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S08009 Summary:

BILL NOS08009C
 
SAME ASSAME AS UNI. A09009-C
 
SPONSORBUDGET
 
COSPNSR
 
MLTSPNSR
 
Amd Various Laws, generally
 
Enacts into law major components of legislation which are necessary to implement the state fiscal plan for the 2022-2023 state fiscal year; accelerates middle class tax cuts (Subpart A); provides for an alternative tax table benefit recapture for certain taxpayers (Subpart B)(Part A); provides an enhanced investment tax credit to farmers (Subpart A); extends the farm workforce retention credit (Subpart B); establishes a farm employer overtime credit (Subpart C)(Part B); expands the small business subtraction modification (Part C); excludes certain student loan forgiveness awards from state income tax (Part D); enacts the COVID-19 capital costs tax credit program to provide financial assistance to economically harmed businesses (Part E); extends and expands the New York City musical and theatrical production tax credit and the purposes of the New York state council on the arts cultural programs fund (Part F); extends and modifies the hire a vet credit; adds persons who served in the active uniformed services of the United States as a member of the commissioned corps of the national oceanic and atmospheric administration or the commissioned corps of the United States public health service to the definition of a qualified veteran (Part H); establishes a tax credit of 50% of a taxpayer's costs of conversion for the conversion from grade no. 6 heating oil usage to biodiesel heating oil and geothermal heating systems (Part I); extends the credit against income tax for persons or entities investing in low-income housing (Part J); extends the clean heating fuel credit for three years (Part K); relates to the application of a credit for companies who provide transportation to individuals with disabilities and extends provisions related thereto (Part L); requires the filing of a diversity plan to be granted an empire state film production credit; extends the effectiveness of the empire state film production credit (Part M); extends the New York youth jobs program tax credit (Part N); extends the empire state apprenticeship tax credit program (Part O); extends the alternative fuels and electric vehicle recharging property credit (Part P); extends the workers with disabilities tax credit program (Part Q); provides that commercial tugboats, barges and other commercial towboats are exempt from payment of the petroleum business tax (Part T); requires publication of changes in withholding tables and interest rates (Part W); expands the definition of financial institution under the financial institution data match program (Part X); extends the assessment ceiling for local public utility mass real property; provides for the challenging of assessed value by owners of local public utility mass real property (Part Y); provides for good cause refunds for the STAR program (Subpart A); clarifies the applicable income tax year for the basic STAR credit (Subpart C); allows names of STAR credit recipients to be shared with assessors outside of New York state (Subpart D); allows decedent reports to be given to assessors (Subpart E)(Part Z); relates to the grievance process with respect to the valuation of solar and wind energy systems (Part AA); establishes a homeowner tax rebate credit (Part BB); relates to the utilization of funds in the Catskill and Capital regions off-track betting corporations' capital acquisition funds; makes such provisions permanent (Part DD); provides licenses for simulcast facilities, sums relating to track simulcast, simulcast of out-of-state thoroughbred races, simulcasting of races run by out-of-state harness tracks and distributions of wagers; relates to simulcasting and the imposition of certain taxes (Part EE); establishes a tax credit for the purchase and installation of geothermal energy systems (Part FF); relates to exempting certain food and drink items sold in vending machines from certain sales tax provisions (Part GG); provides an abatement of real property taxes for the creation or expansion of childcare centers in certain buildings in a city having a population of one million or more (Part HH); establishes a child care credit against certain business income taxes (Part II); relates to the earned income tax credit (Part JJ); allows for business entities in the restaurant return-to-work tax credit program to claim an additional credit of five thousand dollars per each full-time equivalent net employee increase above ten, not to exceed twenty (Part KK); clarifies that certain work performed remotely due to COVID-19 qualifies for certain tax credit programs (Part LL); relates to pass-through entity tax for electing resident and standard S corporations (Subpart A); establishes a city pass-through entity tax for electing city partnership and city resident S corporations (Subpart B) (Part MM); provides a supplemental empire state child credit; allows for the issuance of payment of a supplemental earned income tax credit and a supplemental enhanced earned income credit to resident taxpayers who have met certain requirements (Part NN); relates to the creation of the empire state digital gaming media production credit (Part OO); provides a tax deduction for the amount of any federal deduction disallowed pursuant to section 280E of the internal revenue code related to the production and distribution of adult-use cannabis products (Part PP); relates to the New York Jockey Injury Compensation Fund, Inc. (Part QQ); suspends certain taxes related to motor fuel and Diesel motor fuel; authorizes localities to impose certain taxes on such fuels (Part RR).
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S08009 Actions:

BILL NOS08009C
 
01/19/2022REFERRED TO FINANCE
02/22/2022AMEND (T) AND RECOMMIT TO FINANCE
02/22/2022PRINT NUMBER 8009A
03/13/2022AMEND (T) AND RECOMMIT TO FINANCE
03/13/2022PRINT NUMBER 8009B
04/07/2022AMEND (T) AND RECOMMIT TO FINANCE
04/07/2022PRINT NUMBER 8009C
04/07/2022ORDERED TO THIRD READING CAL.747
04/07/2022MESSAGE OF NECESSITY - 3 DAY MESSAGE
04/07/2022PASSED SENATE
04/07/2022DELIVERED TO ASSEMBLY
04/07/2022referred to ways and means
04/07/2022substituted for a9009c
04/07/2022ordered to third reading rules cal.71
04/07/2022message of necessity - 3 day message
04/07/2022passed assembly
04/07/2022returned to senate
04/09/2022DELIVERED TO GOVERNOR
04/09/2022SIGNED CHAP.59
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S08009 Memo:

Memo not available
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S08009 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
            S. 8009--C                                            A. 9009--C
 
                SENATE - ASSEMBLY
 
                                    January 19, 2022
                                       ___________
 
        IN  SENATE -- A BUDGET BILL, submitted by the Governor pursuant to arti-
          cle seven of the Constitution -- read twice and ordered  printed,  and
          when  printed to be committed to the Committee on Finance -- committee
          discharged, bill amended, ordered reprinted as amended and recommitted
          to said committee  --  committee  discharged,  bill  amended,  ordered
          reprinted  as  amended  and recommitted to said committee -- committee
          discharged, bill amended, ordered reprinted as amended and recommitted
          to said committee
 
        IN ASSEMBLY -- A BUDGET BILL, submitted  by  the  Governor  pursuant  to
          article  seven  of  the  Constitution -- read once and referred to the
          Committee on Ways and Means --  committee  discharged,  bill  amended,
          ordered  reprinted  as  amended  and  recommitted to said committee --
          again reported from said committee with amendments, ordered  reprinted
          as  amended  and  recommitted to said committee -- again reported from
          said committee with  amendments,  ordered  reprinted  as  amended  and
          recommitted to said committee
 
        AN  ACT  to  amend  the tax law, in relation to accelerating the middle-
          class tax cut (Subpart A); and to amend the tax law,  in  relation  to
          alternative tax table benefit recapture for certain taxpayers (Subpart
          B)  (Part  A);  to  amend  the  tax  law,  in relation to providing an
          enhanced investment tax credit to farmers (Subpart A);  to  amend  the
          tax law and chapter 60 of the laws of 2016 amending the tax law relat-
          ing  to creating a farm workforce retention credit, in relation to the
          effectiveness of such credit (Subpart B); and to amend the tax law, in
          relation to establishing a farm employer overtime credit  (Subpart  C)
          (Part B); to amend the tax law and the administrative code of the city
          of  New  York, in relation to expanding the small business subtraction
          modification (Part C); to amend the tax law, in relation to  excluding
          certain  loan  forgiveness  awards  from state income tax (Part D); to
          amend the economic development law and the tax  law,  in  relation  to
          creating  the  COVID-19  capital costs tax credit program (Part E); to
          amend the tax law and the state finance law, in relation to  extending
          and  expanding the New York city musical and theatrical production tax
          credit and the purposes of the New York  state  council  on  the  arts
          cultural  programs  fund; and to amend subpart B of part PP of chapter
          59 of the laws of 2021 amending the tax law and the state finance  law
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD12674-05-2

        S. 8009--C                          2                         A. 9009--C
 
          relating  to  establishing  the  New  York city musical and theatrical
          production tax credit and establishing the New York state  council  on
          the arts cultural program fund, in relation to the effectiveness ther-
          eof (Part F); intentionally omitted (Part G); to amend the tax law, in
          relation to extending and modifying the hire a vet credit (Part H); to
          amend  the  tax  law, in relation to establishing a tax credit for the
          conversion from grade no. 6 heating oil usage to biodiesel heating oil
          and geothermal systems (Part I); to amend the public housing  law,  in
          relation  to  extending  the  credit against income tax for persons or
          entities investing in low-income housing (Part J); to  amend  the  tax
          law,  in relation to extending the clean heating fuel credit for three
          years (Part K); to amend chapter 604 of the laws of 2011 amending  the
          tax  law  relating to the credit for companies who provide transporta-
          tion to people with disabilities, in  relation  to  the  effectiveness
          thereof; and to amend the tax law, in relation to the application of a
          credit  for  companies  who provide transportation to individuals with
          disabilities (Part L); to amend the tax law, in relation to the empire
          state film production credit and the empire state film post production
          credit (Part M); to amend the labor law, in relation to extending  the
          New  York  youth  jobs program tax credit (Part N); to amend the labor
          law, in relation to extending  the  empire  state  apprenticeship  tax
          credit  program (Part O); to amend the tax law, in relation to extend-
          ing the alternative fuels and  electric  vehicle  recharging  property
          credit  (Part  P);  to amend the labor law, in relation to the program
          period for the workers with disabilities tax credit  program;  and  to
          amend part MM of chapter 59 of the laws of 2014 amending the labor law
          and the tax law relating to the creation of the workers with disabili-
          ties  tax  credit  program,  in  relation to the effectiveness thereof
          (Part Q); intentionally omitted (Part R); intentionally omitted  (Part
          S);  to amend the tax law, in relation to exempting certain fuels used
          by tugboats and towboats from the petroleum  business  tax  (Part  T);
          intentionally  omitted  (Part  U);  intentionally omitted (Part V); to
          amend the tax law, in relation to requiring publication of changes  in
          withholding  tables and interest rates (Part W); to amend the tax law,
          in relation to expanding the definition of financial institution under
          the financial institution data match program (Part X);  to  amend  the
          real  property tax law, in relation to the challenge of assessed value
          by  owners of local public utility mass real property;  and  to  amend
          chapter  475  of the laws of 2013, relating to assessment ceilings for
          local public utility mass real property, in relation to extending  the
          assessment  ceiling  for  local  public  utility mass real property to
          January 1, 2027 (Part Y); to amend  the  real  property  tax  law,  in
          relation  to  good  cause  refunds  for  the STAR program (Subpart A);
          intentionally omitted (Subpart B); to amend the tax law,  in  relation
          to clarifying the applicable income tax year for the basic STAR credit
          (Subpart  C);  to  amend the tax law, in relation to allowing names of
          STAR credit recipients to be shared with assessors outside of New York
          state (Subpart D); and to amend the tax law, in relation  to  allowing
          decedent  reports  to  be  given to assessors (Subpart E) (Part Z); to
          amend the real property tax law, in relation to the grievance  process
          with  respect  to the valuation of solar and wind energy systems (Part
          AA); to amend the tax law, in relation to establishing a homeowner tax
          rebate credit (Part BB); intentionally omitted (Part CC); to amend the
          racing, pari-mutuel  wagering  and  breeding law, in relation  to  the
          utilization  of  funds  in the Catskill and Capital  regions off-track
          betting corporation's capital acquisition funds; and to amend part LLL

        S. 8009--C                          3                         A. 9009--C
 
          of chapter 59 of the laws of 2021  amending  the  racing,  pari-mutuel
          wagering and breeding law, relating to the utilization of funds in the
          Catskill  and  Capital regions off-track betting corporation's capital
          acquisition funds, in relation to the effectiveness thereof (Part DD);
          to  amend  the  racing,  pari-mutuel  wagering  and  breeding  law, in
          relation to licenses for simulcast facilities, sums relating to  track
          simulcast,  simulcast of out-of-state thoroughbred races, simulcasting
          of races run by  out-of-state  harness  tracks  and  distributions  of
          wagers;  to amend chapter 281 of the laws of 1994 amending the racing,
          pari-mutuel wagering and breeding  law  and  other  laws  relating  to
          simulcasting;  to  amend  chapter 346 of the laws of 1990 amending the
          racing, pari-mutuel wagering and breeding law and other laws  relating
          to  simulcasting  and  the imposition of certain taxes, in relation to
          extending certain provisions thereof; and to amend the  racing,  pari-
          mutuel  wagering  and  breeding  law, in relation to extending certain
          provisions thereof (Part EE); to amend the tax  law,  in  relation  to
          establishing  a  credit  for  geothermal  energy systems (Part FF); to
          amend the tax law, in relation to extending sales  tax  exemption  for
          certain  food  and drink vending machines (Part GG); to amend the real
          property tax law, in relation to an abatement of real  property  taxes
          for  the  creation or expansion of childcare centers in certain build-
          ings in a city having a population of one million or more  (Part  HH);
          to  amend the administrative code of the city of New York, in relation
          to establishing a tax credit for child care against the unincorporated
          business tax, general corporation tax, and  the  business  corporation
          tax  of  2015  (Part  II); to amend the tax law and the administrative
          code of the city of New York, in relation to  the  earned  income  tax
          credit  (Part  JJ);  to amend the economic development law and the tax
          law, in relation to creating the additional restaurant  return-to-work
          credit (Part KK); clarifying for certain tax credit programs that work
          performed remotely within the state due to the outbreak of novel coro-
          navirus,  COVID-19,  qualifies  for  certain  tax credit programs; and
          providing for the repeal of such provisions  upon  expiration  thereof
          (Part  LL);  to  amend the tax law, in relation to pass-through entity
          tax for electing resident and standard S corporations (Subpart A); and
          to amend the tax law, the public authorities law, and the  administra-
          tive  code of the city of New York, in relation to establishing a city
          pass-through entity tax (Subpart B) (Part MM); to amend the  tax  law,
          in  relation  to  providing  a supplemental empire state child credit,
          earned income tax credit payment and enhanced earned income tax credit
          payment to resident taxpayers (Part NN); to amend the tax law and  the
          economic  development  law,  in relation to the creation of the empire
          state digital gaming media production credit (Part OO); to  amend  the
          tax  law, in relation to permitting deductions for commercial cannabis
          activity (Part PP); to amend  the  racing,  pari-mutuel  wagering  and
          breeding  law,  in relation to the New York Jockey Injury Compensation
          Fund, Inc. (Part QQ); and  to  amend  the  tax  law,  in  relation  to
          suspending  the excise tax, prepaid sales tax and state sales taxes on
          motor fuel and Diesel motor fuel, and authorizing localities to  elect
          a  cents-per-gallon  rate  of  tax on such fuels based on four dollars
          (Part RR)

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

        S. 8009--C                          4                         A. 9009--C
 
     1    Section  1.  This  act enacts into law major components of legislation
     2  which are necessary to implement the state fiscal plan for the 2022-2023
     3  state fiscal year. Each component is  wholly  contained  within  a  Part
     4  identified as Parts A through RR. The effective date for each particular
     5  provision contained within such Part is set forth in the last section of
     6  such  Part.    Any  provision  in  any  section contained within a Part,
     7  including the effective date of the Part, which makes a reference  to  a
     8  section  "of  this  act",  when  used in connection with that particular
     9  component, shall be deemed  to  mean  and  refer  to  the  corresponding
    10  section of the Part in which it is found. Section three of this act sets
    11  forth the general effective date of this act.
 
    12                                   PART A
 
    13    Section  1.  This Part enacts into law major components of legislation
    14  accelerating middle class tax cuts and providing for an alternative  tax
    15  table  benefit recapture for certain taxpayers. Each component is wholly
    16  contained within a Subpart identified as Subparts A and B. The effective
    17  date for each particular provision contained within such Subpart is  set
    18  forth  in the last section of such Subpart. Any provision in any section
    19  contained within a Subpart, including the effective date of the Subpart,
    20  which makes  reference  to  a  section  of  "this  act",  when  used  in
    21  connection  with  that particular component, shall be deemed to mean and
    22  refer to the corresponding section of the Subpart in which it is  found.
    23  Section two this act sets forth the general effective date of this Part.
 
    24                                  SUBPART A
 
    25    Section 1. Clauses (vi), (vii), (viii) and (ix) of subparagraph (B) of
    26  paragraph  1  of  subsection  (a) of section 601 of the tax law, clauses
    27  (vi), (vii) and (viii) as amended and clause (ix) as added by section  1
    28  of  part  A  of  chapter  59 of the laws of 2021, are amended to read as
    29  follows:
    30    (vi) For taxable years beginning  in  two  thousand  twenty-three  and
    31  before two thousand twenty-eight the following rates shall apply:
    32  [If the New York taxable income is:   The tax is:
    33  Not over $17,150                      4% of the New York taxable income
    34  Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
    35                                        $17,150
    36  Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
    37                                        $23,600
    38  Over $27,900 but not over $161,550    $1,202 plus 5.73% of excess over
    39                                        $27,900
    40  Over $161,550 but not over $323,200   $8,860 plus 6.17% of excess over
    41                                        $161,550
    42  Over $323,200 but not over            $18,834 plus 6.85% of
    43  $2,155,350                            excess over $323,200
    44  Over $2,155,350 but not over          $144,336 plus 9.65% of excess over
    45  $5,000,000                            $2,155,350
    46  Over $5,000,000 but not over          $418,845 plus 10.30% of excess over
    47  $25,000,000                           $5,000,000
    48  Over $25,000,000                      $2,478,845 plus 10.90% of excess over
    49                                        $25,000,000
    50    (vii)  For  taxable  years  beginning  in two thousand twenty-four the
    51  following rates shall apply:

        S. 8009--C                          5                         A. 9009--C

     1  If the New York taxable income is:    The tax is:
     2  Not over $17,150                      4% of the New York taxable income
     3  Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
     4                                        $17,150
     5  Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
     6                                        $23,600
     7  Over $27,900 but not over $161,550    $1,202 plus 5.61% of excess over
     8                                        $27,900
     9  Over $161,550 but not over $323,200   $8,700 plus 6.09% of excess over
    10                                        $161,550
    11  Over $323,200 but not over            $18,544 plus 6.85% of excess over
    12  $2,155,350                            $323,200
    13  Over $2,155,350 but not over          $144,047 plus 9.65% of excess over
    14  $5,000,000                            $2,155,350
    15  Over $5,000,000 but not over          $418,555 plus 10.30% of excess over
    16  $25,000,000                           $5,000,000
    17  Over $25,000,000                      $2,478,555 plus 10.90% of excess over
    18                                        $25,000,000
    19    (viii)  For taxable years beginning after two thousand twenty-four and
    20  before two thousand twenty-eight the following rates shall apply:]
    21  If the New York taxable income is:    The tax is:
    22  Not over $17,150                      4% of the New York taxable income
    23  Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
    24                                        $17,150
    25  Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
    26                                        $23,600
    27  Over $27,900 but not over $161,550    $1,202 plus 5.5% of excess over
    28                                        $27,900
    29  Over $161,550 but not over $323,200   $8,553 plus 6.00% of excess over
    30                                        $161,550
    31  Over $323,200 but not over            $18,252 plus 6.85% of excess over
    32  $2,155,350                            $323,200
    33  Over $2,155,350 but not over          $143,754 plus 9.65% of excess over
    34  $5,000,000                            $2,155,350
    35  Over $5,000,000 but not over          $418,263 plus 10.30% of excess over
    36  $25,000,000                           $5,000,000
    37  Over $25,000,000                      $2,478,263 plus 10.90% of excess over
    38                                        $25,000,000
 
    39    [(ix)](vii) For taxable years beginning after two thousand twenty-sev-
    40  en the following rates shall apply:
    41  If the New York taxable income is:    The tax is:
    42  Not over $17,150                      4% of the New York taxable income
    43  Over $17,150 but not over $23,600     $686 plus 4.5% of excess over
    44                                        $17,150
    45  Over $23,600 but not over $27,900     $976 plus 5.25% of excess over
    46                                        $23,600
    47  Over $27,900 but not over $161,550    $1,202 plus 5.5% of excess over
    48                                        $27,900
    49  Over $161,550 but not over $323,200   $8,553 plus 6.00% of excess
    50                                        over $161,550
    51  Over $323,200 but not over            $18,252 plus 6.85% of excess
    52  $2,155,350                            over $323,200
    53  Over $2,155,350                       $143,754 plus  8.82% of excess
    54                                        over $2,155,350

        S. 8009--C                          6                         A. 9009--C
 
     1    § 2. Clauses (vi), (vii), (viii) and (ix) of subparagraph (B) of para-
     2  graph 1 of subsection (b) of section 601 of the tax law,  clauses  (vi),
     3  (vii)  and  (viii)  as  amended and clause (ix) as added by section 2 of
     4  part A of chapter 59 of the  laws  of  2021,  are  amended  to  read  as
     5  follows:
     6    (vi)  For  taxable  years  beginning  in two thousand twenty-three and
     7  before two thousand twenty-eight the following rates shall apply:
     8  [If the New York taxable income is:   The tax is:
     9  Not over $12,800                      4% of the New York taxable income
    10  Over $12,800 but not over $17,650     $512 plus 4.5% of excess over
    11                                        $12,800
    12  Over $17,650 but not over $20,900     $730 plus 5.25% of excess over
    13                                        $17,650
    14  Over $20,900 but not over $107,650    $901 plus 5.73% of excess over
    15                                        $20,900
    16  Over $107,650 but not over $269,300   $5,872 plus 6.17% of excess over
    17                                        $107,650
    18  Over $269,300 but not over            $15,845 plus 6.85% of excess
    19  $1,616,450                            over $269,300
    20  Over $1,616,450 but not over          $108,125 plus 9.65% of excess over
    21  $5,000,000                            $1,616,450
    22  Over $5,000,000 but not over          $434,638 plus 10.30% of excess over
    23  $25,000,000                           $5,000,000
    24  Over $25,000,000                      $2,494,638 plus 10.90% of excess over
    25                                        $25,000,000
    26    (vii) For taxable years beginning  in  two  thousand  twenty-four  the
    27  following rates shall apply:
    28  If the New York taxable income is:    The tax is:
    29  Not over $12,800                      4% of the New York taxable income
    30  Over $12,800 but not over $17,650     $512 plus 4.5% of excess over
    31                                        $12,800
    32  Over $17,650 but not over $20,900     $730 plus 5.25% of excess over
    33                                        $17,650
    34  Over $20,900 but not over $107,650    $901 plus 5.61% of excess over
    35                                        $20,900
    36  Over $107,650 but not over $269,300   $5,768 plus 6.09% of excess over
    37                                        $107,650
    38  Over $269,300 but not over            $15,612 plus 6.85% of excess
    39  $1,616,450                            over $269,300
    40  Over $1,616,450 but not over          $107,892 plus 9.65% of excess over
    41  $5,000,000                            $1,616,450
    42  Over $5,000,000 but not over          $434,404 plus 10.30% of excess over
    43  $25,000,000                           $5,000,000
    44  Over $25,000,000                      $2,494,404 plus 10.90% of excess over
    45                                        $25,000,000
    46    (viii)  For taxable years beginning after two thousand twenty-four and
    47  before two thousand twenty-eight the following rates shall apply:]
    48  If the New York taxable income is:    The tax is:
    49  Not over $12,800                      4% of the New York taxable income
    50  Over $12,800 but not over $17,650     $512 plus 4.5% of excess over
    51                                        $12,800
    52  Over $17,650 but not over $20,900     $730 plus 5.25% of excess over
    53                                        $17,650
    54  Over $20,900 but not over $107,650    $901 plus 5.5% of excess over
    55                                        $20,900
    56  Over $107,650 but not over $269,300   $5,672 plus 6.00% of excess over

        S. 8009--C                          7                         A. 9009--C
 
     1                                        $107,650
     2  Over $269,300 but not over            $15,371 plus 6.85% of excess over
     3  $1,616,450                            $269,300
     4  Over $1,616,450 but not over          $107,651 plus 9.65% of excess over
     5  $5,000,000                            $1,616,450
     6  Over $5,000,000 but not over          $434,163 plus 10.30% of excess over
     7  $25,000,000                           $5,000,000
     8  Over $25,000,000                      $2,494,163 plus 10.90% of excess over
     9                                        $25,000,000

    10    [(ix)](vii) For taxable years beginning after two thousand twenty-sev-
    11  en the following rates shall apply:
    12  If the New York taxable income is:    The tax is:
    13  Not over $12,800                      4% of the New York taxable income
    14  Over $12,800 but not over             $512 plus 4.5% of excess over
    15  $17,650                               $12,800
    16  Over $17,650 but not over             $730 plus 5.25% of excess over
    17  $20,900                               $17,650
    18  Over $20,900 but not over             $901 plus 5.5% of excess over
    19  $107,650                              $20,900
    20  Over $107,650 but not over            $5,672 plus 6.00% of excess
    21  $269,300                              over $107,650
    22  Over $269,300 but not over            $15,371 plus 6.85% of excess
    23  $1,616,450                            over $269,300
    24  Over $1,616,450                       $107,651 plus  8.82% of excess
    25                                        over $1,616,450
 
    26    § 3. Clauses (vi), (vii), (viii) and (ix) of subparagraph (B) of para-
    27  graph  1  of subsection (c) of section 601 of the tax law, clauses (vi),
    28  (vii) and (viii) as amended, and clause (ix) as added by  section  3  of
    29  part  A  of  chapter  59  of  the  laws  of 2021, are amended to read as
    30  follows:
    31    (vi) For taxable years beginning  in  two  thousand  twenty-three  and
    32  before two thousand twenty-eight the following rates shall apply:
    33  [If the New York taxable income is:   The tax is:
    34  Not over $8,500                       4% of the New York taxable income
    35  Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
    36                                        $8,500
    37  Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
    38                                        $11,700
    39  Over $13,900 but not over $80,650     $600 plus 5.73% of excess over
    40                                        $13,900
    41  Over $80,650 but not over $215,400    $4,424 plus 6.17% of excess over
    42                                        $80,650
    43  Over $215,400 but not over            $12,738 plus 6.85% of excess
    44  $1,077,550                            over $215,400
    45  Over $1,077,550 but not over          $71,796 plus 9.65% of excess over
    46  $5,000,000                            $1,077,550
    47  Over $5,000,000 but not over          $450,312 plus 10.30% of excess over
    48  $25,000,000                           $5,000,000
    49  Over $25,000,000                      $2,510,312 plus 10.90% of excess over
    50                                        $25,000,000
    51    (vii)  For  taxable  years  beginning  in two thousand twenty-four the
    52  following rates shall apply:

        S. 8009--C                          8                         A. 9009--C

     1  If the New York taxable income is:    The tax is:
     2  Not over $8,500                       4% of the New York taxable income
     3  Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
     4                                        $8,500
     5  Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
     6                                        $11,700
     7  Over $13,900 but not over $80,650     $600 plus 5.61% of excess over
     8                                        $13,900
     9  Over $80,650 but not over $215,400    $4,344 plus 6.09% of excess over
    10                                        $80,650
    11  Over $215,400 but not over            $12,550 plus 6.85% of excess
    12  $1,077,550                            over $215,400
    13  Over $1,077,550 but not over          $71,608 plus 9.65% of excess over
    14  $5,000,000                            $1,077,550
    15  Over $5,000,000 but not over          $450,124 plus 10.30% of excess over
    16  $25,000,000                           $5,000,000
    17  Over $25,000,000                      $2,510,124 plus 10.90% of excess over
    18                                        $25,000,000
    19    (viii)  For taxable years beginning after two thousand twenty-four and
    20  before two thousand twenty-eight the following rates shall apply:]
    21  If the New York taxable income is:    The tax is:
    22  Not over $8,500                       4% of the New York taxable income
    23  Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
    24                                        $8,500
    25  Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
    26                                        $11,700
    27  Over $13,900 but not over $80,650     $600 plus 5.50% of excess over
    28                                        $13,900
    29  Over $80,650 but not over $215,400    $4,271 plus 6.00% of excess over
    30                                        $80,650
    31  Over $215,400 but not over            $12,356 plus 6.85% of excess over
    32  $1,077,550                            $215,400
    33  Over $1,077,550 but not over          $71,413 plus 9.65% of excess over
    34  $5,000,000                            $1,077,550
    35  Over $5,000,000 but not over          $449,929 plus 10.30% of excess over
    36  $25,000,000                           $5,000,000
    37  Over $25,000,000                      $2,509,929 plus 10.90% of excess over
    38                                        $25,000,000
    39    [(ix)](vii) For taxable years beginning after two thousand twenty-sev-
    40  en the following rates shall apply:
    41  If the New York taxable income is:    The tax is:
    42  Not over $8,500                       4% of the New York taxable income
    43  Over $8,500 but not over $11,700      $340 plus 4.5% of excess over
    44                                        $8,500
    45  Over $11,700 but not over $13,900     $484 plus 5.25% of excess over
    46                                        $11,700
    47  Over $13,900 but not over $80,650     $600 plus 5.50% of excess over
    48                                        $13,900
    49  Over $80,650 but not over $215,400    $4,271 plus 6.00% of excess
    50                                        over $80,650
    51  Over $215,400 but not over            $12,356 plus 6.85% of excess
    52  $1,077,550                            over $215,400
    53  Over $1,077,550                       $71,413 plus 8.82% of excess
    54                                        over $1,077,550
 
    55    § 4. This act shall take effect immediately.

        S. 8009--C                          9                         A. 9009--C
 
     1                                  SUBPART B
 
     2    Section  1.  Section  601  of  the  tax law is amended by adding a new
     3  subsection (d-2) to read as follows:
     4    (d-2) Alternative tax table  benefit  recapture.  Notwithstanding  the
     5  provisions of subsection (d) or (d-1) of this section, for taxable years
     6  beginning  on  or  after two thousand twenty-one and before two thousand
     7  twenty-two, there is hereby imposed a supplemental tax  in  addition  to
     8  the  tax  imposed under subsections (a), (b) and (c) of this section for
     9  the purpose of recapturing the benefit of the tax  tables  contained  in
    10  such  subsections.  During  these  taxable  years, any reference in this
    11  chapter to subsection (d) or (d-1) of this section shall be  read  as  a
    12  reference to this subsection.
    13    (1) For resident married individuals filing joint returns and resident
    14  surviving spouses:
    15    (A)  If  New  York adjusted gross income is greater than $107,650, but
    16  not over $25,000,000:
    17    (i) the recapture base and incremental benefit shall be determined  by
    18  New York taxable income as follows:
    19  Greater than    Not over          Recapture Base    Incremental Benefit
    20  $43,000         $161,550          $0                $474
    21  $161,550        $323,200          $474              $582
    22  $323,200        $2,155,350        $1,056            $1,680
    23  $2,155,350      $5,000,000        $2,736            $60,350
    24  $5,000,000      $25,000,000       $63,086           $32,500
    25    (ii)  the  applicable  amount  shall be determined by New York taxable
    26  income as follows:
    27  Greater than Not over    Applicable Amount
    28  $43,000      $161,550    New York adjusted gross income minus $107,650
    29  $161,550     $323,200    New York adjusted gross income minus $161,550
    30  $323,200     $2,155,350  New York adjusted gross income minus $323,200
    31  $2,155,350   $5,000,000  New York adjusted gross income minus $2,155,350
    32  $5,000,000   $25,000,000 New York adjusted gross income minus $5,000,000
    33    (iii) the phase-in fraction shall be  a  fraction,  the  numerator  of
    34  which  shall  be  the lesser of fifty thousand dollars or the applicable
    35  amount and the denominator of which shall be fifty thousand dollars; and
    36    (iv) the supplemental tax due shall equal the  sum  of  the  recapture
    37  base  and the product of (i) the incremental benefit and (ii) the phase-
    38  in fraction. Provided, however, that if the New York taxable  income  of
    39  the taxpayer is less than forty-three thousand dollars, the supplemental
    40  tax  shall  equal the difference between the product of 5.97 percent and
    41  New York taxable income and the tax table computation on  the  New  York
    42  taxable  income  set  forth  in  paragraph one of subsection (a) of this
    43  section, multiplied by a fraction, the numerator of which is the  lesser
    44  of  fifty  thousand dollars or New York adjusted gross income minus  one
    45  hundred seven thousand six hundred fifty dollars, and the denominator of
    46  which is fifty thousand dollars.
    47    (B) If New York adjusted gross income is  greater  than    twenty-five
    48  million  dollars,  the  supplemental  tax due shall equal the difference
    49  between the product of 10.90 percent and New York taxable income and the
    50  tax table computation on the New York taxable income set forth in  para-
    51  graph one of subsection (a) of this section.
    52    (2) For resident heads of households:
    53    (A)  If  New  York adjusted gross income is greater than $107,650, but
    54  not over $25,000,000:

        S. 8009--C                         10                         A. 9009--C

     1    (i) the recapture base and incremental benefit shall be determined  by
     2  New York taxable income as follows:
     3  Greater than    Not over          Recapture Base    Incremental Benefit
     4  $107,650        $269,300          $0                $742
     5  $269,300        $1,616,450        $742              $1,401
     6  $1,616,450      $5,000,000        $2,143            $45,260
     7  $5,000,000      $25,000,000       $47,403           $32,500
     8    (ii)  the  applicable  amount  shall be determined by New York taxable
     9  income as follows:
    10  Greater than Not over    Applicable Amount
    11  $107,650     $269,300    New York adjusted gross income minus $107,650
    12  $269,300     $1,616,450  New York adjusted gross income minus $269,300
    13  $1,616,450   $5,000,000  New York adjusted gross income minus $1,616,450
    14  $5,000,000   $25,000,000 New York adjusted gross income minus $5,000,000
    15    (iii) the phase-in fraction shall be  a  fraction,  the  numerator  of
    16  which  shall  be the lesser of  fifty thousand dollars or the applicable
    17  amount and the denominator of which shall be fifty thousand dollars; and
    18    (iv) the supplemental tax due shall equal the  sum  of  the  recapture
    19  base  and the product of (i) the incremental benefit and (ii) the phase-
    20  in fraction. Provided, however, that if the New York taxable  income  of
    21  the  taxpayer is less than  one hundred seven thousand six hundred fifty
    22  dollars, the supplemental tax shall equal  the  difference  between  the
    23  product  of  6.33  percent and New York taxable income and the tax table
    24  computation on the New York taxable income set forth in paragraph one of
    25  subsection (b) of this section, multiplied by a fraction, the  numerator
    26  of  which  is  the lesser of fifty thousand dollars or New York adjusted
    27  gross income minus    one  hundred  seven  thousand  six  hundred  fifty
    28  dollars, and the denominator of which is fifty thousand dollars.
    29    (B)  If  New  York  adjusted gross income is greater than  twenty-five
    30  million dollars, the supplemental tax due  shall  equal  the  difference
    31  between the product of 10.90 percent and New York taxable income and the
    32  tax  table computation on the New York taxable income set forth in para-
    33  graph one of subsection (b) of this section.
    34    (3) For resident unmarried individuals, resident  married  individuals
    35  filing separate returns and resident estates and trusts:
    36    (A)  If  New  York adjusted gross income is greater than $107,650, but
    37  not over $25,000,000:
    38    (i) the recapture base and incremental benefit shall be determined  by
    39  New York taxable income as follows:
    40  Greater than    Not over          Recapture Base    Incremental Benefit
    41  $80,650         $215,400          $0                $526
    42  $215,400        $1,077,550        $526              $1,120
    43  $1,077,550      $5,000,000        $1,646            $30,171
    44  $5,000,000      $25,000,000       $31,817           $32,500
    45    (ii)  the  applicable  amount  shall be determined by New York taxable
    46  income as follows:
    47  Greater than Not over    Applicable Amount
    48  $80,650      $215,400    New York adjusted gross income minus $107,650
    49  $215,400     $1,077,550  New York adjusted gross income minus $215,400
    50  $1,077,550   $5,000,000  New York adjusted gross income minus $1,077,550
    51  $5,000,000   $25,000,000 New York adjusted gross income minus $5,000,000
    52    (iii) the phase-in fraction shall be  a  fraction,  the  numerator  of
    53  which  shall  be the lesser of  fifty thousand dollars or the applicable
    54  amount and the denominator of which shall be fifty thousand dollars; and
    55    (iv) the supplemental tax due shall equal the  sum  of  the  recapture
    56  base  and the product of (i) the incremental benefit and (ii) the phase-

        S. 8009--C                         11                         A. 9009--C

     1  in fraction. Provided, however, that if the New York taxable  income  of
     2  the  taxpayer  is less than   eighty thousand six hundred fifty dollars,
     3  the supplemental tax shall equal the difference between the  product  of
     4  6.33  percent  and New York taxable income and the tax table computation
     5  on the New York taxable income set forth in paragraph one of  subsection
     6  (c) of this section, multiplied by a fraction, the numerator of which is
     7  the  lesser  of fifty thousand dollars or New York adjusted gross income
     8  minus one hundred seven thousand six  hundred  fifty  dollars,  and  the
     9  denominator of which is fifty thousand dollars.
    10    (B)  If  New  York  adjusted gross income is greater than  twenty-five
    11  million dollars, the supplemental tax due  shall  equal  the  difference
    12  between the product of 10.90 percent and New York taxable income and the
    13  tax  table computation on the New York taxable income set forth in para-
    14  graph one of subsection (c) of this section.
    15    § 2. Section 601 of the tax law is amended by adding a new  subsection
    16  (d-3) to read as follows:
    17    (d-3)  Alternative  tax  table  benefit recapture. Notwithstanding the
    18  provisions of subsection (d), (d-1) or (d-2) of this section, for  taxa-
    19  ble  years  beginning on or after two thousand twenty-two and before two
    20  thousand twenty-three, there is hereby imposed  a  supplemental  tax  in
    21  addition  to  the tax imposed under subsections (a), (b) and (c) of this
    22  section for the purpose of recapturing the benefit  of  the  tax  tables
    23  contained in such subsections. During these taxable years, any reference
    24  in  this chapter to subsection (d), (d-1) or (d-2) of this section shall
    25  be read as a reference to this subsection.
    26    (1) For resident married individuals filing joint returns and resident
    27  surviving spouses:
    28    (A)  If New York adjusted gross income is greater than  $107,650,  but
    29  not over $25,000,000:
    30    (i)  the recapture base and incremental benefit shall be determined by
    31  New York taxable income as follows:
    32  Greater than    Not over          Recapture Base    Incremental Benefit
    33  $27,900         $161,550          $0                $430
    34  $161,550        $323,200          $430              $646
    35  $323,200        $2,155,350        $1,076            $1,940
    36  $2,155,350      $5,000,000        $3,016            $60,349
    37  $5,000,000      $25,000,000       $63,365           $32,500
    38    (ii) the applicable amount shall be determined  by  New  York  taxable
    39  income as follows:
    40  Greater than Not over    Applicable Amount
    41  $27,900      $161,550    New York adjusted gross income minus $107,650
    42  $161,550     $323,200    New York adjusted gross income minus $161,550
    43  $323,200     $2,155,350  New York adjusted gross income minus $323,200
    44  $2,155,350   $5,000,000  New York adjusted gross income minus $2,155,350
    45  $5,000,000   $25,000,000 New York adjusted gross income minus $5,000,000
    46    (iii)  the  phase-in  fraction  shall  be a fraction, the numerator of
    47  which shall be the lesser of  fifty thousand dollars or  the  applicable
    48  amount and the denominator of which shall be fifty thousand dollars; and
    49    (iv)  the  supplemental  tax  due shall equal the sum of the recapture
    50  base and the product of (i) the incremental benefit and (ii) the  phase-
    51  in  fraction.  Provided, however, that if the New York taxable income of
    52  the taxpayer is less than  twenty-seven thousand nine  hundred  dollars,
    53  the  supplemental  tax shall equal the difference between the product of
    54  5.85 percent and New York taxable income and the tax  table  computation
    55  on  the New York taxable income set forth in paragraph one of subsection
    56  (a) of this section, multiplied by a fraction, the numerator of which is

