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.