On
May 22, 2013, Governor Cuomo unveiled a new economic development proposal
intended to create tax free zones for qualified new businesses operating near
SUNY campuses, designated private colleges and certain state owned properties
for a period of up to ten years. The
“Tax-Free NY” proposal is intended to transform SUNY campuses and university
communities within New York
State
Few
details are available but the Governor’s Office has released highlights of the
“Tax-Free NY” initiative that include:
- Establishment of Tax-Free Communities: Under the proposed program, qualifying businesses in the designated zones will be tax free -- exempt from sales, property, and/or business/franchise/corporate taxes. According to the information released, the zones consist 120 million square feet of space on SUNY campuses, private colleges and certain designated state properties. The tax-free communities include up to 200,000 square feet surrounding the campus at SUNY institutions.
- Employees Exempt from Income Taxes: Employees of businesses that qualify as Tax-Free NY communities will be exempt from paying income taxes under the proposed program.
- Businesses Eligible for Tax-Free NY: Eligible businesses include companies with a relationship to the academic mission of the university and companies creating new jobs, including new businesses, out-of-state businesses that relocate to New York and existing businesses that expand their New York operations while maintaining their existing jobs.
The
proposal will need to pass the New York State Legislature, with only four weeks
remaining in the current legislative session.
