARE PROGRAM.
   5.  CREATES CHILD CARE. THE TERM "CREATES CHILD CARE" MEANS THE MAKING
 AVAILABLE OF CHILD CARE SEATS IN A CHILD CARE  PROGRAM  BY  A  TAXPAYER,
 DIRECTLY OR THROUGH A THIRD PARTY, FOR EMPLOYEES OF SUCH TAXPAYER, WHERE
 SUCH  CHILD  CARE  PROGRAM  WAS  NOT AVAILABLE PRIOR TO APRIL FIRST, TWO
 THOUSAND TWENTY-TWO, PROVIDED THAT THE COSTS IMPOSED ON  SUCH  EMPLOYEES
 FOR  SUCH  CHILD  CARE  PROGRAM DO NOT EXCEED FORTY PERCENT OF THE CHILD
 CARE RATE.
   6. EXPANDS CHILD  CARE.  THE  TERM  "EXPANDS  CHILD  CARE"  MEANS  THE
 INCREASE  IN THE NUMBER OF CHILD CARE SEATS IN A CHILD CARE PROGRAM MADE
 AVAILABLE BY A TAXPAYER, DIRECTLY OR THROUGH A THIRD PARTY, FOR  EMPLOY-
 EES  OF  SUCH  TAXPAYER,  PROVIDED  THAT SUCH INCREASE REQUIRES A NEW OR
 AMENDED PERMIT ISSUED BY THE DEPARTMENT OF  HEALTH  AND  MENTAL  HYGIENE
 PURSUANT  TO  ARTICLE  FORTY-SEVEN  OF THE HEALTH CODE ON OR AFTER APRIL
 FIRST, TWO THOUSAND TWENTY-TWO, AND, PROVIDED, FURTHER, THAT  THE  COSTS
 IMPOSED  ON  SUCH  EMPLOYEES  FOR  SUCH CHILD CARE PROGRAM DO NOT EXCEED
 FORTY PERCENT OF THE CHILD CARE RATE.
   7. SERVICE YEAR. THE TERM "SERVICE YEAR" MEANS THE TWELVE-MONTH PERIOD
 COMMENCING ON OCTOBER FIRST AND ENDING ON  SEPTEMBER  THIRTIETH  IN  THE
 SUBSEQUENT CALENDAR YEAR.
 S. 8009--C                         68                         A. 9009--C
 
   B. CREDIT ALLOWED. A TAXPAYER THAT CREATES CHILD CARE OR EXPANDS CHILD
 CARE  SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY CHAPTER FIVE,
 OR BY SUBCHAPTER TWO OR THREE-A OF CHAPTER SIX,  OF  THIS  TITLE  TO  BE
 CREDITED   OR   REFUNDED,  WITHOUT  INTEREST,  IN  ACCORDANCE  WITH  THE
 PROVISIONS  OF  SUBDIVISION  (Q)  OF SECTION 11-503, SUBDIVISION TWENTY-
 THREE OF SECTION 11-604 AND SUBDIVISION TWENTY-THREE OF  SECTION  11-654
 OF  THIS TITLE.   THE AMOUNT OF SUCH CREDIT SHALL BE, FOR THE PORTION OF
 THE SERVICE YEAR IN WHICH THE CHILD CARE PROGRAM WAS IN  OPERATION,  THE
 SUM  OF:  (I)  THE PRODUCT OF THE NUMBER OF INFANT CHILD CARE SEATS THAT
 HAVE BEEN CREATED OR EXPANDED AND TWENTY PERCENT OF THE CHILD CARE  RATE
 FOR  SUCH INFANT CHILD CARE SEATS; AND (II) THE PRODUCT OF THE NUMBER OF
 TODDLER CHILD CARE SEATS THAT HAVE BEEN CREATED OR EXPANDED  AND  TWENTY
 PERCENT  OF  THE  CHILD  CARE  RATE  FOR  SUCH TODDLER CHILD CARE SEATS;
 PROVIDED THAT SUCH INFANT AND TODDLER CHILD CARE SEATS  ARE  CHILD  CARE
 SEATS THAT ARE OCCUPIED. NOTWITHSTANDING THE PRECEDING SENTENCE, A CRED-
 IT  SHALL NOT BE ALLOWED FOR MORE THAN TWENTY-FIVE CHILD CARE SEATS THAT
 ARE OCCUPIED, AND THE AMOUNT OF SUCH CREDIT MAY BE REDUCED AS  A  RESULT
 OF  AN  ALLOCATION  OF AVAILABLE FUNDS, AS DESCRIBED IN SUBDIVISION E OF
 THIS SECTION, FOR SUCH CREDIT.
   C. APPLICATION PROCESS. A TAXPAYER MUST SUBMIT AN APPLICATION FOR SUCH
 CREDIT BY NOVEMBER FIRST OF THE CALENDAR YEAR IN WHICH THE SERVICE  YEAR
 HAS ENDED.
   1. SUCH APPLICATION SHALL INCLUDE BUT NOT BE LIMITED TO:
   (A)  A PERMIT ISSUED BY THE DEPARTMENT OF HEALTH AND MENTAL HYGIENE TO
 OPERATE A CHILD CARE CENTER INDICATING THE NUMBER OF  CHILD  CARE  SEATS
 OR, IN THE CASE OF A CHILD CARE CENTER THAT HAS EXPERIENCED AN EXPANSION
 OF  CHILD  CARE  SEATS, A PERMIT ISSUED BY SUCH DEPARTMENT DEMONSTRATING
 SUCH EXPANSION; AND
   (B) A CERTIFICATION FROM AN INDEPENDENT  CERTIFIED  PUBLIC  ACCOUNTANT
 THAT PROVIDES:
   (1)  THE  TOTAL  NUMBER  OF CHILD CARE SEATS THAT ARE CHILD CARE SEATS
 THAT ARE OCCUPIED DURING SUCH SERVICE YEAR;
   (2) OF SUCH TOTAL NUMBER OF CHILD CARE SEATS THAT  ARE  OCCUPIED,  THE
 NUMBER  OF  INFANT  CHILD CARE SEATS THAT ARE OCCUPIED AND THE NUMBER OF
 TODDLER CHILD CARE SEATS THAT ARE OCCUPIED; AND
   (3) TO THE EXTENT THE TAXPAYER HAS EXPANDED CHILD CARE, THE NUMBER  OF
 CHILD  CARE  SEATS  IN EXISTENCE BEFORE SUCH EXPANSION AND THE NUMBER OF
 SUCH CHILD CARE SEATS THAT WERE OCCUPIED BEFORE SUCH EXPANSION.
   2. NO LATER THAN JANUARY THIRTY-FIRST OF THE CALENDAR  YEAR  FOLLOWING
 THE CALENDAR YEAR IN WHICH THE APPLICATION WAS SUBMITTED, THE DEPARTMENT
 OF  FINANCE  SHALL APPROVE OR DENY SUCH APPLICATION AND PROVIDE A CALCU-
 LATION OF THE AMOUNT OF SUCH CREDIT AS DETERMINED BY  SUBDIVISION  E  OF
 THIS SECTION FOR ANY APPLICATION THAT HAS BEEN APPROVED.
   D.  APPLICATION  OF  CREDIT  TO  TAX YEAR. THE CREDIT, AS APPROVED AND
 CALCULATED BY THE DEPARTMENT OF FINANCE PURSUANT  TO  PARAGRAPH  TWO  OF
 SUBDIVISION C OF THIS SECTION, SHALL BE APPLIED TO THE TAX YEAR IN WHICH
 THE  SERVICE  YEAR  CONCLUDES, EXCEPT THAT: (I) FOR A TAXPAYER WHOSE TAX
 YEAR CONCLUDES ON OR AFTER SEPTEMBER THIRTIETH AND BEFORE DECEMBER THIR-
 TY-FIRST, THE CREDIT SHALL  BE  APPLIED  TO  THE  TAX  YEAR  IMMEDIATELY
 FOLLOWING  THE TAX YEAR IN WHICH THE SERVICE YEAR CONCLUDES; AND (II) TO
 PROVIDE THE CREDIT IN A TAX YEAR CONSISTENT WITH THIS  SUBDIVISION,  THE
 DEPARTMENT OF FINANCE MAY ESTABLISH PROCEDURES GOVERNING THE APPLICATION
 OF SUCH CREDIT WHERE THE TAX YEAR OF A TAXPAYER WHO HAS APPLIED FOR SUCH
 CREDIT  IS  LESS  THAN  TWELVE  MONTHS, OR WHERE SUCH TAX YEAR VARIES IN
 ACCORDANCE WITH SUBSECTION F OF SECTION FOUR HUNDRED  FORTY-ONE  OF  THE
 INTERNAL REVENUE CODE.
 S. 8009--C                         69                         A. 9009--C

   E. MAXIMUM AMOUNT OF CREDIT AVAILABLE. FOR EACH OF THE THREE TAX YEARS
 IN  WHICH THE CREDIT AUTHORIZED BY THIS SECTION IS AVAILABLE, THE AGGRE-
 GATE AMOUNT OF SUCH CREDIT SHALL BE A  MAXIMUM  OF  TWENTY-FIVE  MILLION
 DOLLARS.  TO  THE  EXTENT  THAT THE DEPARTMENT OF FINANCE HAS DETERMINED
 THAT  THE  AGGREGATE  AMOUNT  OF  SUCH CREDIT, AS CALCULATED PURSUANT TO
 SUBDIVISION B OF THIS SECTION, WOULD EXCEED TWENTY-FIVE MILLION DOLLARS,
 SUCH DEPARTMENT SHALL REDUCE THE AMOUNT OF CREDIT TO BE GRANTED TO  EACH
 TAXPAYER WHO HAS APPLIED FOR SUCH CREDIT IN ACCORDANCE WITH A PROCESS TO
 BE DEVELOPED IN RULES PROMULGATED BY SUCH DEPARTMENT. IN DEVELOPING SUCH
 PROCESS,  THE DEPARTMENT MAY CONSIDER FACTORS INCLUDING, BUT NOT LIMITED
 TO, THE DATE OF APPLICATION, THE NUMBER OF CHILD CARE SEATS IN  A  CHILD
 CARE  PROGRAM  THAT  ARE  OCCUPIED, AND THE EXTENT TO WHICH THE TAXPAYER
 BEARS THE COST OF THE CHILD CARE THAT IS PROVIDED TO  THE  EMPLOYEES  OF
 SUCH TAXPAYER.
   § 2. Section 11-503 of the administrative code of the city of New York
 is amended by adding a new subdivision (q) to read as follows:
   (Q)  CREDIT  FOR THE PROVISION OF CHILD CARE. IN ADDITION TO ANY OTHER
 CREDIT ALLOWED UNDER THIS SECTION, A TAXPAYER WHOSE  APPLICATION  FOR  A
 CREDIT  AUTHORIZED  BY SECTION 11-144 OF THIS TITLE HAS BEEN APPROVED BY
 THE DEPARTMENT OF FINANCE SHALL BE ALLOWED  A  CREDIT  AGAINST  THE  TAX
 IMPOSED BY THIS CHAPTER. THE AMOUNT OF THE CREDIT SHALL BE DETERMINED AS
 PROVIDED IN SUCH SECTION. TO THE EXTENT THE AMOUNT OF THE CREDIT ALLOWED
 BY THIS SUBDIVISION EXCEEDS THE AMOUNT OF TAX DUE PURSUANT TO THIS CHAP-
 TER,  AS  CALCULATED  WITHOUT  SUCH  CREDIT, SUCH EXCESS AMOUNT SHALL BE
 TREATED AS AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED  IN  ACCORD-
 ANCE  WITH  THE  PROVISIONS OF SECTION 11-526 OF THIS CHAPTER, PROVIDED,
 HOWEVER, THAT NOTWITHSTANDING THE REQUIREMENTS OF SECTION 11-528 OF THIS
 CHAPTER TO THE CONTRARY, NO INTEREST SHALL BE PAID THEREON.
   § 3. Section 11-604 of the administrative code of the city of New York
 is amended by adding a new subdivision 23 to read as follows:
   (23) CREDIT FOR THE PROVISION OF CHILD CARE. IN ADDITION TO ANY  OTHER
 CREDIT  ALLOWED  UNDER  THIS SECTION, A TAXPAYER WHOSE APPLICATION FOR A
 CREDIT AUTHORIZED BY SECTION 11-144 OF THIS TITLE HAS BEEN  APPROVED  BY
 THE  DEPARTMENT  OF  FINANCE  SHALL  BE ALLOWED A CREDIT AGAINST THE TAX
 IMPOSED BY THIS CHAPTER. THE AMOUNT OF THE CREDIT SHALL BE DETERMINED AS
 PROVIDED IN SUCH SECTION. TO THE EXTENT THE AMOUNT OF THE CREDIT ALLOWED
 BY THIS SUBDIVISION EXCEEDS THE AMOUNT  OF  TAX  DUE  PURSUANT  TO  THIS
 SUBCHAPTER,  AS CALCULATED WITHOUT SUCH CREDIT, SUCH EXCESS AMOUNT SHALL
 BE TREATED AS AN OVERPAYMENT OF  TAX  TO  BE  CREDITED  OR  REFUNDED  IN
 ACCORDANCE  WITH  THE  PROVISIONS  OF  SECTION  11-677  OF THIS CHAPTER,
 PROVIDED, HOWEVER, THAT  NOTWITHSTANDING  THE  REQUIREMENTS  OF  SECTION
 11-679 OF THIS CHAPTER TO THE CONTRARY, NO INTEREST SHALL BE PAID THERE-
 ON.
   § 4. Section 11-654 of the administrative code of the city of New York
 is amended by adding a new subdivision 23 to read as follows:
   (23)  CREDIT FOR THE PROVISION OF CHILD CARE. IN ADDITION TO ANY OTHER
 CREDIT ALLOWED UNDER THIS SECTION, A TAXPAYER WHOSE  APPLICATION  FOR  A
 CREDIT  AUTHORIZED  BY SECTION 11-144 OF THIS TITLE HAS BEEN APPROVED BY
 THE DEPARTMENT OF FINANCE SHALL BE ALLOWED  A  CREDIT  AGAINST  THE  TAX
 IMPOSED BY THIS CHAPTER. THE AMOUNT OF THE CREDIT SHALL BE DETERMINED AS
 PROVIDED IN SUCH SECTION. TO THE EXTENT THE AMOUNT OF THE CREDIT ALLOWED
 BY  THIS  SUBDIVISION  EXCEEDS  THE  AMOUNT  OF TAX DUE PURSUANT TO THIS
 SUBCHAPTER, AS CALCULATED WITHOUT SUCH CREDIT, SUCH EXCESS AMOUNT  SHALL
 BE  TREATED  AS  AN  OVERPAYMENT  OF  TAX  TO BE CREDITED OR REFUNDED IN
 ACCORDANCE WITH THE  PROVISIONS  OF  SECTION  11-677  OF  THIS  CHAPTER,
 PROVIDED,  HOWEVER,  THAT  NOTWITHSTANDING  THE  REQUIREMENTS OF SECTION
 S. 8009--C                         70                         A. 9009--C
 
 11-679 OF THIS CHAPTER TO THE CONTRARY, NO INTEREST SHALL BE PAID THERE-
 ON.
   §  5. This act shall take effect immediately, provided that the credit
 authorized by section 11-144 of the administrative code of the  city  of
 New  York, as added by section one of this act, shall be available to be
 applied to the tax year beginning between January 1, 2023  and  December
 31, 2023, inclusive of those dates, and to the two tax years immediately
 following such initial tax year.

                                  PART JJ
 
   Section  1.  Paragraph  1 of subsection (f) of section 1310 of the tax
 law, as added by section 2 of part V of chapter 60 of the laws of  2004,
 is amended to read as follows:
   (1)  Notwithstanding  any  other provision of law to the contrary, any
 city having a population of one million  or  more,  acting  through  its
 local  legislative body, is hereby authorized and empowered to adopt and
 amend local laws granting in any such city, for taxable years  beginning
 after  two thousand three, a credit against the city personal income tax
 equal to five percent of the earned income credit allowed under  section
 thirty-two  of the internal revenue code for the same taxable year, AND,
 FOR TAXABLE YEARS BEGINNING AFTER  TWO  THOUSAND  TWENTY-ONE,  A  CREDIT
 AGAINST  THE  CITY PERSONAL INCOME TAX EQUAL TO A PERCENTAGE, DETERMINED
 PURSUANT TO SUBPARAGRAPHS (A) THROUGH (I)  OF  THIS  PARAGRAPH,  OF  THE
 EARNED  INCOME  CREDIT  ALLOWED UNDER SECTION THIRTY-TWO OF THE INTERNAL
 REVENUE CODE FOR THE SAME TAXABLE YEAR. FOR PURPOSES OF THIS  PARAGRAPH,
 "ADJUSTED  GROSS  INCOME" MEANS NEW YORK ADJUSTED GROSS INCOME AS DETER-
 MINED PURSUANT TO ARTICLE TWENTY-TWO OF  THIS  CHAPTER.  THE  PERCENTAGE
 SHALL BE:
   (A)  THIRTY  PERCENT,  WHERE  THE TAXPAYER'S ADJUSTED GROSS INCOME FOR
 SUCH TAXABLE YEAR IS LESS THAN $5,000;
   (B) THIRTY PERCENT REDUCED BY THE PRODUCT OF TWO-TENTHS OF A  PERCENT-
 AGE POINT (0.002) AND THE AMOUNT OF THE TAXPAYER'S ADJUSTED GROSS INCOME
 FOR  SUCH  TAXABLE  YEAR  IN  EXCESS  OF  $4,999,  WHERE SUCH TAXPAYER'S
 ADJUSTED GROSS INCOME FOR SUCH TAXABLE YEAR IS EQUAL TO OR GREATER  THAN
 $5,000 AND LESS THAN $7,500;
   (C)  TWENTY-FIVE  PERCENT,  WHERE THE TAXPAYER'S ADJUSTED GROSS INCOME
 FOR SUCH TAXABLE YEAR IS EQUAL TO OR GREATER THAN $7,500 AND  LESS  THAN
 $15,000;
   (D)  TWENTY-FIVE  PERCENT  REDUCED  BY  THE PRODUCT OF TWO-TENTHS OF A
 PERCENTAGE POINT (0.002) AND THE AMOUNT OF THE TAXPAYER'S ADJUSTED GROSS
 INCOME FOR SUCH TAXABLE YEAR IN EXCESS OF $14,999, WHERE SUCH TAXPAYER'S
 ADJUSTED GROSS INCOME FOR SUCH TAXABLE YEAR IS EQUAL TO OR GREATER  THAN
 $15,000 AND LESS THAN $17,500;
   (E)  TWENTY  PERCENT,  WHERE  THE TAXPAYER'S ADJUSTED GROSS INCOME FOR
 SUCH TAXABLE YEAR IS EQUAL TO OR GREATER  THAN  $17,500  AND  LESS  THAN
 $20,000;
   (F)  TWENTY PERCENT REDUCED BY THE PRODUCT OF TWO-TENTHS OF A PERCENT-
 AGE POINT (0.002) AND THE AMOUNT OF THE TAXPAYER'S ADJUSTED GROSS INCOME
 FOR SUCH TAXABLE YEAR  IN  EXCESS  OF  $19,999,  WHERE  SUCH  TAXPAYER'S
 ADJUSTED  GROSS INCOME FOR SUCH TAXABLE YEAR IS EQUAL TO OR GREATER THAN
 $20,000 AND LESS THAN $22,500;
   (G) FIFTEEN PERCENT, WHERE THE TAXPAYER'S ADJUSTED  GROSS  INCOME  FOR
 SUCH  TAXABLE  YEAR  IS  EQUAL  TO OR GREATER THAN $22,500 AND LESS THAN
 $40,000;
 S. 8009--C                         71                         A. 9009--C
 
