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New York Legislative Tracker: Budget Proposal February 3, 2021 Update | Hodgson Russ LLP

Gaming Initiatives; and Fee Actions While the Executive Budget contains a variety of important provisions, we will spend this week discussing noteworthy proposals under the following categories: Responding to COVID-19, Enforcement and Compliance Initiatives, and Other Actions which are found in either the Revenue Bill (“REV”) or the Transportation, Economic Development, and Environmental Conservation Bill (“TED”), as indicated below. Two of the more interesting proposals include allowing the Department of Taxation and Finance the ability to appeal Tax Appeals Tribunal decisions and the proposed pass-through entity workaround to the limitation on federal state and local tax deductions. Next week, we’ll dive into the remaining initiatives in the Executive Budget before returning back to our weekly legislative updates.

Highlights of Cuomo s 2021 executive budget proposal

Arts, entertainment, culture The arts and cultural industries contribute more than $120 billion to the state economy in normal years, according to the state Council on the Arts, but many venues that cater to live audiences remain closed, and others operate with minimal staff and a fraction of their regular offerings. Among the assistance in the proposed budget: New York City Musical and Theatrical Production Tax Credit: The new measure would provide up to $25 million in tax credits to jump-start the industry and support tourism in the city. Musical and Theatrical Production Credit: This existing tax credit would be enhanced and extended for four years. To support musical and theatrical productions that happen in the state outside New York City, the budget extends the credit to 2025 and doubles it, to $8 million.

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