TITLE OF BILL:
An act to amend the tax law, in relation to certain manufacturers
Adjust the calculation of various components of the wage tax credits
under subdivision (k) of section 606 of the tax law for certain
manufacturers certified in the empire zone.
SUMMARY OF PROVISIONS:
Section 1. Makes provisions for the calculation of the empire zone
wage tax credits under section 606(k) of the tax law for certain
Section 2. Effective date.
Empire zone enterprises are vital businesses within our communities
that encourage job growth and foster economic development. And, this
is especially true in areas of New York which have seen a steady loss
of manufacturing jobs in recent years. As an incentive to participate
in the Empire Zones Program, certified entities qualify for tax
credits and refunds. For example, under New York State tax law, an
empire zone enterprise that grows employment after its certification
date is entitled to certain wage tax credits based on the amount of
Businesses seeking to participate in the Empire Zones Program must be
certified by the local Zone Administrative Board before certification
by the State Department of Economic Development. The date of
designation of lands and certification of the company by the local
Zone Administrative Board is critical to the calculation of the wage
tax credits under the Program because the business must grow its
employment after established dates to receive these credits. This bill
would allow certain manufacturers who have complied with the spirit of
the law, and have relied on the wage tax credit as a significant
component of its budget, to receive five years of wage tax credits as
originally intended under the Empire Zones Program.
PRIOR LEGISLATIVE HISTORY:
This act shall take effect immediately and shall apply to taxable
years beginning on and after January 1, 2010.
S T A T E O F N E W Y O R K
2015-2016 Regular Sessions
I N A S S E M B L Y
January 16, 2015
Introduced by M. of A. MAGEE -- read once and referred to the Committee
on Ways and Means
AN ACT to amend the tax law, in relation to certain manufacturers
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
1 Section 1. Subsection (k) of section 606 of the tax law is amended by
2 adding a new paragraph 3-a to read as follows:
3 (3-A) IN THE CASE OF A MANUFACTURER: (I) THAT HAS ACQUIRED THE ASSETS
4 OF A PLASTICS MANUFACTURER PREVIOUSLY OPERATING IN NEW YORK STATE, (II)
5 IS CERTIFIED AS AN EMPIRE ZONE ENTERPRISE WITH AN EFFECTIVE DATE ON OR
6 AFTER JANUARY FIRST, TWO THOUSAND NINE, AND (III) EMPLOYS AN AVERAGE OF
7 MORE THAN THIRTY FULL-TIME EMPLOYEES EACH YEAR IN WHICH IT QUALIFIES FOR
8 A CREDIT UNDER THIS SUBSECTION, THEN, SUCH MANUFACTURER SHALL BE DEEMED
9 TO HAVE AN EMPLOYMENT NUMBER AS OF SUCH CERTIFIED ENTITY'S EMPIRE ZONE
10 DESIGNATION DATE OF ZERO; SHALL BE ELIGIBLE TO CLAIM WAGE TAX CREDITS
11 PROVIDED FOR BY THIS SUBSECTION FOR TAX YEAR TWO THOUSAND TEN AND THE
12 FOUR TAX YEARS THEN FOLLOWING; AND SHALL BE DEEMED TO BE A NEW BUSINESS
13 FOR PURPOSES OF THIS SUBSECTION FOR TAX YEAR TWO THOUSAND TEN AND THE
14 FOUR TAX YEARS THEN FOLLOWING.
15 S 2. This act shall take effect immediately and shall apply to all
16 taxable years beginning on or after January 1, 2010.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.