   (H) FIFTEEN PERCENT REDUCED BY THE PRODUCT OF TWO-TENTHS OF A PERCENT-
 AGE POINT (0.002) AND THE AMOUNT OF THE TAXPAYER'S ADJUSTED GROSS INCOME
 FOR SUCH TAXABLE YEAR  IN  EXCESS  OF  $39,999,  WHERE  SUCH  TAXPAYER'S
 ADJUSTED  GROSS INCOME FOR SUCH TAXABLE YEAR IS EQUAL TO OR GREATER THAN
 $40,000 AND LESS THAN $42,500; AND
   (I)  TEN  PERCENT  WHERE THE TAXPAYER'S ADJUSTED GROSS INCOME FOR SUCH
 TAXABLE YEAR IS EQUAL TO OR GREATER THAN $42,500.
   § 2. Paragraph 1 of subdivision (d) of section 11-1706 of the adminis-
 trative code of the city of New York, as added by local  law  number  39
 for the year 2004, is amended to read as follows:
   (1)  For  taxable  years  beginning after two thousand three, a credit
 against the city personal income tax shall be  allowed,  equal  to  five
 percent  of the earned income credit allowed under section thirty-two of
 the internal revenue code for the same taxable year,  AND,  FOR  TAXABLE
 YEARS BEGINNING AFTER TWO THOUSAND TWENTY-ONE, A CREDIT AGAINST THE CITY
 PERSONAL  INCOME  TAX SHALL BE ALLOWED, EQUAL TO A PERCENTAGE DETERMINED
 PURSUANT TO SUBPARAGRAPHS (A) THROUGH (I)  OF  THIS  PARAGRAPH,  OF  THE
 EARNED  INCOME  CREDIT  ALLOWED UNDER SECTION THIRTY-TWO OF THE INTERNAL
 REVENUE CODE FOR THE SAME TAXABLE YEAR. FOR PURPOSES OF THIS  PARAGRAPH,
 "ADJUSTED  GROSS  INCOME" MEANS NEW YORK ADJUSTED GROSS INCOME AS DETER-
 MINED PURSUANT TO ARTICLE TWENTY-TWO OF  THE  TAX  LAW.  THE  PERCENTAGE
 SHALL BE:
   (A)  THIRTY  PERCENT,  WHERE  THE TAXPAYER'S ADJUSTED GROSS INCOME FOR
 SUCH TAXABLE YEAR IS LESS THAN $5,000;
   (B) THIRTY PERCENT REDUCED BY THE PRODUCT OF TWO-TENTHS OF A  PERCENT-
 AGE POINT (0.002) AND THE AMOUNT OF THE TAXPAYER'S ADJUSTED GROSS INCOME
 FOR  SUCH  TAXABLE  YEAR  IN  EXCESS  OF  $4,999,  WHERE SUCH TAXPAYER'S
 ADJUSTED GROSS INCOME FOR SUCH TAXABLE YEAR IS EQUAL TO OR GREATER  THAN
 $5,000 AND LESS THAN $7,500;
   (C)  TWENTY-FIVE  PERCENT,  WHERE THE TAXPAYER'S ADJUSTED GROSS INCOME
 FOR SUCH TAXABLE YEAR IS EQUAL TO OR GREATER THAN $7,500 AND  LESS  THAN
 $15,000;
   (D)  TWENTY-FIVE  PERCENT  REDUCED  BY  THE PRODUCT OF TWO-TENTHS OF A
 PERCENTAGE POINT (0.002) AND THE AMOUNT OF THE TAXPAYER'S ADJUSTED GROSS
 INCOME FOR SUCH TAXABLE YEAR IN EXCESS OF $14,999, WHERE SUCH TAXPAYER'S
 ADJUSTED GROSS INCOME FOR SUCH TAXABLE YEAR IS EQUAL TO OR GREATER  THAN
 $15,000 AND LESS THAN $17,500;
   (E)  TWENTY  PERCENT,  WHERE  THE TAXPAYER'S ADJUSTED GROSS INCOME FOR
 SUCH TAXABLE YEAR IS EQUAL TO OR GREATER  THAN  $17,500  AND  LESS  THAN
 $20,000;
   (F)  TWENTY PERCENT REDUCED BY THE PRODUCT OF TWO-TENTHS OF A PERCENT-
 AGE POINT (0.002) AND THE  AMOUNT  OF  SUCH  TAXPAYER'S  ADJUSTED  GROSS
 INCOME  FOR SUCH TAXABLE YEAR IN EXCESS OF $19,999, WHERE THE TAXPAYER'S
 ADJUSTED GROSS INCOME FOR SUCH TAXABLE YEAR IS EQUAL TO OR GREATER  THAN
 $20,000 AND LESS THAN $22,500;
   (G)  FIFTEEN  PERCENT,  WHERE THE TAXPAYER'S ADJUSTED GROSS INCOME FOR
 SUCH TAXABLE YEAR IS EQUAL TO OR GREATER  THAN  $22,500  AND  LESS  THAN
 $40,000;
   (H) FIFTEEN PERCENT REDUCED BY THE PRODUCT OF TWO-TENTHS OF A PERCENT-
 AGE POINT (0.002) AND THE AMOUNT OF THE TAXPAYER'S ADJUSTED GROSS INCOME
 FOR  SUCH  TAXABLE  YEAR  IN  EXCESS  OF  $39,999, WHERE SUCH TAXPAYER'S
 ADJUSTED GROSS INCOME FOR SUCH TAXABLE YEAR IS EQUAL TO OR GREATER  THAN
 $40,000 AND LESS THAN $42,500; AND
   (I)  TEN  PERCENT  WHERE THE TAXPAYER'S ADJUSTED GROSS INCOME FOR SUCH
 TAXABLE YEAR IS EQUAL TO OR GREATER THAN $42,500.
 S. 8009--C                         72                         A. 9009--C
 
   § 3. This act shall take effect immediately, and shall apply to  taxa-
 ble years beginning on and after January 1, 2022.
 
                                  PART KK

   Section  1.  Section 472 of the economic development law is amended by
 adding a new subdivision 4-a to read as follows:
   4-A. "CERTIFICATE OF ADDITIONAL TAX CREDIT" MEANS THE DOCUMENT  ISSUED
 TO A BUSINESS ENTITY BY THE DEPARTMENT AFTER THE DEPARTMENT HAS VERIFIED
 THAT  THE BUSINESS ENTITY HAS MET ALL APPLICABLE ELIGIBILITY CRITERIA IN
 THIS ARTICLE.  THE CERTIFICATE SHALL SPECIFY THE EXACT AMOUNT OF THE TAX
 CREDIT UNDER THIS ARTICLE THAT A BUSINESS ENTITY MAY CLAIM  PURSUANT  TO
 SECTION FOUR HUNDRED SEVENTY-FIVE-A OF THIS ARTICLE.
   §  2.  Subdivisions 1 and 3 of section 474 of the economic development
 law, as added by section 1 of subpart A of part PP of chapter 59 of  the
 laws  of  2021,  are amended and a new subdivision 4 is added to read as
 follows:
   1. A business entity must submit a complete application as  prescribed
 by  the  commissioner  FOR  THE RESTAURANT RETURN-TO-WORK CREDIT AND THE
 ADDITIONAL RESTAURANT RETURN-TO-WORK CREDIT.
   3.  THE APPLICATION FOR THE TAX  CREDIT  ALLOWED  UNDER  SECTION  FOUR
 HUNDRED SEVENTY-FIVE OF THIS ARTICLE MUST BE SUBMITTED BY MAY FIRST, TWO
 THOUSAND TWENTY-TWO. After reviewing a business entity's completed final
 application  FOR  THE  RESTAURANT  RETURN-TO-WORK CREDIT and determining
 that the business entity meets the eligibility criteria as set forth  in
 this article, the department may issue to that business entity a certif-
 icate  of  tax credit. A business entity may claim the tax credit in the
 taxable year that includes December thirty-first, two  thousand  twenty-
 one.
   4.  THE  APPLICATION  FOR  THE  TAX  CREDIT ALLOWED UNDER SECTION FOUR
 HUNDRED SEVENTY-FIVE-A OF THIS ARTICLE MUST BE SUBMITTED BY JULY  FIRST,
 TWO  THOUSAND  TWENTY-TWO. AFTER REVIEWING A BUSINESS ENTITY'S COMPLETED
 FINAL APPLICATION FOR THE ADDITIONAL  RESTAURANT  RETURN-TO-WORK  CREDIT
 AND  DETERMINING THAT THE BUSINESS ENTITY MEETS THE ELIGIBILITY CRITERIA
 AS SET FORTH IN THIS ARTICLE, THE DEPARTMENT MAY ISSUE TO THAT  BUSINESS
 ENTITY  A  CERTIFICATE  OF  ADDITIONAL TAX CREDIT. A BUSINESS ENTITY MAY
 CLAIM THE TAX CREDIT IN THE TAXABLE YEAR THAT INCLUDES DECEMBER  THIRTY-
 FIRST, TWO THOUSAND TWENTY-TWO.
   §  3.  The economic development law is amended by adding a new section
 475-a to read as follows:
   § 475-A. ADDITIONAL RESTAURANT RETURN-TO-WORK TAX CREDIT. 1.  A  BUSI-
 NESS  ENTITY  IN  THE  RESTAURANT RETURN-TO-WORK TAX CREDIT PROGRAM THAT
 APPLIES FOR THE ADDITIONAL RESTAURANT RETURN-TO-WORK CREDIT PURSUANT  TO
 SECTION  FOUR  HUNDRED  SEVENTY-FOUR  OF THIS ARTICLE MAY BE ELIGIBLE TO
 CLAIM A CREDIT EQUAL TO FIVE THOUSAND DOLLARS PER EACH FULL-TIME  EQUIV-
 ALENT  NET EMPLOYEE INCREASE ABOVE TEN, NOT TO EXCEED TWENTY, AS DEFINED
 IN SUBDIVISION EIGHT OF SECTION FOUR HUNDRED SEVENTY-TWO OF  THIS  ARTI-
 CLE.  THE  AMOUNT OF THE BUSINESS ENTITY'S ADDITIONAL RESTAURANT RETURN-
 TO-WORK TAX CREDIT SHALL BE CALCULATED BY USING THE  DATE  THE  BUSINESS
 ENTITY  CHOSE  TO  CALCULATE  ITS AVERAGE ENDING FULL-TIME EMPLOYMENT AS
 DESCRIBED IN SUBDIVISION THREE OF SECTION FOUR  HUNDRED  SEVENTY-TWO  OF
 THIS  ARTICLE.  PROVIDED,  HOWEVER,  THAT  IN  CALCULATING THE FULL-TIME
 EQUIVALENT NET EMPLOYEE INCREASE ABOVE TEN, THE JOBS  MUST  CONTINUE  TO
 EXIST  AS  OF  MARCH  THIRTY-FIRST,  TWO THOUSAND TWENTY-TWO. A BUSINESS
 ENTITY IN THE RESTAURANT RETURN-TO-WORK PROGRAM THAT  CEASED  OPERATIONS
 S. 8009--C                         73                         A. 9009--C
 
 ON  OR BEFORE MARCH THIRTY-FIRST, TWO THOUSAND TWENTY-TWO, IS NOT ELIGI-
 BLE FOR THE CREDIT PROVIDED BY THIS SECTION.
   2.  A  BUSINESS  ENTITY,  INCLUDING  A  PARTNERSHIP, LIMITED LIABILITY
 COMPANY AND SUBCHAPTER S CORPORATION, MAY NOT RECEIVE IN EXCESS OF FIFTY
 THOUSAND DOLLARS IN TAX CREDITS UNDER THIS PROGRAM.
   3. THE CREDIT SHALL BE ALLOWED AS  PROVIDED  IN  SECTION  FORTY-SIX-A,
 SUBDIVISION  FIFTY-SIX-A  OF  SECTION  TWO  HUNDRED TEN-B AND SUBSECTION
 (NNN) OF SECTION SIX HUNDRED SIX OF THE TAX LAW.
   § 4. The tax law is amended by adding a new section 46-a  to  read  as
 follows:
   § 46-A. ADDITIONAL RESTAURANT RETURN-TO-WORK TAX CREDIT. (A) ALLOWANCE
 OF  CREDIT. A TAXPAYER SUBJECT TO TAX UNDER ARTICLE NINE-A OR TWENTY-TWO
 OF THIS CHAPTER SHALL BE ALLOWED A CREDIT AGAINST SUCH TAX, PURSUANT  TO
 THE PROVISIONS REFERENCED IN SUBDIVISION (F) OF THIS SECTION. THE AMOUNT
 OF THE CREDIT IS EQUAL TO THE AMOUNT DETERMINED PURSUANT TO SECTION FOUR
 HUNDRED  SEVENTY-FIVE-A  OF  THE  ECONOMIC  DEVELOPMENT  LAW. NO COST OR
 EXPENSE PAID OR INCURRED BY THE TAXPAYER WHICH IS INCLUDED  AS  PART  OF
 THE CALCULATION OF THIS CREDIT SHALL BE THE BASIS OF ANY OTHER TAX CRED-
 IT ALLOWED UNDER THIS CHAPTER.
   (B)  ELIGIBILITY. TO BE ELIGIBLE FOR THE ADDITIONAL RESTAURANT RETURN-
 TO-WORK TAX CREDIT, THE TAXPAYER SHALL HAVE BEEN ISSUED A CERTIFICATE OF
 ADDITIONAL TAX CREDIT BY THE DEPARTMENT OF ECONOMIC DEVELOPMENT PURSUANT
 TO SUBDIVISION FOUR OF SECTION FOUR HUNDRED SEVENTY-FOUR OF THE ECONOMIC
 DEVELOPMENT LAW, WHICH CERTIFICATE SHALL SET FORTH  THE  AMOUNT  OF  THE
 CREDIT  THAT  MAY BE CLAIMED FOR THE TAXABLE YEAR. THE TAXPAYER SHALL BE
 ALLOWED TO CLAIM ONLY THE AMOUNT LISTED ON THE CERTIFICATE OF ADDITIONAL
 TAX CREDIT FOR THAT TAXABLE YEAR. A TAXPAYER THAT  IS  A  PARTNER  IN  A
 PARTNERSHIP,  MEMBER  OF A LIMITED LIABILITY COMPANY OR SHAREHOLDER IN A
 SUBCHAPTER S CORPORATION THAT HAS RECEIVED A CERTIFICATE  OF  ADDITIONAL
 TAX  CREDIT  SHALL BE ALLOWED ITS PRO RATA SHARE OF THE CREDIT EARNED BY
 THE PARTNERSHIP, LIMITED LIABILITY COMPANY OR SUBCHAPTER S  CORPORATION.
 HOWEVER,  THE  TAXPAYER MUST BE A PARTNER, MEMBER OR SHAREHOLDER OF SUCH
 PARTNERSHIP, LIMITED LIABILITY COMPANY OR SUBCHAPTER S CORPORATION AS OF
 APRIL FIRST, TWO THOUSAND TWENTY-TWO.
   (C) TAX RETURN REQUIREMENT AND ADVANCE PAYMENT OPTION. (1) THE TAXPAY-
 ER SHALL BE REQUIRED TO ATTACH TO ITS TAX RETURN IN THE FORM  PRESCRIBED
 BY  THE  COMMISSIONER, PROOF OF RECEIPT OF ITS CERTIFICATE OF ADDITIONAL
 TAX CREDIT ISSUED BY THE COMMISSIONER  OF  THE  DEPARTMENT  OF  ECONOMIC
 DEVELOPMENT.
   (2)  TAXPAYERS  SHALL HAVE THE OPTION TO REQUEST AN ADVANCE PAYMENT OF
 THE AMOUNT OF TAX CREDIT THEY ARE ALLOWED UNDER THIS SECTION. A TAXPAYER
 MUST SUBMIT SUCH REQUEST TO THE DEPARTMENT IN THE MANNER  PRESCRIBED  BY
 THE  COMMISSIONER  AFTER  IT HAS BEEN ISSUED A CERTIFICATE OF ADDITIONAL
 TAX CREDIT BY THE DEPARTMENT OF ECONOMIC DEVELOPMENT PURSUANT TO  SUBDI-
 VISION  FOUR OF SECTION FOUR HUNDRED SEVENTY-FOUR OF THE ECONOMIC DEVEL-
 OPMENT LAW (OR SUCH CERTIFICATE HAS BEEN ISSUED TO A PARTNERSHIP, LIMIT-
 ED LIABILITY COMPANY OR SUBCHAPTER  S  CORPORATION  IN  WHICH  IT  IS  A
 PARTNER,  MEMBER OR SHAREHOLDER, RESPECTIVELY), BUT SUCH REQUEST MUST BE
 SUBMITTED NO LATER THAN SEPTEMBER THIRTIETH,  TWO  THOUSAND  TWENTY-TWO.
 FOR  THOSE  TAXPAYERS WHO HAVE REQUESTED AN ADVANCE PAYMENT AND FOR WHOM
 THE COMMISSIONER HAS DETERMINED ELIGIBLE FOR THIS  CREDIT,  THE  COMMIS-
 SIONER  SHALL ADVANCE A PAYMENT OF THE TAX CREDIT ALLOWED TO THE TAXPAY-
 ER. HOWEVER, IN THE CASE OF A TAXPAYER SUBJECT TO ARTICLE NINE-A OF THIS
 CHAPTER, SUCH PAYMENT SHALL BE EQUAL TO THE AMOUNT OF CREDIT ALLOWED  TO
 THE  TAXPAYER  LESS  TWENTY-FIVE DOLLARS. SUCH TWENTY-FIVE DOLLARS SHALL
 REPRESENT A PARTIAL PAYMENT OF TAX OWED BY THE  TAXPAYER  UNDER  ARTICLE
 S. 8009--C                         74                         A. 9009--C
 
