S T A T E O F N E W Y O R K ________________________________________________________________________ 1589 2013-2014 Regular Sessions I N S E N A T E (PREFILED) January 9, 2013 ___________ Introduced by Sen. GRISANTI -- read twice and ordered printed, and when printed to be committed to the Committee on Investigations and Govern- ment Operations AN ACT to amend the tax law, in relation to the employment of New York state residents by taxpayers eligible to receive certain tax credits THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. Section 210 of the tax law is amended by adding a new 2 subdivision 46 to read as follows: 3 46. EMPLOYMENT OF NEW YORK STATE RESIDENTS. (A) A TAXPAYER SHALL NOT 4 BE ENTITLED TO RECEIVE ANY CREDIT OR CREDITS PROVIDED BY THIS SECTION 5 FOR THE PURPOSE OF ENGAGING IN A DEVELOPMENT PROJECT, THE COST OF WHICH 6 EXCEEDS ONE MILLION DOLLARS, UNLESS SUCH TAXPAYER HAS SUBMITTED, ON A 7 FORM AND IN A MANNER TO BE DETERMINED BY THE COMMISSIONER, A SWORN 8 STATEMENT IN WRITING, UNDER OATH, ALONG WITH SUCH SUPPORTING DOCUMENTA- 9 TION AS THE COMMISSIONER MAY REQUIRE, THAT EIGHTY-FIVE PERCENT OF THE 10 LABOR FORCE HIRED TO COMPLETE SUCH DEVELOPMENT PROJECT DURING THE TAXA- 11 BLE YEAR FOR WHICH SUCH STATEMENT IS SUBMITTED CONSISTED OF RESIDENTS OF 12 THIS STATE. FOR PURPOSES OF THIS SUBDIVISION, "DEVELOPMENT PROJECT" 13 SHALL MEAN THE REHABILITATION, IMPROVEMENT, CONSTRUCTION OR ACQUISITION, 14 SINGLY OR IN COMBINATION, OF ONE OR MORE BUILDINGS OR STRUCTURES. 15 (B) NOTWITHSTANDING THE FOREGOING, A TAXPAYER SUBJECT TO THIS SUBDIVI- 16 SION MAY RECEIVE ANY CREDIT PROVIDED BY THIS SECTION IF IT CAN SHOW 17 THAT: 18 (I) IT MADE DILIGENT EFFORTS TO HIRE RESIDENT EMPLOYEES, BUT NO SUCH 19 EMPLOYEES EXISTED OR WERE QUALIFIED FOR THE EMPLOYMENT POSITION; 20 (II) THE EMPLOYMENT POSITION REQUIRES SPECIALIZED TALENTS THAT CAN 21 ONLY BE FILLED BY INDIVIDUALS WHO HAPPEN TO RESIDE OUTSIDE THIS STATE; 22 OR EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD04714-01-3 S. 1589 2 1 (III) AT THE TIME OF SUCH SUBMISSION, A LABOR FORCE HAS NOT YET BEEN 2 HIRED TO COMPLETE THE DEVELOPMENT PROJECT BUT THAT EIGHTY-FIVE PERCENT 3 OF THE LABOR FORCE THAT SUCH TAXPAYER INTENDS TO HIRE IN THE UPCOMING 4 TAXABLE YEAR OR YEARS WILL CONSIST OF RESIDENTS OF THIS STATE. 5 S 2. This act shall take effect on the ninetieth day after it shall 6 have become a law and shall apply to any credit claimed on or after such 7 effective date.