        S. 8009--C                         12                         A. 9009--C
 
     1  the lesser of fifty thousand dollars or New York adjusted  gross  income
     2  minus  one  hundred  seven  thousand  six hundred fifty dollars, and the
     3  denominator of which is fifty thousand dollars.
     4    (B)  If  New  York  adjusted gross income is greater than  twenty-five
     5  million dollars, the supplemental tax due  shall  equal  the  difference
     6  between the product of 10.90 percent and New York taxable income and the
     7  tax  table computation on the New York taxable income set forth in para-
     8  graph one of subsection (a) of this section.
     9    (2) For resident heads of households:
    10    (A) If New York adjusted gross income is greater  than  $107,650,  but
    11  not over $25,000,000:
    12    (i)  the recapture base and incremental benefit shall be determined by
    13  New York taxable income as follows:
    14  Greater than    Not over          Recapture Base    Incremental Benefit
    15  $107,650        $269,300          $0                $752
    16  $269,300        $1,616,450        $752              $1,616
    17  $1,616,450      $5,000,000        $2,368            $45,261
    18  $5,000,000      $25,000,000       $47,629           $32,500
    19    (ii) the applicable amount shall be determined  by  New  York  taxable
    20  income as follows:
    21  Greater than Not over    Applicable Amount
    22  $107,650     $269,300    New York adjusted gross income minus $107,650
    23  $269,300     $1,616,450  New York adjusted gross income minus $269,300
    24  $1,616,450   $5,000,000  New York adjusted gross income minus $1,616,450
    25  $5,000,000   $25,000,000 New York adjusted gross income minus $5,000,000
    26    (iii)  the  phase-in  fraction  shall  be a fraction, the numerator of
    27  which shall be the lesser of  fifty thousand dollars or  the  applicable
    28  amount and the denominator of which shall be fifty thousand dollars; and
    29    (iv)  the  supplemental  tax  due shall equal the sum of the recapture
    30  base and the product of (i) the incremental benefit and (ii) the  phase-
    31  in  fraction.  Provided, however, that if the New York taxable income of
    32  the taxpayer is less than  one hundred seven thousand six hundred  fifty
    33  dollars,  the  supplemental  tax  shall equal the difference between the
    34  product of 6.25 percent and New York taxable income and  the  tax  table
    35  computation on the New York taxable income set forth in paragraph one of
    36  subsection  (b) of this section, multiplied by a fraction, the numerator
    37  of which is the lesser of fifty thousand dollars or  New  York  adjusted
    38  gross  income  minus    one  hundred  seven  thousand  six hundred fifty
    39  dollars, and the denominator of which is fifty thousand dollars.
    40    (B) If New York adjusted gross income is  greater  than    twenty-five
    41  million  dollars,  the  supplemental  tax due shall equal the difference
    42  between the product of 10.90 percent and New York taxable income and the
    43  tax table computation on the New York taxable income set forth in  para-
    44  graph one of subsection (b) of this section.
    45    (3)  For  resident unmarried individuals, resident married individuals
    46  filing separate returns and resident estates and trusts:
    47    (A) If New York adjusted gross income is greater  than  $107,650,  but
    48  not over $25,000,000:
    49    (i)  the recapture base and incremental benefit shall be determined by
    50  New York taxable income as follows:
    51  Greater than    Not over          Recapture Base    Incremental Benefit
    52  $80,650         $215,400          $0                $536
    53  $215,400        $1,077,550        $536              $1,293
    54  $1,077,550      $5,000,000        $1,829            $30,171
    55  $5,000,000      $25,000,000       $32,000           $32,500

        S. 8009--C                         13                         A. 9009--C
 
     1    (ii) the applicable amount shall be determined  by  New  York  taxable
     2  income as follows:
     3  Greater than Not over    Applicable Amount
     4  $80,650      $215,400    New York adjusted gross income minus $107,650
     5  $215,400     $1,077,550  New York adjusted gross income minus $215,400
     6  $1,077,550   $5,000,000  New York adjusted gross income minus $1,077,550
     7  $5,000,000   $25,000,000 New York adjusted gross income minus $5,000,000
     8    (iii)  the  phase-in  fraction  shall  be a fraction, the numerator of
     9  which shall be the lesser of  fifty thousand dollars or  the  applicable
    10  amount and the denominator of which shall be fifty thousand dollars; and
    11    (iv)  the  supplemental  tax  due shall equal the sum of the recapture
    12  base and the product of (i) the incremental benefit and (ii) the  phase-
    13  in  fraction.  Provided, however, that if the New York taxable income of
    14  the taxpayer is less than  eighty thousand six  hundred  fifty  dollars,
    15  the  supplemental  tax shall equal the difference between the product of
    16  6.25 percent and New York taxable income and the tax  table  computation
    17  on  the New York taxable income set forth in paragraph one of subsection
    18  (c) of this section, multiplied by a fraction, the numerator of which is
    19  the lesser of fifty thousand dollars or New York adjusted  gross  income
    20  minus  one  hundred  seven  thousand  six hundred fifty dollars, and the
    21  denominator of which is fifty thousand dollars.
    22    (B) If New York adjusted gross income is  greater  than    twenty-five
    23  million  dollars,  the  supplemental  tax due shall equal the difference
    24  between the product of 10.90 percent and New York taxable income and the
    25  tax table computation on the New York taxable income set forth in  para-
    26  graph one of subsection (c) of this section.
    27    §  3. Section 601 of the tax law is amended by adding a new subsection
    28  (d-4) to read as follows:
    29    (d-4) Alternative tax table  benefit  recapture.  Notwithstanding  the
    30  provisions of subsection (d), (d-1), (d-2) or (d-3) of this section, for
    31  taxable years beginning on or after two thousand twenty-three and before
    32  two thousand twenty-eight, there is hereby imposed a supplemental tax in
    33  addition  to  the tax imposed under subsections (a), (b) and (c) of this
    34  section for the purpose of recapturing the benefit  of  the  tax  tables
    35  contained in such subsections. During these taxable years, any reference
    36  in this chapter to subsection (d), (d-1), (d-2) or (d-3) of this section
    37  shall be read as a reference to this subsection.
    38    (1) For resident married individuals filing joint returns and resident
    39  surviving spouses:
    40    (A)  If  New  York adjusted gross income is greater than $107,650, but
    41  not over $25,000,000:
    42    (i) the recapture base and incremental benefit shall be determined  by
    43  New York taxable income as follows:
    44  Greater than    Not over          Recapture Base    Incremental Benefit
    45  $27,900         $161,550          $0                $333
    46  $161,550        $323,200          $333              $807
    47  $323,200        $2,155,350        $1,140            $2,747
    48  $2,155,350      $5,000,000        $3,887            $60,350
    49  $5,000,000      $25,000,000       $64,237           $32,500
    50    (ii)  the  applicable  amount  shall be determined by New York taxable
    51  income as follows:
    52  Greater than Not over    Applicable Amount
    53  $27,900      $161,550    New York adjusted gross income minus $107,650
    54  $161,550     $323,200    New York adjusted gross income minus $161,550
    55  $323,200     $2,155,350  New York adjusted gross income minus $323,200

        S. 8009--C                         14                         A. 9009--C
 
     1  $2,155,350   $5,000,000  New York adjusted gross income minus $2,155,350
     2  $5,000,000   $25,000,000 New York adjusted gross income minus $5,000,000
     3    (iii)  the  phase-in  fraction  shall  be a fraction, the numerator of
     4  which shall be the lesser of  fifty thousand dollars or  the  applicable
     5  amount and the denominator of which shall be fifty thousand dollars; and
     6    (iv)  the  supplemental  tax  due shall equal the sum of the recapture
     7  base and the product of (i) the incremental benefit and (ii) the  phase-
     8  in  fraction.  Provided, however, that if the New York taxable income of
     9  the taxpayer is less than  twenty-seven thousand nine  hundred  dollars,
    10  the  supplemental  tax shall equal the difference between the product of
    11  5.50 percent and New York taxable income and the tax  table  computation
    12  on  the New York taxable income set forth in paragraph one of subsection
    13  (a) of this section, multiplied by a fraction, the numerator of which is
    14  the lesser of fifty thousand dollars or New York adjusted  gross  income
    15  minus  one  hundred  seven  thousand  six hundred fifty dollars, and the
    16  denominator of which is fifty thousand dollars.
    17    (B) If New York adjusted gross income is  greater  than    twenty-five
    18  million  dollars,  the  supplemental  tax due shall equal the difference
    19  between the product of 10.90 percent and New York taxable income and the
    20  tax table computation on the New York taxable income set forth in  para-
    21  graph one of subsection (a) of this section.
    22    (2) For resident heads of households:
    23    (A)  If  New  York adjusted gross income is greater than $107,650, but
    24  not over $25,000,000:
    25    (i) the recapture base and incremental benefit shall be determined  by
    26  New York taxable income as follows:
    27  Greater than    Not over          Recapture Base    Incremental Benefit
    28  $107,650        $269,300          $0                $787
    29  $269,300        $1,616,450        $787              $2,289
    30  $1,616,450      $5,000,000        $3,076            $45,261
    31  $5,000,000      $25,000,000       $48,337           $32,500
    32    (ii)  the  applicable  amount  shall be determined by New York taxable
    33  income as follows:
    34  Greater than Not over    Applicable Amount
    35  $107,650     $269,300    New York adjusted gross income minus $107,650
    36  $269,300     $1,616,450  New York adjusted gross income minus $269,300
    37  $1,616,450   $5,000,000  New York adjusted gross income minus $1,616,450
    38  $5,000,000   $25,000,000 New York adjusted gross income minus $5,000,000
    39    (iii) the phase-in fraction shall be  a  fraction,  the  numerator  of
    40  which  shall  be the lesser of  fifty thousand dollars or the applicable
    41  amount and the denominator of which shall be fifty thousand dollars; and
    42    (iv) the supplemental tax due shall equal the  sum  of  the  recapture
    43  base  and the product of (i) the incremental benefit and (ii) the phase-
    44  in fraction. Provided, however, that if the New York taxable  income  of
    45  the  taxpayer is less than  one hundred seven thousand six hundred fifty
    46  dollars, the supplemental tax shall equal  the  difference  between  the
    47  product  of  6.00  percent and New York taxable income and the tax table
    48  computation on the New York taxable income set forth in paragraph one of
    49  subsection (b) of this section, multiplied by a fraction, the  numerator
    50  of  which  is  the lesser of fifty thousand dollars or New York adjusted
    51  gross income minus    one  hundred  seven  thousand  six  hundred  fifty
    52  dollars, and the denominator of which is fifty thousand dollars.
    53    (B)  If  New  York  adjusted gross income is greater than  twenty-five
    54  million dollars, the supplemental tax due  shall  equal  the  difference
    55  between the product of 10.90 percent and New York taxable income and the

        S. 8009--C                         15                         A. 9009--C
 
     1  tax  table computation on the New York taxable income set forth in para-
     2  graph one of subsection (b) of this section.
     3    (3)  For  resident unmarried individuals, resident married individuals
     4  filing separate returns and resident estates and trusts:
     5    (A) If New York adjusted gross income is greater  than  $107,650,  but
     6  not over $25,000,000:
     7    (i)  the recapture base and incremental benefit shall be determined by
     8  New York taxable income as follows:
     9  Greater than    Not over          Recapture Base    Incremental Benefit
    10  $80,650         $215,400          $0                $568
    11  $215,400        $1,077,550        $568              $1,831
    12  $1,077,550      $5,000,000        $2,399            $30,172
    13  $5,000,000      $25,000,000       $32,571           $32,500
    14    (ii) the applicable amount shall be determined  by  New  York  taxable
    15  income as follows:
    16  Greater than Not over    Applicable Amount
    17  $80,650      $215,400    New York adjusted gross income minus $107,650
    18  $215,400     $1,077,550  New York adjusted gross income minus $215,400
    19  $1,077,550   $5,000,000  New York adjusted gross income minus $1,077,550
    20  $5,000,000   $25,000,000 New York adjusted gross income minus $5,000,000
    21    (iii)  the  phase-in  fraction  shall  be a fraction, the numerator of
    22  which shall be the lesser of fifty thousand dollars  or  the  applicable
    23  amount and the denominator of which shall be fifty thousand dollars; and
    24    (iv)  the  supplemental  tax  due shall equal the sum of the recapture
    25  base and the product of (i) the incremental benefit and (ii) the  phase-
    26  in  fraction.  Provided, however, that if the New York taxable income of
    27  the taxpayer is less than  eighty thousand six  hundred  fifty  dollars,
    28  the  supplemental  tax shall equal the difference between the product of
    29  6.00 percent and New York taxable income and the tax  table  computation
    30  on  the New York taxable income set forth in paragraph one of subsection
    31  (c) of this section, multiplied by a fraction, the numerator of which is
    32  the lesser of fifty thousand dollars or New York adjusted  gross  income
    33  minus  one  hundred  seven  thousand  six hundred fifty dollars, and the
    34  denominator of which is fifty thousand dollars.
    35    (B) If New York adjusted gross income is  greater  than    twenty-five
    36  million  dollars,  the  supplemental  tax due shall equal the difference
    37  between the product of 10.90 percent and New York taxable income and the
    38  tax table computation on the New York taxable income set forth in  para-
    39  graph one of subsection (c) of this section.
    40    § 4. This act shall take effect immediately.
    41    §  2.  This act shall take effect immediately, provided, however, that
    42  the applicable effective date of Subparts A and B of this act  shall  be
    43  as specifically set forth in the last section of such Subparts.
 
    44                                   PART B
 
    45    Section 1. This act enacts into law components of legislation relating
    46  to  certain  tax  credits.  Each  component is wholly contained within a
    47  Subpart identified as Subparts A through C. The effective date for  each
    48  particular  provision  contained within such Subpart is set forth in the
    49  last section of such Subpart. Any provision  in  any  section  contained
    50  within  a  Subpart,  including  the effective date of the Subpart, which
    51  makes reference to a section "of this act", when used in connection with
    52  that particular component, shall be deemed to  mean  and  refer  to  the
    53  corresponding section of the Subpart in which it is found. Section three
    54  of this act sets forth the general effective date of this act.

        S. 8009--C                         16                         A. 9009--C
 
     1                                  SUBPART A
 
     2    Section 1. Subdivision 1 of section 210-B of the tax law is amended by
     3  adding a new paragraph (a-1) to read as follows:
     4    (a-1)  For a taxpayer that is an eligible farmer, as defined in subdi-
     5  vision eleven of this section, the percentage to be used to compute  the
     6  credit  allowed under this subdivision shall be twenty percent for prop-
     7  erty described in subparagraph (i) of paragraph (b) of this  subdivision
     8  that  is  principally used by the taxpayer in the production of goods by
     9  farming, agriculture, horticulture, floriculture or viticulture.
    10    § 2. Subsection (a) of section 606 of the tax law is amended by adding
    11  a new paragraph 1-a to read as follows:
    12    (1-a) For a taxpayer  that  is  an  eligible  farmer,  as  defined  in
    13  subsection (n) of this section, the percentage to be used to compute the
    14  credit allowed under this subsection shall be twenty percent for proper-
    15  ty  described  in  subparagraph  (A) of paragraph two of this subsection
    16  that is principally used by the taxpayer in the production of  goods  by
    17  farming, agriculture, horticulture, floriculture or viticulture.
    18    §  3.  This  act  shall  take effect immediately and apply to property
    19  placed in service on or after April 1, 2022.
 
    20                                  SUBPART B
 
    21    Section 1. Subsection (e) of section 42 of the tax law, as amended  by
    22  section  1  of  part FF of chapter 59 of the laws of 2021, is amended to
    23  read as follows:
    24    (e) For taxable years beginning on or after January first,  two  thou-
    25  sand  seventeen  and  before  January  first, two thousand eighteen, the
    26  amount of the credit allowed under this section shall be  equal  to  the
    27  product  of  the total number of eligible farm employees and two hundred
    28  fifty dollars. For taxable years beginning on or  after  January  first,
    29  two  thousand  eighteen and before January first, two thousand nineteen,
    30  the amount of the credit allowed under this section shall  be  equal  to
    31  the  product  of  the  total number of eligible farm employees and three
    32  hundred dollars. For taxable years beginning on or after January  first,
    33  two thousand nineteen and before January first, two thousand twenty, the
    34  amount  of  the  credit allowed under this section shall be equal to the
    35  product of the total number of eligible farm employees and five  hundred
    36  dollars.  For  taxable  years  beginning  on or after January first, two
    37  thousand twenty and before January first, two thousand  twenty-one,  the
    38  amount  of  the  credit allowed under this section shall be equal to the
    39  product of the total number of eligible farm employees and four  hundred
    40  dollars.  For  taxable  years  beginning  on or after January first, two
    41  thousand twenty-one and before January first, two thousand [twenty-five]
    42  twenty-two, the amount of the credit allowed under this section shall be
    43  equal to the product of the total number of eligible farm employees  and
    44  six  hundred  dollars.  For  taxable years beginning on or after January
    45  first, two thousand twenty-two and before January  first,  two  thousand
    46  twenty-six, the amount of the credit allowed under this section shall be
    47  equal  to the product of the total number of eligible farm employees and
    48  twelve hundred dollars.
    49    § 2. Section 5 of part RR of chapter 60 of the laws of  2016  amending
    50  the  tax  law relating to creating a farm workforce retention credit, as
    51  amended by section 2 of part FF of chapter 59 of the laws  of  2021,  is
    52  amended to read as follows:

        S. 8009--C                         17                         A. 9009--C
 
     1    §  5.  This  act shall take effect immediately and shall apply only to
     2  taxable years beginning on or after January 1, 2017 and  before  January
     3  1, [2025] 2026.
     4    § 3. This act shall take effect immediately.
 
     5                                  SUBPART C
 
     6    Section  1.  Subdivision (f) of section 42 of the tax law, as added by
     7  section 1 of part RR of chapter 60 of the laws of 2016,  is  amended  to
     8  read as follows:
     9    (f)  A  taxpayer  claiming the credit allowed under this section shall
    10  not be allowed to claim any other tax credit allowed under this chapter,
    11  except the credit allowed under section  forty-two-a  of  this  article,
    12  with  respect to any eligible farm employee included in the total number
    13  of eligible farm employees used to determine the amount  of  the  credit
    14  allowed under this section.
    15    §  2.  The  tax law is amended by adding a new section 42-a to read as
    16  follows:
    17    § 42-a. Farm employer overtime credit. (a) Notwithstanding subdivision
    18  (f) of section forty-two of this article, a  taxpayer  that  is  a  farm
    19  employer  or  an owner of a farm employer shall be eligible for a credit
    20  against the tax imposed under article nine-A or twenty-two of this chap-
    21  ter, pursuant to the provisions referenced in subdivision  (i)  of  this
    22  section.
    23    (b)  A  farm  employer is a corporation (including a New York S corpo-
    24  ration), a sole proprietorship, a limited liability company or  a  part-
    25  nership that is an eligible farmer.
    26    (c)  For  purposes of this section, the term "eligible farmer" means a
    27  taxpayer  whose  federal  gross  income  from  farming  as  defined   in
    28  subsection  (n) of section six hundred six of this chapter for the taxa-
    29  ble year is at least two-thirds of excess federal gross  income.  Excess
    30  federal  gross  income means the amount of federal gross income from all
    31  sources for the taxable year in excess of thirty thousand  dollars.  For
    32  purposes  of this section, payments from the state's farmland protection
    33  program, administered by the  department  of  agriculture  and  markets,
    34  shall  be  included  as  federal gross income from farming for otherwise
    35  eligible farmers.
    36    (d) An eligible farm employee is an individual  who  meets  the  defi-
    37  nition  of  a  "farm  laborer" under section two of the labor law who is
    38  employed by a farm employer in New York  state,  but  excluding  general
    39  executive officers of the farm employer.
    40    (e)  Eligible  overtime  is  the  aggregate  number  of  hours of work
    41  performed during the taxable year by an eligible farm employee  that  in
    42  any calendar week exceeds the overtime work threshold set by the commis-
    43  sioner of labor pursuant to the recommendation of the farm laborers wage
    44  board,  provided  that work performed in such calendar week in excess of
    45  sixty hours shall not be included.
    46    (f) Special rules. If more than fifty percent of such  eligible  farm-
    47  er's  federal  gross income from farming is from the sale of wine from a
    48  licensed farm winery as provided for in article  six  of  the  alcoholic
    49  beverage  control  law,  or  from the sale of cider from a licensed farm
    50  cidery as provided for in section fifty-eight-c of the alcoholic  bever-
    51  age  control law, then an eligible farm employee of such eligible farmer
    52  shall be included for purposes  of  calculating  the  amount  of  credit
    53  allowed  under  this  section  only  if  such  eligible farm employee is
    54  employed by such eligible farmer on qualified agricultural  property  as

        S. 8009--C                         18                         A. 9009--C
 
     1  defined  in  paragraph four of subsection (n) of section six hundred six
     2  of this chapter.
     3    (g) The amount of the credit allowed under this section shall be equal
     4  to the aggregate amount of such credit allowed per eligible farm employ-
     5  ee,  as  follows.  The  amount  of  the credit allowed per eligible farm
     6  employee shall be equal to one hundred eighteen percent of  the  product
     7  of  (1)  the  eligible  overtime  worked  during the taxable year by the
     8  eligible farm employee and (2)  the  overtime  rate  paid  by  the  farm
     9  employer to the eligible farm employee less such employee's regular rate
    10  of pay.
    11    (h)(1)  Taxpayers  shall have the option to request an advance payment
    12  of the portion of the amount of tax credit they are allowed  under  this
    13  section  for the amount of eligible overtime that the farm employer paid
    14  from January first through July thirty-first. To  be  eligible  for  the
    15  advance  payment, the farm employer must submit by September thirtieth a
    16  properly completed application to  the  department  of  agriculture  and
    17  markets,  in  a  form  prescribed by the commissioner of agriculture and
    18  markets, that demonstrates how much the farm employer paid  in  eligible
    19  overtime during that period. After reviewing a farm employer's completed
    20  application  for  the  advance payment of a portion of the amount of tax
    21  credit allowed under this section, the  department  of  agriculture  and
    22  markets may issue to that farm employer a certificate of tax credit that
    23  specifies  the  exact amount of the tax credit under this article that a
    24  taxpayer may claim as an advance payment pursuant to this subdivision.
    25    (2) A taxpayer must submit a request to the department in  the  manner
    26  prescribed by the commissioner after it has been issued a certificate of
    27  tax  credit  by  the  department  of agriculture and markets pursuant to
    28  paragraph one of this subdivision (or such certificate has  been  issued
    29  to  a partnership, limited liability company or subchapter S corporation
    30  in which it is a partner, member or shareholder, respectively, that is a
    31  farm employer), but such request must be submitted no later than  Novem-
    32  ber first of the taxable year for which the credit is being claimed. For
    33  those  taxpayers  who have requested an advance payment and for whom the
    34  commissioner has determined to be eligible for this credit, the  commis-
    35  sioner shall advance a payment of the portion of the amount of tax cred-
    36  it  allowed  to  the taxpayer. The taxpayer will claim on the taxpayers'
    37  return for the taxable year the portion of  the  amount  of  tax  credit
    38  allowed  for  eligible  overtime  paid  by the farm employer from August
    39  first through December thirty-first. The taxpayer must  properly  recon-
    40  cile the advance payment of tax credit allowed under this subdivision on
    41  the taxpayer's return.
    42    (3)  If  a  taxpayer  that  has  received an advance payment is not an
    43  eligible farmer for the taxable year for which it  received  an  advance
    44  payment, the taxpayer shall be required to add back as tax the amount of
    45  advance payment the taxpayer received during the taxable year.
    46    (4)  Notwithstanding  any  provision of this chapter, employees of the
    47  department of agriculture  and  markets  and  the  department  shall  be
    48  allowed to share and exchange:
    49    (i)  information  derived from tax returns or reports that is relevant
    50  to a taxpayer's eligibility for the credit allowed by this section;
    51    (ii) information regarding the credit applied for, allowed or  claimed
    52  pursuant  to  this section and regarding taxpayers that are applying for
    53  the credit or that are claiming the credit; and
    54    (iii) information collected  by  the  department  of  agriculture  and
    55  markets  and exchanged between the department of agriculture and markets

        S. 8009--C                         19                         A. 9009--C
 
     1  and the department pursuant to this section  shall  not  be  subject  to
     2  disclosure or inspection under the state's freedom of information law.
     3    (i)  Cross  references: For application of the credit provided in this
     4  section, see the following provisions of this chapter:
     5    (1) Article 9-A: Section 210-B, subdivision 58.
     6    (2) Article 22: Section 606, subsection (nnn).
     7    § 3. Section 210-B of the tax law is amended by adding a new  subdivi-
     8  sion 58 to read as follows:
     9    58. Farm employer overtime credit.  (a) Allowance of credit. A taxpay-
    10  er  shall  be  allowed  a  credit, to be computed as provided in section
    11  forty-two-a of this chapter, against the tax imposed by this article.
    12    (b) Application of credit. The credit allowed under  this  subdivision
    13  for  any taxable year shall not reduce the tax due for such year to less
    14  than the amount prescribed  in  paragraph  (d)  of  subdivision  one  of
    15  section two hundred ten of this article. However, if the amount of cred-
    16  it  allowed  under this subdivision for any taxable year reduces the tax
    17  to such amount or if the taxpayer otherwise pays tax based on the  fixed
    18  dollar  minimum amount, any amount of credit thus not deductible in such
    19  taxable year shall be treated as an overpayment of tax to be credited or
    20  refunded in accordance with  the  provisions  of  section  one  thousand
    21  eighty-six  of  this  chapter.  Provided,  however,  the  provisions  of
    22  subsection (c) of section one  thousand  eighty-eight  of  this  chapter
    23  notwithstanding, no interest shall be paid thereon.
    24    §  4. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
    25  of the tax law is amended by adding a  new  clause  (xlix)  to  read  as
    26  follows:
    27  (xlix) Farm employer overtime        Amount of credit under
    28  credit under subsection (nnn)        subdivision fifty-eight of
    29                                       section two hundred ten-B
    30    §  5. Section 606 of the tax law is amended by adding a new subsection
    31  (nnn) to read as follows:
    32    (nnn) Farm employer overtime credit. (1) A taxpayer shall be allowed a
    33  credit, to be computed as provided in section forty-two-a of this  chap-
    34  ter, against the tax imposed by this article.
    35    (2)  Application of credit. If the amount of credit allowed under this
    36  subsection for any taxable year exceeds  the  taxpayer's  tax  for  such
    37  year, the excess shall be treated as an overpayment of tax to be credit-
    38  ed  or  refunded in accordance with the provision of section six hundred
    39  eighty-six of this article, provided, however, that no interest shall be
    40  paid thereon.
    41    § 6. This act shall take effect immediately and shall apply to taxable
    42  years beginning on or after January 1, 2022.
    43    § 2. This act shall take effect immediately  provided,  however,  that
    44  the  applicable effective date of Subparts A through C of this act shall
    45  be as specifically set forth in the last section of such Subparts.
 
    46                                   PART C
 
    47    Section 1. Paragraph 39 of subsection (c) of section 612  of  the  tax
    48  law,  as added by section 1 of part Y of chapter 59 of the laws of 2013,
    49  is amended to read as follows:
    50    (39) (A) In the case of a taxpayer who is  a  small  business    or  a
    51  taxpayer who is a member, partner, or shareholder of a limited liability
    52  company, partnership, or New York S corporation, respectively, that is a
    53  small  business,  who or which has business income and/or farm income as
    54  defined in the laws of the United States, an  amount  equal  to  [three]

        S. 8009--C                         20                         A. 9009--C
 
     1  fifteen  percent  of  the  net items of income, gain, loss and deduction
     2  attributable to such business or farm  entering  into  federal  adjusted
     3  gross income, but not less than zero[, for taxable years beginning after
     4  two  thousand  thirteen,  an  amount  equal  to three and three-quarters
     5  percent of the net items of income, gain, loss and  deduction  attribut-
     6  able  to  such  business  or  farm  entering into federal adjusted gross
     7  income, but not less than zero, for taxable years  beginning  after  two
     8  thousand  fourteen, and an amount equal to five percent of the net items
     9  of income, gain, loss and deduction attributable  to  such  business  or
    10  farm  entering  into  federal  adjusted  gross income, but not less than
    11  zero, for taxable years beginning after two thousand fifteen].
    12    (B) (i) For the purposes of this paragraph, the  term  small  business
    13  shall  mean:  (I) a sole proprietor [or a farm business] who employs one
    14  or more persons during the taxable year and who has net business  income
    15  or  net farm income of greater than zero but less than two hundred fifty
    16  thousand dollars;
    17    (II) a limited liability company, partnership, or New  York  S  corpo-
    18  ration  that during the taxable year employs one or more persons and has
    19  net farm income attributable to a farm business  that  is  greater  than
    20  zero but less than two hundred fifty thousand dollars; or
    21    (III)  a  limited liability company, partnership, or New York S corpo-
    22  ration that during the taxable year employs one or more persons and  has
    23  New  York gross business income attributable to a non-farm business that
    24  is greater than zero but less than one  million  five  hundred  thousand
    25  dollars.
    26    (ii)  For purposes of this paragraph, the term New York gross business
    27  income shall mean: (I) in the case of a limited liability company  or  a
    28  partnership, New York source gross income as defined in subparagraph (B)
    29  of  paragraph three of subsection (c) of section six hundred fifty-eight
    30  of this article; and (II) in the case of a New York S  corporation,  New
    31  York  receipts  included  in  the  numerator of the apportionment factor
    32  determined under section two hundred ten-A of this chapter for the taxa-
    33  ble year.
    34    (C) To qualify for this modification in relation to a  non-farm  small
    35  business that is a limited liability company, partnership, or New York S
    36  corporation,  the  taxpayer's  income  attributable  to the net business
    37  income from its ownership interests in non-farm limited liability compa-
    38  nies, partnerships, or New York S corporations must  be  less  than  two
    39  hundred fifty thousand dollars.
    40    §  2. Paragraph 35 of subdivision (c) of section 11-1712 of the admin-
    41  istrative code of the city of New York, as added by section 2 of part  Y
    42  of chapter 59 of the laws of 2013, is amended to read as follows:
    43    (35)  (A)  In  the  case  of  a  taxpayer who is a small business or a
    44  taxpayer who is a member, partner, or shareholder of a limited liability
    45  company, partnership, or New York S corporation, respectively, that is a
    46  small business, who or which has business income and/or farm  income  as
    47  defined  in  the  laws  of the United States, an amount equal to [three]
    48  fifteen percent of the net items of income,  gain,  loss  and  deduction
    49  attributable  to  such  business  or farm entering into federal adjusted
    50  gross income, but not less than zero[, for taxable years beginning after
    51  two thousand thirteen, an  amount  equal  to  three  and  three-quarters
    52  percent  of  the net items of income, gain, loss and deduction attribut-
    53  able to such business or  farm  entering  into  federal  adjusted  gross
    54  income,  but  not  less than zero, for taxable years beginning after two
    55  thousand fourteen, and an amount equal to five percent of the net  items
    56  of  income,  gain,  loss  and deduction attributable to such business or

        S. 8009--C                         21                         A. 9009--C

     1  farm entering into federal adjusted gross  income,  but  not  less  than
     2  zero, for taxable years beginning after two thousand fifteen].
     3    (B)  (i)  For  the purposes of this paragraph, the term small business
     4  shall mean: (I) a sole proprietor [or a farm business] who  employs  one
     5  or  more persons during the taxable year and who has net business income
     6  or net farm income of greater than zero but less than two hundred  fifty
     7  thousand dollars;
     8    (II)  a  limited  liability company, partnership, or New York S corpo-
     9  ration that during the taxable year employs one or more persons and  has
    10  net  farm  income  that  is  greater than zero but less than two hundred
    11  fifty thousand dollars; or
    12    (III) a limited liability company, partnership, or New York  S  corpo-
    13  ration  that during the taxable year employs one or more persons and has
    14  New York gross business income attributable to a non-farm business  that
    15  is  greater  than  zero  but less than one million five hundred thousand
    16  dollars.
    17    (ii) For purposes of this paragraph, the term New York gross  business
    18  income  shall  mean: (I) in the case of a limited liability company or a
    19  partnership, New York source gross income as defined in subparagraph (b)
    20  or paragraph three of subsection (c) of section six hundred  fifty-eight
    21  of  the  tax law, and, (II) in the case of a New York S corporation, New
    22  York receipts included in the  numerator  of  the  apportionment  factor
    23  determined  under section two hundred ten-A of the tax law for the taxa-
    24  ble year.
    25    (C) To qualify for this modification in relation to a  non-farm  small
    26  business that is a limited liability company, partnership, or New York S
    27  corporation,  the  taxpayer's  income  attributable  to the net business
    28  income from its ownership interests in non-farm limited liability compa-
    29  nies, partnerships, or New York S corporations must  be  less  than  two
    30  hundred fifty thousand dollars.
    31    § 3. This act shall take effect immediately and shall apply to taxable
    32  years beginning on or after January 1, 2022.
 
    33                                   PART D
 
    34    Section 1.  Subsection (c) of section 612 of the tax law is amended by
    35  adding a new paragraph 46 to read as follows:
    36    (46)  The  amount  of  any  student loan forgiveness award made by the
    37  state, including any awards made pursuant to a program established under
    38  article fourteen of the education law to the extent included in  federal
    39  adjusted gross income.
    40    §  2.  This  act  shall take effect immediately and shall apply to tax
    41  years beginning on or after January 1, 2022.
 
    42                                   PART E
 
    43    Section 1. The economic development law is amended  by  adding  a  new
    44  article 26 to read as follows:
    45                                 ARTICLE 26
    46                  COVID-19 CAPITAL COSTS TAX CREDIT PROGRAM
    47  Section 480. Short title.
    48          481. Statement of legislative findings and declaration.
    49          482. Definitions.
    50          483. Eligibility criteria.
    51          484. Application and approval process.
    52          485. COVID-19 capital costs tax credit.

        S. 8009--C                         22                         A. 9009--C
 
     1          486. Powers and duties of the commissioner.
     2          487. Maintenance of records.
     3          488. Reporting.
     4          489. Cap on tax credit.
     5    §  480.  Short  title. This article shall be known and may be cited as
     6  the "COVID-19 capital costs tax credit program act".
     7    § 481. Statement of legislative findings and declaration. It is hereby
     8  found and declared that New York state needs,  as  a  matter  of  public
     9  policy,  to  provide  critical  assistance to small businesses to comply
    10  with public health or other emergency orders or regulations, and to take
    11  infectious disease mitigation measures related to the COVID-19 pandemic.
    12  The COVID-19 capital costs tax credit  program  is  created  to  provide
    13  financial  assistance  to economically harmed businesses to offer relief
    14  and reduce the duration and severity of the current  economic  difficul-
    15  ties.
    16    § 482. Definitions. For the purposes of this article:
    17    1. "Certificate of tax credit" means the document issued to a business
    18  entity  by  the  department  after  the department has verified that the
    19  business entity has met all  applicable  eligibility  criteria  in  this
    20  article. The certificate shall specify the exact amount of the tax cred-
    21  it  under  this  article  that  a business entity may claim, pursuant to
    22  section four hundred eighty-five of this article.
    23    2. "Commissioner" shall mean commissioner of the department of econom-
    24  ic development.
    25    3. "Department" shall mean the department of economic development.
    26    4. "Qualified COVID-19 capital costs" shall mean costs  incurred  from
    27  January  first,  two  thousand twenty-one through December thirty-first,
    28  two thousand twenty-two at a business location  in  New  York  state  to
    29  comply  with  public  health  or  other  emergency orders or regulations
    30  related to the  COVID-19  pandemic,  or  to  generally  increase  safety
    31  through infectious disease mitigation, including costs for: (i) supplies
    32  to disinfect and/or protect against COVID-19 transmission; (ii) restock-
    33  ing  of  perishable  goods  to  replace  those  lost during the COVID-19
    34  pandemic; (iii) physical barriers and sneeze guards; (iv) hand sanitizer
    35  stations; (v) respiratory devices such as air purifier systems installed
    36  at the business entity's location; (vi) signage related to the  COVID-19
    37  pandemic  including,  but  not limited to, signage detailing vaccine and
    38  masking requirements, and social distancing; (vii) materials required to
    39  define and/or protect space such as barriers; (viii) materials needed to
    40  block off certain seats to allow for  social  distancing;  (ix)  certain
    41  point  of  sale  payment equipment to allow for contactless payment; (x)
    42  equipment and/or  materials  and  supplies  for  new  product  lines  in
    43  response  to  the  COVID-19  pandemic;  (xi) software for online payment
    44  platforms to enable delivery or contactless  purchases;  (xii)  building
    45  construction  and retrofits to accommodate social distancing and instal-
    46  lation of air purifying equipment but not  for  costs  for  non-COVID-19
    47  pandemic related capital renovations or general "closed for renovations"
    48  upgrades;  (xiii)  machinery  and  equipment  to accommodate contactless
    49  sales; (xiv) materials to accommodate increased outdoor activity such as
    50  heat lamps, outdoor lighting, and materials  related  to  outdoor  space
    51  expansions;  and  (xv) other costs as determined by the department to be
    52  eligible under this section; provided, however, that "qualified COVID-19
    53  capital costs" do not include any costs paid  for  with  other  COVID-19
    54  grant funds as determined by the commissioner.
    55    §  483. Eligibility criteria. 1. To be eligible for a tax credit under
    56  the COVID-19 capital costs tax credit program, a business entity must:

        S. 8009--C                         23                         A. 9009--C

     1    (a) be a small business as defined in section one  hundred  thirty-one
     2  of  this  chapter  and have two million five hundred thousand dollars or
     3  less of gross receipts in the taxable year that includes December  thir-
     4  ty-first, two thousand twenty-one;
     5    (b) operate a business location in New York state; and
     6    (c)  have at least two thousand dollars in qualifying COVID-19 capital
     7  costs.
     8    2. A business entity must be in substantial compliance with any public
     9  health or other emergency orders or regulations related to the  entity's
    10  business  sector  or  other  laws  and  regulations as determined by the
    11  commissioner. In addition, a business entity may not owe past due  state
    12  taxes  or  local  property  taxes  unless  the business entity is making
    13  payments and  complying  with  an  approved  binding  payment  agreement
    14  entered into with the taxing authority.
    15    §  484.  Application  and  approval process. 1. A business entity must
    16  submit a complete application as prescribed by the commissioner.
    17    2. The commissioner shall establish procedures  and  a  timeframe  for
    18  business  entities  to  submit applications. As part of the application,
    19  each business entity must:
    20    (a) provide evidence in a form and manner prescribed  by  the  commis-
    21  sioner of their business eligibility;
    22    (b) agree to allow the department of taxation and finance to share the
    23  business  entity's  tax  information  with  the department. However, any
    24  information shared as a result of this program shall  not  be  available
    25  for disclosure or inspection under the state freedom of information law;
    26    (c)  allow  the  department and its agents access to any and all books
    27  and records the department may require to monitor compliance;
    28    (d) certify, under penalty of  perjury,  that  it  is  in  substantial
    29  compliance  with  all  emergency  orders  or  public  health regulations
    30  currently required of such entity, and local, and state tax laws;
    31    (e) certify, under penalty of perjury, that it  did  not  include  any
    32  cost  paid  for  with  other  COVID-19  grant funds as determined by the
    33  commissioner in its application for a  tax  credit  under  the  COVID-19
    34  capital costs tax credit program; and
    35    (f)  agree  to  provide  any  additional  information  required by the
    36  department relevant to this article.
    37    3. After reviewing a business entity's completed final application and
    38  determining that the business entity meets the eligibility  criteria  as
    39  set  forth  in  this  article, the department may issue to that business
    40  entity a certificate of tax credit.
    41    4. The business entity must submit its application  by  March  thirty-
    42  first, two thousand twenty-three.
    43    §  485. COVID-19 capital costs tax credit. 1. A business entity in the
    44  COVID-19 capital costs tax credit program  that  meets  the  eligibility
    45  requirements of section four hundred eighty-three of this article may be
    46  eligible  to  claim  a  credit  equal  to fifty percent of its qualified
    47  COVID-19 capital costs as defined in subdivision four  of  section  four
    48  hundred eighty-two of this article.  Provided, however, that such credit
    49  shall not be less than one thousand dollars.
    50    2.  A  business  entity,  including  a  partnership, limited liability
    51  company and subchapter S corporation, may not receive in excess of twen-
    52  ty-five thousand dollars under this program.
    53    3. The credit shall be allowed as  provided  in  section  forty-seven,
    54  subdivision  fifty-eight  of  section  two  hundred ten-B and subsection
    55  (nnn) of section six hundred six of the tax law.

