Assembly Bill A9055

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   9055
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             September 5, 2025
                                ___________
 
 Introduced  by  M. of A. FALL -- read once and referred to the Committee
   on Ways and Means
 
 AN ACT to amend the tax law, in relation to establishing  a  tax  credit
   for food service establishment donations to food pantries
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. Section 210-B of the tax law is amended  by  adding  a  new
 subdivision 63 to read as follows:
   63.  CREDIT FOR FOOD SERVICE ESTABLISHMENT DONATIONS TO FOOD PANTRIES.
 (A) ALLOWANCE OF CREDIT. IN THE CASE  OF  A  TAXPAYER  THAT  IS  A  FOOD
 SERVICE  ESTABLISHMENT,  THERE SHALL BE ALLOWED A CREDIT, TO BE COMPUTED
 AS HEREINAFTER PROVIDED AGAINST THE TAX  IMPOSED  BY  THIS  ARTICLE  FOR
 TAXABLE  YEARS  BEGINNING ON AND AFTER JANUARY FIRST, TWO THOUSAND TWEN-
 TY-SEVEN.   THE AMOUNT OF THE CREDIT  SHALL  BE  FIFTY  PERCENT  OF  THE
 MARKETED  VALUE  OF THE TAXPAYER'S QUALIFIED DONATIONS UP TO SIX DOLLARS
 PER QUALIFIED DONATION MADE TO ANY ELIGIBLE COMMUNITY-BASED ORGANIZATION
 DURING THE TAXABLE YEAR, NOT TO EXCEED TEN THOUSAND  DOLLARS  TOTAL  PER
 TAXABLE YEAR.
   (B)  DEFINITIONS.  FOR THE PURPOSES OF THIS SUBDIVISION, THE FOLLOWING
 TERMS SHALL HAVE THE FOLLOWING MEANINGS:
   (I) "FOOD SERVICE ESTABLISHMENT" MEANS A TAXPAYER WHOSE FEDERAL  GROSS
 INCOME FROM PREPARED FOOD SALES FOR THE TAXABLE YEAR IS AT LEAST HALF OF
 SUCH TAXPAYER'S FEDERAL GROSS INCOME.
   (II) "QUALIFIED DONATION" MEANS A DONATION OF A PREPARED MEAL ADHERING
 TO  THE  STANDARDS  OF THE MOST RECENT EDITION OF THE DIETARY GUIDELINES
 FOR AMERICANS REQUIRED BY 7 U.S.C. § 5341. A  QUALIFIED  DONATION  SHALL
 NOT  BE  TRANSFERRED  BY  THE ELIGIBLE FOOD SERVICE ESTABLISHMENT TO THE
 ELIGIBLE COMMUNITY-BASED ORGANIZATION IN EXCHANGE FOR MONEY, OTHER PROP-
 ERTY, OR SERVICES.
   (III) "ELIGIBLE COMMUNITY-BASED ORGANIZATION" MEANS ANY PROGRAM  OPER-
 ATING  WITHIN  THIS STATE THAT ACCEPTS OR DISTRIBUTES PREPARED MEALS AND
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD13668-01-5
              

 A. 9055                             2
 
 HAS QUALIFIED FOR TAX EXEMPTION UNDER SECTION 501(C)(3) OF THE  INTERNAL
 REVENUE CODE.
   (IV)  "MARKETED  VALUE"  MEANS THE COST OF A PREPARED MEAL OFFERED FOR
 SALE TO THE PUBLIC.
   (C) RECORD OF DONATION. (I) TO CLAIM A CREDIT UNDER THIS  SUBDIVISION,
 A TAXPAYER MUST GET AND KEEP A RECEIPT FROM THE ELIGIBLE COMMUNITY-BASED
 ORGANIZATION  SHOWING:  (1)  THE  NAME  OF  THE ELIGIBLE COMMUNITY-BASED
 ORGANIZATION; (2) THE DATE AND LOCATION OF THE QUALIFIED  DONATION;  AND
 (3) A REASONABLY DETAILED DESCRIPTION OF THE QUALIFIED DONATION.
   (II)  A LETTER OR OTHER WRITTEN COMMUNICATION FROM THE ELIGIBLE COMMU-
 NITY-BASED ORGANIZATION ACKNOWLEDGING RECEIPT OF  THE  CONTRIBUTION  AND
 CONTAINING  THE  INFORMATION  IN CLAUSES ONE, TWO, AND THREE OF SUBPARA-
 GRAPH (I) OF THIS PARAGRAPH SHALL SERVE AS A RECEIPT.
   (D) 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.
   § 2. This act shall take effect immediately.