Relates to the creation of a meat processing facility development tax credit for taxpayers that demonstrate certain expenses were incurred as part of an effort to meet certain standards; such credit shall not exceed $250,000.
STATE OF NEW YORK
________________________________________________________________________
4875--A
2017-2018 Regular Sessions
IN SENATE
March 3, 2017
___________
Introduced by Sen. RITCHIE -- read twice and ordered printed, and when
printed to be committed to the Committee on Investigations and Govern-
ment Operations -- recommitted to the Committee on Investigations and
Government Operations in accordance with Senate Rule 6, sec. 8 --
committee discharged, bill amended, ordered reprinted as amended and
recommitted to said committee
AN ACT to amend the tax law, in relation to creating a meat processing
facility development tax credit
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The tax law is amended by adding a new section 44 to read
2 as follows:
3 § 44. Meat processing facility development tax credit. (a) Allowance
4 of credit. A taxpayer, who is subject to tax under article nine, nine-A,
5 or twenty-two of this chapter shall be allowed a refundable credit
6 against such tax to be computed as provided in this section, for the tax
7 imposed by this article for taxable years after January first, two thou-
8 sand nineteen.
9 (b) Value of credit. The amount of such credit shall be no more than
10 thirty percent of the funds expended as part of an eligible standard
11 established under subdivision (c) of this section, not to exceed two
12 hundred fifty thousand dollars per taxable year.
13 (c) Eligible standard. Taxpayers that wish to claim this credit shall
14 demonstrate that their expenses were incurred as part of an effort to
15 meet one of the following standards: adding smoked meat or sausage
16 production to their available protocols; implementing the "animal
17 welfare approved" production standard or standards relevant to their
18 facility; implementing the "certified humane" certification offered by
19 humane farm animal care; were expended to bring a facility in to compli-
20 ance with standards promulgated by the USDA food safety and inspection
21 service; or were expended while expanding a USDA inspected facility with
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD10258-03-8
S. 4875--A 2
1 a throughput of no more than ten bovine, thirty non-bovine livestock, or
2 sixty poultry per day.
3 (d) Application of credit. The credit allowed under this section for
4 any taxable year shall not reduce the tax due for such year to less than
5 the minimum tax fixed by this article. However, if the amount of credit
6 allowed under this section for any taxable year reduces the tax to such
7 amount, any amount of credit thus not deductible in such taxable year
8 shall be treated as an overpayment of tax to be credited or refunded in
9 accordance with the provisions of section one thousand eighty-six of
10 this chapter. Except as provided in subsection (c) of section one thou-
11 sand eighty-eight of this chapter, no interest shall be paid thereon.
12 § 2. The tax law is amended by adding a new section 187-q to read as
13 follows:
14 § 187-q. Meat processing facility development tax credit. (a) Allow-
15 ance of credit. A taxpayer, who is subject to tax under article nine,
16 nine-A, or twenty-two of this chapter shall be allowed a refundable
17 credit against such tax to be computed as provided in this section, for
18 the tax imposed by this article for taxable years after January first,
19 two thousand nineteen.
20 (b) Value of credit. The amount of such credit shall be no more than
21 thirty percent of the funds expended as part of an eligible standard
22 established under subdivision (c) of this section, not to exceed two
23 hundred fifty thousand dollars per taxable year.
24 (c) Eligible standard. Taxpayers that wish to claim this credit shall
25 demonstrate that their expenses were incurred as part of an effort to
26 meet one of the following standards: adding smoked meat or sausage
27 production to their available protocols; implementing the "animal
28 welfare approved" production standard or standards relevant to their
29 facility; implementing the "certified humane" certification offered by
30 humane farm animal care; were expended to bring a facility in to compli-
31 ance with standards promulgated by the USDA food safety and inspection
32 service; or were expended while expanding a USDA inspected facility with
33 a throughput of no more than ten bovine, thirty non-bovine livestock, or
34 sixty poultry per day.
35 (d) Application of credit. The credit allowed under this section for
36 any taxable year shall not reduce the tax due for such year to less than
37 the minimum tax fixed by this article. However, if the amount of credit
38 allowed under this section for any taxable year reduces the tax to such
39 amount, any amount of credit thus not deductible in such taxable year
40 shall be treated as an overpayment of tax to be credited or refunded in
41 accordance with the provisions of section one thousand eighty-six of
42 this chapter. Except as provided in subsection (c) of section one thou-
43 sand eighty-eight of this chapter, no interest shall be paid thereon.
44 § 3. Section 210-B of the tax law is amended by adding a new subdivi-
45 sion 53 to read as follows:
46 53. Meat processing facility development tax credit. (a) Allowance of
47 credit. A taxpayer, who is subject to tax under article nine, nine-A, or
48 twenty-two of this chapter shall be allowed a refundable credit against
49 such tax to be computed as provided in this subdivision, for the tax
50 imposed by this article for taxable years after January first, two thou-
51 sand nineteen.
52 (b) Value of credit. The amount of such credit shall be no more than
53 thirty percent of the funds expended as part of an eligible standard
54 established under subdivision (c) of this section, not to exceed two
55 hundred fifty thousand dollars per taxable year.
S. 4875--A 3
1 (c) Eligible standard. Taxpayers that wish to claim this credit shall
2 demonstrate that their expenses were incurred as part of an effort to
3 meet one of the following standards: adding smoked meat or sausage
4 production to their available protocols; implementing the "animal
5 welfare approved" production standard or standards relevant to their
6 facility; implementing the "certified humane" certification offered by
7 humane farm animal care; were expended to bring a facility in to compli-
8 ance with standards promulgated by the USDA food safety and inspection
9 service; or were expended while expanding a USDA inspected facility with
10 a throughput of no more than ten bovine, thirty non-bovine livestock, or
11 sixty poultry per day.
12 (d) 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 minimum tax fixed by this article. However, if the amount of
15 credit allowed under this subdivision for any taxable year reduces the
16 tax to such amount, any amount of credit thus not deductible in such
17 taxable year shall be treated as an overpayment of tax to be credited or
18 refunded in accordance with the provisions of section one thousand
19 eighty-six of this chapter. Except as provided in subsection (c) of
20 section one thousand eighty-eight of this chapter, no interest shall be
21 paid thereon.
22 § 4. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
23 of the tax law is amended by adding a new clause (xliv) to read as
24 follows:
25 (xliv) Meat processing facilityAmount of credit under
26 development tax credit undersubdivision fifty-three of
27 section forty-four of thissection two hundred ten-B
28 chapter
29 § 5. This act shall take effect January 1, 2019, and shall apply to
30 taxable years beginning on or after such date, and shall expire January
31 1, 2025 when upon such date the provisions of this act shall be deemed
32 repealed; provided, however, that effective immediately the addition,
33 amendment and/or repeal of any rule or regulation by the department of
34 agriculture and markets, in conjunction with the department of taxation
35 and finance that is necessary for the implementation of this act on its
36 effective date are authorized to be made and completed on or before such
37 effective date.
