BILL NUMBER: S5644
SPONSOR: BAILEY
 
TITLE OF BILL:
An act to amend the tax law, in relation to establishing a MWBE or
SDVOBE subcontractor tax credit
 
PURPOSE:
This act will amend the tax law to include a MWBE or SDVOBE subcontrac-
tor tax incentive.
 
SUMMARY OF PROVISIONS:
Section 210-B of the tax law is amended by adding a new subdivision 60,
which establishes the MWBE or SDVOBE subcontractor tax credit. Subpara-
graph (b) of paragraph 1 of subsection(i) of section 606 of the tax law
is amended by adding new clause(li).
Section 606 of the tax law is amended by adding a new subsection (ppp).
 
JUSTIFICATION:
1) Increase subcontracts to minority-owned business enterprises
(MWBEs) or service-disabled veteran-owned business enterprises
(SDVOBEs).
2) Increase employment by MWBE/SDVOBE due to increased business opportu-
nities.
3) Increase taxes paid to New York State by MWBE/SDVOBE due to increased
revenues.
4) Act as a further inducement to ensure industry compliance with Arti-
cle 15A (MWBE) and Article 3 (SDVOBE).
 
LEGISLATIVE HISTORY:
2023-24: S9705 - Referred to Budget and Revenue
 
FISCAL IMPLICATIONS:
None.
 
EFFECTIVE DATE:
Immediately.

Statutes affected:
S5644: 210-B tax law, 606 tax law, 606(i) tax law