Credit for employment of persons with disabilities
Who is eligible?
You are entitled to this nonrefundable credit if you or your business employed a qualified employee within New York State who is certified by:
- the New York State Education Department's Adult Career and Continuing Education Services-Vocational Rehabilitation (ACCES-VR), or
- the State of New York Office of Children and Family Services’ Commission for the Blind and Visually Handicapped (CBVH)
as a person with a disability that constitutes or results in a substantial handicap to employment and who has completed or is receiving services under an individualized written rehabilitation plan approved by ACCES-VR or CBVH.
The New York State Department of Labor (DOL) administers the certification of the program in cooperation with ACCES-VR and CBVH. For more information about the certification of the program, visit Department of Labor: Workers (with Disabilities) Employment Tax Credit.
How much is the credit?
The credit amount is 35% of the first $6,000 of qualified first year wages or qualified second year wages. A credit of up to $2,100 per employee is available.
Note: For tax years beginning on or after January 1, 2015, there is an additional credit available to qualified employers certified by DOL for employing individuals with developmental disabilities. For more information and qualifications for this credit, see Form CT-644, Workers with Disabilities Tax Credit, (for corporations), Form IT-644, Workers with Disabilities Tax Credit, (for all others), and Department of Labor: Workers with Developmental Disabilities Tax Credit Program. An employer is not allowed to claim this credit and the credit for employment of persons with disabilities for the same employee.
- Form CT-41, Claim for Credit for Employment of Persons with Disabilities, and its instructions (for corporations)
- Form IT-251, Credit for Employment of Persons with Disabilities, and its instructions (for all others)
To learn about other New York State tax credits available to businesses, see Business incentives.