Bill > S08719

This bill establishes a new tax credit for food service establishments that donate prepared meals to eligible community-based organizations, beginning with the 2027 tax year. A "food service establishment" is defined as a business where at least half of its gross income comes from selling prepared food. A "qualified donation" is a prepared meal that meets federal dietary guidelines and is not exchanged for money, property, or services. An "eligible community-based organization" is a program within the state that distributes prepared meals and is recognized as tax-exempt under section 501(c)(3) of the internal revenue code. The credit will be equal to fifty percent of the "marketed value" of the donation, which is the price the meal would normally sell for to the public, with a limit of seven dollars per donation and a maximum of ten thousand dollars per taxpayer annually. To claim the credit, taxpayers must obtain and keep a receipt from the organization detailing the donation. The credit cannot reduce the tax owed below a certain minimum amount, but any unused credit can be refunded or credited to future taxes without interest. Additionally, cities with a population of one million or more are authorized to offer a similar tax credit for city income taxes.

Budget and Finance

https://www.nysenate.gov/legislation/bills/2025/S8719