(a) Qualified empire zone enterprise. A business enterprise which is certified under article eighteen-B of the general municipal law and meets the employment test shall be a "qualified empire zone enterprise":

1. (1) except as provided in paragraphs one-a and one-b of this subdivision, for purposes of articles nine-A, twenty-two and thirty-three of this chapter, for each of the taxable years within the "business tax benefit period," which period shall consist of (A) in the case of a business enterprise with a test date occurring on or before December thirty-first, two thousand one, the first fifteen taxable years beginning on or after January first, two thousand one, (B) in the case of a business enterprise with a test date occurring on or after January first, two thousand two, but prior to April first, two thousand five, the fifteen taxable years next following the business enterprise's test year, and (C) in the case of a business enterprise which is first certified under article eighteen-B of the general municipal law on or after April first, two thousand five, the ten taxable years starting with the taxable year in which the business enterprise's first date of certification under article eighteen-B of the general municipal law occurs, but only with respect to each of such business tax benefit period years for which the employment test is met,
2. (1-a) With respect to a business enterprise approved by the commissioner of economic development as the owner of a qualified investment project pursuant to subdivision (w) of section nine hundred fifty-nine of the general municipal law, the business tax benefit period shall mean the ten taxable years starting with the taxable year in which the business enterprise's benefit period commencement date occurs, but only with respect to each of such business tax benefit period years for which the employment test is met, as the term "benefit period commencement date" is defined in this paragraph. The term "benefit period commencement date" shall mean either (i) the date of certification pursuant to article eighteen-B of the general municipal law of the business enterprise at the location of the qualified investment project or (ii) the date when property constituting a qualified investment project is first placed in service. The benefit period commencement date shall be determined by an election made by the business enterprise taxable year which includes the date of certification of the business enterprise at the location of the qualified investment project pursuant to article eighteen-B of the general municipal law,. In the event no such election is made by the business enterprise, the business tax benefit period shall be deemed to commence in the taxable year in which the business enterprise is certified at the location of the qualified investment project pursuant to article eighteen-B of the general municipal law. The business tax benefit period allowed under this paragraph shall be in addition to the business tax benefit period allowed pursuant to paragraph one of this subdivision.
3. (1-b) With respect to a business enterprise approved by the commissioner of economic development as the owner of a significant capital investment project pursuant to subdivision (w) of section nine hundred fifty-nine of the general municipal law, the business tax benefit period shall be increased to include the ten taxable years starting with the taxable year in which property comprising the significant capital investment project is first placed in service, provided that such property is placed in service during the business enterprise's business tax benefit period under paragraph one-a of this subdivision. The business tax benefit period set forth in paragraph one-a of this subdivision and any additional periods added to such business tax benefit period pursuant to this paragraph shall constitute one continuous business tax benefit period. During such entire business tax benefit period, the business enterprise shall be allowed to claim the tax credits provided pursuant to sections fifteen and sixteen of this article with respect to such qualified investment project and such significant capital investment project, provided the employment test is met and the requirements of such credits are satisfied for each of those taxable years, and provided further that, the benefit period factor as set forth in subdivision (c) of section fifteen of this article shall be 1.0 during such entire business tax benefit period.
4. (2) for purposes of articles twenty-eight and twenty-nine of this chapter, during the "sales and use tax benefit period." Such period shall consist of one hundred twenty consecutive months beginning on the later of (A) March first, two thousand one, or (B) with regard to business enterprises certified pursuant to article eighteen-B of the general municipal law prior to April first, two thousand nine, the first day of the month next following the date of issuance of a qualified empire zone enterprise certification by the commissioner under subdivision (h) of this section, or (C) with regard to business enterprises certified pursuant to such article eighteen-B on or after April first, two thousand nine, the first day of the month next following the date of certification under article eighteen-B as an empire zone business. Provided however, such period shall not include any month falling within a taxable year immediately preceded by a taxable year with respect to which the business enterprise did not meet the employment test.

(b) Employment test.

1. (1) General. In the case of a business enterprise which is first certified under article eighteen-B of the general municipal law before April first, two thousand five, the employment test shall be met with respect to a taxable year if the business enterprise's employment number in the empire zones for such taxable year equals or exceeds its employment number in such zones for the base period, and its employment number in the state outside of such zones for such taxable year equals or exceeds its employment number in the state outside of such zones for the base period. For entities first certified between August first, two thousand two and March thirty-first, two thousand five, if the base period is zero years and the enterprise has an employment number in such zone of greater than zero with respect to a taxable year, then the employment test will be met only if the enterprise qualifies as a new business under subdivision (j) of this section. For entities first certified prior to August first, two thousand two, if the entity had a base period of zero years or zero employment in the base period, then the employment test will be met only if the enterprise qualifies as a new business under subdivision (j) of this section.
2. (2) Change in zone boundaries or newly designated zones. Provided, however, where there has been one or more revisions of the boundaries of an empire zone that resulted in the inclusion of the business enterprise within such zone, the employment test shall be determined with respect to a taxable year as if the boundaries of the revised zone on the last day of the taxable year existed during the base period and test year and as if the enterprise had been located in the revised zone during its base period and test year. In addition, where an area has been newly designated as an empire zone, the employment test shall be determined with respect to a taxable year as if such newly designated zone existed during the base period and test year and as if the enterprise had been located in the newly designated zone during its base period and test year.
3. (3) Relocation from a business incubator facility. Where a business enterprise relocates to an empire zone from a business incubator facility operated by a municipality or by a public or private not-for-profit entity which provides space or business support services or both space and business support services to newly established enterprises, the employment test shall be determined with respect to a taxable year as if such business enterprise was located in the empire zone during the base period.
4. (4) In the case of a business enterprise which is first certified under article eighteen-B of the general municipal law on or after April first, two thousand five, and notwithstanding any other provision to the contrary, in the case of a business enterprise which was first certified between August first, two thousand two and March thirty-first, two thousand five that conducts its operations on real property that it owns or leases that is both located within an empire zone and that is subject to a brownfield site cleanup agreement executed prior to January first, two thousand six in accordance with section 27-1409 of the environmental conservation law, the employment test shall be met with respect to a taxable year if the business enterprise's employment number in the state and the empire zones for such taxable year exceeds its employment number in the state and the empire zones, respectively, for the base period. If the base period is zero years or the base period employment is zero and the enterprise has an employment number in such zone of greater than zero with respect to a taxable year, then the employment test will be met only if the enterprise qualifies as a new business under subdivision (j) of this section.
5. (5) For purposes of the sales and use tax benefit period, in the case of a business enterprise which is first certified under article eighteen-B of the general municipal law on or after April first, two thousand five, and is so certified during its first taxable year, the employment test shall be met with respect to such first taxable year in any month in which its employment number exceeds zero.

