Establishes a returning veterans tax credit for businesses that hire veterans and wounded veterans; such tax credit is worth $3,000 per veteran hired or $4,000 for every wounded veteran hired and the total benefit shall not exceed $15,000 annually.
STATE OF NEW YORK
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6024--C
IN SENATE(Prefiled)
January 4, 2012
___________
Introduced by Sens. GRISANTI, ALESI, BALL, DeFRANCISCO, GOLDEN, JOHNSON,
LARKIN, RANZENHOFER -- read twice and ordered printed, and when print-
ed to be committed to the Committee on Veterans, Homeland Security and
Military Affairs -- committee discharged, bill amended, ordered
reprinted as amended and recommitted to said committee -- reported
favorably from said committee and 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
AN ACT to amend the tax law, in relation to establishing a returning
veterans tax credit for businesses that hire veterans
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 210 of the tax law is amended by adding a new
2 subdivision 45 to read as follows:
3 45. Returning veterans tax credit. (a) General. A taxpayer shall be
4 allowed a credit, to be computed as provided in this subdivision,
5 against the tax imposed by this article for each veteran or wounded
6 veteran hired during a taxable year, provided that such:
7 (i) veteran is a new employee and is employed for thirty-five hours or
8 more per week and remains in the employ of such taxpayer for twelve
9 months or more.
10 (ii) wounded veteran is a new employee and is employed for seventeen
11 and one-half hours or more per week and remains in the employ of such
12 taxpayer for twelve months or more.
13 (b) Amount of credit. A credit authorized by this section shall equal
14 three thousand dollars per hired veteran and four thousand dollars per
15 hired wounded veteran but shall not exceed fifteen thousand dollars
16 annually.
17 (c) Carryovers. The credit allowed under this subdivision may be
18 claimed and if not fully used in the initial year for which the credit
19 is claimed may be carried over, in order, to each of the ten succeeding
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD13511-08-2
S. 6024--C 2
1 taxable years. The credit authorized by this subdivision may not be used
2 to reduce the tax liability of the credit claimant below zero.
3 (d) Definitions. As used in this subdivision, the following terms
4 shall have the following meanings:
5 (i) "New employee" shall mean any full time employee that causes the
6 total number of employees to increase above base employment or credit
7 employment, whichever is higher.
8 (ii) "Base year" shall mean calendar year two thousand eleven.
9 (iii) "Base employment" shall mean the average number of full time
10 employees or full time equivalent employees during the base year. For a
11 new business, base employment shall begin at zero.
12 (iv) "Credit employment" shall mean base employment plus the number of
13 new employees for which a credit is earned for the prior tax years.
14 (v) "Veteran" shall mean a veteran, as defined in section one hundred
15 one of title thirty-eight of the United States code, who served either
16 during a period of war or in an area designated by the president of the
17 United States by executive order as a "combat zone" at any time during
18 the period designated by the president by executive order as the period
19 of combatant activities in such zone.
20 (vi) "Wounded veteran" shall mean a veteran, as defined pursuant to
21 subparagraph (v) of this paragraph, who sustained a service-connected
22 disability as certified by the federal veteran's administration or the
23 United States department of defense. For purposes of this subdivision,
24 the term service-connected shall have the same meaning as in section one
25 hundred one of the United States code.
26 § 2. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
27 of the tax law is amended by adding a new clause (xxxiv) to read as
28 follows:
29 (xxxiv) Returning veteran taxCosts under subdivision
30 credit; subsection (uu)forty-five of section
31 two hundred ten
32 § 3. Section 606 of the tax law is amended by adding a new subsection
33 (uu) to read as follows:
34 (uu) Returning veterans tax credit. (1) General. A taxpayer shall be
35 allowed a credit, to be computed as provided in this subsection, against
36 the tax imposed by this article for each veteran or wounded veteran
37 hired during a taxable year, provided that such:
38 (i) veteran is a new employee and is employed for thirty-five hours or
39 more per week and remains in the employ of such taxpayer for twelve
40 months or more.
41 (ii) wounded veteran is a new employee and is employed for seventeen
42 and one-half hours or more per week and remains in the employ of such
43 taxpayer for twelve months or more.
44 (2) Amount of credit. A credit authorized by this section shall equal
45 three thousand dollars per hired veteran and four thousand dollars per
46 hired wounded veteran but shall not exceed fifteen thousand dollars
47 annually.
48 (3) Carryovers. The credit allowed under this subsection may be
49 claimed and if not fully used in the initial year for which the credit
50 is claimed may be carried over, in order, to each of the ten succeeding
51 taxable years. The credit authorized by this subsection may not be used
52 to reduce the tax liability of the credit claimant below zero.
53 (4) Definitions. As used in this subsection, the following terms shall
54 have the following meanings:
S. 6024--C 3
1 (i) "New employee" shall mean any full time employee that causes the
2 total number of employees to increase above base employment or credit
3 employment, whichever is higher.
4 (ii) "Base year" shall mean calendar year two thousand eleven.
5 (iii) "Base employment" shall mean the average number of full time
6 employees or full time equivalent employees during the base year. For a
7 new business, base employment shall begin at zero.
8 (iv) "Credit employment" shall mean base employment plus the number of
9 new employees for which a credit is earned for the prior tax years.
10 (v) "Veteran" shall mean a veteran, as defined in section one hundred
11 one of title thirty-eight of the United States code, who served either
12 during a period of war or in an area designated by the president of the
13 United States by executive order as a "combat zone" at any time during
14 the period designated by the president by executive order as the period
15 of combatant activities in such zone.
16 (vi) "Wounded veteran" shall mean a veteran, as defined pursuant to
17 subparagraph (v) of this paragraph, who sustained a service-connected
18 disability as certified by the federal veteran's administration or the
19 United States department of defense. For purposes of this subsection,
20 the term service-connected shall have the same meaning as in section one
21 hundred one of the United States code.
22 § 4. This act shall take effect immediately and shall apply to taxable
23 years beginning on or after January 1, 2012 and shall apply to those
24 employees hired after this act shall take effect.
