What is the New York Youth Jobs Program Tax Credit?

Under New York tax regulations (Article 9-A, Section 210-B.36), eligible businesses can receive a credit for hiring unemployed, economically disadvantaged youth aged 16-24 residing in New York State. To qualify, youth must be certified participants and commence work between January 1st and December 31st of each program year. Additionally, participating businesses must undergo certification. Applications must be submitted online by November 30th annually, with recertification required each subsequent year. Upon approval, the Department of Labor (DOL) issues a preliminary certificate indicating the maximum tax credit amount. Employers must then submit an annual report to the DOL by January 31st. Upon DOL approval of the report and meeting eligibility criteria, a final tax credit certificate is issued. The program is valid until 2027.

What businesses are eligible for the New York Youth Jobs Program tax credit?

To access the valuable tax credits offered by the New York Youth Jobs Program, businesses must meet the following eligibility requirements:

• Established Presence in New York State: Businesses must operate physical locations within New York State that are in good legal standing, ensuring compliance with state regulations.
• Tax Obligations under Articles 9-A or 22: Eligible businesses must be subject to taxation under either Articles 9-A or 22 of New York tax law. However, it's important to note that the tax credit cannot be applied against the metropolitan transportation business tax (MTA surcharge) under Article 9-A.
• Certification for Program Participation: Businesses must undergo certification to participate in the New York Youth Jobs Program, demonstrating their commitment to supporting youth employment initiatives.
• Employment of Certified Youth: To qualify for the tax credit, businesses must hire certified youth between the ages of 16 and 24 who reside in New York State. These individuals contribute to the local workforce while benefiting from valuable employment opportunities.
• Receipt of Tax Credit Certificate: Upon meeting program requirements, businesses will receive a certificate of tax credit from the New York State Department of Labor, confirming their eligibility for tax credits.

What are the credit amounts for the New York Youth Jobs Program Tax Credit?

For Full-Time Employment (35+ hours per week):

• The maximum credit amount is $7,500.
• Businesses can claim up to $750 per month for a maximum of six months (totaling $4,500).
• An additional $1,500 credit is available if the youth remains employed for six months beyond the initial six months (for a total of one year).
• Another $1,500 credit is available if the youth continues employment for a second full year.

For Part-Time Employment (20-34 hrs/wk or 10-34 hrs/wk if enrolled in High School):

• The maximum credit amount is $3,750.
• Businesses can claim up to $375 per month for a maximum of six months (totaling $2,250).
• An additional $750 credit is available if the youth remains employed for six months beyond the initial six months (for a total of one year).
• Another $750 credit is available if the youth continues employment for a second full year.