        S. 8009--C                         24                         A. 9009--C
 
     1    4. A business entity may claim the tax credit in the taxable year that
     2  includes the date the certificate  of  tax  credit  was  issued  by  the
     3  department  pursuant to subdivision three of section four hundred eight-
     4  y-four of this article.
     5    §  486. Powers and duties of the commissioner. 1. The commissioner may
     6  promulgate regulations establishing an application process and eligibil-
     7  ity criteria, that will be applied consistent with the purposes of  this
     8  article,  so as not to exceed the annual cap on tax credits set forth in
     9  section four hundred eighty-nine of this article which,  notwithstanding
    10  any  provisions  to  the  contrary in the state administrative procedure
    11  act, may be adopted on an emergency basis.
    12    2. The commissioner shall, in  consultation  with  the  department  of
    13  taxation  and finance, develop a certificate of tax credit that shall be
    14  issued by the commissioner  to  eligible  businesses.  Such  certificate
    15  shall contain such information as required by the department of taxation
    16  and finance.
    17    3.  The  commissioner  shall  solely  determine the eligibility of any
    18  applicant applying for entry into the program and shall remove any busi-
    19  ness entity from the program for failing to meet any of the requirements
    20  set forth in section four hundred eighty-three of this article,  or  for
    21  failing to meet the requirements set forth in subdivision one of section
    22  four hundred eighty-four of this article.
    23    §  487.  Maintenance of records. Each business entity participating in
    24  the program shall keep  all  relevant  records  for  their  duration  of
    25  program participation for at least three years.
    26    §  488.  Reporting. Each business entity participating in this program
    27  shall submit a performance report to the department at a time prescribed
    28  in regulations by the commissioner. The commissioner shall on or  before
    29  April  first,  two  thousand  twenty-three and every quarter  thereafter
    30  until program funds are fully expended, submit a report to the governor,
    31  the  temporary president of the senate, the speaker of the assembly, the
    32  chair  of  the  senate  finance committee, and the chair of the assembly
    33  ways and means committee, setting forth the activities undertaken by the
    34  program. Such report shall include, but not necessarily be limited   to,
    35  the following  in  each  reporting period to the extent such information
    36  is  available:  total  number of participants  approved and the economic
    37  development region in which  the  business  is located; total amount  of
    38  payments  disbursed  and  tax  credits claimed, and average   amount  of
    39  payments disbursed and tax credits claimed; names of payment  recipients
    40  and  tax  credits claimed; and such  other  information as  the  commis-
    41  sioner determines necessary and appropriate to effectuate the purpose of
    42  the program. Such reports shall, at  the  same  time,  be included    on
    43  the department's website and any other publicly accessible database that
    44  lists economic development programs as determined  by  the department.
    45    §  489.  Cap  on tax credit. The total amount of tax credits listed on
    46  certificates of tax credit issued by the commissioner pursuant  to  this
    47  article may not exceed two hundred fifty million dollars.
    48    §  2.  The  tax  law  is amended by adding a new section 47 to read as
    49  follows:
    50    § 47. COVID-19 capital costs tax credit. (a) Allowance  of  credit.  A
    51  taxpayer subject to tax under article nine-A or twenty-two of this chap-
    52  ter  shall  be  allowed  a  credit  against  such  tax,  pursuant to the
    53  provisions referenced in subdivision (f) of this section. The amount  of
    54  the  credit  is  equal to the amount determined pursuant to section four
    55  hundred eighty-five of the economic development law. No cost or  expense
    56  paid or incurred by the taxpayer which is included as part of the calcu-

        S. 8009--C                         25                         A. 9009--C
 
     1  lation of this credit shall be the basis of any other tax credit allowed
     2  under this chapter.
     3    (b)  Eligibility.  To  be  eligible for the COVID-19 capital costs tax
     4  credit, the taxpayer shall have been issued a certificate of tax  credit
     5  by  the department of economic development pursuant to subdivision three
     6  of section four hundred eighty-four of  the  economic  development  law,
     7  which  certificate  shall set forth the amount of the credit that may be
     8  claimed for the taxable year. The taxpayer shall  be  allowed  to  claim
     9  only the amount listed on the certificate of tax credit for that taxable
    10  year. A taxpayer that is a partner in a partnership, member of a limited
    11  liability  company or shareholder in a subchapter S corporation that has
    12  received a certificate of tax credit shall be allowed its pro rata share
    13  of the credit earned by the partnership, limited  liability  company  or
    14  subchapter S corporation.
    15    (c)  Tax  return requirement. The taxpayer shall be required to attach
    16  to its tax return in the form prescribed by the commissioner,  proof  of
    17  receipt  of  its certificate of tax credit issued by the commissioner of
    18  the department of economic development.
    19    (d) Information sharing. Notwithstanding any provision of  this  chap-
    20  ter, employees of the department of economic development and the depart-
    21  ment shall be allowed and are directed to share and exchange:
    22    (1)  information  derived from tax returns or reports that is relevant
    23  to a taxpayer's eligibility to participate in the COVID-19 capital costs
    24  tax credit program;
    25    (2) information regarding the credit applied for, allowed  or  claimed
    26  pursuant  to this section and taxpayers that are applying for the credit
    27  or that are claiming the credit; and
    28    (3) information contained  in  or  derived  from  credit  claim  forms
    29  submitted  to  the  department  and  applications for admission into the
    30  COVID-19 capital costs tax credit program. Except as provided  in  para-
    31  graph  two  of  this  subdivision, all information exchanged between the
    32  department of economic development  and  the  department  shall  not  be
    33  subject  to disclosure or inspection under the state's freedom of infor-
    34  mation law.
    35    (e) Credit recapture. If a certificate of tax  credit  issued  by  the
    36  department  of  economic  development  under  article  twenty-six of the
    37  economic development law is revoked by such department,  the  amount  of
    38  credit  described  in  this section and claimed by the taxpayer prior to
    39  that revocation shall be added back to tax in the taxable year in  which
    40  any such revocation becomes final.
    41    (f)  Cross  references.  For application of the credit provided for in
    42  this section, see the following provisions of this chapter:
    43    (1) article 9-A: section 210-B, subdivision 58;
    44    (2) article 22: section 606, subsection (nnn).
    45    § 3. Section 210-B of the tax law is amended by adding a new  subdivi-
    46  sion 58 to read as follows:
    47    58.  COVID-19  capital  costs  tax  credit. (a) Allowance of credit. A
    48  taxpayer shall be allowed a  credit,  to  be  computed  as  provided  in
    49  section  forty-seven  of this chapter, against the taxes imposed by this
    50  article.
    51    (b) Application of credit. The credit allowed under  this  subdivision
    52  for  the taxable year shall not reduce the tax due for such year to less
    53  than the amount prescribed  in  paragraph  (d)  of  subdivision  one  of
    54  section two hundred ten of this article. However, if the amount of cred-
    55  it  allowed  under this subdivision for the taxable year reduces the tax
    56  to such amount or if the taxpayer otherwise pays tax based on the  fixed

        S. 8009--C                         26                         A. 9009--C
 
     1  dollar  minimum amount, any amount of credit thus not deductible in such
     2  taxable year shall be treated as an overpayment of tax to be credited or
     3  refunded in accordance with  the  provisions  of  section  one  thousand
     4  eighty-six  of  this  chapter.  Provided,  however,  the  provisions  of
     5  subsection (c) of section one  thousand  eighty-eight  of  this  chapter
     6  notwithstanding, no interest will be paid thereon.
     7    §  4. Section 606 of the tax law is amended by adding a new subsection
     8  (nnn) to read as follows:
     9    (nnn) COVID-19 capital costs tax credit. (1) Allowance  of  credit.  A
    10  taxpayer  shall  be  allowed  a  credit,  to  be computed as provided in
    11  section forty-seven of this chapter, against the  tax  imposed  by  this
    12  article.
    13    (2)  Application  of credit. If the amount of the credit allowed under
    14  this subsection for the taxable year exceeds the taxpayer's tax for such
    15  year, the excess shall be treated as an overpayment of tax to be credit-
    16  ed or refunded in accordance with the provisions of section six  hundred
    17  eighty-six  of this article, provided, however, that no interest will be
    18  paid thereon.
    19    § 5. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
    20  of  the  tax  law  is  amended  by adding a new clause (xlix) to read as
    21  follows:
    22  (xlix) COVID-19 capital costs        Amount of credit under
    23  tax credit under subsection (nnn)    subdivision 58 of
    24                                       section two hundred ten-B
    25    § 6. This act shall take effect immediately.
 
    26                                   PART F
 
    27    Section 1. Paragraph 2 of subdivision (a) of section 24-c of  the  tax
    28  law,  as added by section 1 of subpart B of part PP of chapter 59 of the
    29  laws of 2021,  is amended to read as follows:
    30    (2) The amount of the credit shall be the product (or pro  rata  share
    31  of the product, in the case of a member of a partnership) of twenty-five
    32  percent  and  the  sum of the qualified production expenditures paid for
    33  during the qualified New York city musical and  theatrical  production's
    34  credit  period.  Provided  however  that the amount of the credit cannot
    35  exceed three million dollars per qualified New  York  city  musical  and
    36  theatrical production for productions whose first performance is [during
    37  the  first  year  in  which  applications are accepted] prior to January
    38  first, two thousand twenty-three. For productions whose  first  perform-
    39  ance  is  [during the second year in which applications are accepted] on
    40  or after January  first,  two  thousand  twenty-three,  such  cap  shall
    41  decrease  to one million five hundred thousand dollars per qualified New
    42  York city musical and theatrical production unless  the  New  York  city
    43  tourism  economy  has  not  sufficiently recovered, as determined by the
    44  department of economic development in consultation with the division  of
    45  the budget. In determining whether the New York city tourism economy has
    46  sufficiently  recovered,  the  department  of  economic development will
    47  perform an analysis of key New York city economic indicators which shall
    48  include, but not  be  limited  to,  hotel  occupancy  rates  and  travel
    49  metrics. The department of economic development's analysis shall also be
    50  informed  by the status of any remaining COVID-19 restrictions affecting
    51  New York city musical and theatrical productions. In no  event  shall  a
    52  qualified  New  York  city musical and theatrical production be eligible
    53  for more than one credit under this program.

        S. 8009--C                         27                         A. 9009--C
 
     1    § 2. Subparagraph (i) of paragraph 5 of  subdivision  (b)  of  section
     2  24-c  of  the  tax law, as added by section 1 of subpart B of part PP of
     3  chapter 59 of the laws of 2021, is amended to read as follows:
     4    (i) "The credit period of a qualified New York city musical and theat-
     5  rical production company" is the period starting on the production start
     6  date  and  ending  on  the earlier of the date the qualified musical and
     7  theatrical  production  has  expended  sufficient  qualified  production
     8  expenditures  to  reach  its  credit cap, [March thirty-first] September
     9  thirtieth, two thousand twenty-three or the date the  qualified  musical
    10  and theatrical production closes.
    11    § 3. Paragraph 1 of subdivision (f) of section 24-c of the tax law, as
    12  added  by section 1 of subpart B of part PP of chapter 59 of the laws of
    13  2021, is amended to read as follows:
    14    (1) The aggregate amount of tax credits allowed  under  this  section,
    15  subdivision  fifty-seven  of  section  two  hundred ten-B and subsection
    16  (mmm) of section six hundred six of this  chapter  shall  be  [one]  two
    17  hundred million dollars. Such aggregate amount of credits shall be allo-
    18  cated by the department of economic development among taxpayers based on
    19  the  date  of  first performance of the qualified musical and theatrical
    20  production.
    21    § 4. Paragraph 2 of subdivision (f) of section 24-c of the tax law, as
    22  added by section 1 of subpart B of part PP of chapter 59 of the laws  of
    23  2021, is amended to read as follows:
    24    (2)  The  commissioner  of economic development, after consulting with
    25  the commissioner, shall promulgate regulations to  establish  procedures
    26  for  the  allocation  of  tax  credits as required by this section. Such
    27  rules and regulations shall include provisions describing  the  applica-
    28  tion  process,  the  due dates for such applications, the standards that
    29  will be used to evaluate the applications, the documentation  that  will
    30  be  provided  by applicants to substantiate to the department the amount
    31  of qualified production expenditures of such applicants, and such  other
    32  provisions  as  deemed  necessary  and  appropriate. Notwithstanding any
    33  other provisions to the contrary in the state  administrative  procedure
    34  act, such rules and regulations may be adopted on an emergency basis. In
    35  no  event  shall  a  qualified  New  York  city  musical  and theatrical
    36  production submit an application for this program after [December  thir-
    37  ty-first,  two thousand twenty-two] June thirtieth, two thousand twenty-
    38  three.
    39    § 5. Subdivision (g) of section 24-c of  the  tax  law,  as  added  by
    40  section  1 of subpart B of part PP of chapter 59 of the laws of 2021, is
    41  amended to read as follows:
    42    (g) Any qualified New York  city  musical  and  theatrical  production
    43  company  that  performs in a qualified New York city production facility
    44  and applies to receive a credit under this section shall be required to:
    45  (1) participate in a New York state  diversity  and  arts  job  training
    46  program; (2) create and implement a plan to ensure that their production
    47  is  available  and accessible for low-or no-cost to low income New York-
    48  ers; and (3) contribute to the New  York  state  council  on  the  arts,
    49  cultural program fund an amount up to fifty percent of the total credits
    50  received if its production earns ongoing revenue prospectively after the
    51  end  of  the credit period that is at least equal to two hundred percent
    52  of its ongoing production costs, with such amount payable  from  twenty-
    53  five percent of net operating profits, such amounts payable on a monthly
    54  basis,  up  until  such  fifty  percent  of  the  total credit amount is
    55  reached. Any funds deposited pursuant to this subdivision  may  be  used
    56  for  arts  and  cultural  [educational  and workforce development] grant

        S. 8009--C                         28                         A. 9009--C
 
     1  programs of the New York state council  on  the  arts  as  specified  in
     2  subdivision five of section ninety-nine-ll of the state finance law.
     3    § 6. Subdivision 5 of section 99-ll of the state finance law, as added
     4  by  section 5 of subpart B of part PP of chapter 59 of the laws of 2021,
     5  is amended to read as follows:
     6    5. The moneys in such fund  shall  be  expended  for  the  purpose  of
     7  supplementing art and cultural grant programs [for secondary and elemen-
     8  tary  children]  of  the  New  York state council on the arts, including
     9  [programs that increase access to art and cultural programs  and  events
    10  for children in underserved communities] but not limited to: arts educa-
    11  tion  programs,  and  art and cultural programs for children and adults,
    12  including programs that increase access to art and cultural programs and
    13  events in underserved communities.
    14    § 7. Section 6 of subpart B of part PP of chapter 59 of  the  laws  of
    15  2021  amending  the tax law and the state finance law relating to estab-
    16  lishing the New York city musical and theatrical production  tax  credit
    17  and establishing the New York state council on the arts cultural program
    18  fund, is amended to read as follows:
    19    §  6.  This act shall take effect immediately [and]; provided however,
    20  that section one, two, three and four of this act shall apply to taxable
    21  years beginning on or after January 1, 2021, and before January 1,  2024
    22  and  shall  expire and be deemed repealed [on] January 1, 2024; provided
    23  further, however that the obligations under paragraph 3  of  subdivision
    24  [g]  (g) of section 24-c of the tax law, as added by section one of this
    25  act, shall remain in effect until December 31, 2025.
    26    § 8. This act shall take effect immediately; provided that the  amend-
    27  ments  to  section 24-c of the tax law made by sections one, two, three,
    28  four and five of this act shall not affect the repeal  of  such  section
    29  and shall be deemed repealed therewith.
 
    30                                   PART G
 
    31                            Intentionally Omitted
 
    32                                   PART H
 
    33    Section  1.  Paragraphs  (a), (b) and (d) of subdivision 29 of section
    34  210-B of the tax law, paragraph (a) and subparagraph 2 of paragraph  (b)
    35  as  amended  by  section 1 of part II of chapter 59 of the laws of 2021,
    36  paragraph (b) as amended by section 1 of part Q of  chapter  59  of  the
    37  laws  of 2018, subparagraph 1 of paragraph (b) as amended by chapter 490
    38  of the laws of 2019 and paragraph (d) as added by section 17 of  part  A
    39  of chapter 59 of the laws of 2014, are amended to read as follows:
    40    (a) Allowance of credit. For taxable years beginning on or after Janu-
    41  ary  first,  two thousand fifteen and before January first, two thousand
    42  [twenty-three] twenty-six, a taxpayer shall be allowed a credit,  to  be
    43  computed  as  provided  in  this subdivision, against the tax imposed by
    44  this article, for hiring and employing, for not less than [one year  and
    45  for  not  less  than  thirty-five hours each week] twelve continuous and
    46  uninterrupted months (hereinafter referred to as the twelve-month  peri-
    47  od) in a full-time or part-time position, a qualified veteran within the
    48  state.  The taxpayer may claim the credit in the year in which the qual-
    49  ified veteran completes [one year] the twelve-month period of employment
    50  by  the  taxpayer.  If the taxpayer claims the credit allowed under this
    51  subdivision, the taxpayer may not use the hiring of a qualified  veteran

        S. 8009--C                         29                         A. 9009--C
 
     1  that  is  the  basis  for  this  credit in the basis of any other credit
     2  allowed under this article.
     3    (b) Qualified veteran. A qualified veteran is an individual:
     4    (1)  who  served  on  active duty in the United States army, navy, air
     5  force, space force, marine corps, coast guard or the  reserves  thereof,
     6  or  who  served  in  active  military  service of the United States as a
     7  member of the army national guard, air national guard, New York guard or
     8  New York naval militia, or who served in the active  uniformed  services
     9  of  the  United  States  as  a  member  of the commissioned corps of the
    10  national oceanic and  atmospheric  administration  or  the  commissioned
    11  corps  of  the United States public health service; who (i) was released
    12  from active duty by general  or  honorable  discharge  [after  September
    13  eleventh,  two  thousand  one],  or  (ii) has a qualifying condition, as
    14  defined in section three hundred fifty of the  executive  law,  and  has
    15  received  a  discharge  other than bad conduct or dishonorable from such
    16  service [after September eleventh, two thousand  one],  or  (iii)  is  a
    17  discharged  LGBT  veteran,  as defined in section three hundred fifty of
    18  the executive law, and has received a discharge other than  bad  conduct
    19  or  dishonorable  from such service [after September eleventh, two thou-
    20  sand one];
    21    (2) who commences employment by the qualified  taxpayer  on  or  after
    22  January  first,  two  thousand  fourteen,  and before January first, two
    23  thousand [twenty-two] twenty-five; and
    24    (3) who certifies by signed affidavit, under penalty of perjury,  that
    25  he or she has not been employed for thirty-five or more hours during any
    26  week  in  the  one hundred eighty day period immediately prior to his or
    27  her employment by the taxpayer.
    28    (d) Amount of credit. The amount of the credit shall be [ten]  fifteen
    29  percent  of  the  total  amount  of  wages paid to the qualified veteran
    30  during the veteran's first [full year] twelve-month  period  of  employ-
    31  ment.  Provided,  however,  that, if the qualified veteran is a disabled
    32  veteran, as defined in paragraph  (b)  of  subdivision  one  of  section
    33  eighty-five  of the civil service law, the amount of the credit shall be
    34  [fifteen] twenty percent of the total amount of wages paid to the quali-
    35  fied veteran during the veteran's first [full year] twelve-month  period
    36  of employment. The credit allowed pursuant to this subdivision shall not
    37  exceed in any taxable year[, five]: (1) fifteen thousand dollars for any
    38  qualified veteran [and fifteen], other than a disabled veteran, employed
    39  in  a  full-time  position for one thousand eight hundred twenty or more
    40  hours in one twelve-month period, (2) twenty thousand  dollars  for  any
    41  qualified  veteran  who  is  a  disabled veteran employed in a full-time
    42  position for one thousand eight hundred twenty  or  more  hours  in  one
    43  twelve-month  period,  (3)  seven  thousand five hundred dollars for any
    44  qualified veteran, other than a disabled veteran, employed  in  a  part-
    45  time  position  for  at least one thousand forty hours but not more than
    46  one thousand eight hundred nineteen hours in  one  twelve-month  period,
    47  and (4) ten thousand dollars for any qualified veteran who is a disabled
    48  veteran employed in a part-time position for at least one thousand forty
    49  hours but not more than one thousand eight hundred nineteen hours in one
    50  twelve-month period.
    51    §  2.  Paragraphs 1, 2 and 4 of subsection (a-2) of section 606 of the
    52  tax law, paragraph 1 and subparagraph (B) of paragraph 2 as  amended  by
    53  section  2  of part II of chapter 59 of the laws of 2021, paragraph 2 as
    54  amended by section 2 of part Q of  chapter  59  of  the  laws  of  2018,
    55  subparagraph (A) of paragraph 2 as amended by chapter 490 of the laws of

        S. 8009--C                         30                         A. 9009--C
 
     1  2019  and  paragraph 4 as added by section 3 of part AA of chapter 59 of
     2  the laws of 2013, are amended to read as follows:
     3    (1) Allowance of credit. For taxable years beginning on or after Janu-
     4  ary  first,  two thousand fifteen and before January first, two thousand
     5  [twenty-three] twenty-six, a taxpayer shall be allowed a credit,  to  be
     6  computed as provided in this subsection, against the tax imposed by this
     7  article,  for  hiring and employing, for not less than [one year and for
     8  not less than thirty-five hours each week] twelve continuous  and  unin-
     9  terrupted months (hereinafter referred to as the twelve-month period) in
    10  a full-time or part-time position, a qualified veteran within the state.
    11  The  taxpayer  may  claim  the credit in the year in which the qualified
    12  veteran completes [one year] the twelve-month period  of  employment  by
    13  the  taxpayer.  If  the  taxpayer  claims  the credit allowed under this
    14  subsection, the taxpayer may not use the hiring of a  qualified  veteran
    15  that  is  the  basis  for  this  credit in the basis of any other credit
    16  allowed under this article.
    17    (2) Qualified veteran. A qualified veteran is an individual:
    18    (A) who served on active duty in the United  States  army,  navy,  air
    19  force,  space  force, marine corps, coast guard or the reserves thereof,
    20  or who served in active military service  of  the  United  States  as  a
    21  member of the army national guard, air national guard, New York guard or
    22  New  York  naval militia, or who served in the active uniformed services
    23  of the United States as a  member  of  the  commissioned  corps  of  the
    24  national  oceanic  and  atmospheric  administration  or the commissioned
    25  corps of the United States public health service; who (i)  was  released
    26  from  active  duty  by  general  or honorable discharge [after September
    27  eleventh, two thousand one], or (ii)  has  a  qualifying  condition,  as
    28  defined  in  section  three  hundred fifty of the executive law, and has
    29  received a discharge other than bad conduct or  dishonorable  from  such
    30  service  [after  September  eleventh,  two  thousand one], or (iii) is a
    31  discharged LGBT veteran, as defined in section three  hundred  fifty  of
    32  the  executive  law, and has received a discharge other than bad conduct
    33  or dishonorable from such service [after September eleventh,  two  thou-
    34  sand one];
    35    (B)  who  commences  employment  by the qualified taxpayer on or after
    36  January first, two thousand fourteen,  and  before  January  first,  two
    37  thousand [twenty-two] twenty-five; and
    38    (C)  who certifies by signed affidavit, under penalty of perjury, that
    39  he or she has not been employed for thirty-five or more hours during any
    40  week in the one hundred eighty day period immediately prior  to  his  or
    41  her employment by the taxpayer.
    42    (4)  Amount of credit. The amount of the credit shall be [ten] fifteen
    43  percent of the total amount of wages paid to [he] the qualified  veteran
    44  during  the  veteran's  first [full year] twelve-month period of employ-
    45  ment. Provided, however, that, if the qualified veteran  is  a  disabled
    46  veteran,  as  defined  in  paragraph  (b)  of subdivision one of section
    47  eighty-five of the civil service law, the amount of the credit shall  be
    48  [fifteen] twenty percent of the total amount of wages paid to the quali-
    49  fied  veteran during the veteran's first [full year] twelve-month period
    50  of employment. The credit allowed pursuant to this subsection shall  not
    51  exceed in any taxable year[, five]: (i) fifteen thousand dollars for any
    52  qualified veteran [and fifteen], other than a disabled veteran, employed
    53  in  a  full-time  position for one thousand eight hundred twenty or more
    54  hours in one twelve-month period, (ii) twenty thousand dollars  for  any
    55  qualified  veteran  who  is  a  disabled veteran employed in a full-time
    56  position for one thousand eight hundred twenty  or  more  hours  in  one

        S. 8009--C                         31                         A. 9009--C

     1  twelve-month  period,  (iii) seven thousand five hundred dollars for any
     2  qualified veteran, other than a disabled veteran, employed  in  a  part-
     3  time  position  for  at least one thousand forty hours but not more than
     4  one  thousand  eight  hundred nineteen hours in one twelve-month period,
     5  and (iv) ten thousand dollars for any qualified veteran who is  a  disa-
     6  bled  veteran employed in a part-time position for at least one thousand
     7  forty hours but not more than one thousand eight hundred nineteen  hours
     8  in one twelve-month period.
     9    § 3. Paragraphs 1, 2 and 4 of subdivision (g-1) of section 1511 of the
    10  tax  law,  paragraph 1 and subparagraph (B) of paragraph 2 as amended by
    11  section 3 of part II of chapter 59 of the laws of 2021, paragraph  2  as
    12  amended  by  section  3  of  part  Q  of chapter 59 of the laws of 2018,
    13  subparagraph (A) of paragraph 2 as amended by chapter 490 of the laws of
    14  2019 and paragraph 4 as added by section 5 of part AA of chapter  59  of
    15  the laws of 2013, are amended to read as follows:
    16    (1) Allowance of credit. For taxable years beginning on or after Janu-
    17  ary  first,  two thousand fifteen and before January first, two thousand
    18  [twenty-three] twenty-six, a taxpayer shall be allowed a credit,  to  be
    19  computed  as  provided  in  this subdivision, against the tax imposed by
    20  this article, for hiring and employing, for not less than [one year  and
    21  for  not  less  than  thirty-five hours each week] twelve continuous and
    22  uninterrupted months (hereinafter referred to as the twelve-month  peri-
    23  od) in a full-time or part-time position, a qualified veteran within the
    24  state.  The taxpayer may claim the credit in the year in which the qual-
    25  ified veteran completes [one year] the twelve-month period of employment
    26  by  the  taxpayer.  If the taxpayer claims the credit allowed under this
    27  subdivision, the taxpayer may not use the hiring of a qualified  veteran
    28  that  is  the  basis  for  this  credit in the basis of any other credit
    29  allowed under this article.
    30    (2) Qualified veteran. A qualified veteran is an individual:
    31    (A) who served on active duty in the United  States  army,  navy,  air
    32  force,  space  force, marine corps, coast guard or the reserves thereof,
    33  or who served in active military service  of  the  United  States  as  a
    34  member of the army national guard, air national guard, New York guard or
    35  New  York  naval militia, or who served in the active uniformed services
    36  of the United States as a  member  of  the  commissioned  corps  of  the
    37  national  oceanic  and  atmospheric  administration  or the commissioned
    38  corps of the United States public health service; who (i)  was  released
    39  from  active  duty  by  general  or honorable discharge [after September
    40  eleventh, two thousand one], or (ii)  has  a  qualifying  condition,  as
    41  defined  in  section  three  hundred fifty of the executive law, and has
    42  received a discharge other than bad conduct or  dishonorable  from  such
    43  service  [after  September  eleventh,  two  thousand one], or (iii) is a
    44  discharged LGBT veteran, as defined in section three  hundred  fifty  of
    45  the  executive  law, and has received a discharge other than bad conduct
    46  or dishonorable from such service [after September eleventh,  two  thou-
    47  sand one];
    48    (B)  who  commences  employment  by the qualified taxpayer on or after
    49  January first, two thousand fourteen,  and  before  January  first,  two
    50  thousand [twenty-two] twenty-five; and
    51    (C)  who certifies by signed affidavit, under penalty of perjury, that
    52  he or she has not been employed for thirty-five or more hours during any
    53  week in the one hundred eighty day period immediately prior  to  his  or
    54  her employment by the taxpayer.
    55    (4)  Amount of credit. The amount of the credit shall be [ten] fifteen
    56  percent of the total amount of  wages  paid  to  the  qualified  veteran

        S. 8009--C                         32                         A. 9009--C

     1  during  the  veteran's  first [full year] twelve-month period of employ-
     2  ment. Provided, however, that, if the qualified veteran  is  a  disabled
     3  veteran,  as  defined  in  paragraph  (b)  of subdivision one of section
     4  eighty-five  of the civil service law, the amount of the credit shall be
     5  [fifteen] twenty percent of the total amount of wages paid to the quali-
     6  fied veteran during the veteran's first [full year] twelve-month  period
     7  of employment. The credit allowed pursuant to this subdivision shall not
     8  exceed in any taxable year[, five]: (i) fifteen thousand dollars for any
     9  qualified veteran [and fifteen], other than a disabled veteran, employed
    10  in  a  full-time  position for one thousand eight hundred twenty or more
    11  hours in one twelve-month period, (ii) twenty thousand dollars  for  any
    12  qualified  veteran  who  is  a  disabled veteran employed in a full-time
    13  position for one thousand eight  hundred  twenty or more  hours  in  one
    14  twelve-month  period,  (iii) seven thousand five hundred dollars for any
    15  qualified veteran, other than a disabled veteran, employed  in  a  part-
    16  time  position  for  at least one thousand forty hours but not more than
    17  one thousand eight hundred nineteen hours in  one  twelve-month  period,
    18  and  (iv)  ten thousand dollars for any qualified veteran who is a disa-
    19  bled veteran employed in a part-time position for at least one  thousand
    20  forty  hours but not more than one thousand eight hundred nineteen hours
    21  in one twelve-month period.
    22    § 4. This act shall take effect immediately and shall apply to taxable
    23  years beginning on or after January 1, 2022.
 
    24                                   PART I
 
    25    Section 1. The tax law is amended by adding a new section 47  to  read
    26  as follows:
    27    § 47. Grade no. 6 heating oil conversion tax credit. (a) (1) Allowance
    28  of  credit. A taxpayer that meets the eligibility requirements of subdi-
    29  vision (b) of this section and is subject to tax under article nine-A or
    30  twenty-two of this chapter may be eligible to claim a grade no. 6  heat-
    31  ing  oil  conversion  tax  credit  in the taxable year the conversion is
    32  complete.  The credit shall be equal to fifty percent of the  conversion
    33  costs  for  all  of the taxpayer's buildings located at a facility regu-
    34  lated pursuant to section 19-0302 or title ten of article  seventeen  of
    35  the  environmental  conservation  law, paid by such taxpayer on or after
    36  January first, two thousand twenty-two and before July first, two  thou-
    37  sand  twenty-three.  The  credit  cannot  exceed  five  hundred thousand
    38  dollars per facility.
    39    (2) A taxpayer that is a partner in a partnership, member of a limited
    40  liability company or shareholder in a subchapter S corporation shall  be
    41  allowed  its  pro  rata  share  of the credit earned by the partnership,
    42  limited liability company or subchapter S  corporation  that  meets  the
    43  eligibility  criteria  described  in  subdivision (b) of this section to
    44  claim a grade no. 6 heating oil conversion tax credit. In no  event  may
    45  the  total  amount  of  the  credit  earned  by the partnership, limited
    46  liability company or subchapter S corporation exceed five hundred  thou-
    47  sand dollars for all buildings located at a New York state department of
    48  environmental conservation regulated facility.
    49    (3)  No  cost  or  expense  paid  or  incurred by the taxpayer that is
    50  included as part of the calculation of this credit shall be the basis of
    51  any other tax credit allowed under this chapter.
    52    (b) Eligibility criteria. (1) To be eligible to claim a  grade  no.  6
    53  heating oil conversion tax credit, a business entity must:

        S. 8009--C                         33                         A. 9009--C

     1    (i)  incur  expenses  for  the conversion from grade no. 6 heating oil
     2  fuel, as described as "conversion costs" in paragraph (1) of subdivision
     3  (c) of this section, to biodiesel heating oil or a geothermal system  at
     4  any building located in New York state outside the city of New York;
     5    (ii)  submit an application to and obtain approval of such application
     6  by the New York state energy research and development authority describ-
     7  ing the conversion and approved costs to complete such conversion;
     8    (iii) not be principally engaged in the generation or distribution  of
     9  electricity, power or energy;
    10    (iv)  be  in  compliance  with all environmental conservation laws and
    11  regulations; and
    12    (v) not owe past due state taxes unless the business entity is  making
    13  payments  and  complying  with  an  approved  binding  payment agreement
    14  entered into with the taxing authority.
    15    (c) Definitions. As used in this section  the  following  terms  shall
    16  have the following meanings:
    17    (1)  Conversion  costs  means the equipment and labor costs associated
    18  with the design, installation and use of space heating and other  energy
    19  conversion  systems that are designed to or accommodate the use of biod-
    20  iesel fuel or a geothermal system and, at the option  of  the  taxpayer,
    21  the costs of completing an ASHRAE level 2 energy audit including assess-
    22  ment of electrification options.
    23    (2)  Biodiesel means a minimum blend of eighty-five (85) percent biod-
    24  iesel, defined as fuel manufactured from vegetable oils, animal fats, or
    25  other agricultural or other products or  by-products,  with  petrodiesel
    26  fuel commonly used for heating systems.
    27    (3)  Geothermal means a system that uses the ground or ground water as
    28  a thermal energy source/sink to heat or cool a building or  provide  hot
    29  water within the building.
    30    (4)  A  New  York state department of environmental conservation regu-
    31  lated facility is a facility regulated pursuant to  section  19-0302  or
    32  title ten of article seventeen of the environmental conservation law.
    33    (d)  The  commissioner, in consultation with the New York state energy
    34  research and development authority, will develop an application  process
    35  to certify the expenses necessary for the conversion and a taxpayer will
    36  not  be eligible to claim the credit unless it has completed that appli-
    37  cation process and the application has been approved  by  the  New  York
    38  state energy research and development authority.
    39    (e)  Information  sharing.  The department, the department of environ-
    40  mental conservation and the New York state energy research and  develop-
    41  ment  authority  shall be allowed and are directed to share and exchange
    42  information regarding the information contained on the  credit  applica-
    43  tion  for claiming the grade no. 6 heating oil conversion tax credit and
    44  such information exchanged between the  department,  the  department  of
    45  environmental  conservation  and  the New York state energy research and
    46  development authority shall not be subject to disclosure  or  inspection
    47  under the state's freedom of information law.
    48    (f)  Cross  references.  For application of the credit provided for in
    49  this section, see the following provisions of this chapter:
    50    (1) article 9-A: section 210-B, subdivision 58;
    51    (2) article 22: section 606, subsection (nnn).
    52    § 2. Section 210-B of the tax law is amended by adding a new  subdivi-
    53  sion 58 to read as follows:
    54    58.  Grade no.   6 heating oil conversion tax credit. (a) Allowance of
    55  credit. A taxpayer will be allowed a credit, to be computed as  provided

        S. 8009--C                         34                         A. 9009--C
 
     1  in  section  forty-seven  of  this chapter, against the taxes imposed by
     2  this article.
     3    (b)  Application  of credit. The credit allowed under this subdivision
     4  for the taxable year will not reduce the tax due for such year  to  less
     5  than  the  amount  prescribed  in  paragraph  (d)  of subdivision one of
     6  section two hundred ten of this article. However, if the amount of cred-
     7  it allowed under this subdivision for the taxable year reduces  the  tax
     8  to  such amount or if the taxpayer otherwise pays tax based on the fixed
     9  dollar minimum amount, any amount of credit not deductible in such taxa-
    10  ble year will be treated as an overpayment of  tax  to  be  credited  or
    11  refunded  in  accordance  with  the  provisions  of section one thousand
    12  eighty-six  of  this  chapter.  Provided,  however,  the  provisions  of
    13  subsection  (c)  of  section  one  thousand eighty-eight of this chapter
    14  notwithstanding, no interest will be paid thereon.
    15    § 3. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
    16  of  the  tax  law  is  amended  by adding a new clause (xlix) to read as
    17  follows:
    18  (xlix) Grade no. 6 heating oil       Amount of credit under subdivision
    19  conversion tax credit under          fifty-eight of section two hundred
    20  subsection (nnn)                     ten-B
    21    § 4. Section 606 of the tax law is amended by adding a new  subsection
    22  (nnn) to read as follows:
    23    (nnn)  Grade no. 6 heating oil conversion tax credit. (1) Allowance of
    24  credit. A taxpayer shall be allowed a credit, to be computed as provided
    25  in section forty-seven of this chapter, against the tax imposed by  this
    26  article.
    27    (2)  Application  of credit. If the amount of the credit allowed under
    28  this subsection for the taxable year exceeds the taxpayer's tax for such
    29  year, the excess will be treated as an overpayment of tax to be credited
    30  or refunded in accordance with the provisions  of  section  six  hundred
    31  eighty-six  of this article, provided, however, that no interest will be
    32  paid thereon.
    33    § 5. This act shall take effect immediately and shall apply to taxable
    34  years beginning on or after January 1, 2022.
 
    35                                   PART J
 
    36    Section 1. Subdivision 4 of section 22 of the public housing  law,  as
    37  amended  by  section  2 of part GG of chapter 59 of the laws of 2021, is
    38  amended to read as follows:
    39    4. Statewide limitation. The aggregate dollar amount of  credit  which
    40  the  commissioner  may  allocate  to eligible low-income buildings under
    41  this article shall be one hundred [twenty] twenty-seven million dollars.
    42  The limitation provided by this subdivision applies only  to  allocation
    43  of  the  aggregate dollar amount of credit by the commissioner, and does
    44  not apply to allowance to a taxpayer of the credit with  respect  to  an
    45  eligible low-income building for each year of the credit period.
    46    §  2.    Subdivision  4  of  section  22 of the public housing law, as
    47  amended by section 3 of part GG of chapter 59 of the laws  of  2021,  is
    48  amended to read as follows:
    49    4.  Statewide  limitation. The aggregate dollar amount of credit which
    50  the commissioner may allocate to  eligible  low-income  buildings  under
    51  this  article  shall  be  one  hundred  [twenty-eight] forty-two million
    52  dollars. The limitation provided by this  subdivision  applies  only  to
    53  allocation of the aggregate dollar amount of credit by the commissioner,

        S. 8009--C                         35                         A. 9009--C
 
     1  and does not apply to allowance to a taxpayer of the credit with respect
     2  to an eligible low-income building for each year of the credit period.
     3    § 3. Subdivision 4 of section 22 of the public housing law, as amended
     4  by section 4 of part GG of chapter 59 of the laws of 2021, is amended to
     5  read as follows:
     6    4.  Statewide  limitation. The aggregate dollar amount of credit which
     7  the commissioner may allocate to  eligible  low-income  buildings  under
     8  this  article  shall  be  one  hundred  [thirty-six] fifty-seven million
     9  dollars. The limitation provided by this  subdivision  applies  only  to
    10  allocation of the aggregate dollar amount of credit by the commissioner,
    11  and does not apply to allowance to a taxpayer of the credit with respect
    12  to an eligible low-income building for each year of the credit period.
    13    § 4. Subdivision 4 of section 22 of the public housing law, as amended
    14  by section 5 of part GG of chapter 59 of the laws of 2021, is amended to
    15  read as follows:
    16    4.  Statewide  limitation. The aggregate dollar amount of credit which
    17  the commissioner may allocate to  eligible  low-income  buildings  under
    18  this  article  shall  be  one  hundred  [forty-four] seventy-two million
    19  dollars. The limitation provided by this  subdivision  applies  only  to
    20  allocation of the aggregate dollar amount of credit by the commissioner,
    21  and does not apply to allowance to a taxpayer of the credit with respect
    22  to an eligible low-income building for each year of the credit period.
    23    §  5.  This  act  shall  take  effect  immediately; provided, however,
    24  section one of this act shall take effect April 1, 2022; section two  of
    25  this  act  shall  take  effect  April 1, 2023; section three of this act
    26  shall take effect April 1, 2024; and section four of this act shall take
    27  effect April 1, 2025.

    28                                   PART K
 
    29    Section 1. Paragraph (a) of subdivision 25 of section 210-B of the tax
    30  law, as amended by section 1 of part R of chapter  59  of  the  laws  of
    31  2019, is amended to read as follows:
    32    (a)  General.  A  taxpayer  shall  be allowed a credit against the tax
    33  imposed by this article. Such credit,  to  be  computed  as  hereinafter
    34  provided,  shall  be allowed for bioheating fuel, used for space heating
    35  or hot water production  for  residential  purposes  within  this  state
    36  purchased  before January first, two thousand [twenty-three] twenty-six.
    37  Such credit shall be $0.01  per  percent  of  biodiesel  per  gallon  of
    38  bioheating  fuel,  not  to  exceed twenty cents per gallon, purchased by
    39  such taxpayer.  Provided, however, that on or after January  first,  two
    40  thousand  seventeen, this credit shall not apply to bioheating fuel that
    41  is less than six percent biodiesel per gallon of bioheating fuel.
    42    § 2. Paragraph 1 of subdivision (mm) of section 606 of the tax law, as
    43  amended by section 2 of part R of chapter 59 of the  laws  of  2019,  is
    44  amended to read as follows:
    45    (1)  A  taxpayer  shall be allowed a credit against the tax imposed by
    46  this article. Such credit, to be computed as hereinafter provided, shall
    47  be allowed for bioheating fuel, used for  space  heating  or  hot  water
    48  production  for  residential purposes within this state and purchased on
    49  or after July first, two thousand six and before July first,  two  thou-
    50  sand  seven and on or after January first, two thousand eight and before
    51  January first, two thousand [twenty-three] twenty-six. Such credit shall
    52  be $0.01 per percent of biodiesel per gallon of bioheating fuel, not  to
    53  exceed  twenty  cents  per gallon, purchased by such taxpayer. Provided,
    54  however, that on or after January first, two  thousand  seventeen,  this

        S. 8009--C                         36                         A. 9009--C
 
     1  credit  shall not apply to bioheating fuel that is less than six percent
     2  biodiesel per gallon of bioheating fuel.
     3    § 3. This act shall take effect immediately.
 
