ALBANY, 05/30/12 – State Senator James L. Seward (R/C/I-Oneonta) today announced that the senate has passed comprehensive job creation legislation. The 2012 New Jobs-NY Job Creation Plan will help create thousands of new private sector jobs by delivering tax relief to small businesses and manufacturers, reducing energy costs, and enacting major fiscal reforms to make New York state more economically competitive.
“New York is moving in the right direction – on time budgets, government spending cuts and a property tax cap – all measures that will lead to renewed prosperity in the Empire State,” said Senator Seward. “Adding the 2012 New Jobs-NY Job Creation Plan to the mix will mean business tax cuts, job creation incentives and new opportunities for New Yorkers who want to live and work here at home.”
The senate 2012 New Jobs-NY Job Creation Plan (senate bill 7448) is supported by business organizations across the state, including the Business Council of New York, Unshackle Upstate, the Manufacturers Association of Central New York (MACNY), and the National Federation of Independent Businesses Highlights of the plan include:
• Eliminating Taxes on New York Manufacturers: The plan would spur creation of thousands of manufacturing jobs by eliminating income taxes paid by manufacturers over a three year period ($495 million in tax relief);
• 20 percent Corporate Tax Cut for Small Businesses: This cut in the corporate tax rate will save nearly 200,000 small businesses $49 million;
• 10 percent Personal Income Tax Credit for Small Businesses: This tax cut would save 800,000 small businesses $80 million;
• Major Energy Tax Cut: The legislation accelerates the phase-out of the 500 percent energy tax hike Senate Democrats previously approved;
• New Incentives for Each New Job Created: The bill includes new job-creating incentives that would give businesses a tax credit of up to $5,000 for each new job they create; up to an $8,000 credit if the new job goes to someone on unemployment; up to a $10,000 credit if a business hires a returning military veteran;
• Help for New York’s Small Brewers: The plan includes a new production credit and label registration credit for New York’s vibrant craft brewing industry;
• Fiscal Reforms to Improve New York’s Business Climate: The plan includes a two percent state spending cap; a super-majority vote provision to make any future tax increases more difficult; and new regulatory reforms to reduce red tape for businesses.
“Fostering private sector job growth in upstate New York is a key to strengthening our communities and helping families improve their quality of life.
“The senate jobs plan is a tool that can be used by our small business owners, manufacturers and entrepreneurs who want to grow right here at home. The proposal will also offer incentives for new companies to locate within the Empire State. Simply put - it will make us more competitive and fuel economic growth,” added Senator Seward.
The senate approved many elements of the small business tax cut plan as part of its budget resolution in early March. However, the tax cuts were not included in the final 2012-13 state budget.
“Last year the senate led the way in passing a historic property tax cap and, after substantial public pressure, the assembly finally followed suit. Now the senate is taking the lead on job creation and I hope, once again, that the assembly will join us in this vital endeavor,” Senator Seward concluded.