What's happening
This bill creates a tax credit for small businesses that hire unemployed veterans who work full-time for at least a year.
Why it matters
Encourages long-term, stable employment for veterans. by requiring businesses to employ eligible veterans full-time for at least a year to receive the tax credit, potentially reducing recidivism in unemployment among veterans.
Targets support to smaller businesses. (those with 100 or fewer employees), potentially making it easier for local and community-based employers to participate and benefit from hiring veterans, as opposed to large corporations dominating the program.
Provides a financial incentive with flexibility over time. , allowing unused credits to be carried forward for up to five years, which could help small businesses manage their tax planning and cash flow more effectively when expanding their workforce.
Defines eligible veterans specifically. as those who served during wartime or earned certain expeditionary medals and were honorably discharged, focusing the benefit on individuals who may have faced particular challenges transitioning back to civilian employment.
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Who cares
Headline styles
Hire Veterans, Get Tax Credit
Plain English, a few words. Used as the page title.
Sponsors
3 Co-sponsors
History
- Referred to veterans, homeland security and military affairs
- Referred to veterans, homeland security and military affairs
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
3252
2017-2018 Regular Sessions
IN SENATE
January 20, 2017
Introduced by Sen. PARKER -- read twice and ordered printed, and when printed to be committed to the Committee on Veterans, Homeland Security and Military Affairs
AN ACT to amend the tax law, in relation to establishing a small business tax credit for the employment of unemployed veterans
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 49 to read as follows:
49. Small business tax credit; unemployed veterans. (a) General. A taxpayer who has one hundred employees or less, shall be allowed a credit, to be computed as provided in this subdivision, against the tax imposed by this article for each unemployed veteran hired during a taxable year, provided that such unemployed veteran is employed for thirtyfive hours or more per week and remains in the employ of such taxpayer for twelve months or more.
(b) Amount of credit. A credit authorized by this section shall equal five thousand dollars per hired unemployed veteran but shall not exceed twenty-five thousand dollars.
(c) Carryovers. The credit allowed under this subdivision may be claimed and if not fully used in the initial year for which the credit is claimed may be carried over, in order, to each of the five succeeding taxable years. The credit authorized by this subdivision may not be used to reduce the tax liability of the credit claimant below zero.
(d) Definitions. As used in this subdivision, the term "veteran" shall mean a person who served in the active military, naval, or air service during a period of war, or who was a recipient of the armed forces expeditionary medal, navy expeditionary medal, marine corps expeditionary medal, or global war on terrorism expeditionary medal, and who was discharged or released therefrom under honorable conditions.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01643-01-7
S. 3252 2
§ 2. Subparagraph (B) of paragraph 1 of subsection (i) of section 606 of the tax law is amended by adding a new clause (xliii) to read as follows: (xliii) Small business tax credit; Costs under subdivision unemployed veteran forty-nine of section under subsection (ccc) two hundred ten-b
§ 3. Section 606 of the tax law is amended by adding a new subsection (ccc) to read as follows:
(ccc) Small business tax credit; unemployed veterans. (1) General. A taxpayer who has one hundred employees or less, shall be allowed a credit, to be computed as provided in this subsection, against the tax imposed by this article for each unemployed veteran hired during a taxable year, provided that such unemployed veteran is employed for thirtyfive hours or more per week and remains in the employ of such taxpayer for twelve months or more.
(2) Amount of credit. A credit authorized by this section shall equal five thousand dollars per hired unemployed veteran but shall not exceed twenty-five thousand dollars.
(3) Carryovers. The credit allowed under this subsection may be claimed and if not fully used in the initial year for which the credit is claimed may be carried over, in order, to each of the five succeeding taxable years. The credit authorized by this subsection may not be used to reduce the tax liability of the credit claimant below zero.
(4) Definitions. As used in this subsection, the term "veteran" shall mean a person who served in the active military, naval, or air service during a period of war, or who was a recipient of the armed forces expeditionary medal, navy expeditionary medal, marine corps expeditionary medal, or global war on terrorism expeditionary medal, and who was discharged or released therefrom under honorable conditions.
§ 4. This act shall take effect immediately and shall apply to taxable years beginning on or after January 1, 2017.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the tax law, in relation to establishing a small business tax credit for the employment of unemployed veterans
Purpose
Offer incentives to small businesses to hire and retain employment of unemployed veterans.
Summary of provisions
Section 1: Subdivision 49 is amended to section 210 of the Tax law, to establish a five thousand dollar to twenty-five thousand dollar tax credit for the hiring and retaining of unemployed veterans for a minimum thirty-five hours per week, minimum one year employment period.
Section 2: Clause (xli) is added to section 606 of the Tax law, to identify legislative intent of the bill found within subdivision 45 of section 210 of the Tax law.
Section 3: Subsection (ccc) is amended to section 606 of the Tax law, to establish a five thousand dollar to twenty-five thousand dollar tax credit for the hiring and retaining of unemployed veterans for a minimum thirty-five hours per week, minimum one year employment period,
Justification
Returning veterans often experience greater challenges in searching and obtaining quality employment. Traits learned in serving our country are more often times than not applicable to offered positions of employment. Factor in the general myth human resources departments exponentially forgo interviewing candidates unemployable for six months or more. The odds are unfortunately staked against these veterans seeking quality employment.
In March 2011, the Department of Labor determined in a report that the national unemployment rate among eighteen to twenty-four year-old veterans is 21%, which is 4 1/2% higher than, unemployment of non-veterans in the same age range. Additionally, over 15% of veterans who have served post September 11, 2001 are unemployed, equating to a 2 1/2% increase from 2010.
As it is our moral obligation to thank our veterans for their service to our great country, it is our intent to stimulate employment of their services through the legislative authorization of a small business tax credit for businesses that hire veterans for a minimum thirty-five hours
Legislative history
2015-16: S.4548A/A.391 - Amend and Recommit to Investigations and Gov't Operations 2013-14: A.1800 - Referred to Ways and Means
Fiscal implications
To be determined
Effective date
This act shall take effect immediately and shall apply to taxable years beginning on or after January 1, 2017.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.