New York 2025-2026 Regular Session

New York Senate Bill S04382

Introduced
2/4/25  
Refer
2/4/25  

Caption

Creates a tax credit for employment of persons on probation or parole.

Summary

Bill S04382 proposes to amend New York's tax law by introducing a tax credit for employers who hire individuals on probation or parole. Specifically, the bill allows taxpayers to claim a credit equal to 35% of the first $6,000 in wages paid to qualified employees, defined as those who have been convicted of a felony and are currently on probation or parole. The credit is applicable for wages earned during the first year of employment and can be carried over to subsequent years if it exceeds the taxpayer's tax liability for the current year. The legislation aims to incentivize the employment of formerly incarcerated individuals, thereby facilitating their reintegration into society and reducing recidivism rates. The bill also aligns with existing federal tax credits, allowing for coordination with the federal work opportunity tax credit for vocational rehabilitation referrals, which may enhance the financial benefits for employers hiring these individuals. This bill is expected to have a significant impact on state tax law by creating a new category of tax credits specifically aimed at supporting the employment of individuals with felony convictions. It encourages employers to consider hiring from this demographic, potentially leading to increased job opportunities and economic stability for those affected by the criminal justice system. The implementation of this credit could stimulate discussions on broader criminal justice reform and employment policies in New York. The sentiment around the bill appears to be generally positive, as it addresses the challenges faced by individuals on probation or parole in securing employment. However, there may be concerns regarding the potential for abuse of the tax credit system and the effectiveness of such measures in genuinely improving employment outcomes for this population.

Impact

The introduction of this tax credit will amend existing tax laws in New York, creating a financial incentive for employers to hire individuals on probation or parole. This could lead to a shift in hiring practices and potentially reduce unemployment rates among those with felony convictions. The bill's provisions for carryover credits and alignment with federal tax incentives may also encourage more businesses to participate in hiring programs aimed at reintegrating formerly incarcerated individuals into the workforce.

Sentiment

The general sentiment surrounding Bill S04382 is supportive, with advocates highlighting the importance of providing second chances to individuals with felony convictions. Discussions suggest that the bill could play a crucial role in reducing recidivism and promoting social equity. However, some stakeholders may express concerns about the implementation and monitoring of the tax credit to prevent misuse.

Contention

Notable points of contention may arise from concerns about the potential for employers to exploit the tax credit without genuinely committing to the employment of individuals on probation or parole. Critics may argue that the bill does not adequately address the need for comprehensive support systems for these individuals beyond just financial incentives, such as job training and mentorship programs.

Companion Bills

No companion bills found.

Previously Filed As

NY S02105

Creates a tax credit for employment of persons on probation or parole.

NY SB217

Establish work time credit for probationers and parolees

NY HB516

AN ACT relating to retirement benefits for probationary employment.

NY SB971

Income tax, state; creates second-chance employment tax credit.

NY AB2479

Personal income tax: employment credit.

NY SB537

To Create The Earning Safe Reentry Through Work Act; And To Create A Sentence Credit Program For A Person On Probation, Parole, Or Post-release Supervision To Earn Time Credits Through Employment; And To Declare An Emergency.

NY H0187

Amends and adds to existing law to establish provisions regarding advisement to certain probationers and parolees regarding conditions of probation or parole.

NY AB2205

Personal Income Tax Law: Corporation Tax Law: New Employment Credit.

NY HB3651

Prisons and reformatories; authorizing the Director of the Oklahoma Department of Corrections to supervise certain probationers and parolees; effective date.

NY SB839

Creating personal income tax credit for election officials in WV

Similar Bills

No similar bills found.