 NINE-A,  INCLUDING  ANY FIXED DOLLAR MINIMUM OWED UNDER PARAGRAPH (D) OF
 SUBDIVISION ONE OF SECTION TWO HUNDRED  TEN  OF  THIS  CHAPTER.  WHEN  A
 TAXPAYER  FILES  ITS  RETURN  FOR  THE TAXABLE YEAR, SUCH TAXPAYER SHALL
 PROPERLY  RECONCILE THE ADVANCE PAYMENT AND ANY PARTIAL PAYMENT OF FIXED
 DOLLAR MINIMUM TAX, IF APPLICABLE, ON THE TAXPAYER'S RETURN.
   (D) INFORMATION SHARING. NOTWITHSTANDING ANY PROVISION OF  THIS  CHAP-
 TER, EMPLOYEES OF THE DEPARTMENT OF ECONOMIC DEVELOPMENT AND THE DEPART-
 MENT SHALL BE ALLOWED AND ARE DIRECTED TO SHARE AND EXCHANGE:
   (1)  INFORMATION DERIVED FROM TAX RETURNS OR REPORTS THAT ARE RELEVANT
 TO A TAXPAYER'S ELIGIBILITY TO PARTICIPATE IN THE RESTAURANT  RETURN-TO-
 WORK TAX CREDIT PROGRAM;
   (2)  INFORMATION REGARDING THE CREDIT APPLIED FOR, ALLOWED, OR CLAIMED
 PURSUANT TO THIS SECTION AND TAXPAYERS THAT ARE APPLYING FOR THE  CREDIT
 OR THAT ARE CLAIMING THE CREDIT; AND
   (3)  INFORMATION  CONTAINED  IN  OR  DERIVED  FROM  CREDIT CLAIM FORMS
 SUBMITTED TO THE DEPARTMENT AND  APPLICATIONS  FOR  ADMISSION  INTO  THE
 RESTAURANT  RETURN-TO-WORK  TAX  CREDIT  PROGRAM.  EXCEPT AS PROVIDED IN
 PARAGRAPH TWO OF THIS SUBDIVISION, ALL INFORMATION EXCHANGED BETWEEN THE
 DEPARTMENT OF ECONOMIC DEVELOPMENT  AND  THE  DEPARTMENT  SHALL  NOT  BE
 SUBJECT  TO DISCLOSURE OR INSPECTION UNDER THE STATE'S FREEDOM OF INFOR-
 MATION LAW.
   (E) CREDIT RECAPTURE. IF A CERTIFICATE OF ADDITIONAL TAX CREDIT ISSUED
 BY THE DEPARTMENT OF ECONOMIC DEVELOPMENT UNDER ARTICLE  TWENTY-FIVE  OF
 THE  ECONOMIC  DEVELOPMENT LAW IS REVOKED BY SUCH DEPARTMENT, THE AMOUNT
 OF CREDIT DESCRIBED IN THIS SECTION AND CLAIMED BY THE TAXPAYER PRIOR TO
 THAT REVOCATION SHALL BE ADDED BACK TO TAX IN THE TAXABLE YEAR IN  WHICH
 ANY SUCH REVOCATION BECOMES FINAL.
   (F)  CROSS  REFERENCES.  FOR APPLICATION OF THE CREDIT PROVIDED FOR IN
 THIS SECTION, SEE THE FOLLOWING PROVISIONS OF THIS CHAPTER:
   (1) ARTICLE 9-A: SECTION 210-B, SUBDIVISION 56-A;
   (2) ARTICLE 22: SECTION 606, SUBSECTION (NNN).
   § 5. Section 210-B of the tax law is amended by adding a new  subdivi-
 sion 56-a to read as follows:
   56-A.  ADDITIONAL  RESTAURANT RETURN-TO-WORK TAX CREDIT. (A) ALLOWANCE
 OF CREDIT. A TAXPAYER SHALL BE ALLOWED  A  CREDIT,  TO  BE  COMPUTED  AS
 PROVIDED  IN  SECTION  FORTY-SIX-A  OF  THIS  CHAPTER, AGAINST THE TAXES
 IMPOSED BY THIS ARTICLE.
   (B) APPLICATION OF CREDIT. THE CREDIT ALLOWED UNDER  THIS  SUBDIVISION
 FOR  THE TAXABLE YEAR SHALL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO LESS
 THAN THE AMOUNT PRESCRIBED  IN  PARAGRAPH  (D)  OF  SUBDIVISION  ONE  OF
 SECTION TWO HUNDRED TEN OF THIS ARTICLE. HOWEVER, IF THE AMOUNT OF CRED-
 IT  ALLOWED  UNDER THIS SUBDIVISION FOR THE TAXABLE YEAR REDUCES THE TAX
 TO SUCH AMOUNT OR IF THE TAXPAYER OTHERWISE PAYS TAX BASED ON THE  FIXED
 DOLLAR  MINIMUM 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.  PROVIDED,  HOWEVER,  THE  PROVISIONS  OF
 SUBSECTION (C) OF SECTION ONE  THOUSAND  EIGHTY-EIGHT  OF  THIS  CHAPTER
 NOTWITHSTANDING, NO INTEREST WILL BE PAID THEREON.
   §  6. Section 606 of the tax law is amended by adding a new subsection
 (nnn) to read as follows:
   (NNN) ADDITIONAL RESTAURANT RETURN-TO-WORK TAX CREDIT.  (1)  ALLOWANCE
 OF  CREDIT.  A  TAXPAYER  SHALL  BE  ALLOWED A CREDIT, TO BE COMPUTED AS
 PROVIDED IN SECTION FORTY-SIX-A OF THIS CHAPTER, AGAINST THE TAX IMPOSED
 BY THIS ARTICLE.
 S. 8009--C                         75                         A. 9009--C
 
   (2) APPLICATION OF CREDIT. IF THE AMOUNT OF THE CREDIT  ALLOWED  UNDER
 THIS SUBSECTION FOR THE TAXABLE YEAR EXCEEDS THE TAXPAYER'S TAX FOR SUCH
 YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDIT-
 ED  OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX HUNDRED
 EIGHTY-SIX  OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST WILL BE
 PAID THEREON.
   § 7. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
 of  the  tax  law  is  amended  by adding a new clause (xlix) to read as
 follows:
 (XLIX) ADDITIONAL RESTAURANT         AMOUNT OF CREDIT UNDER
 RETURN-TO-WORK CREDIT                SUBDIVISION FIFTY-SIX-A OF
                                      SECTION TWO HUNDRED TEN-B
   § 8. This act shall take effect immediately.
 
                                  PART LL
 
   Section 1. (a) Notwithstanding any provision of law to  the  contrary,
 for  the  duration of the state disaster emergency pursuant to executive
 order 11 of 2021, a taxpayer that  has  required  some  or  all  of  its
 employees  to work remotely as a result of the outbreak of novel corona-
 virus, COVID-19, may designate such remote work as having been performed
 at the location such work was performed prior to the declaration of such
 state disaster emergency for tax benefits that are based on  maintaining
 a  presence  within  the  state  or  within specific areas of the state,
 including but not limited to those provided pursuant to  article  seven-
 teen  of  the economic development law and sections 31 and 39 of the tax
 law.
   (b) Eligible businesses shall be required to  certify,  that  for  the
 entire  period the benefit is claimed, the business continued to operate
 within the state.
   (c) Under no circumstances shall a business be eligible for tax  bene-
 fits based on maintaining a presence within the state or within specific
 areas  of  the state for any time period in which the business moved its
 operations outside of the state.
   § 2. This act shall take effect immediately and  shall  be  deemed  to
 have  been  in  full  force and effect on or after November 26, 2021 and
 shall expire on the date of expiration of the state  disaster  emergency
 pursuant  to  executive order 11 of 2021 or December 31, 2022, whichever
 is sooner; provided that the commissioner of taxation and finance  shall
 notify  the  legislative bill drafting commission upon the occurrence of
 the expiration of the state disaster  emergency  pursuant  to  executive
 order  11 of 2021, as amended, in order that the commission may maintain
 an accurate and timely effective data base of the official text  of  the
 laws  of  the  state  of  New  York  in  furtherance of effectuating the
 provisions of section 44 of the legislative law and section 70-b of  the
 public officers law.
 
                                  PART MM
 
   Section 1. This act enacts into law components of legislation relating
 to  pass-through entity tax. Each component is wholly contained within a
 Subpart identified as Subparts A and B.  The  effective  date  for  each
 particular  provision  contained within such Subpart is set forth in the
 last section of such Subpart. Any provision  in  any  section  contained
 within  a  Subpart,  including  the effective date of the Subpart, which
 makes a reference to a section "of this act", when  used  in  connection
 S. 8009--C                         76                         A. 9009--C
 
 with that particular component, shall be deemed to mean and refer to the
 corresponding  section  of the Subpart in which it is found. Section two
 of this act sets forth the general effective date of this act.
 
                                 SUBPART A
 
   Section  1.  Subsection (d) of section 860 of the tax law, as added by
 section 1 of part C of chapter 59 of the laws of 2021,  is  amended  and
 two new subsections (j) and (k) are added to read as follows:
   (d)  Electing S corporation. Electing S corporation means any eligible
 S corporation that made a valid, timely  election  pursuant  to  section
 eight hundred sixty-one of this article THAT IS EITHER AN ELECTING RESI-
 DENT S CORPORATION OR ELECTING STANDARD S CORPORATION.
   (J)  ELECTING  RESIDENT S CORPORATION.   AN ELECTING RESIDENT S CORPO-
 RATION IS AN ELECTING S CORPORATION THAT CERTIFIES AT THE  TIME  OF  ITS
 ELECTION  THAT  ALL  OF  ITS  SHAREHOLDERS ARE RESIDENTS OF NEW YORK FOR
 PURPOSES OF ARTICLE TWENTY-TWO OF THIS CHAPTER.
   (K) ELECTING STANDARD S CORPORATION. AN  ELECTING  STANDARD  S  CORPO-
 RATION  IS  AN ELECTING S CORPORATION THAT IS NOT AN ELECTING RESIDENT S
 CORPORATION.
   § 2. Paragraph 2 of subsection (h) of section 860 of the tax  law,  as
 added  by  section  1  of  part  C of chapter 59 of the laws of 2021, is
 amended and a new paragraph 3 is added to read as follows:
   (2) In the case of an electing STANDARD  S  corporation,  the  sum  of
 [(i)]  all  items  of  income,  gain, loss, or deduction derived from or
 connected with New York sources to the extent  they  would  be  included
 under  paragraph two of subsection (a) of section six hundred thirty-two
 of this chapter in the taxable income of a shareholder  subject  to  tax
 under article twenty-two of this chapter.
   (3)  IN THE CASE OF AN ELECTING RESIDENT S CORPORATION, THE SUM OF ALL
 ITEMS OF INCOME, GAIN,  LOSS,  OR  DEDUCTION  TO  THE  EXTENT  THEY  ARE
 INCLUDED  IN  THE  TAXABLE  INCOME OF A SHAREHOLDER SUBJECT TO TAX UNDER
 ARTICLE TWENTY-TWO OF THIS CHAPTER.
   § 3. Subsection (c) of section 861 of the tax law, as added by section
 1 of part C of chapter 59 of the laws of 2021,  is  amended  and  a  new
 subsection (d) is added to read as follows:
   (c)  The  annual  election  must  be made by the due date of the first
 estimated payment under section eight hundred sixty-four of this  [chap-
 ter] ARTICLE and will take effect for the current taxable year. Only one
 election  may  be made during each calendar year. An election made under
 this section is irrevocable AS OF THE DUE DATE.
   (D) SPECIAL RULES FOR ELECTING S CORPORATIONS.    (1)  AN  ELECTING  S
 CORPORATION MUST CERTIFY AT THE TIME OF ITS ELECTION THAT ALL SHAREHOLD-
 ERS ARE RESIDENTS OF NEW YORK FOR PURPOSES OF ARTICLE TWENTY-TWO OF THIS
 CHAPTER TO BE CONSIDERED AN ELECTING RESIDENT S CORPORATION.
   (2)  IF  AN ELECTING S CORPORATION DOES NOT MAKE A CERTIFICATION UNDER
 PARAGRAPH ONE OF THIS SUBSECTION AT THE TIME OF ITS ELECTION, THE ELECT-
 ING S CORPORATION IS AUTOMATICALLY TREATED AS  AN  ELECTING  STANDARD  S
 CORPORATION.
   (3) IF AN ELECTING S CORPORATION MAKES A CERTIFICATION UNDER PARAGRAPH
 ONE  OF  THIS  SUBSECTION TO BE AN ELECTING RESIDENT S CORPORATION, THIS
 CERTIFICATION IS IRREVOCABLE AS OF THE DUE DATE OF THE ELECTION.
   § 4. Subsection (h) of section 865 of the tax law, as added by section
 1 of part C of chapter 59 of the laws of 2021, is  amended  to  read  as
 follows:
 S. 8009--C                         77                         A. 9009--C
 
   (h)  Information provided to shareholders. Each electing S corporation
 subject to tax under this article shall report to each shareholder its:
   (1)  direct share of the pass-through entity tax imposed on the elect-
 ing S corporation; [and]
   (2) THE ELECTING S CORPORATION'S STATUS  AS  AN  ELECTING  RESIDENT  S
 CORPORATION OR ELECTING STANDARD S CORPORATION; AND
   (3) any other information as required by the commissioner.
   §  5.  Paragraph 3 of subsection (b) of section 612 of the tax law, as
 amended by chapter 166 of the laws of 1991, subparagraph (B) as  amended
 by section 70 of part A of chapter 59 of the laws of 2014, is amended to
 read as follows:
   (3)  Income  taxes. (A) General. Income taxes imposed by this state or
 any other taxing jurisdiction, to the extent deductible  in  determining
 federal  adjusted  gross  income and not credited against federal income
 tax.
   (B) Shareholders of S corporations. In the case of a shareholder of an
 S corporation, with respect to taxes imposed  upon  or  payable  by  the
 corporation,  the  term "income taxes" in subparagraph (A) of this para-
 graph shall also include the taxes imposed under article nine-A of  this
 chapter, regardless of the measure of such tax[, but shall not otherwise
 include  taxes  imposed by this or any other state of the United States,
 or any political subdivision of this or any other state, or the District
 of Columbia].
   (C) PASS-THROUGH ENTITY TAX DEDUCTION. (I) IN THE CASE OF  A  PARTNER,
 MEMBER  OR  SHAREHOLDER  OF AN ELECTING PARTNERSHIP OR ELECTING S CORPO-
 RATION, THE TERM "INCOME TAXES" IN SUBPARAGRAPH (A)  OF  THIS  PARAGRAPH
 SHALL  NOT INCLUDE THE TAXES IMPOSED UNDER ARTICLE TWENTY-FOUR-A OF THIS
 CHAPTER TO THE EXTENT SUCH TAXES ARE ADDED  TO  FEDERAL  ADJUSTED  GROSS
 INCOME   UNDER   SUBPARAGRAPH  (A)  OF  PARAGRAPH  FORTY-THREE  OF  THIS
 SUBSECTION OR THE TAXES IMPOSED  UNDER  ARTICLE  TWENTY-FOUR-B  OF  THIS
 CHAPTER TO THE EXTENT SUCH TAXES ARE ADDED TO THE FEDERAL ADJUSTED GROSS
 INCOME UNDER PARAGRAPH FORTY-THREE-A OF THIS SUBSECTION.
   (II)  IN THE CASE OF A PARTNER, MEMBER OR SHAREHOLDER OF A PARTNERSHIP
 OR S CORPORATION, THE TERM "INCOME TAXES" IN SUBPARAGRAPH  (A)  OF  THIS
 PARAGRAPH  SHALL  NOT  INCLUDE  PASS-THROUGH  ENTITY TAXES SUBSTANTIALLY
 SIMILAR TO THE TAX IMPOSED PURSUANT TO  ARTICLE  TWENTY-FOUR-A  OF  THIS
 CHAPTER  IMPOSED  BY  ANOTHER  STATE  OF  THE UNITED STATES, A POLITICAL
 SUBDIVISION OF SUCH STATE, OR THE DISTRICT OF COLUMBIA UPON INCOME  BOTH
 DERIVED  THEREFROM  AND  SUBJECT TO TAX UNDER THIS ARTICLE TO THE EXTENT
 SUCH TAXES ARE ADDED TO FEDERAL ADJUSTED GROSS INCOME UNDER SUBPARAGRAPH
 (B) OF PARAGRAPH FORTY-THREE OF THIS SUBSECTION.
   § 6. (a) Notwithstanding section 861  of  the  tax  law  as  added  by
 section  1  of  part  C of chapter 59 of the laws of 2021 and amended by
 section three of this act, the certification to be taxed as an  electing
 resident  S corporation for the taxable year 2022, must be made by March
 15, 2023 in a manner prescribed by the commissioner.
   (b) Further for the taxable year 2022, notwithstanding section 864  of
 the  tax  law, as added by section 1 of part C of chapter 59 of the laws
 of 2021, an electing resident S corporation shall be  required  to  make
 estimated  tax payments on March fifteenth and June fifteenth represent-
 ing twenty-five percent of the required annual payment as if such elect-
 ing resident S corporation  was  an  electing  standard  S  corporation.
 However,  all  electing  resident S corporations shall be required as of
 September 15, 2022 to have paid seventy-five  percent  of  the  required
 annual payment.
 S. 8009--C                         78                         A. 9009--C
 
   §  7.  This  act  shall take effect immediately and shall apply to all
 taxable years beginning on or after January 1, 2022; provided,  however,
 that  section five of this act shall apply to taxable years beginning on
 or after January 1, 2021.
 
                                 SUBPART B
 
   Section 1. The tax law is amended by adding a new article 24-B to read
 as follows:
                               ARTICLE 24-B
                       CITY PASS-THROUGH ENTITY TAX
 SECTION 867. DEFINITIONS.
         868. CITY PASS-THROUGH ENTITY TAX ELECTION.
         869. IMPOSITION AND RATE OF TAX.
         870. CITY PASS-THROUGH ENTITY TAX CREDIT.
         871. PAYMENT OF ESTIMATED TAX.
         872. FILING OF RETURN AND PAYMENT OF TAX.
         873. PROCEDURAL AND ADMINISTRATIVE PROVISIONS.
   § 867. DEFINITIONS. FOR PURPOSES OF THIS ARTICLE:
   (A)  CITY  PASS-THROUGH ENTITY TAX. CITY PASS-THROUGH ENTITY TAX MEANS
 THE TOTAL TAX IMPOSED BY THIS ARTICLE ON AN ELECTING CITY PARTNERSHIP OR
 AN ELECTING CITY RESIDENT S CORPORATION.
   (B) CITY PASS-THROUGH ENTITY TAXABLE INCOME. CITY PASS-THROUGH  ENTITY
 TAXABLE INCOME MEANS:
   (1)  IN THE CASE OF AN ELECTING CITY PARTNERSHIP, THE SUM OF ALL ITEMS
 OF INCOME, GAIN, LOSS, OR DEDUCTION TO THE EXTENT THEY ARE  INCLUDED  IN
 THE  CITY  TAXABLE  INCOME  OF  A PARTNER OR MEMBER OF THE ELECTING CITY
 PARTNERSHIP WHO IS A CITY TAXPAYER.
   (2) IN THE CASE OF AN ELECTING CITY RESIDENT S CORPORATION, THE SUM OF
 ALL ITEMS OF INCOME, GAIN, LOSS, OR DEDUCTION TO THE EXTENT  THEY  WOULD
 BE  INCLUDED IN THE CITY TAXABLE INCOME OF A SHAREHOLDER OF THE ELECTING
 CITY RESIDENT S CORPORATION WHO IS A CITY TAXPAYER.
   (C) CITY RESIDENT INDIVIDUAL. CITY RESIDENT INDIVIDUAL  HAS  THE  SAME
 MEANING  AS  THAT  TERM IS DEFINED IN SUBSECTION (A) OF SECTION THIRTEEN
 HUNDRED FIVE OF THIS CHAPTER.
   (D) CITY TAXABLE INCOME. CITY TAXABLE INCOME HAS THE SAME  MEANING  AS
 THAT TERM IS DEFINED IN SECTION THIRTEEN HUNDRED THREE OF THIS CHAPTER.
   (E)  CITY  TAXPAYER.  A CITY TAXPAYER MEANS A CITY RESIDENT INDIVIDUAL
 SUBJECT TO THE TAX IMPOSED PURSUANT TO THE AUTHORITY OF  ARTICLE  THIRTY
 OF THIS CHAPTER.
   (F) DIRECT SHARE OF CITY PASS-THROUGH ENTITY TAX. DIRECT SHARE OF CITY
 PASS-THROUGH  ENTITY  TAX  MEANS THE PORTION OF CITY PASS-THROUGH ENTITY
 TAX CALCULATED ON CITY PASS-THROUGH ENTITY  TAXABLE  INCOME  OF  A  CITY
 TAXPAYER  WHO IS A PARTNER OR MEMBER OF THE ELECTING CITY PARTNERSHIP OR
 A CITY TAXPAYER WHO IS A SHAREHOLDER OF THE  ELECTING  CITY  RESIDENT  S
 CORPORATION.
   (G)  ELECTING  CITY  PARTNERSHIP.  ELECTING CITY PARTNERSHIP MEANS ANY
 ELIGIBLE PARTNERSHIP THAT MADE A  VALID,  TIMELY  ELECTION  PURSUANT  TO
 SECTION EIGHT HUNDRED SIXTY-EIGHT OF THIS ARTICLE.
   (H)  ELECTING  CITY  RESIDENT  S CORPORATION. ELECTING CITY RESIDENT S
 CORPORATION MEANS ANY ELIGIBLE RESIDENT S CORPORATION THAT MADE A VALID,
 TIMELY ELECTION PURSUANT TO SECTION EIGHT HUNDRED  SIXTY-EIGHT  OF  THIS
 ARTICLE.
   (I)  ELIGIBLE  CITY  PARTNERSHIP.  ELIGIBLE CITY PARTNERSHIP MEANS ANY
 PARTNERSHIP AS PROVIDED FOR IN SECTION 7701(A)(2) OF THE INTERNAL REVEN-
 UE CODE THAT HAS A FILING REQUIREMENT UNDER PARAGRAPH ONE OF  SUBSECTION
 S. 8009--C                         79                         A. 9009--C
 
