If you really want to make an impact in your new grad’s life, make an investment in his or her future with a 529 College Savings account. There are two versions: an investment account and a prepaid account. Assuming you are opening an account now and don’t have time for investment growth, you may need to fund it with a significant chunk of money for it to be useful. The savings plan is good for building an investment balance over time, including while the student is in college.

On August 25, 2021, New York State released guidance regarding the New York State pass-through entity tax (PTET) election which allows owners of pass-through entities (PTE) to receive a federal deduction for the New York State income taxes paid by the PTE.

The PTET is a tax, based on the taxable income of the pass-through entity. The PTET paid by the entity reduces the taxable income passed-through to each individual partner/shareholder. Each partner/shareholder then receives a dollar-for-dollar refundable credit for their direct share of the PTE tax paid.