What's happening
This bill creates a tax credit for employers who hire individuals who have completed a drug court or judicial diversion program.
Why it matters
Encourages second chances for individuals in recovery. By incentivizing employers to hire people who have completed drug court or judicial diversion programs, the bill aims to reduce barriers to employment for individuals with histories of substance use or criminal justice involvement, supporting their reintegration into society.
Targets long-term, stable employment. The credit is only available for employees who work at least 35 hours a week and remain employed for a minimum of 12 months, promoting not just job placement but sustained, meaningful employment relationships.
Direct financial incentive for employers. With a $3,000 tax credit per eligible hire in the first year and an additional $1,000 for a second year, the bill seeks to offset perceived risks or costs, making it financially attractive for businesses to consider hiring from this population.
Potential to reduce recidivism and social costs. By facilitating stable employment for people who have completed diversion or drug court programs, the bill may help lower recidivism rates and reduce reliance on public assistance, benefiting both individuals and public budgets.
Albany, before your first meeting.
Every bill that moved yesterday, summarized in a sentence and ranked by impact. The Albany Scorecard follows on Sundays.
Free. Unsubscribe in one click. Want alerts on specific bills? Create an account.
Who cares
Headline styles
Tax Credit for Hiring Graduates
Plain English, a few words. Used as the page title.
Sponsors
1 Co-sponsor
History
- Print number 5744b
- Amend and recommit to finance
- Reported and committed to finance
- Referred to budget and revenue
- Print number 5744a
- Amend and recommit to budget and revenue
- Referred to budget and revenue
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.
Reward Hiring Drug Court Grads
In Assembly Committee · Ways And Means · Sponsor Diana Richardson
Full text
3 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
5744--B
2019-2020 Regular Sessions
IN SENATE
May 14, 2019
Introduced by Sens. BENJAMIN, SEWARD -- read twice and ordered printed, and when printed to be committed to the Committee on Budget and Revenue -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee -- recommitted to the Committee on Budget and Revenue in accordance with Senate Rule 6, sec. 8 -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
AN ACT to amend the tax law, in relation to a tax credit for employment of an individual who has successfully completed a judicial diversion program or graduated from a drug court
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 55 to read as follows:
55. Credit for employment of individuals who have graduated from drug court or have successfully completed a judicial diversion program. (a) Allowance of credit. A taxpayer shall be allowed a credit, to be computed as provided in this subdivision, against the tax imposed by this article, if it employs an individual who has graduated from drug court or has successfully completed a judicial diversion program pursuant to article two hundred sixteen of the criminal procedure law, provided that such individual is employed for thirty-five hours or more per week and remains in the employ of such taxpayer for a minimum of twelve months.
(b) Amount of credit. A credit authorized by this section shall equal three thousand dollars per hired individual for the first year of employment and an additional one thousand dollars if the individual remains in employ for an additional twelve months.
(c) Application of credit. The credit allowed under this subdivision for any taxable year shall not reduce the tax due for such year to less
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD11705-03-0
S. 5744--B 2
than the amount prescribed in paragraph (d) of subdivision one of this section. If, however, the amount of credits allowed under this subdivision for any taxable year reduces the tax to such amount, any amount of credit thus not deductible in such taxable year shall be treated as an overpayment of tax to be credited or refunded in accordance with the provisions of section one thousand eighty-six of this chapter. Provided, however, the provisions of subsection (c) of section one thousand eighty-eight of this chapter notwithstanding, no interest shall be paid thereon.
(d) Credit recapture. For provisions requiring recapture of credit, see section forty-four of this chapter.
§ 2. Subparagraph (B) of paragraph 1 of subsection (i) of section 606 of the tax law is amended by adding a new clause (xlvi) to read as follows:
(xlvi) Employment of individuals Amount of credit
who have graduated from under subdivision
drug court or have fifty-five of section
successfully completed two hundred ten-B
a judicial diversion program
tax credit under
subsection (kkk)
§ 3. Section 606 of the tax law is amended by adding a new subsection (kkk) to read as follows:
(kkk) Tax credit for employment of individuals who have graduated from drug court or have successfully completed a judicial diversion program. (1) Allowance of credit. A taxpayer shall be allowed a credit, to be computed as provided in this subsection, against the tax imposed by this article, if it employs an individual who has graduated from drug court or who has successfully completed a judicial diversion program pursuant to article two hundred sixteen of the criminal procedure law, provided that such individual is employed for thirty-five hours or more per week and remains in the employ of such taxpayer for twelve months.
