New York’s minimum wage tax credit for businesses that hire teens, which would offset the cost of the rise in the minimum wage, is being blasted by both liberal and conservative groups.

Under the credit, approved by the state Senate and awaiting Assembly approval, taxpayers would subsidize most of the cost to businesses as the minimum wage rises over three years from $7.25 to $9 an hour in 2016. Of that $1.75-per-hour increase, taxpayers would foot $1.35.

The left-leaning Fiscal Policy Institute, which championed the minimum wage as a boost to the economy and employment, says the tax credit is “ill-conceived and poorly drafted.”

The institute said the tax credit has no cap, doesn’t require employers to disclose how much they receive, and does little to safeguard workers older than 19 who might be fired so employers can hire subsidized teen workers. The credit is also available to multinational corporations such as Wal-mart and McDonald’s, the institute says.

The right-leaning Empire Center, at odds with the Fiscal Policy Institute about raising the wage, agrees that the tax credit will encourage businesses to hire teens and to cap their wages at the minimum wage.

The policy institute said in a report last year that raising the minimum wage to $8.75 an hour would create 7,300 jobs…..

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