New York S 1301: Relates to establishing a first permanent payroll employee tax credit

Bill Text

Bill Search and Legislative Information | New York State Assembly 

• 

• 

• 

• 

• 

• 

• 

• 

 Skip to main content 

 New York State Assembly

 Speaker Carl E. Heastie

 --> 
 --> 

 --> 

• 
 Assembly Members 

• 
 Legislative Info 

• 
 Public Hearings 

• 
 Speaker's Press 

• 
 Assembly Reports 

• 
 Committees & More 

• Bill Search Home
• Laws
• Legislative Calendar
• Public Hearing Schedule
• Assembly Calendars
• Assembly Committee Agenda 

 Javascript must be enabled to properly view this page. 

 Bill No.: 

• Summary 
• Actions 
• Committee&nbspVotes 
• Floor&nbspVotes 
• Memo 
• Text 
• LFIN 
• Chamber&nbspVideo/Transcript 
S01301 Summary:

BILL NOS01301 

&nbsp

SAME ASSAME AS A04454

&nbsp

SPONSORBORRELLO

&nbsp

COSPNSRGALLIVAN, OBERACKER, O'MARA, ORTT, TEDISCO

&nbsp

MLTSPNSR

&nbsp

Amd §§210-B & 606, Tax L

&nbsp

Establishes a first permanent payroll employee tax credit which allows a business to receive a tax credit for the three years following the employment of such business' first permanent payroll employee where such credit equals a portion of the amount it costs to employ such permanent payroll employee.

Go to top S01301 Actions:

BILL NOS01301 

&nbsp

01/09/2025REFERRED TO BUDGET AND REVENUE

01/07/2026REFERRED TO BUDGET AND REVENUE

Go to topS01301 Committee&nbspVotes:

Go to topS01301 Floor&nbspVotes:

There are no Assembly votes for this bill in this legislative session.

Go to topS01301 Text:

 STATE OF NEW YORK
 ________________________________________________________________________

 1301

 2025-2026 Regular Sessions

 IN SENATE

 January 9, 2025
 ___________

 Introduced by Sens. BORRELLO, GALLIVAN, OBERACKER, O'MARA, ORTT, TEDISCO
 -- 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 first perma-
 nent payroll employee tax credit

 The People of the State of New York, represented in Senate and Assem-
 bly, do enact as follows:

 1 Section 1. Section 210-B of the tax law is amended by adding a new
 2 subdivision 61 to read as follows:
 3 61. First permanent payroll employee credit. (a) General. A taxpayer
 4 shall be allowed a credit, to be computed as provided in this subdivi-
 5 sion, against the tax imposed by this article for the first full-time,
 6 permanent employee such taxpayer employs, provided that such full-time,
 7 permanent employee is accounted for on such taxpayer's employer payroll
 8 records. Such credit shall be available for each of the three years
 9 succeeding the date a taxpayer employs their first full-time, permanent
 10 employee.
 11 (b) Amount of credit. A credit authorized by this subdivision shall be
 12 equal to:
 13 (1) in the first year, twenty-five percent of the total cost to employ
 14 a full-time, permanent employee, when such employee is accounted for on
 15 an employer's payroll records and is the first full-time, permanent
 16 employee such taxpayer has hired;
 17 (2) in the second year, twenty percent of the total cost to employ a
 18 full-time, permanent employee, when such employee is accounted for on an
 19 employer's payroll records and is the first full-time, permanent employ-
 20 ee such taxpayer has hired; and
 21 (3) in the third year, ten percent of the total cost to employ a full-
 22 time, permanent employee, when such employee is accounted for on an
 23 employer's payroll records and is the first full-time, permanent employ-
 24 ee such taxpayer has hired.

 EXPLANATION--Matter in italics (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD01628-01-5

 S. 1301 2

 1 (c) Carryovers. The credit allowed under this subdivision may be
 2 claimed and if not fully used in the initial year for which the credit
 3 is claimed may be carried over, in order, to each of the two succeeding
 4 taxable years. The credit authorized by this subdivision may not be used
 5 to reduce the tax liability of the credit claimant below zero.
 6 (d) Definitions. For purposes of this subdivision, the following terms
 7 shall have the following meanings:
 8 (1) "Total cost to employ" shall mean base salary, New York state
 9 payroll taxes and the value of employment benefits received.
 10 (2) "New York state payroll taxes" shall mean all state taxes paid by
 11 an employer from such employer's own funds and directly related to
 12 employing an employee.
 13 (e) Aggregate amount. The aggregate amount of tax credits allowed
 14 pursuant to the authority of this subdivision and subsection (qqq) of
 15 section six hundred six of this chapter shall be fifteen million dollars
 16 each year. Such aggregate amounts of credits shall be allocated by the
 17 commissioner. If the total amount of allocated credits applied for in
 18 any particular year exceeds the aggregate amount of tax credits allowed
 19 for such year under this section, such excess shall be treated as having
 20 been applied for on the fi