N.Y. Labor Law § 25-a: Power to administer the New York youth jobs program tax credit

§ 25-a. Power to administer the New York youth jobs program tax

credit.

(a) The commissioner is authorized to establish and administer the

program established under this section to provide tax incentives to

employers for employing at risk youth in part-time and full-time

positions. There will be ten distinct pools of tax incentives. Program

one will cover tax incentives allocated for two thousand twelve and two

thousand thirteen. Program two will cover tax incentives allocated in

two thousand fourteen. Program three will cover tax incentives allocated

in two thousand fifteen. Program four will cover tax incentives

allocated in two thousand sixteen. Program five will cover tax

incentives allocated in two thousand seventeen. Program six will cover

tax incentives allocated in two thousand eighteen. Program seven will

cover tax incentives allocated in two thousand nineteen. Program eight

will cover tax incentives allocated in two thousand twenty. Program nine

will cover tax incentives allocated in two thousand twenty-one. Program

ten will cover tax incentives allocated in two thousand twenty-two.

Program eleven will cover tax incentives allocated in two thousand

twenty-three. Program twelve will cover tax incentives allocated in two

thousand twenty-four. Program thirteen will cover tax incentives

allocated in two thousand twenty-five. Program fourteen will cover tax

incentives allocated in two thousand twenty-six. Program fifteen will

cover tax incentives allocated in two thousand twenty-seven. The

commissioner is authorized to allocate up to twenty-five million dollars

of tax credits under program one, ten million dollars of tax credits

under program two, twenty million dollars of tax credits under program

three, fifty million dollars of tax credits under each of programs four

and five, and forty million dollars of tax credits under programs six,

seven, eight, nine, ten, eleven, twelve, thirteen, fourteen and fifteen.

(b) Definitions. (1) The term "qualified employer" means an employer

that has been certified by the commissioner to participate in the

program established under this section and that employs one or more

qualified employees.

(2) The term "qualified employee" means an individual:

(i) who is between the age of sixteen and twenty-four;

(ii) who resides in a city with a population of fifty-five thousand or

more or a town with a population of four hundred eighty thousand or

more;

(iii) who is low-income or at-risk, as those terms are defined by the

commissioner;

(iv) who is unemployed prior to being hired by the qualified employer;

and

(v) who will be working for the qualified employer in a full-time or

part-time position that pays wages that are equivalent to the wages paid

for similar jobs, with appropriate adjustments for experience and

training, and for which no other employee has been terminated, or where

the employer has not otherwise reduced its workforce by involuntary

terminations with the intention of filling the vacancy by creating a new

hire.

(3) For programs four and five, the tax credit under each program

shall be allocated as follows: (i) thirty million dollars of tax credit

for qualified employees; and (ii) twenty million dollars of tax credit

for individuals who meet all of the requirements for a qualified

employee except for the residency requirement of subparagraph (ii) of

paragraph two of this subdivision, which individuals shall be deemed to

meet the residency requirements of subparagraph (ii) of paragraph two of

this subdivision if they reside in New York state.

(4) For programs six, seven, eight, nine, ten, eleven, twelve,

thirteen, fourteen, and fifteen the tax credit under each program shall

be allocated as follows: (i) twenty million dollars of tax credit for

qualified employees; and (ii) twenty million dollars of tax credit for

individuals who meet all of the requirements for a qualified employee

except for the residency requirement of subparagraph (ii) of paragraph

two of this subdivision, which individuals shall be deemed to meet the

residency requirements of subparagraph (ii) of paragraph two of this

subdivision if they reside in New York state.

