§ 187-A — Credit for employment of persons with disabilities

§ 187-a. Credit for employment of persons with disabilities. 1.\nAllowance of credit. A taxpayer shall be allowed a credit, to be\ncomputed as hereinafter provided, against the taxes imposed by this\narticle, other than the taxes imposed by sections one hundred\neighty-six-a, one hundred eighty-six-e and one hundred eighty-nine of\nthis article, for employing within the state a qualified employee.\nProvided, however, the amount of credit allowed by this section against\nthe tax imposed by section one hundred eighty-four of this article shall\nbe the excess of the credit computed under this section over the amount\nof credit allowed by this section against the tax imposed by section one\nhundred eighty-three of this article.\n 2. Qualified employee. A qualified employee is an individual:\n (a) who is certified by the education department, or in the case of an\nindividual who is blind or visually handicapped, by the state agency\nresponsible for provision of vocational rehabilitation services to the\nblind and visually handicapped: (i) as a person with a disability which\nconstitutes or results in a substantial handicap to employment and (ii)\nas having completed or as receiving services under an individualized\nwritten rehabilitation plan approved by the education department or\nother state agency responsible for providing vocational rehabilitation\nservices to such individual; and\n (b) who has worked on a full-time basis for the employer who is\nclaiming the credit for at least one hundred eighty days or four hundred\nhours.\n 3. Amount of credit. Except as provided in subdivision four of this\nsection, the amount of credit under this section shall be thirty-five\npercent of the first six thousand dollars in qualified first-year wages\nearned by each qualified employee. "Qualified first-year wages" means\nwages paid or incurred by the taxpayer during the taxable year to\nqualified employees which are attributable, with respect to any such\nemployee, to services rendered during the one-year period beginning with\nthe day the employee begins work for the taxpayer.\n 4. Credit where federal work opportunity tax credit applies. With\nrespect to any qualified employee whose qualified first-year wages under\nsubdivision three of this section also constitute qualified first-year\nwages for purposes of the work opportunity tax credit for vocational\nrehabilitation referrals under section fifty-one of the internal revenue\ncode, the amount of credit under this section shall be thirty-five\npercent of the first six thousand dollars in qualified second-year wages\nearned by each such employee. "Qualified second-year wages" means wages\npaid or incurred by the taxpayer during the taxable year to qualified\nemployees which are attributable, with respect to any such employee, to\nservices rendered during the one-year period beginning one year after\nthe employee begins work for the taxpayer.\n 5. Carryover. In no event shall the credit under this section be\nallowed in an amount which will reduce the tax payable to less than the\napplicable minimum tax fixed by section one hundred eighty-three or\nformer section one hundred eighty-six of this article. If, however, the\namount of credit allowable under this section for any taxable year\nreduces the tax to such amount, any amount of credit not deductible in\nsuch taxable year may be carried over to the following year or years and\nmay be deducted from the taxpayer's tax for such year or years.\n 6. Coordination with federal work opportunity tax credit. The\nprovisions of sections fifty-one and fifty-two of the internal revenue\ncode, as such sections applied on October first, nineteen hundred\nninety-six, that apply to the work opportunity tax credit for vocational\nrehabilitation referrals shall apply to the credit under this section to\nthe extent that such sections are consistent with the specific\nprovisions of this section, provided that in the event of a conflict the\nprovisions of this section shall control.\n