     4                                   PART L
 
     5    Section  1.  Section 5 of chapter 604 of the laws of 2011 amending the
     6  tax law relating to the credit for companies who provide  transportation
     7  to  people with disabilities, as amended by section 1 of part K of chap-
     8  ter 60 of the laws of 2016, is amended to read as follows:
     9    § 5. This act shall take effect immediately and shall remain in effect
    10  until December 31, 2016 when upon such date it shall be deemed repealed;
    11  provided that this act shall be deemed to have been in  full  force  and
    12  effect  on December 31, 2010; provided further that this act shall apply
    13  to all tax years commencing on or after January 1,  2011;  and  provided
    14  further  that  sections  one  and two of this act shall remain in effect
    15  until December 31, [2022] 2028 when upon such date such  sections  shall
    16  be deemed repealed.
    17    §  2. Paragraphs (a) and (b) of subdivision 38 of section 210-B of the
    18  tax law, as added by section 17 of part A of chapter 59 of the  laws  of
    19  2014, are amended to read as follows:
    20    (a) Allowance and amount of credit. A taxpayer, who provides a taxicab
    21  service  as  defined in section one hundred forty-eight-a of the vehicle
    22  and traffic law, or a livery service as defined in section  one  hundred
    23  twenty-one-e  of the vehicle and traffic law, shall be allowed a credit,
    24  to be computed as provided in this subdivision, against the tax  imposed
    25  by  this  article. The amount of the credit shall be equal to the incre-
    26  mental cost associated with upgrading a vehicle so that it is accessible
    27  by individuals with disabilities as defined in  paragraph  (b)  of  this
    28  subdivision.  Provided,  however,  that  such  credit  shall  not exceed
    29  fifteen thousand dollars per electric vehicle and ten  thousand  dollars
    30  per  any  other  vehicle. For purposes of this subdivision, purchases of
    31  new vehicles that are initially manufactured to be accessible for  indi-
    32  viduals  with disabilities and for which there is no comparable make and
    33  model that does not include the equipment necessary to provide  accessi-
    34  bility  to  individuals  with  disabilities, the credit shall be fifteen
    35  thousand dollars per electric vehicle and ten thousand dollars  per  any
    36  other vehicle.
    37    (b)  [Definition]  Definitions.    The term "accessible by individuals
    38  with disabilities" shall, for the purposes of this subdivision, refer to
    39  a vehicle that complies with federal regulations promulgated pursuant to
    40  the Americans with Disabilities Act applicable to vans under  twenty-two
    41  feet  in length, by the federal Department of Transportation, in Code of
    42  Federal Regulations, title 49, parts 37  and  38,  and  by  the  federal
    43  Architecture  and  Transportation  Barriers Compliance Board, in Code of
    44  Federal Regulations, title 36, section 1192.23, and  the  Federal  Motor
    45  Vehicle  Safety  Standards,  Code of Federal Regulations, title 49, part
    46  57. The term "electric vehicle" shall, for the purposes of this subdivi-
    47  sion, have the same meaning as in  section  sixty-six-s  of  the  public
    48  service law.
    49    §  3. Paragraph (c) of subdivision 38 of section 210-B of the tax law,
    50  as amended by section 2 of part K of chapter 60 of the laws of 2016,  is
    51  amended to read as follows:
    52    (c)  Application of credit. In no event shall the credit allowed under
    53  this subdivision for any taxable year reduce the tax due for  such  year
    54  to  less  than the amount prescribed in paragraph (d) of subdivision one

        S. 8009--C                         37                         A. 9009--C
 
     1  of section two hundred ten of this article. However, if  the  amount  of
     2  credit  allowed  under this subdivision for any taxable year reduces the
     3  tax to such amount or if the taxpayer otherwise pays tax  based  on  the
     4  fixed dollar minimum amount, any amount of credit thus not deductible in
     5  such  taxable year shall be carried over to the following year or years,
     6  and may be deducted from the taxpayer's tax for such year or years.  The
     7  tax credit allowed pursuant to this subdivision shall not apply to taxa-
     8  ble  years  beginning  on  or after January first, two thousand [twenty-
     9  three] twenty-nine.
    10    § 4. Paragraphs 1 and 2 of subsection (tt) of section 606 of  the  tax
    11  law, as added by chapter 604 of the laws of 2011, are amended to read as
    12  follows:
    13    (1) Allowance and amount of credit. A taxpayer, who provides a taxicab
    14  service  as  defined in section one hundred forty-eight-a of the vehicle
    15  and traffic law, or a livery service as defined in section  one  hundred
    16  twenty-one-e  of the vehicle and traffic law, shall be allowed a credit,
    17  to be computed as provided in this subsection, against the  tax  imposed
    18  by  this  article. The amount of the credit shall be equal to the incre-
    19  mental cost associated with upgrading a vehicle so that it is accessible
    20  by individuals with disabilities as defined in  paragraph  two  of  this
    21  subsection. Provided, however, that such credit shall not exceed fifteen
    22  thousand  dollars  per electric vehicle and ten thousand dollars per any
    23  other vehicle. For purposes of this subsection, purchases of  new  vehi-
    24  cles  that  are  initially manufactured to be accessible for individuals
    25  with disabilities and for which there is no comparable  make  and  model
    26  that  does  not include the equipment necessary to provide accessibility
    27  to individuals with disabilities, the credit shall be  fifteen  thousand
    28  dollars  per  electric  vehicle  and  ten thousand dollars per any other
    29  vehicle.
    30    (2) [Definition] Definitions.   The term  "accessible  by  individuals
    31  with  disabilities" shall, for the purposes of this subsection, refer to
    32  a vehicle that complies with federal regulations promulgated pursuant to
    33  the Americans with Disabilities Act applicable to vans under  twenty-two
    34  feet  in length, by the federal Department of Transportation, in Code of
    35  Federal Regulations, title 49, parts 37  and  38,  and  by  the  federal
    36  Architecture  and  Transportation  Barriers Compliance Board, in Code of
    37  Federal Regulations, title 36, section 1192.23, and  the  Federal  Motor
    38  Vehicle  Safety  Standards,  Code of Federal Regulations, title 29, part
    39  57. The  term  "electric  vehicle"  shall,  for  the  purposes  of  this
    40  subsection,  have  the  same  meaning  as  in section sixty-six-s of the
    41  public service law.
    42    § 5. This act shall take effect immediately; provided,  however,  that
    43  sections two and four of this act shall apply to taxable years beginning
    44  on  or  after January 1, 2023, provided, however, that the amendments to
    45  subsection (tt) of section 606 of the tax law made by  section  four  of
    46  this  act  shall  not  affect the repeal of such subsection and shall be
    47  deemed repealed therewith.
 
    48                                   PART M
 
    49    Section  1.    Paragraph 4 of subdivision (a) of section 24 of the tax
    50  law, as added by section 5 of part Q of chapter 57 of the laws of  2010,
    51  is amended to read as follows:
    52    (4)  (i) Notwithstanding the foregoing provisions of this subdivision,
    53  a qualified  film  production  company  or  qualified  independent  film
    54  production  company, that has applied for credit under the provisions of

        S. 8009--C                         38                         A. 9009--C
 
     1  this section, agrees as a condition for  the  granting  of  the  credit:
     2  [(i)] (A) to include in each qualified film distributed by DVD, or other
     3  media for the secondary market, a New York promotional video approved by
     4  the governor's office of motion picture and television development or to
     5  include  in  the  end  credits  of  each qualified film "Filmed With the
     6  Support of the New York State Governor's Office of  Motion  Picture  and
     7  Television  Development" and a logo provided by the governor's office of
     8  motion picture and television development, and  [(ii)]  (B)  to  certify
     9  that it will purchase taxable tangible property and services, defined as
    10  qualified  production costs pursuant to paragraph one of subdivision (b)
    11  of this section, only from companies registered  to  collect  and  remit
    12  state  and  local  sales and use taxes pursuant to articles twenty-eight
    13  and twenty-nine of this chapter.
    14    (ii) On or after January first, two thousand twenty-three, a qualified
    15  film production company or qualified independent film production company
    16  that has applied for credit under the provisions of this section  shall,
    17  as  a  condition  for  the granting of the credit, file a diversity plan
    18  with the governor's office for motion picture and television development
    19  outlining specific goals for hiring a diverse workforce. The commission-
    20  er of economic development shall promulgate regulations implementing the
    21  requirements of this paragraph, which, notwithstanding any provisions to
    22  the contrary in the state administrative procedure act, may  be  adopted
    23  on  an emergency basis, to ensure compliance with the provisions of this
    24  paragraph. The governor's  office  for  motion  picture  and  television
    25  development  shall review each submitted plan as to whether it meets the
    26  requirements established by the commissioner  of  economic  development,
    27  and  shall  verify that the applicant has met or made good-faith efforts
    28  in achieving these goals. The diversity plan also shall indicate whether
    29  the qualified film production  company  or  qualified  independent  film
    30  production  company  that has applied for credit under the provisions of
    31  this section intends to participate in training, education, and recruit-
    32  ment programs that are designed to promote and  encourage  the  training
    33  and hiring in the film and television industry of New York residents who
    34  represent the diversity of the State's population.
    35    §  2.  Paragraph 5 of subdivision (a) of section 24 of the tax law, as
    36  amended by section 1 of part F of chapter 59 of the  laws  of  2021,  is
    37  amended to read as follows:
    38    (5)  For the period two thousand fifteen through two thousand [twenty-
    39  six] twenty-nine, in addition to the amount  of  credit  established  in
    40  paragraph  two of this subdivision, a taxpayer shall be allowed a credit
    41  equal to the product (or pro rata share of the product, in the case of a
    42  member of a partnership) of ten percent and the amount of wages or sala-
    43  ries paid to individuals directly employed (excluding those employed  as
    44  writers, directors, music directors, producers and performers, including
    45  background actors with no scripted lines) by a qualified film production
    46  company  or a qualified independent film production company for services
    47  performed by those individuals in one of the counties specified in  this
    48  paragraph  in  connection with a qualified film with a minimum budget of
    49  five hundred thousand dollars. For purposes of this  additional  credit,
    50  the services must be performed in one or more of the following counties:
    51  Albany,  Allegany,  Broome,  Cattaraugus,  Cayuga,  Chautauqua, Chemung,
    52  Chenango, Clinton, Columbia, Cortland, Delaware, Dutchess, Erie,  Essex,
    53  Franklin, Fulton, Genesee, Greene, Hamilton, Herkimer, Jefferson, Lewis,
    54  Livingston,  Madison,  Monroe,  Montgomery,  Niagara,  Oneida, Onondaga,
    55  Ontario, Orange, Orleans, Oswego, Otsego, Putnam, Rensselaer,  Saratoga,
    56  Schenectady,  Schoharie, Schuyler, Seneca, St. Lawrence, Steuben, Sulli-

        S. 8009--C                         39                         A. 9009--C
 
     1  van, Tioga, Tompkins, Ulster, Warren,  Washington,  Wayne,  Wyoming,  or
     2  Yates.  The  aggregate  amount  of  tax  credits allowed pursuant to the
     3  authority of this paragraph shall be  five  million  dollars  each  year
     4  during the period two thousand fifteen through two thousand [twenty-six]
     5  twenty-nine  of  the  annual  allocation  made  available to the program
     6  pursuant to paragraph four of subdivision  (e)  of  this  section.  Such
     7  aggregate  amount of credits shall be allocated by the governor's office
     8  for motion picture and television development among taxpayers  in  order
     9  of  priority based upon the date of filing an application for allocation
    10  of film production credit with such office. If the total amount of allo-
    11  cated credits applied for under this paragraph in any year  exceeds  the
    12  aggregate  amount  of tax credits allowed for such year under this para-
    13  graph, such excess shall be treated as having been applied  for  on  the
    14  first day of the next year. If the total amount of allocated tax credits
    15  applied  for  under this paragraph at the conclusion of any year is less
    16  than five million dollars, the remainder shall be treated as part of the
    17  annual allocation made available to the program  pursuant  to  paragraph
    18  four  of  subdivision  (e) of this section. However, in no event may the
    19  total of the credits allocated under  this  paragraph  and  the  credits
    20  allocated  under paragraph five of subdivision (a) of section thirty-one
    21  of this article exceed five million dollars in any year during the peri-
    22  od two thousand fifteen through two thousand [twenty-six] twenty-nine.
    23    § 3. Paragraph 4 of subdivision (e) of section 24 of the tax  law,  as
    24  amended  by  section  2  of part F of chapter 59 of the laws of 2021, is
    25  amended to read as follows:
    26    (4) Additional pool 2 - The aggregate amount of tax credits allowed in
    27  subdivision (a) of this section shall be increased by an additional four
    28  hundred twenty million dollars in each year starting in two thousand ten
    29  through two thousand [twenty-six] twenty-nine  provided  however,  seven
    30  million  dollars  of  the  annual  allocation shall be available for the
    31  empire state film post production credit pursuant to section  thirty-one
    32  of  this  article  in  two  thousand thirteen and two thousand fourteen,
    33  twenty-five million dollars of the annual allocation shall be  available
    34  for  the  empire  state  film post production credit pursuant to section
    35  thirty-one of this article in each year starting in two thousand fifteen
    36  through two thousand [twenty-six] twenty-nine and five  million  dollars
    37  of  the  annual  allocation  shall  be made available for the television
    38  writers' and directors' fees and salaries  credit  pursuant  to  section
    39  twenty-four-b  of  this  article  in  each year starting in two thousand
    40  twenty through two thousand [twenty-six] twenty-nine. This amount  shall
    41  be  allocated by the governor's office for motion picture and television
    42  development among taxpayers in accordance with subdivision (a)  of  this
    43  section. If the commissioner of economic development determines that the
    44  aggregate amount of tax credits available from additional pool 2 for the
    45  empire  state film production tax credit have been previously allocated,
    46  and determines that the pending applications  from  eligible  applicants
    47  for the empire state film post production tax credit pursuant to section
    48  thirty-one  of  this  article  is insufficient to utilize the balance of
    49  unallocated empire state film post  production  tax  credits  from  such
    50  pool,  the  remainder,  after  such pending applications are considered,
    51  shall be made available for allocation in  the  empire  state  film  tax
    52  credit  pursuant  to  this  section,  subdivision  twenty of section two
    53  hundred ten-B and subsection (gg) of section six  hundred  six  of  this
    54  chapter.  Also,  if  the commissioner of economic development determines
    55  that the aggregate amount of tax credits available from additional  pool
    56  2  for the empire state film post production tax credit have been previ-

        S. 8009--C                         40                         A. 9009--C
 
     1  ously allocated, and  determines  that  the  pending  applications  from
     2  eligible  applicants  for  the  empire  state film production tax credit
     3  pursuant to this section is insufficient to utilize the balance of unal-
     4  located  film production tax credits from such pool, then all or part of
     5  the remainder, after such pending applications are considered, shall  be
     6  made  available for allocation for the empire state film post production
     7  credit pursuant to this section, subdivision thirty-two of  section  two
     8  hundred  ten-B  and  subsection  (qq) of section six hundred six of this
     9  chapter. The governor's office for motion picture and television  devel-
    10  opment  must  notify  taxpayers of their allocation year and include the
    11  allocation year on the certificate of tax credit. Taxpayers eligible  to
    12  claim  a credit must report the allocation year directly on their empire
    13  state film production credit tax form for each year a credit is  claimed
    14  and include a copy of the certificate with their tax return. In the case
    15  of  a  qualified  film  that  receives  funds from additional pool 2, no
    16  empire state film production credit shall be claimed before the later of
    17  the taxable year the production of the qualified film  is  complete,  or
    18  the taxable year immediately following the allocation year for which the
    19  film  has  been  allocated  credit  by  the governor's office for motion
    20  picture and television development.
    21    § 4. Paragraph 4 of subdivision (e) of section 24 of the tax  law,  as
    22  amended  by  section  3  of part F of chapter 59 of the laws of 2021, is
    23  amended to read as follows:
    24    (4) Additional pool 2 - The aggregate amount of tax credits allowed in
    25  subdivision (a) of this section shall be increased by an additional four
    26  hundred twenty million dollars in each year starting in two thousand ten
    27  through two thousand [twenty-six] twenty-nine  provided  however,  seven
    28  million  dollars  of  the  annual  allocation shall be available for the
    29  empire state film post production credit pursuant to section  thirty-one
    30  of  this  article in two thousand thirteen and two thousand fourteen and
    31  twenty-five million dollars of the annual allocation shall be  available
    32  for  the  empire  state  film post production credit pursuant to section
    33  thirty-one of this article in each year starting in two thousand fifteen
    34  through two thousand [twenty-six]  twenty-nine.  This  amount  shall  be
    35  allocated  by  the  governor's  office for motion picture and television
    36  development among taxpayers in accordance with subdivision (a)  of  this
    37  section. If the commissioner of economic development determines that the
    38  aggregate amount of tax credits available from additional pool 2 for the
    39  empire  state film production tax credit have been previously allocated,
    40  and determines that the pending applications  from  eligible  applicants
    41  for the empire state film post production tax credit pursuant to section
    42  thirty-one  of  this  article  is insufficient to utilize the balance of
    43  unallocated empire state film post  production  tax  credits  from  such
    44  pool,  the  remainder,  after  such pending applications are considered,
    45  shall be made available for allocation in  the  empire  state  film  tax
    46  credit  pursuant  to  this  section,  subdivision  twenty of section two
    47  hundred ten-B and subsection (gg) of section six  hundred  six  of  this
    48  chapter.  Also,  if  the commissioner of economic development determines
    49  that the aggregate amount of tax credits available from additional  pool
    50  2  for the empire state film post production tax credit have been previ-
    51  ously allocated, and  determines  that  the  pending  applications  from
    52  eligible  applicants  for  the  empire  state film production tax credit
    53  pursuant to this section is insufficient to utilize the balance of unal-
    54  located film production tax credits from such pool, then all or part  of
    55  the  remainder, after such pending applications are considered, shall be
    56  made available for allocation for the empire state film post  production

        S. 8009--C                         41                         A. 9009--C
 
     1  credit  pursuant  to this section, subdivision thirty-two of section two
     2  hundred ten-B and subsection (qq) of section six  hundred  six  of  this
     3  chapter.  The governor's office for motion picture and television devel-
     4  opment  must  notify  taxpayers of their allocation year and include the
     5  allocation year on the certificate of tax credit. Taxpayers eligible  to
     6  claim  a credit must report the allocation year directly on their empire
     7  state film production credit tax form for each year a credit is  claimed
     8  and include a copy of the certificate with their tax return. In the case
     9  of  a  qualified  film  that  receives  funds from additional pool 2, no
    10  empire state film production credit shall be claimed before the later of
    11  the taxable year the production of the qualified film  is  complete,  or
    12  the taxable year immediately following the allocation year for which the
    13  film  has  been  allocated  credit  by  the governor's office for motion
    14  picture and television development.
    15    § 5. Paragraph 1 of subdivision (f) of section 24 of the tax  law,  as
    16  added  by  section 2 of subpart A of part H of chapter 39 of the laws of
    17  2019, is amended to read as follows:
    18    (1) With regard to certificates of tax credit issued on or after Janu-
    19  ary first, two thousand twenty, the commissioner of economic development
    20  shall reduce by one-quarter of one percent the amount of credit  allowed
    21  to a taxpayer and this reduced amount shall be reported on a certificate
    22  of  tax  credit  issued  pursuant  to  this  section and the regulations
    23  promulgated by the commissioner of  economic  development  to  implement
    24  this  credit program.  Provided, however, for certificates of tax credit
    25  issued on or after January first, two thousand twenty-three, the  amount
    26  of  credit  shall  be  reduced by one-half of one percent allowed to the
    27  taxpayer.
    28    § 6. Paragraph 6 of subdivision (a) of section 31 of the tax  law,  as
    29  amended  by  section  4  of part F of chapter 59 of the laws of 2021, is
    30  amended to read as follows:
    31    (6) For the period two thousand fifteen through two thousand  [twenty-
    32  six]  twenty-nine,  in  addition  to the amount of credit established in
    33  paragraph two of this subdivision, a taxpayer shall be allowed a  credit
    34  equal to the product (or pro rata share of the product, in the case of a
    35  member of a partnership) of ten percent and the amount of wages or sala-
    36  ries  paid to individuals directly employed (excluding those employed as
    37  writers, directors, music directors, producers and performers, including
    38  background actors with no scripted  lines)  for  services  performed  by
    39  those  individuals in one of the counties specified in this paragraph in
    40  connection with the post production work on  a  qualified  film  with  a
    41  minimum  budget  of  five  hundred  thousand dollars at a qualified post
    42  production facility in one of the counties listed in this paragraph. For
    43  purposes of this additional credit, the services must  be  performed  in
    44  one  or more of the following counties: Albany, Allegany, Broome, Catta-
    45  raugus, Cayuga, Chautauqua, Chemung, Chenango, Clinton, Columbia,  Cort-
    46  land,  Delaware,  Dutchess,  Erie,  Essex,  Franklin,  Fulton,  Genesee,
    47  Greene,  Hamilton,  Herkimer,  Jefferson,  Lewis,  Livingston,  Madison,
    48  Monroe, Montgomery, Niagara, Oneida, Onondaga, Ontario, Orange, Orleans,
    49  Oswego,  Otsego,  Putnam,  Rensselaer, Saratoga, Schenectady, Schoharie,
    50  Schuyler, Seneca, St.  Lawrence,  Steuben,  Sullivan,  Tioga,  Tompkins,
    51  Ulster,  Warren,  Washington,  Wayne,  Wyoming,  or Yates. The aggregate
    52  amount of tax credits allowed pursuant to the authority  of  this  para-
    53  graph  shall  be  five  million  dollars each year during the period two
    54  thousand fifteen through two thousand [twenty-six]  twenty-nine  of  the
    55  annual   allocation  made  available  to  the  empire  state  film  post
    56  production credit pursuant to  paragraph  four  of  subdivision  (e)  of

        S. 8009--C                         42                         A. 9009--C
 
     1  section  twenty-four  of  this article. Such aggregate amount of credits
     2  shall be allocated by the governor's office for motion picture and tele-
     3  vision development among taxpayers in order of priority based  upon  the
     4  date  of  filing an application for allocation of post production credit
     5  with such office. If the total amount of allocated credits  applied  for
     6  under  this  paragraph  in  any year exceeds the aggregate amount of tax
     7  credits allowed for such year under this paragraph, such excess shall be
     8  treated as having been applied for on the first day of the next year. If
     9  the total amount of allocated tax credits applied for under  this  para-
    10  graph  at  the conclusion of any year is less than five million dollars,
    11  the remainder shall be treated as part of the annual allocation for  two
    12  thousand  seventeen  made  available  to  the  empire  state  film  post
    13  production credit pursuant to  paragraph  four  of  subdivision  (e)  of
    14  section  twenty-four of this article. However, in no event may the total
    15  of the credits allocated under this paragraph and the credits  allocated
    16  under  paragraph  five of subdivision (a) of section twenty-four of this
    17  article exceed five million dollars in any year during  the  period  two
    18  thousand fifteen through two thousand [twenty-six] twenty-nine.
    19    §  7.  This  act shall take effect immediately; provided, however that
    20  the amendments to paragraph 4 of subdivision (e) of section  24  of  the
    21  tax  law made by section three of this act shall take effect on the same
    22  date and in the same manner as section 5 of chapter 683 of the  laws  of
    23  2019, as amended, takes effect.
 
    24                                   PART N
 
    25    Section  1.  Subdivision  (a)  of  section  25-a  of the labor law, as
    26  amended by section 1 of subpart A of part N of chapter 59 of the laws of
    27  2017, is amended to read as follows:
    28    (a) The commissioner is authorized to  establish  and  administer  the
    29  program  established  under  this  section  to provide tax incentives to
    30  employers for employing at risk youth in part-time and  full-time  posi-
    31  tions.  There  will be ten distinct pools of tax incentives. Program one
    32  will cover tax incentives allocated for  two  thousand  twelve  and  two
    33  thousand  thirteen.  Program  two will cover tax incentives allocated in
    34  two thousand fourteen. Program three will cover tax incentives allocated
    35  in two thousand fifteen. Program four will cover  tax  incentives  allo-
    36  cated  in  two  thousand sixteen. Program five will cover tax incentives
    37  allocated in two thousand seventeen. Program six will cover  tax  incen-
    38  tives  allocated  in two thousand eighteen. Program seven will cover tax
    39  incentives allocated in two thousand nineteen. Program eight will  cover
    40  tax incentives allocated in two thousand twenty. Program nine will cover
    41  tax  incentives  allocated  in two thousand twenty-one. Program ten will
    42  cover tax incentives allocated in two thousand twenty-two. Program elev-
    43  en will cover tax incentives allocated  in  two  thousand  twenty-three.
    44  Program twelve will cover tax incentives allocated in two thousand twen-
    45  ty-four.  Program  thirteen  will  cover tax incentives allocated in two
    46  thousand twenty-five. Program fourteen will cover tax  incentives  allo-
    47  cated  in two thousand twenty-six. Program fifteen will cover tax incen-
    48  tives allocated  in  two  thousand  twenty-seven.  The  commissioner  is
    49  authorized  to allocate up to twenty-five million dollars of tax credits
    50  under program one, ten million dollars of tax credits under program two,
    51  twenty million dollars of tax credits under program three, fifty million
    52  dollars of tax credits under each of programs four and five,  and  forty
    53  million  dollars  of  tax credits under programs six, seven, eight, nine
    54  [and], ten, eleven, twelve, thirteen, fourteen and fifteen.

        S. 8009--C                         43                         A. 9009--C
 
     1    § 2.  Paragraph 4 of subdivision (b) of section 25-a of the labor law,
     2  as added by section 1-a of subpart A of part N of chapter 59 of the laws
     3  of 2017, is amended to read as follows:
     4    (4)  For  programs six, seven, eight, nine [and], ten, eleven, twelve,
     5  thirteen, fourteen, and fifteen the tax credit under each program  shall
     6  be  allocated  as  follows: (i) twenty million dollars of tax credit for
     7  qualified employees; and (ii) twenty million dollars of tax  credit  for
     8  individuals  who  meet  all of the requirements for a qualified employee
     9  except for the residency requirement of subparagraph (ii)  of  paragraph
    10  two  of  this subdivision, which individuals shall be deemed to meet the
    11  residency requirements of subparagraph (ii) of  paragraph  two  of  this
    12  subdivision if they reside in New York state.
    13    §  3.  The opening paragraph of subdivision (d) of section 25-a of the
    14  labor law, as amended by section 2 of part R of chapter 59 of  the  laws
    15  of 2018, is amended to read as follows:
    16    To  participate  in  the  program  established  under this section, an
    17  employer must submit an application (in a form prescribed by the commis-
    18  sioner) to the commissioner after January first, two thousand twelve but
    19  no later than November thirtieth, two thousand twelve for  program  one,
    20  after  January  first,  two thousand fourteen but no later than November
    21  thirtieth, two thousand fourteen for program two, after  January  first,
    22  two  thousand fifteen but no later than November thirtieth, two thousand
    23  fifteen for program three, after January first, two thousand sixteen but
    24  no later than November thirtieth, two thousand sixteen for program four,
    25  after January first, two thousand seventeen but no later  than  November
    26  thirtieth, two thousand seventeen for program five, after January first,
    27  two thousand eighteen but no later than November thirtieth, two thousand
    28  eighteen for program six, after January first, two thousand nineteen but
    29  no  later  than  November  thirtieth,  two thousand nineteen for program
    30  seven, after January first, two thousand twenty but no later than Novem-
    31  ber thirtieth, two thousand twenty  for  program  eight,  after  January
    32  first, two thousand twenty-one but no later than November thirtieth, two
    33  thousand  twenty-one  for  program  nine, [and] after January first, two
    34  thousand twenty-two but no later than November thirtieth,  two  thousand
    35  twenty-two  for  program  ten, after January first, two thousand twenty-
    36  three but no later than November thirtieth,  two  thousand  twenty-three
    37  for program eleven, after January first, two thousand twenty-four but no
    38  later  than  November  thirtieth,  two  thousand twenty-four for program
    39  twelve, after January first, two thousand twenty-five but no later  than
    40  November thirtieth, two thousand twenty-five for program thirteen, after
    41  January  first, two thousand twenty-six but no later than November thir-
    42  tieth, two thousand twenty-six for program fourteen, and  after  January
    43  first,  two  thousand twenty-seven but no later than November thirtieth,
    44  two thousand twenty-seven for program fifteen. The  qualified  employees
    45  must  start  their  employment  on  or after January first, two thousand
    46  twelve but no later than December thirty-first, two thousand twelve  for
    47  program  one,  on  or  after January first, two thousand fourteen but no
    48  later than December thirty-first, two thousand fourteen for program two,
    49  on or after January first, two thousand fifteen but no later than Decem-
    50  ber thirty-first, two thousand fifteen for program three,  on  or  after
    51  January  first,  two thousand sixteen but no later than December thirty-
    52  first, two thousand sixteen for program four, on or after January first,
    53  two thousand seventeen but no  later  than  December  thirty-first,  two
    54  thousand  seventeen  for  program  five,  on or after January first, two
    55  thousand eighteen but no later than December thirty-first, two  thousand
    56  eighteen  for program six, on or after January first, two thousand nine-

        S. 8009--C                         44                         A. 9009--C
 
     1  teen but no later than December thirty-first, two thousand nineteen  for
     2  program  seven,  on  or  after January first, two thousand twenty but no
     3  later than December thirty-first, two thousand twenty for program eight,
     4  on  or  after  January  first, two thousand twenty-one but no later than
     5  December thirty-first, two thousand twenty-one for program  nine,  [and]
     6  on  or  after  January  first, two thousand twenty-two but no later than
     7  December thirty-first, two thousand twenty-two for program  ten,  on  or
     8  after  January first, two thousand twenty-three but no later than Decem-
     9  ber thirty-first, two thousand three for program  eleven,  on  or  after
    10  January first, two thousand twenty-four but no later than December thir-
    11  ty-first, two thousand twenty-four for program twelve, on or after Janu-
    12  ary  first,  two thousand twenty-five but no later than December thirty-
    13  first, two thousand  twenty-five  for  program  thirteen,  on  or  after
    14  January  first, two thousand twenty-six but no later than December thir-
    15  ty-first, two thousand twenty-six for program fourteen, and on or  after
    16  January  first,  two  thousand  twenty-seven  but no later than December
    17  thirty-first, two thousand twenty-seven for program fifteen. As part  of
    18  such application, an employer must:
    19    § 4. This act shall take effect immediately.
 
    20                                   PART O
 
    21    Section  1. Subdivision (a) of section 25-c of the labor law, as added
    22  by section 1 of subpart B of part N of chapter 59 of the laws  of  2017,
    23  is amended to read as follows:
    24    (a)  The  commissioner  is  authorized to establish and administer the
    25  empire state apprenticeship tax credit program to provide tax incentives
    26  to certified employers for employing qualified apprentices  pursuant  to
    27  an  apprenticeship  agreement registered with the department pursuant to
    28  paragraph (d) of subdivision one of section eight hundred eleven of this
    29  chapter. The commissioner is authorized to allocate up  to  ten  million
    30  dollars  of tax credits annually, beginning in two thousand eighteen and
    31  ending before two thousand [twenty-three] twenty-eight. Any unused annu-
    32  al allocation of the credit shall be  made  available  in  each  of  the
    33  subsequent years before two thousand [twenty-three] twenty-eight.
    34    § 2. This act shall take effect immediately.
 
    35                                   PART P
 
    36    Section  1.  Subdivision 6 of section 187-b of the tax law, as amended
    37  by section 1 of part O of chapter 59 of the laws of 2017, is amended  to
    38  read as follows:
    39    6.  Termination. The credit allowed by subdivision two of this section
    40  shall not apply in taxable years beginning after December  thirty-first,
    41  two thousand [twenty-two] twenty-five.
    42    §  2. Paragraph (f) of subdivision 30 of section 210-B of the tax law,
    43  as amended by section 2 of part O of chapter 59 of the laws of 2017,  is
    44  amended to read as follows:
    45    (f)  Termination. The credit allowed by paragraph (b) of this subdivi-
    46  sion shall not apply in taxable years beginning after  December  thirty-
    47  first, two thousand [twenty-two] twenty-five.
    48    §  3.  Paragraph 6 of subsection (p) of section 606 of the tax law, as
    49  amended by section 3 of part O of chapter 59 of the  laws  of  2017,  is
    50  amended to read as follows:

        S. 8009--C                         45                         A. 9009--C
 
     1    (6) Termination. The credit allowed by this subsection shall not apply
     2  in  taxable  years  beginning  after December thirty-first, two thousand
     3  [twenty-two] twenty-five.
     4    § 4. This act shall take effect immediately.
 
     5                                   PART Q
 
     6    Section  1.  Section  5  of  part MM of chapter 59 of the laws of 2014
     7  amending the labor law and the tax law relating to the creation  of  the
     8  workers with disabilities tax credit program, as amended by section 1 of
     9  part E of chapter 59 of the laws of 2019, is amended to read as follows:
    10    §  5.  This  act shall take effect January 1, 2015, and shall apply to
    11  taxable years beginning on and after that date[; provided, however, that
    12  this act shall expire and be deemed repealed January 1, 2023].
    13    § 2. Section 25-b of the labor law is amended by adding a new subdivi-
    14  sion (f) to read as follows:
    15    (f) The tax credits provided under this program shall be applicable to
    16  taxable periods beginning before January first, two thousand twenty-six.
    17    § 3. This act shall take effect immediately.
 
    18                                   PART R
 
    19                            Intentionally Omitted
 
    20                                   PART S
 
    21                            Intentionally Omitted
 
    22                                   PART T
 
    23    Section 1. Section 301-b of the tax law is amended  by  adding  a  new
    24  subdivision (j) to read as follows:
    25    (j)  Exemption  for  tugboats  and  towboats.  The use by a tugboat or
    26  towboat of motor fuel, diesel motor fuel, or residual petroleum product.
    27  Provided, that the commissioner shall require such documentary proof  to
    28  qualify  for  any exemption provided hereunder as the commissioner deems
    29  appropriate.
    30    § 2. The opening paragraph of section 301-c of the tax law, as amended
    31  by section 5 of part W-1 of chapter 109 of the laws of 2006, is  amended
    32  to read as follows:
    33    A subsequent purchaser shall be eligible for reimbursement of tax with
    34  respect  to the following gallonage, subsequently sold by such purchaser
    35  in accordance with subdivision (a), (b), (e), (h), (j), (k), (n) or  (o)
    36  of this section or used by such purchaser in accordance with subdivision
    37  (c),  (d),  (f),  (g),  (i), (l) [or], (m) or (q) of this section, which
    38  gallonage has been included in the measure of the tax  imposed  by  this
    39  article on a petroleum business:
    40    § 3. The opening paragraph of section 301-c of the tax law, as amended
    41  by chapter 468 of the laws of 2000, is amended to read as follows:
    42    A subsequent purchaser shall be eligible for reimbursement of tax with
    43  respect  to the following gallonage, subsequently sold by such purchaser
    44  in accordance with subdivision (a), (b), (e), (h), (j) or  (k)  of  this
    45  section  or  used  by such purchaser in accordance with subdivision (c),
    46  (d), (f), (g), (i), (l) [or], (m) or (q) of this section,  which  gallo-

        S. 8009--C                         46                         A. 9009--C
 
     1  nage has been included in the measure of the tax imposed by this article
     2  on a petroleum business:
     3    §  4. Section 301-c of the tax law is amended by adding a new subdivi-
     4  sion (q) to read as follows:
     5    (q) Reimbursement for tugboats and towboats. A use  by  a  tugboat  or
     6  towboat of motor fuel, diesel motor fuel, or residual petroleum product.
     7  This  reimbursement may be claimed only where (1) any tax imposed pursu-
     8  ant to this article has been paid with respect to such gallonage and the
     9  entire amount of such tax has been absorbed by such purchaser,  and  (2)
    10  such  tugboat or towboat possesses documentary proof satisfactory to the
    11  commissioner evidencing the absorption by it of  the  entire  amount  of
    12  such tax. Provided, that the commissioner shall require such documentary
    13  proof to qualify for any reimbursement provided hereunder as the commis-
    14  sioner deems appropriate.
    15    §  5. This act shall take effect September 1, 2022, and shall apply to
    16  uses of motor fuel, diesel motor fuel and residual petroleum product  on
    17  and after such date; provided however that the amendments to the opening
    18  paragraph  of  section  301-c of the tax law made by section two of this
    19  act shall be subject to the expiration and reversion of  such  paragraph
    20  pursuant  to  section 19 of part W-1 of chapter 109 of the laws of 2006,
    21  as amended, when upon such date the provisions of section three of  this
    22  act shall take effect.
 
    23                                   PART U
 
    24                            Intentionally Omitted
 
    25                                   PART V
 
    26                            Intentionally Omitted
 
    27                                   PART W
 
    28    Section  1.    Paragraph 1 of subsection (a) of section 671 of the tax
    29  law, as amended by chapter 760 of the laws of 1992, is amended  to  read
    30  as follows:
    31    (1) Every employer maintaining an office or transacting business with-
    32  in this state and making payment of any wages taxable under this article
    33  shall  deduct and withhold from such wages for each payroll period a tax
    34  computed in such manner as to result, so far as  practicable,  in  with-
    35  holding  from  the  employee's wages during each calendar year an amount
    36  substantially equivalent to the tax reasonably estimated to be due under
    37  this article resulting from the inclusion in  the  employee's  New  York
    38  adjusted  gross income or New York source income of [his] the employee's
    39  wages received during such calendar year. The method of determining  the
    40  amount  to  be  withheld  shall  be  prescribed  by [regulations of] the
    41  commissioner, with due regard to the New York withholding exemptions  of
    42  the  employee  and  the  sum  of any credits allowable against [his] the
    43  employee's tax. The commissioner shall publish any changes to such meth-
    44  od of determining the amount of tax to be withheld on the website of the
    45  department of taxation and finance. The commissioner  shall  also  cause
    46  notice  of such changes to be published in the section for miscellaneous
    47  notices in the state register and shall give other  appropriate  general
    48  notice of such changes.

        S. 8009--C                         47                         A. 9009--C
 
     1    §  2.  Paragraph 6 of subsection (j) of section 697 of the tax law, as
     2  amended by chapter 61 of the  laws  of  1989,  is  amended  to  read  as
     3  follows:
     4    (6)  Publication  of  interest rates. The commissioner of taxation and
     5  finance shall publish the interest rates set under  this  subsection  on
     6  the  website  of  the  department  of  taxation and finance. Immediately
     7  following such publication, the commissioner shall cause  such  interest
     8  rates  to  be  published in the section for miscellaneous notices in the
     9  state register[,] and give other appropriate general  notice  of[,  the]
    10  such interest rates [to be set under this subsection no later than twen-
    11  ty  days  preceding  the  first day of the calendar quarter during which
    12  such interest rates apply]. The setting and publication of such interest
    13  rates shall not be included within paragraph (a) of subdivision  two  of
    14  section one hundred two of the state administrative procedure act relat-
    15  ing to the definition of a rule.
    16    §  3. Paragraph 5 of subsection (e) of section 1096 of the tax law, as
    17  amended by chapter 61 of the  laws  of  1989,  is  amended  to  read  as
    18  follows:
    19    (5)  Publication  of  interest rates. The commissioner of taxation and
    20  finance shall publish the interest rates set under  this  subsection  on
    21  the  website  of  the  department  of  taxation and finance. Immediately
    22  following such publication, the commissioner shall cause  such  interest
    23  rates  to  be  published in the section for miscellaneous notices in the
    24  state register[,] and give other appropriate general  notice  of[,  the]
    25  such interest rates [to be set under this subsection no later than twen-
    26  ty  days  preceding  the  first day of the calendar quarter during which
    27  such interest rates apply]. The setting and publication of such interest
    28  rates shall not be included within paragraph (a) of subdivision  two  of
    29  section one hundred two of the state administrative procedure act relat-
    30  ing to the definition of a rule.
    31    § 4. This act shall take effect immediately.
 
    32                                   PART X
 
    33    Section  1.  Paragraph (c) of subdivision 1 of section 1701 of the tax
    34  law, as added by section 1 of part CC-1 of chapter 57  of  the  laws  of
    35  2008, is amended to read as follows:
    36    (c)  "Financial  institution"  means  (i)  any  financial  institution
    37  authorized or required to participate in a  financial  institution  data
    38  match  system  or  program  for child support enforcement purposes under
    39  federal or state law, and (ii) any virtual currency business licensed by
    40  the superintendent of financial services.
    41    § 2. This act shall take effect immediately.
 
