Bill Text: NY S05744 | 2019-2020 | General Assembly | Amended


Bill Title: Establishes a tax credit for employment of an individual who has successfully completed a judicial diversion substance abuse treatment program or graduated from drug court.

Spectrum: Bipartisan Bill

Status: (Introduced) 2019-05-31 - PRINT NUMBER 5744A [S05744 Detail]

Download: New_York-2019-S05744-Amended.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                         5744--A

                               2019-2020 Regular Sessions

                    IN SENATE

                                      May 14, 2019
                                       ___________

        Introduced  by Sens. BENJAMIN, SEWARD -- read twice and ordered printed,
          and when printed to be committed to the Committee on Budget and Reven-
          ue -- committee discharged, bill amended, ordered reprinted as amended
          and recommitted to said committee

        AN ACT to amend the tax law, in relation to a tax credit for  employment
          of  an  individual who has successfully completed a judicial diversion
          program or graduated from a drug court

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

     1    Section  1.  Section  210-B  of the tax law is amended by adding a new
     2  subdivision 54 to read as follows:
     3    54. Credit for employment of individuals who have graduated from  drug
     4  court  or  have successfully completed a judicial diversion program. (a)
     5  Allowance of credit. A  taxpayer  shall  be  allowed  a  credit,  to  be
     6  computed  as  provided  in  this subdivision, against the tax imposed by
     7  this article, if it employs an individual who has  graduated  from  drug
     8  court  or has successfully completed a judicial diversion program pursu-
     9  ant to article two  hundred  sixteen  of  the  criminal  procedure  law,
    10  provided  that such individual is employed for thirty-five hours or more
    11  per week and remains in the employ of such taxpayer  for  a  minimum  of
    12  twelve months.
    13    (b)  Amount of credit. A credit authorized by this section shall equal
    14  three thousand dollars per  hired  individual  for  the  first  year  of
    15  employment  and  an  additional  one  thousand dollars if the individual
    16  remains in employ for an additional twelve months.
    17    (c) Application of credit. The credit allowed under  this  subdivision
    18  for  any taxable year shall not reduce the tax due for such year to less
    19  than the amount prescribed in paragraph (d) of subdivision one  of  this
    20  section.  If, however, the amount of credits allowed under this subdivi-
    21  sion for any taxable year reduces the tax to such amount, any amount  of
    22  credit  thus  not deductible in such taxable year shall be treated as an

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD11705-02-9

        S. 5744--A                          2

     1  overpayment of tax to be credited or refunded  in  accordance  with  the
     2  provisions of section one thousand eighty-six of this chapter. Provided,
     3  however, the provisions of subsection (c) of section one thousand eight-
     4  y-eight of this chapter notwithstanding, no interest shall be paid ther-
     5  eon.
     6    (d)  Credit  recapture.  For provisions requiring recapture of credit,
     7  see section forty-four of this chapter.
     8    § 2. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
     9  of  the  tax  law  is  amended  by  adding a new clause (xlv) to read as
    10  follows:
    11    (xlv) Employment of individuals     Amount of credit
    12    who have graduated from             under subdivision
    13    drug court or have                  fifty-four of section
    14    successfully completed              two hundred ten-B
    15    a judicial diversion program
    16    tax credit under
    17    subsection (kkk)
    18    § 3. Section 606 of the tax law is amended by adding a new  subsection
    19  (kkk) to read as follows:
    20    (kkk) Tax credit for employment of individuals who have graduated from
    21  drug  court or have successfully completed a judicial diversion program.
    22  (1) Allowance of credit. A taxpayer shall be allowed  a  credit,  to  be
    23  computed  as  provided  in  this subdivision, against the tax imposed by
    24  this article, if it employs an individual who has  graduated  from  drug
    25  court  or  who  has  successfully completed a judicial diversion program
    26  pursuant to article two hundred sixteen of the criminal  procedure  law,
    27  provided  that such individual is employed for thirty-five hours or more
    28  per week and remains in the employ of such taxpayer for twelve months.
    29    (2) Amount of credit. A credit authorized by this section shall  equal
    30  three  thousand  dollars  per  hired  individual  for  the first year of
    31  employment and an additional one  thousand  dollars  if  the  individual
    32  remains in employ for an additional twelve months.
    33    (3)  Application  of  credit. The credit allowed under this subsection
    34  for any taxable year shall not reduce the tax due for such year to  less
    35  than  the  higher  of the amount prescribed in paragraphs (c) and (d) of
    36  subdivision one of section two hundred  ten-B  of  this  chapter.    If,
    37  however,  the  amount  of credits allowed under this subdivision for any
    38  taxable year reduces the tax to such amount, any amount of  credit  thus
    39  not  deductible  in such taxable year shall be treated as an overpayment
    40  of tax to be credited or refunded in accordance with the  provisions  of
    41  section  one thousand eighty-six of this chapter. Provided, however, the
    42  provisions of subsection (c) of section  one  thousand  eighty-eight  of
    43  this chapter notwithstanding, no interest shall be paid thereon.
    44    (4)  Credit  recapture.  For provisions requiring recapture of credit,
    45  see section forty-four of this chapter.
    46    § 4. Section 1511 of the tax law is amended by adding a new subsection
    47  (ee) to read as follows:
    48    (ee) Credit for employment of individuals who have graduated from drug
    49  court or have successfully completed a judicial diversion  program.  (1)
    50  Allowance  of  credit.  A  taxpayer  shall  be  allowed  a credit, to be
    51  computed as provided in this subsection, against the tax imposed by this
    52  article, if it employs an individual who has graduated from  drug  court
    53  or  has  successfully completed a judicial diversion program pursuant to
    54  article two hundred sixteen of the criminal procedure law, provided that
    55  such individual is employed for thirty-five hours or more per  week  and
    56  remains in the employ of such taxpayer for a minimum of twelve months.

        S. 5744--A                          3

     1    (2)  Amount of credit. A credit authorized by this section shall equal
     2  three thousand dollars per  hired  individual  for  the  first  year  of
     3  employment  and  an  additional  one  thousand dollars if the individual
     4  remains in employ for an additional twelve months.
     5    (3)  Application  of  credit. The credit allowed under this subsection
     6  shall not reduce the tax due for such year to be less than  the  minimum
     7  fixed  by  paragraph  four of subdivision (a) of section fifteen hundred
     8  two or section fifteen hundred  two-a  of  this  article,  whichever  is
     9  applicable.  However,  if  the  amount  of the credit allowed under this
    10  subsection for any taxable year  reduces  the  taxpayer's  tax  of  such
    11  amount,  any  amount of credit thus not deductible will be treated as an
    12  overpayment of tax to be credited or refunded  in  accordance  with  the
    13  provisions of section one thousand eighty-six of this chapter. Provided,
    14  however,  the  provisions of subsection (c) of one thousand eighty-eight
    15  of this chapter notwithstanding, no interest shall be paid thereon.
    16    (4) Credit recapture. For provisions requiring  recapture  of  credit,
    17  see section forty-four of this chapter.
    18    § 5. This act shall take effect immediately and shall apply to taxable
    19  years beginning on or after January 1, 2020 and to employees hired on or
    20  after January 1, 2020.
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