(2) Amount of credit. A credit authorized by this section shall equal three thousand dollars per hired individual for the first year of employment and an additional one thousand dollars if the individual remains in employ for an additional twelve months.
(3) Application of credit. The credit allowed under this subsection for any taxable year shall not reduce the tax due for such year to less than the higher of the amount prescribed in paragraphs (c) and (d) of subdivision one of section two hundred ten-B of this chapter. If, however, the amount of credits allowed under this subsection for any taxable year reduces the tax to such amount, any amount of credit thus not deductible in such taxable year shall be treated as an overpayment of tax to be credited or refunded in accordance with the provisions of section one thousand eighty-six of this chapter. Provided, however, the provisions of subsection (c) of section one thousand eighty-eight of this chapter notwithstanding, no interest shall be paid thereon.
(4) Credit recapture. For provisions requiring recapture of credit, see section forty-four of this chapter.
§ 4. Section 1511 of the tax law is amended by adding a new subsection (ee) to read as follows:
(ee) Credit for employment of individuals who have graduated from drug court or have successfully completed a judicial diversion program. (1) Allowance of credit. A taxpayer shall be allowed a credit, to be computed as provided in this subsection, against the tax imposed by this article, if it employs an individual who has graduated from drug court
S. 5744--B 3
or has successfully completed a judicial diversion program pursuant to article two hundred sixteen of the criminal procedure law, provided that such individual is employed for thirty-five hours or more per week and remains in the employ of such taxpayer for a minimum of twelve months.
(2) Amount of credit. A credit authorized by this section shall equal three thousand dollars per hired individual for the first year of employment and an additional one thousand dollars if the individual remains in employ for an additional twelve months.
(3) Application of credit. The credit allowed under this subsection shall not reduce the tax due for such year to be less than the minimum fixed by paragraph four of subdivision (a) of section fifteen hundred two or section fifteen hundred two-a of this article, whichever is applicable. However, if the amount of the credit allowed under this subsection for any taxable year reduces the taxpayer's tax of such amount, any amount of credit thus not deductible will be treated as an overpayment of tax to be credited or refunded in accordance with the provisions of section one thousand eighty-six of this chapter. Provided, however, the provisions of subsection (c) of one thousand eighty-eight of this chapter notwithstanding, no interest shall be paid thereon.
(4) Credit recapture. For provisions requiring recapture of credit, see section forty-four of this chapter.
§ 5. This act shall take effect on the first of January next succeeding the date on which it shall have become a law, and shall apply to taxable years beginning on or after such date and to employees hired on or after such date.
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 a tax credit for employment of an individual who has successfully completed a judicial diversion program or graduated from a drug court
Purpose
This bill provides a tax credit for employers who agree to hire individ- uals who have either graduated from drug court or have successfully completed a judicial diversion program.
Summary of provisions
Section one of the bill amends section 210-b of the tax law by adding a new subdivision 50 to provide a tax credit for employers who hire indi- viduals who have graduated from drug court or have successfully completed a judicial diversion program, provided that the individual works at least 35 hour per week and has been employed for at least one year. The credit would be three thousand dollars per hired individual for the first year the individual is employed and one thousand dollars for the second year.
Sections two and three make corresponding changes to section 606 of the tax law.
Section 4 is the effective date.
Justification
Drug courts and judicial diversion programs have proven to be an extremely effective alternative to incarceration for individuals suffer- ing from substance abuse. A total of 3,792 individuals successfully completed drug courts and judicial diversion programs statewide (59% success rate). Through drug court/judicial diversion, individuals are closely supervised and receive intensive treatment for their addictions. Both programs have proven to reduce costs, reduce crime rates, reunite families and, perhaps most importantly, save lives.
For individuals in the recovery community, it is important that support services are in place when their treatment is completed so that they may begin to rebuild their lives. A critical piece of the rebuilding process is the ability to find gainful employment. Getting individuals in recov- ery back into the workforce will help them to become productive members of society, which will in turn make them less likely to relapse. One of the challenges, however, is convincing employers to take a chance on someone who has a history of addiction and hire individuals in recovery. A tax credit can provide the necessary incentive to employers to hire individuals in recovery who have successfully completed either a drug court or judicial diversion program.
Legislative history
S.2076 of 2017-2018; S.2346 of 2015-16; S.7668 of 2014
Fiscal implications
To be determined.
Local fiscal implications
None.
Effective date
First of January after it shall have become law.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.