Bill > S04312

This bill creates a new tax credit for combat veterans who start a business in New York state. Specifically, the bill provides a $500 tax credit to combat veterans who create a new business and are subject to state business or personal income tax. A "combat veteran" is defined as a New York resident who has served in U.S. armed forces in hostilities after December 6, 1945, as evidenced by receiving an Expeditionary Medal and being discharged under honorable conditions. The total statewide tax credit is capped at $5 million per taxable year. The credit can be applied against taxes owed under Article 9-A (business corporation tax) or Article 22 (personal income tax), and if the credit exceeds the taxpayer's tax liability for that year, the excess can be treated as an overpayment and potentially refunded, though no interest will be paid on such overpayments. The bill will take effect on January 1, 2025, and apply to taxable years beginning on or after that date, aiming to support veteran entrepreneurship by providing a modest financial incentive for starting a business in New York.