 (C)  OF  SECTION  SIX  HUNDRED  FIFTY-EIGHT OF THIS CHAPTER OTHER THAN A
 PUBLICLY TRADED PARTNERSHIP AS DEFINED IN SECTION 7704 OF  THE  INTERNAL
 REVENUE  CODE,  WHERE  AT LEAST ONE PARTNER OR MEMBER IS A CITY RESIDENT
 INDIVIDUAL.  AN ELIGIBLE CITY PARTNERSHIP INCLUDES ANY ENTITY, INCLUDING
 A LIMITED LIABILITY COMPANY, TREATED AS A PARTNERSHIP FOR FEDERAL INCOME
 TAX PURPOSES THAT OTHERWISE MEETS THE REQUIREMENTS OF THIS SUBSECTION.
   (J)  ELIGIBLE  CITY  RESIDENT  S CORPORATION. ELIGIBLE CITY RESIDENT S
 CORPORATION MEANS ANY NEW YORK S  CORPORATION  AS  DEFINED  PURSUANT  TO
 SUBDIVISION  ONE-A  OF SECTION TWO HUNDRED EIGHT OF THIS CHAPTER THAT IS
 SUBJECT TO TAX UNDER SECTION TWO HUNDRED NINE OF THIS CHAPTER  THAT  HAS
 ONLY  CITY RESIDENT INDIVIDUAL SHAREHOLDERS. AN ELIGIBLE CITY RESIDENT S
 CORPORATION INCLUDES ANY ENTITY, INCLUDING A LIMITED LIABILITY  COMPANY,
 TREATED  AS AN S CORPORATION FOR FEDERAL INCOME TAX PURPOSES THAT OTHER-
 WISE MEETS THE REQUIREMENTS OF THIS SUBSECTION.
   (K) TAXABLE YEAR. AN ELECTING  CITY  PARTNERSHIP'S  OR  ELECTING  CITY
 RESIDENT  S CORPORATION'S TAXABLE YEAR PURSUANT TO THIS ARTICLE SHALL BE
 THE SAME AS THE ELECTING CITY PARTNERSHIP'S OR ELECTING CITY RESIDENT  S
 CORPORATION'S TAXABLE YEAR FOR FEDERAL INCOME TAX PURPOSES.
   §  868.  CITY  PASS-THROUGH ENTITY TAX ELECTION. (A) ANY ELIGIBLE CITY
 PARTNERSHIP THAT MAKES THE ANNUAL ELECTION TO BE TAXED PURSUANT TO ARTI-
 CLE TWENTY-FOUR-A OF THIS  CHAPTER  IN  ACCORDANCE  WITH  SECTION  EIGHT
 HUNDRED SIXTY-ONE OF THIS CHAPTER OR ANY ELIGIBLE CITY RESIDENT S CORPO-
 RATION  THAT  MAKES  THE ANNUAL ELECTION TO BE TAXED PURSUANT TO ARTICLE
 TWENTY-FOUR-A OF THIS CHAPTER AS AN ELECTING RESIDENT S  CORPORATION  IN
 ACCORDANCE WITH SECTION EIGHT HUNDRED SIXTY-ONE OF THIS CHAPTER MAY MAKE
 AN  ANNUAL  ELECTION  TO  BE TAXED PURSUANT TO THIS ARTICLE FOR THE SAME
 TAXABLE YEAR FOR WHICH SUCH ELIGIBLE CITY PARTNERSHIP OR  ELIGIBLE  CITY
 RESIDENT  S  CORPORATION  HAS  MADE  AN ELECTION TO BE TAXED PURSUANT TO
 ARTICLE TWENTY-FOUR-A OF THIS CHAPTER. THE ELECTION TO BE TAXED PURSUANT
 TO THIS ARTICLE MUST BE MADE BY THE DUE DATE AS SPECIFIED IN  SUBSECTION
 (C)  OF  SECTION EIGHT HUNDRED SIXTY-ONE OF THIS CHAPTER AND IN THE SAME
 MANNER AS THE ELECTION TO BE TAXED PURSUANT TO ARTICLE TWENTY-FOUR-A  OF
 THIS CHAPTER.
   (B) IN ORDER TO BE EFFECTIVE, THE ANNUAL ELECTION TO BE TAXED PURSUANT
 TO THIS ARTICLE MUST BE MADE BY A CITY TAXPAYER AND (1) IF THE ENTITY IS
 AN S CORPORATION, BY ANY OFFICER, MANAGER OR SHAREHOLDER OF THE S CORPO-
 RATION  WHO  IS  AUTHORIZED  UNDER THE LAW OF THE STATE WHERE THE CORPO-
 RATION IS INCORPORATED OR UNDER THE S CORPORATION'S ORGANIZATIONAL DOCU-
 MENTS  TO  MAKE  THE  ELECTION  AND  WHO  REPRESENTS  TO   HAVING   SUCH
 AUTHORIZATION UNDER PENALTY OF PERJURY; OR (2) IF THE ENTITY IS NOT AN S
 CORPORATION,  BY  ANY  MEMBER,  PARTNER, OWNER, OR OTHER INDIVIDUAL WITH
 AUTHORITY TO BIND THE ENTITY OR SIGN RETURNS  PURSUANT  TO  SECTION  SIX
 HUNDRED FIFTY-THREE OF THIS CHAPTER.
   (C)  THE  ANNUAL ELECTION TO BE TAXED PURSUANT TO THIS ARTICLE MUST BE
 MADE BY THE DUE DATE OF THE FIRST ESTIMATED PAYMENT UNDER SECTION  EIGHT
 HUNDRED  SIXTY-FOUR OF THIS CHAPTER AND WILL TAKE EFFECT FOR THE CURRENT
 TAXABLE YEAR. ONLY ONE ELECTION TO BE TAXED PURSUANT TO THIS ARTICLE MAY
 BE MADE DURING EACH CALENDAR YEAR. AN ELECTION MADE UNDER  THIS  SECTION
 IS IRREVOCABLE AS OF SUCH DUE DATE. TO THE EXTENT AN ELECTION MADE UNDER
 SECTION  EIGHT HUNDRED SIXTY-ONE OF THIS CHAPTER IS REVOKED OR OTHERWISE
 INVALIDATED AN ELECTION MADE UNDER THIS SECTION IS AUTOMATICALLY INVALI-
 DATED.
   § 869. IMPOSITION AND RATE OF TAX. A TAX IS HEREBY  IMPOSED  FOR  EACH
 TAXABLE  YEAR  ON  THE  CITY PASS-THROUGH ENTITY TAXABLE INCOME OF EVERY
 ELECTING CITY PARTNERSHIP AND EVERY  ELECTING  CITY  RESIDENT  S  CORPO-
 RATION.    THIS  TAX  SHALL BE IN ADDITION TO ANY OTHER TAXES IMPOSED ON
 S. 8009--C                         80                         A. 9009--C
 
 SUCH PARTNERSHIP OR SUCH S CORPORATION. FOR EACH TAXABLE YEAR  BEGINNING
 ON  OR  AFTER  JANUARY  FIRST,  TWO THOUSAND TWENTY-TWO, THE RATE OF TAX
 SHALL BE 3.876 PERCENT OF CITY PASS-THROUGH ENTITY TAXABLE INCOME.
   §  870.  CITY  PASS-THROUGH ENTITY TAX CREDIT. (A) PERSONAL INCOME TAX
 CREDIT. (1) A CITY TAXPAYER WHO IS A DIRECT  PARTNER  OR  MEMBER  IN  AN
 ELECTING  CITY  PARTNERSHIP  OR A DIRECT SHAREHOLDER OF AN ELECTING CITY
 RESIDENT S CORPORATION SUBJECT  TO  TAX  UNDER  THIS  ARTICLE  SHALL  BE
 ALLOWED  A  CREDIT  AGAINST THE TAX IMPOSED PURSUANT TO THE AUTHORITY OF
 ARTICLE THIRTY OF THIS CHAPTER, COMPUTED PURSUANT TO THE  PROVISIONS  OF
 SUBSECTION (G) OF SECTION THIRTEEN HUNDRED TEN OF THIS CHAPTER. AN ENTI-
 TY THAT IS DISREGARDED FOR TAX PURPOSES WILL BE DISREGARDED FOR PURPOSES
 OF  DETERMINING  IF  A CITY TAXPAYER IS A DIRECT PARTNER OR MEMBER OF AN
 ELECTING CITY PARTNERSHIP OR A DIRECT SHAREHOLDER OF  AN  ELECTING  CITY
 RESIDENT S CORPORATION.
   (2) LIMITATION ON CREDIT. NO CREDIT SHALL BE ALLOWED TO A CITY TAXPAY-
 ER UNDER PARAGRAPH ONE OF THIS SUBSECTION UNLESS THE ELECTING CITY PART-
 NERSHIP  OR  ELECTING  CITY  RESIDENT S CORPORATION PAID THE TAX IMPOSED
 UNDER THIS ARTICLE AND PROVIDED SUFFICIENT INFORMATION ON THE CITY PASS-
 THROUGH ENTITY TAX RETURN AS PRESCRIBED BY THE COMMISSIONER TO  IDENTIFY
 SUCH  CITY  TAXPAYER. SUCH INFORMATION SHALL INCLUDE, BUT NOT BE LIMITED
 TO, THE SOCIAL SECURITY NUMBER OR TAXPAYER IDENTIFICATION NUMBER OF  THE
 CITY  TAXPAYER  WHO  WILL CLAIM THE CREDIT (EVEN IN THE CASE OF A DISRE-
 GARDED ENTITY OWNED BY SUCH CITY TAXPAYER).
   (B) LIMITATION ON CREDIT. THE AGGREGATE AMOUNT OF CREDITS  CLAIMED  BY
 ALL PARTNERS, MEMBERS OR SHAREHOLDERS OF AN ELECTING CITY PARTNERSHIP OR
 AN  ELECTING  CITY  RESIDENT S CORPORATION PURSUANT TO SUBSECTION (A) OF
 THIS SECTION SHALL NOT EXCEED THE TAX DUE UNDER  SECTION  EIGHT  HUNDRED
 SIXTY-NINE OF THIS ARTICLE FROM SUCH ELECTING CITY PARTNERSHIP OR ELECT-
 ING CITY RESIDENT S CORPORATION FOR THE TAXABLE YEAR.
   §  871.  PAYMENT  OF  ESTIMATED  TAX. (A) DEFINITION OF ESTIMATED TAX.
 ESTIMATED TAX MEANS THE AMOUNT THAT  AN  ELECTING  CITY  PARTNERSHIP  OR
 ELECTING  CITY RESIDENT S CORPORATION ESTIMATES TO BE THE TAX IMPOSED BY
 SECTION EIGHT HUNDRED SIXTY-NINE OF THIS ARTICLE FOR THE CURRENT TAXABLE
 YEAR.
   (B) GENERAL. EXCEPT AS PROVIDED IN SUBSECTION (C) OF THIS SECTION, THE
 ESTIMATED TAX SHALL BE PAID AS FOLLOWS FOR AN ELECTING CITY  PARTNERSHIP
 AND AN ELECTING CITY RESIDENT S CORPORATION:
   (1)  THE  ESTIMATED  TAX  SHALL  BE PAID IN FOUR EQUAL INSTALLMENTS ON
 MARCH  FIFTEENTH,  JUNE  FIFTEENTH,  SEPTEMBER  FIFTEENTH  AND  DECEMBER
 FIFTEENTH  IN  THE CALENDAR YEAR PRIOR TO THE YEAR IN WHICH THE DUE DATE
 OF THE RETURN REQUIRED BY THIS ARTICLE FALLS.
   (2) THE AMOUNT  OF  ANY  REQUIRED  INSTALLMENT  SHALL  BE  TWENTY-FIVE
 PERCENT OF THE REQUIRED ANNUAL PAYMENT.
   (3)  THE  REQUIRED ANNUAL PAYMENT IS THE LESSER OF: (A) NINETY PERCENT
 OF THE TAX SHOWN ON THE RETURN FOR THE TAXABLE YEAR; OR (B) ONE  HUNDRED
 PERCENT  OF THE TAX SHOWN ON THE RETURN OF THE ELECTING CITY PARTNERSHIP
 OR ELECTING CITY RESIDENT S CORPORATION FOR THE PRECEDING TAXABLE YEAR.
   (C) APPLICATION TO SHORT TAXABLE YEAR. THIS SECTION SHALL APPLY  TO  A
 TAXABLE  YEAR  OF  LESS THAN TWELVE MONTHS IN ACCORDANCE WITH PROCEDURES
 ESTABLISHED BY THE COMMISSIONER.
   (D) INSTALLMENTS PAID IN ADVANCE.  AN  ELECTING  CITY  PARTNERSHIP  OR
 ELECTING CITY RESIDENT S CORPORATION MAY ELECT TO PAY ANY INSTALLMENT OF
 ITS ESTIMATED TAX PRIOR TO THE DATE PRESCRIBED FOR THE PAYMENT THEREOF.
   §  872. FILING OF RETURN AND PAYMENT OF TAX. (A) GENERAL. ON OR BEFORE
 MARCH FIFTEENTH FOLLOWING THE CLOSE OF THE TAXABLE YEAR,  EACH  ELECTING
 CITY PARTNERSHIP AND EACH ELECTING CITY RESIDENT S CORPORATION MUST FILE
 S. 8009--C                         81                         A. 9009--C
 
 A  RETURN FOR THE TAXABLE YEAR REPORTING THE INFORMATION REQUIRED PURSU-
 ANT TO THIS ARTICLE. FOR EACH ELECTING CITY PARTNERSHIP AND EACH  ELECT-
 ING  CITY  RESIDENT  S  CORPORATION  THAT HAS A FISCAL TAXABLE YEAR, THE
 RETURN  IS  DUE  ON OR BEFORE MARCH FIFTEENTH FOLLOWING THE CLOSE OF THE
 CALENDAR YEAR THAT CONTAINS THE FINAL DAY OF THE ELECTING CITY  PARTNER-
 SHIP'S OR ELECTING CITY RESIDENT S CORPORATION'S TAXABLE YEAR.
   (B)  CERTIFICATION  OF  ELIGIBILITY.  EVERY  RETURN  FILED PURSUANT TO
 SUBSECTION (A) OF THIS SECTION SHALL INCLUDE, IN A FORMAT AS  PRESCRIBED
 BY  THE COMMISSIONER, A CERTIFICATION BY AN INDIVIDUAL AUTHORIZED TO ACT
 ON BEHALF OF THE ELECTING CITY PARTNERSHIP OR ELECTING CITY  RESIDENT  S
 CORPORATION  THAT  SUCH ELECTING CITY PARTNERSHIP OR ELECTING CITY RESI-
 DENT S CORPORATION:
   (1) MADE A TIMELY, VALID ELECTION TO BE SUBJECT  TO  TAX  PURSUANT  TO
 THIS ARTICLE; AND
   (2) THAT ALL STATEMENTS CONTAINED THEREIN ARE TRUE.
   (C) INFORMATION ON THE ELECTING CITY PARTNERSHIP RETURN. EACH ELECTING
 CITY PARTNERSHIP SHALL REPORT ON SUCH RETURN:
   (1) ANY TAX DUE PURSUANT TO THIS ARTICLE. THE BALANCE OF ANY TAX SHOWN
 ON  SUCH  RETURN,  NOT PREVIOUSLY PAID AS INSTALLMENTS OF ESTIMATED TAX,
 SHALL BE PAID WITH SUCH RETURN;
   (2) IDENTIFYING INFORMATION OF ALL PARTNERS  AND/OR  MEMBERS  WHO  ARE
 CITY  TAXPAYERS  AND  ELIGIBLE  TO  RECEIVE A CREDIT PURSUANT TO SECTION
 EIGHT HUNDRED SEVENTY OF THIS ARTICLE;
   (3) EACH PARTNER'S AND/OR MEMBER'S DIRECT  SHARE  OF  THE  CITY  PASS-
 THROUGH ENTITY TAX IMPOSED ON THE ELECTING CITY PARTNERSHIP;
   (4)  EACH  PARTNER'S  AND/OR  MEMBER'S  DISTRIBUTIVE SHARE OF THE CITY
 PASS-THROUGH ENTITY TAXABLE INCOME CALCULATED PURSUANT TO PARAGRAPH  ONE
 OF SUBSECTION (B) OF SECTION EIGHT HUNDRED SIXTY-SEVEN OF THIS ARTICLE;
   (5)  THE  CLASSIFICATION, AS APPLICABLE, OF EACH PARTNER AND/OR MEMBER
 AS A CITY RESIDENT INDIVIDUAL FOR PURPOSES OF CALCULATING  THE  ELECTING
 CITY PARTNERSHIP'S CITY PASS-THROUGH ENTITY TAXABLE INCOME; AND
   (6) ANY OTHER INFORMATION AS REQUIRED BY THE COMMISSIONER.
   (D)  INFORMATION  ON ELECTING CITY RESIDENT S CORPORATION RETURN. EACH
 ELECTING CITY RESIDENT S CORPORATION SHALL REPORT ON SUCH RETURN:
   (1) ANY TAX DUE PURSUANT TO THIS ARTICLE. THE BALANCE OF ANY TAX SHOWN
 ON SUCH RETURN, NOT PREVIOUSLY PAID AS INSTALLMENTS  OF  ESTIMATED  TAX,
 SHALL BE PAID WITH SUCH RETURN;
   (2) IDENTIFYING INFORMATION OF ALL SHAREHOLDERS WHO ARE CITY TAXPAYERS
 AND  ELIGIBLE  TO  RECEIVE  A  CREDIT  PURSUANT TO SECTION EIGHT HUNDRED
 SEVENTY OF THIS ARTICLE;
   (3) EACH SHAREHOLDER'S DIRECT SHARE OF  THE  PASS-THROUGH  ENTITY  TAX
 IMPOSED ON THE ELECTING CITY RESIDENT S CORPORATION;
   (4)  EACH  SHAREHOLDER'S  DISTRIBUTIVE  SHARE OF THE CITY PASS-THROUGH
 ENTITY TAXABLE INCOME CALCULATED PURSUANT TO PARAGRAPH TWO OF SUBSECTION
 (B) OF SECTION EIGHT HUNDRED SIXTY-SEVEN OF THIS ARTICLE; AND
   (5) ANY OTHER INFORMATION AS REQUIRED BY THE COMMISSIONER.
   (E) SPECIAL RULES FOR PARTNERS,  MEMBERS  AND  SHAREHOLDERS  THAT  ARE
 DISREGARDED  ENTITIES.  TO  MEET  THE  REQUIREMENTS  OF PARAGRAPH TWO OF
 SUBSECTION (C) OF THIS SECTION FOR AN ELECTING CITY PARTNERSHIP OR PARA-
 GRAPH TWO OF SUBSECTION (D) OF THIS SECTION FOR AN ELECTING  CITY  RESI-
 DENT S CORPORATION, THE ELECTING CITY PARTNERSHIP OR ELECTING CITY RESI-
 DENT  S CORPORATION MUST PROVIDE INFORMATION SUFFICIENT TO IDENTIFY BOTH
 THE DISREGARDED ENTITY THAT IS A PARTNER, MEMBER AND/OR SHAREHOLDER  AND
 THE  CITY TAXPAYER ELIGIBLE FOR A CREDIT UNDER SUBSECTION (A) OF SECTION
 EIGHT HUNDRED SEVENTY OF THIS ARTICLE.
 S. 8009--C                         82                         A. 9009--C
 