(c) A qualified employer shall be entitled to a tax credit equal to

(1) seven hundred fifty dollars per month for up to six months for each

qualified employee the employer employs in a full-time job or three

hundred seventy-five dollars per month for up to six months for each

qualified employee the employer employs in a part-time job of at least

twenty hours per week or ten hours per week when the qualified employee

is enrolled in high school full-time, (2) fifteen hundred dollars for

each qualified employee who is employed for at least an additional six

consecutive months by the qualified employer in a full-time job or seven

hundred fifty dollars for each qualified employee who is employed for at

least an additional six consecutive months by the qualified employer in

a part-time job of at least twenty hours per week or ten hours per week

when the qualified employee is enrolled in high school full-time, and

(3) an additional fifteen hundred dollars for each qualified employee

who is employed for at least an additional year after the completion of

the time periods and satisfaction of the conditions set forth in

paragraphs one and two of this subdivision by the qualified employer in

a full-time job or seven hundred fifty dollars for each qualified

employee who is employed for at least an additional year after the

completion of the time periods and satisfaction of the conditions set

forth in paragraphs one and two of this subdivision by the qualified

employer in a part-time job of at least twenty hours per week or ten

hours per week when the qualified employee is enrolled in high school

full time. The tax credits shall be claimed by the qualified employer as

specified in subdivision thirty-six of section two hundred ten-B and

subsection (tt) of section six hundred six of the tax law.

(d) To participate in the program established under this section, an

employer must submit an application (in a form prescribed by the

commissioner) to the commissioner after January first, two thousand

twelve but no later than November thirtieth, two thousand twelve for

program one, after January first, two thousand fourteen but no later

than November thirtieth, two thousand fourteen for program two, after

January first, two thousand fifteen but no later than November

thirtieth, two thousand fifteen for program three, after January first,

two thousand sixteen but no later than November thirtieth, two thousand

sixteen for program four, after January first, two thousand seventeen

but no later than November thirtieth, two thousand seventeen for program

five, after January first, two thousand eighteen but no later than

November thirtieth, two thousand eighteen for program six, after January

first, two thousand nineteen but no later than November thirtieth, two

thousand nineteen for program seven, after January first, two thousand

twenty but no later than November thirtieth, two thousand twenty for

program eight, after January first, two thousand twenty-one but no later

than November thirtieth, two thousand twenty-one for program nine, after

January first, two thousand twenty-two but no later than November

thirtieth, two thousand twenty-two for program ten, after January first,

two thousand twenty-three but no later than November thirtieth, two

thousand twenty-three for program eleven, after January first, two

thousand twenty-four but no later than November thirtieth, two thousand

twenty-four for program twelve, after January first, two thousand

twenty-five but no later than November thirtieth, two thousand

twenty-five for program thirteen, after January first, two thousand

twenty-six but no later than November thirtieth, two thousand twenty-six

for program fourteen, and after January first, two thousand twenty-seven

but no later than November thirtieth, two thousand twenty-seven for

program fifteen. The qualified employees must start their employment on

or after January first, two thousand twelve but no later than December

thirty-first, two thousand twelve for program one, on or after January

first, two thousand fourteen but no later than December thirty-first,

two thousand fourteen for program two, on or after January first, two

thousand fifteen but no later than December thirty-first, two thousand

fifteen for program three, on or after January first, two thousand

sixteen but no later than December thirty-first, two thousand sixteen

for program four, on or after January first, two thousand seventeen but

no later than December thirty-first, two thousand seventeen for program

five, on or after January first, two thousand eighteen but no later than

December thirty-first, two thousand eighteen for program six, on or

after January first, two thousand nineteen but no later than December

thirty-first, two thousand nineteen for program seven, on or after

January first, two thousand twenty but no later than December

thirty-first, two thousand twenty for program eight, on or after January

first, two thousand twenty-one but no later than December thirty-first,

two thousand twenty-one for program nine, on or after January first, two

thousand twenty-two but no later than December thirty-first, two

thousand twenty-two for program ten, on or after January first, two

thousand twenty-three but no later than December thirty-first, two

thousand twenty-three for program eleven, on or after January first, two

thousand twenty-four but no later than December thirty-first, two

thousand twenty-four for program twelve, on or after January first, two

thousand twenty-five but no later than December thirty-first, two

thousand twenty-five for program thirteen, on or after January first,

two thousand twenty-six but no later than December thirty-first, two

thousand twenty-six for program fourteen, and on or after January first,

two thousand twenty-seven but no later than December thirty-first, two

thousand twenty-seven for program fifteen. As part of such application,

an employer must:

(1) agree to allow the department of taxation and finance to share its

tax information with the commissioner. However, any information shared

as a result of this agreement shall not be available for disclosure or

inspection under the state freedom of information law, and

(2) allow the commissioner and its agents and the department of

taxation and finance and its agents access to any and all books and

records of employers the commissioner may require to monitor compliance.

