What's happening
This bill creates a tax credit for New York businesses sourcing a percentage of their products from local producers.
Why it matters
The bill incentivizes businesses to source goods from within New York State by offering tiered tax credits based on the percentage of their net sales attributed to local products. potentially encouraging stronger local supply chains and supporting New York producers.
Only products grown, raised, produced, or manufactured by New York-based producers (not wholesalers or distributors) would qualify. , which targets benefits specifically to primary producers and local manufacturers, rather than intermediaries.
The largest tax credits are reserved for businesses that source the highest proportion of their products locally (up to $25,000 for 100% local sourcing). , potentially motivating significant shifts in procurement strategies and supporting local economies.
Businesses must provide detailed documentation—including producer names, production locations, payments, and purchase quantities—to claim the credit, which could increase accountability but also administrative complexity for participating businesses.
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Who cares
Headline styles
Tax Credit for Local Goods
Plain English, a few words. Used as the page title.
Sponsors
2 Multi-sponsors
History
- Held for consideration in ways and means
- 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 Local Products
In Senate Committee · Budget And Revenue · Sponsor Patrick M. Gallivan
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
1651
2019-2020 Regular Sessions
IN ASSEMBLY
January 16, 2019
Introduced by M. of A. HAWLEY, JOHNS -- read once and referred to the Committee on Ways and Means
AN ACT to amend the tax law, in relation to creating a local food and products sourcing tax credit
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. Local food and products sourcing tax credit. 1. Businesses subject to tax liability under article nine or nine-A of this chapter may claim the local foods and products sourcing tax credit against any such liability at the close of the tax year provided, however, that the unused portion of any tax credit claimed shall not be carried forward and applied in another tax year.
2. For the purposes of this section the following terms shall have the following meanings:
(a) "local products", are any products grown, raised, produced, or manufactured by a producer within the state of New York, from seed or conception through final product;
(b) "producer", is an individual (whether acting individually or through a cooperative, corporation, partnership, business association, or educational institution) who is a farmer, student farmer, or manufacturer of foods or goods in New York state, it shall not however include a wholesaler or distributor;
(c) "net sales", are the total sales of the business subject to tax.
3. The amount of the credit shall be proscribed according to the following schedule:
(a) twenty percent of net sales are attributed to local products the credit shall be one thousand five hundred dollars.
(b) forty percent of net sales are attributed to local products the credit shall be three thousand dollars.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD02111-01-9
A. 1651 2
(c) sixty percent of net sales are attributed to local products the credit shall be six thousand dollars.
(d) eighty percent of net sales are attributed to local products the credit shall be twelve thousand dollars.
(e) one hundred percent of net sales are attributed to local products the credit shall be twenty-five thousand dollars.
4.(a) Businesses claiming the local food and products sourcing tax credit shall submit a computer-generated report with tax returns that claim a tax credit.
(b) Such report shall include the name of the producer and the physical place of the business where the products are produced.
(c) The amount paid by grocer or business to the producer and the amount of units purchased.
§ 2. This act shall take effect immediately. Effective immediately the addition, amendment and/or repeal of any rule or regulation necessary for the implementation of this act on its effective date are authorized to be made on or before such 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.