New York’s FY 2014-15 included a number of attractive additions and changes to taxes and incentives.
Corporations may look forward to a reduction in their franchise tax rate from 7.1% to 6.5%, effective January 1, 2016, while manufacturers will enjoy a reduced tax rate from 5.9% to 0% as of January 1, 2014, in addition to refundable income tax credit equal to 20% of the real property taxes paid by manufacturers that own property.
Additionally, for those businesses participating in the New York Youth Works Program, they will now be allowed a second year’s retention credit for each qualified employee employed for at least one additional year.
The definition of a qualified employee was also amended to include full-time high-school students working ten hours a week.
Those businesses involved in musical and theatrical productions now have a new income tax credit for hiring persons with developmental disabilities as well as a refundable musical and theatrical production income credit for production tours of 25% qualified production expenditures.
The Empire State Commercial Production tax credit has been extended two years while the Empire Film Production Credit was also expanded by allowing Albany and Schenectady counties to participate in the 10% additional credits for upstate counties.