What's happening
This bill creates a tax credit for small businesses covering salary costs for employees' time spent in sexual harassment prevention training.
Why it matters
Incentivizes compliance with sexual harassment training requirements by offsetting costs for small businesses. , potentially increasing participation and thoroughness in mandated training.
Limits the credit to one training per employee per year and caps the amount at the lesser of 50% of wages for time spent or $50 per employee. , balancing support for businesses with fiscal responsibility for the state.
Allows unused credits to be carried forward for up to five years. , giving small businesses flexibility if they cannot immediately utilize the full benefit due to low tax liability.
Targets businesses with 50 or fewer employees. , focusing relief on entities most likely to feel a financial burden from compliance, and possibly leveling the playing field with larger employers.
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Who cares
Businesses with 50 or fewer employees
The bill would offer an annual tax credit for wages paid during required sexual harassment prevention training, equal to 50% of those wages or $50 per employee, whichever is less.
Employees at eligible small businesses
Their paid time attending one required sexual harassment prevention training course each year would qualify their employer for the credit.
Small-business tax preparers and accountants
The credit would apply against corporate or personal income taxes, could not reduce tax liability below zero and could be carried forward for five succeeding taxable years.
Headline styles
Tax Credit for Harassment Training
Plain English, a few words. Used as the page title.
Sponsors
Senator · Senate District 7
No co-sponsors yet.
History
- Reported and committed to finance
- 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.
Tax Credit for Training Pay
In Assembly Committee · Ways And Means · Sponsor Albert A. Stirpe
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
7353
IN SENATE
January 21, 2020
Introduced by Sen. KAPLAN -- read twice and ordered printed, and when printed to be committed to the Committee on Budget and Revenue
AN ACT to amend the tax law, in relation to establishing a small business tax credit for salary and wages paid to employees for time spent at sexual harassment prevention training
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. Small business tax credit; sexual harassment prevention training. (a) General. A taxpayer who has fifty employees or less, shall be allowed a credit, to be computed as provided in this subdivision, against the tax imposed by this article for salary and wages paid by such taxpayer to its employees for time spent at sexual harassment prevention training required pursuant to section two hundred one-g of the labor law. Such credit shall be available on an annual basis and shall only be made available on one sexual harassment training course per year for each employee.
(b) Amount of credit. The amount of the credit authorized by this subdivision shall be equal to fifty percent of the wages and salary actually paid by the employer to each employee or fifty dollars per employee, whichever is less.
(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.
§ 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) Small business tax credit; Costs under subdivision sexual harassment prevention fifty-five of section training under subsection (kkk) two hundred ten-B
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD14342-04-0
S. 7353 2
§ 3. Section 606 of the tax law is amended by adding a new subsection (kkk) to read as follows:
(kkk) (a) General. A taxpayer who has fifty employees or less, shall be allowed a credit, to be computed as provided in this subsection, against the tax imposed by this article for salary and wages paid by such taxpayer to its employees for time spent at sexual harassment prevention training required pursuant to section two hundred one-g of the labor law. Such credit shall be available on an annual basis and shall only be made available on one sexual harassment training course per year for each employee.
(b) Amount of credit. The amount of the credit authorized by this subsection shall be equal to fifty percent of the wages and salary actually paid by the employer to each employee or fifty dollars per employee, whichever is less.
(c) 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. This act shall take effect immediately and shall apply to taxable years beginning on or after January 1, 2021.
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 busi- ness tax credit for salary and wages paid to employees for time spent at sexual harassment prevention training
Purpose
This legislation allows for a tax credit to small business of fifty percent of salary/wages paid to an employee for time spent at sexual harassment prevention training.
Summary of provisions
Section 1 adds a new subdivision 554 to Section 210-B of the tax law to create a credit for a small business with fifty or less employees. The amount of credit is equal to fifty percent of the wages and salary paid by the employer to the employee or fifty dollars per employee whichever is less. This section allows for carryover of credit for a period of five succeeding years.
Section 2 amends Subparagraph (B) of paragraph 1 of subsection (i) of section 606 of the tax law to add a new clause for the small business tax credit created here.
Section 3 adds a new subsection (kkk) to section 606 of the tax law to create a credit for a small business with fifty or less employees. The amount of credit is equal to fifty percent of the wages and salary paid by the employer to the employee or fifty dollars per employee whichever is less. This section allows for carryover of credit for a period of five succeeding years.
Justification
New York's sexual harassment training requirement is critically impor- tant to fostering a positive and harassment free work environment. Having such a strong sexual harassment training requirement is something to be proud of as we work to combat sexual harassment in the workplace. In discussions with business they laud this law as important as well and understand the goals that went into its enactment. However, small busi- ness speak often about the fiscal strain placed on them by having to pay each of their employees for their time at sexual harassment training, they express no issue with comporting with the law however they are fiscally stressed by cost both paid to their employees to take the training, while also possibly having to pay other employees to cover work responsibilities for the individual taking harassment training.
This legislation attempts to create a simple tax credit to offset some of the cost of small business. Allowing a credit of up to fifty percent of salary paid to an employee, capped at $50 for small businesses fifty and under is a simple step we can take towards alleviating some of the stress caused by this fiscal burden.
Legislative history
None.
Fiscal implications
To be determined.
Effective date
This act shall take effect immediately and shall apply to table years beginning on or after January 1, 2021.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.