2023 New York Laws › TAX - Tax › Article 1 - Short Title; Definitions; Miscellaneous › 42 - Farm Workforce Retention Credit.

§  42.  Farm workforce retention credit. (a) A taxpayer that is a farm
employer or an owner of a farm employer shall be eligible for  a  credit
against  the  tax  imposed  under  article  nine-A or twenty-two of this
chapter, pursuant to the provisions referenced  in  subdivision  (g)  of
this section.
(b)  A  farm  employer  is  a  corporation  (including  a  New  York S
corporation), a sole proprietorship, a limited liability  company  or  a
partnership who is also an eligible farmer.
(c)  For  purposes of this section, the term "eligible farmer" means a
taxpayer  whose  federal  gross  income  from  farming  as  defined   in
subsection  (n)  of  section  six  hundred  six  of this chapter for the
taxable year is at least two-thirds  of  excess  federal  gross  income.
Excess  federal  gross  income  means the amount of federal gross income
from all sources for the taxable  year  in  excess  of  thirty  thousand
dollars.  For  purposes  of  this  section,  payments  from  the state's
farmland  protection  program,  administered  by   the   department   of
agriculture  and markets, shall be included as federal gross income from
farming for otherwise eligible farmers.
(d) An eligible farm employee is an individual  who  is  employed  for
five  hundred  hours or more per taxable year, by a farm employer in New
York state,  but  excluding  general  executive  officers  of  the  farm
employer; provided, however, that where an individual employed by a farm
employer  in  New  York state becomes unable to work due to a documented
illness or disability, the hours such  individual  is  employed  may  be
combined  with  the  hours worked by an individual hired to replace such
individual when determining whether the five hundred hour threshold  has
been met.
(d-1)  Special  rules.  If  more  than  fifty percent of such eligible
farmer's federal gross income from farming is from the sale of wine from
a licensed farm winery as provided for in article six of  the  alcoholic
beverage  control  law,  or  from the sale of cider from a licensed farm
cidery as  provided  for  in  section  fifty-eight-c  of  the  alcoholic
beverage  control  law,  then an eligible farm employee of such eligible
farmer shall be included for  purposes  of  calculating  the  amount  of
credit allowed under this section only if such eligible farm employee is
employed  by  such eligible farmer on qualified agricultural property as
defined in paragraph four of subsection (n) of section six  hundred  six
of this chapter.
(e)  For  taxable  years  beginning  on  or  after  January first, two
thousand seventeen and before January first, two thousand eighteen,  the
amount  of  the  credit allowed under this section shall be equal to the
product of the total number of eligible farm employees and  two  hundred
fifty  dollars.  For  taxable years beginning on or after January first,
two thousand eighteen and before January first, two  thousand  nineteen,
the  amount  of  the credit allowed under this section shall be equal to
the product of the total number of eligible  farm  employees  and  three
hundred  dollars. For taxable years beginning on or after January first,
two thousand nineteen and before January first, two thousand twenty, the
amount of the credit allowed under this section shall be  equal  to  the
product  of the total number of eligible farm employees and five hundred
dollars. For taxable years beginning on  or  after  January  first,  two
thousand  twenty  and before January first, two thousand twenty-one, the
amount of the credit allowed under this section shall be  equal  to  the
product  of the total number of eligible farm employees and four hundred
dollars. For taxable years beginning on  or  after  January  first,  two
thousand  twenty-one  and before January first, two thousand twenty-two,
the amount of the credit allowed under this section shall  be  equal  to
the  product  of  the  total  number  of eligible farm employees and six

hundred dollars. For taxable years beginning on or after January  first,
two   thousand   twenty-two  and  before  January  first,  two  thousand
twenty-six, the amount of the credit allowed under this section shall be
equal  to the product of the total number of eligible farm employees and
twelve hundred dollars.
(f) A taxpayer claiming the credit allowed under  this  section  shall
not be allowed to claim any other tax credit allowed under this chapter,
except  the  credit  allowed  under section forty-two-a of this article,
with respect to any eligible farm employee included in the total  number
of  eligible  farm  employees used to determine the amount of the credit
allowed under this section.
(g) Cross references: For application of the credit provided  in  this
section, see the following provisions of this chapter:
(1) Article 9-A: Section 210-B, subdivision 51.
(2) Article 22: Section 606, subsection (fff).