    42                                   PART Y
 
    43    Section 1. Section 4 of chapter 475 of the laws of 2013,  relating  to
    44  assessment  ceilings  for  local  public  utility mass real property, as
    45  amended by section 1 of part G of chapter 59 of the  laws  of  2018,  is
    46  amended to read as follows:
    47    §  4. This act shall take effect on the first of January of the second
    48  calendar year commencing after this act shall  have  become  a  law  and
    49  shall  apply  to  assessment rolls with taxable status dates on or after
    50  such date; provided, however, that this act shall expire and  be  deemed
    51  repealed  [eight]  twelve years after such effective date; and provided,
    52  further, that no assessment of local public utility mass  real  property

        S. 8009--C                         48                         A. 9009--C
 
     1  appearing  on  the  municipal assessment roll with a taxable status date
     2  occurring in the first calendar year after this act shall have become  a
     3  law  shall  be  less  than  ninety  percent or more than one hundred ten
     4  percent  of  the  assessment  of  the same property on the date this act
     5  shall have become a law.
     6    § 2. Subdivision 4 of section 499-pppp of the real property  tax  law,
     7  as  added  by  chapter  475  of  the laws of 2013, is amended to read as
     8  follows:
     9    4. (a) Any final determination of an assessment ceiling by the commis-
    10  sioner pursuant to subdivision one of this section shall be  subject  to
    11  judicial challenge by an owner of local public utility mass real proper-
    12  ty or a local assessing jurisdiction in a proceeding under article seven
    13  of  this chapter; provided however, the time to commence such proceeding
    14  shall be within sixty days of the issuance of the final assessment ceil-
    15  ing certificate and all questions of fact and law shall be determined de
    16  novo. Any judicial proceeding shall be commenced in the supreme court in
    17  the county of Albany or the county agreed upon by the parties  in  which
    18  the local public utility mass real property is located.
    19    (b) Nothing in this section shall preclude a challenge of the assessed
    20  value  established  by  a  local  assessing jurisdiction with respect to
    21  local public utility mass real property as otherwise provided in article
    22  seven of this chapter, provided however that:
    23    (i) Upon motion of the local assessing  jurisdiction,  such  challenge
    24  shall be consolidated with the challenge to the final assessment ceiling
    25  commenced pursuant to this subdivision and litigated in the venue speci-
    26  fied by this subdivision.
    27    (ii)  In  any proceeding initiated by an owner of local public utility
    28  mass real property challenging an assessed value established by a  local
    29  assessing  jurisdiction for local public utility mass real property, the
    30  final certified assessment ceiling established pursuant  to  subdivision
    31  one  of  this  section  [shall  not],  and  the  evidence  submitted  in
    32  connection therewith, may be considered by the  court  when  determining
    33  the  merits  of  the  challenge to the assessed value established by the
    34  assessing unit.
    35    (iii) In such a proceeding, the  local  assessing  jurisdiction,  upon
    36  request  to  the local public utility mass real property owner, shall be
    37  provided with a copy of the portion of the annual report provided to the
    38  commissioner under section four hundred ninety-nine-rrrr of  this  title
    39  that  directly  relates  to  the local public utility mass real property
    40  located within the local assessing jurisdiction, provided that:
    41    (A) Such report, or the applicable portion thereof, need  only  be  so
    42  provided  if  (1) the property at issue in the proceeding is property to
    43  which an assessment ceiling applies, and (2) the assessed  value  estab-
    44  lished  by  the  assessing  unit for the property is no greater than the
    45  assessment ceiling set for the property by the commissioner.
    46    (B) Notwithstanding any other requirements of law to the contrary, the
    47  annual report or portion thereof so provided shall  be  treated  by  the
    48  local  assessing jurisdiction as confidential in all respects, and shall
    49  not be published or otherwise disclosed to any person or agency,  except
    50  that  such report may be shared with persons who are providing the local
    51  assessing jurisdiction with legal or appraisal  services  in  connection
    52  with  the  litigation,  in  which  case  such  persons shall be likewise
    53  obliged to treat such report as confidential in all respects, and except
    54  that such report may be offered into evidence in the litigation, subject
    55  to its admissibility being determined by the court.   If ruled  admissi-
    56  ble,  the  owner of public utility mass real property may move the court

        S. 8009--C                         49                         A. 9009--C
 
     1  for an order directing that the portion of the  record  containing  such
     2  report,  or  the  applicable  portion thereof, not be made available for
     3  public inspection or disclosure.  If such a motion is  made,  the  local
     4  assessing jurisdiction shall be deemed to consent thereto.
     5    (C)  If  the local public utility mass real property owner is required
     6  by this subparagraph to provide to the local assessing jurisdiction such
     7  report, or the applicable portion thereof, but it fails to do so  within
     8  thirty days of such a request, the proceeding shall be dismissed.
     9    §  3.  This act shall take effect immediately, provided, however, that
    10  the amendments to subdivision 4 of section 499-pppp of the real property
    11  tax law made by section two of this act shall not affect the  repeal  of
    12  such section and shall be deemed to be repealed therewith.
 
    13                                   PART Z
 
    14    Section  1.  This Part enacts into law major components of legislation
    15  relating to the administration of the STAR program authorized by section
    16  425 of the real property tax law and subsection (eee) of section 606  of
    17  the tax law. Each component is wholly contained within a Subpart identi-
    18  fied  as  Subparts A, C, D and E. The effective date for each particular
    19  provision contained within such Subpart is set forth in the last section
    20  of such Subpart.  Any  provision  in  any  section  contained  within  a
    21  Subpart, including the effective date of the Subpart, which makes refer-
    22  ence  to  a  section  of  "this  act", when used in connection with that
    23  particular component, shall be deemed to mean and refer  to  the  corre-
    24  sponding  section  of  the  Subpart in which it is found. Section two of
    25  this act sets forth the general effective date of this Part.
 
    26                                  SUBPART A
 
    27    Section 1. Paragraph (a-2) of subdivision 6 of section 425 of the real
    28  property tax law, as amended by section 1 of part TT of  chapter  59  of
    29  the laws of 2019, is amended to read as follows:
    30    (a-2)  Notwithstanding  any provision of law to the contrary, where an
    31  application for the "enhanced" STAR exemption authorized by  subdivision
    32  four  of this section has not been filed on or before the taxable status
    33  date, and the owner believes that good cause existed for the failure  to
    34  file the application by that date, the owner may, no later than the last
    35  day  for  paying  school  taxes  without  incurring interest or penalty,
    36  submit a written request to the commissioner asking him or her to extend
    37  the filing deadline and grant the exemption. Such request shall  contain
    38  an  explanation of why the deadline was missed, and shall be accompanied
    39  by an application,  reflecting  the  facts  and  circumstances  as  they
    40  existed  on the taxable status date. After consulting with the assessor,
    41  the commissioner may extend the filing deadline and grant the  exemption
    42  if  the  commissioner  is  satisfied that (i) good cause existed for the
    43  failure to file the application by the taxable  status  date,  and  that
    44  (ii)  the  applicant is otherwise entitled to the exemption. The commis-
    45  sioner shall mail notice of his or her determination to such  owner  and
    46  the  assessor.  If  the  determination  states that the commissioner has
    47  granted the exemption, the assessor shall thereupon  be  authorized  and
    48  directed  to  correct  the  assessment  roll accordingly, or, if another
    49  person has custody or control of the assessment  roll,  to  direct  that
    50  person  to  make  the appropriate corrections. [If the correction is not
    51  made before school taxes are levied,  the  school  district  authorities
    52  shall  be  authorized  and directed to take account of the fact that the

        S. 8009--C                         50                         A. 9009--C

     1  commissioner has granted the exemption by correcting the applicant's tax
     2  bill and/or issuing a refund accordingly] Provided, however, that if the
     3  assessment roll cannot be corrected in time for the exemption to  appear
     4  on the applicant's school tax bill, the commissioner shall be authorized
     5  to  remit  directly  to  the  applicant  the  tax  savings that the STAR
     6  exemption would have yielded if it had appeared on the  applicant's  tax
     7  bill.  The amounts so payable shall be paid from the account established
     8  for the payment of STAR benefits to late registrants pursuant to subpar-
     9  agraph (iii) of paragraph (a) of subdivision fourteen of this section.
    10    § 2. This act shall take effect immediately.
 
    11                                  SUBPART B
 
    12                            Intentionally Omitted
 
    13                                  SUBPART C

    14    Section 1. Subparagraph (A) of paragraph  3  of  subsection  (eee)  of
    15  section  606 of the tax law, as amended by section 2 of part RR of chap-
    16  ter 59 of the laws of 2019, is amended to read as follows:
    17    (A) Beginning with taxable years after two thousand fifteen,  a  basic
    18  STAR credit shall be available to a qualified taxpayer if the affiliated
    19  income  of the parcel that serves as the taxpayer's primary residence is
    20  less than or equal to five hundred thousand dollars for  the  applicable
    21  income  tax  year  specified  by paragraph (b-1) of subdivision three of
    22  section four hundred twenty-five of the real  property  tax  law.    The
    23  income limit established for the basic STAR exemption by paragraph (b-1)
    24  of  subdivision  three  of  section four hundred twenty-five of the real
    25  property tax law shall not be taken into account when determining eligi-
    26  bility for the basic STAR credit.
    27    § 2. This act shall take effect immediately.
 
    28                                  SUBPART D
 
    29    Section 1. Subparagraph (B) of paragraph  7  of  subsection  (eee)  of
    30  section 606 of the tax law, as amended by section 7 of part E of chapter
    31  59 of the laws of 2018, is amended to read as follows:
    32    (B)  Notwithstanding  any  provision of law to the contrary, the names
    33  and addresses of individuals who have applied for or are  receiving  the
    34  credit  authorized  by  this  subsection  may be disclosed to assessors,
    35  county directors of  real  property  tax  services,  and  municipal  tax
    36  collecting officers within New York state. In addition, [where an agree-
    37  ment  is  in  place  between  the  commissioner  and the head of the tax
    38  department of another state, such information may be disclosed  to  such
    39  official or his or her designees] such information may be exchanged with
    40  assessors and tax officials from jurisdictions outside New York state if
    41  the  laws of the other jurisdiction allow it to provide similar informa-
    42  tion to this state. Such information shall  be  considered  confidential
    43  and  shall  not be subject to further disclosure pursuant to the freedom
    44  of information law or otherwise.
    45    § 2. This act shall take effect immediately.
 
    46                                  SUBPART E

        S. 8009--C                         51                         A. 9009--C
 
     1    Section 1. Subsection (c) of section 651 of the tax law, as amended by
     2  section 3 of part QQ of chapter 59 of the laws of 2019,  is  amended  to
     3  read as follows:
     4    (c)  Decedents.  The  return for any deceased individual shall be made
     5  and filed by [his] the  decedent's  executor,  administrator,  or  other
     6  person  charged with [his] the decedent's property. If a final return of
     7  a decedent is for a fractional part of a year,  the  due  date  of  such
     8  return  shall  be  the  fifteenth  day of the fourth month following the
     9  close of the twelve-month period which began with the first day of  such
    10  fractional part of the year. Notwithstanding any provision of law to the
    11  contrary,  when a return has been filed for a decedent, the commissioner
    12  may disclose the decedent's name, address, and the date of death to  the
    13  director of real property tax services of the county and the assessor of
    14  the  assessing  unit  in  which  the  address reported on such return is
    15  located.
    16    § 2. This act shall take effect immediately.
    17    § 2. This act shall take effect immediately, provided,  however,  that
    18  the  applicable  effective  date  of  Subparts A, C, D and E of this act
    19  shall be as specifically set forth in the last section of such Subparts.
 
    20                                   PART AA
 
    21    Section 1. Section 575-b of the real property tax law  is  amended  by
    22  adding a new subdivision 4 to read as follows:
    23    4.  Complaints  with  respect  to  assessments  determined  under this
    24  section shall be governed by  sections  five  hundred  twelve  and  five
    25  hundred twenty-four of this article and the following provisions:
    26    (a)  The  assessor  shall,  upon  request,  provide the owner with the
    27  inputs that he or she entered into the  commissioner's  appraisal  model
    28  when valuing the property pursuant to this section.
    29    (b)  The  property owner may advise the assessor of any alleged errors
    30  to the appraisal model inputs believed to have been made by  the  asses-
    31  sor,  and  may  provide  information  to  the assessor in support of any
    32  proposed change to those inputs.
    33    (c) If the property owner provides such information  to  the  assessor
    34  prior  to  the filing of the tentative assessment roll, the assessor may
    35  make such adjustments to the appraisal model inputs as he or  she  deems
    36  warranted based upon the information provided by the property owner, and
    37  may  recalculate the property value by entering the adjusted inputs into
    38  the appraisal model.
    39    (d) If dissatisfied with the assessed value appearing on the tentative
    40  assessment roll, the property owner may file a complaint with the  board
    41  of  assessment review; provided, however, that the grounds for review of
    42  an assessment determined under this section with respect to both article
    43  five and article seven of this chapter shall be limited to the  accuracy
    44  of the appraisal model inputs made by the assessor.
    45    (e) Actions or proceedings that challenge the validity and accuracy of
    46  the appraisal model or discount rates established under this section may
    47  not  be  commenced  against assessing units. Such challenges may only be
    48  brought by commencing an action against the commissioner  in  the  third
    49  department  of the appellate division of the supreme court in the manner
    50  provided by article seventy-eight of the civil practice law and rules.
    51    § 2. This act shall take effect immediately.
 
    52                                   PART BB

        S. 8009--C                         52                         A. 9009--C
 
     1    Section 1. The subsection heading and paragraphs 1, 2,  3,  and  4  of
     2  subsection (n-1) of section 606 of the tax law, as added by section 1 of
     3  subpart B of part C of chapter 20 of the laws of 2015, the opening para-
     4  graph of subparagraph (a) of paragraph 2 as amended by section 7 of part
     5  A of chapter 60 of the laws of 2016, are amended to read as follows:
     6    [Property  tax  relief] Homeowner tax rebate credit. (1) An individual
     7  taxpayer who meets the eligibility standards in paragraph  two  of  this
     8  subsection  shall  be allowed a credit against the taxes imposed by this
     9  article in the amount specified in paragraph three  of  this  subsection
    10  for  tax  [years two thousand sixteen, two thousand seventeen, two thou-
    11  sand eighteen, and two thousand nineteen] year two thousand twenty-two.
    12    (2) [(a)] To be eligible for the credit, the  taxpayer  (or  taxpayers
    13  filing  joint  returns) [on the personal income tax return filed for the
    14  taxable year two years prior, must have (i) been a resident, (ii)  owned
    15  and primarily resided] (a) must own and primarily reside in real proper-
    16  ty  receiving  either  the  STAR  exemption  authorized  by section four
    17  hundred twenty-five of the real property  tax  law  or  the  school  tax
    18  relief  credit  authorized  by  subsection  (eee)  of  this section, and
    19  [(iii)] (b) must have had qualified gross income  no  greater  than  two
    20  hundred  [seventy-five]  fifty thousand dollars in tax year two thousand
    21  twenty.  [Provided, however, that no credit shall be allowed if  any  of
    22  the following apply:
    23    (i) Such property is located in an independent school district that is
    24  subject  to the provisions of section two thousand twenty-three-a of the
    25  education law and that has adopted a budget in excess of  the  tax  levy
    26  limit  prescribed  by that section. To render its taxpayers eligible for
    27  the credit authorized by  this  subsection,  the  school  district  must
    28  certify its compliance with such tax levy limit in the manner prescribed
    29  by  subdivision two of section two thousand twenty-three-b of the educa-
    30  tion law.
    31    (ii) Such property is located  in  a  city  with  a  dependent  school
    32  district  that  is  subject  to the provisions of section three-c of the
    33  general municipal law and that has adopted a budget in excess of the tax
    34  levy limit prescribed by that section. To render its taxpayers  eligible
    35  for  the credit authorized by this subsection, the city must certify its
    36  compliance with such tax levy limit in the manner prescribed by subdivi-
    37  sion two of section three-d of the general municipal law.
    38    (iii) Such property is located in the city of New York.]
    39    (3) Amount of credit. (a) [For the two thousand sixteen  taxable  year
    40  (i)  for  a taxpayer residing in real property located within the metro-
    41  politan commuter transportation district (MCTD) and outside the city  of
    42  New  York,  the  amount of the credit shall be $130; (ii) for a taxpayer
    43  residing in real property located outside the MCTD, the  amount  of  the
    44  credit shall be $185.
    45    (b)  For  the  two  thousand  seventeen, two thousand eighteen and two
    46  thousand nineteen taxable years (i)] For a taxpayer who owned and prima-
    47  rily resided in real property receiving the basic STAR exemption or  who
    48  received the basic STAR credit, the amount of the credit shall equal the
    49  STAR  tax  savings  associated with such basic STAR exemption in the two
    50  thousand twenty-one--two thousand twenty-two school year, multiplied  by
    51  the following percentage:
    52    [(A) for the two thousand seventeen taxable year:
    53  Qualified Gross Income                  Percentage
    54  Not over $75,000                        28%
    55  Over $75,000 but not over $150,000      20.5%
    56  Over $150,000 but not over $200,000     13%

        S. 8009--C                         53                         A. 9009--C

     1  Over $200,000 but not over $275,000     5.5%
     2  Over $275,000                           No credit
     3    (B) for the two thousand eighteen taxable year:
     4  Qualified Gross Income                  Percentage
     5  Not over $75,000                        60%
     6  Over $75,000 but not over $150,000      42.5%
     7  Over $150,000 but not over $200,000     25%
     8  Over $200,000 but not over $275,000     7.5%
     9  Over $275,000                           No credit
    10    (C) for the two thousand nineteen taxable year:]
    11    (i) For a taxpayer whose primary residence is located outside the city
    12  of New York:
    13  Qualified Gross Income                  Percentage
    14  Not over $75,000                        [85%] 163%
    15  Over $75,000 but not over $150,000      [60%] 115%
    16  Over $150,000 but not over $200,000     [35%] 66%
    17  Over $200,000 but not over              [10%] 18%
    18  [$275,000] $250,000
    19  Over [$275,000] $250,000                No credit
    20    (ii) For a taxpayer whose primary residence is located within the city
    21  of New York:
    22  Qualified Gross Income                  Percentage
    23  Not over $75,000                        125%
    24  Over $75,000 but not over $150,000      115%
    25  Over $150,000 but not over $200,000     105%
    26  Over $200,000 but not over $250,000     100%
    27  Over $250,000                           No credit
    28    [(c)] (b) For a taxpayer who owned and primarily resided in real prop-
    29  erty  receiving the enhanced STAR exemption or who received the enhanced
    30  STAR credit, the amount of the credit shall equal the STAR  tax  savings
    31  associated  with  such enhanced STAR exemption in the two thousand twen-
    32  ty-one--two thousand twenty-two school year, multiplied by [the  follow-
    33  ing percentage:
    34  Taxable Year                            Percentage
    35  two thousand seventeen                  12%
    36  two thousand eighteen                   26%
    37  two thousand nineteen                   34%]
    38  sixty-six percent if the taxpayer's primary residence is located outside
    39  the  city  of  New  York,  or  one hundred ten percent if the taxpayer's
    40  primary residence is located within the city of New York.
    41    [(d)] (c) In no case may the amount of the credit allowed  under  this
    42  subsection  exceed  the  school  district  taxes due with respect to the
    43  residence for that school year, nor shall any credit  be  allowed  under
    44  this  subsection  if the amount determined pursuant to this paragraph is
    45  less than one hundred dollars.
    46    (4) For purposes of this subsection:
    47    (a) "Qualified gross income" means the adjusted gross  income  of  the
    48  qualified  taxpayer  for the taxable year as reported for federal income
    49  tax purposes, or which would be reported as adjusted gross income  if  a
    50  federal income tax return were required to be filed. In computing quali-
    51  fied  gross  income, the net amount of loss reported on Federal Schedule
    52  C, D, E, or F shall not exceed three thousand dollars per  schedule.  In
    53  addition,  the  net  amount of any other separate category of loss shall
    54  not exceed three thousand dollars. The aggregate amount  of  all  losses
    55  included  in  computing  qualified gross income shall not exceed fifteen
    56  thousand dollars.

        S. 8009--C                         54                         A. 9009--C
 
     1    (b) "STAR tax savings" means the tax savings attributable to the basic
     2  or enhanced STAR exemption, whichever is applicable, within a portion of
     3  a school district, as determined by the commissioner pursuant to  subdi-
     4  vision  two  of  section thirteen hundred six-a of the real property tax
     5  law.
     6    [(c)  "Metropolitan  commuter transportation district" or "MCTD" means
     7  the metropolitan commuter transportation district as defined in  section
     8  twelve hundred sixty-two of the public authorities law.]
     9    § 2. This act shall take effect immediately.

    10                                   PART CC
 
    11                            Intentionally Omitted
 
    12                                   PART DD
 
    13    Section  1.  Section  509-a  of  the  racing, pari-mutuel wagering and
    14  breeding law, as amended by section 1 of part LLL of chapter 59  of  the
    15  laws of 2021, is amended to read as follows:
    16    §  509-a.  Capital acquisition fund. 1. The corporation may create and
    17  establish a capital acquisition fund for the purpose  of  financing  the
    18  acquisition,  construction  or equipping of offices, facilities or prem-
    19  ises of the corporation. Such capital acquisition fund shall consist  of
    20  (i)  the  amounts  specified  pursuant to subdivision three-a of section
    21  five hundred thirty-two of this chapter; and (ii) contributions from the
    22  corporation's pari-mutuel wagering pools, subject to the following limi-
    23  tations:
    24    a. no contribution shall exceed the amount of one percent of the total
    25  pari-mutuel wagering pools for the quarter in which the contribution  is
    26  made;
    27    b.  no contribution shall reduce the amount of quarterly net revenues,
    28  exclusive of surcharge revenues, to an amount less than fifty percent of
    29  such net revenues; and
    30    c. the balance of the fund shall not exceed the lesser of one  percent
    31  of  total  pari-mutuel  wagering pools for the previous twelve months or
    32  the undepreciated value of the  corporation's  offices,  facilities  and
    33  premises.
    34    2.  a. Notwithstanding any other provision of law or regulation to the
    35  contrary, from April nineteenth, two thousand twenty-one to March  thir-
    36  ty-first,  two  thousand  twenty-two, twenty-three percent of the funds,
    37  not to exceed two and one-half million dollars,  in  the  Catskill  off-
    38  track  betting  corporation's  capital acquisition fund and twenty-three
    39  percent of the funds, not to exceed four hundred forty thousand dollars,
    40  in the Capital off-track betting corporation's capital acquisition  fund
    41  established  pursuant  to  this  section shall also be available to such
    42  off-track betting corporation for the purposes of statutory obligations,
    43  payroll, and expenditures necessary to accept authorized wagers.
    44    b. Notwithstanding any other provision of law  or  regulation  to  the
    45  contrary,  from  April  first,  two thousand twenty-two to March thirty-
    46  first, two thousand twenty-three, twenty-three percent of the funds, not
    47  to exceed two and one-half million dollars, in  the  Catskill  off-track
    48  betting  corporation's  capital acquisition fund established pursuant to
    49  this section, and twenty-three percent of the funds, not to exceed  four
    50  hundred  forty  thousand  dollars,    in   the Capital off-track betting
    51  corporation's capital acquisition  fund  established  pursuant  to  this
    52  section,  shall  be available to such off-track betting corporations for

        S. 8009--C                         55                         A. 9009--C
 
     1  the purposes of statutory obligations, payroll, and expenditures  neces-
     2  sary to accept authorized wagers.
     3    c.  Prior  to a corporation being able to utilize the funds authorized
     4  by paragraph b of this  subdivision,  the  corporation  must  submit  an
     5  expenditure  plan  to  the gaming commission for review. Such plan shall
     6  include the corporation's outstanding liabilities, projected revenue for
     7  the upcoming year, a detailed explanation of how the funds will be used,
     8  and any other information determined necessary by the  commission.  Upon
     9  review, the commission will make a determination as to whether access to
    10  the funds is needed and warranted.
    11    3.  The  Catskill  off-track  betting corporation and the Capital off-
    12  track betting corporation shall make a report to the  governor,  speaker
    13  of  the  assembly,  temporary president of the senate and the commission
    14  detailing the actual use of the funds  made  available  in  the  capital
    15  acquisition  fund. Such report shall include, but not be limited to, any
    16  impact on employment levels since utilizing the funds, the status of any
    17  statutory obligations, an accounting of the use of such funds,  and  any
    18  other  information  as  deemed  necessary by the commission. Such report
    19  shall be due no later than the [first day of April two thousand  twenty-
    20  two] last day of the fiscal year in which the monies were spent.
    21    § 2.  Section 2 of part LLL of chapter 59 of the laws of 2021 amending
    22  the  racing, pari-mutuel   wagering   and  breeding law, relating to the
    23  utilization of funds in the Catskill and Capital    regions    off-track
    24  betting   corporation's  capital  acquisition  funds, is amended to read
    25  as follows:
    26    § 2. This act shall take effect immediately [and shall expire  and  be
    27  deemed repealed one year after such date].
    28    § 3. This act shall take effect immediately.
 
    29                                   PART EE

    30    Section  1.  Paragraph  (a)  of  subdivision  1 of section 1003 of the
    31  racing, pari-mutuel wagering and breeding law, as amended by  section  1
    32  of  part  DD  of  chapter  59 of the laws of 2021, is amended to read as
    33  follows:
    34    (a) Any  racing  association  or  corporation  or  regional  off-track
    35  betting  corporation,  authorized  to conduct pari-mutuel wagering under
    36  this chapter, desiring to display the simulcast of horse races on  which
    37  pari-mutuel  betting shall be permitted in the manner and subject to the
    38  conditions provided for in this article may apply to the commission  for
    39  a  license  so to do. Applications for licenses shall be in such form as
    40  may be prescribed by the commission and shall contain  such  information
    41  or  other material or evidence as the commission may require. No license
    42  shall be issued by the commission authorizing the simulcast transmission
    43  of thoroughbred races from a track located in Suffolk  county.  The  fee
    44  for  such  licenses shall be five hundred dollars per simulcast facility
    45  and for account wagering licensees that do not operate either  a  simul-
    46  cast facility that is open to the public within the state of New York or
    47  a  licensed racetrack within the state, twenty thousand dollars per year
    48  payable by the licensee to the commission for deposit into  the  general
    49  fund.  Except  as  provided  in  this  section, the commission shall not
    50  approve any application to conduct simulcasting into individual or group
    51  residences, homes or other areas for the purposes of  or  in  connection
    52  with  pari-mutuel wagering. The commission may approve simulcasting into
    53  residences, homes or other areas to be conducted jointly by one or  more
    54  regional  off-track  betting corporations and one or more of the follow-

        S. 8009--C                         56                         A. 9009--C
 
     1  ing: a franchised corporation,  thoroughbred  racing  corporation  or  a
     2  harness racing corporation or association; provided (i) the simulcasting
     3  consists  only of those races on which pari-mutuel betting is authorized
     4  by  this  chapter  at  one  or more simulcast facilities for each of the
     5  contracting off-track betting corporations which  shall  include  wagers
     6  made  in  accordance  with  section  one  thousand fifteen, one thousand
     7  sixteen and one thousand seventeen of  this  article;  provided  further
     8  that  the  contract  provisions or other simulcast arrangements for such
     9  simulcast facility shall be no less favorable than those  in  effect  on
    10  January  first,  two  thousand  five;  (ii)  that each off-track betting
    11  corporation having within its  geographic  boundaries  such  residences,
    12  homes  or  other  areas  technically  capable of receiving the simulcast
    13  signal shall be a contracting party; (iii) the distribution of  revenues
    14  shall  be  subject  to  contractual agreement of the parties except that
    15  statutory payments to  non-contracting  parties,  if  any,  may  not  be
    16  reduced;  provided,  however,  that nothing herein to the contrary shall
    17  prevent a track from televising its races on an irregular basis primari-
    18  ly for promotional or marketing purposes as found by the commission. For
    19  purposes of this paragraph, the provisions of section one thousand thir-
    20  teen of this article shall  not  apply.  Any  agreement  authorizing  an
    21  in-home simulcasting experiment commencing prior to May fifteenth, nine-
    22  teen hundred ninety-five, may, and all its terms, be extended until June
    23  thirtieth,  two  thousand  [twenty-two] twenty-three; provided, however,
    24  that any party to such agreement may elect to terminate  such  agreement
    25  upon  conveying written notice to all other parties of such agreement at
    26  least forty-five days prior to the effective date  of  the  termination,
    27  via  registered mail. Any party to an agreement receiving such notice of
    28  an intent to terminate, may request the commission  to  mediate  between
    29  the  parties new terms and conditions in a replacement agreement between
    30  the parties as will permit continuation of an in-home  experiment  until
    31  June  thirtieth,  two  thousand  [twenty-two]  twenty-three; and (iv) no
    32  in-home simulcasting in the thoroughbred special betting district  shall
    33  occur without the approval of the regional thoroughbred track.
    34    §  2.  Subparagraph  (iii)  of paragraph d of subdivision 3 of section
    35  1007 of the racing, pari-mutuel wagering and breeding law, as amended by
    36  section 2 of part DD of chapter 59 of the laws of 2021,  is  amended  to
    37  read as follows:
    38    (iii) Of the sums retained by a receiving track located in Westchester
    39  county  on  races received from a franchised corporation, for the period
    40  commencing January first, two thousand eight and continuing through June
    41  thirtieth, two  thousand  [twenty-two]  twenty-three,  the  amount  used
    42  exclusively  for purses to be awarded at races conducted by such receiv-
    43  ing track shall be computed as follows: of the sums so retained, two and
    44  one-half percent of the total pools. Such amount shall be  increased  or
    45  decreased  in  the  amount  of  fifty percent of the difference in total
    46  commissions determined by  comparing  the  total  commissions  available
    47  after  July  twenty-first,  nineteen  hundred  ninety-five  to the total
    48  commissions that would have been available to such track prior  to  July
    49  twenty-first, nineteen hundred ninety-five.
    50    §  3.  The  opening  paragraph of subdivision 1 of section 1014 of the
    51  racing, pari-mutuel wagering and breeding law, as amended by  section  3
    52  of  part  DD  of  chapter  59 of the laws of 2021, is amended to read as
    53  follows:
    54    The provisions of this section shall govern the simulcasting of  races
    55  conducted  at thoroughbred tracks located in another state or country on
    56  any day during which a franchised corporation is conducting a race meet-

        S. 8009--C                         57                         A. 9009--C

     1  ing in Saratoga county at Saratoga  thoroughbred  racetrack  until  June
     2  thirtieth, two thousand [twenty-two] twenty-three and on any day regard-
     3  less  of  whether  or  not a franchised corporation is conducting a race
     4  meeting in Saratoga county at Saratoga thoroughbred racetrack after June
     5  thirtieth, two thousand [twenty-two] twenty-three. On any day on which a
     6  franchised  corporation  has  not  scheduled  a  racing  program  but  a
     7  thoroughbred racing corporation located within the state  is  conducting
     8  racing, each off-track betting corporation branch office and each simul-
     9  casting  facility licensed in accordance with section one thousand seven
    10  (that has entered into a written agreement with such  facility's  repre-
    11  sentative  horsemen's  organization, as approved by the commission), one
    12  thousand eight, or one thousand nine of this article shall be authorized
    13  to accept wagers and display the live simulcast signal from thoroughbred
    14  tracks located in another  state  or  foreign  country  subject  to  the
    15  following provisions:
    16    § 4. Subdivision 1 of section 1015 of the racing, pari-mutuel wagering
    17  and  breeding  law,  as amended by section 4 of part DD of chapter 59 of
    18  the laws of 2021, is amended to read as follows:
    19    1. The provisions of this section shall  govern  the  simulcasting  of
    20  races  conducted  at  harness tracks located in another state or country
    21  during the period July first, nineteen hundred ninety-four through  June
    22  thirtieth,  two  thousand  [twenty-two] twenty-three. This section shall
    23  supersede all inconsistent provisions of this chapter.
    24    § 5. The opening paragraph of subdivision 1 of  section  1016  of  the
    25  racing,  pari-mutuel  wagering and breeding law, as amended by section 5
    26  of part DD of chapter 59 of the laws of 2021,  is  amended  to  read  as
    27  follows:
    28    The  provisions of this section shall govern the simulcasting of races
    29  conducted at thoroughbred tracks located in another state or country  on
    30  any  day  during which a franchised corporation is not conducting a race
    31  meeting in Saratoga county at Saratoga thoroughbred racetrack until June
    32  thirtieth, two thousand  [twenty-two]  twenty-three.    Every  off-track
    33  betting  corporation  branch  office  and  every  simulcasting  facility
    34  licensed in accordance with section one thousand seven that have entered
    35  into a written agreement with such facility's representative  horsemen's
    36  organization  as  approved  by the commission, one thousand eight or one
    37  thousand nine of this article shall be authorized to accept  wagers  and
    38  display  the  live  full-card  simulcast  signal  of thoroughbred tracks
    39  (which may include quarter horse or mixed  meetings  provided  that  all
    40  such wagering on such races shall be construed to be thoroughbred races)
    41  located  in  another  state or foreign country, subject to the following
    42  provisions; provided,  however,  no  such  written  agreement  shall  be
    43  required of a franchised corporation licensed in accordance with section
    44  one thousand seven of this article:
    45    §  6. The opening paragraph of section 1018 of the racing, pari-mutuel
    46  wagering and breeding law, as amended by section 6 of part DD of chapter
    47  59 of the laws of 2021, is amended to read as follows:
    48    Notwithstanding any other provision of this chapter,  for  the  period
    49  July  twenty-fifth, two thousand one through September eighth, two thou-
    50  sand [twenty-one] twenty-two, when a franchised corporation is  conduct-
    51  ing  a race meeting within the state at Saratoga Race Course, every off-
    52  track betting corporation branch office and every simulcasting  facility
    53  licensed in accordance with section one thousand seven (that has entered
    54  into  a written agreement with such facility's representative horsemen's
    55  organization as approved by the commission), one thousand eight  or  one
    56  thousand  nine  of this article shall be authorized to accept wagers and

        S. 8009--C                         58                         A. 9009--C
 
     1  display the live simulcast signal from thoroughbred  tracks  located  in
     2  another  state, provided that such facility shall accept wagers on races
     3  run at all in-state thoroughbred  tracks  which  are  conducting  racing
     4  programs subject to the following provisions; provided, however, no such
     5  written agreement shall be required of a franchised corporation licensed
     6  in accordance with section one thousand seven of this article.
     7    §  7.  Section  32  of  chapter  281 of the laws of 1994, amending the
     8  racing, pari-mutuel wagering and breeding law and other laws relating to
     9  simulcasting, as amended by section 7 of part DD of chapter  59  of  the
    10  laws of 2021, is amended to read as follows:
    11    §  32.  This act shall take effect immediately and the pari-mutuel tax
    12  reductions in section six  of  this  act  shall  expire  and  be  deemed
    13  repealed  on  July  1,  [2022]  2023;  provided,  however,  that nothing
    14  contained herein shall be deemed to affect the  application,  qualifica-
    15  tion,  expiration,  or  repeal  of  any  provision of law amended by any
    16  section of this act, and such provisions shall be applied  or  qualified
    17  or  shall  expire  or be deemed repealed in the same manner, to the same
    18  extent and on the same date as the case may be as otherwise provided  by
    19  law;  provided  further, however, that sections twenty-three and twenty-
    20  five of this act shall remain in full force and effect only until May 1,
    21  1997 and at such time shall be deemed to be repealed.
    22    § 8. Section 54 of chapter 346 of  the  laws  of  1990,  amending  the
    23  racing, pari-mutuel wagering and breeding law and other laws relating to
    24  simulcasting  and the imposition of certain taxes, as amended by section
    25  8 of part DD of chapter 59 of the laws of 2021, is amended  to  read  as
    26  follows:
    27    §  54.  This  act  shall  take  effect immediately; provided, however,
    28  sections three through twelve of this act shall take effect  on  January
    29  1, 1991, and section 1013 of the racing, pari-mutuel wagering and breed-
    30  ing  law, as added by section thirty-eight of this act, shall expire and
    31  be deemed repealed on July 1, [2022] 2023; and section eighteen of  this
    32  act  shall take effect on July 1, 2008 and sections fifty-one and fifty-
    33  two of this act shall take effect as of the same date as chapter 772  of
    34  the laws of 1989 took effect.
    35    §  9.  Paragraph  (a)  of  subdivision 1 of section 238 of the racing,
    36  pari-mutuel wagering and breeding law, as amended by section 9  of  part
    37  DD of chapter 59 of the laws of 2021, is amended to read as follows:
    38    (a)  The  franchised  corporation  authorized  under  this  chapter to
    39  conduct pari-mutuel betting at a race meeting or races run thereat shall
    40  distribute all sums deposited in any pari-mutuel pool to the holders  of
    41  winning tickets therein, provided such tickets are presented for payment
    42  before  April  first  of  the year following the year of their purchase,
    43  less an amount that shall be established and retained by such franchised
    44  corporation of between twelve to seventeen percent of the total deposits
    45  in pools resulting from on-track regular bets, and fourteen  to  twenty-
    46  one  percent  of  the  total  deposits  in pools resulting from on-track
    47  multiple bets and fifteen to twenty-five percent of the  total  deposits
    48  in  pools  resulting from on-track exotic bets and fifteen to thirty-six
    49  percent of the total deposits in pools  resulting  from  on-track  super
    50  exotic  bets,  plus  the breaks. The retention rate to be established is
    51  subject to the prior approval of the commission.
    52    Such rate may not be changed more than once per calendar quarter to be
    53  effective on the first day of the calendar quarter.  "Exotic  bets"  and
    54  "multiple  bets"  shall  have  the  meanings  set  forth in section five
    55  hundred nineteen of this chapter. "Super exotic  bets"  shall  have  the
    56  meaning  set  forth  in  section  three hundred one of this chapter. For

        S. 8009--C                         59                         A. 9009--C
 
     1  purposes of this section, a "pick six bet" shall mean a  single  bet  or
     2  wager on the outcomes of six races. The breaks are hereby defined as the
     3  odd  cents over any multiple of five for payoffs greater than one dollar
     4  five  cents  but  less  than  five dollars, over any multiple of ten for
     5  payoffs greater than five dollars but  less  than  twenty-five  dollars,
     6  over  any  multiple  of twenty-five for payoffs greater than twenty-five
     7  dollars but less than two hundred fifty dollars, or over any multiple of
     8  fifty for payoffs over two hundred fifty dollars. Out of the  amount  so
     9  retained  there  shall  be  paid  by  such franchised corporation to the
    10  commissioner of taxation and finance, as a reasonable tax by  the  state
    11  for  the privilege of conducting pari-mutuel betting on the races run at
    12  the race meetings held by such  franchised  corporation,  the  following
    13  percentages of the total pool for regular and multiple bets five percent
    14  of regular bets and four percent of multiple bets plus twenty percent of
    15  the  breaks;  for  exotic  wagers seven and one-half percent plus twenty
    16  percent of the breaks, and for super  exotic  bets  seven  and  one-half
    17  percent plus fifty percent of the breaks.
    18    For  the period April first, two thousand one through December thirty-
    19  first, two thousand [twenty-two] twenty-three, such tax  on  all  wagers
    20  shall  be  one and six-tenths percent, plus, in each such period, twenty
    21  percent of the breaks. Payment to the New York state thoroughbred breed-
    22  ing and development fund by such franchised corporation  shall  be  one-
    23  half  of one percent of total daily on-track pari-mutuel pools resulting
    24  from regular, multiple and exotic bets and three percent of super exotic
    25  bets and for the period April first, two thousand one  through  December
    26  thirty-first, two thousand [twenty-two] twenty-three, such payment shall
    27  be seven-tenths of one percent of regular, multiple and exotic pools.
    28    § 10. This act shall take effect immediately.
 
    29                                   PART FF

    30    Section  1.  Section  606  of  the  tax law is amended by adding a new
    31  subsection (g-4) to read as follows:
    32    (g-4) Geothermal energy systems credit.   (1) General.  An  individual
    33  taxpayer shall be allowed a credit against the tax imposed by this arti-
    34  cle  equal  to twenty-five percent of qualified geothermal energy system
    35  expenditures, except as provided in subparagraph (D) of paragraph two of
    36  this subsection, not to exceed five thousand dollars.
    37    (2) Qualified geothermal energy systems  expenditures.  (A)  The  term
    38  "qualified  geothermal  energy  system  expenditures" means expenditures
    39  for:
    40    (i) the purchase  of  geothermal  energy  system  equipment  which  is
    41  installed  in  connection with residential property which is (I) located
    42  in this state and (II) which is the taxpayer's residence at the time the
    43  geothermal energy system is placed in service; or
    44    (ii) the lease of geothermal energy system equipment under  a  written
    45  agreement  that spans at least ten years where such equipment owned by a
    46  person other than the taxpayer is installed in connection with  residen-
    47  tial  property  which is (I) located in this state and (II) which is the
    48  taxpayer's residence at the time the geothermal energy system  equipment
    49  is placed in service.
    50    (B) Such qualified expenditures shall include expenditures for materi-
    51  als, labor costs properly allocable to on-site preparation, assembly and
    52  original  installation,  architectural  and  engineering  services,  and
    53  designs and plans directly related to the construction  or  installation
    54  of the geothermal energy system equipment.

