Assembly Bill A8233

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8233
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                May 5, 2025
                                ___________
 
 Introduced by M. of A. STIRPE -- read once and referred to the Committee
   on Ways and Means
 
 AN  ACT  to  amend  the  tax law, in relation to establishing a cannabis
   processor tax credit
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section  1.  The  tax  law is amended by adding a new section 496-f to
 read as follows:
   § 496-F. CANNABIS PROCESSOR CREDIT. (A) DEFINITIONS. FOR THE  PURPOSES
 OF THIS SECTION, THE FOLLOWING DEFINITIONS SHALL APPLY:
   (1)  "LICENSED  PROCESSOR"  SHALL MEAN A TAXPAYER SUBJECT TO TAX UNDER
 ARTICLE NINE-A OR TWENTY-TWO OF THIS CHAPTER, THAT IS REGISTERED  PURSU-
 ANT TO THIS ARTICLE, AND THAT PRODUCED CONCENTRATED CANNABIS OR CANNABIS
 EDIBLE  PRODUCTS  SOLD TO AT LEAST ONE LICENSED RETAILER DURING CALENDAR
 YEAR TWO THOUSAND TWENTY-THREE;
   (2) "LICENSED RETAILER," SHALL HAVE  THE  SAME  MEANING  AS  THE  TERM
 "RETAILER" AS DEFINED IN SECTION THREE OF THE CANNABIS LAW; AND
   (3)  "CANNABIS  POTENCY TAX" SHALL MEAN THE TAX IMPOSED BY SUBDIVISION
 (A) OF SECTION FOUR HUNDRED NINETY-THREE OF THIS ARTICLE.
   (B) CANNABIS PROCESSOR TAX CREDIT  AUTHORIZED.  A  LICENSED  PROCESSOR
 SHALL BE ALLOWED A REFUNDABLE CREDIT AGAINST THE CANNABIS POTENCY TAX IN
 THE AMOUNT SPECIFIED IN SUBDIVISION (C) OF THIS SECTION.
   (C)  CALCULATION  OF  TAX  CREDIT.  (1)  THE  AMOUNT OF THE TAX CREDIT
 AUTHORIZED IN SUBDIVISION (B) OF THIS  SECTION  PER  TAXPAYER  SHALL  BE
 EQUIVALENT  TO  THE  LICENSED PROCESSOR'S CANNABIS POTENCY TAX LIABILITY
 FOR THE YEAR TWO THOUSAND TWENTY-THREE, MULTIPLIED BY THREE,  BUT  SHALL
 NOT EXCEED FOUR HUNDRED THOUSAND DOLLARS. IF THE LICENSED PROCESSOR IS A
 PARTNERSHIP  OR  NEW YORK S CORPORATION, THE AGGREGATE CREDIT ALLOWED TO
 ALL PARTNERS OR SHAREHOLDERS  OF  SUCH  ENTITY  SHALL  NOT  EXCEED  FOUR
 HUNDRED THOUSAND DOLLARS.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD11880-01-5
 A. 8233                             2
              

 
   (2)  NO  LICENSED  PROCESSOR  SHALL RECEIVE THIS TAX CREDIT UNLESS THE
 LICENSED PROCESSOR FILES OR HAS FILED  RETURNS  SHOWING  THE  AMOUNT  OF
 CANNABIS POTENCY TAX DUE IN CALENDAR YEAR TWO THOUSAND TWENTY-THREE.
   (3) ANY OUTSTANDING CANNABIS POTENCY TAX OWED BY THE LICENSED PROCESS-
 OR SHALL BE DEDUCTED FROM THE TAX CREDIT BEFORE APPLICATION OR DISBURSE-
 MENT.
   § 2. This act shall take effect immediately and shall apply to taxable
 years beginning on or after January 1, 2025.