S T A T E   O F   N E W   Y O R K
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                                 2346--A
    Cal. No. 839

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                            January 22, 2015
                               ___________

Introduced  by  Sens.  SEWARD,  AKSHAR, AMEDORE, MURPHY, O'MARA, ORTT --
  read twice and ordered printed, and when printed to  be  committed  to
  the Committee on Investigations and Government Operations -- recommit-
  ted  to  the  Committee on Investigations and Government Operations in
  accordance with Senate Rule 6, sec. 8 -- committee discharged and said
  bill committed to the Committee on Rules --  reported  favorably  from
  said  committee,  ordered  to  a  third  reading, passed by Senate and
  delivered to the Assembly, recalled, vote  reconsidered,  restored  to
  third  reading,  amended and ordered reprinted, retaining its place in
  the order of third reading

AN ACT to amend the tax law, in relation to a tax credit for  employment
  of  an  individual who has successfully completed a judicial diversion
  program or graduated from a drug court

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  Section  210-B  of the tax law is amended by adding a new
subdivision 49 to read as follows:
  49. CREDIT FOR EMPLOYMENT OF INDIVIDUALS WHO HAVE GRADUATED FROM  DRUG
COURT  OR  HAVE SUCCESSFULLY COMPLETED A JUDICIAL DIVERSION PROGRAM. (A)
ALLOWANCE OF CREDIT. A  TAXPAYER  SHALL  BE  ALLOWED  A  CREDIT,  TO  BE
COMPUTED  AS  PROVIDED  IN  THIS SUBDIVISION, AGAINST THE TAX IMPOSED BY
THIS ARTICLE, IF IT EMPLOYS AN INDIVIDUAL WHO HAS  GRADUATED  FROM  DRUG
COURT  OR HAS SUCCESSFULLY COMPLETED A JUDICIAL DIVERSION PROGRAM PURSU-
ANT TO ARTICLE TWO  HUNDRED  SIXTEEN  OF  THE  CRIMINAL  PROCEDURE  LAW,
PROVIDED  THAT SUCH INDIVIDUAL IS EMPLOYED FOR THIRTY-FIVE HOURS OR MORE
PER WEEK AND REMAINS IN THE EMPLOY OF SUCH TAXPAYER  FOR  A  MINIMUM  OF
TWELVE MONTHS.
  (B)  AMOUNT OF CREDIT. A CREDIT AUTHORIZED BY THIS SECTION SHALL EQUAL
THREE THOUSAND DOLLARS PER  HIRED  INDIVIDUAL  FOR  THE  FIRST  YEAR  OF
EMPLOYMENT  AND  AN  ADDITIONAL  ONE  THOUSAND DOLLARS IF THE INDIVIDUAL
REMAINS IN EMPLOY FOR AN ADDITIONAL TWELVE MONTHS.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
              

