SALT Report 2536 – In an effort to attract new business to the state, New York Governor Andrew Cuomo announced a statewide initiative that will allow new businesses to operate completely tax-free for 10 years. The program, called Tax-Free NY, will convert all SUNY campuses and community college campuses throughout the state into tax-free communities in the hope that the tax incentives will attract start-ups, venture capitalists, new businesses, and investments from around the world.
Tax-Free NY includes:
Tax-Free Communities – All SUNY campuses outside of New York City as well as certain designated private colleges north of Westchester will be tax free. This means no sales tax, no property tax, no business tax, and no corporate tax. In addition, the 200,000 square feet surrounding a designated campus will also be considered part of the tax-free community.
Qualified Businesses – Eligible businesses include those with a business model similar to the academic mission of the university, for example a medical device company will find a tax haven at a SUNY university with a medical program. A qualified business also includes companies who create new jobs, new businesses, out-of-state businesses that relocate to New York, and existing businesses that expand their New York operations and maintain existing jobs.
Employees Income Taxes – Employees of businesses that open in Tax-Free NY communities will be exempt from paying income taxes.
Commercial Space at Private Universities: In addition to the community college and university campuses, 3 million square feet of commercial space will be available at specific New York private universities and 20 state owned properties will also be designated tax-free.
For Further Information