   (F) EXTENSIONS AND  AMENDMENTS.  (1)  THE  COMMISSIONER  MAY  GRANT  A
 REASONABLE EXTENSION OF TIME FOR PAYMENT OF TAX OR ESTIMATED TAX (OR ANY
 INSTALLMENT),  OR  FOR  FILING  ANY RETURN, STATEMENT, OR OTHER DOCUMENT
 REQUIRED PURSUANT TO THIS ARTICLE, ON SUCH TERMS AND  CONDITIONS  AS  IT
 MAY REQUIRE. NO SUCH EXTENSION FOR FILING ANY RETURN, STATEMENT OR OTHER
 DOCUMENT, SHALL EXCEED SIX MONTHS.
   (2)  NO  AMENDED  RETURNS. ONCE A RETURN HAS BEEN FILED BY AN ELECTING
 CITY PARTNERSHIP OR ELECTING CITY RESIDENT S CORPORATION, IT MAY NOT  BE
 AMENDED  WITHOUT  THE  CONSENT OF OR OTHERWISE AUTHORIZED BY THE COMMIS-
 SIONER.
   (G) INFORMATION PROVIDED TO PARTNERS. EACH ELECTING  CITY  PARTNERSHIP
 SUBJECT TO TAX UNDER THIS ARTICLE SHALL REPORT TO EACH PARTNER OR MEMBER
 THE FOLLOWING:
   (1)  CLASSIFICATION,  AS APPLICABLE, AS A CITY RESIDENT INDIVIDUAL FOR
 PURPOSES OF CALCULATING  THE  ELECTING  CITY  PARTNERSHIP'S  CITY  PASS-
 THROUGH ENTITY TAXABLE INCOME;
   (2)  DIRECT  SHARE  OF THE CITY PASS-THROUGH ENTITY TAX IMPOSED ON THE
 ELECTING CITY PARTNERSHIP; AND
   (3) ANY OTHER INFORMATION AS REQUIRED BY THE COMMISSIONER.
   (H) INFORMATION PROVIDED TO SHAREHOLDERS. EACH ELECTING CITY  RESIDENT
 S  CORPORATION  SUBJECT  TO  TAX UNDER THIS ARTICLE SHALL REPORT TO EACH
 SHAREHOLDER THE FOLLOWING:
   (1) THE SHAREHOLDER'S DIRECT SHARE  OF  THE  PASS-THROUGH  ENTITY  TAX
 IMPOSED ON THE ELECTING CITY RESIDENT S CORPORATION; AND
   (2) ANY OTHER INFORMATION AS REQUIRED BY THE COMMISSIONER.
   §  873.  PROCEDURAL  AND  ADMINISTRATIVE  PROVISIONS. (A) GENERAL. ALL
 PROVISIONS OF ARTICLE TWENTY-TWO OF  THIS  CHAPTER  WILL  APPLY  TO  THE
 PROVISIONS  OF  THIS  ARTICLE IN THE SAME MANNER AND WITH THE SAME FORCE
 AND EFFECT AS IF THE LANGUAGE OF ARTICLE TWENTY-TWO OF THIS CHAPTER  HAD
 BEEN  INCORPORATED  IN  FULL INTO THIS ARTICLE AND HAD BEEN SPECIFICALLY
 ADJUSTED FOR AND EXPRESSLY REFERRED TO THE TAX IMPOSED BY THIS  ARTICLE,
 EXCEPT  TO  THE  EXTENT THAT ANY PROVISION IS EITHER INCONSISTENT WITH A
 PROVISION OF THIS ARTICLE OR IS NOT RELEVANT TO THIS  ARTICLE.  NOTWITH-
 STANDING  THE PRECEDING SENTENCE, NO CREDIT AUTHORIZED TO OFFSET THE TAX
 IMPOSED PURSUANT TO ARTICLE TWENTY-TWO OF  THIS  CHAPTER  OR  AUTHORIZED
 PURSUANT  TO SECTION THIRTEEN HUNDRED TEN OF THIS CHAPTER CAN BE USED TO
 OFFSET THE TAX DUE PURSUANT TO THIS ARTICLE.
   (B) NOTWITHSTANDING ANY OTHER LAW TO THE  CONTRARY,  THE  COMMISSIONER
 MAY  REQUIRE  THAT  ANY FORM OR RETURN REQUIRED PURSUANT TO THIS ARTICLE
 MUST BE FILED ELECTRONICALLY AND ANY PAYMENT OF TAX MUST BE  PAID  ELEC-
 TRONICALLY.
   (C)  LIABILITY  FOR  TAX. (1) AN ELECTING CITY PARTNERSHIP OR ELECTING
 CITY RESIDENT S CORPORATION SHALL BE LIABLE FOR THE TAX DUE PURSUANT  TO
 THIS ARTICLE.
   (2) EXCEPT AS PROVIDED IN PARAGRAPH THREE OF THIS SUBSECTION, ANY CITY
 TAXPAYER  ELIGIBLE  TO  CLAIM A CREDIT AUTHORIZED PURSUANT TO SUBSECTION
 (G) OF SECTION THIRTEEN HUNDRED TEN OF THIS CHAPTER BECAUSE SUCH TAXPAY-
 ER IS A PARTNER OR MEMBER IN AN ELECTING CITY PARTNERSHIP  OR  A  SHARE-
 HOLDER  IN  AN  ELECTING CITY RESIDENT S CORPORATION, EITHER DIRECTLY OR
 THROUGH A DISREGARDED ENTITY, SHALL BE SEVERALLY LIABLE FOR SUCH TAXPAY-
 ER'S DIRECT SHARE OF CITY PASS-THROUGH ENTITY TAX TO THE EXTENT THE  TAX
 DUE  PURSUANT  TO THIS ARTICLE IS NOT PAID BY THE ELECTING CITY PARTNER-
 SHIP OR ELECTING CITY RESIDENT S CORPORATION.
   (3) ANY CITY TAXPAYER ELIGIBLE TO CLAIM A CREDIT  AUTHORIZED  PURSUANT
 TO  SUBSECTION  (G)  OF  SECTION  THIRTEEN  HUNDRED  TEN OF THIS CHAPTER
 BECAUSE SUCH TAXPAYER IS A PARTNER OR MEMBER IN AN ELECTING  CITY  PART-
 S. 8009--C                         83                         A. 9009--C
 
 NERSHIP  OR  A  SHAREHOLDER  IN AN ELECTING CITY RESIDENT S CORPORATION,
 EITHER DIRECTLY OR THROUGH A DISREGARDED  ENTITY,  THAT  IS  A  GENERAL,
 MANAGING  OR  CONTROLLING  PARTNER  OF  THE ELECTING CITY PARTNERSHIP OR
 MANAGING  OR  CONTROLLING  SHAREHOLDER  OF  THE ELECTING CITY RESIDENT S
 CORPORATION, OR OWNS GREATER THAN FIFTY  PERCENT  OF  THE  INTERESTS  OR
 PROFITS  OF  THE  ELECTING  CITY PARTNERSHIP OR ELECTING CITY RESIDENT S
 CORPORATION, OR IS UNDER A DUTY TO ACT FOR THE ELECTING CITY PARTNERSHIP
 OR ELECTING CITY RESIDENT S CORPORATION IN COMPLYING WITH THE PROVISIONS
 OF THIS ARTICLE, OR WAS THE INDIVIDUAL THAT MADE THE ELECTION ON  BEHALF
 OF THE ELECTING CITY PARTNERSHIP OR ELECTING CITY RESIDENT S CORPORATION
 AUTHORIZED  BY  SECTION EIGHT HUNDRED SIXTY-EIGHT OF THIS ARTICLE, SHALL
 BE JOINTLY AND SEVERALLY LIABLE FOR THE TAX  IMPOSED  PURSUANT  TO  THIS
 ARTICLE  ON  SUCH  ELECTING CITY PARTNERSHIP OR ELECTING CITY RESIDENT S
 CORPORATION.
   (D) DEPOSIT AND DISPOSITION OF REVENUE. ALL  TAXES,  INTEREST,  PENAL-
 TIES,  AND  FEES  COLLECTED  OR RECEIVED BY THE COMMISSIONER PURSUANT TO
 THIS ARTICLE SHALL BE DEPOSITED AND DISPOSED OF IN THE MANNER SET  FORTH
 BY  ARTICLE  THIRTY  OF  THIS CHAPTER FOR TAXES IMPOSED PURSUANT TO SUCH
 ARTICLE, INCLUDING BUT NOT LIMITED TO PROVISIONS OF SUCH ARTICLE  RELAT-
 ING TO PAYMENTS TO THE NEW YORK CITY TRANSITIONAL FINANCE AUTHORITY.
   (E) SECRECY PROVISION. ALL THE PROVISIONS OF PARAGRAPHS ONE AND TWO OF
 SUBSECTION  (E) OF SECTION SIX HUNDRED NINETY-SEVEN OF THIS CHAPTER WILL
 APPLY TO THE PROVISIONS OF THIS ARTICLE. NOTWITHSTANDING ANY  PROVISIONS
 OF  THIS CHAPTER TO THE CONTRARY, THE COMMISSIONER MAY DISCLOSE INFORMA-
 TION AND RETURNS REGARDING  THE  CALCULATION  AND  PAYMENT  OF  THE  TAX
 IMPOSED BY THIS ARTICLE AND ANY CREDIT CALCULATED ON TAXES PAID PURSUANT
 TO  THIS  ARTICLE  BY  AN  ELECTING CITY PARTNERSHIP OR AN ELECTING CITY
 RESIDENT S CORPORATION TO A PARTNER, MEMBER OR SHAREHOLDER OF SUCH ENTI-
 TY THAT IS ELIGIBLE FOR OR CLAIMS TO BE  ELIGIBLE  FOR  A  CREDIT  UNDER
 SUBSECTION (A) OF SECTION EIGHT HUNDRED SEVENTY OF THIS ARTICLE.
   (F)  THE  COMPTROLLER  SHALL  RETAIN  IN  THE COMPTROLLER'S HANDS SUCH
 AMOUNT AS THE  COMMISSIONER  MAY  DETERMINE  NECESSARY  FOR  REFUNDS  IN
 RESPECT  TO THE TAXES IMPOSED PURSUANT TO THE AUTHORITY OF THIS ARTICLE,
 OUT OF WHICH THE COMPTROLLER SHALL PAY ANY  REFUNDS  OF  SUCH  TAXES  TO
 WHICH  TAXPAYERS SHALL BE ENTITLED UNDER ANY LAW ENACTED PURSUANT TO THE
 AUTHORITY OF THIS ARTICLE.
   § 2. Subsection (b) of section 612 of the tax law is amended by adding
 a new paragraph 43-a to read as follows:
   (43-A) CITY PASS-THROUGH ENTITY TAX DEDUCTION ADDBACK. IN THE CASE  OF
 A  TAXPAYER  WHO CLAIMS A CREDIT ALLOWED UNDER SUBSECTION (G) OF SECTION
 THIRTEEN HUNDRED TEN OF THIS CHAPTER, AN AMOUNT EQUAL TO THE  AMOUNT  OF
 SUCH CREDIT.
   § 3. Section 1310 of the tax law is amended by adding a new subsection
 (g) to read as follows:
   (G)  CREDIT  FOR CITY PASS-THROUGH ENTITY TAX. (1) A TAXPAYER WHO IS A
 PARTNER OR MEMBER OF AN ELECTING CITY PARTNERSHIP AND A TAXPAYER  SHARE-
 HOLDER  OF  AN ELECTING CITY RESIDENT S CORPORATION SUBJECT TO TAX UNDER
 ARTICLE TWENTY-FOUR-B OF THIS CHAPTER SHALL  BE  ENTITLED  TO  A  CREDIT
 AGAINST  THE  TAX  IMPOSED  PURSUANT TO THE AUTHORITY OF THIS ARTICLE AS
 PROVIDED IN THIS SUBSECTION. FOR PURPOSES OF THIS SUBSECTION, THE  TERMS
 "ELECTING  CITY  PARTNERSHIP,"  "ELECTING  CITY RESIDENT S CORPORATION,"
 "CITY PASS-THROUGH ENTITY TAX," AND "DIRECT SHARE OF  CITY  PASS-THROUGH
 ENTITY  TAX"  SHALL  HAVE  THE SAME MEANINGS PROVIDED IN ARTICLE TWENTY-
 FOUR-B OF THIS CHAPTER.
   (2) THE AMOUNT OF THE CREDIT SHALL BE EQUAL TO THE PARTNER'S, MEMBER'S
 OR SHAREHOLDER'S DIRECT SHARE OF THE CITY PASS-THROUGH ENTITY TAX.
 S. 8009--C                         84                         A. 9009--C
 
   (3) IF A TAXPAYER IS A PARTNER, MEMBER OR SHAREHOLDER IN MORE THAN ONE
 ELECTING CITY PARTNERSHIP AND/OR ELECTING CITY  RESIDENT  S  CORPORATION
 THAT  IS  SUBJECT TO TAX PURSUANT TO ARTICLE TWENTY-FOUR-B OF THIS CHAP-
 TER, THE AMOUNT OF THE CREDIT OF SUCH TAXPAYER SHALL BE EQUAL TO THE SUM
 OF  THE  AMOUNTS OF SUCH CREDITS CALCULATED PURSUANT TO PARAGRAPH TWO OF
 THIS SUBSECTION WITH REGARD TO EACH ENTITY IN WHICH SUCH TAXPAYER HAS  A
 DIRECT OWNERSHIP INTEREST.
   (4)  IF THE AMOUNT OF THE CREDIT ALLOWABLE PURSUANT TO THIS SUBSECTION
 FOR ANY TAXABLE YEAR EXCEEDS THE TAX DUE FOR SUCH YEAR PURSUANT TO  THIS
 ARTICLE,  THE  EXCESS  AMOUNT  SHALL BE TREATED AS AN OVERPAYMENT, TO BE
 CREDITED OR REFUNDED, WITHOUT INTEREST.
   (5) LIMITATION ON CREDIT. NO CREDIT SHALL BE  ALLOWED  TO  A  TAXPAYER
 UNDER  THIS  SUBSECTION UNLESS THE ELECTING CITY PARTNERSHIP OR ELECTING
 CITY RESIDENT S CORPORATION PROVIDED SUFFICIENT INFORMATION TO  IDENTIFY
 SUCH  TAXPAYER  ON  ITS  CITY PASS-THROUGH ENTITY TAX RETURN AS REQUIRED
 UNDER PARAGRAPH TWO OF SUBSECTION (C) OF SECTION EIGHT HUNDRED  SEVENTY-
 TWO OF THIS CHAPTER FOR AN ELECTING CITY PARTNERSHIP OR PARAGRAPH TWO OF
 SUBSECTION  (D) OF SECTION EIGHT HUNDRED SEVENTY-TWO OF THIS CHAPTER FOR
 AN ELECTING CITY RESIDENT S CORPORATION. THE CREDIT ALLOWED TO A TAXPAY-
 ER UNDER THIS SUBSECTION SHALL NOT EXCEED THE DIRECT SHARE OF CITY PASS-
 THROUGH ENTITY TAX REPORTED BY SUCH ELECTING CITY PARTNERSHIP OR  ELECT-
 ING  CITY  RESIDENT  S CORPORATION ATTRIBUTABLE TO SUCH TAXPAYER ON SUCH
 ELECTING CITY PARTNERSHIP OR  ELECTING  CITY  RESIDENT  S  CORPORATION'S
 RETURN FILED PURSUANT TO SECTION EIGHT HUNDRED SEVENTY-TWO OF THIS CHAP-
 TER.
   §  4.  Subsection  (b)  of  section 1313 of the tax law, as amended by
 section 8 of part C of chapter 58 of the laws of  2005,  is  amended  to
 read as follows:
   (b)  The  comptroller  shall  retain  in  the comptroller's hands such
 amount as the commissioner may determine to be necessary for refunds  in
 respect  to  the taxes imposed pursuant to the authority of this article
 or former article two-E of the general city law and for reasonable costs
 of the commissioner in administering, collecting and  distributing  such
 taxes  AND  THE  TAX  IMPOSED  PURSUANT TO ARTICLE TWENTY-FOUR-B OF THIS
 CHAPTER, out of which the comptroller shall  pay  any  refunds  of  such
 taxes  to which taxpayers shall be entitled under any law enacted pursu-
 ant to the authority of this article or  former  article  two-E  of  the
 general city law.
   §  5. Subdivision 15 of section 2799-bb of the public authorities law,
 as added by chapter 16 of the laws  of  1997,  is  amended  to  read  as
 follows:
   15.  "Tax  revenues"  means the taxes paid or payable to the authority
 pursuant to SUBSECTION (D) OF SECTION EIGHT  HUNDRED  SEVENTY-THREE,  OR
 section  thirteen hundred thirteen, of the tax law and such other reven-
 ues as the authority may derive  directly  from  the  state  from  taxes
 imposed by the city or the state and collected by the state.
   §  6.  Subdivision 5 of section 2799-hh of the public authorities law,
 as added by chapter 16 of the laws  of  1997,  is  amended  to  read  as
 follows:
   5.  Tax  revenues received by the authority pursuant to SUBSECTION (D)
 OF SECTION EIGHT HUNDRED  SEVENTY-THREE,  OR  section  thirteen  hundred
 thirteen,  of  the  tax  law,  together  with  any  alternative revenues
 received by the authority, shall be applied in the  following  order  of
 priority:  first pursuant to the authority's contracts with bondholders,
 then to pay the authority's operating expenses  not  otherwise  provided
 for,  and  then  pursuant  to  the authority's agreements with the city,
 S. 8009--C                         85                         A. 9009--C
 
 which agreements shall require the authority to transfer the balance  of
 such  taxes not required to meet contractual or other obligations of the
 authority to the city as frequently as practicable.
   §  7.  Section  2799-ii  of  the public authorities law, as amended by
 section 8 of part A of chapter 88 of the laws of  2000,  is  amended  to
 read as follows:
   §  2799-ii. Agreement with the state. The state does hereby pledge and
 agree with the holders of any issue of bonds  and/or  bond  anticipation
 notes  secured  by  such a pledge that the state will not limit or alter
 the rights hereby vested in the authority to fulfill the  terms  of  any
 agreements  made with such holders pursuant to this title, or in any way
 impair the rights and remedies of such holders or the security for  such
 bonds and/or bond anticipation notes until such bonds and/or bond antic-
 ipation  notes,  together  with  the  interest thereon and all costs and
 expenses in connection with any action or proceeding by or on behalf  of
 such  holders,  are fully paid and discharged. Nothing contained in this
 section shall be deemed to restrict the right of  the  state  to  amend,
 modify,  repeal  or otherwise alter statutes imposing or relating to the
 taxes payable to the authority pursuant to  SUBSECTION  (D)  OF  SECTION
 EIGHT HUNDRED SEVENTY-THREE AND section thirteen hundred thirteen of the
 tax law, but such taxes shall in all events continue to be so payable so
 long  as  any such taxes are imposed. Not less than thirty days prior to
 the beginning of each city fiscal year, the chairperson of the authority
 shall certify to the state comptroller, the governor, and the members of
 the board of directors of the authority a  schedule  of  maximum  annual
 debt service payments due on the bonds and notes of the corporation then
 outstanding. To the extent that the tax revenues payable to the authori-
 ty  under  SUBSECTION  (D)  OF  SECTION  EIGHT HUNDRED SEVENTY-THREE AND
 section thirteen hundred thirteen of the tax law during such fiscal year
 are projected by the mayor to be  insufficient  to  meet  at  least  one
 hundred  fifty percent of maximum annual debt service on authority bonds
 then outstanding, the mayor shall so notify the  state  comptroller  and
 the state comptroller shall pay to the authority from alternative reven-
 ues  such  amount  as is necessary to provide at least one hundred fifty
 percent of the maximum annual debt service; provided, however, that  for
 so  long as any indebtedness of the municipal assistance corporation for
 the city of New York remains outstanding no  alternative  revenues  that
 are,  as  of  the effective date of this title, or may in the future be,
 required to be deposited in the municipal  assistance  tax  fund  estab-
 lished under section ninety-two-d of the state finance law shall be paid
 to  the  authority except out of funds that are otherwise required to be
 paid to the city under such section of the state finance law. Nothing in
 this section shall be deemed to obligate the state  to  make  any  addi-
 tional  payments  or  impose any taxes to satisfy the debt service obli-
 gations of the authority.
   § 8. Section 2799-jj of the public authorities law, as added by  chap-
 ter 16 of the laws of 1997, is amended to read as follows:
   §  2799-jj. Agreement with the city.  The city is authorized to pledge
 and agree with the holders of any issue  of  bonds  and/or  bond  antic-
 ipation  notes  secured by such a pledge that the city will not limit or
 alter the rights hereby vested in the authority to fulfill the terms  of
 any  agreements made with such holders pursuant to this title, or in any
 way impair the rights and remedies of such holders or the  security  for
 such  bonds  and/or bond anticipation notes until such bonds and/or bond
 anticipation notes, together with the interest thereon and all costs and
 expenses in connection with any action or proceeding by or on behalf  of
 S. 8009--C                         86                         A. 9009--C
 