                                                           LBD06934-03-6

S. 2346--A                          2

  (C) APPLICATION OF CREDIT. THE CREDIT ALLOWED UNDER  THIS  SUBDIVISION
FOR  ANY TAXABLE YEAR SHALL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO LESS
THAN THE AMOUNT PRESCRIBED IN PARAGRAPH (D) OF SUBDIVISION ONE  OF  THIS
SECTION.  IF, HOWEVER, THE AMOUNT OF CREDITS ALLOWED UNDER THIS SUBDIVI-
SION  FOR ANY TAXABLE YEAR REDUCES THE TAX TO SUCH AMOUNT, ANY AMOUNT OF
CREDIT THUS NOT DEDUCTIBLE IN SUCH TAXABLE YEAR SHALL BE TREATED  AS  AN
OVERPAYMENT  OF  TAX  TO  BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE
PROVISIONS OF SECTION ONE THOUSAND EIGHTY-SIX OF THIS CHAPTER. PROVIDED,
HOWEVER, THE PROVISIONS OF SUBSECTION (C) OF SECTION ONE THOUSAND EIGHT-
Y-EIGHT OF THIS CHAPTER NOTWITHSTANDING, NO INTEREST SHALL BE PAID THER-
EON.
  S 2. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
of  the  tax  law  is  amended by adding a new clause (xliii) to read as
follows:
  (XLIII) EMPLOYMENT OF INDIVIDUALS   AMOUNT OF CREDIT
  WHO HAVE GRADUATED FROM             UNDER SUBDIVISION
  DRUG COURT OR HAVE                  FORTY-NINE OF SECTION
  SUCCESSFULLY COMPLETED              TWO HUNDRED TEN-B
  A JUDICIAL DIVERSION PROGRAM
  TAX CREDIT UNDER
  SUBSECTION (CCC)
  S 3. Section 606 of the tax law is amended by adding a new  subsection
(ccc) to read as follows:
  (CCC) TAX CREDIT FOR EMPLOYMENT OF INDIVIDUALS WHO HAVE GRADUATED FROM
DRUG  COURT OR HAVE SUCCESSFULLY COMPLETED A JUDICIAL DIVERSION PROGRAM.
(1) ALLOWANCE OF CREDIT. A TAXPAYER SHALL BE ALLOWED  A  CREDIT,  TO  BE
COMPUTED  AS  PROVIDED  IN  THIS SUBDIVISION, AGAINST THE TAX IMPOSED BY
THIS ARTICLE, IF IT EMPLOYS AN INDIVIDUAL WHO HAS  GRADUATED  FROM  DRUG
COURT  OR  WHO  HAS  SUCCESSFULLY COMPLETED A JUDICIAL DIVERSION PROGRAM
PURSUANT TO ARTICLE TWO HUNDRED SIXTEEN OF THE CRIMINAL  PROCEDURE  LAW,
PROVIDED  THAT SUCH INDIVIDUAL IS EMPLOYED FOR THIRTY-FIVE HOURS OR MORE
PER WEEK AND REMAINS IN THE EMPLOY OF SUCH TAXPAYER FOR TWELVE MONTHS.
  (2) AMOUNT OF CREDIT. A CREDIT AUTHORIZED BY THIS SECTION SHALL  EQUAL
THREE  THOUSAND  DOLLARS  PER  HIRED  INDIVIDUAL  FOR  THE FIRST YEAR OF
EMPLOYMENT AND AN ADDITIONAL ONE  THOUSAND  DOLLARS  IF  THE  INDIVIDUAL
REMAINS IN EMPLOY FOR AN ADDITIONAL TWELVE MONTHS.
  (3)  APPLICATION  OF  CREDIT. THE CREDIT ALLOWED UNDER THIS SUBSECTION
FOR ANY TAXABLE YEAR SHALL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO  LESS
THAN  THE  HIGHER  OF THE AMOUNT PRESCRIBED IN PARAGRAPHS (C) AND (D) OF
SUBDIVISION ONE OF SECTION TWO HUNDRED  TEN-B  OF  THIS  CHAPTER.    IF,
HOWEVER,  THE  AMOUNT  OF CREDITS ALLOWED UNDER THIS SUBDIVISION FOR ANY
TAXABLE YEAR REDUCES THE TAX TO SUCH AMOUNT, ANY AMOUNT OF  CREDIT  THUS
NOT  DEDUCTIBLE  IN SUCH TAXABLE YEAR SHALL BE TREATED AS AN OVERPAYMENT
OF TAX TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE  PROVISIONS  OF
SECTION  ONE THOUSAND EIGHTY-SIX OF THIS CHAPTER. PROVIDED, HOWEVER, THE
PROVISIONS OF SUBSECTION (C) OF SECTION  ONE  THOUSAND  EIGHTY-EIGHT  OF
THIS CHAPTER NOTWITHSTANDING, NO INTEREST SHALL BE PAID THEREON.
  S  4.  This  act  shall take effect immediately and shall be deemed to
have been in full force and effect on the same date as part A of chapter
59 of the laws of 2014 took effect and  shall  apply  to  taxable  years
beginning  on and after January 1, 2016 and shall apply to those employ-
ees hired after this act shall take effect.