New Farm Employer Overtime Tax Credit Application Period Opens Statewide

A shot of farmland off the 219 in Orchard Park, New York.Photo byPhoto by J.M. Lesinski

New York State Governor Kathy Hochul recently announced that farm employers deemed eligible can apply at the New York Department of Agriculture and Markets (AGM) for a certificate of advance payment, in order to get reimbursed by the Department of Taxation and Finance (DTF) for employee overtime paid going back to January 1, 2024. 

“Supporting New York’s farmers and farmworkers, who are essential to keeping New York State running, is a key priority for my administration - and our new Farm Employer Overtime Credit is one of many great initiatives that aim to help alleviate the challenge of rising costs,” Hochul stated of the eligibility. “I encourage all eligible farm businesses to learn more about this program and apply for reimbursement so that we can reduce their tax burden while helping them to continue supporting their hardworking staff.”

Known as the Farm Employer Overtime Credit, this refundable tax credit is made available for farm employers deemed eligible who have paid overtime wages at any point after January 1, 2024. 

“For decades, New York farmers have battled national headwinds, often putting their businesses at a competitive disadvantage through no fault of their own,” noted New York State Senator Michelle Hinchey of the tax credit. “Keeping our farms in business is paramount to ensuring that local food access does not collapse in the State of New York, which is why we fought to create the Farm Employer Overtime Tax Credit to cover the cost of overtime for farm employers. We are committed to getting this money out the door and into the hands of New York farmers, and we urge all eligible farms to apply for the overtime subsidies we secured for them.”

Farm employers can register online at taxcredit.agriculture.ny.gov, enter overtime information, and submit the application to AGM. Farmers may apply for the tax credit if they are either 1) deemed eligible, or 2) employ workers that were paid eligible overtime. Applications should be submitted to AGM no later than September 30.

“At Governor Hochul’s direction, multiple state agencies are working hard to address the challenges faced by New York’s farmers,” New York State Department of Finance and Taxation Acting Commissioner Amanda Hiller remarked of the tax credit. “This new overtime tax credit can provide substantial financial relief to farmers dealing with high labor costs. I urge farmers to check out eligibility requirements and to consider applying.”

Farmers also have the option to wait until August to submit their reimbursement application for the entire January 1-July 31 period, or to simply wait until they file their taxes. 

“This new Farm Employer Overtime Credit program will help to ensure that our farm businesses have the resources they need to support their workforce while meeting their food production goals,” commented New York State Agriculture Commissioner Richard A. Ball of the tax credit. “I encourage eligible farmers to learn more about the program and apply for reimbursement for the first half of 2024 starting today.”