NYtax_exemptionfull_exemption

START-UP NY Program

NY-STARTUP · New York

Summary

Ten-year full exemption from corporate franchise tax, personal income tax (on site-earned wages), state and local sales and use tax, real property tax (via IDA mechanisms), and MCTMT for businesses operating in state-designated tax-free zones, typically in economically-challenged regions.

Benefit

Percentage
Flat
Duration
10 years
Max annual
(taxpayer)
Max total
(taxpayer)
Carryforward

Program metadata

Distribution
taxpayer_earned
Claimant subject
business
Refund/transfer election
Program family
Effective
Sunset
Application deadline
Transfer discount

Tiers (1)

#NameBenefitMin jobsMin investmentMin wageMax annual
110-Year Tax-Free Zone Participant

Hard requirements (1)

  • zone_typeBusiness must operate in a state-designated START-UP NY tax-free zone (zone_type=performance_designation; state-specific label in incentive_geo_zones)

Preference / tiering rules (0)

None.

NAICS industries (0)

Any.

Geo zones (2)

  • performance_designation · START-UP NY tax-free zones (state-designated: Finger Lakes, Southern Tier, Buffalo, Rochester, etc.)
  • performance_designation · Designated tax-free zones

Tags (0)

None.

Tax bases

  • corporate_income_taxprimary
  • personal_income_tax
  • sales_use_tax_state
  • sales_use_tax_local
  • property_tax_local

Source

https://www.tax.ny.gov/bus/business-incentives.htm
New York Economic Development Law Article 18-C; NY Tax Law Articles 9-A, 22, 28, 28-A
Last verified: 2026-04-19