New York Youth Jobs Program tax credit
Who is eligible?
You are entitled to this refundable credit if you or your business:
- is certified by the New York State Department of Labor (DOL) to participate in the New York Youth Jobs Program,*
- hires qualified employees between the ages of 16 to 24. The qualified employees must start work between January 1 and December 31 of the program year in which you are participating, and
- has received an annual final certificate from DOL.
Note: The program has previously been called the New York Youth Works Tax Credit Program and the Urban Youth Jobs Program Tax Credit.
|Program||Employee hiring dates|
|Program 5||1/1/17 - 12/31/17|
|Program 6||1/1/18 - 12/31/18|
|Program 7||1/1/19 - 12/31/19|
|Program 8||1/1/20 - 12/31/20|
|Program 9||1/1/21 - 12/31/21|
|Program 10||1/1/22 - 12/31/22|
* The DOL must have received the application for certification by November 30, of the program year for which you are applying. Note: Program 1, Program 2, Program 3, and Program 4 have expired.
You must attach the Annual Final Certificate of Tax Credit issued by the DOL, to Form CT-635 or Form IT-635 to claim the credit.
How much is the credit?
|If the qualified employee is hired for a||the maximum credit is||and is allowed as follows|
|full-time position (35 hours or more per week)||$7,500||
|part-time position at least 20 hours per week (or 10 hours per week if enrolled in high school full-time)||$3,750||
Note: The credit component based on the first six months of employment will be allowed in the tax year in which you pay the wages to the qualified employee. The credit component based on employment beyond the first six months (employment of one full year) will be allowed in the tax year in which the additional six-month period ends. The credit computed based on employment for two full years will be allowed in the tax year in which the second year of employment ends.
What are the recordkeeping requirements?
Taxpayers must prove entitlement to tax credits. During the course of an audit, you may be required to provide documentation to substantiate entitlement based on the specific facts of your tax credit claim. See New York Youth Jobs Program tax credit recordkeeping requirements for more information on the recordkeeping requirements for this credit.
- New York State Department of Labor website;
- Form CT-635, New York Youth Jobs Program Tax Credit, and its instructions, Form CT-635-I (for corporations); or
- Form IT-635, New York Youth Jobs Program Tax Credit, and its instructions, Form IT-635-I (for all others).
To learn about other New York State tax credits available to businesses, see Business Incentives.