        S. 8009--C                         60                         A. 9009--C
 
     1    (C)  Such qualified expenditures for the purchase of geothermal energy
     2  system equipment shall not include interest or other finance charges  or
     3  costs that have been used to qualify for any other credit.
     4    (D)  Such  qualified  expenditures  for the lease of geothermal energy
     5  system equipment under an agreement described in clause (ii) of subpara-
     6  graph (A) of this  paragraph  shall  include  an  amount  equal  to  all
     7  payments  made  during  the taxable year under such agreement. Provided,
     8  however, such credits shall only be allowed for fourteen years after the
     9  first taxable year in which such credit is  allowed.  Provided  further,
    10  however,  the  twenty-five  percent  limitation in paragraph one of this
    11  subsection shall only  apply  to  the  total  aggregate  amount  of  all
    12  payments  to  be made pursuant to an agreement referenced in clause (ii)
    13  of subparagraph (A) of this paragraph, and shall not apply to individual
    14  payments made during a taxable year under such agreement except  to  the
    15  extent such limitation on an aggregate basis has been reached.
    16    (3)  Geothermal  energy  system equipment. The term "geothermal energy
    17  system equipment" shall mean a system whose original use begins with the
    18  taxpayer; which meets the eligibility criteria, if  any,  prescribed  by
    19  the  department; and which is a ground coupled solar thermal system that
    20  utilizes the solar thermal energy stored in the ground or in  bodies  of
    21  water  to produce heat, and which is commonly known as or referred to as
    22  a ground source heat pump system.
    23    (4) Multiple taxpayers. Where geothermal energy  system  equipment  is
    24  purchased  and installed in a residence shared by two or more taxpayers,
    25  the amount of the credit allowable under this subsection for  each  such
    26  taxpayer  shall  be  prorated  according  to the percentage of the total
    27  expenditure for such geothermal energy system equipment  contributed  by
    28  each taxpayer.
    29    (5)  Proportionate  share. Where geothermal energy system equipment is
    30  purchased and installed by a condominium  management  association  or  a
    31  cooperative  housing  corporation,  a  taxpayer  who  is a member of the
    32  condominium management association or who is a tenant-stockholder in the
    33  cooperative housing corporation may for the purpose of  this  subsection
    34  claim  a proportionate share of the total expense as the expenditure for
    35  the purposes of the credit attributable to the taxpayer's residence.
    36    (6) Grants. For purposes of determining the amount of the  expenditure
    37  incurred  in  purchasing  and installing geothermal energy system equip-
    38  ment, the amount of any federal, state or local grant  received  by  the
    39  taxpayer,  which  was  used for the purchase and/or installation of such
    40  equipment and which was not included in the federal gross income of  the
    41  taxpayer, shall not be included in the amount of such expenditures.
    42    (7) Limitation. The credit shall only be allowed for geothermal energy
    43  system  equipment installed in connection with residential property used
    44  exclusively for personal purposes by the taxpayer. No  credit  shall  be
    45  allowed  for  geothermal energy system equipment installed in connection
    46  with residential property that is rented at any time during the  taxable
    47  year for which the credit is being claimed.
    48    (8)  When  credit  allowed.  The  credit  provided for herein shall be
    49  allowed with respect to the taxable year in which the geothermal  energy
    50  system  equipment  is  placed  in  service and shall be allowed only for
    51  geothermal energy system equipment placed  into  service  after  January
    52  first, two thousand twenty-two. However, the taxpayer shall be allowed a
    53  credit for only one such system in any taxable year.
    54    (9)  Carryover  of credit. If the amount of the credit, and carryovers
    55  of such credit, allowable under this subsection  for  any  taxable  year
    56  shall exceed the taxpayer's tax for such year, such excess amount may be

        S. 8009--C                         61                         A. 9009--C
 
     1  carried  over  to the five taxable years next following the taxable year
     2  with respect to which the credit is allowed and may be deducted from the
     3  taxpayer's tax for such year or years.
     4    § 2. This act shall take effect immediately and shall apply to taxable
     5  years commencing on and after January 1, 2022.
 
     6                                   PART GG
 
     7    Section  1.  Subparagraph  (B)  of  paragraph  1 of subdivision (a) of
     8  section 1115 of the tax law, as amended by section 1 of part SS of chap-
     9  ter 59 of the laws of 2021, is amended to read as follows:
    10    (B) Until May thirty first, two  thousand  [twenty-two]  twenty-three,
    11  the  food and drink excluded from the exemption provided by clauses (i),
    12  (ii) and (iii) of subparagraph (A) of this paragraph, and bottled water,
    13  shall be exempt under this subparagraph when sold  for  one  dollar  and
    14  fifty  cents  or  less  through any vending machine that accepts coin or
    15  currency only or when sold for two dollars or less through  any  vending
    16  machine  that  accepts  any form of payment other than coin or currency,
    17  whether or not it also accepts coin or currency.
    18    § 2. This act shall take effect immediately.
 
    19                                   PART HH
 
    20    Section 1. Article 4 of the real property tax law is amended by adding
    21  a new title 6 to read as follows:
    22                                   TITLE 6
    23       CHILDCARE CENTER TAX ABATEMENT FOR CERTAIN PROPERTIES IN A CITY
    24                 HAVING A POPULATION OF ONE MILLION OR MORE
    25  Section 499-aaaaa. Definitions.
    26          499-bbbbb. Real property tax abatement.
    27          499-ccccc. Application for tax abatement.
    28          499-ddddd. Continuing requirements.
    29          499-eeeee. Revocation of tax abatement.
    30          499-fffff. Enforcement and administration.
    31    § 499-aaaaa. Definitions. When used in this title, the following terms
    32  shall have the following meanings:
    33    1. "Abatement period" means the tax year or tax  years  in  which  the
    34  abatement  is  applied by the department of finance to the real property
    35  tax liability of an eligible building, provided that such abatement  may
    36  not  be  applied  to  the  real  property tax liability of such building
    37  during more than five tax years.
    38    2. "Applicant" means an owner who files an application for tax  abate-
    39  ment.
    40    3.  "Application  for tax abatement" means an application for a child-
    41  care center tax abatement pursuant to section four hundred  ninety-nine-
    42  ccccc of this title.
    43    4.  "Childcare center" means a childcare program for which a permit to
    44  operate such program has been issued by the  department  of  health  and
    45  mental hygiene pursuant to the health code of the city.
    46    5.  "Childcare  desert"  means a census tract in a city having a popu-
    47  lation of one million or more where, at the time of an  application  for
    48  tax  abatement, there are three or more children under five years of age
    49  for each available childcare slot,  or  where  there  are  no  available
    50  childcare slots, as of the most recently published determinations by the
    51  office of children and family services.
    52    6. "City" means a city with a population of one million or more.

        S. 8009--C                         62                         A. 9009--C
 
     1    7.  "Cost-reasonable"  means  having  a  cost  that, in its nature and
     2  amount, does not exceed that which would be incurred by a prudent person
     3  under the circumstances prevailing at the time the decision was made  to
     4  incur the cost.
     5    8.  "Department  of finance" means the department of finance of a city
     6  having a population of one million or more.
     7    9. "Department of health and mental hygiene" means the  department  of
     8  health  and  mental hygiene of a city having a population of one million
     9  or more.
    10    10. "Designated agency" means an agency of a city having a  population
    11  of  one  million or more that is designated by the mayor of such city to
    12  exercise the functions, powers and duties of a designated agency  pursu-
    13  ant to this title.
    14    11.  "Eligible  building"  means  a class one, class two or class four
    15  property, as such classes of property are defined in subdivision one  of
    16  section  eighteen  hundred  two  of  this chapter, located within a city
    17  having a population of one million or more, provided that, for any  such
    18  property  held in the condominium form of ownership, "eligible building"
    19  shall mean a tax lot in such property.
    20    12. "Owner" means the owner of an eligible building, or  with  respect
    21  to  an  eligible building held in the cooperative form of ownership, the
    22  board of directors of a  cooperative  apartment  corporation,  or,  with
    23  respect  to  an eligible building held in the condominium form of owner-
    24  ship, an owner of a tax lot in such building or the board of managers of
    25  such building.
    26    13. "Premises" means the location of a childcare center  as  specified
    27  on  the permit for the operation of such center issued by the department
    28  of health and mental hygiene pursuant to the health code of the city.
    29    § 499-bbbbb. Real property tax abatement. 1. The department of finance
    30  shall provide an abatement of  real  property  taxes  pursuant  to  this
    31  section  to  an  eligible  building  in  which construction, conversion,
    32  alteration or improvement that is completed on or after April first, two
    33  thousand twenty-two has resulted in the creation  of  a  premises  of  a
    34  childcare  center  or  in  an increase in the maximum number of children
    35  allowed on the premises of an existing childcare center when such center
    36  is in operation, as such number is specified in the permit issued by the
    37  department of health and mental hygiene  to  operate  such  center.  The
    38  department  of finance may only grant one such abatement to any eligible
    39  building.
    40    2. (a) Beginning in the tax year commencing on or  after  July  first,
    41  two  thousand twenty-three, the amount of such tax abatement provided to
    42  an eligible building described in subdivision one of this section  shall
    43  be  equal  to the costs incurred in the construction, conversion, alter-
    44  ation or improvement that has resulted in the creation of a premises  of
    45  a  childcare  center or in an increase in the maximum number of children
    46  allowed on the premises of an existing childcare center,  provided  that
    47  such costs are certified in accordance with paragraph (d) of subdivision
    48  two  of  section  four  hundred  ninety-nine-ccccc  of  this  title, and
    49  provided further that, during the abatement period, the amount  of  such
    50  abatement  shall  not exceed thirty-five dollars for each square foot of
    51  the premises, nor exceed one hundred thousand dollars.
    52    (i) For any tax year, such abatement shall not  exceed  seven  dollars
    53  for  each  square foot of the premises, provided that such amount may be
    54  reduced as a result of an allocation of available funds for such  abate-
    55  ment  pursuant  to  paragraph  (d)  of  this  subdivision; and provided,
    56  further, that the amount of such tax abatement in any tax year shall not

        S. 8009--C                         63                         A. 9009--C
 
     1  exceed the lesser of (A) twenty thousand dollars or (B) the real proper-
     2  ty tax liability for the eligible building in the tax year in which such
     3  tax abatement is taken.
     4    (ii) To the extent the amount of such tax abatement exceeds the lesser
     5  of (A) twenty thousand dollars or (B) the real property tax liability of
     6  the  eligible building in any tax year, any amount of such tax abatement
     7  that remains may be applied to the real property tax liability  of  such
     8  building  in  succeeding tax years, provided that such abatement must be
     9  applied to the real property tax liability of such building  in  one  or
    10  more  of  the  four  tax years succeeding the tax year in which such tax
    11  abatement was initially taken.
    12    (b) Notwithstanding paragraph (a) of this subdivision, an enhanced tax
    13  abatement shall be provided to an eligible building described in  subdi-
    14  vision  one of this section that is located within a childcare desert as
    15  described in this title and in any rules promulgated  hereunder.  Begin-
    16  ning  in  the  tax  year commencing on or after July first, two thousand
    17  twenty-three, the amount of such enhanced tax abatement shall  be  equal
    18  to  the  costs  incurred  in the construction, conversion, alteration or
    19  improvement that has resulted in the creation of a premises of a  child-
    20  care  center or in an increase in the maximum number of children allowed
    21  on the premises of an existing  childcare  center,  provided  that  such
    22  costs  are certified in accordance with paragraph (d) of subdivision two
    23  of section four hundred ninety-nine-ccccc of this  title,  and  provided
    24  further  that, during the abatement period, the amount of such abatement
    25  shall not exceed seventy-five dollars for each square foot of the  prem-
    26  ises nor exceed two hundred twenty-five thousand dollars.
    27    (i)  For any tax year, such abatement shall not exceed fifteen dollars
    28  for each square foot of the premises, provided that such amount  may  be
    29  reduced  as a result of an allocation of available funds for such abate-
    30  ment pursuant to paragraph (d) of this subdivision; and provided further
    31  that the amount of such enhanced tax abatement in any tax year shall not
    32  exceed the lesser of (A) forty-five thousand dollars  or  (B)  the  real
    33  property  tax  liability  for  the  eligible building in the tax year in
    34  which such tax abatement is taken.
    35    (ii) To the extent the amount of such enhanced tax  abatement  exceeds
    36  the  lesser  of (A) forty-five thousand dollars or (B) the real property
    37  tax liability of the eligible building in any tax year,  any  amount  of
    38  such  tax abatement that remains may be applied to the real property tax
    39  liability of such building in succeeding tax years, provided  that  such
    40  abatement  must  be  applied  to the real property tax liability of such
    41  building in one or more of the four tax years succeeding the tax year in
    42  which the tax abatement was initially taken.
    43    (c) Notwithstanding paragraph (a) or  (b)  of  this  subdivision,  the
    44  aggregate  amount  of tax abatements authorized pursuant to this section
    45  for any tax year shall be a maximum of twenty-five million  dollars.  No
    46  tax  abatements shall be authorized pursuant to this section for any tax
    47  year commencing on or after July first, two thousand thirty.
    48    (d) Such aggregate amount of tax abatements, including the tax  abate-
    49  ment described in paragraph (a) of this subdivision and the enhanced tax
    50  abatement described in paragraph (b) of this subdivision, shall be allo-
    51  cated  by the department of finance on a pro rata basis among applicants
    52  whose applications have been approved by the designated agency. If  such
    53  allocation  is  not  made  prior  to the date that the real property tax
    54  bill, statement of  account  or  other  similar  bill  or  statement  is
    55  prepared,  the  department  of  finance  shall, as necessary, after such
    56  allocation is made, submit an amended real property tax bill,  statement

        S. 8009--C                         64                         A. 9009--C
 
     1  of  account  or  other  similar bill or statement to any applicant whose
     2  abatement requires adjustment to reflect  such  allocation.  Nothing  in
     3  this  paragraph shall be deemed to affect the obligation of any taxpayer
     4  under  applicable  law with respect to the payment of any installment of
     5  real property tax for the fiscal year as to  which  such  allocation  is
     6  made,  which  was  due  and  payable prior to the date such amended real
     7  property tax bills are sent, and the  department  of  finance  shall  be
     8  authorized to determine the date on which any such amended bills be sent
     9  and the installments of real property tax be reflected therein.
    10    (e)  Notwithstanding any law to the contrary, any abatement granted to
    11  an eligible building pursuant to this section shall be  in  addition  to
    12  any other abatement or exemption granted to such building, provided that
    13  any  abatement  granted  under  this  section shall be applied after any
    14  other abatement or exemption granted  to  such  building,  and  provided
    15  further  that  the  application  of  this abatement after any other such
    16  exemption or abatement shall not exceed the real property tax  liability
    17  due on such eligible property.
    18    3.  Such  abatement  shall commence on the first of July following the
    19  approval of an application for abatement by the designated agency.
    20    4. If, as a result of application to the tax  commission  or  a  court
    21  order  or  action  by  the  department of finance, the billable assessed
    22  value of the eligible building for the fiscal  year  in  which  the  tax
    23  abatement  is  taken is reduced after the assessment roll becomes final,
    24  the department of finance shall recalculate such abatement so  that  the
    25  abatement  granted  shall  not  exceed  the annual tax liability of such
    26  building as so reduced. The amount equal to the difference  between  the
    27  initial  abatement  granted  by  the  department and the abatement as so
    28  recalculated shall be deducted from  any  refund  otherwise  payable  or
    29  remission  otherwise  due  as  a  result  of  such reduction in billable
    30  assessed value.
    31    § 499-ccccc. Application for tax abatement. 1. To obtain a tax  abate-
    32  ment authorized by this title, an application for tax abatement shall be
    33  filed  with  a  designated  agency  no later than the fifteenth of March
    34  before the tax year, commencing on the first of July, for which the  tax
    35  abatement  authorized  by  this title is sought, provided, however, that
    36  such application for tax abatement may not be  filed  later  than  March
    37  fifteenth, two thousand twenty-five.
    38    2. Such application shall contain the following:
    39    (a) The name, address and electronic mail address of the applicant and
    40  the location of the eligible building.
    41    (b)  Proof  that  all required permits and other approvals, as further
    42  designated by rule, to construct, convert, alter or improve the premises
    43  of the childcare center in the eligible building described  in  subdivi-
    44  sion  one  of  section four hundred ninety-nine-bbbbb of this title were
    45  obtained.
    46    (c) Proof that the applicant has entered into a lease or other  agree-
    47  ment  with a person to operate a childcare center in the eligible build-
    48  ing described in subdivision one of section  four  hundred  ninety-nine-
    49  bbbbb  of  this  title, or a copy of the new or amended permit issued to
    50  such childcare center by the department of health and mental hygiene for
    51  such operation.
    52    (d) Determinations that have been certified, in a form  prescribed  by
    53  the  designated  agency,  by an engineer, architect, or certified public
    54  accountant, licensed and registered pursuant to the education law, or by
    55  another certified or licensed professional in the field of  business  or
    56  design, as further designated by rule, as follows:

        S. 8009--C                         65                         A. 9009--C
 
     1    (i)  The area, in square feet, of the premises of the childcare center
     2  in the eligible building described in subdivision one  of  section  four
     3  hundred ninety-nine-bbbbb of this title;
     4    (ii) The costs incurred in the construction, conversion, alteration or
     5  improvement  that has resulted in the creation of a premises of a child-
     6  care center in such building; or, for construction,  conversion,  alter-
     7  ation  or  improvement resulting in an increase in the maximum number of
     8  children allowed on the premises of an existing childcare center in such
     9  building, such costs that were necessary to increase the maximum  number
    10  of children allowed on such premises; and
    11    (iii)  The reasonableness of the costs to construct, convert, alter or
    12  improve the premises of the childcare center in  the  eligible  building
    13  described  in subdivision one of section four hundred ninety-nine-bbbbb,
    14  which requires finding that such costs were cost-reasonable and compara-
    15  ble to the cost of constructing, converting,  altering  or  improving  a
    16  premises  of  a childcare center pursuant to the health code of the city
    17  in a similar eligible building.
    18    (e) Any other information or certifications required by  a  designated
    19  agency pursuant to this title and the rules promulgated hereunder.
    20    3.  An application for tax abatement shall be in any format prescribed
    21  by a designated agency, including electronic form.
    22    4. An application for tax abatement shall be approved by a  designated
    23  agency  upon determining that the applicant has submitted proof accepta-
    24  ble to such agency that the requirements for obtaining such  tax  abate-
    25  ment  have been satisfied. The burden of proof shall be on the applicant
    26  to show by clear and  convincing  evidence  that  the  requirements  for
    27  granting such tax abatement have been satisfied.
    28    5.  Upon  receipt  of  notification  from  a designated agency that an
    29  application for tax abatement  has  been  approved,  the  department  of
    30  finance  shall apply such tax abatement to the real property tax liabil-
    31  ity of the eligible building for the tax year for  which  the  abatement
    32  was  sought, provided that there are no outstanding real property taxes,
    33  water and sewer charges, payments in lieu of taxes  or  other  municipal
    34  charges with respect to the eligible building.
    35    §  499-ddddd.  Continuing  requirements. Granting of the tax abatement
    36  authorized by this title requires that an owner  whose  application  for
    37  tax abatement has been approved:
    38    1.  complies  with all applicable provisions of law, including but not
    39  limited to, the local health, building and fire codes; and
    40    2. does not  have  real  property  taxes,  water  and  sewer  charges,
    41  payments  in lieu of taxes or other municipal charges with respect to an
    42  eligible building due and owing during the abatement period for a period
    43  of six months or more.
    44    § 499-eeeee. Revocation of tax  abatement.  1.    Notwithstanding  any
    45  provision  of  law  to  the  contrary,  the  department of finance shall
    46  revoke, in whole or in part, any tax abatement granted pursuant to  this
    47  title  whenever  a  designated  agency  has determined and notified such
    48  department that:
    49    (a) The childcare center in the eligible building of the  owner  whose
    50  application  for tax abatement has been approved has ceased operation as
    51  a childcare center for a period exceeding one hundred eighty days of the
    52  abatement period, except when such childcare center ceases operation due
    53  to an act or event beyond the control and without any  fault  or  negli-
    54  gence  of  the childcare center or of the owner of the eligible building
    55  in which such childcare center operates, which may include, but  is  not
    56  limited  to,  fire,  flood, earthquake, storm or other natural disaster,

        S. 8009--C                         66                         A. 9009--C
 
     1  civil commotion, war, terrorism, riot, and labor  disputes  not  brought
     2  about by any act or omission of such childcare center or such owner; or
     3    (b)  An application, certification, report or other document submitted
     4  by the owner whose application  for  tax  abatement  has  been  approved
     5  contains  a false or misleading statement as to a material fact or omits
     6  to state any material fact necessary in  order  to  make  the  statement
     7  therein not false or misleading.
     8    2.  The department of finance may revoke, in whole or in part, any tax
     9  abatement granted pursuant to this title whenever it has determined that
    10  an owner whose application for  tax  abatement  has  been  approved  has
    11  outstanding  real  property  taxes, water and sewer charges, payments in
    12  lieu of taxes or other municipal charges that have been  due  and  owing
    13  during the abatement period for a period of six months or more.
    14    3.  Upon  a  determination by a designated agency, after notice and an
    15  opportunity to be heard, that  the  childcare  center  in  the  eligible
    16  building  of  the  owner  whose  application  for tax abatement has been
    17  approved has ceased operation as a childcare center for a period exceed-
    18  ing one hundred eighty days of the abatement period, such  agency  shall
    19  notify the department of finance of such determination no later than the
    20  ninetieth day after such determination was reached.
    21    4. An owner whose application for tax abatement has been approved, and
    22  for  whom such tax abatement has been revoked due to a false or mislead-
    23  ing statement, or an omission, pursuant to paragraph (b) of  subdivision
    24  one  of  this  section,  shall  pay, with interest, such part of any tax
    25  abatement received pursuant to this title that represents the period  of
    26  non-compliance  as determined by the designated agency or the department
    27  of finance, as the case may be.
    28    § 499-fffff. Enforcement and  administration.  1.  The  department  of
    29  finance  shall  have,  in  addition  to  any other functions, powers and
    30  duties that have been or may be conferred on it by  law,  the  following
    31  functions,  powers  and  duties  to be exercised in accordance with this
    32  title:
    33    (a) to apply the tax abatement authorized by this title  to  the  real
    34  property tax liability of an eligible building;
    35    (b) to revoke all or part of any such tax abatement;
    36    (c)  to  promulgate  rules  to  carry  out the purposes of this title,
    37  including, but not limited to, requiring, notwithstanding any inconsist-
    38  ent provision of law, that any submission be made  in  electronic  form;
    39  and
    40    (d)  any  other  function,  power  or duty necessarily implied by this
    41  title.
    42    2. A designated agency shall have, in addition to any other functions,
    43  powers and duties that have been or may be conferred on it by  law,  the
    44  following  functions,  powers  and  duties to be exercised in accordance
    45  with this title:
    46    (a) to accept, review, approve and deny applications  for  tax  abate-
    47  ment;
    48    (b)  to  promulgate  rules  to  carry  out the purposes of this title,
    49  including, but not limited to, requiring, notwithstanding any inconsist-
    50  ent provision of law, that any submission be made in electronic form;
    51    (c) to make the determinations provided for in this title; and
    52    (d) any other function, power or  duty  necessarily  implied  by  this
    53  title.
    54    3.  If  a  designated  agency  determines that an architect, engineer,
    55  certified public accountant, or other certified or licensed professional
    56  in the field of business or design whom such agency designates by  rule,

        S. 8009--C                         67                         A. 9009--C
 
     1  in  making  any  certification  under this title or any rule promulgated
     2  hereunder, engaged in professional  misconduct,  such  agency  shall  so
     3  inform  the  education  department  or  other  appropriate certifying or
     4  licensing authority.
     5    §  2.  This  act  shall take effect immediately and shall apply to tax
     6  years beginning on and after July 1, 2023.
 
     7                                   PART II
 
     8    Section 1. The administrative code of the city of New York is  amended
     9  by adding a new section 11-144 to read as follows:
    10    §  11-144 Child care credit against certain business income taxes.  a.
    11  Definitions. For purposes of this section:
    12    1. Child care program. The term "child care  program"  means  a  child
    13  care  program for which a permit to operate such program has been issued
    14  by the department of health  and  mental  hygiene  pursuant  to  article
    15  forty-seven of the health code.
    16    2.  Child care rate. The term "child care rate" means the weekly child
    17  care subsidy market rates, based on the sixty-ninth  percentile  of  the
    18  2017-18  New  York  state  child care market rate survey, for infant and
    19  toddler care provided by a permitted day care center in  county  cluster
    20  five,  as  reflected  in  the  2019 child care market rate survey report
    21  published by the New York state office of children and  family  services
    22  in  compliance  with  section  98.45  of title forty-five of the code of
    23  federal regulations, provided that the department  of  finance  may,  by
    24  rule,  revise  such rates based on subsequent editions of the child care
    25  market rate survey report, as published by such  office,  or  any  other
    26  similar report published by such office in compliance with such section.
    27    3.  Child  care  seats.  The term "child care seats" means the maximum
    28  number of children to be allowed on the premises of a child care program
    29  at any time that such program is in operation as specified on the permit
    30  issued for such program by the department of health and mental hygiene.
    31    4. Child care seats that are occupied. The term "child care seats that
    32  are occupied" means, for each service year in which a child care program
    33  is in operation, the average daily number of children in  attendance  on
    34  the premises of such child care program.
    35    5.  Creates child care. The term "creates child care" means the making
    36  available of child care seats in a child care  program  by  a  taxpayer,
    37  directly or through a third party, for employees of such taxpayer, where
    38  such  child  care  program  was  not available prior to April first, two
    39  thousand twenty-two, provided that the costs imposed on  such  employees
    40  for  such  child  care  program do not exceed forty percent of the child
    41  care rate.
    42    6. Expands child  care.  The  term  "expands  child  care"  means  the
    43  increase  in the number of child care seats in a child care program made
    44  available by a taxpayer, directly or through a third party, for  employ-
    45  ees  of  such  taxpayer,  provided  that such increase requires a new or
    46  amended permit issued by the department of  health  and  mental  hygiene
    47  pursuant  to  article  forty-seven  of the health code on or after April
    48  first, two thousand twenty-two, and, provided, further, that  the  costs
    49  imposed  on  such  employees  for  such child care program do not exceed
    50  forty percent of the child care rate.
    51    7. Service year. The term "service year" means the twelve-month period
    52  commencing on October first and ending on  September  thirtieth  in  the
    53  subsequent calendar year.

        S. 8009--C                         68                         A. 9009--C
 
     1    b. Credit allowed. A taxpayer that creates child care or expands child
     2  care  shall be allowed a credit against the tax imposed by chapter five,
     3  or by subchapter two or three-a of chapter six,  of  this  title  to  be
     4  credited   or   refunded,  without  interest,  in  accordance  with  the
     5  provisions  of  subdivision  (q)  of section 11-503, subdivision twenty-
     6  three of section 11-604 and subdivision twenty-three of  section  11-654
     7  of  this title.   The amount of such credit shall be, for the portion of
     8  the service year in which the child care program was in  operation,  the
     9  sum  of:  (i)  the product of the number of infant child care seats that
    10  have been created or expanded and twenty percent of the child care  rate
    11  for  such infant child care seats; and (ii) the product of the number of
    12  toddler child care seats that have been created or expanded  and  twenty
    13  percent  of  the  child  care  rate  for  such toddler child care seats;
    14  provided that such infant and toddler child care seats  are  child  care
    15  seats that are occupied. Notwithstanding the preceding sentence, a cred-
    16  it  shall not be allowed for more than twenty-five child care seats that
    17  are occupied, and the amount of such credit may be reduced as  a  result
    18  of  an  allocation  of available funds, as described in subdivision e of
    19  this section, for such credit.
    20    c. Application process. A taxpayer must submit an application for such
    21  credit by November first of the calendar year in which the service  year
    22  has ended.
    23    1. Such application shall include but not be limited to:
    24    (a)  a permit issued by the department of health and mental hygiene to
    25  operate a child care center indicating the number of  child  care  seats
    26  or, in the case of a child care center that has experienced an expansion
    27  of  child  care  seats, a permit issued by such department demonstrating
    28  such expansion; and
    29    (b) a certification from an independent  certified  public  accountant
    30  that provides:
    31    (1)  the  total  number  of child care seats that are child care seats
    32  that are occupied during such service year;
    33    (2) of such total number of child care seats that  are  occupied,  the
    34  number  of  infant  child care seats that are occupied and the number of
    35  toddler child care seats that are occupied; and
    36    (3) to the extent the taxpayer has expanded child care, the number  of
    37  child  care  seats  in existence before such expansion and the number of
    38  such child care seats that were occupied before such expansion.
    39    2. No later than January thirty-first of the calendar  year  following
    40  the calendar year in which the application was submitted, the department
    41  of  finance  shall approve or deny such application and provide a calcu-
    42  lation of the amount of such credit as determined by  subdivision  e  of
    43  this section for any application that has been approved.
    44    d.  Application  of  credit  to  tax year. The credit, as approved and
    45  calculated by the department of finance pursuant  to  paragraph  two  of
    46  subdivision c of this section, shall be applied to the tax year in which
    47  the  service  year  concludes, except that: (i) for a taxpayer whose tax
    48  year concludes on or after September thirtieth and before December thir-
    49  ty-first, the credit shall  be  applied  to  the  tax  year  immediately
    50  following  the tax year in which the service year concludes; and (ii) to
    51  provide the credit in a tax year consistent with this  subdivision,  the
    52  department of finance may establish procedures governing the application
    53  of such credit where the tax year of a taxpayer who has applied for such
    54  credit  is  less  than  twelve  months, or where such tax year varies in
    55  accordance with subsection f of section four hundred  forty-one  of  the
    56  internal revenue code.

        S. 8009--C                         69                         A. 9009--C

     1    e. Maximum amount of credit available. For each of the three tax years
     2  in  which the credit authorized by this section is available, the aggre-
     3  gate amount of such credit shall be a  maximum  of  twenty-five  million
     4  dollars.  To  the  extent  that the department of finance has determined
     5  that  the  aggregate  amount  of  such credit, as calculated pursuant to
     6  subdivision b of this section, would exceed twenty-five million dollars,
     7  such department shall reduce the amount of credit to be granted to  each
     8  taxpayer who has applied for such credit in accordance with a process to
     9  be developed in rules promulgated by such department. In developing such
    10  process,  the department may consider factors including, but not limited
    11  to, the date of application, the number of child care seats in  a  child
    12  care  program  that  are  occupied, and the extent to which the taxpayer
    13  bears the cost of the child care that is provided to  the  employees  of
    14  such taxpayer.
    15    § 2. Section 11-503 of the administrative code of the city of New York
    16  is amended by adding a new subdivision (q) to read as follows:
    17    (q)  Credit  for the provision of child care. In addition to any other
    18  credit allowed under this section, a taxpayer whose  application  for  a
    19  credit  authorized  by section 11-144 of this title has been approved by
    20  the department of finance shall be allowed  a  credit  against  the  tax
    21  imposed by this chapter. The amount of the credit shall be determined as
    22  provided in such section. To the extent the amount of the credit allowed
    23  by this subdivision exceeds the amount of tax due pursuant to this chap-
    24  ter,  as  calculated  without  such  credit, such excess amount shall be
    25  treated as an overpayment of tax to be credited or refunded  in  accord-
    26  ance  with  the  provisions of section 11-526 of this chapter, provided,
    27  however, that notwithstanding the requirements of section 11-528 of this
    28  chapter to the contrary, no interest shall be paid thereon.
    29    § 3. Section 11-604 of the administrative code of the city of New York
    30  is amended by adding a new subdivision 23 to read as follows:
    31    (23) Credit for the provision of child care. In addition to any  other
    32  credit  allowed  under  this section, a taxpayer whose application for a
    33  credit authorized by section 11-144 of this title has been  approved  by
    34  the  department  of  finance  shall  be allowed a credit against the tax
    35  imposed by this chapter. The amount of the credit shall be determined as
    36  provided in such section. To the extent the amount of the credit allowed
    37  by this subdivision exceeds the amount  of  tax  due  pursuant  to  this
    38  subchapter,  as calculated without such credit, such excess amount shall
    39  be treated as an overpayment of  tax  to  be  credited  or  refunded  in
    40  accordance  with  the  provisions  of  section  11-677  of this chapter,
    41  provided, however, that  notwithstanding  the  requirements  of  section
    42  11-679 of this chapter to the contrary, no interest shall be paid there-
    43  on.
    44    § 4. Section 11-654 of the administrative code of the city of New York
    45  is amended by adding a new subdivision 23 to read as follows:
    46    (23)  Credit for the provision of child care. In addition to any other
    47  credit allowed under this section, a taxpayer whose  application  for  a
    48  credit  authorized  by section 11-144 of this title has been approved by
    49  the department of finance shall be allowed  a  credit  against  the  tax
    50  imposed by this chapter. The amount of the credit shall be determined as
    51  provided in such section. To the extent the amount of the credit allowed
    52  by  this  subdivision  exceeds  the  amount  of tax due pursuant to this
    53  subchapter, as calculated without such credit, such excess amount  shall
    54  be  treated  as  an  overpayment  of  tax  to be credited or refunded in
    55  accordance with the  provisions  of  section  11-677  of  this  chapter,
    56  provided,  however,  that  notwithstanding  the  requirements of section

        S. 8009--C                         70                         A. 9009--C
 
     1  11-679 of this chapter to the contrary, no interest shall be paid there-
     2  on.
     3    §  5. This act shall take effect immediately, provided that the credit
     4  authorized by section 11-144 of the administrative code of the  city  of
     5  New  York, as added by section one of this act, shall be available to be
     6  applied to the tax year beginning between January 1, 2023  and  December
     7  31, 2023, inclusive of those dates, and to the two tax years immediately
     8  following such initial tax year.

     9                                   PART JJ
 
    10    Section  1.  Paragraph  1 of subsection (f) of section 1310 of the tax
    11  law, as added by section 2 of part V of chapter 60 of the laws of  2004,
    12  is amended to read as follows:
    13    (1)  Notwithstanding  any  other provision of law to the contrary, any
    14  city having a population of one million  or  more,  acting  through  its
    15  local  legislative body, is hereby authorized and empowered to adopt and
    16  amend local laws granting in any such city, for taxable years  beginning
    17  after  two thousand three, a credit against the city personal income tax
    18  equal to five percent of the earned income credit allowed under  section
    19  thirty-two  of the internal revenue code for the same taxable year, and,
    20  for taxable years beginning after  two  thousand  twenty-one,  a  credit
    21  against  the  city personal income tax equal to a percentage, determined
    22  pursuant to subparagraphs (A) through (I)  of  this  paragraph,  of  the
    23  earned  income  credit  allowed under section thirty-two of the internal
    24  revenue code for the same taxable year. For purposes of this  paragraph,
    25  "adjusted  gross  income" means New York adjusted gross income as deter-
    26  mined pursuant to article twenty-two of  this  chapter.  The  percentage
    27  shall be:
    28    (A)  thirty  percent,  where  the taxpayer's adjusted gross income for
    29  such taxable year is less than $5,000;
    30    (B) thirty percent reduced by the product of two-tenths of a  percent-
    31  age point (0.002) and the amount of the taxpayer's adjusted gross income
    32  for  such  taxable  year  in  excess  of  $4,999,  where such taxpayer's
    33  adjusted gross income for such taxable year is equal to or greater  than
    34  $5,000 and less than $7,500;
    35    (C)  twenty-five  percent,  where the taxpayer's adjusted gross income
    36  for such taxable year is equal to or greater than $7,500 and  less  than
    37  $15,000;
    38    (D)  twenty-five  percent  reduced  by  the product of two-tenths of a
    39  percentage point (0.002) and the amount of the taxpayer's adjusted gross
    40  income for such taxable year in excess of $14,999, where such taxpayer's
    41  adjusted gross income for such taxable year is equal to or greater  than
    42  $15,000 and less than $17,500;
    43    (E)  twenty  percent,  where  the taxpayer's adjusted gross income for
    44  such taxable year is equal to or greater  than  $17,500  and  less  than
    45  $20,000;
    46    (F)  twenty percent reduced by the product of two-tenths of a percent-
    47  age point (0.002) and the amount of the taxpayer's adjusted gross income
    48  for such taxable year  in  excess  of  $19,999,  where  such  taxpayer's
    49  adjusted  gross income for such taxable year is equal to or greater than
    50  $20,000 and less than $22,500;
    51    (G) fifteen percent, where the taxpayer's adjusted  gross  income  for
    52  such  taxable  year  is  equal  to or greater than $22,500 and less than
    53  $40,000;

        S. 8009--C                         71                         A. 9009--C
 
     1    (H) fifteen percent reduced by the product of two-tenths of a percent-
     2  age point (0.002) and the amount of the taxpayer's adjusted gross income
     3  for such taxable year  in  excess  of  $39,999,  where  such  taxpayer's
     4  adjusted  gross income for such taxable year is equal to or greater than
     5  $40,000 and less than $42,500; and
     6    (I)  ten  percent  where the taxpayer's adjusted gross income for such
     7  taxable year is equal to or greater than $42,500.
     8    § 2. Paragraph 1 of subdivision (d) of section 11-1706 of the adminis-
     9  trative code of the city of New York, as added by local  law  number  39
    10  for the year 2004, is amended to read as follows:
    11    (1)  For  taxable  years  beginning after two thousand three, a credit
    12  against the city personal income tax shall be  allowed,  equal  to  five
    13  percent  of the earned income credit allowed under section thirty-two of
    14  the internal revenue code for the same taxable year,  and,  for  taxable
    15  years beginning after two thousand twenty-one, a credit against the city
    16  personal  income  tax shall be allowed, equal to a percentage determined
    17  pursuant to subparagraphs (A) through (I)  of  this  paragraph,  of  the
    18  earned  income  credit  allowed under section thirty-two of the internal
    19  revenue code for the same taxable year. For purposes of this  paragraph,
    20  "adjusted  gross  income" means New York adjusted gross income as deter-
    21  mined pursuant to article twenty-two of  the  tax  law.  The  percentage
    22  shall be:
    23    (A)  thirty  percent,  where  the taxpayer's adjusted gross income for
    24  such taxable year is less than $5,000;
    25    (B) thirty percent reduced by the product of two-tenths of a  percent-
    26  age point (0.002) and the amount of the taxpayer's adjusted gross income
    27  for  such  taxable  year  in  excess  of  $4,999,  where such taxpayer's
    28  adjusted gross income for such taxable year is equal to or greater  than
    29  $5,000 and less than $7,500;
    30    (C)  twenty-five  percent,  where the taxpayer's adjusted gross income
    31  for such taxable year is equal to or greater than $7,500 and  less  than
    32  $15,000;
    33    (D)  twenty-five  percent  reduced  by  the product of two-tenths of a
    34  percentage point (0.002) and the amount of the taxpayer's adjusted gross
    35  income for such taxable year in excess of $14,999, where such taxpayer's
    36  adjusted gross income for such taxable year is equal to or greater  than
    37  $15,000 and less than $17,500;
    38    (E)  twenty  percent,  where  the taxpayer's adjusted gross income for
    39  such taxable year is equal to or greater  than  $17,500  and  less  than
    40  $20,000;
    41    (F)  twenty percent reduced by the product of two-tenths of a percent-
    42  age point (0.002) and the  amount  of  such  taxpayer's  adjusted  gross
    43  income  for such taxable year in excess of $19,999, where the taxpayer's
    44  adjusted gross income for such taxable year is equal to or greater  than
    45  $20,000 and less than $22,500;
    46    (G)  fifteen  percent,  where the taxpayer's adjusted gross income for
    47  such taxable year is equal to or greater  than  $22,500  and  less  than
    48  $40,000;
    49    (H) fifteen percent reduced by the product of two-tenths of a percent-
    50  age point (0.002) and the amount of the taxpayer's adjusted gross income
    51  for  such  taxable  year  in  excess  of  $39,999, where such taxpayer's
    52  adjusted gross income for such taxable year is equal to or greater  than
    53  $40,000 and less than $42,500; and
    54    (I)  ten  percent  where the taxpayer's adjusted gross income for such
    55  taxable year is equal to or greater than $42,500.

        S. 8009--C                         72                         A. 9009--C
 
     1    § 3. This act shall take effect immediately, and shall apply to  taxa-
     2  ble years beginning on and after January 1, 2022.
 