(i) Cessation of status. A business enterprise shall cease to be a qualified empire zone enterprise:

1. (1) for purposes of articles nine-A, twenty-two and thirty-three of this chapter, on the first day of the taxable year during which revocation of its certification under article eighteen-B of the general municipal law occurs, and
2. (2) for purposes of articles twenty-eight and twenty-nine of this chapter, on the day such revocation occurs.
3. (j) New business. (1) A new business shall include any corporation, except a corporation which is substantially similar in operation and in ownership to a business entity (or entities) taxable, or previously taxable, under section one hundred eighty-three, one hundred eighty-four, former section one hundred eighty-five or former section one hundred eighty-six of article nine; article nine-A or thirty-three of this chapter; article twenty-three of this chapter or which would have been subject to tax under such article twenty-three (as such article was in effect on January first, nineteen hundred eighty), article thirty-two of this chapter or which would have been subject to tax under such article thirty-two (as such article was in effect on December thirty-first, two thousand fourteen) or the income (or losses) of which is (or was) includable under article twenty-two of this chapter.
4. (2) For purposes of article twenty-two of this chapter, an individual who is either a sole proprietor or a member of a partnership shall qualify as an owner of a new business unless the business of which the individual is an owner is substantially similar in operation and in ownership to a business entity taxable, or previously taxable, under section one hundred eighty-three, one hundred eighty-four, former section one hundred eighty-five or former section one hundred eighty-six of article nine; article nine-A or article thirty-three of this chapter; article twenty-three of this chapter or which would have been subject to tax under such article twenty-three (as such article was in effect on January first, nineteen hundred eighty); article thirty-two of this chapter or which would have been subject to tax under such article thirty-two as such article was in effect on December thirty-first, two thousand fourteen or the income (or losses) of which is (or was) includable under article twenty-two.
5. (3) For purposes of article twenty-two of this chapter, a shareholder of a New York S corporation shall be treated as the owner of a new business with respect to such share if the corporation qualifies as a new business pursuant to paragraph one of this subdivision.
6. (4) (A)(i) Notwithstanding paragraphs one and two of this subdivision, a new business shall include any corporation which is identical in operation and ownership to a business entity (or entities) taxable under section one hundred eighty-three or one hundred eighty-four or former section one hundred eighty-five of article nine; article nine-A or thirty-three of this chapter or the income (or losses) of which is includable under article twenty-two of this chapter, provided such corporation and such business entity or entities are operating in different counties in the state.

(k) If the designation of an area as an empire zone is no longer in effect because section nine hundred sixty-nine of the general municipal law was not amended to extend the effective date of such designation so that the designations of all empire zones pursuant to article eighteen-B of the general municipal law have expired, a business enterprise that was certified pursuant to article eighteen-B of the general municipal law on the day immediately preceding the day on which such designation expired shall be deemed to continue to be certified under such article eighteen-B for purposes of this section, and sections fifteen, sixteen, subdivisions five and six of section two hundred ten-B, subsections (bb) and (cc) of section six hundred six, subdivision (d) of section eleven hundred nineteen and subdivisions (r) and (s) of section fifteen hundred eleven of this chapter. In addition, if the designation of an area as an empire zone is no longer in effect because section nine hundred sixty-nine of the general municipal law was not amended to extend the effective date of such designation so that the designations of all empire zones pursuant to article eighteen-B of the general municipal law have expired, all references to empire zones in the provisions of this chapter listed in the previous sentence shall be read as meaning areas designated as empire zones on the day immediately preceding the day on which such designation expired.

1. (1) Manufacturer. For the purposes of sections fifteen and sixteen of this article, the term "manufacturer" shall mean a taxpayer which during the taxable year is principally engaged in the production of goods by manufacturing, processing, assembling, refining, mining, extracting, farming, agriculture, horticulture, floriculture, viticulture, or commercial fishing, or a business engaged in emerging technologies pursuant to section thirty-one hundred two-e of the public authorities law.
2. (n) Clean energy enterprises. In determining tax benefits under this chapter for clean energy enterprises certified under article eighteen-B of the general municipal law, references in this section and other sections in this chapter relating to qualified empire zone enterprises and empire zone benefits to "an empire zone", "the empire zone" and "the empire zones" shall be read as references to "New York State", and any tests or measurements relating to employment for purpose of empire zone benefits under this chapter shall be calculated with respect to employment within the entire state, and references to "QEZES" shall be read as including references to such clean energy enterprises that meet the employment test in this section. For purposes of the tax reduction credit allowed under section sixteen of this article, for a clean energy enterprise, the zone allocation factor shall be one hundred percent.