What's happening
This bill creates a tax credit for businesses that hire veterans and disabled veterans in New York State.
Why it matters
Incentivizes Long-Term Employment for Veterans. The tax credit only applies if veterans work at least 35 hours per week (or 17.5 hours for disabled veterans) and remain employed for at least 12 months, encouraging stable, long-term job opportunities rather than short-term or part-time hires.
Targets New Job Creation. To qualify, the veteran must be a "new employee" who increases the employer’s total workforce above a set baseline, ensuring the credit rewards actual job growth rather than replacing existing workers.
Provides Substantial, Scalable Tax Relief. Businesses can claim $3,000 per veteran and $4,000 per disabled veteran, up to $15,000 a year, with unused credit able to be carried forward for up to 10 years—potentially reducing tax burdens for growing companies over time.
Defines Eligibility and Prevents Abuse. The bill clearly outlines who counts as a veteran or disabled veteran (using civil service law definitions) and prevents businesses from using the credit to reduce their tax liability below zero, maintaining fiscal responsibility.
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Who cares
Headline styles
Tax Credit for Hiring Veterans
Plain English, a few words. Used as the page title.
Sponsors
2 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
2230
2019-2020 Regular Sessions
IN SENATE
January 23, 2019
Introduced by Sen. SANDERS -- 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 returning veterans tax credit for businesses that hire veterans and disabled 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 53 to read as follows:
53. Returning veterans tax credit. (a) General. A taxpayer shall be allowed a credit, to be computed as provided in this subdivision, against the tax imposed by this article for each veteran or disabled veteran hired during a taxable year, provided that:
(i) such veteran is a new employee and is employed for thirty-five hours or more per week and remains in the employ of such taxpayer for twelve months or more; or
(ii) such disabled veteran is a new employee who is employed for seventeen and one-half 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 three thousand dollars per hired veteran and four thousand dollars per hired disabled veteran but shall not exceed fifteen thousand dollars annually.
(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 ten 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 following terms shall have the following meanings:
(i) "New employee" shall mean any full time employee that causes the total number of employees to increase above base employment or credit employment, whichever is higher.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD08140-01-9
S. 2230 2
(ii) "Base year" shall mean calendar year two thousand nineteen.
(iii) "Base employment" shall mean the average number of full time employees or full time equivalent employees during the base year. For a new business, base employment shall begin at zero.
(iv) "Credit employment" shall mean base employment plus the number of new employees for which a credit is earned for the prior tax years.
(v) "Veteran" shall have the same meaning as set forth in section eighty-five of the civil service law.
(vi) "Disabled veteran" shall have the same meaning as set forth in section eighty-five of the civil service law.
§ 2. Subparagraph (B) of paragraph 1 of subsection (i) of section 606 of the tax law is amended by adding a new clause (xliv) to read as follows: (xliv) Returning veterans tax Costs under subdivision credit; subsection (jjj) fifty-three of section
two hundred ten-B
§ 3. Section 606 of the tax law is amended by adding a new subsection (jjj) to read as follows:
(jjj) Returning veterans tax credit. (1) General. A taxpayer shall be allowed a credit, to be computed as provided in this subsection, against the tax imposed by this article for each veteran or disabled veteran hired during a taxable year, provided that:
(i) such veteran is a new employee and is employed for thirty-five hours or more per week and remains in the employ of such taxpayer for twelve months or more; or
(ii) such disabled veteran is a new employee and is employed for seventeen and one-half 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 three thousand dollars per hired veteran and four thousand dollars per hired disabled veteran but shall not exceed fifteen thousand dollars annually.
(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 ten 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 following terms shall have the following meanings:
(i) "New employee" shall mean any full time employee that causes the total number of employees to increase above base employment or credit employment, whichever is higher.
(ii) "Base year" shall mean calendar year two thousand nineteen.
(iii) "Base employment" shall mean the average number of full time employees or full time equivalent employees during the base year. For a new business, base employment shall begin at zero.
(iv) "Credit employment" shall mean base employment plus the number of new employees for which a credit is earned for the prior tax years.
(v) "Veteran" shall have the same meaning as set forth in section eighty-five of the civil service law.
(vi) "Disabled veteran" shall have the same meaning as set forth in section eighty-five of the civil service law.
§ 4. This act shall take effect immediately and shall apply to taxable years beginning on or after January 1, 2020 and shall apply to those employees hired after this act shall take effect.
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 returning veterans tax credit for businesses that hire veterans and disabled veterans
Purpose
To provide tax credits for businesses that hire veterans and disabled veterans.
Summary of provisions
Section 1 amends section 210-B of the tax law to add a new subdivision 52 which provides for a returning veterans tax credit. The amount of the credit shall equal three thousand dollars per hired veteran and four thousand dollars per hired wounded veteran, not to exceed fifteen thou- sand dollars annually.
Section 2 amends subparagraph (B) of paragraph 1 of subsection (i) of section 606 of the tax law by adding a new clause (xliii).
Section 3 amends section 606 of the tax law by adding a new subsection (ccc) which provides for a returning veterans tax credit.
Existing law
New Law
Justification
Veterans across New York State are struggling to find employment in private sector industries hit hard by the recession. Unemployment among all veterans in New York is over 7 percent. Unemployment has reached a staggering 20 percent for veterans under the age of 30 who recently returned home from Iraq and Afghanistan. According to the Bureau of Labor Statistics, a significant number of recently returned veterans have reported service-connected disabilities.
Our servicemen and women put their lives on the line to protect our freedom. We are therefore responsible for enhancing their economic opportunities to provide for themselves and for their families when they return home. This bill will achieve this by providing tax relief to businesses that hire returning and wounded veterans.
Legislative history
01/22/16 Referred to Veterans, Homeland Security and Military Affairs
Fiscal implications
Undetermined
Local fiscal implications
None
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.