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Dentons

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New York Takes Aim at QSBS: Proposed Bill Would Disallow Small Business Stock Gain Exclusion Retroactively

On January 15, 2026, New York lawmakers introduced New York State Senate Bill 2025-S8921, which proposed a notable tax law change requiring New York taxpayers to include in gross income any gain realized from the sale or exchange of qualified small business stock (“QSBS”).