STATE OF NEW YORK ________________________________________________________________________ 5971--A 2017-2018 Regular Sessions IN SENATE May 9, 2017 ___________ Introduced by Sens. KENNEDY, HAMILTON, LATIMER -- read twice and ordered printed, and when printed to be committed to the Committee on Investi- gations and Government Operations -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said commit- tee AN ACT to amend the tax law, in relation to providing a tax credit to employers who subsidize an employee's use of public transportation The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Section 210-B of the tax law is amended by adding a new 2 subdivision 53 to read as follows: 3 53. Employer transportation credit. (a) A taxpayer shall be allowed a 4 credit, to be computed as hereinafter provided, against the tax imposed 5 by this article. The amount of the credit shall be equal to either: 6 (i) fifteen percent of the expenses incurred during a taxable year in 7 providing public transportation services for employees, provided that 8 the taxpayer contribute at least fifty percent of an employee's total 9 public transportation service cost. 10 (ii) twenty-five percent of the expenses incurred during a taxable 11 year in providing public transportation services for employees, provided 12 that the taxpayer contribute one hundred percent of an employee's total 13 public transportation service cost. 14 (b) For the purposes of this subdivision, "public transportation 15 service" shall have the same definition as in subdivision five of 16 section seventy-three-c of the transportation law. 17 (c) A taxpayer may contribute to an employee's total transportation 18 service cost in the following manners: 19 (i) by reimbursing an employee directly for the cost of the expenses 20 incurred for services; 21 (ii) by providing passes for purchase directly to employees at a 22 discounted rate; or EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD10961-03-7S. 5971--A 2 1 (iii) by allowing employees to incur a payroll deduction. 2 (d) Such pass must cover a minimum of one year per employee for the 3 taxpayer to claim a credit under this section. 4 (e) No such credit shall: 5 (i) cover public transportation service providers located outside of 6 the state of New York; or 7 (ii) exceed the amount of tax otherwise due pursuant to this article 8 for the taxable year. 9 (f) The aggregate amount of tax credits allowed under this subdivision 10 in any calendar year statewide shall be fifty million dollars. 11 (g) The commissioner shall prioritize employers who subsidize the full 12 cost of employee transit over the fifty percent subsidy. 13 § 2. This act shall take effect immediately and shall apply to taxable 14 years commencing on or after such effective date.