     3                                   PART KK

     4    Section  1.  Section 472 of the economic development law is amended by
     5  adding a new subdivision 4-a to read as follows:
     6    4-a. "Certificate of additional tax credit" means the document  issued
     7  to a business entity by the department after the department has verified
     8  that  the business entity has met all applicable eligibility criteria in
     9  this article.  The certificate shall specify the exact amount of the tax
    10  credit under this article that a business entity may claim  pursuant  to
    11  section four hundred seventy-five-a of this article.
    12    §  2.  Subdivisions 1 and 3 of section 474 of the economic development
    13  law, as added by section 1 of subpart A of part PP of chapter 59 of  the
    14  laws  of  2021,  are amended and a new subdivision 4 is added to read as
    15  follows:
    16    1. A business entity must submit a complete application as  prescribed
    17  by  the  commissioner  for  the restaurant return-to-work credit and the
    18  additional restaurant return-to-work credit.
    19    3.  The application for the tax  credit  allowed  under  section  four
    20  hundred seventy-five of this article must be submitted by May first, two
    21  thousand twenty-two. After reviewing a business entity's completed final
    22  application  for  the  restaurant  return-to-work credit and determining
    23  that the business entity meets the eligibility criteria as set forth  in
    24  this article, the department may issue to that business entity a certif-
    25  icate  of  tax credit. A business entity may claim the tax credit in the
    26  taxable year that includes December thirty-first, two  thousand  twenty-
    27  one.
    28    4.  The  application  for  the  tax  credit allowed under section four
    29  hundred seventy-five-a of this article must be submitted by July  first,
    30  two  thousand  twenty-two. After reviewing a business entity's completed
    31  final application for the additional  restaurant  return-to-work  credit
    32  and  determining that the business entity meets the eligibility criteria
    33  as set forth in this article, the department may issue to that  business
    34  entity  a  certificate  of  additional tax credit. A business entity may
    35  claim the tax credit in the taxable year that includes December  thirty-
    36  first, two thousand twenty-two.
    37    §  3.  The economic development law is amended by adding a new section
    38  475-a to read as follows:
    39    § 475-a. Additional restaurant return-to-work tax credit. 1.  A  busi-
    40  ness  entity  in  the  restaurant return-to-work tax credit program that
    41  applies for the additional restaurant return-to-work credit pursuant  to
    42  section  four  hundred  seventy-four  of this article may be eligible to
    43  claim a credit equal to five thousand dollars per each full-time  equiv-
    44  alent  net employee increase above ten, not to exceed twenty, as defined
    45  in subdivision eight of section four hundred seventy-two of  this  arti-
    46  cle.  The  amount of the business entity's additional restaurant return-
    47  to-work tax credit shall be calculated by using the  date  the  business
    48  entity  chose  to  calculate  its average ending full-time employment as
    49  described in subdivision three of section four  hundred  seventy-two  of
    50  this  article.  Provided,  however,  that  in  calculating the full-time
    51  equivalent net employee increase above ten, the jobs  must  continue  to
    52  exist  as  of  March  thirty-first,  two thousand twenty-two. A business
    53  entity in the restaurant return-to-work program that  ceased  operations

        S. 8009--C                         73                         A. 9009--C
 
     1  on  or before March thirty-first, two thousand twenty-two, is not eligi-
     2  ble for the credit provided by this section.
     3    2.  A  business  entity,  including  a  partnership, limited liability
     4  company and subchapter S corporation, may not receive in excess of fifty
     5  thousand dollars in tax credits under this program.
     6    3. The credit shall be allowed as  provided  in  section  forty-six-a,
     7  subdivision  fifty-six-a  of  section  two  hundred ten-B and subsection
     8  (nnn) of section six hundred six of the tax law.
     9    § 4. The tax law is amended by adding a new section 46-a  to  read  as
    10  follows:
    11    § 46-a. Additional restaurant return-to-work tax credit. (a) Allowance
    12  of  credit. A taxpayer subject to tax under article nine-A or twenty-two
    13  of this chapter shall be allowed a credit against such tax, pursuant  to
    14  the provisions referenced in subdivision (f) of this section. The amount
    15  of the credit is equal to the amount determined pursuant to section four
    16  hundred  seventy-five-a  of  the  economic  development  law. No cost or
    17  expense paid or incurred by the taxpayer which is included  as  part  of
    18  the calculation of this credit shall be the basis of any other tax cred-
    19  it allowed under this chapter.
    20    (b)  Eligibility. To be eligible for the additional restaurant return-
    21  to-work tax credit, the taxpayer shall have been issued a certificate of
    22  additional tax credit by the department of economic development pursuant
    23  to subdivision four of section four hundred seventy-four of the economic
    24  development law, which certificate shall set forth  the  amount  of  the
    25  credit  that  may be claimed for the taxable year. The taxpayer shall be
    26  allowed to claim only the amount listed on the certificate of additional
    27  tax credit for that taxable year. A taxpayer that  is  a  partner  in  a
    28  partnership,  member  of a limited liability company or shareholder in a
    29  subchapter S corporation that has received a certificate  of  additional
    30  tax  credit  shall be allowed its pro rata share of the credit earned by
    31  the partnership, limited liability company or subchapter S  corporation.
    32  However,  the  taxpayer must be a partner, member or shareholder of such
    33  partnership, limited liability company or subchapter S corporation as of
    34  April first, two thousand twenty-two.
    35    (c) Tax return requirement and advance payment option. (1) The taxpay-
    36  er shall be required to attach to its tax return in the form  prescribed
    37  by  the  commissioner, proof of receipt of its certificate of additional
    38  tax credit issued by the commissioner  of  the  department  of  economic
    39  development.
    40    (2)  Taxpayers  shall have the option to request an advance payment of
    41  the amount of tax credit they are allowed under this section. A taxpayer
    42  must submit such request to the department in the manner  prescribed  by
    43  the  commissioner  after  it has been issued a certificate of additional
    44  tax credit by the department of economic development pursuant to  subdi-
    45  vision  four of section four hundred seventy-four of the economic devel-
    46  opment law (or such certificate has been issued to a partnership, limit-
    47  ed liability company or subchapter  S  corporation  in  which  it  is  a
    48  partner,  member or shareholder, respectively), but such request must be
    49  submitted no later than September thirtieth,  two  thousand  twenty-two.
    50  For  those  taxpayers who have requested an advance payment and for whom
    51  the commissioner has determined eligible for this  credit,  the  commis-
    52  sioner  shall advance a payment of the tax credit allowed to the taxpay-
    53  er. However, in the case of a taxpayer subject to article nine-A of this
    54  chapter, such payment shall be equal to the amount of credit allowed  to
    55  the  taxpayer  less  twenty-five dollars. Such twenty-five dollars shall
    56  represent a partial payment of tax owed by the  taxpayer  under  article

        S. 8009--C                         74                         A. 9009--C
 
     1  nine-A,  including  any fixed dollar minimum owed under paragraph (d) of
     2  subdivision one of section two hundred  ten  of  this  chapter.  When  a
     3  taxpayer  files  its  return  for  the taxable year, such taxpayer shall
     4  properly  reconcile the advance payment and any partial payment of fixed
     5  dollar minimum tax, if applicable, on the taxpayer's return.
     6    (d) Information sharing. Notwithstanding any provision of  this  chap-
     7  ter, employees of the department of economic development and the depart-
     8  ment shall be allowed and are directed to share and exchange:
     9    (1)  information derived from tax returns or reports that are relevant
    10  to a taxpayer's eligibility to participate in the restaurant  return-to-
    11  work tax credit program;
    12    (2)  information regarding the credit applied for, allowed, or claimed
    13  pursuant to this section and taxpayers that are applying for the  credit
    14  or that are claiming the credit; and
    15    (3)  information  contained  in  or  derived  from  credit claim forms
    16  submitted to the department and  applications  for  admission  into  the
    17  restaurant  return-to-work  tax  credit  program.  Except as provided in
    18  paragraph two of this subdivision, all information exchanged between the
    19  department of economic development  and  the  department  shall  not  be
    20  subject  to disclosure or inspection under the state's freedom of infor-
    21  mation law.
    22    (e) Credit recapture. If a certificate of additional tax credit issued
    23  by the department of economic development under article  twenty-five  of
    24  the  economic  development law is revoked by such department, the amount
    25  of credit described in this section and claimed by the taxpayer prior to
    26  that revocation shall be added back to tax in the taxable year in  which
    27  any such revocation becomes final.
    28    (f)  Cross  references.  For application of the credit provided for in
    29  this section, see the following provisions of this chapter:
    30    (1) article 9-A: section 210-B, subdivision 56-a;
    31    (2) article 22: section 606, subsection (nnn).
    32    § 5. Section 210-B of the tax law is amended by adding a new  subdivi-
    33  sion 56-a to read as follows:
    34    56-a.  Additional  restaurant return-to-work tax credit. (a) Allowance
    35  of credit. A taxpayer shall be allowed  a  credit,  to  be  computed  as
    36  provided  in  section  forty-six-a  of  this  chapter, against the taxes
    37  imposed by this article.
    38    (b) Application of credit. The credit allowed under  this  subdivision
    39  for  the taxable year shall not reduce the tax due for such year to less
    40  than the amount prescribed  in  paragraph  (d)  of  subdivision  one  of
    41  section two hundred ten of this article. However, if the amount of cred-
    42  it  allowed  under this subdivision for the taxable year reduces the tax
    43  to such amount or if the taxpayer otherwise pays tax based on the  fixed
    44  dollar  minimum amount, any amount of credit thus not deductible in such
    45  taxable year shall be treated as an overpayment of tax to be credited or
    46  refunded in accordance with  the  provisions  of  section  one  thousand
    47  eighty-six  of  this  chapter.  Provided,  however,  the  provisions  of
    48  subsection (c) of section one  thousand  eighty-eight  of  this  chapter
    49  notwithstanding, no interest will be paid thereon.
    50    §  6. Section 606 of the tax law is amended by adding a new subsection
    51  (nnn) to read as follows:
    52    (nnn) Additional restaurant return-to-work tax credit.  (1)  Allowance
    53  of  credit.  A  taxpayer  shall  be  allowed a credit, to be computed as
    54  provided in section forty-six-a of this chapter, against the tax imposed
    55  by this article.

        S. 8009--C                         75                         A. 9009--C
 
     1    (2) Application of credit. If the amount of the credit  allowed  under
     2  this subsection for the taxable year exceeds the taxpayer's tax for such
     3  year, the excess shall be treated as an overpayment of tax to be credit-
     4  ed  or refunded in accordance with the provisions of section six hundred
     5  eighty-six  of this article, provided, however, that no interest will be
     6  paid thereon.
     7    § 7. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
     8  of  the  tax  law  is  amended  by adding a new clause (xlix) to read as
     9  follows:
    10  (xlix) Additional restaurant         Amount of credit under
    11  return-to-work credit                subdivision fifty-six-a of
    12                                       section two hundred ten-B
    13    § 8. This act shall take effect immediately.
 
    14                                   PART LL
 
    15    Section 1. (a) Notwithstanding any provision of law to  the  contrary,
    16  for  the  duration of the state disaster emergency pursuant to executive
    17  order 11 of 2021, a taxpayer that  has  required  some  or  all  of  its
    18  employees  to work remotely as a result of the outbreak of novel corona-
    19  virus, COVID-19, may designate such remote work as having been performed
    20  at the location such work was performed prior to the declaration of such
    21  state disaster emergency for tax benefits that are based on  maintaining
    22  a  presence  within  the  state  or  within specific areas of the state,
    23  including but not limited to those provided pursuant to  article  seven-
    24  teen  of  the economic development law and sections 31 and 39 of the tax
    25  law.
    26    (b) Eligible businesses shall be required to  certify,  that  for  the
    27  entire  period the benefit is claimed, the business continued to operate
    28  within the state.
    29    (c) Under no circumstances shall a business be eligible for tax  bene-
    30  fits based on maintaining a presence within the state or within specific
    31  areas  of  the state for any time period in which the business moved its
    32  operations outside of the state.
    33    § 2. This act shall take effect immediately and  shall  be  deemed  to
    34  have  been  in  full  force and effect on or after November 26, 2021 and
    35  shall expire on the date of expiration of the state  disaster  emergency
    36  pursuant  to  executive order 11 of 2021 or December 31, 2022, whichever
    37  is sooner; provided that the commissioner of taxation and finance  shall
    38  notify  the  legislative bill drafting commission upon the occurrence of
    39  the expiration of the state disaster  emergency  pursuant  to  executive
    40  order  11 of 2021, as amended, in order that the commission may maintain
    41  an accurate and timely effective data base of the official text  of  the
    42  laws  of  the  state  of  New  York  in  furtherance of effectuating the
    43  provisions of section 44 of the legislative law and section 70-b of  the
    44  public officers law.
 
    45                                   PART MM
 
    46    Section 1. This act enacts into law components of legislation relating
    47  to  pass-through entity tax. Each component is wholly contained within a
    48  Subpart identified as Subparts A and B.  The  effective  date  for  each
    49  particular  provision  contained within such Subpart is set forth in the
    50  last section of such Subpart. Any provision  in  any  section  contained
    51  within  a  Subpart,  including  the effective date of the Subpart, which
    52  makes a reference to a section "of this act", when  used  in  connection

        S. 8009--C                         76                         A. 9009--C
 
     1  with that particular component, shall be deemed to mean and refer to the
     2  corresponding  section  of the Subpart in which it is found. Section two
     3  of this act sets forth the general effective date of this act.
 
     4                                  SUBPART A
 
     5    Section  1.  Subsection (d) of section 860 of the tax law, as added by
     6  section 1 of part C of chapter 59 of the laws of 2021,  is  amended  and
     7  two new subsections (j) and (k) are added to read as follows:
     8    (d)  Electing S corporation. Electing S corporation means any eligible
     9  S corporation that made a valid, timely  election  pursuant  to  section
    10  eight hundred sixty-one of this article that is either an electing resi-
    11  dent S corporation or electing standard S corporation.
    12    (j)  Electing  resident S corporation.   An electing resident S corpo-
    13  ration is an electing S corporation that certifies at the  time  of  its
    14  election  that  all  of  its  shareholders are residents of New York for
    15  purposes of article twenty-two of this chapter.
    16    (k) Electing standard S corporation. An  electing  standard  S  corpo-
    17  ration  is  an electing S corporation that is not an electing resident S
    18  corporation.
    19    § 2. Paragraph 2 of subsection (h) of section 860 of the tax  law,  as
    20  added  by  section  1  of  part  C of chapter 59 of the laws of 2021, is
    21  amended and a new paragraph 3 is added to read as follows:
    22    (2) In the case of an electing standard  S  corporation,  the  sum  of
    23  [(i)]  all  items  of  income,  gain, loss, or deduction derived from or
    24  connected with New York sources to the extent  they  would  be  included
    25  under  paragraph two of subsection (a) of section six hundred thirty-two
    26  of this chapter in the taxable income of a shareholder  subject  to  tax
    27  under article twenty-two of this chapter.
    28    (3)  In the case of an electing resident S corporation, the sum of all
    29  items of income, gain,  loss,  or  deduction  to  the  extent  they  are
    30  included  in  the  taxable  income of a shareholder subject to tax under
    31  article twenty-two of this chapter.
    32    § 3. Subsection (c) of section 861 of the tax law, as added by section
    33  1 of part C of chapter 59 of the laws of 2021,  is  amended  and  a  new
    34  subsection (d) is added to read as follows:
    35    (c)  The  annual  election  must  be made by the due date of the first
    36  estimated payment under section eight hundred sixty-four of this  [chap-
    37  ter] article and will take effect for the current taxable year. Only one
    38  election  may  be made during each calendar year. An election made under
    39  this section is irrevocable as of the due date.
    40    (d) Special rules for electing S corporations.    (1)  An  electing  S
    41  corporation must certify at the time of its election that all sharehold-
    42  ers are residents of New York for purposes of article twenty-two of this
    43  chapter to be considered an electing resident S corporation.
    44    (2)  If  an electing S corporation does not make a certification under
    45  paragraph one of this subsection at the time of its election, the elect-
    46  ing S corporation is automatically treated as  an  electing  standard  S
    47  corporation.
    48    (3) If an electing S corporation makes a certification under paragraph
    49  one  of  this  subsection to be an electing resident S corporation, this
    50  certification is irrevocable as of the due date of the election.
    51    § 4. Subsection (h) of section 865 of the tax law, as added by section
    52  1 of part C of chapter 59 of the laws of 2021, is  amended  to  read  as
    53  follows:

        S. 8009--C                         77                         A. 9009--C
 
     1    (h)  Information provided to shareholders. Each electing S corporation
     2  subject to tax under this article shall report to each shareholder its:
     3    (1)  direct share of the pass-through entity tax imposed on the elect-
     4  ing S corporation; [and]
     5    (2) the electing S corporation's status  as  an  electing  resident  S
     6  corporation or electing standard S corporation; and
     7    (3) any other information as required by the commissioner.
     8    §  5.  Paragraph 3 of subsection (b) of section 612 of the tax law, as
     9  amended by chapter 166 of the laws of 1991, subparagraph (B) as  amended
    10  by section 70 of part A of chapter 59 of the laws of 2014, is amended to
    11  read as follows:
    12    (3)  Income  taxes. (A) General. Income taxes imposed by this state or
    13  any other taxing jurisdiction, to the extent deductible  in  determining
    14  federal  adjusted  gross  income and not credited against federal income
    15  tax.
    16    (B) Shareholders of S corporations. In the case of a shareholder of an
    17  S corporation, with respect to taxes imposed  upon  or  payable  by  the
    18  corporation,  the  term "income taxes" in subparagraph (A) of this para-
    19  graph shall also include the taxes imposed under article nine-A of  this
    20  chapter, regardless of the measure of such tax[, but shall not otherwise
    21  include  taxes  imposed by this or any other state of the United States,
    22  or any political subdivision of this or any other state, or the District
    23  of Columbia].
    24    (C) Pass-through entity tax deduction. (i) In the case of  a  partner,
    25  member  or  shareholder  of an electing partnership or electing S corpo-
    26  ration, the term "income taxes" in subparagraph (A)  of  this  paragraph
    27  shall  not include the taxes imposed under article twenty-four-A of this
    28  chapter to the extent such taxes are added  to  federal  adjusted  gross
    29  income   under   subparagraph  (A)  of  paragraph  forty-three  of  this
    30  subsection or the taxes imposed  under  article  twenty-four-B  of  this
    31  chapter to the extent such taxes are added to the federal adjusted gross
    32  income under paragraph forty-three-a of this subsection.
    33    (ii)  In the case of a partner, member or shareholder of a partnership
    34  or S corporation, the term "income taxes" in subparagraph  (A)  of  this
    35  paragraph  shall  not  include  pass-through  entity taxes substantially
    36  similar to the tax imposed pursuant to  article  twenty-four-A  of  this
    37  chapter  imposed  by  another  state  of  the United States, a political
    38  subdivision of such state, or the District of Columbia upon income  both
    39  derived  therefrom  and  subject to tax under this article to the extent
    40  such taxes are added to federal adjusted gross income under subparagraph
    41  (B) of paragraph forty-three of this subsection.
    42    § 6. (a) Notwithstanding section 861  of  the  tax  law  as  added  by
    43  section  1  of  part  C of chapter 59 of the laws of 2021 and amended by
    44  section three of this act, the certification to be taxed as an  electing
    45  resident  S corporation for the taxable year 2022, must be made by March
    46  15, 2023 in a manner prescribed by the commissioner.
    47    (b) Further for the taxable year 2022, notwithstanding section 864  of
    48  the  tax  law, as added by section 1 of part C of chapter 59 of the laws
    49  of 2021, an electing resident S corporation shall be  required  to  make
    50  estimated  tax payments on March fifteenth and June fifteenth represent-
    51  ing twenty-five percent of the required annual payment as if such elect-
    52  ing resident S corporation  was  an  electing  standard  S  corporation.
    53  However,  all  electing  resident S corporations shall be required as of
    54  September 15, 2022 to have paid seventy-five  percent  of  the  required
    55  annual payment.

        S. 8009--C                         78                         A. 9009--C
 
     1    §  7.  This  act  shall take effect immediately and shall apply to all
     2  taxable years beginning on or after January 1, 2022; provided,  however,
     3  that  section five of this act shall apply to taxable years beginning on
     4  or after January 1, 2021.
 
     5                                  SUBPART B
 
     6    Section 1. The tax law is amended by adding a new article 24-B to read
     7  as follows:
     8                                ARTICLE 24-B
     9                        CITY PASS-THROUGH ENTITY TAX
    10  Section 867. Definitions.
    11          868. City pass-through entity tax election.
    12          869. Imposition and rate of tax.
    13          870. City pass-through entity tax credit.
    14          871. Payment of estimated tax.
    15          872. Filing of return and payment of tax.
    16          873. Procedural and administrative provisions.
    17    § 867. Definitions. For purposes of this article:
    18    (a)  City  pass-through entity tax. City pass-through entity tax means
    19  the total tax imposed by this article on an electing city partnership or
    20  an electing city resident S corporation.
    21    (b) City pass-through entity taxable income. City pass-through  entity
    22  taxable income means:
    23    (1)  In the case of an electing city partnership, the sum of all items
    24  of income, gain, loss, or deduction to the extent they are  included  in
    25  the  city  taxable  income  of  a partner or member of the electing city
    26  partnership who is a city taxpayer.
    27    (2) In the case of an electing city resident S corporation, the sum of
    28  all items of income, gain, loss, or deduction to the extent  they  would
    29  be  included in the city taxable income of a shareholder of the electing
    30  city resident S corporation who is a city taxpayer.
    31    (c) City resident individual. City resident individual  has  the  same
    32  meaning  as  that  term is defined in subsection (a) of section thirteen
    33  hundred five of this chapter.
    34    (d) City taxable income. City taxable income has the same  meaning  as
    35  that term is defined in section thirteen hundred three of this chapter.
    36    (e)  City  taxpayer.  A city taxpayer means a city resident individual
    37  subject to the tax imposed pursuant to the authority of  article  thirty
    38  of this chapter.
    39    (f) Direct share of city pass-through entity tax. Direct share of city
    40  pass-through  entity  tax  means the portion of city pass-through entity
    41  tax calculated on city pass-through entity  taxable  income  of  a  city
    42  taxpayer  who is a partner or member of the electing city partnership or
    43  a city taxpayer who is a shareholder of the  electing  city  resident  S
    44  corporation.
    45    (g)  Electing  city  partnership.  Electing city partnership means any
    46  eligible partnership that made a  valid,  timely  election  pursuant  to
    47  section eight hundred sixty-eight of this article.
    48    (h)  Electing  city  resident  S corporation. Electing city resident S
    49  corporation means any eligible resident S corporation that made a valid,
    50  timely election pursuant to section eight hundred  sixty-eight  of  this
    51  article.
    52    (i)  Eligible  city  partnership.  Eligible city partnership means any
    53  partnership as provided for in section 7701(a)(2) of the Internal Reven-
    54  ue Code that has a filing requirement under paragraph one of  subsection

        S. 8009--C                         79                         A. 9009--C
 
     1  (c)  of  section  six  hundred  fifty-eight of this chapter other than a
     2  publicly traded partnership as defined in section 7704 of  the  Internal
     3  Revenue  Code,  where  at least one partner or member is a city resident
     4  individual.  An eligible city partnership includes any entity, including
     5  a limited liability company, treated as a partnership for federal income
     6  tax purposes that otherwise meets the requirements of this subsection.
     7    (j)  Eligible  city  resident  S corporation. Eligible city resident S
     8  corporation means any New York S  corporation  as  defined  pursuant  to
     9  subdivision  one-A  of section two hundred eight of this chapter that is
    10  subject to tax under section two hundred nine of this chapter  that  has
    11  only  city resident individual shareholders. An eligible city resident S
    12  corporation includes any entity, including a limited liability  company,
    13  treated  as an S corporation for federal income tax purposes that other-
    14  wise meets the requirements of this subsection.
    15    (k) Taxable year. An electing  city  partnership's  or  electing  city
    16  resident  S corporation's taxable year pursuant to this article shall be
    17  the same as the electing city partnership's or electing city resident  S
    18  corporation's taxable year for federal income tax purposes.
    19    §  868.  City  pass-through entity tax election. (a) Any eligible city
    20  partnership that makes the annual election to be taxed pursuant to arti-
    21  cle twenty-four-A of this  chapter  in  accordance  with  section  eight
    22  hundred sixty-one of this chapter or any eligible city resident S corpo-
    23  ration  that  makes  the annual election to be taxed pursuant to article
    24  twenty-four-A of this chapter as an electing resident S  corporation  in
    25  accordance with section eight hundred sixty-one of this chapter may make
    26  an  annual  election  to  be taxed pursuant to this article for the same
    27  taxable year for which such eligible city partnership or  eligible  city
    28  resident  S  corporation  has  made  an election to be taxed pursuant to
    29  article twenty-four-A of this chapter. The election to be taxed pursuant
    30  to this article must be made by the due date as specified in  subsection
    31  (c)  of  section eight hundred sixty-one of this chapter and in the same
    32  manner as the election to be taxed pursuant to article twenty-four-A  of
    33  this chapter.
    34    (b) In order to be effective, the annual election to be taxed pursuant
    35  to this article must be made by a city taxpayer and (1) if the entity is
    36  an S corporation, by any officer, manager or shareholder of the S corpo-
    37  ration  who  is  authorized  under the law of the state where the corpo-
    38  ration is incorporated or under the S corporation's organizational docu-
    39  ments  to  make  the  election  and  who  represents  to   having   such
    40  authorization under penalty of perjury; or (2) if the entity is not an S
    41  corporation,  by  any  member,  partner, owner, or other individual with
    42  authority to bind the entity or sign returns  pursuant  to  section  six
    43  hundred fifty-three of this chapter.
    44    (c)  The  annual election to be taxed pursuant to this article must be
    45  made by the due date of the first estimated payment under section  eight
    46  hundred  sixty-four of this chapter and will take effect for the current
    47  taxable year. Only one election to be taxed pursuant to this article may
    48  be made during each calendar year. An election made under  this  section
    49  is irrevocable as of such due date. To the extent an election made under
    50  section  eight hundred sixty-one of this chapter is revoked or otherwise
    51  invalidated an election made under this section is automatically invali-
    52  dated.
    53    § 869. Imposition and rate of tax. A tax is hereby  imposed  for  each
    54  taxable  year  on  the  city pass-through entity taxable income of every
    55  electing city partnership and every  electing  city  resident  S  corpo-
    56  ration.    This  tax  shall be in addition to any other taxes imposed on

        S. 8009--C                         80                         A. 9009--C
 
     1  such partnership or such S corporation. For each taxable year  beginning
     2  on  or  after  January  first,  two thousand twenty-two, the rate of tax
     3  shall be 3.876 percent of city pass-through entity taxable income.
     4    §  870.  City  pass-through entity tax credit. (a) Personal income tax
     5  credit. (1) A city taxpayer who is a direct  partner  or  member  in  an
     6  electing  city  partnership  or a direct shareholder of an electing city
     7  resident S corporation subject  to  tax  under  this  article  shall  be
     8  allowed  a  credit  against the tax imposed pursuant to the authority of
     9  article thirty of this chapter, computed pursuant to the  provisions  of
    10  subsection (g) of section thirteen hundred ten of this chapter. An enti-
    11  ty that is disregarded for tax purposes will be disregarded for purposes
    12  of  determining  if  a city taxpayer is a direct partner or member of an
    13  electing city partnership or a direct shareholder of  an  electing  city
    14  resident S corporation.
    15    (2) Limitation on credit. No credit shall be allowed to a city taxpay-
    16  er under paragraph one of this subsection unless the electing city part-
    17  nership  or  electing  city  resident S corporation paid the tax imposed
    18  under this article and provided sufficient information on the city pass-
    19  through entity tax return as prescribed by the commissioner to  identify
    20  such  city  taxpayer. Such information shall include, but not be limited
    21  to, the social security number or taxpayer identification number of  the
    22  city  taxpayer  who  will claim the credit (even in the case of a disre-
    23  garded entity owned by such city taxpayer).
    24    (b) Limitation on credit. The aggregate amount of credits  claimed  by
    25  all partners, members or shareholders of an electing city partnership or
    26  an  electing  city  resident S corporation pursuant to subsection (a) of
    27  this section shall not exceed the tax due under  section  eight  hundred
    28  sixty-nine of this article from such electing city partnership or elect-
    29  ing city resident S corporation for the taxable year.
    30    §  871.  Payment  of  estimated  tax. (a) Definition of estimated tax.
    31  Estimated tax means the amount that  an  electing  city  partnership  or
    32  electing  city resident S corporation estimates to be the tax imposed by
    33  section eight hundred sixty-nine of this article for the current taxable
    34  year.
    35    (b) General. Except as provided in subsection (c) of this section, the
    36  estimated tax shall be paid as follows for an electing city  partnership
    37  and an electing city resident S corporation:
    38    (1)  The  estimated  tax  shall  be paid in four equal installments on
    39  March  fifteenth,  June  fifteenth,  September  fifteenth  and  December
    40  fifteenth  in  the calendar year prior to the year in which the due date
    41  of the return required by this article falls.
    42    (2) The amount  of  any  required  installment  shall  be  twenty-five
    43  percent of the required annual payment.
    44    (3)  The  required annual payment is the lesser of: (A) ninety percent
    45  of the tax shown on the return for the taxable year; or (B) one  hundred
    46  percent  of the tax shown on the return of the electing city partnership
    47  or electing city resident S corporation for the preceding taxable year.
    48    (c) Application to short taxable year. This section shall apply  to  a
    49  taxable  year  of  less than twelve months in accordance with procedures
    50  established by the commissioner.
    51    (d) Installments paid in advance.  An  electing  city  partnership  or
    52  electing city resident S corporation may elect to pay any installment of
    53  its estimated tax prior to the date prescribed for the payment thereof.
    54    §  872. Filing of return and payment of tax. (a) General. On or before
    55  March fifteenth following the close of the taxable year,  each  electing
    56  city partnership and each electing city resident S corporation must file

        S. 8009--C                         81                         A. 9009--C
 
     1  a  return for the taxable year reporting the information required pursu-
     2  ant to this article. For each electing city partnership and each  elect-
     3  ing  city  resident  S  corporation  that has a fiscal taxable year, the
     4  return  is  due  on or before March fifteenth following the close of the
     5  calendar year that contains the final day of the electing city  partner-
     6  ship's or electing city resident S corporation's taxable year.
     7    (b)  Certification  of  eligibility.  Every  return  filed pursuant to
     8  subsection (a) of this section shall include, in a format as  prescribed
     9  by  the commissioner, a certification by an individual authorized to act
    10  on behalf of the electing city partnership or electing city  resident  S
    11  corporation  that  such electing city partnership or electing city resi-
    12  dent S corporation:
    13    (1) Made a timely, valid election to be subject  to  tax  pursuant  to
    14  this article; and
    15    (2) That all statements contained therein are true.
    16    (c) Information on the electing city partnership return. Each electing
    17  city partnership shall report on such return:
    18    (1) Any tax due pursuant to this article. The balance of any tax shown
    19  on  such  return,  not previously paid as installments of estimated tax,
    20  shall be paid with such return;
    21    (2) Identifying information of all partners  and/or  members  who  are
    22  city  taxpayers  and  eligible  to  receive a credit pursuant to section
    23  eight hundred seventy of this article;
    24    (3) Each partner's and/or member's direct  share  of  the  city  pass-
    25  through entity tax imposed on the electing city partnership;
    26    (4)  Each  partner's  and/or  member's  distributive share of the city
    27  pass-through entity taxable income calculated pursuant to paragraph  one
    28  of subsection (b) of section eight hundred sixty-seven of this article;
    29    (5)  The  classification, as applicable, of each partner and/or member
    30  as a city resident individual for purposes of calculating  the  electing
    31  city partnership's city pass-through entity taxable income; and
    32    (6) Any other information as required by the commissioner.
    33    (d)  Information  on electing city resident S corporation return. Each
    34  electing city resident S corporation shall report on such return:
    35    (1) Any tax due pursuant to this article. The balance of any tax shown
    36  on such return, not previously paid as installments  of  estimated  tax,
    37  shall be paid with such return;
    38    (2) Identifying information of all shareholders who are city taxpayers
    39  and  eligible  to  receive  a  credit  pursuant to section eight hundred
    40  seventy of this article;
    41    (3) Each shareholder's direct share of  the  pass-through  entity  tax
    42  imposed on the electing city resident S corporation;
    43    (4)  Each  shareholder's  distributive  share of the city pass-through
    44  entity taxable income calculated pursuant to paragraph two of subsection
    45  (b) of section eight hundred sixty-seven of this article; and
    46    (5) Any other information as required by the commissioner.
    47    (e) Special rules for partners,  members  and  shareholders  that  are
    48  disregarded  entities.  To  meet  the  requirements  of paragraph two of
    49  subsection (c) of this section for an electing city partnership or para-
    50  graph two of subsection (d) of this section for an electing  city  resi-
    51  dent S corporation, the electing city partnership or electing city resi-
    52  dent  S corporation must provide information sufficient to identify both
    53  the disregarded entity that is a partner, member and/or shareholder  and
    54  the  city taxpayer eligible for a credit under subsection (a) of section
    55  eight hundred seventy of this article.

        S. 8009--C                         82                         A. 9009--C
 
     1    (f) Extensions and  amendments.  (1)  The  commissioner  may  grant  a
     2  reasonable extension of time for payment of tax or estimated tax (or any
     3  installment),  or  for  filing  any return, statement, or other document
     4  required pursuant to this article, on such terms and  conditions  as  it
     5  may require. No such extension for filing any return, statement or other
     6  document, shall exceed six months.
     7    (2)  No  amended  returns. Once a return has been filed by an electing
     8  city partnership or electing city resident S corporation, it may not  be
     9  amended  without  the  consent of or otherwise authorized by the commis-
    10  sioner.
    11    (g) Information provided to partners. Each electing  city  partnership
    12  subject to tax under this article shall report to each partner or member
    13  the following:
    14    (1)  Classification,  as applicable, as a city resident individual for
    15  purposes of calculating  the  electing  city  partnership's  city  pass-
    16  through entity taxable income;
    17    (2)  Direct  share  of the city pass-through entity tax imposed on the
    18  electing city partnership; and
    19    (3) Any other information as required by the commissioner.
    20    (h) Information provided to shareholders. Each electing city  resident
    21  S  corporation  subject  to  tax under this article shall report to each
    22  shareholder the following:
    23    (1) The shareholder's direct share  of  the  pass-through  entity  tax
    24  imposed on the electing city resident S corporation; and
    25    (2) Any other information as required by the commissioner.
    26    §  873.  Procedural  and  administrative  provisions. (a) General. All
    27  provisions of article twenty-two of  this  chapter  will  apply  to  the
    28  provisions  of  this  article in the same manner and with the same force
    29  and effect as if the language of article twenty-two of this chapter  had
    30  been  incorporated  in  full into this article and had been specifically
    31  adjusted for and expressly referred to the tax imposed by this  article,
    32  except  to  the  extent that any provision is either inconsistent with a
    33  provision of this article or is not relevant to this  article.  Notwith-
    34  standing  the preceding sentence, no credit authorized to offset the tax
    35  imposed pursuant to article twenty-two of  this  chapter  or  authorized
    36  pursuant  to section thirteen hundred ten of this chapter can be used to
    37  offset the tax due pursuant to this article.
    38    (b) Notwithstanding any other law to the  contrary,  the  commissioner
    39  may  require  that  any form or return required pursuant to this article
    40  must be filed electronically and any payment of tax must be  paid  elec-
    41  tronically.
    42    (c)  Liability  for  tax. (1) An electing city partnership or electing
    43  city resident S corporation shall be liable for the tax due pursuant  to
    44  this article.
    45    (2) Except as provided in paragraph three of this subsection, any city
    46  taxpayer  eligible  to  claim a credit authorized pursuant to subsection
    47  (g) of section thirteen hundred ten of this chapter because such taxpay-
    48  er is a partner or member in an electing city partnership  or  a  share-
    49  holder  in  an  electing city resident S corporation, either directly or
    50  through a disregarded entity, shall be severally liable for such taxpay-
    51  er's direct share of city pass-through entity tax to the extent the  tax
    52  due  pursuant  to this article is not paid by the electing city partner-
    53  ship or electing city resident S corporation.
    54    (3) Any city taxpayer eligible to claim a credit  authorized  pursuant
    55  to  subsection  (g)  of  section  thirteen  hundred  ten of this chapter
    56  because such taxpayer is a partner or member in an electing  city  part-

        S. 8009--C                         83                         A. 9009--C
 
     1  nership  or  a  shareholder  in an electing city resident S corporation,
     2  either directly or through a disregarded  entity,  that  is  a  general,
     3  managing  or  controlling  partner  of  the electing city partnership or
     4  managing  or  controlling  shareholder  of  the electing city resident S
     5  corporation, or owns greater than fifty  percent  of  the  interests  or
     6  profits  of  the  electing  city partnership or electing city resident S
     7  corporation, or is under a duty to act for the electing city partnership
     8  or electing city resident S corporation in complying with the provisions
     9  of this article, or was the individual that made the election on  behalf
    10  of the electing city partnership or electing city resident S corporation
    11  authorized  by  section eight hundred sixty-eight of this article, shall
    12  be jointly and severally liable for the tax  imposed  pursuant  to  this
    13  article  on  such  electing city partnership or electing city resident S
    14  corporation.
    15    (d) Deposit and disposition of revenue. All  taxes,  interest,  penal-
    16  ties,  and  fees  collected  or received by the commissioner pursuant to
    17  this article shall be deposited and disposed of in the manner set  forth
    18  by  article  thirty  of  this chapter for taxes imposed pursuant to such
    19  article, including but not limited to provisions of such article  relat-
    20  ing to payments to the New York city transitional finance authority.
    21    (e) Secrecy provision. All the provisions of paragraphs one and two of
    22  subsection  (e) of section six hundred ninety-seven of this chapter will
    23  apply to the provisions of this article. Notwithstanding any  provisions
    24  of  this chapter to the contrary, the commissioner may disclose informa-
    25  tion and returns regarding  the  calculation  and  payment  of  the  tax
    26  imposed by this article and any credit calculated on taxes paid pursuant
    27  to  this  article  by  an  electing city partnership or an electing city
    28  resident S corporation to a partner, member or shareholder of such enti-
    29  ty that is eligible for or claims to be  eligible  for  a  credit  under
    30  subsection (a) of section eight hundred seventy of this article.
    31    (f)  The  comptroller  shall  retain  in  the comptroller's hands such
    32  amount as the  commissioner  may  determine  necessary  for  refunds  in
    33  respect  to the taxes imposed pursuant to the authority of this article,
    34  out of which the comptroller shall pay any  refunds  of  such  taxes  to
    35  which  taxpayers shall be entitled under any law enacted pursuant to the
    36  authority of this article.
    37    § 2. Subsection (b) of section 612 of the tax law is amended by adding
    38  a new paragraph 43-a to read as follows:
    39    (43-a) City pass-through entity tax deduction addback. In the case  of
    40  a  taxpayer  who claims a credit allowed under subsection (g) of section
    41  thirteen hundred ten of this chapter, an amount equal to the  amount  of
    42  such credit.
    43    § 3. Section 1310 of the tax law is amended by adding a new subsection
    44  (g) to read as follows:
    45    (g)  Credit  for city pass-through entity tax. (1) A taxpayer who is a
    46  partner or member of an electing city partnership and a taxpayer  share-
    47  holder  of  an electing city resident S corporation subject to tax under
    48  article twenty-four-B of this chapter shall  be  entitled  to  a  credit
    49  against  the  tax  imposed  pursuant to the authority of this article as
    50  provided in this subsection. For purposes of this subsection, the  terms
    51  "electing  city  partnership,"  "electing  city resident S corporation,"
    52  "city pass-through entity tax," and "direct share of  city  pass-through
    53  entity  tax"  shall  have  the same meanings provided in article twenty-
    54  four-B of this chapter.
    55    (2) The amount of the credit shall be equal to the partner's, member's
    56  or shareholder's direct share of the city pass-through entity tax.