 such  holders, are fully paid and discharged.  Nothing contained in this
 section shall be deemed to restrict any  right  the  city  may  have  to
 amend,  modify or otherwise alter local laws imposing or relating to the
 taxes  payable  to  the  authority pursuant to SUBSECTION (D) OF SECTION
 EIGHT HUNDRED SEVENTY-THREE OR section thirteen hundred thirteen of  the
 tax  law so long as, after giving effect to such amendment, modification
 or other alteration, the amount of tax revenues projected by  the  mayor
 to be available to the authority during each of its fiscal years follow-
 ing  the  effective date of such amendment, modification or other alter-
 ation shall be not less than one hundred fifty percent of maximum annual
 debt service on authority bonds then outstanding.
   § 9. Subparagraph 3 of paragraph  (b)  of  subdivision  8  of  section
 11-602 of the administrative code of the city of New York, as amended by
 chapter 525 of the laws of 1988, is amended to read as follows:
   (3)  taxes  on or measured by profits or income paid or accrued to the
 United States, any of its possessions or to any foreign country, includ-
 ing taxes in lieu of any of  the  foregoing  taxes  otherwise  generally
 imposed  by  any  foreign  country  or  by  any possession of the United
 States, or taxes ON OR MEASURED BY PROFITS OR INCOME paid or accrued  to
 the  state  OR  ANY SUBDIVISION THEREOF, INCLUDING TAXES PAID OR ACCRUED
 under article nine, nine-A, thirteen-A, TWENTY-FOUR-A, TWENTY-FOUR-B  OF
 THE  TAX  LAW or UNDER ARTICLE thirty-two of the tax law AS SUCH ARTICLE
 WAS IN EFFECT ON DECEMBER THIRTY-FIRST, TWO THOUSAND FOURTEEN,
   § 10. Paragraph 2 of subdivision (b) of section 11-641 of the adminis-
 trative code of the city of New York, as amended by section 6 of part  D
 of chapter 60 of the laws of 2015, is amended to read as follows:
   (2)  taxes  on or measured by income or profits paid or accrued within
 the taxable year to the United States, or any of its possessions  or  to
 any  foreign  country  [and],  taxes ON OR MEASURED BY INCOME OR PROFITS
 PAID OR ACCRUED TO THE STATE OR ANY SUBDIVISION THEREOF, INCLUDING TAXES
 imposed under article nine, nine-A, thirteen-A,  TWENTY-FOUR-A,  TWENTY-
 FOUR-B  OF  THE  TAX  LAW, or UNDER ARTICLE thirty-two of the tax law as
 SUCH ARTICLE WAS in effect on December thirty-first, two thousand  four-
 teen and any tax imposed under this part or subchapter two or three-A of
 this chapter;
   §  11.  Section  11-1706 of the administrative code of the city of New
 York is amended by adding a new subdivision (g) to read as follows:
   (G) CREDIT FOR CITY PASS-THROUGH ENTITY TAX. (1) A TAXPAYER WHO  IS  A
 PARTNER  OR MEMBER OF AN ELECTING CITY PARTNERSHIP AND A TAXPAYER SHARE-
 HOLDER OF AN ELECTING CITY RESIDENT S CORPORATION SUBJECT TO  TAX  UNDER
 ARTICLE  TWENTY-FOUR-B  OF  THE  TAX  LAW  SHALL BE ENTITLED TO A CREDIT
 AGAINST THE TAX IMPOSED BY SUCH ARTICLE. FOR PURPOSES OF  THIS  SUBDIVI-
 SION,  THE  TERMS "ELECTING CITY PARTNERSHIP," "ELECTING CITY RESIDENT S
 CORPORATION," "CITY PASS-THROUGH ENTITY TAX," AND "DIRECT SHARE OF  CITY
 PASS-THROUGH ENTITY TAX" SHALL HAVE THE SAME MEANINGS AS USED IN ARTICLE
 TWENTY-FOUR-B OF THE TAX LAW.
   (2) THE AMOUNT OF THE CREDIT SHALL BE EQUAL TO THE PARTNER'S, MEMBER'S
 OR SHAREHOLDER'S DIRECT SHARE OF THE CITY PASS-THROUGH ENTITY TAX.
   (3) IF A TAXPAYER IS A PARTNER, MEMBER OR SHAREHOLDER IN MORE THAN ONE
 ELECTING  CITY  PARTNERSHIP  AND/OR ELECTING CITY RESIDENT S CORPORATION
 THAT IS SUBJECT TO TAX PURSUANT TO ARTICLE TWENTY-FOUR-B OF THE TAX LAW,
 THE AMOUNT OF THE CREDIT OF SUCH TAXPAYER SHALL BE EQUAL TO THE  SUM  OF
 THE AMOUNTS OF SUCH CREDITS CALCULATED PURSUANT TO PARAGRAPH TWO OF THIS
 SUBDIVISION  WITH  REGARD  TO  EACH  ENTITY IN WHICH SUCH TAXPAYER HAS A
 DIRECT OWNERSHIP INTEREST.
 S. 8009--C                         87                         A. 9009--C
 
   (4) IF THE AMOUNT OF THE CREDIT ALLOWABLE PURSUANT TO THIS SUBDIVISION
 FOR ANY TAXABLE YEAR EXCEEDS THE TAX DUE FOR SUCH YEAR PURSUANT TO ARTI-
 CLE TWENTY-FOUR-B OF THE TAX LAW, THE EXCESS AMOUNT SHALL BE TREATED  AS
 AN OVERPAYMENT, TO BE CREDITED OR REFUNDED, WITHOUT INTEREST.
   (5)  LIMITATION  ON  CREDIT.  NO CREDIT SHALL BE ALLOWED TO A TAXPAYER
 UNDER THIS SUBDIVISION UNLESS THE ELECTING CITY PARTNERSHIP OR  ELECTING
 CITY  RESIDENT S CORPORATION PROVIDED SUFFICIENT INFORMATION TO IDENTIFY
 SUCH TAXPAYER ON ITS CITY PASS-THROUGH ENTITY  TAX  RETURN  AS  REQUIRED
 UNDER  PARAGRAPH TWO OF SUBSECTION (C) OF SECTION EIGHT HUNDRED SEVENTY-
 TWO OF THE TAX LAW FOR AN ELECTING CITY PARTNERSHIP OR PARAGRAPH TWO  OF
 SUBSECTION  (D)  OF SECTION EIGHT HUNDRED SEVENTY-TWO OF THE TAX LAW FOR
 AN ELECTING CITY RESIDENT S CORPORATION. THE CREDIT ALLOWED TO A TAXPAY-
 ER UNDER THIS SUBDIVISION SHALL NOT EXCEED  THE  DIRECT  SHARE  OF  CITY
 PASS-THROUGH  ENTITY  TAX  REPORTED BY SUCH ELECTING CITY PARTNERSHIP OR
 ELECTING CITY RESIDENT S CORPORATION ATTRIBUTABLE TO  SUCH  TAXPAYER  ON
 SUCH ELECTING CITY PARTNERSHIP'S OR SUCH ELECTING CITY RESIDENT S CORPO-
 RATION'S  RETURN  FILED PURSUANT TO SECTION EIGHT HUNDRED SEVENTY-TWO OF
 THE TAX LAW.
   § 12. This act shall take effect immediately and shall apply to  taxa-
 ble years beginning on or after January 1, 2023; provided, however, that
 subparagraph  3  of  paragraph (b) of subdivision 8 of section 11-602 of
 the administrative code of the city of New York as  amended  by  section
 nine of this act and paragraph 2 of subdivision (b) of section 11-641 of
 the  administrative  code  of the city of New York as amended by section
 ten of this act other than the amendments in those sections relating  to
 article  24-B of the tax law, shall be deemed to have been in full force
 and effect on and after January 1, 2021.
   § 2. This act shall take effect immediately  provided,  however,  that
 the  applicable  effective date of Subparts A and B of this act shall be
 as specifically set forth in the last section of such Subparts.
 
                                  PART NN
 
   Section 1. Subsection (c-1) of section 606 of the tax law  is  amended
 by adding a new paragraph 4 to read as follows:
   (4)  (A)  FOR TAX YEAR TWO THOUSAND TWENTY-ONE, THE COMMISSIONER SHALL
 ISSUE A PAYMENT OF A SUPPLEMENTAL  EMPIRE  STATE  CHILD  CREDIT  IN  THE
 AMOUNT  OF  (I)  ONE  HUNDRED  PERCENT  OF THE EMPIRE STATE CHILD CREDIT
 CALCULATED AND ALLOWED PURSUANT TO THIS SUBSECTION  TO  TAXPAYERS  WHOSE
 FEDERAL  ADJUSTED  GROSS INCOME WAS LESS THAN TEN THOUSAND DOLLARS; (II)
 SEVENTY-FIVE PERCENT OF THE EMPIRE STATE  CHILD  CREDIT  CALCULATED  AND
 ALLOWED  PURSUANT TO THIS SUBSECTION TO TAXPAYERS WHOSE FEDERAL ADJUSTED
 GROSS INCOME WAS GREATER THAN OR EQUAL TO TEN THOUSAND DOLLARS BUT  LESS
 THAN  TWENTY-FIVE  THOUSAND  DOLLARS;  (III) FIFTY PERCENT OF THE EMPIRE
 STATE CHILD CREDIT CALCULATED AND ALLOWED PURSUANT TO THIS SUBSECTION TO
 TAXPAYERS WHOSE FEDERAL ADJUSTED GROSS INCOME WAS GREATER THAN OR  EQUAL
 TO  TWENTY-FIVE  THOUSAND  DOLLARS BUT LESS THAN FIFTY THOUSAND DOLLARS;
 AND (IV) TWENTY-FIVE PERCENT OF THE EMPIRE STATE CHILD CREDIT CALCULATED
 AND ALLOWED PURSUANT TO  THIS  SUBSECTION  TO  TAXPAYERS  WHOSE  FEDERAL
 ADJUSTED  GROSS  INCOME  WAS  GREATER  THAN  OR  EQUAL TO FIFTY THOUSAND
 DOLLARS. PROVIDED, HOWEVER, THAT NO PAYMENT SHALL BE  ISSUED  IF  IT  IS
 LESS THAN TWENTY-FIVE DOLLARS.
   (B)  THE  SUPPLEMENTAL  PAYMENT  PURSUANT  TO  THIS  PARAGRAPH WILL BE
 ALLOWED TO TAXPAYERS WHO TIMELY FILED RETURNS PURSUANT  TO  SECTION  SIX
 HUNDRED  FIFTY-ONE OF THIS ARTICLE, DETERMINED WITH REGARD TO EXTENSIONS
 PURSUANT TO SECTION SEX HUNDRED FIFTY-SEVEN OF THIS ARTICLE.
 S. 8009--C                         88                         A. 9009--C
 
   § 2. Subsection (d) of section 606 of the tax law is amended by adding
 a new paragraph 8 to read as follows:
   (8) FOR TAX YEAR TWO THOUSAND TWENTY-ONE, THE COMMISSIONER SHALL ISSUE
 A PAYMENT OF A SUPPLEMENTAL EARNED INCOME TAX CREDIT TO RESIDENT TAXPAY-
 ERS IN THE AMOUNT OF TWENTY-FIVE PERCENT OF THE EARNED INCOME TAX CREDIT
 CALCULATED AND ALLOWED PURSUANT TO THIS SUBSECTION. SUCH PAYMENT WILL BE
 ALLOWED  TO  RESIDENT  TAXPAYERS  WHO  TIMELY  FILED RETURNS PURSUANT TO
 SECTION SIX HUNDRED FIFTY-ONE OF THIS ARTICLE, DETERMINED WITH REGARD TO
 EXTENSIONS PURSUANT TO SECTION SIX HUNDRED FIFTY-SEVEN OF THIS  ARTICLE.
 PROVIDED,  HOWEVER,  THAT  NO PAYMENT SHALL BE ISSUED IF IT IS LESS THAN
 TWENTY-FIVE DOLLARS.
   § 3. Subsection (d-1) of section 606 of the  tax  law  is  amended  by
 adding a new paragraph 9 to read as follows:
   (9) FOR TAX YEAR TWO THOUSAND TWENTY-ONE, THE COMMISSIONER SHALL ISSUE
 A  PAYMENT  OF  A  SUPPLEMENTAL ENHANCED EARNED INCOME TAX CREDIT IN THE
 AMOUNT OF TWENTY-FIVE PERCENT OF THE ENHANCED EARNED INCOME  TAX  CREDIT
 CALCULATED AND ALLOWED PURSUANT TO THIS SUBSECTION. SUCH PAYMENT WILL BE
 ALLOWED  TO  TAXPAYERS  WHO TIMELY FILED RETURNS PURSUANT TO SECTION SIX
 HUNDRED FIFTY-ONE OF THIS ARTICLE, DETERMINED WITH REGARD TO  EXTENSIONS
 PURSUANT  TO SECTION SIX HUNDRED FIFTY-SEVEN OF THIS ARTICLE.  PROVIDED,
 HOWEVER, THAT NO PAYMENT SHALL BE ISSUED IF IT IS LESS THAN  TWENTY-FIVE
 DOLLARS.
   § 4. This act shall take effect immediately.
 
                                  PART OO
 
   Section  1.  The tax law is amended by adding a new section 45 to read
 as follows:
   § 45. EMPIRE STATE DIGITAL GAMING MEDIA PRODUCTION CREDIT. (A)  ALLOW-
 ANCE  OF  CREDIT.  (1)  A  TAXPAYER  WHICH  IS  A  DIGITAL  GAMING MEDIA
 PRODUCTION ENTITY ENGAGED IN QUALIFIED DIGITAL GAMING MEDIA  PRODUCTION,
 OR  WHO IS A SOLE PROPRIETOR OF OR A MEMBER OF A PARTNERSHIP, WHICH IS A
 DIGITAL GAMING MEDIA PRODUCTION  ENTITY  ENGAGED  IN  QUALIFIED  DIGITAL
 GAMING  MEDIA  PRODUCTION, AND IS SUBJECT TO TAX UNDER ARTICLE NINE-A OR
 TWENTY-TWO OF THIS CHAPTER, SHALL BE ALLOWED A CREDIT AGAINST  SUCH  TAX
 TO  BE  COMPUTED  AS  PROVIDED  HEREIN FOR TAXABLE YEARS BEGINNING ON OR
 AFTER JANUARY FIRST, TWO THOUSAND TWENTY-THREE AND BEFORE JANUARY FIRST,
 TWO THOUSAND TWENTY-EIGHT.
   (2) THE AMOUNT OF THE CREDIT SHALL BE THE PRODUCT (OR PRO  RATA  SHARE
 OF THE PRODUCT, IN THE CASE OF A TAXPAYER WHO IS A PARTNER IN A PARTNER-
 SHIP, MEMBER OF A LIMITED LIABILITY COMPANY OR SHAREHOLDER IN A SUBCHAP-
 TER  S  CORPORATION)  OF  TWENTY-FIVE  PERCENT AND THE QUALIFIED DIGITAL
 GAMING MEDIA PRODUCTION COSTS OF ONE OR MORE  QUALIFIED  DIGITAL  GAMING
 MEDIA PRODUCTIONS.
   (3)  QUALIFIED  DIGITAL  GAMING MEDIA PRODUCTION COSTS FOR A QUALIFIED
 DIGITAL GAMING MEDIA PRODUCTION INCURRED AND  PAID  IN  THIS  STATE  BUT
 OUTSIDE SUCH METROPOLITAN COMMUTER TRANSPORTATION DISTRICT AS DEFINED IN
 SECTION  TWELVE HUNDRED SIXTY-TWO OF THE PUBLIC AUTHORITIES LAW SHALL BE
 ELIGIBLE FOR A CREDIT OF TEN PERCENT OF SUCH ELIGIBLE  PRODUCTION  COSTS
 IN  ADDITION  TO  THE CREDIT SPECIFIED IN PARAGRAPH TWO OF THIS SUBDIVI-
 SION.
   (4) ALL APPLICANTS TO THIS PROGRAM ARE REQUIRED,  AS  A  CONDITION  OF
 RECEIVING  THE  CREDIT,  TO  INCLUDE IN THE CREDITS OF EACH DIGITAL GAME
 DEVELOPMENT MEDIA PRODUCTION LANGUAGE AND A LOGO TO BE PROVIDED  BY  THE
 GOVERNOR'S  OFFICE OF MOTION PICTURE AND TELEVISION DEVELOPMENT ACKNOWL-
 EDGING THE STATE'S ROLE IN THE CREATION OF THE PRODUCTION.
 S. 8009--C                         89                         A. 9009--C
 
