Bill Text: NY S04636 | 2019-2020 | General Assembly | Amended

Bill Title: Provides for a residential asbestos remediation tax credit for the costs of abatement of asbestos contamination in certain residential real property, when such removal is recommended by an asbestos professional.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2019-06-10 - PRINT NUMBER 4636A [S04636 Detail]

Download: New_York-2019-S04636-Amended.html

                STATE OF NEW YORK


                               2019-2020 Regular Sessions

                    IN SENATE

                                     March 18, 2019

        Introduced  by  Sen. KENNEDY -- read twice and ordered printed, and when
          printed to be committed to the Committee  on  Budget  and  Revenue  --
          committee  discharged,  bill amended, ordered reprinted as amended and
          recommitted to said committee

        AN ACT to amend the tax law, in  relation  to  providing  a  residential
          asbestos remediation tax credit

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. Section 606 of the tax law  is  amended  by  adding  a  new
     2  subsection (kkk) to read as follows:
     3    (kkk)  Residential  asbestos  and abatement tax credit. (1) General. A
     4  qualified taxpayer shall be allowed a credit for taxable years beginning
     5  on or after January first, two thousand twenty against the  tax  imposed
     6  by  this article for the costs of abatement of asbestos contamination in
     7  certain residential real property, when such removal is  recommended  by
     8  an asbestos professional certified or licensed pursuant to article thir-
     9  ty of the labor law.
    10    (2) Credit limitation. The amount of the credit shall be the lesser of
    11  ten thousand dollars or thirty percent of the total cost.
    12    (3)  Asbestos  abatement costs. The term "costs of abatement" includes
    13  the cost of an inspection or assessment from a certified specialist, any
    14  initial appraisals of asbestos, municipal or otherwise, labor  costs  of
    15  removal,  any  disposal  fees, and any cleanup fees; except any state or
    16  local sales tax applicable to the services performed.
    17    (4) Removal and abatement for qualified taxpayers.  A  property  owner
    18  who  incurs  costs  for  removing  or  remediating  asbestos  as in this
    19  section, only applies to certain residential real property which is:
    20    (A) located in this state;
    21    (B) owned by the taxpayer;
    22    (C) used by the taxpayer as his or her principal residence,  secondary
    23  residence, or rental property; and

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.

        S. 4636--A                          2

     1    (D) is located in a city or municipality with one million residents or
     2  less.
     3    (5)  When  credit  allowed. The credit provided for in this subsection
     4  shall be allowed with respect to the taxable year in which  the  removal
     5  work is completed and paid for.
     6    (6)  Carryover  of credit. If the amount of the credit, and carryovers
     7  of such credit, allowable under this subsection  for  any  taxable  year
     8  shall exceed the taxpayer's tax for such year, such excess amount may be
     9  carried  over  to the five taxable years next following the taxable year
    10  with respect to which the credit is allowed and may be deducted from the
    11  taxpayer's tax for such year or years.
    12    (7) Allocation of credit. The commissioner, in consultation  with  the
    13  commissioner  of  the department of health, shall promulgate regulations
    14  by January first, two thousand twenty to establish  procedures  for  the
    15  allocation  of tax credits allowed under this subsection. Such rules and
    16  regulations shall include provisions describing the application  process
    17  for  the  credit  allowed  under this subsection, the due dates for such
    18  applications, the standards which shall be used to evaluate the applica-
    19  tions, the documentation that will be provided to taxpayers to  substan-
    20  tiate  to  the  department  the  amount of tax credits allocated to such
    21  taxpayers, and such other provisions as deemed necessary  and  appropri-
    22  ate.  Notwithstanding  any other provisions to the contrary in the state
    23  administrative procedure act, such rules and regulations may be  adopted
    24  on an emergency basis if necessary to meet such January first, two thou-
    25  sand  twenty deadline. The aggregate amount of tax credits allowed under
    26  this subsection  in  any  taxable  year  shall  be  twenty-five  million
    27  dollars.  Such  aggregate  amount  of  credits  shall be allocated among
    28  taxpayers in order of priority based upon the date of filing an applica-
    29  tion for the credit. If the total amount of  allocated  credits  applied
    30  for  in  any particular year exceeds the aggregate amount of tax credits
    31  allowed for such year under this section, such excess shall  be  treated
    32  as having been applied for on the first day of the subsequent year.
    33    (8)  Credit  recapture.  For provisions requiring recapture of credit,
    34  see section forty-four of this chapter.
    35    § 2. This act shall take effect on the one hundred eightieth day after
    36  it shall have become a law and shall apply to taxable years beginning on
    37  or after January 1, 2020.  Effective immediately, the  addition,  amend-
    38  ment and/or repeal of any rule or regulation necessary for the implemen-
    39  tation  of  this act on its effective date are authorized to be made and
    40  completed on or before such effective date.