Bill Text: NY A00833 | 2025-2026 | General Assembly | Introduced

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Bill Title: Creates deduction from franchise tax and personal income tax for costs of acquiring or improving a child care facility operated for profit; creates deduction from corporation tax, franchise tax, personal income tax and tax on banks for costs of acquiring or improving a child care facility operated primarily for children of taxpayer's employees.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2025-01-08 - referred to ways and means [A00833 Detail]

Download: New_York-2025-A00833-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                           833

                               2025-2026 Regular Sessions

                   IN ASSEMBLY

                                       (Prefiled)

                                     January 8, 2025
                                       ___________

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

        AN ACT to amend the tax law, in relation to providing tax deductions for
          expenditures made to purchase, construct, renovate  or  remodel  child
          care facilities

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. The tax law is amended by adding a  new  section  188-a  to
     2  read as follows:
     3    §  188-a.  Deduction for creation or improvement of child care facili-
     4  ties. A taxpayer operating a child care facility within the state prima-
     5  rily for the children of such taxpayer's employees, shall be  allowed  a
     6  deduction  from  taxable  income  for  any  expenditure made to acquire,
     7  construct, renovate or remodel such child care facility or the equipment
     8  therein. The deduction created by this section shall  be  deducted  over
     9  twenty-four  months  commencing  in the month in which such acquisition,
    10  construction,  renovation  or  remodeling  is  put  into  service.   The
    11  deduction  provided by this section shall be in lieu of any other allow-
    12  ance for the exhaustion of such property used in  a  trade  or  business
    13  held  for the production of income, including a reasonable allowance for
    14  obsolescence pursuant to section one hundred sixty-seven or one  hundred
    15  eighty-eight of the internal revenue code.
    16    §  2. Subdivision 9 of section 208 of the tax law is amended by adding
    17  two new paragraphs (u) and (v) to read as follows:
    18    (u) A taxpayer operating a child care facility for  profit,  shall  be
    19  allowed  a  deduction from entire net income for any expenditure made to
    20  acquire, construct, renovate or remodel such child care facility or  the
    21  equipment  therein.  The  deduction  created  by this paragraph shall be
    22  deducted over sixty months commencing in the month in which such  acqui-
    23  sition, construction, renovation or remodeling is put into service.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD02362-01-5
        A. 833                              2

     1    (v) A taxpayer operating a child care facility within the state prima-
     2  rily  for  the children of such taxpayer's employees, shall be allowed a
     3  deduction from the  entire  net  income  for  any  expenditure  made  to
     4  acquire,  construct, renovate or remodel such child care facility or the
     5  equipment  therein.  The  deduction  created  by this paragraph shall be
     6  deducted over twenty-four months commencing in the month in  which  such
     7  acquisition, construction, renovation or remodeling is put into service.
     8  The  deduction  provided by this paragraph shall be in lieu of any other
     9  allowance for the exhaustion of such property used in a trade  or  busi-
    10  ness held for the production of income, including a reasonable allowance
    11  for  obsolescence  pursuant  to  section  one hundred sixty-seven or one
    12  hundred eighty-eight of the internal revenue code.
    13    § 3. Subsection (c) of section 612 of the tax law is amended by adding
    14  two new paragraphs 17 and 18 to read as follows:
    15    (17) Any expenditure made by a taxpayer operating a child care facili-
    16  ty for profit, to acquire, construct, renovate  or  remodel  such  child
    17  care  facility  or  the equipment therein. The deduction created by this
    18  paragraph shall be deducted over sixty months commencing in the month in
    19  which such acquisition, construction, renovation or  remodeling  is  put
    20  into service.
    21    (18) Any expenditure made by a taxpayer operating a child care facili-
    22  ty  within  the  state  primarily  for  the  children of such taxpayer's
    23  employees, to acquire, construct, renovate or remodel  such  child  care
    24  facility  or  the equipment therein. The deduction created by this para-
    25  graph shall be deducted over twenty-four months commencing in the  month
    26  in which such acquisition, construction, renovation or remodeling is put
    27  into  service. The deduction provided by this paragraph shall be in lieu
    28  of any other allowance for the exhaustion of such  property  used  in  a
    29  trade or business held for the production of income, including a reason-
    30  able  allowance  for obsolescence pursuant to section one hundred sixty-
    31  seven or one hundred eighty-eight of the internal revenue code.
    32    § 4.  This act shall take effect immediately.