Addabbo bill creating tax credit for small businesses who hire disabled workers passes Senate and Assembly

Legislation (S.5545) sponsored by NYS Senator Joseph P. Addabbo, Jr. that would create a tax credit program for small businesses that hire disabled employees passed the State Senate and Assembly.

“This proposal would help New York’s small businesses hire talented, qualified workers who simply happen to be disabled, and who may find it difficult to obtain employment,” said Addabbo. “People with disabilities often face significant challenges but earning a living, supporting their families, and contributing to society shouldn’t be among those challenges. This bill will encourage the employment of people who are too often overlooked.”

Under the legislation, businesses with fewer than 100 employees would be able to receive a $5,000 tax credit for each disabled person brought on as a new hire, up to $25,000. The employee must be a New York resident who works at least 35 hours a week for at least six month for the companies to be eligible for the tax credit. Statewide, $5 million would be available each year to cover the cost of the credits.

“The employment rate for disabled Americans has been falling, and this tax incentive may help to reverse the trend,” said Addabbo. “We need to do more to help our disabled family members, neighbors and friends find meaningful employment and enjoy the independence that a steady job can bring,” said Addabbo. “At the same time, it’s important to help our small business owners, who are the backbone of our economy, find qualified employees to share in and contribute to the success of their companies.”

While the national economy has shown improvement, New Yorkers with disabilities have continued to fall behind. The University of New Hampshire’s Institute on Disability recently reported that out of more than 1,000,000 working-age New Yorkers with disabilities, only 367,478 have jobs. RespectAbility recently released a report showing that New York now ranks 40^th in the nation for employment of people with disabilities which is a drop of seven states from their previous report. Even though more than 5,000 more New Yorkers with disabilities entered the workforce last year, New York continues to be outpaced by almost 80 percent of the country.

Now that the legislation has cleared both houses of the Legislature, the next stop for the proposal is Governor Cuomo’s desk for final consideration.