Increases the excelsior research and development tax credit maximum from six to twenty percent.
Summary
This bill amends the Economic Development Law to increase the maximum Excelsior research and development tax credit available to participants in the Excelsior Jobs Program. Under current law, the credit generally equals 50% of the participant’s federal R&D credit attributable to New York research and development spending, but is capped at 6% of qualified in-state R&D expenditures for non-green projects. The bill raises that cap to 20% for non-green projects. The existing 8% cap for green projects and Green CHIPS projects is left unchanged.
The bill also preserves the rule that, if the federal research and development credit has expired, the state credit calculation will use the federal credit structure and definition that existed in 2009. It further clarifies that New York research and development expenditures, including salary or wage costs for R&D-related jobs in the state, may be used as the basis for both the Excelsior R&D tax credit component and the qualified emerging technology company facilities, operations, and training credit under the Tax Law. The act would take effect immediately if enacted.
Impact
The bill would directly amend section 355 of the Economic Development Law by increasing the ceiling on the Excelsior research and development tax credit for non-green projects from 6% to 20% of qualified New York R&D expenditures. This would expand the potential tax benefit for businesses participating in the Excelsior Jobs Program and could increase state tax expenditures associated with the credit. It does not change the special 8% cap for green projects or Green CHIPS projects, and it leaves the underlying eligibility framework intact.
Sentiment
There is no recorded committee transcript or vote history in the provided materials, so no formal legislative debate or roll-call sentiment is available. Based on the bill’s text and caption, the measure appears pro-business and pro-innovation, aimed at making New York more competitive for research and development investment. The absence of recorded opposition or amendments in the supplied context means sentiment cannot be assessed beyond the bill’s apparent economic-development purpose.
Contention
No specific points of contention are documented in the provided committee materials or voting record. Potential areas of debate, based on the bill itself, would likely include the cost to the state from a larger tax credit, whether the increase would effectively stimulate additional in-state R&D and jobs, and whether the higher cap should be limited to certain project types. The bill preserves a lower cap for green and Green CHIPS projects, which may also raise questions about how the state prioritizes different kinds of economic development incentives.
Increases the excelsior research and development tax credit maximum from six to twenty percent for qualified research and development expenditures attributable to activities conducted in New York state.
Enacts the "empire innovation act"; provides that a participant in the excelsior jobs program shall be eligible to claim a credit equal to the portion of the full cost of the participant's research and development expenses incurred that relates to the participant's research and development expenditures in New York state during the taxable year; provided however, if the participant receives a federal research and development tax credit calculated on the full cost of the participant's research and development expenses that relates to the participant's research and development expenditures in New York state during the taxable year, then said participant shall only be eligible to claim a credit equal to fifty percent of the portion of the participant's federal research and development tax credit that relates to the participant's research and development expenditures in New York state during the taxable year.
Increases tax credits for donations to food pantries made by farmers by increasing the allowable percentage of the fair market value of such donations and increasing the maximum amount of such credit.
Increases tax credits for donations to food pantries made by farmers by increasing the allowable percentage of the fair market value of such donations and increasing the maximum amount of such credit.
Increases qualified research expenses tax credit for corporation business taxpayers engaged in targeted industries; increases basic research payment tax credit; allows research tax credit to be refundable.
Increases qualified research expenses tax credit for corporation business taxpayers engaged in targeted industries; increases basic research payment tax credit; allows research tax credit to be refundable.