   (5) A QUALIFIED DIGITAL GAMING MEDIA PRODUCTION THAT HAS  APPLIED  FOR
 CREDIT  UNDER  THE  PROVISIONS OF THIS SECTION SHALL, AS A CONDITION FOR
 THE GRANTING OF THE CREDIT, FILE A DIVERSITY PLAN WITH THE DEPARTMENT OF
 ECONOMIC DEVELOPMENT OUTLINING SPECIFIC GOALS FOR HIRING A DIVERSE WORK-
 FORCE.  THE  COMMISSIONER OF ECONOMIC DEVELOPMENT SHALL PROMULGATE REGU-
 LATIONS IMPLEMENTING THE REQUIREMENTS OF THIS PARAGRAPH, WHICH, NOTWITH-
 STANDING ANY PROVISIONS TO THE  CONTRARY  IN  THE  STATE  ADMINISTRATIVE
 PROCEDURE  ACT,  MAY BE ADOPTED ON AN EMERGENCY BASIS, TO ENSURE COMPLI-
 ANCE WITH THE PROVISIONS OF THIS PARAGRAPH. THE DEPARTMENT  OF  ECONOMIC
 DEVELOPMENT  SHALL REVIEW EACH SUBMITTED PLAN AS TO WHETHER IT MEETS THE
 REQUIREMENTS ESTABLISHED BY THE COMMISSIONER  OF  ECONOMIC  DEVELOPMENT,
 AND  SHALL  VERIFY THAT THE APPLICANT HAS MET OR MADE GOOD-FAITH EFFORTS
 IN ACHIEVING THESE GOALS.
   (B) ALLOCATION OF CREDIT. THE AGGREGATE AMOUNT OF TAX CREDITS  ALLOWED
 UNDER  THIS SECTION, SUBDIVISION FIFTY-FIVE OF SECTION TWO HUNDRED TEN-B
 AND SUBSECTION (NNN) OF SECTION SIX HUNDRED SIX OF THIS CHAPTER  IN  ANY
 TAXABLE  YEAR SHALL BE FIVE MILLION DOLLARS.  SUCH CREDIT SHALL BE ALLO-
 CATED BY THE DEPARTMENT OF ECONOMIC DEVELOPMENT  IN  ORDER  OF  PRIORITY
 BASED  UPON  THE DATE OF FILING AN APPLICATION FOR ALLOCATION OF DIGITAL
 GAMING MEDIA PRODUCTION CREDIT WITH SUCH OFFICE. IF THE TOTAL AMOUNT  OF
 ALLOCATED  CREDITS APPLIED FOR IN ANY PARTICULAR YEAR EXCEEDS THE AGGRE-
 GATE AMOUNT OF TAX CREDITS ALLOWED FOR SUCH  YEAR  UNDER  THIS  SECTION,
 SUCH EXCESS SHALL BE TREATED AS HAVING BEEN APPLIED FOR ON THE FIRST DAY
 OF THE SUBSEQUENT TAXABLE YEAR.
   (C) DEFINITIONS. AS USED IN THIS SECTION:
   (1)  "QUALIFIED DIGITAL GAMING MEDIA PRODUCTION" MEANS: (I) A WEBSITE,
 THE DIGITAL MEDIA PRODUCTION COSTS OF WHICH ARE PAID OR INCURRED  PREDO-
 MINATELY  IN  CONNECTION  WITH  (A)  VIDEO  SIMULATION, ANIMATION, TEXT,
 AUDIO, GRAPHICS OR SIMILAR GAMING RELATED PROPERTY EMBODIED  IN  DIGITAL
 FORMAT,  AND  (B)  INTERACTIVE  FEATURES OF DIGITAL GAMING (E.G., LINKS,
 MESSAGE BOARDS, COMMUNITIES OR  CONTENT  MANIPULATION);  (II)  VIDEO  OR
 INTERACTIVE GAMES PRODUCED PRIMARILY FOR DISTRIBUTION OVER THE INTERNET,
 WIRELESS  NETWORK OR SUCCESSORS THERETO; AND (III) ANIMATION, SIMULATION
 OR EMBEDDED  GRAPHICS  DIGITAL  GAMING  RELATED  SOFTWARE  INTENDED  FOR
 COMMERCIAL  DISTRIBUTION  REGARDLESS  OF MEDIUM; PROVIDED, HOWEVER, THAT
 THE QUALIFIED DIGITAL GAME DEVELOPMENT MEDIA  PRODUCTIONS  DESCRIBED  IN
 SUBPARAGRAPHS  (I)  THROUGH  (III)  OF  THIS PARAGRAPH MUST HAVE DIGITAL
 MEDIA PRODUCTION COSTS  EQUAL TO OR IN EXCESS OF  ONE  HUNDRED  THOUSAND
 DOLLARS  PER  PRODUCTION.    A QUALIFIED DIGITAL GAMING MEDIA PRODUCTION
 DOES NOT INCLUDE A WEBSITE, VIDEO, INTERACTIVE GAME OR SOFTWARE THAT  IS
 USED   PREDOMINATELY  FOR:  ELECTRONIC  COMMERCE  (RETAIL  OR  WHOLESALE
 PURPOSES OTHER THAN THE  SALE  OF  VIDEO  INTERACTIVE  GAMES),  GAMBLING
 (INCLUDING  ACTIVITIES  REGULATED BY A NEW YORK GAMING AGENCY), OR POLI-
 TICAL ADVOCACY PURPOSES.
   (2) "DIGITAL GAMING MEDIA PRODUCTION COSTS" MEANS ANY COSTS FOR  WAGES
 OR  SALARIES PAID TO INDIVIDUALS, OTHER THAN ACTORS OR WRITERS, DIRECTLY
 EMPLOYED FOR  SERVICES  PERFORMED  BY  THOSE  INDIVIDUALS  DIRECTLY  AND
 PREDOMINANTLY  IN  THE  CREATION OF A DIGITAL GAMING MEDIA PRODUCTION OR
 PRODUCTIONS.  UP TO ONE HUNDRED THOUSAND DOLLARS IN WAGES  AND  SALARIES
 PAID TO SUCH EMPLOYEES, OTHER THAN ACTORS AND WRITERS, DIRECTLY EMPLOYED
 SHALL  BE  USED IN THE CALCULATION OF THIS CREDIT.  DIGITAL GAMING MEDIA
 PRODUCTION COSTS INCLUDE BUT  SHALL  NOT  BE  LIMITED  TO  PAYMENTS  FOR
 SERVICES   PERFORMED  DIRECTLY  AND  PREDOMINANTLY  IN  THE  DEVELOPMENT
 (INCLUDING CONCEPT  CREATION),  DESIGN,  PRODUCTION  (INCLUDING  CONCEPT
 CREATION),  DESIGN,  PRODUCTION  (INCLUDING TESTING), EDITING (INCLUDING
 ENCODING) AND COMPOSITING (INCLUDING THE INTEGRATION  OF  DIGITAL  FILES
 S. 8009--C                         90                         A. 9009--C

 FOR  INTERACTION  BY END USERS) OF DIGITAL GAMING MEDIA.  DIGITAL GAMING
 MEDIA PRODUCTION COSTS SHALL  NOT  INCLUDE  EXPENSES  INCURRED  FOR  THE
 DISTRIBUTION,  MARKETING, PROMOTION, OR ADVERTISING CONTENT GENERATED BY
 END  USERS,  OTHER  COSTS  NOT DIRECTLY AND PREDOMINANTLY RELATED TO THE
 CREATION, PRODUCTION OR MODIFICATION OF DIGITAL GAMING  MEDIA  OR  COSTS
 USED  BY  THE  TAXPAYER  AS  A BASIS OF THE CALCULATION OF ANY OTHER TAX
 CREDIT ALLOWED UNDER THIS CHAPTER.    IN  ADDITION,  SALARIES  OR  OTHER
 INCOME  DISTRIBUTION RELATED TO THE CREATION OF DIGITAL GAMING MEDIA FOR
 ANY PERSON WHO SERVES IN THE ROLE  OF  CHIEF  EXECUTIVE  OFFICER,  CHIEF
 FINANCIAL OFFICER, PRESIDENT, TREASURER OR SIMILAR POSITION SHALL NOT BE
 INCLUDED  AS DIGITAL GAMING MEDIA PRODUCTION COSTS IF THE DIGITAL GAMING
 MEDIA PRODUCTION ENTITY HAS MORE THEN TEN EMPLOYEES. SALARIES  OR  OTHER
 INCOME  TO  A PERSON SERVING IN SUCH A ROLE FOR THE DIGITAL GAMING MEDIA
 PRODUCTION ENTITY SHALL ALSO NOT BE INCLUDED IF THE PERSON WAS  EMPLOYED
 BY A RELATED PERSON OF THE DIGITAL GAMING MEDIA PRODUCTION ENTITY  WITH-
 IN  SIXTY  MONTHS OF THE DATE THE DIGITAL GAMING MEDIA PRODUCTION ENTITY
 APPLIED FOR THE TAX CREDIT CERTIFICATE DESCRIBED IN SUBDIVISION  (D)  OF
 THIS  SECTION.  FOR PURPOSES OF THE PRECEDING SENTENCE, A RELATED PERSON
 SHALL HAVE THE SAME MEANING AS THE TERM "RELATED PERSON" IN SECTION FOUR
 HUNDRED SIXTY-FIVE OF THE  INTERNAL  REVENUE  CODE.    FURTHERMORE,  ANY
 INCOME OR OTHER DISTRIBUTION TO ANY INDIVIDUAL INCLUDING, BUT NOT LIMIT-
 ED  TO,  LICENSING OR ROYALTY FEES, WHO HOLDS AN OWNERSHIP INTEREST IN A
 DIGITAL GAMING MEDIA PRODUCTION ENTITY, WHETHER OR NOT  SUCH  INDIVIDUAL
 IS SERVING IN THE ROLE OF CHIEF EXECUTIVE OFFICER, CHIEF FINANCIAL OFFI-
 CER,  PRESIDENT, TREASURER OR SIMILAR POSITION FOR SUCH AN ENTITY, SHALL
 NOT BE INCLUDED AS DIGITAL GAMING MEDIA PRODUCTION COSTS.   UP  TO  FOUR
 MILLION  DOLLARS  IN QUALIFIED DIGITAL GAMING MEDIA PRODUCTION COSTS PER
 PRODUCTION SHALL BE USED IN THE CALCULATION OF  THIS  CREDIT.    DIGITAL
 GAMING  MEDIA    PRODUCTION  COSTS SHALL NOT INCLUDE THOSE COSTS USED BY
 THE TAXPAYER OR ANOTHER TAXPAYER AS THE BASIS CALCULATION OF  ANY  OTHER
 TAX CREDIT ALLOWED UNDER THIS CHAPTER.
   (3)  "QUALIFIED  DIGITAL  GAMING MEDIA PRODUCTION COSTS" MEANS DIGITAL
 GAMING MEDIA PRODUCTION COSTS ONLY TO THE EXTENT SUCH COSTS ARE  ATTRIB-
 UTABLE  TO  THE  USE  OF  PROPERTY OR THE PERFORMANCE OF SERVICES BY ANY
 PERSONS WITHIN THE STATE DIRECTLY AND  PREDOMINANTLY  IN  THE  CREATION,
 PRODUCTION  OR  MODIFICATION OF DIGITAL GAMING RELATED MEDIA. SUCH TOTAL
 PRODUCTION COSTS INCURRED AND PAID IN THIS STATE SHALL BE  EQUAL  TO  OR
 EXCEED  SEVENTY-FIVE  PERCENT  OF  TOTAL  COST OF AN ELIGIBLE PRODUCTION
 INCURRED AND PAID WITHIN AND WITHOUT THIS STATE.
   (4) "DIGITAL GAMING MEDIA  PRODUCTION  ENTITY"  MEANS  A  CORPORATION,
 PARTNERSHIP,  LIMITED  PARTNERSHIP OR OTHER ENTITY OR INDIVIDUAL ENGAGED
 IN QUALIFIED DIGITAL GAME DEVELOPMENT MEDIA PRODUCTION.
   (D)  TO  BE  ELIGIBLE  FOR  THE  EMPIRE  STATE  DIGITAL  GAMING  MEDIA
 PRODUCTION  CREDIT, THE TAXPAYER SHALL HAVE BEEN ISSUED A CERTIFICATE OF
 TAX CREDIT BY THE DEPARTMENT OF ECONOMIC DEVELOPMENT, WHICH  CERTIFICATE
 SHALL  SET  FORTH  THE  AMOUNT OF THE CREDIT THAT MAY BE CLAIMED AND THE
 TAXABLE YEAR IN WHICH IT SHALL BE CLAIMED. THE TAXPAYER SHALL BE ALLOWED
 TO CLAIM ONLY THE AMOUNT LISTED ON THE CERTIFICATE  OF  TAX  CREDIT  FOR
 THAT  TAXABLE  YEAR.    IN ORDER TO PROPERLY ADMINISTER THIS CREDIT, THE
 DEPARTMENT SHALL BE ALLOWED TO EXCHANGE INFORMATION WITH THE  DEPARTMENT
 OF  ECONOMIC  DEVELOPMENT  ABOUT  THE  TAXPAYERS  CLAIMING  THIS CREDIT,
 INCLUDING INFORMATION ABOUT THE TAX CREDITS CLAIMED.  A TAXPAYER THAT IS
 A PARTNER IN A PARTNERSHIP, MEMBER OF A  LIMITED  LIABILITY  COMPANY  OR
 SHAREHOLDER  IN  A  SUBCHAPTER S CORPORATION THAT HAS RECEIVED A CERTIF-
 ICATE OF TAX CREDIT SHALL BE ALLOWED ITS PRO RATA SHARE  OF  THE  CREDIT
 EARNED  BY  THE  PARTNERSHIP,  LIMITED LIABILITY COMPANY OR SUBCHAPTER S
 S. 8009--C                         91                         A. 9009--C
 
 CORPORATION. THE TAXPAYER SHALL CLAIM THE TAX CREDIT IN THE TAXABLE YEAR
 THAT BEGINS IN THE YEAR FOR WHICH IT  IS  ALLOCATED  CREDIT  UNDER  THIS
 SECTION.
   (E)  CROSS-REFERENCES.  FOR  APPLICATION OF THE CREDIT PROVIDED FOR IN
 THIS SECTION, SEE THE FOLLOWING PROVISIONS OF THIS CHAPTER:
   (1) ARTICLE NINE-A: SECTION TWO HUNDRED TEN-B, SUBDIVISION FIFTY-FIVE.
   (2) ARTICLE TWENTY-TWO: SECTION SIX HUNDRED SIX, SUBSECTION (I), PARA-
 GRAPH ONE, SUBPARAGRAPH (B), CLAUSE (XLVI).
   (3) ARTICLE TWENTY-TWO: SECTION SIX HUNDRED SIX, SUBSECTION (NNN).
   § 2. Section 210-B of the tax law is amended by adding a new  subdivi-
 sion 55 to read as follows:
   55. EMPIRE STATE DIGITAL GAMING MEDIA PRODUCTION CREDIT. (A) ALLOWANCE
 OF  CREDIT. A TAXPAYER WHO IS ELIGIBLE PURSUANT TO SECTION FORTY-FIVE OF
 THIS CHAPTER SHALL BE ALLOWED A CREDIT TO BE  COMPUTED  AS  PROVIDED  IN
 SUCH  SECTION FORTY-FIVE AGAINST THE TAX IMPOSED BY THIS ARTICLE.  UNDER
 NO CIRCUMSTANCES MAY A SINGLE TAXPAYER RECEIVE  MORE  THAN  ONE  MILLION
 FIVE HUNDRED THOUSAND DOLLARS IN TAX CREDITS PER YEAR.
   (B)  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  AMOUNT  PRESCRIBED  IN  PARAGRAPH  (D)  OF SUBDIVISION ONE OF
 SECTION TWO HUNDRED TEN OF THIS ARTICLE. PROVIDED, HOWEVER, THAT IF  THE
 AMOUNT  OF  THE  CREDIT ALLOWABLE UNDER THIS SUBDIVISION FOR ANY TAXABLE
 YEAR REDUCES THE TAX TO SUCH AMOUNT, THE EXCESS 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, PROVIDED,
 HOWEVER, NO INTEREST SHALL BE PAID THEREON.
   § 3. 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) EMPIRE STATE DIGITAL          AMOUNT OF CREDIT
 GAMING MEDIA PRODUCTION              UNDER SUBDIVISION
 CREDIT UNDER SUBSECTION (NNN)        FIFTY-FIVE OF SECTION
                                      TWO HUNDRED TEN-B
   § 4. Section 606 of the tax law is amended by adding a new  subsection
 (nnn) to read as follows:
   (NNN)  EMPIRE STATE DIGITAL GAMING MEDIA PRODUCTION CREDIT. (1) ALLOW-
 ANCE OF CREDIT. A TAXPAYER WHO IS ELIGIBLE PURSUANT  TO  SECTION  FORTY-
 FIVE  OF  THIS  CHAPTER  SHALL  BE  ALLOWED  A  CREDIT TO BE COMPUTED AS
 PROVIDED IN SUCH SECTION FORTY-FIVE AGAINST  THE  TAX  IMPOSED  BY  THIS
 ARTICLE.  UNDER NO CIRCUMSTANCES MAY A SINGLE TAXPAYER RECEIVE MORE THAN
 ONE MILLION FIVE HUNDRED THOUSAND DOLLARS IN TAX CREDITS PER YEAR.
   (2) APPLICATION OF CREDIT. IF THE AMOUNT OF THE CREDIT ALLOWABLE UNDER
 THIS SUBSECTION FOR ANY TAXABLE YEAR EXCEEDS THE TAXPAYER'S TAX FOR SUCH
 YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDIT-
 ED  OR  REFUNDED  AS  PROVIDED IN SECTION SIX HUNDRED EIGHTY-SIX OF THIS
 ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST SHALL BE PAID THEREON.
   § 5. The state commissioner of economic development, after  consulting
 with  the  state  commissioner of taxation and finance, shall promulgate
 regulations by July 31, 2022 to establish procedures for the  allocation
 of  tax  credits as required by subdivision (a) of section 45 of the tax
 law. Such rules and regulations shall include provisions describing  the
 application  process, the due dates for such applications, the standards
 which shall be used to evaluate the applications, the documentation that
 will be provided to taxpayers by the department of economic development,
 to substantiate to the New York state department of taxation and finance
 S. 8009--C                         92                         A. 9009--C
 
