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New York establishes carbon farming certification committee and tax credits for agricultural carbon sequestration

Original title: Establishes a carbon farming tax credit for farmers

Last action · January 7, 2026: REFERRED TO AGRICULTURESponsors: Didi Barrett and 5 others

Companion · S 1529Asame policy, Senate version
Introduced
Committee
Floor Vote
Passed
Law

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What This Bill Would Do

New York establishes a carbon farming certification committee to develop standards and identify qualified carbon removal practices eligible for a new state tax credit. Agricultural businesses and farmers engaging in approved carbon farming practices that sequester greenhouse gases can receive a tax credit based on the metric tons of carbon removed and its . The act takes effect on the 180th day after becoming a law, with preparatory rule-making authorized immediately.

Why it matters

Farmers who implement certified practices can offset state tax liabilities, with excess credits refunded to those with adjusted gross incomes of $60,000 or less or carried over by higher earners.

Who It Would Affect

Groups the bill's text would affect if enacted, as described in the record. Being affected is not a position for or against it.

Directly affected

Agricultural businesses and farmers

Agricultural businesses and farmers practicing carbon farming become eligible to receive tax credits and must obtain a final certificate of eligibility from the commissioner of agriculture and markets.

Directly affected

Department of Agriculture and Markets

The department houses the new certification committee, reviews and approves certification frameworks, verifies compliance, and provides ongoing technical guidance.

Directly affected

Department of Taxation and Finance

The department administers the carbon farming tax credit, consults on compliance and dispute resolution, and processes credit claims.

Key Facts

You don't have to trust us. Each fact below is taken straight from the official document - click any one to see the exact passage, highlighted in the original.

Frequently Asked Questions

Who is eligible for the carbon farming tax credit?
Taxpayers that are agricultural businesses or individuals who provide farm products and practice approved carbon farming are eligible for the credit.
How is the monetary value of the carbon farming credit calculated?
The credit value is equal to the total metric tons of carbon dioxide removed and sequestered during the taxable year multiplied by the carbon farming credit value, which is derived from the and adjusted by a reflecting the storage duration.
What happens if a farmer's credit exceeds their tax liability?
If the taxpayer's New York adjusted gross income is $60,000 or less, the excess is treated as an overpayment and refunded without interest. If income exceeds $60,000, the excess credit may be carried over to future years.

What else do you want to know?

News Coverage

No news coverage found yet. Articles are indexed twice daily.

Where This Stands

Currently in committee. The next step in the legislative lifecycle is Floor Vote.

Procedural history

4 actions
  1. Jan 7, 2026HouseCommittee
    REFERRED TO AGRICULTURE
  2. Oct 10, 2025House
    PRINT NUMBER 5660A
  3. Oct 10, 2025HouseCommittee
    AMEND (T) AND RECOMMIT TO AGRICULTURE
  4. Feb 19, 2025HouseCommittee
    REFERRED TO AGRICULTURE

Version history

Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.

View official text →

Lobbying Activity

No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.

Full breakdown

Who this bill affects and the strongest case for and against it, written only from the bill’s own text.

Sponsors

Discoveries

1 pattern noticed across the record

Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.

policy shift95% confidence

Integration of Carbon Markets into State Tax Code

The legislation directly ties state income and business tax credits to environmental metrics like the social cost of carbon and carbon durability ratings.

Connected Entities

Bill Magnarelli, Linda Rosenthal, Didi Barrett and 4 more
PersonBill Magnarelli“Assembly Member for District 129 acting as cosponsor”Map →
PersonLinda Rosenthal“Assembly Member for District 67 acting as cosponsor”Map →
PersonDidi Barrett“Assembly Member for District 106 introducing Assembly Bill 5660”Map →
PersonAnna Kelles“Assembly Member for District 125 acting as cosponsor”Map →
locationNew York“State where the carbon farming certification and tax credits are established”Map →
PersonJo Anne Simon“Assembly Member for District 52 acting as cosponsor”Map →
PersonDonna Lupardo“Assembly Member for District 123 acting as cosponsor”Map →

Sources

Open source document

www.nysenate.gov

Analysis Score

0–100
  • Significance65
    How much this matters to a regular citizen
  • Controversy25
    Intensity of disagreement among stakeholders
  • Entertainment5
    Compellingness for a non-policy-wonk reader
  • Buzz35
    Current news / social attention level

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