Bill > S00209

This bill establishes a Hire-Now tax credit designed to incentivize job creation in New York State, primarily targeting businesses subject to specific tax articles. The tax credit allows employers to receive 6.85% of gross wages for each new full-time employee hired between July 1, 2026, and April 1, 2027, with a maximum credit of $5,000 per employee for one full year of employment. Employers can claim this credit for three consecutive years for each new employee, and can offset quarterly estimated tax returns with previously earned credits. An additional $3,000 credit is available for calendar years 2027 and 2028 if the new employee was receiving unemployment insurance benefits at the time of hire. The bill defines "new employee" as a full-time worker whose hiring increases the total number of employees above the base employment level (determined by the average number of employees in 2025). The credit has specific provisions to prevent double-counting with other employment-related tax credits and includes rules for handling employee turnover. The tax credit is applicable across multiple tax articles and can be carried forward or refunded if it exceeds the taxpayer's annual tax liability, though no interest will be paid on such refunds.

Government Affairs

https://www.nysenate.gov/legislation/bills/2025/S209