Bill > S08921

This bill, effective immediately and applying to tax years starting on or after January 1, 2025, amends New York's tax law to require that any gains from the sale of qualified small business stock that are excluded from federal income under Section 1202 of the Internal Revenue Code must now be added back as an increase to a taxpayer's adjusted gross income for New York State tax purposes. This means that while federal law allows an exclusion for these gains, New York will now tax them, effectively reversing a tax benefit for certain small business investors.