New York 2025-2026 Regular Session

New York Senate Bill S07838

Introduced
5/9/25  

Caption

Establishes a cannabis processor tax credit; authorizes a tax credit that is the equivalent to the licensed processor's cannabis potency tax liability for the year two thousand twenty-three, multiplied by three, but shall not exceed four hundred thousand dollars.

Impact

The impact of S07838 is significant for state laws regarding cannabis taxation. By creating a specific tax credit for licensed cannabis processors, the bill aims to promote growth within this newly legalized sector. It is designed to reduce the financial burden on processors, encouraging them to comply with state regulations and maintain their operations. The bill reflects a growing recognition of the economic potential of the cannabis industry and the necessity of supporting businesses during their establishment phase.

Summary

Bill S07838 is a legislative proposal aimed at establishing a cannabis processor tax credit in the state of New York. This bill introduces a new section in the tax law, which allows licensed processors to receive a refundable tax credit that corresponds to their cannabis potency tax liability for the year 2023, multiplied by three, but capped at a maximum of four hundred thousand dollars. The purpose of this bill is to provide financial relief to cannabis businesses that have incurred taxes during the state’s ongoing transition to a regulated market.

Contention

While the support for this bill may stem from its economic intentions, there are likely points of contention regarding its implementation and the allocation of tax credits. Critics may raise concerns about the fairness of providing tax benefits to a specific industry, particularly in relation to other sectors that do not receive similar credits. Additionally, the cap on the credit raises questions about how this limit could affect larger processors compared to smaller entities, potentially leading to disparities in the financial support received within the industry. Overall, the discussions among legislators may center around ensuring equitable taxation while fostering economic development in the cannabis market.

Companion Bills

NY A08233

Same As Establishes a cannabis processor tax credit; authorizes a tax credit that is the equivalent to the licensed processor's cannabis potency tax liability for the year two thousand twenty-three, multiplied by three, but shall not exceed four hundred thousand dollars.

Previously Filed As

NY S03495

Relates to the homeowner tax rebate credit by extending the provisions to apply for tax year two thousand twenty-three and every tax year thereafter.

NY S00091

Enacts the graduate outreach assistance law to exempt from state income taxation the first two hundred fifty thousand dollars, with a fifty thousand dollar cap per year, earned by a four-year college graduate and the first one hundred fifty thousand dollars, with a twenty-five thousand dollar cap per year, earned by a two-year college graduate.

NY A06390

Establishes a tax credit for pet adoption not to exceed three hundred fifty dollars.

NY A00304

Provides that for the two thousand twenty-four--two thousand twenty-five school year, the two thousand twenty-five--two thousand twenty-six school year, and the two thousand twenty-six--two thousand twenty-seven school year, surplus funds as used in this subdivision shall mean any operating funds in excess of five percent of the current school year budget, and shall not include funds properly retained under other sections of law.

NY A02569

Relates to providing hazard payments to essential workers during a state disaster emergency; provides that certain employers shall make hazard payments to essential workers during a state disaster emergency provided no hazard payment shall exceed twenty-five thousand dollars in any year for any essential worker earning less than two hundred thousand dollars per year or five thousand dollars for any essential worker earning more than two hundred thousand dollars.

NY S03134

Establishes a tax credit for individuals who serve or are employed as a direct support professional, or direct care worker, up to five thousand dollars for taxpayers who make less than fifty thousand dollars and phased out for individuals who make over one hundred thousand dollars.

NY A03370

Establishes a tax credit for individuals who serve or are employed as a direct support professional, or direct care worker, up to five thousand dollars for taxpayers who make less than fifty thousand dollars and phased out for individuals who make over one hundred thousand dollars.

NY A04188

Provides for apportionment for charter school tuition payments for any school district that is required to pay tuition to charter schools in the two thousand twenty-three-two thousand twenty-four school year and thereafter.

NY S02092

Increases the monetary jurisdiction of the justice courts from three thousand dollars to fifteen thousand dollars.

NY A03845

Increases the monetary jurisdiction of the justice courts from three thousand dollars to fifteen thousand dollars.

Similar Bills

No similar bills found.