If the employer is a business approved to participate in the START-UP NY program that operates in a tax-free NY area, employees may be eligible to exclude from adjusted gross income wages earned from the employer.
To be eligible for the exemption, the employee must meet the following conditions:
employed by an approved business certified to participate in the START-UP NY program.
perform work exclusively at the approved business's location within tax-free NY area during the tax year.
be employed in a net new job created by the approved business in the tax-free NY area.
work at least 6 months of the tax year at the approved business' location.
A penalty of $500 may be imposed for furnishing false information that decreases your withholding amount.