§ 38*2 — Minimum wage reimbursement credit

New York § 38*2

• Jurisdiction: New York
• Law TAX: Tax
• Art. 1: Short Title; Definitions; Miscellaneous

Text

* § 38. Minimum wage reimbursement credit. (a) A taxpayer that is an\neligible employer or an owner of an eligible employer as defined in\nsubdivision (b) of this section shall be eligible for a credit against\nthe tax imposed under article nine, nine-A, twenty-two, or thirty-three\nof this article, pursuant to the provisions referenced in subdivision\n(e) of this section.\n (b) An eligible employer is a corporation (including a New York S\ncorporation), a sole proprietorship, a limited liability company or a\npartnership. An eligible employee is an individual who is (i) employed\nby an eligible employer in New York state, (ii) paid at the minimum wage\nrate as defined in article nineteen of the labor law during the taxable\nyear by the eligible employer, (iii) between the ages of sixteen and\nnineteen during the period in which he or she is paid at such minimum\nwage rate by the eligible employer, and (iv) a student during the period\nin which he or she is paid at such minimum wage rate by the taxpayer.\n (c) For taxable years beginning on or after January first, two\nthousand fourteen and before January first, two thousand fifteen, the\namount of the credit allowed under this section shall be equal to the\nproduct of the total number of hours worked during the taxable year by\neligible employees for which they were paid at the minimum wage rate as\ndefined in article nineteen of the labor law and seventy five cents. For\ntaxable years beginning on or after January first, two thousand fifteen\nand before January first, two thousand sixteen, the amount of the credit\nallowed under this section shall be equal to the product of the total\nnumber of hours during the taxable year worked by eligible employees for\nwhich they were paid at such minimum wage rate and one dollar and\nthirty-one cents. For taxable years beginning on or after January first,\ntwo thousand sixteen and before January first, two thousand nineteen,\nthe amount of the credit allowed under this section shall be equal to\nthe product of the total number of hours during the taxable year worked\nby eligible employees for which they were paid at such minimum wage rate\nand one dollar and thirty-five cents. Provided, however, if the federal\nminimum wage established by federal law pursuant to 29 U.S.C. section\n206 or its successors is increased above eighty-five percent of the\nminimum wage in article nineteen of the labor law, the dollar amounts in\nthis subdivision shall be reduced to the difference between the minimum\nwage in article nineteen of the labor law and the federal minimum wage.\nSuch reduction would take effect on the date that employers are required\nto pay such federal minimum wage.\n (d) Employer prohibition. An employer shall not discharge an employee\nand hire an eligible employee solely for the purpose of qualifying for\nthis credit. An eligible employee who is used as the basis for this\ncredit may not be used as the basis of any other credit allowed under\nthis chapter.\n (e) Cross references: For application of the credit provided in this\nsection, see the following provisions of this chapter:\n (2) Article 9-A: Section 210-B, subdivision 40.\n (3) Article 22: Section 606, subsection (aaa).\n (4) Article 33: Section 1511, subdivision (cc).\n * NB There are 2 § 38's\n