S8746 • 2025

Relates to professional employer organization services

Labor Taxes

Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor: Jeremy Cooney
Last action: 2026-06-04
Official status: Passed Assembly
Effective date: Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

Relates to professional employer organization services

Relates to professional employer organization services Provides that receipts from other services and other business receipts, taxpayers, and combined groups including members, engaged in providing professional employer organization services shall include with such receipts amounts received with respect to wages, benefits, and other employee expenses disbursed to or for the benefit of a client's worksite employees and the related employment taxes if the amounts received are included in the calculation of the business income base or the combined business income base, respectively.

What This Bill Does

Relates to professional employer organization services Provides that receipts from other services and other business receipts, taxpayers, and combined groups including members, engaged in providing professional employer organization services shall include with such receipts amounts received with respect to wages, benefits, and other employee expenses disbursed to or for the benefit of a client's worksite employees and the related employment taxes if the amounts received are included in the calculation of the business income base or the combined business income base, respectively.

Limits and Unknowns

This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

2026-06-04 Assembly
REFERRED TO WAYS AND MEANS
2026-06-04 Assembly
SUBSTITUTED FOR A11453
2026-06-04 Assembly
ORDERED TO THIRD READING RULES CAL.525
2026-06-04 Assembly
PASSED ASSEMBLY
2026-06-04 Assembly
RETURNED TO SENATE
2026-06-03 Senate
COMMITTEE DISCHARGED AND COMMITTED TO RULES
2026-06-03 Senate
ORDERED TO THIRD READING CAL.1640
2026-06-03 Senate
PASSED SENATE
2026-06-03 Senate
DELIVERED TO ASSEMBLY
2026-01-08 Senate
REFERRED TO BUDGET AND REVENUE

Official Summary Text

Relates to professional employer organization services
Provides that receipts from other services and other business receipts, taxpayers, and combined groups including members, engaged in providing professional employer organization services shall include with such receipts amounts received with respect to wages, benefits, and other employee expenses disbursed to or for the benefit of a client's worksite employees and the related employment taxes if the amounts received are included in the calculation of the business income base or the combined business income base, respectively.

Current Bill Text

Read the full stored bill text

S T A T E   O F   N E W   Y O R K
        ________________________________________________________________________

                                          8746

                                    I N  S E N A T E

                                     January 8, 2026
                                       ___________

        Introduced  by  Sen.  COONEY -- read twice and ordered printed, and when
          printed to be committed to the Committee on Budget and Revenue

        AN ACT to amend the tax law, in  relation  to  taxpayers,  and  combined
          groups  including  members, engaged in providing professional employer
          organization services

          THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
        BLY, DO ENACT AS FOLLOWS:

     1    Section 1. Paragraph (a) of subdivision 10 of section 210-A of the tax
     2  law, as added by section 16 of part A of chapter 59 of the laws of 2014,
     3  is amended to read as follows:
     4    (a)   Receipts  from  other  services  and  other  business  receipts.
     5  Receipts from services not addressed in subdivisions one through nine of
     6  this section and other business receipts not addressed in such  subdivi-
     7  sions  shall  be included in the numerator of the apportionment fraction
     8  if the location of the customer is within the state. Such receipts  from
     9  customers  within  and without the state are included in the denominator
    10  of the apportionment fraction. FOR PURPOSES OF THIS  PARAGRAPH,  TAXPAY-
    11  ERS, AND COMBINED GROUPS INCLUDING MEMBERS, ENGAGED IN PROVIDING PROFES-
    12  SIONAL  EMPLOYER  ORGANIZATION SERVICES SHALL INCLUDE WITH SUCH RECEIPTS
    13  AMOUNTS RECEIVED WITH RESPECT TO WAGES,  BENEFITS,  AND  OTHER  EMPLOYEE
    14  EXPENSES  DISBURSED TO OR FOR THE BENEFIT OF A CLIENT'S WORKSITE EMPLOY-
    15  EES AND THE  RELATED  EMPLOYMENT  TAXES  IF  THE  AMOUNTS  RECEIVED  ARE
    16  INCLUDED  IN THE CALCULATION OF THE BUSINESS INCOME BASE OR THE COMBINED
    17  BUSINESS INCOME BASE, RESPECTIVELY. Whether the receipts are included in
    18  the numerator of the apportionment fraction is determined  according  to
    19  the  hierarchy of method set forth in paragraph (b) of this subdivision.
    20  The taxpayer must exercise due diligence under each method described  in
    21  such paragraph (b) before rejecting it and proceeding to the next method
    22  in  the  hierarchy, and must base its determination on information known
    23  to the taxpayer or information that would be known to the taxpayer  upon
    24  reasonable inquiry.
    25    § 2. This act shall take effect immediately and shall apply to taxable
    26  years beginning on and after January 1, 2015.

         EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD03263-01-5