NY S04875

Establishes a tax credit against state income taxes for agricultural businesses that practice "carbon farming," defined as land management strategies that reduce, sequester, and mitigate greenhouse gas emissions using USDA quantification tools (COMET-Planner, COMET-Farm, or similar).

Credit amount is calculated based on the economic value of carbon farming as determined by the Commissioner of Environmental Conservation in consultation with the Commissioner of Agriculture and Markets.

Requires taxpayers to attach a final certificate of eligibility from the DEC to their tax returns; credit cannot exceed the amount listed on the certification verifying emissions reductions.

Allows unused tax credits to carry over to the following three taxable years if the credit exceeds the taxpayer's tax liability in any given year.

Directs DEC and the Department of Agriculture and Markets to develop educational materials promoting carbon farming practices and to develop a standardized metric for quantifying carbon storage using USDA tools; authorizes DEC to issue certificates of compliance for carbon farming operations.