        S. 8009--C                         84                         A. 9009--C
 
     1    (3) If a taxpayer is a partner, member or shareholder in more than one
     2  electing city partnership and/or electing city  resident  S  corporation
     3  that  is  subject to tax pursuant to article twenty-four-B of this chap-
     4  ter, the amount of the credit of such taxpayer shall be equal to the sum
     5  of  the  amounts of such credits calculated pursuant to paragraph two of
     6  this subsection with regard to each entity in which such taxpayer has  a
     7  direct ownership interest.
     8    (4)  If the amount of the credit allowable pursuant to this subsection
     9  for any taxable year exceeds the tax due for such year pursuant to  this
    10  article,  the  excess  amount  shall be treated as an overpayment, to be
    11  credited or refunded, without interest.
    12    (5) Limitation on credit. No credit shall be  allowed  to  a  taxpayer
    13  under  this  subsection unless the electing city partnership or electing
    14  city resident S corporation provided sufficient information to  identify
    15  such  taxpayer  on  its  city pass-through entity tax return as required
    16  under paragraph two of subsection (c) of section eight hundred  seventy-
    17  two of this chapter for an electing city partnership or paragraph two of
    18  subsection  (d) of section eight hundred seventy-two of this chapter for
    19  an electing city resident S corporation. The credit allowed to a taxpay-
    20  er under this subsection shall not exceed the direct share of city pass-
    21  through entity tax reported by such electing city partnership or  elect-
    22  ing  city  resident  S corporation attributable to such taxpayer on such
    23  electing city partnership or  electing  city  resident  S  corporation's
    24  return filed pursuant to section eight hundred seventy-two of this chap-
    25  ter.
    26    §  4.  Subsection  (b)  of  section 1313 of the tax law, as amended by
    27  section 8 of part C of chapter 58 of the laws of  2005,  is  amended  to
    28  read as follows:
    29    (b)  The  comptroller  shall  retain  in  the comptroller's hands such
    30  amount as the commissioner may determine to be necessary for refunds  in
    31  respect  to  the taxes imposed pursuant to the authority of this article
    32  or former article two-E of the general city law and for reasonable costs
    33  of the commissioner in administering, collecting and  distributing  such
    34  taxes  and  the  tax  imposed  pursuant to article twenty-four-B of this
    35  chapter, out of which the comptroller shall  pay  any  refunds  of  such
    36  taxes  to which taxpayers shall be entitled under any law enacted pursu-
    37  ant to the authority of this article or  former  article  two-E  of  the
    38  general city law.
    39    §  5. Subdivision 15 of section 2799-bb of the public authorities law,
    40  as added by chapter 16 of the laws  of  1997,  is  amended  to  read  as
    41  follows:
    42    15.  "Tax  revenues"  means the taxes paid or payable to the authority
    43  pursuant to subsection (d) of section eight  hundred  seventy-three,  or
    44  section  thirteen hundred thirteen, of the tax law and such other reven-
    45  ues as the authority may derive  directly  from  the  state  from  taxes
    46  imposed by the city or the state and collected by the state.
    47    §  6.  Subdivision 5 of section 2799-hh of the public authorities law,
    48  as added by chapter 16 of the laws  of  1997,  is  amended  to  read  as
    49  follows:
    50    5.  Tax  revenues received by the authority pursuant to subsection (d)
    51  of section eight hundred  seventy-three,  or  section  thirteen  hundred
    52  thirteen,  of  the  tax  law,  together  with  any  alternative revenues
    53  received by the authority, shall be applied in the  following  order  of
    54  priority:  first pursuant to the authority's contracts with bondholders,
    55  then to pay the authority's operating expenses  not  otherwise  provided
    56  for,  and  then  pursuant  to  the authority's agreements with the city,

        S. 8009--C                         85                         A. 9009--C
 
     1  which agreements shall require the authority to transfer the balance  of
     2  such  taxes not required to meet contractual or other obligations of the
     3  authority to the city as frequently as practicable.
     4    §  7.  Section  2799-ii  of  the public authorities law, as amended by
     5  section 8 of part A of chapter 88 of the laws of  2000,  is  amended  to
     6  read as follows:
     7    §  2799-ii. Agreement with the state. The state does hereby pledge and
     8  agree with the holders of any issue of bonds  and/or  bond  anticipation
     9  notes  secured  by  such a pledge that the state will not limit or alter
    10  the rights hereby vested in the authority to fulfill the  terms  of  any
    11  agreements  made with such holders pursuant to this title, or in any way
    12  impair the rights and remedies of such holders or the security for  such
    13  bonds and/or bond anticipation notes until such bonds and/or bond antic-
    14  ipation  notes,  together  with  the  interest thereon and all costs and
    15  expenses in connection with any action or proceeding by or on behalf  of
    16  such  holders,  are fully paid and discharged. Nothing contained in this
    17  section shall be deemed to restrict the right of  the  state  to  amend,
    18  modify,  repeal  or otherwise alter statutes imposing or relating to the
    19  taxes payable to the authority pursuant to  subsection  (d)  of  section
    20  eight hundred seventy-three and section thirteen hundred thirteen of the
    21  tax law, but such taxes shall in all events continue to be so payable so
    22  long  as  any such taxes are imposed. Not less than thirty days prior to
    23  the beginning of each city fiscal year, the chairperson of the authority
    24  shall certify to the state comptroller, the governor, and the members of
    25  the board of directors of the authority a  schedule  of  maximum  annual
    26  debt service payments due on the bonds and notes of the corporation then
    27  outstanding. To the extent that the tax revenues payable to the authori-
    28  ty  under  subsection  (d)  of  section  eight hundred seventy-three and
    29  section thirteen hundred thirteen of the tax law during such fiscal year
    30  are projected by the mayor to be  insufficient  to  meet  at  least  one
    31  hundred  fifty percent of maximum annual debt service on authority bonds
    32  then outstanding, the mayor shall so notify the  state  comptroller  and
    33  the state comptroller shall pay to the authority from alternative reven-
    34  ues  such  amount  as is necessary to provide at least one hundred fifty
    35  percent of the maximum annual debt service; provided, however, that  for
    36  so  long as any indebtedness of the municipal assistance corporation for
    37  the city of New York remains outstanding no  alternative  revenues  that
    38  are,  as  of  the effective date of this title, or may in the future be,
    39  required to be deposited in the municipal  assistance  tax  fund  estab-
    40  lished under section ninety-two-d of the state finance law shall be paid
    41  to  the  authority except out of funds that are otherwise required to be
    42  paid to the city under such section of the state finance law. Nothing in
    43  this section shall be deemed to obligate the state  to  make  any  addi-
    44  tional  payments  or  impose any taxes to satisfy the debt service obli-
    45  gations of the authority.
    46    § 8. Section 2799-jj of the public authorities law, as added by  chap-
    47  ter 16 of the laws of 1997, is amended to read as follows:
    48    §  2799-jj. Agreement with the city.  The city is authorized to pledge
    49  and agree with the holders of any issue  of  bonds  and/or  bond  antic-
    50  ipation  notes  secured by such a pledge that the city will not limit or
    51  alter the rights hereby vested in the authority to fulfill the terms  of
    52  any  agreements made with such holders pursuant to this title, or in any
    53  way impair the rights and remedies of such holders or the  security  for
    54  such  bonds  and/or bond anticipation notes until such bonds and/or bond
    55  anticipation notes, together with the interest thereon and all costs and
    56  expenses in connection with any action or proceeding by or on behalf  of

        S. 8009--C                         86                         A. 9009--C
 
     1  such  holders, are fully paid and discharged.  Nothing contained in this
     2  section shall be deemed to restrict any  right  the  city  may  have  to
     3  amend,  modify or otherwise alter local laws imposing or relating to the
     4  taxes  payable  to  the  authority pursuant to subsection (d) of section
     5  eight hundred seventy-three or section thirteen hundred thirteen of  the
     6  tax  law so long as, after giving effect to such amendment, modification
     7  or other alteration, the amount of tax revenues projected by  the  mayor
     8  to be available to the authority during each of its fiscal years follow-
     9  ing  the  effective date of such amendment, modification or other alter-
    10  ation shall be not less than one hundred fifty percent of maximum annual
    11  debt service on authority bonds then outstanding.
    12    § 9. Subparagraph 3 of paragraph  (b)  of  subdivision  8  of  section
    13  11-602 of the administrative code of the city of New York, as amended by
    14  chapter 525 of the laws of 1988, is amended to read as follows:
    15    (3)  taxes  on or measured by profits or income paid or accrued to the
    16  United States, any of its possessions or to any foreign country, includ-
    17  ing taxes in lieu of any of  the  foregoing  taxes  otherwise  generally
    18  imposed  by  any  foreign  country  or  by  any possession of the United
    19  States, or taxes on or measured by profits or income paid or accrued  to
    20  the  state  or  any subdivision thereof, including taxes paid or accrued
    21  under article nine, nine-A, thirteen-A, twenty-four-A, twenty-four-B  of
    22  the  tax  law or under article thirty-two of the tax law as such article
    23  was in effect on December thirty-first, two thousand fourteen,
    24    § 10. Paragraph 2 of subdivision (b) of section 11-641 of the adminis-
    25  trative code of the city of New York, as amended by section 6 of part  D
    26  of chapter 60 of the laws of 2015, is amended to read as follows:
    27    (2)  taxes  on or measured by income or profits paid or accrued within
    28  the taxable year to the United States, or any of its possessions  or  to
    29  any  foreign  country  [and],  taxes on or measured by income or profits
    30  paid or accrued to the state or any subdivision thereof, including taxes
    31  imposed under article nine, nine-A, thirteen-A,  twenty-four-A,  twenty-
    32  four-B  of  the  tax  law, or under article thirty-two of the tax law as
    33  such article was in effect on December thirty-first, two thousand  four-
    34  teen and any tax imposed under this part or subchapter two or three-A of
    35  this chapter;
    36    §  11.  Section  11-1706 of the administrative code of the city of New
    37  York is amended by adding a new subdivision (g) to read as follows:
    38    (g) Credit for city pass-through entity tax. (1) A taxpayer who  is  a
    39  partner  or member of an electing city partnership and a taxpayer share-
    40  holder of an electing city resident S corporation subject to  tax  under
    41  article  twenty-four-B  of  the  tax  law  shall be entitled to a credit
    42  against the tax imposed by such article. For purposes of  this  subdivi-
    43  sion,  the  terms "electing city partnership," "electing city resident S
    44  corporation," "city pass-through entity tax," and "direct share of  city
    45  pass-through entity tax" shall have the same meanings as used in article
    46  twenty-four-B of the tax law.
    47    (2) The amount of the credit shall be equal to the partner's, member's
    48  or shareholder's direct share of the city pass-through entity tax.
    49    (3) If a taxpayer is a partner, member or shareholder in more than one
    50  electing  city  partnership  and/or electing city resident S corporation
    51  that is subject to tax pursuant to article twenty-four-B of the tax law,
    52  the amount of the credit of such taxpayer shall be equal to the  sum  of
    53  the amounts of such credits calculated pursuant to paragraph two of this
    54  subdivision  with  regard  to  each  entity in which such taxpayer has a
    55  direct ownership interest.

        S. 8009--C                         87                         A. 9009--C
 
     1    (4) If the amount of the credit allowable pursuant to this subdivision
     2  for any taxable year exceeds the tax due for such year pursuant to arti-
     3  cle twenty-four-B of the tax law, the excess amount shall be treated  as
     4  an overpayment, to be credited or refunded, without interest.
     5    (5)  Limitation  on  credit.  No credit shall be allowed to a taxpayer
     6  under this subdivision unless the electing city partnership or  electing
     7  city  resident S corporation provided sufficient information to identify
     8  such taxpayer on its city pass-through entity  tax  return  as  required
     9  under  paragraph two of subsection (c) of section eight hundred seventy-
    10  two of the tax law for an electing city partnership or paragraph two  of
    11  subsection  (d)  of section eight hundred seventy-two of the tax law for
    12  an electing city resident S corporation. The credit allowed to a taxpay-
    13  er under this subdivision shall not exceed  the  direct  share  of  city
    14  pass-through  entity  tax  reported by such electing city partnership or
    15  electing city resident S corporation attributable to  such  taxpayer  on
    16  such electing city partnership's or such electing city resident S corpo-
    17  ration's  return  filed pursuant to section eight hundred seventy-two of
    18  the tax law.
    19    § 12. This act shall take effect immediately and shall apply to  taxa-
    20  ble years beginning on or after January 1, 2023; provided, however, that
    21  subparagraph  3  of  paragraph (b) of subdivision 8 of section 11-602 of
    22  the administrative code of the city of New York as  amended  by  section
    23  nine of this act and paragraph 2 of subdivision (b) of section 11-641 of
    24  the  administrative  code  of the city of New York as amended by section
    25  ten of this act other than the amendments in those sections relating  to
    26  article  24-B of the tax law, shall be deemed to have been in full force
    27  and effect on and after January 1, 2021.
    28    § 2. This act shall take effect immediately  provided,  however,  that
    29  the  applicable  effective date of Subparts A and B of this act shall be
    30  as specifically set forth in the last section of such Subparts.
 
    31                                   PART NN
 
    32    Section 1. Subsection (c-1) of section 606 of the tax law  is  amended
    33  by adding a new paragraph 4 to read as follows:
    34    (4)  (A)  For tax year two thousand twenty-one, the commissioner shall
    35  issue a payment of a supplemental  empire  state  child  credit  in  the
    36  amount  of  (i)  one  hundred  percent  of the empire state child credit
    37  calculated and allowed pursuant to this subsection  to  taxpayers  whose
    38  federal  adjusted  gross income was less than ten thousand dollars; (ii)
    39  seventy-five percent of the empire state  child  credit  calculated  and
    40  allowed  pursuant to this subsection to taxpayers whose federal adjusted
    41  gross income was greater than or equal to ten thousand dollars but  less
    42  than  twenty-five  thousand  dollars;  (iii) fifty percent of the empire
    43  state child credit calculated and allowed pursuant to this subsection to
    44  taxpayers whose federal adjusted gross income was greater than or  equal
    45  to  twenty-five  thousand  dollars but less than fifty thousand dollars;
    46  and (iv) twenty-five percent of the empire state child credit calculated
    47  and allowed pursuant to  this  subsection  to  taxpayers  whose  federal
    48  adjusted  gross  income  was  greater  than  or  equal to fifty thousand
    49  dollars. Provided, however, that no payment shall be  issued  if  it  is
    50  less than twenty-five dollars.
    51    (B)  The  supplemental  payment  pursuant  to  this  paragraph will be
    52  allowed to taxpayers who timely filed returns pursuant  to  section  six
    53  hundred  fifty-one of this article, determined with regard to extensions
    54  pursuant to section sex hundred fifty-seven of this article.

        S. 8009--C                         88                         A. 9009--C
 
     1    § 2. Subsection (d) of section 606 of the tax law is amended by adding
     2  a new paragraph 8 to read as follows:
     3    (8) For tax year two thousand twenty-one, the commissioner shall issue
     4  a payment of a supplemental earned income tax credit to resident taxpay-
     5  ers in the amount of twenty-five percent of the earned income tax credit
     6  calculated and allowed pursuant to this subsection. Such payment will be
     7  allowed  to  resident  taxpayers  who  timely  filed returns pursuant to
     8  section six hundred fifty-one of this article, determined with regard to
     9  extensions pursuant to section six hundred fifty-seven of this  article.
    10  Provided,  however,  that  no payment shall be issued if it is less than
    11  twenty-five dollars.
    12    § 3. Subsection (d-1) of section 606 of the  tax  law  is  amended  by
    13  adding a new paragraph 9 to read as follows:
    14    (9) For tax year two thousand twenty-one, the commissioner shall issue
    15  a  payment  of  a  supplemental enhanced earned income tax credit in the
    16  amount of twenty-five percent of the enhanced earned income  tax  credit
    17  calculated and allowed pursuant to this subsection. Such payment will be
    18  allowed  to  taxpayers  who timely filed returns pursuant to section six
    19  hundred fifty-one of this article, determined with regard to  extensions
    20  pursuant  to section six hundred fifty-seven of this article.  Provided,
    21  however, that no payment shall be issued if it is less than  twenty-five
    22  dollars.
    23    § 4. This act shall take effect immediately.
 
    24                                   PART OO
 
    25    Section  1.  The tax law is amended by adding a new section 45 to read
    26  as follows:
    27    § 45. Empire state digital gaming media production credit. (a)  Allow-
    28  ance  of  credit.  (1)  A  taxpayer  which  is  a  digital  gaming media
    29  production entity engaged in qualified digital gaming media  production,
    30  or  who is a sole proprietor of or a member of a partnership, which is a
    31  digital gaming media production  entity  engaged  in  qualified  digital
    32  gaming  media  production, and is subject to tax under article nine-A or
    33  twenty-two of this chapter, shall be allowed a credit against  such  tax
    34  to  be  computed  as  provided  herein for taxable years beginning on or
    35  after January first, two thousand twenty-three and before January first,
    36  two thousand twenty-eight.
    37    (2) The amount of the credit shall be the product (or pro  rata  share
    38  of the product, in the case of a taxpayer who is a partner in a partner-
    39  ship, member of a limited liability company or shareholder in a subchap-
    40  ter  S  corporation)  of  twenty-five  percent and the qualified digital
    41  gaming media production costs of one or more  qualified  digital  gaming
    42  media productions.
    43    (3)  Qualified  digital  gaming media production costs for a qualified
    44  digital gaming media production incurred and  paid  in  this  state  but
    45  outside such metropolitan commuter transportation district as defined in
    46  section  twelve hundred sixty-two of the public authorities law shall be
    47  eligible for a credit of ten percent of such eligible  production  costs
    48  in  addition  to  the credit specified in paragraph two of this subdivi-
    49  sion.
    50    (4) All applicants to this program are required,  as  a  condition  of
    51  receiving  the  credit,  to  include in the credits of each digital game
    52  development media production language and a logo to be provided  by  the
    53  governor's  office of motion picture and television development acknowl-
    54  edging the state's role in the creation of the production.

        S. 8009--C                         89                         A. 9009--C
 
     1    (5) A qualified digital gaming media production that has  applied  for
     2  credit  under  the  provisions of this section shall, as a condition for
     3  the granting of the credit, file a diversity plan with the department of
     4  economic development outlining specific goals for hiring a diverse work-
     5  force.  The  commissioner of economic development shall promulgate regu-
     6  lations implementing the requirements of this paragraph, which, notwith-
     7  standing any provisions to the  contrary  in  the  state  administrative
     8  procedure  act,  may be adopted on an emergency basis, to ensure compli-
     9  ance with the provisions of this paragraph. The department  of  economic
    10  development  shall review each submitted plan as to whether it meets the
    11  requirements established by the commissioner  of  economic  development,
    12  and  shall  verify that the applicant has met or made good-faith efforts
    13  in achieving these goals.
    14    (b) Allocation of credit. The aggregate amount of tax credits  allowed
    15  under  this section, subdivision fifty-five of section two hundred ten-B
    16  and subsection (nnn) of section six hundred six of this chapter  in  any
    17  taxable  year shall be five million dollars.  Such credit shall be allo-
    18  cated by the department of economic development  in  order  of  priority
    19  based  upon  the date of filing an application for allocation of digital
    20  gaming media production credit with such office. If the total amount  of
    21  allocated  credits applied for in any particular year exceeds the aggre-
    22  gate amount of tax credits allowed for such  year  under  this  section,
    23  such excess shall be treated as having been applied for on the first day
    24  of the subsequent taxable year.
    25    (c) Definitions. As used in this section:
    26    (1)  "Qualified digital gaming media production" means: (i) a website,
    27  the digital media production costs of which are paid or incurred  predo-
    28  minately  in  connection  with  (A)  video  simulation, animation, text,
    29  audio, graphics or similar gaming related property embodied  in  digital
    30  format,  and  (B)  interactive  features of digital gaming (e.g., links,
    31  message boards, communities or  content  manipulation);  (ii)  video  or
    32  interactive games produced primarily for distribution over the internet,
    33  wireless  network or successors thereto; and (iii) animation, simulation
    34  or embedded  graphics  digital  gaming  related  software  intended  for
    35  commercial  distribution  regardless  of medium; provided, however, that
    36  the qualified digital game development media  productions  described  in
    37  subparagraphs  (i)  through  (iii)  of  this paragraph must have digital
    38  media production costs  equal to or in excess of  one  hundred  thousand
    39  dollars  per  production.    A qualified digital gaming media production
    40  does not include a website, video, interactive game or software that  is
    41  used   predominately  for:  electronic  commerce  (retail  or  wholesale
    42  purposes other than the  sale  of  video  interactive  games),  gambling
    43  (including  activities  regulated by a New York gaming agency), or poli-
    44  tical advocacy purposes.
    45    (2) "Digital gaming media production costs" means any costs for  wages
    46  or  salaries paid to individuals, other than actors or writers, directly
    47  employed for  services  performed  by  those  individuals  directly  and
    48  predominantly  in  the  creation of a digital gaming media production or
    49  productions.  Up to one hundred thousand dollars in wages  and  salaries
    50  paid to such employees, other than actors and writers, directly employed
    51  shall  be  used in the calculation of this credit.  Digital gaming media
    52  production costs include but  shall  not  be  limited  to  payments  for
    53  services   performed  directly  and  predominantly  in  the  development
    54  (including concept  creation),  design,  production  (including  concept
    55  creation),  design,  production  (including testing), editing (including
    56  encoding) and compositing (including the integration  of  digital  files

        S. 8009--C                         90                         A. 9009--C

     1  for  interaction  by end users) of digital gaming media.  Digital gaming
     2  media production costs shall  not  include  expenses  incurred  for  the
     3  distribution,  marketing, promotion, or advertising content generated by
     4  end  users,  other  costs  not directly and predominantly related to the
     5  creation, production or modification of digital gaming  media  or  costs
     6  used  by  the  taxpayer  as  a basis of the calculation of any other tax
     7  credit allowed under this chapter.    In  addition,  salaries  or  other
     8  income  distribution related to the creation of digital gaming media for
     9  any person who serves in the role  of  chief  executive  officer,  chief
    10  financial officer, president, treasurer or similar position shall not be
    11  included  as digital gaming media production costs if the digital gaming
    12  media production entity has more then ten employees. Salaries  or  other
    13  income  to  a person serving in such a role for the digital gaming media
    14  production entity shall also not be included if the person was  employed
    15  by a related person of the digital gaming media production entity  with-
    16  in  sixty  months of the date the digital gaming media production entity
    17  applied for the tax credit certificate described in subdivision  (d)  of
    18  this  section.  For purposes of the preceding sentence, a related person
    19  shall have the same meaning as the term "related person" in section four
    20  hundred sixty-five of the  internal  revenue  code.    Furthermore,  any
    21  income or other distribution to any individual including, but not limit-
    22  ed  to,  licensing or royalty fees, who holds an ownership interest in a
    23  digital gaming media production entity, whether or not  such  individual
    24  is serving in the role of chief executive officer, chief financial offi-
    25  cer,  president, treasurer or similar position for such an entity, shall
    26  not be included as digital gaming media production costs.   Up  to  four
    27  million  dollars  in qualified digital gaming media production costs per
    28  production shall be used in the calculation of  this  credit.    Digital
    29  gaming  media    production  costs shall not include those costs used by
    30  the taxpayer or another taxpayer as the basis calculation of  any  other
    31  tax credit allowed under this chapter.
    32    (3)  "Qualified  digital  gaming media production costs" means digital
    33  gaming media production costs only to the extent such costs are  attrib-
    34  utable  to  the  use  of  property or the performance of services by any
    35  persons within the state directly and  predominantly  in  the  creation,
    36  production  or  modification of digital gaming related media. Such total
    37  production costs incurred and paid in this state shall be  equal  to  or
    38  exceed  seventy-five  percent  of  total  cost of an eligible production
    39  incurred and paid within and without this state.
    40    (4) "Digital gaming media  production  entity"  means  a  corporation,
    41  partnership,  limited  partnership or other entity or individual engaged
    42  in qualified digital game development media production.
    43    (d)  To  be  eligible  for  the  empire  state  digital  gaming  media
    44  production  credit, the taxpayer shall have been issued a certificate of
    45  tax credit by the department of economic development, which  certificate
    46  shall  set  forth  the  amount of the credit that may be claimed and the
    47  taxable year in which it shall be claimed. The taxpayer shall be allowed
    48  to claim only the amount listed on the certificate  of  tax  credit  for
    49  that  taxable  year.    In order to properly administer this credit, the
    50  department shall be allowed to exchange information with the  department
    51  of  economic  development  about  the  taxpayers  claiming  this credit,
    52  including information about the tax credits claimed.  A taxpayer that is
    53  a partner in a partnership, member of a  limited  liability  company  or
    54  shareholder  in  a  subchapter S corporation that has received a certif-
    55  icate of tax credit shall be allowed its pro rata share  of  the  credit
    56  earned  by  the  partnership,  limited liability company or subchapter S

        S. 8009--C                         91                         A. 9009--C
 
     1  corporation. The taxpayer shall claim the tax credit in the taxable year
     2  that begins in the year for which it  is  allocated  credit  under  this
     3  section.
     4    (e)  Cross-references.  For  application of the credit provided for in
     5  this section, see the following provisions of this chapter:
     6    (1) Article nine-A: section two hundred ten-B, subdivision fifty-five.
     7    (2) Article twenty-two: section six hundred six, subsection (i), para-
     8  graph one, subparagraph (B), clause (xlvi).
     9    (3) Article twenty-two: section six hundred six, subsection (nnn).
    10    § 2. Section 210-B of the tax law is amended by adding a new  subdivi-
    11  sion 55 to read as follows:
    12    55. Empire state digital gaming media production credit. (a) Allowance
    13  of  credit. A taxpayer who is eligible pursuant to section forty-five of
    14  this chapter shall be allowed a credit to be  computed  as  provided  in
    15  such  section forty-five against the tax imposed by this article.  Under
    16  no circumstances may a single taxpayer receive  more  than  one  million
    17  five hundred thousand dollars in tax credits per year.
    18    (b)  Application  of credit. The credit allowed under this subdivision
    19  for any taxable year shall not reduce the tax due for such year to  less
    20  than  the  amount  prescribed  in  paragraph  (d)  of subdivision one of
    21  section two hundred ten of this article. Provided, however, that if  the
    22  amount  of  the  credit allowable under this subdivision for any taxable
    23  year reduces the tax to such amount, the excess shall be treated  as  an
    24  overpayment  of  tax  to  be credited or refunded in accordance with the
    25  provisions of section one thousand eighty-six of this chapter, provided,
    26  however, no interest shall be paid thereon.
    27    § 3. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
    28  of  the  tax  law  is  amended  by adding a new clause (xlvi) to read as
    29  follows:
 
    30  (xlvi) Empire state digital          Amount of credit
    31  gaming media production              under subdivision
    32  credit under subsection (nnn)        fifty-five of section
    33                                       two hundred ten-B
    34    § 4. Section 606 of the tax law is amended by adding a new  subsection
    35  (nnn) to read as follows:
    36    (nnn)  Empire state digital gaming media production credit. (1) Allow-
    37  ance of credit. A taxpayer who is eligible pursuant  to  section  forty-
    38  five  of  this  chapter  shall  be  allowed  a  credit to be computed as
    39  provided in such section forty-five against  the  tax  imposed  by  this
    40  article.  Under no circumstances may a single taxpayer receive more than
    41  one million five hundred thousand dollars in tax credits per year.
    42    (2) Application of credit. If the amount of the credit allowable under
    43  this subsection for any taxable year exceeds the taxpayer's tax for such
    44  year, the excess shall be treated as an overpayment of tax to be credit-
    45  ed  or  refunded  as  provided in section six hundred eighty-six of this
    46  article, provided, however, that no interest shall be paid thereon.
    47    § 5. The state commissioner of economic development, after  consulting
    48  with  the  state  commissioner of taxation and finance, shall promulgate
    49  regulations by July 31, 2022 to establish procedures for the  allocation
    50  of  tax  credits as required by subdivision (a) of section 45 of the tax
    51  law. Such rules and regulations shall include provisions describing  the
    52  application  process, the due dates for such applications, the standards
    53  which shall be used to evaluate the applications, the documentation that
    54  will be provided to taxpayers by the department of economic development,
    55  to substantiate to the New York state department of taxation and finance

        S. 8009--C                         92                         A. 9009--C
 
     1  the amount of tax credits allocated to such taxpayers, under what condi-
     2  tions all or a portion of this tax credit may be revoked, and such other
     3  provisions as deemed  necessary  and  appropriate.  Notwithstanding  any
     4  other  provisions  to the contrary in the state administrative procedure
     5  act, such rules and regulations may be adopted on an emergency basis  if
     6  necessary to meet such July 31, 2022 deadline.
     7    §  6.  The economic development law is amended by adding a new section
     8  242 to read as follows:
     9    § 242. Reports on the digital gaming industries in New  York.  1.  The
    10  department  of  economic  development  shall file a report on a biannual
    11  basis with the director of the division of the  budget  and  the  chair-
    12  persons  of  the  assembly  ways  and means committee and senate finance
    13  committee. The report shall be filed no later than  thirty  days  before
    14  the  mid-point  and  the  end of the state fiscal year. The first report
    15  shall cover the calendar half year that begins  on  January  first,  two
    16  thousand  twenty-four.   Each report must contain the following informa-
    17  tion for the covered calendar half year:
    18    (a) the total dollar amount of credits allocated pursuant  to  section
    19  forty-five of the tax law during the half year, broken down by month;
    20    (b)  the  number of digital gaming projects, which have been allocated
    21  tax credits of less than one million dollars per project, and the  total
    22  dollar amount of credits allocated to those projects;
    23    (c)  the  number of digital gaming projects, which have been allocated
    24  tax credits of more than one  million  dollars,  and  the  total  dollar
    25  amount of credits allocated to those projects;
    26    (d)  a  list  of  each eligible digital gaming project and for each of
    27  those projects, (i) the estimated number of  employees  associated  with
    28  the  project, (ii) the estimated qualifying costs for the project, (iii)
    29  the estimated total costs of  the  project,  (iv)  the  credit  eligible
    30  employee  hours  for  each  project, and (v) total wages for such credit
    31  eligible employee hours for each project; and
    32    (e) (i) the name of each taxpayer allocated  a  tax  credit  for  each
    33  project  and  the  county of residence or incorporation of such taxpayer
    34  or, if the taxpayer does not reside or is not incorporated in New  York,
    35  the state of residence or incorporation; however, if the taxpayer claims
    36  a  tax  credit  because  the taxpayer is a member of a limited liability
    37  company, a partner in a partnership or a shareholder in a  subchapter  S
    38  corporation,  the name of each limited liability company, partnership or
    39  subchapter S corporation earning  any  of  those  tax  credits  must  be
    40  included  in the report instead of information about the taxpayer claim-
    41  ing the tax credit, (ii) the amount of  tax  credit  allocated  to  each
    42  taxpayer;  provided however, if the taxpayer claims a tax credit because
    43  the taxpayer is a member of a limited liability company, a partner in  a
    44  partnership  or  a shareholder in a subchapter S corporation, the amount
    45  of tax credit earned by each entity  must  be  included  in  the  report
    46  instead  of  information about the taxpayer claiming the tax credit, and
    47  (iii) information identifying the project associated with each  taxpayer
    48  for  which  a tax credit was claimed under section forty-five of the tax
    49  law.
    50    2. The department of economic development shall file  a  report  on  a
    51  triennial  basis with the director of the division of the budget and the
    52  chairpersons of the assembly ways and means committee and senate finance
    53  committee. The first report shall be filed no later  than  March  first,
    54  two  thousand twenty-five. The report must be prepared by an independent
    55  third party auditor and include: (a) information  regarding  the  empire
    56  state  digital gaming production credit program including the efficiency

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     1  of operations, reliability of financial reporting, compliance with  laws
     2  and  regulations  and  distribution of assets and funds; (b) an economic
     3  impact study prepared by an independent third party of the program;  and
     4  (c)  any  other  information or statistical information that the commis-
     5  sioner of economic development deems  to  be  useful  in  analyzing  the
     6  effects of the programs.
     7    3.  In  the event that this tax credit program is no longer legally in
     8  effect, the department shall not be  required  to  produce  the  reports
     9  referenced in subdivisions one and two of this section.
    10    § 7. This act shall take effect immediately and shall apply to taxable
    11  years beginning on and after January 1, 2023 and before January 1, 2028.
 
    12                                   PART PP
 
    13    Section  1.  Paragraph  (a) of subdivision 9 of section 208 of the tax
    14  law is amended by adding a new subparagraph 23 to read as follows:
    15    (23) The amount  of  any  federal  deduction  disallowed  pursuant  to
    16  section  280E of the internal revenue code related to the production and
    17  distribution of adult-use cannabis products, as defined by article twen-
    18  ty-C of this chapter, not used as the basis for any other tax deduction,
    19  exemption, or credit and not otherwise required  to  be  added  back  by
    20  paragraph (b) of this subdivision in computing entire net income.
    21    § 2. Subsection (c) of section 612 of the tax law is amended by adding
    22  a new paragraph 46 to read as follows:
    23    (46)  The  amount  of  any  federal  deduction  disallowed pursuant to
    24  section 280E of the internal revenue code related to the production  and
    25  distribution of adult-use cannabis products, as defined by article twen-
    26  ty-C of this chapter, not used as the basis for any other tax deduction,
    27  exemption,  or  credit  and  not  otherwise required to be added back by
    28  subsection (b) of this section in  computing  New  York  adjusted  gross
    29  income.
    30    § 3. This act shall take effect immediately and apply to taxable years
    31  beginning on and after January 1, 2022.
 
    32                                   PART QQ
 
    33    Section  1.  The  opening paragraph of subdivision 7 of section 221 of
    34  the racing, pari-mutuel wagering and breeding law, as separately amended
    35  by chapter 243 and section 1 of part CC of chapter 59  of  the  laws  of
    36  2020, is amended to read as follows:
    37    In  order  to  pay the costs of the insurance required by this section
    38  and by the workers' compensation law and to carry out its  other  powers
    39  and  duties  and  to  pay for any of its liabilities under section four-
    40  teen-a of the workers' compensation law,  the  New  York  Jockey  Injury
    41  Compensation  Fund, Inc. shall ascertain the total funding necessary and
    42  establish the sums that are to  be  paid  by  all  owners  and  trainers
    43  licensed  or required to be licensed under section two hundred twenty of
    44  this article, to obtain the total funding amount required  annually.  In
    45  order to provide that any sum required to be paid by an owner or trainer
    46  is  equitable,  the  fund shall establish payment schedules that reflect
    47  such  factors  as  are  appropriate,  including  where  applicable,  the
    48  geographic  location  of  the  racing  corporation at which the owner or
    49  trainer participates, the duration of such participation, the amount  of
    50  any purse earnings, the number of horses involved, or such other factors
    51  as the fund shall determine to be fair, equitable and in the best inter-
    52  ests  of  racing.  In no event shall the amount deducted from an owner's

        S. 8009--C                         94                         A. 9009--C
 
     1  share of purses exceed two percent; provided, however, [for two thousand
     2  twenty and two thousand twenty-one] through calendar year  two  thousand
     3  twenty-five,  the New York Jockey Injury Compensation Fund, Inc. may use
     4  up  to  two  million  dollars  from  the account established pursuant to
     5  subdivision nine of section two hundred eight of this article to pay the
     6  annual costs required by this section and the funds  from  such  account
     7  shall  not  count  against  the  two  percent of purses deducted from an
     8  owner's share of purses. The amount deducted from an  owner's  share  of
     9  purses  shall  not  exceed  one  percent after April first, two thousand
    10  twenty-four. In the cases of  multiple  ownerships  and  limited  racing
    11  appearances, the fund shall equitably adjust the sum required.
    12    §  2.  Paragraph  (a)  of  subdivision 9 of section 208 of the racing,
    13  pari-mutuel wagering and breeding law, as amended by section 2  of  part
    14  CC of chapter 59 of the laws of 2020, is amended to read as follows:
    15    (a)  The  franchised corporation shall maintain a separate account for
    16  all funds held on deposit in trust by  the  corporation  for  individual
    17  horsemen's  accounts.  Purse  funds  shall be paid by the corporation as
    18  required to meet its purse payment obligations. Funds held in horsemen's
    19  accounts shall only be released or applied as requested and directed  by
    20  the individual horseman. [For two thousand twenty and two thousand twen-
    21  ty-one]  Through  calendar  year  two  thousand twenty-five the New York
    22  Jockey Injury Compensation Fund, Inc. may use up to two million  dollars
    23  from  the  account  established  pursuant to this subdivision to pay the
    24  annual costs required by section two hundred twenty-one of this article.
    25    § 3. This act shall take effect immediately.
 
    26                                   PART RR
 
    27    Section 1. The tax law is amended by adding a new section 47  to  read
    28  as follows:
    29    § 47. Suspension of certain taxes on motor fuel and Diesel motor fuel.
    30  (a) Definitions. For purposes of this section:
    31    (1)  "Distributor" shall have the same meaning as that term is defined
    32  in subdivision one of section two hundred eighty-two of this chapter;
    33    (2) "Motor fuel" shall have the same meaning as that term  is  defined
    34  in subdivision two of section two hundred eighty-two of this chapter;
    35    (3)  "Diesel  motor  fuel"  shall  mean "highway diesel motor fuel" as
    36  defined in subdivision sixteen-a of section two  hundred  eighty-two  of
    37  this chapter;
    38    (4)  The  terms  "retail  sale",  "sale" and "use" shall have the same
    39  meanings as those terms are defined in section  eleven  hundred  one  of
    40  this chapter.
    41    (b) Notwithstanding any other law to the contrary, the following taxes
    42  shall  be suspended beginning on June first, two thousand twenty-two and
    43  ending on December thirty-first, two thousand twenty-two: (1) the  taxes
    44  imposed  on  Diesel motor fuel by subdivision one of section two hundred
    45  eighty-two-a, and sections two  hundred  eighty-two-b  and  two  hundred
    46  eighty-two-c  of  this  chapter;  (2) the taxes imposed on motor fuel by
    47  sections two hundred eighty-four,  two  hundred  eighty-four-a  and  two
    48  hundred  eighty-four-c  of this chapter; and (3) the prepaid sales taxes
    49  imposed on motor fuel and  Diesel  motor  fuel  by  subdivision  (a)  of
    50  section eleven hundred two of this chapter.
    51    (c)  Notwithstanding  any other law to the contrary, beginning on June
    52  first, two thousand twenty-two and ending on December thirty-first,  two
    53  thousand  twenty-two,  the state sales and use taxes imposed by sections
    54  eleven hundred five, eleven hundred nine and eleven hundred ten of  this

        S. 8009--C                         95                         A. 9009--C
 
     1  chapter  shall  not apply to sales or uses of motor fuel or Diesel motor
     2  fuel, and the provisions of subdivision (e), and paragraphs one and  two
     3  of  subdivision  (m)  of  section  eleven hundred eleven of this chapter
     4  shall  be suspended. Nothing in this subdivision shall affect the appli-
     5  cation of the taxes imposed pursuant to the authority of  article  twen-
     6  ty-nine of this chapter to motor fuel or Diesel motor fuel.
     7    (d)  The  taxes  described in subdivisions (b) and (c) of this section
     8  shall not be included in the price of motor fuel or  Diesel  motor  fuel
     9  sold for the period beginning on June first, two thousand twenty-two and
    10  ending  on  December thirty-first, two thousand twenty-two. Any retailer
    11  that purchases motor fuel or Diesel motor fuel during such  period  upon
    12  which  such taxes were previously paid and included in the price paid by
    13  such retailer shall be entitled to a refund or credit of such taxes.
    14    (e) Notwithstanding any other law to the contrary, beginning  on  June
    15  first,  two thousand twenty-two and ending on December thirty-first, two
    16  thousand twenty-two, the composite rates of tax applicable for  purposes
    17  of  subdivision  two of section five hundred three-a and subdivision (b)
    18  of section five hundred twenty-three of this chapter shall be determined
    19  without reference to the suspension of the taxes described  by  subdivi-
    20  sions  (b)  and  (c)  of  this  section, but shall be computed using the
    21  respective rates in effect on May thirty-first, two thousand twenty-two.
    22    (f) Notwithstanding any other provision of law to the contrary, on  or
    23  before the fifth day each month for the period beginning July, two thou-
    24  sand twenty-two and ending January, two thousand twenty-three, the comp-
    25  troller  shall, in consultation with the director of the division of the
    26  budget, transfer from the general fund to the mass transportation  oper-
    27  ating  assistance  fund  created  by section eighty-eight-a of the state
    28  finance law, the dedicated highway and bridge trust fund established  by
    29  section eighty-nine-b of such law, and the dedicated mass transportation
    30  trust  fund  established  by  section eighty-nine-c of such law, amounts
    31  equal to the revenue distributed to such funds from the taxes  described
    32  in  subdivisions  (b)  and  (c) of this section in state fiscal year two
    33  thousand twenty-one--two thousand twenty-two, adjusted by the change  in
    34  such  amounts  projected for state fiscal year two thousand twenty-two--
    35  two thousand twenty-three as if the suspension of  such  taxes  had  not
    36  occurred, as reflected in the state fiscal year two thousand twenty-two-
    37  -two thousand twenty-three enacted budget.
    38    (g)  Every  person  engaged in the retail sale of motor fuel or Diesel
    39  motor fuel or a  distributor  of  such  fuels,  shall  comply  with  the
    40  provisions of this section by reducing the prices charged for motor fuel
    41  and  Diesel  motor  fuel  in  an  amount equal to any reduction in taxes
    42  prepaid by the distributor or imposed on retail customers resulting from
    43  the suspension of taxes on motor fuel and Diesel motor fuel  under  this
    44  section.
    45    § 2. Paragraph 4 of subdivision (m) of section 1111 of the tax law, as
    46  amended  by section 1 of part M-1 of chapter 109 of the laws of 2006, is
    47  amended to read as follows:
    48    (4) Paragraph one of this subdivision shall not apply to the sales and
    49  compensating use taxes imposed by a local law, ordinance  or  resolution
    50  of  a municipality pursuant to the authority of subpart B of part one of
    51  article twenty-nine of this chapter, in regard to retail sales of  motor
    52  fuel and diesel motor fuel. The legislative body of such a municipality,
    53  by  local  law,  ordinance or resolution in exactly the form prepared by
    54  the commissioner, may elect that its sales and compensating  use  taxes,
    55  in  regard to the retail sale of motor fuel and diesel motor fuel, shall
    56  be computed, as determined by the commissioner, at a rate of  cents  per

        S. 8009--C                         96                         A. 9009--C
 
     1  gallon,  rounded  to  the nearest cent, equal to two [or], three or four
     2  dollars, as determined by the municipality, multiplied by the percentage
     3  rate of such taxes within the municipality.
     4    § 3. This act shall take effect immediately.
     5    § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
     6  sion,  section  or  part  of  this act shall be adjudged by any court of
     7  competent jurisdiction to be invalid, such judgment  shall  not  affect,
     8  impair,  or  invalidate  the remainder thereof, but shall be confined in
     9  its operation to the clause, sentence, paragraph,  subdivision,  section
    10  or part thereof directly involved in the controversy in which such judg-
    11  ment shall have been rendered. It is hereby declared to be the intent of
    12  the  legislature  that  this  act  would  have been enacted even if such
    13  invalid provisions had not been included herein.
    14    § 3. This act shall take effect immediately  provided,  however,  that
    15  the applicable effective date of Parts A through RR of this act shall be
    16  as specifically set forth in the last section of such Parts.
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