Area Businesses and Long Island College Communities Can Benefit from START-UP New York
States compete fiercely to attract and foster entrepreneurs for the simple reason that investing in start-ups is a proven, cost-effective (and not coincidentally highly visible) way to create good-paying private-sector jobs. One example from our own state is Start-up New York which provides tax benefits and other inducements for businesses in NY and those willing to relocate to our state under certain circumstances. Businesses must create and maintain net new jobs and not move existing jobs; or they must be a start-up company, or be an expanding NYS company.
One of the program’s requirements is that the new venture be located in a New York State university community (SUNY, CUNY or independent) and be aligned with or further the academic mission of the campus, college or university sponsoring the tax-free community.
Participating companies will not pay state taxes for 10 years, including business/corporate taxes, sales taxes and property taxes. For employees of the companies, they will pay no state income taxes for five years, and for the second five years will pay no income taxes on wages up to $200,000 or $300,000, depending on filing status.
Of particular interest to us on Long Island are the provisos from Start-up NY which say that first, start-ups that "hatch" from New York State incubators (of which LI can boast several) will be eligible to enter tax-free communities and be eligible for the benefits under the program and second, for Nassau or Suffolk counties, the business must also be a high-tech company or a new start-up company. This too should fit nicely with Long Island’s tech hub reputation.
It’s worthwhile to learn more so take a look.