Senate Bill S420

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    420
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                                (PREFILED)
 
                              January 4, 2023
                                ___________
 
 Introduced  by  Sen.  THOMAS -- read twice and ordered printed, and when
   printed to be committed to the Committee on Investigations and Govern-
   ment Operations
 
 AN ACT to amend the tax law, in relation to providing an additional  ten
   percent credit on qualified labor expenses under the empire state film
   production  credit  and  empire  state  film post production credit in
   Nassau and Suffolk counties
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Paragraph  5  of subdivision (a) of section 24 of the tax
 law, as amended by section 2 of part M of chapter  59  of  the  laws  of
 2022, is amended to read as follows:
   (5)  For  the period two thousand fifteen through two thousand 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 salaries paid to
 individuals directly employed  (excluding  those  employed  as  writers,
 directors,  music  directors,  producers and performers, including back-
 ground 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, NASSAU, Niagara, Oneida, Onon-
 daga, Ontario, Orange,  Orleans,  Oswego,  Otsego,  Putnam,  Rensselaer,
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD01953-01-3
 S. 420                              2
 
 Saratoga,  Schenectady, Schoharie, Schuyler, Seneca, St. Lawrence, Steu-
 ben, SUFFOLK, Sullivan, 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-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 allo-
 cation  of film 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 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 period two thousand fifteen through two thousand twenty-nine.
   §  2.  Paragraph 6 of subdivision (a) of section 31 of the tax law, as
 amended by section 6 of part M of chapter 59 of the  laws  of  2022,  is
 amended to read as follows:
   (6)  For  the period two thousand fifteen through two thousand 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 salaries paid to
 individuals directly employed  (excluding  those  employed  as  writers,
 directors,  music  directors,  producers and performers, including back-
 ground 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, NASSAU, Niagara, Oneida, Onondaga, Ontario, Orange,
 Orleans, Oswego,  Otsego,  Putnam,  Rensselaer,  Saratoga,  Schenectady,
 Schoharie,  Schuyler,  Seneca, St. Lawrence, Steuben, SUFFOLK, Sullivan,
 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-nine of the annual
 allocation made available to the empire state film post production cred-
 it 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  television  development
 among  taxpayers  in  order of priority based upon the date of filing an
 application for allocation of post production credit with  such  office.
 S. 420                              3
 
 If  the  total  amount of allocated credits applied for under this para-
 graph 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 paragraph 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  allo-
 cated  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-nine.
   § 3. This act shall take effect immediately.