ALBANY, NY – Governor Kathy Hochul announced Tuesday that applications can now be submitted by small businesses that have completed the process to be eligible for the capital cost allowance tax credit program.
The program supports businesses that have had to spend money to comply with emergency orders and regulations or have increased public safety due to the pandemic.
“When the pandemic devastated the bottom line of most small businesses in New York State, I pledged to give them a helping hand from day one. This tax credit will be a crucial lifeline for New York’s small businesses — the backbone of our state’s economy — and I encourage anyone interested to apply for this much-needed help,” Hochul said.
The program was part of Hochul’s budget to help support small businesses affected by the pandemic. Eligible costs related to COVID-19 include, but are not limited to:
- cleaning products to protect against the transmission of COVID-19
- Costs associated with social distancing
- HVAC Equipment Costs
- Expenses related to outdoor activities and space expansions
- Machines and equipment added for the transition to contactless sales
Tax credits will cover 50% of eligible costs, up to $50,000, for a maximum tax credit of $25,000, however, credits will only be granted on a first-come, first-served basis. when funds are exhausted.
Eligible businesses must have at least one location in New York State, have a maximum of 100 employees, $2.5 million or less in total revenue collected in 2021, and at least $2,000 in qualifying costs between 1 January 2021 and December 31, 2022.
Applications will be accepted until March 31, 2023. To learn more, click here.