S T A T E   O F   N E W   Y O R K
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                                  3243

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                            January 22, 2015
                               ___________

Introduced  by  M.  of A. HAWLEY, JOHNS -- read once and referred to the
  Committee on Ways and Means

AN ACT to amend the tax law, in relation to creating a  local  food  and
  products sourcing tax credit

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Section 210-b of the tax law is amended  by  adding  a  new
subdivision 49 to read as follows:
  49. LOCAL FOOD AND PRODUCTS SOURCING TAX CREDIT. 1. BUSINESSES SUBJECT
TO  TAX LIABILITY UNDER ARTICLE NINE OR NINE-A OF THIS CHAPTER MAY CLAIM
THE LOCAL FOODS AND  PRODUCTS  SOURCING  TAX  CREDIT  AGAINST  ANY  SUCH
LIABILITY  AT  THE  CLOSE  OF  THE  TAX YEAR PROVIDED, HOWEVER, THAT THE
UNUSED PORTION OF ANY TAX CREDIT CLAIMED SHALL NOT  BE  CARRIED  FORWARD
AND APPLIED IN ANOTHER TAX YEAR.
  2. FOR THE PURPOSES OF THIS SECTION THE FOLLOWING TERMS SHALL HAVE THE
FOLLOWING MEANINGS:
  (A)  "LOCAL  PRODUCTS",  ARE  ANY PRODUCTS GROWN, RAISED, PRODUCED, OR
MANUFACTURED BY A PRODUCER WITHIN THE STATE OF NEW YORK,  FROM  SEED  OR
CONCEPTION THROUGH FINAL PRODUCT;
  (B)  "PRODUCER",  IS  AN  INDIVIDUAL  (WHETHER  ACTING INDIVIDUALLY OR
THROUGH A COOPERATIVE, CORPORATION, PARTNERSHIP,  BUSINESS  ASSOCIATION,
OR EDUCATIONAL INSTITUTION) WHO IS A FARMER, STUDENT FARMER, OR MANUFAC-
TURER  OF FOODS OR GOODS IN NEW YORK STATE, IT SHALL NOT HOWEVER INCLUDE
A WHOLESALER OR DISTRIBUTOR;
  (C) "NET SALES", ARE THE TOTAL SALES OF THE BUSINESS SUBJECT TO TAX.
  3. THE AMOUNT OF THE CREDIT  SHALL  BE  PROSCRIBED  ACCORDING  TO  THE
FOLLOWING SCHEDULE:
  (A)  TWENTY  PERCENT OF NET SALES ARE ATTRIBUTED TO LOCAL PRODUCTS THE
CREDIT SHALL BE ONE THOUSAND FIVE HUNDRED DOLLARS.
  (B) FORTY PERCENT OF NET SALES ARE ATTRIBUTED TO  LOCAL  PRODUCTS  THE
CREDIT SHALL BE THREE THOUSAND DOLLARS.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02247-01-5
              

A. 3243                             2

  (C)  SIXTY  PERCENT  OF NET SALES ARE ATTRIBUTED TO LOCAL PRODUCTS THE
CREDIT SHALL BE SIX THOUSAND DOLLARS.
  (D)  EIGHTY  PERCENT OF NET SALES ARE ATTRIBUTED TO LOCAL PRODUCTS THE
CREDIT SHALL BE TWELVE THOUSAND DOLLARS.
  (E) ONE HUNDRED PERCENT OF NET SALES ARE ATTRIBUTED TO LOCAL  PRODUCTS
THE CREDIT SHALL BE TWENTY-FIVE THOUSAND DOLLARS.
  4.(A)  BUSINESSES  CLAIMING  THE  LOCAL FOOD AND PRODUCTS SOURCING TAX
CREDIT SHALL SUBMIT A COMPUTER-GENERATED REPORT WITH  TAX  RETURNS  THAT
CLAIM A TAX CREDIT.
  (B)  SUCH  REPORT SHALL INCLUDE THE NAME OF THE PRODUCER AND THE PHYS-
ICAL PLACE OF THE BUSINESS WHERE THE PRODUCTS ARE PRODUCED.
  (C) THE AMOUNT PAID BY GROCER OR BUSINESS  TO  THE  PRODUCER  AND  THE
AMOUNT OF UNITS PURCHASED.
  S 2. This act shall take effect immediately.