What's happening
This bill creates a tax credit for New York employers who subsidize employees' public transportation costs, prioritizing full subsidies.
Why it matters
Incentivizes deeper employer investment. By offering a larger tax credit (25%) to employers who cover the full cost of employees’ public transportation, the bill strongly encourages companies to fully subsidize transit rather than just partially contributing.
Targets long-term transit support. Only annual (one-year minimum) transit passes qualify, nudging employers towards more stable, predictable support for workers’ commuting costs rather than short-term or sporadic assistance.
Limits and prioritizes benefit allocation. The statewide cap of $50 million per year and guidelines to prioritize employers offering full subsidies mean not all applicants will receive credits—potentially giving larger or more generous employers an advantage and shaping which workers benefit most.
Excludes out-of-state providers. Only New York-based public transportation services qualify, ensuring the economic and environmental benefits of increased transit use are retained within the state.
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Who cares
Headline styles
Tax Credit for Transit Benefits
Plain English, a few words. Used as the page title.
Sponsors
7 Co-sponsors
1 Multi-sponsor
History
- Enacting clause stricken
- Referred to ways and means
- Referred to ways and means
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Tax Credit for Transit Benefits
In Senate Committee · Investigations And Government Operations · Sponsor Timothy M. Kennedy
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
8079
2017-2018 Regular Sessions
IN ASSEMBLY
May 25, 2017
Introduced by M. of A. SEPULVEDA -- read once and referred to the Committee on Ways and Means
AN ACT to amend the tax law, in relation to providing a tax credit to employers who subsidize an employee's use of public transportation
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Section 210-B of the tax law is amended by adding a new subdivision 53 to read as follows:
53. Employer transportation credit. (a) A taxpayer shall be allowed a credit, to be computed as hereinafter provided, against the tax imposed by this article. The amount of the credit shall be equal to either:
(i) fifteen percent of the expenses incurred during a taxable year in providing public transportation services for employees, provided that the taxpayer contribute at least fifty percent of an employee's total public transportation service cost.
(ii) twenty-five percent of the expenses incurred during a taxable year in providing public transportation services for employees, provided that the taxpayer contribute one hundred percent of an employee's total public transportation service cost.
(b) For the purposes of this subdivision, "public transportation service" shall have the same definition as in subdivision five of section seventy-three-c of the transportation law.
(c) A taxpayer may contribute to an employee's total transportation service cost in the following manners:
(i) by reimbursing an employee directly for the cost of the expenses incurred for services;
(ii) by providing passes for purchase directly to employees at a discounted rate; or
(iii) by allowing employees to incur a payroll deduction.
(d) Such pass must cover a minimum of one year per employee for the taxpayer to claim a credit under this section.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD10961-04-7
A. 8079 2
(e) No such credit shall:
(i) cover public transportation service providers located outside of the state of New York; or
(ii) exceed the amount of tax otherwise due pursuant to this article for the taxable year.
(f) The aggregate amount of tax credits allowed under this subdivision in any calendar year statewide shall be fifty million dollars.
(g) The commissioner shall prioritize employers who subsidize the full cost of employee transit over the fifty percent subsidy.
§ 2. This act shall take effect immediately and shall apply to taxable years commencing on or after such effective date.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.