(e) If, after reviewing the application submitted by an employer, the

commissioner determines that such employer is eligible to participate in

the program established under this section, the commissioner shall issue

the employer a preliminary certificate of eligibility that establishes

the employer as a qualified employer. The preliminary certificate of

eligibility shall specify the maximum amount of tax credit that the

employer may be allowed to claim and the program year under which it may

be claimed. The maximum amount of tax credit the employer is allowed to

claim shall be computed as prescribed in subdivision (c) of this

section.

(e-1)(1) To receive an annual final certificate of tax credit, the

qualified employer must annually submit, on or before January

thirty-first of the calendar year subsequent to the payment of wages

paid to an eligible employee, a report to the commissioner, in a form

prescribed by the commissioner. The report must demonstrate that the

employer has satisfied all eligibility requirements and provided all the

information necessary for the commissioner to compute an actual amount

of credit allowed.

(2) After reviewing the report and finding it sufficient, the

commissioner shall issue an annual final certificate of tax credit. Such

certificate shall include, in addition to any other information the

commissioner determines is necessary, the following information:

(i) The name and employer identification number of the qualified

employer;

(ii) The program year for the corresponding credit award;

(iii) The actual amount of credit to which the qualified employer is

entitled for that calendar year or the fiscal year in which the annual

final certificate is issued, which actual amount cannot exceed the

amount of credit listed on the preliminary certificate but may be less

than such amount; and

(iv) A unique certificate number identifying the annual final

certificate of tax credit.

(e-2) In determining the amount of credit for purposes of the annual

final certificate of tax credit, the portion of the credit described in

paragraph one of subdivision (c) of this section shall be allowed for

the calendar year in which the wages are paid to the qualified employee,

the portion of the credit described in paragraph two of subdivision (c)

of this section shall be allowed for the calendar year in which the

additional six consecutive month period ends, and the portion of the

credit described in paragraph three of subdivision (c) of this section

shall be allowed for the calendar year in which the additional year of

consecutive employment ends after the completion of the time periods and

satisfaction of the conditions set forth in paragraphs one and two of

subdivision (c) of this section. If the qualified employer's taxable

year is a calendar year, the employer shall be entitled to claim the

credit as calculated on the annual final certificate of tax credit on

the calendar year return for which the annual final certificate of tax

credit was issued. If the qualified employer's taxable year is a fiscal

year, the employer shall be entitled to claim the credit as calculated

on the annual final certificate of tax credit on the return for the

fiscal year that encompasses the date on which the annual final

certificate of tax credit is issued.

(e-3) The commissioner shall establish guidelines and criteria that

specify requirements for employers to participate in the program

including criteria for certifying qualified employees, and issuing the

preliminary certificate of eligibility and annual final certificate of

tax credit. Such requirements may include the types of industries that

the employers are engaged in. The commissioner may give preference to

employers that are engaged in demand occupations or industries, or in

regional growth sectors, including but not limited to those identified

by the regional economic development councils, such as clean energy,

healthcare, advanced manufacturing and conservation. In addition, the

commissioner shall give preference to employers who offer advancement

and employee benefit packages to the qualified individuals.

(f) The commissioner shall annually publish a report. Such report must

contain the names and addresses of any employer issued a preliminary

certificate of eligibility under this section, the amount of New York

youth works tax credit allowed to the qualified employer as specified on

an annual final certificate of tax credit and any other information as

determined by the commissioner.