 the amount of tax credits allocated to such taxpayers, under what condi-
 tions all or a portion of this tax credit may be revoked, and such other
 provisions as deemed  necessary  and  appropriate.  Notwithstanding  any
 other  provisions  to the contrary in the state administrative procedure
 act, such rules and regulations may be adopted on an emergency basis  if
 necessary to meet such July 31, 2022 deadline.
   §  6.  The economic development law is amended by adding a new section
 242 to read as follows:
   § 242. REPORTS ON THE DIGITAL GAMING INDUSTRIES IN NEW  YORK.  1.  THE
 DEPARTMENT  OF  ECONOMIC  DEVELOPMENT  SHALL FILE A REPORT ON A BIANNUAL
 BASIS WITH THE DIRECTOR OF THE DIVISION OF THE  BUDGET  AND  THE  CHAIR-
 PERSONS  OF  THE  ASSEMBLY  WAYS  AND MEANS COMMITTEE AND SENATE FINANCE
 COMMITTEE. THE REPORT SHALL BE FILED NO LATER THAN  THIRTY  DAYS  BEFORE
 THE  MID-POINT  AND  THE  END OF THE STATE FISCAL YEAR. THE FIRST REPORT
 SHALL COVER THE CALENDAR HALF YEAR THAT BEGINS  ON  JANUARY  FIRST,  TWO
 THOUSAND  TWENTY-FOUR.   EACH REPORT MUST CONTAIN THE FOLLOWING INFORMA-
 TION FOR THE COVERED CALENDAR HALF YEAR:
   (A) THE TOTAL DOLLAR AMOUNT OF CREDITS ALLOCATED PURSUANT  TO  SECTION
 FORTY-FIVE OF THE TAX LAW DURING THE HALF YEAR, BROKEN DOWN BY MONTH;
   (B)  THE  NUMBER OF DIGITAL GAMING PROJECTS, WHICH HAVE BEEN ALLOCATED
 TAX CREDITS OF LESS THAN ONE MILLION DOLLARS PER PROJECT, AND THE  TOTAL
 DOLLAR AMOUNT OF CREDITS ALLOCATED TO THOSE PROJECTS;
   (C)  THE  NUMBER OF DIGITAL GAMING PROJECTS, WHICH HAVE BEEN ALLOCATED
 TAX CREDITS OF MORE THAN ONE  MILLION  DOLLARS,  AND  THE  TOTAL  DOLLAR
 AMOUNT OF CREDITS ALLOCATED TO THOSE PROJECTS;
   (D)  A  LIST  OF  EACH ELIGIBLE DIGITAL GAMING PROJECT AND FOR EACH OF
 THOSE PROJECTS, (I) THE ESTIMATED NUMBER OF  EMPLOYEES  ASSOCIATED  WITH
 THE  PROJECT, (II) THE ESTIMATED QUALIFYING COSTS FOR THE PROJECT, (III)
 THE ESTIMATED TOTAL COSTS OF  THE  PROJECT,  (IV)  THE  CREDIT  ELIGIBLE
 EMPLOYEE  HOURS  FOR  EACH  PROJECT, AND (V) TOTAL WAGES FOR SUCH CREDIT
 ELIGIBLE EMPLOYEE HOURS FOR EACH PROJECT; AND
   (E) (I) THE NAME OF EACH TAXPAYER ALLOCATED  A  TAX  CREDIT  FOR  EACH
 PROJECT  AND  THE  COUNTY OF RESIDENCE OR INCORPORATION OF SUCH TAXPAYER
 OR, IF THE TAXPAYER DOES NOT RESIDE OR IS NOT INCORPORATED IN NEW  YORK,
 THE STATE OF RESIDENCE OR INCORPORATION; HOWEVER, IF THE TAXPAYER CLAIMS
 A  TAX  CREDIT  BECAUSE  THE TAXPAYER IS A MEMBER OF A LIMITED LIABILITY
 COMPANY, A PARTNER IN A PARTNERSHIP OR A SHAREHOLDER IN A  SUBCHAPTER  S
 CORPORATION,  THE NAME OF EACH LIMITED LIABILITY COMPANY, PARTNERSHIP OR
 SUBCHAPTER S CORPORATION EARNING  ANY  OF  THOSE  TAX  CREDITS  MUST  BE
 INCLUDED  IN THE REPORT INSTEAD OF INFORMATION ABOUT THE TAXPAYER CLAIM-
 ING THE TAX CREDIT, (II) THE AMOUNT OF  TAX  CREDIT  ALLOCATED  TO  EACH
 TAXPAYER;  PROVIDED HOWEVER, IF THE TAXPAYER CLAIMS A TAX CREDIT BECAUSE
 THE TAXPAYER IS A MEMBER OF A LIMITED LIABILITY COMPANY, A PARTNER IN  A
 PARTNERSHIP  OR  A SHAREHOLDER IN A SUBCHAPTER S CORPORATION, THE AMOUNT
 OF TAX CREDIT EARNED BY EACH ENTITY  MUST  BE  INCLUDED  IN  THE  REPORT
 INSTEAD  OF  INFORMATION ABOUT THE TAXPAYER CLAIMING THE TAX CREDIT, AND
 (III) INFORMATION IDENTIFYING THE PROJECT ASSOCIATED WITH EACH  TAXPAYER
 FOR  WHICH  A TAX CREDIT WAS CLAIMED UNDER SECTION FORTY-FIVE OF THE TAX
 LAW.
   2. THE DEPARTMENT OF ECONOMIC DEVELOPMENT SHALL FILE  A  REPORT  ON  A
 TRIENNIAL  BASIS WITH THE DIRECTOR OF THE DIVISION OF THE BUDGET AND THE
 CHAIRPERSONS OF THE ASSEMBLY WAYS AND MEANS COMMITTEE AND SENATE FINANCE
 COMMITTEE. THE FIRST REPORT SHALL BE FILED NO LATER  THAN  MARCH  FIRST,
 TWO  THOUSAND TWENTY-FIVE. THE REPORT MUST BE PREPARED BY AN INDEPENDENT
 THIRD PARTY AUDITOR AND INCLUDE: (A) INFORMATION  REGARDING  THE  EMPIRE
 STATE  DIGITAL GAMING PRODUCTION CREDIT PROGRAM INCLUDING THE EFFICIENCY
 S. 8009--C                         93                         A. 9009--C
 
 OF OPERATIONS, RELIABILITY OF FINANCIAL REPORTING, COMPLIANCE WITH  LAWS
 AND  REGULATIONS  AND  DISTRIBUTION OF ASSETS AND FUNDS; (B) AN ECONOMIC
 IMPACT STUDY PREPARED BY AN INDEPENDENT THIRD PARTY OF THE PROGRAM;  AND
 (C)  ANY  OTHER  INFORMATION OR STATISTICAL INFORMATION THAT THE COMMIS-
 SIONER OF ECONOMIC DEVELOPMENT DEEMS  TO  BE  USEFUL  IN  ANALYZING  THE
 EFFECTS OF THE PROGRAMS.
   3.  IN  THE EVENT THAT THIS TAX CREDIT PROGRAM IS NO LONGER LEGALLY IN
 EFFECT, THE DEPARTMENT SHALL NOT BE  REQUIRED  TO  PRODUCE  THE  REPORTS
 REFERENCED IN SUBDIVISIONS ONE AND TWO OF THIS SECTION.
   § 7. This act shall take effect immediately and shall apply to taxable
 years beginning on and after January 1, 2023 and before January 1, 2028.
 
                                  PART PP
 
   Section  1.  Paragraph  (a) of subdivision 9 of section 208 of the tax
 law is amended by adding a new subparagraph 23 to read as follows:
   (23) THE AMOUNT  OF  ANY  FEDERAL  DEDUCTION  DISALLOWED  PURSUANT  TO
 SECTION  280E OF THE INTERNAL REVENUE CODE RELATED TO THE PRODUCTION AND
 DISTRIBUTION OF ADULT-USE CANNABIS PRODUCTS, AS DEFINED BY ARTICLE TWEN-
 TY-C OF THIS CHAPTER, NOT USED AS THE BASIS FOR ANY OTHER TAX DEDUCTION,
 EXEMPTION, OR CREDIT AND NOT OTHERWISE REQUIRED  TO  BE  ADDED  BACK  BY
 PARAGRAPH (B) OF THIS SUBDIVISION IN COMPUTING ENTIRE NET INCOME.
   § 2. Subsection (c) of section 612 of the tax law is amended by adding
 a new paragraph 46 to read as follows:
   (46)  THE  AMOUNT  OF  ANY  FEDERAL  DEDUCTION  DISALLOWED PURSUANT TO
 SECTION 280E OF THE INTERNAL REVENUE CODE RELATED TO THE PRODUCTION  AND
 DISTRIBUTION OF ADULT-USE CANNABIS PRODUCTS, AS DEFINED BY ARTICLE TWEN-
 TY-C OF THIS CHAPTER, NOT USED AS THE BASIS FOR ANY OTHER TAX DEDUCTION,
 EXEMPTION,  OR  CREDIT  AND  NOT  OTHERWISE REQUIRED TO BE ADDED BACK BY
 SUBSECTION (B) OF THIS SECTION IN  COMPUTING  NEW  YORK  ADJUSTED  GROSS
 INCOME.
   § 3. This act shall take effect immediately and apply to taxable years
 beginning on and after January 1, 2022.
 
                                  PART QQ
 
   Section  1.  The  opening paragraph of subdivision 7 of section 221 of
 the racing, pari-mutuel wagering and breeding law, as separately amended
 by chapter 243 and section 1 of part CC of chapter 59  of  the  laws  of
 2020, is amended to read as follows:
   In  order  to  pay the costs of the insurance required by this section
 and by the workers' compensation law and to carry out its  other  powers
 and  duties  and  to  pay for any of its liabilities under section four-
 teen-a of the workers' compensation law,  the  New  York  Jockey  Injury
 Compensation  Fund, Inc. shall ascertain the total funding necessary and
 establish the sums that are to  be  paid  by  all  owners  and  trainers
 licensed  or required to be licensed under section two hundred twenty of
 this article, to obtain the total funding amount required  annually.  In
 order to provide that any sum required to be paid by an owner or trainer
 is  equitable,  the  fund shall establish payment schedules that reflect
 such  factors  as  are  appropriate,  including  where  applicable,  the
 geographic  location  of  the  racing  corporation at which the owner or
 trainer participates, the duration of such participation, the amount  of
 any purse earnings, the number of horses involved, or such other factors
 as the fund shall determine to be fair, equitable and in the best inter-
 ests  of  racing.  In no event shall the amount deducted from an owner's
 S. 8009--C                         94                         A. 9009--C
 
 share of purses exceed two percent; provided, however, [for two thousand
 twenty and two thousand twenty-one] THROUGH CALENDAR YEAR  TWO  THOUSAND
 TWENTY-FIVE,  the New York Jockey Injury Compensation Fund, Inc. may use
 up  to  two  million  dollars  from  the account established pursuant to
 subdivision nine of section two hundred eight of this article to pay the
 annual costs required by this section and the funds  from  such  account
 shall  not  count  against  the  two  percent of purses deducted from an
 owner's share of purses. The amount deducted from an  owner's  share  of
 purses  shall  not  exceed  one  percent after April first, two thousand
 twenty-four. In the cases of  multiple  ownerships  and  limited  racing
 appearances, the fund shall equitably adjust the sum required.
   §  2.  Paragraph  (a)  of  subdivision 9 of section 208 of the racing,
 pari-mutuel wagering and breeding law, as amended by section 2  of  part
 CC of chapter 59 of the laws of 2020, is amended to read as follows:
   (a)  The  franchised corporation shall maintain a separate account for
 all funds held on deposit in trust by  the  corporation  for  individual
 horsemen's  accounts.  Purse  funds  shall be paid by the corporation as
 required to meet its purse payment obligations. Funds held in horsemen's
 accounts shall only be released or applied as requested and directed  by
 the individual horseman. [For two thousand twenty and two thousand twen-
 ty-one]  THROUGH  CALENDAR  YEAR  TWO  THOUSAND TWENTY-FIVE the New York
 Jockey Injury Compensation Fund, Inc. may use up to two million  dollars
 from  the  account  established  pursuant to this subdivision to pay the
 annual costs required by section two hundred twenty-one of this article.
   § 3. This act shall take effect immediately.
 
                                  PART RR
 
   Section 1. The tax law is amended by adding a new section 47  to  read
 as follows:
   § 47. SUSPENSION OF CERTAIN TAXES ON MOTOR FUEL AND DIESEL MOTOR FUEL.
 (A) DEFINITIONS. FOR PURPOSES OF THIS SECTION:
   (1)  "DISTRIBUTOR" SHALL HAVE THE SAME MEANING AS THAT TERM IS DEFINED
 IN SUBDIVISION ONE OF SECTION TWO HUNDRED EIGHTY-TWO OF THIS CHAPTER;
   (2) "MOTOR FUEL" SHALL HAVE THE SAME MEANING AS THAT TERM  IS  DEFINED
 IN SUBDIVISION TWO OF SECTION TWO HUNDRED EIGHTY-TWO OF THIS CHAPTER;
   (3)  "DIESEL  MOTOR  FUEL"  SHALL  MEAN "HIGHWAY DIESEL MOTOR FUEL" AS
 DEFINED IN SUBDIVISION SIXTEEN-A OF SECTION TWO  HUNDRED  EIGHTY-TWO  OF
 THIS CHAPTER;
   (4)  THE  TERMS  "RETAIL  SALE",  "SALE" AND "USE" SHALL HAVE THE SAME
 MEANINGS AS THOSE TERMS ARE DEFINED IN SECTION  ELEVEN  HUNDRED  ONE  OF
 THIS CHAPTER.
   (B) NOTWITHSTANDING ANY OTHER LAW TO THE CONTRARY, THE FOLLOWING TAXES
 SHALL  BE SUSPENDED BEGINNING ON JUNE FIRST, TWO THOUSAND TWENTY-TWO AND
 ENDING ON DECEMBER THIRTY-FIRST, TWO THOUSAND TWENTY-TWO: (1) THE  TAXES
 IMPOSED  ON  DIESEL MOTOR FUEL BY SUBDIVISION ONE OF SECTION TWO HUNDRED
 EIGHTY-TWO-A, AND SECTIONS TWO  HUNDRED  EIGHTY-TWO-B  AND  TWO  HUNDRED
 EIGHTY-TWO-C  OF  THIS  CHAPTER;  (2) THE TAXES IMPOSED ON MOTOR FUEL BY
 SECTIONS TWO HUNDRED EIGHTY-FOUR,  TWO  HUNDRED  EIGHTY-FOUR-A  AND  TWO
 HUNDRED  EIGHTY-FOUR-C  OF THIS CHAPTER; AND (3) THE PREPAID SALES TAXES
 IMPOSED ON MOTOR FUEL AND  DIESEL  MOTOR  FUEL  BY  SUBDIVISION  (A)  OF
 SECTION ELEVEN HUNDRED TWO OF THIS CHAPTER.
   (C)  NOTWITHSTANDING  ANY OTHER LAW TO THE CONTRARY, BEGINNING ON JUNE
 FIRST, TWO THOUSAND TWENTY-TWO AND ENDING ON DECEMBER THIRTY-FIRST,  TWO
 THOUSAND  TWENTY-TWO,  THE STATE SALES AND USE TAXES IMPOSED BY SECTIONS
 ELEVEN HUNDRED FIVE, ELEVEN HUNDRED NINE AND ELEVEN HUNDRED TEN OF  THIS
 S. 8009--C                         95                         A. 9009--C
 
 CHAPTER  SHALL  NOT APPLY TO SALES OR USES OF MOTOR FUEL OR DIESEL MOTOR
 FUEL, AND THE PROVISIONS OF SUBDIVISION (E), AND PARAGRAPHS ONE AND  TWO
 OF  SUBDIVISION  (M)  OF  SECTION  ELEVEN HUNDRED ELEVEN OF THIS CHAPTER
 SHALL  BE SUSPENDED. NOTHING IN THIS SUBDIVISION SHALL AFFECT THE APPLI-
 CATION OF THE TAXES IMPOSED PURSUANT TO THE AUTHORITY OF  ARTICLE  TWEN-
 TY-NINE OF THIS CHAPTER TO MOTOR FUEL OR DIESEL MOTOR FUEL.
   (D)  THE  TAXES  DESCRIBED IN SUBDIVISIONS (B) AND (C) OF THIS SECTION
 SHALL NOT BE INCLUDED IN THE PRICE OF MOTOR FUEL OR  DIESEL  MOTOR  FUEL
 SOLD FOR THE PERIOD BEGINNING ON JUNE FIRST, TWO THOUSAND TWENTY-TWO AND
 ENDING  ON  DECEMBER THIRTY-FIRST, TWO THOUSAND TWENTY-TWO. ANY RETAILER
 THAT PURCHASES MOTOR FUEL OR DIESEL MOTOR FUEL DURING SUCH  PERIOD  UPON
 WHICH  SUCH TAXES WERE PREVIOUSLY PAID AND INCLUDED IN THE PRICE PAID BY
 SUCH RETAILER SHALL BE ENTITLED TO A REFUND OR CREDIT OF SUCH TAXES.
   (E) NOTWITHSTANDING ANY OTHER LAW TO THE CONTRARY, BEGINNING  ON  JUNE
 FIRST,  TWO THOUSAND TWENTY-TWO AND ENDING ON DECEMBER THIRTY-FIRST, TWO
 THOUSAND TWENTY-TWO, THE COMPOSITE RATES OF TAX APPLICABLE FOR  PURPOSES
 OF  SUBDIVISION  TWO OF SECTION FIVE HUNDRED THREE-A AND SUBDIVISION (B)
 OF SECTION FIVE HUNDRED TWENTY-THREE OF THIS CHAPTER SHALL BE DETERMINED
 WITHOUT REFERENCE TO THE SUSPENSION OF THE TAXES DESCRIBED  BY  SUBDIVI-
 SIONS  (B)  AND  (C)  OF  THIS  SECTION, BUT SHALL BE COMPUTED USING THE
 RESPECTIVE RATES IN EFFECT ON MAY THIRTY-FIRST, TWO THOUSAND TWENTY-TWO.
   (F) NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, ON  OR
 BEFORE THE FIFTH DAY EACH MONTH FOR THE PERIOD BEGINNING JULY, TWO THOU-
 SAND TWENTY-TWO AND ENDING JANUARY, TWO THOUSAND TWENTY-THREE, THE COMP-
 TROLLER  SHALL, IN CONSULTATION WITH THE DIRECTOR OF THE DIVISION OF THE
 BUDGET, TRANSFER FROM THE GENERAL FUND TO THE MASS TRANSPORTATION  OPER-
 ATING  ASSISTANCE  FUND  CREATED  BY SECTION EIGHTY-EIGHT-A OF THE STATE
 FINANCE LAW, THE DEDICATED HIGHWAY AND BRIDGE TRUST FUND ESTABLISHED  BY
 SECTION EIGHTY-NINE-B OF SUCH LAW, AND THE DEDICATED MASS TRANSPORTATION
 TRUST  FUND  ESTABLISHED  BY  SECTION EIGHTY-NINE-C OF SUCH LAW, AMOUNTS
 EQUAL TO THE REVENUE DISTRIBUTED TO SUCH FUNDS FROM THE TAXES  DESCRIBED
 IN  SUBDIVISIONS  (B)  AND  (C) OF THIS SECTION IN STATE FISCAL YEAR TWO
 THOUSAND TWENTY-ONE--TWO THOUSAND TWENTY-TWO, ADJUSTED BY THE CHANGE  IN
 SUCH  AMOUNTS  PROJECTED FOR STATE FISCAL YEAR TWO THOUSAND TWENTY-TWO--
 TWO THOUSAND TWENTY-THREE AS IF THE SUSPENSION OF  SUCH  TAXES  HAD  NOT
 OCCURRED, AS REFLECTED IN THE STATE FISCAL YEAR TWO THOUSAND TWENTY-TWO-
 -TWO THOUSAND TWENTY-THREE ENACTED BUDGET.
   (G)  EVERY  PERSON  ENGAGED IN THE RETAIL SALE OF MOTOR FUEL OR DIESEL
 MOTOR FUEL OR A  DISTRIBUTOR  OF  SUCH  FUELS,  SHALL  COMPLY  WITH  THE
 PROVISIONS OF THIS SECTION BY REDUCING THE PRICES CHARGED FOR MOTOR FUEL
 AND  DIESEL  MOTOR  FUEL  IN  AN  AMOUNT EQUAL TO ANY REDUCTION IN TAXES
 PREPAID BY THE DISTRIBUTOR OR IMPOSED ON RETAIL CUSTOMERS RESULTING FROM
 THE SUSPENSION OF TAXES ON MOTOR FUEL AND DIESEL MOTOR FUEL  UNDER  THIS
 SECTION.
   § 2. Paragraph 4 of subdivision (m) of section 1111 of the tax law, as
 amended  by section 1 of part M-1 of chapter 109 of the laws of 2006, is
 amended to read as follows:
   (4) Paragraph one of this subdivision shall not apply to the sales and
 compensating use taxes imposed by a local law, ordinance  or  resolution
 of  a municipality pursuant to the authority of subpart B of part one of
 article twenty-nine of this chapter, in regard to retail sales of  motor
 fuel and diesel motor fuel. The legislative body of such a municipality,
 by  local  law,  ordinance or resolution in exactly the form prepared by
 the commissioner, may elect that its sales and compensating  use  taxes,
 in  regard to the retail sale of motor fuel and diesel motor fuel, shall
 be computed, as determined by the commissioner, at a rate of  cents  per
 S. 8009--C                         96                         A. 9009--C
 
 gallon,  rounded  to  the nearest cent, equal to two [or], three OR FOUR
 dollars, as determined by the municipality, multiplied by the percentage
 rate of such taxes within the municipality.
   § 3. This act shall take effect immediately.
   § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
 sion,  section  or  part  of  this act shall be adjudged by any court of
 competent jurisdiction to be invalid, such judgment  shall  not  affect,
 impair,  or  invalidate  the remainder thereof, but shall be confined in
 its operation to the clause, sentence, paragraph,  subdivision,  section
 or part thereof directly involved in the controversy in which such judg-
 ment shall have been rendered. It is hereby declared to be the intent of
 the  legislature  that  this  act  would  have been enacted even if such
 invalid provisions had not been included herein.
   § 3. This act shall take effect immediately  provided,  however,  that
 the applicable effective date of Parts A through RR of this act shall be
 as specifically set forth in the last section of such Parts.