Establishes a small business tax credit for certain efforts taken to improve such small business's facility in an effort to reduce the spread of infectious diseases.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A2474
SPONSOR: Bendett TITLE OF BILL:
An act to amend the tax law, in relation to establishing a small busi-
ness tax credit for certain efforts taken to improve such small busi-
ness's facility in an effort to reduce the spread of infectious diseases
PURPOSE OR GENERAL IDEA OF BILL:
To incentivize businesses to make improvements to their facility in
order to better stop the spread of infectious diseases which will both
improve our State's public health and allow many businesses the ability
to operate in a safer manner.
SUMMARY OF PROVISIONS:
Section 1 would amend section 210-B of the tax law by adding subdivision
59 which would:
Allow a taxpayer that is a small business a credit against taxes imposed
for efforts taken to improve such taxpayer's facility in an effort to
reduce the spread of infectious diseases.
Establish the amount of the credit to not exceed five thousand dollars
for each location where new amenities have been constructed, installed,
built and/or equipped.
Allows the tax credit to be carried over to the following three years if
there is leftover credit.
Defines "small business" for this subdivision as any business having
fifty or fewer employees.
Section 2 amends section 606 of the tax law in the same manner as 210-B
was amended.
JUSTIFICATION:
The COVID-19 pandemic has brought to light how susceptible our State is
to highly communicable diseases and this legislation aims to increase
protections and preparedness for any current or future infectious
disease outbreak.
As we have seen with the COVID-19 pandemic, many instances where the
transmission of the virus occurred could have been prevented with simple
measures. Over the course of the COVID-19 pandemic many business owners
have taken it upon themselves to construct barriers, install new venti-
lation systems, build safer business access points and install touchless
doors, sinks and various other appliances. These upgrades not only
protect these businesses, their employees and customers today but will
do so for many years to come. These changes should be widespread across
all businesses in New York State and the financial support and incentive
from our State Government will help to make this a reality.
PRIOR LEGISLATIVE HISTORY:
2023/2024 Legislative Session
2022: A.3566 referred to Ways and Means
2021: A.3566 referred to Ways and Means
2020: A.10543 referred to Ways and Means
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
$100 Million
EFFECTIVE DATE:
This act shall take effect on the first of January next succeeding the
date on which it shall have become a law.
STATE OF NEW YORK
________________________________________________________________________
2474
2025-2026 Regular Sessions
IN ASSEMBLY
January 17, 2025
___________
Introduced by M. of A. BENDETT -- read once and referred to the Commit-
tee on Ways and Means
AN ACT to amend the tax law, in relation to establishing a small busi-
ness tax credit for certain efforts taken to improve such small busi-
ness's facility in an effort to reduce the spread of infectious
diseases
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 210-B of the tax law is amended by adding a new
2 subdivision 61 to read as follows:
3 61. Small business tax credit; infectious disease mitigation. (a)
4 General. A taxpayer that is a small business shall be allowed a credit,
5 to be computed as provided in this subdivision, against the tax imposed
6 by this article for efforts taken to improve such taxpayer's facility in
7 an effort to reduce the spread of infectious diseases.
8 (b) Amount of credit. A credit authorized by this section shall be
9 equal to the amount of money spent by an eligible taxpayer to construct,
10 install, build, and/or equip such taxpayer's facility with new amenities
11 primarily intended to reduce the spread of infectious diseases, but
12 shall not exceed five thousand dollars total for each location where
13 such new amenities have been constructed, installed, built, and/or
14 equipped.
15 (c) Carryover. The credit allowed under this subdivision for any taxa-
16 ble year shall not reduce the tax due for such year to less than the
17 amount prescribed in paragraph (d) of subdivision one of section two
18 hundred ten of this article. However, if the amount of credit allowable
19 under this subdivision for any taxable year reduces the tax to such
20 amount or if the taxpayer otherwise pays tax based on the fixed dollar
21 minimum amount, any amount of credit not deductible in such taxable year
22 may be carried over to the following three years, and may be deducted
23 from the qualified employer's tax for such years.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD03744-01-5
A. 2474 2
1 (d) Definitions. As used in this subdivision, the term "small busi-
2 ness" shall mean any business having fifty or fewer employees.
3 (e) Claim of credit. A taxpayer shall not be allowed to claim this
4 credit to the extent the basis of the calculation of this credit has
5 been claimed for another tax credit under this chapter.
6 § 2. Section 606 of the tax law is amended by adding a new subsection
7 (qqq) to read as follows:
8 (qqq) Small business tax credit; infectious disease mitigation. (1)
9 General. A taxpayer that is a small business shall be allowed a credit,
10 to be computed as provided in this subsection, against the tax imposed
11 by this article for efforts taken to improve such taxpayer's facility in
12 an effort to reduce the spread of infectious diseases.
13 (2) Amount of credit. A credit authorized by this section shall be
14 equal to the amount of money spent by an eligible taxpayer to construct,
15 install, build, and/or equip such taxpayer's facility with new amenities
16 primarily intended to reduce the spread of infectious diseases, but
17 shall not exceed five thousand dollars total for each location where
18 such new amenities have been constructed, installed, built, and/or
19 equipped.
20 (3) Carryover. The credit allowed under this subsection for any taxa-
21 ble year shall not reduce the tax due for such year to less than the
22 amount prescribed in paragraph (d) of subdivision one of section two
23 hundred ten of this chapter. However, if the amount of credit allowable
24 under this subsection for any taxable year reduces the tax to such
25 amount or if the taxpayer otherwise pays tax based on the fixed dollar
26 minimum amount, any amount of credit not deductible in such taxable year
27 may be carried over to the following three years, and may be deducted
28 from the qualified employer's tax for such years.
29 (4) Definitions. As used in this subsection, the term "small business"
30 shall mean any business having fifty or fewer employees.
31 (5) Claim of credit. A taxpayer shall not be allowed to claim this
32 credit to the extent the basis of the calculation of this credit has
33 been claimed for another tax credit under this chapter.
34 § 3. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
35 of the tax law is amended by adding a new clause (lii) to read as
36 follows:
37 (lii) Small business tax credit;Amount of credit under
38 infectious disease mitigationsubdivision sixty-one of
39 under subsection (qqq)section two hundred
40 ten-B
41 § 4. This act shall take effect on the first of January next succeed-
42 ing the date on which it shall have become a law.
