Provides an asbestos remediation tax credit in Erie county; allows for a fifty percent credit of all eligible costs which are incurred as a result of asbestos remediation, not to exceed $1,000,000.
STATE OF NEW YORK
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5683
2013-2014 Regular Sessions
IN ASSEMBLY
March 5, 2013
___________
Introduced by M. of A. PEOPLES-STOKES -- read once and referred to the
Committee on Ways and Means
AN ACT to amend the tax law, in relation to providing an asbestos reme-
diation tax credit
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The tax law is amended by adding a new section 23-a to read
2 as follows:
3 § 23-a. Asbestos remediation credit. (a) Definitions. As used in this
4 section, the following terms shall have the following meanings:
5 (1) Qualified structure. "Qualified structure" shall mean a building
6 (i) principally used by the taxpayer for residential, industrial,
7 commercial, recreational or environmental conservation purposes, (ii)
8 which was originally placed in service at least twenty-five years prior
9 to the taxable year in which the credit is claimed, and (iii) that is at
10 least partially situated within Erie county.
11 (2) Eligible costs. "Eligible costs" shall mean all amounts properly
12 chargeable to a capital account, which are incurred in direct connection
13 to asbestos remediation of a qualified asbestos project.
14 (3) Qualified asbestos project. "Qualified asbestos project" shall be
15 an asbestos project as defined in section nine hundred one of the labor
16 law and undertaken by the taxpayer, on a qualified structure, and
17 completed pursuant to the applicable regulations at part fifty-six of
18 title twelve of the official compilation of rules and regulations of the
19 state.
20 (b) Asbestos remediation credit. (1) Allowance of credit. A taxpayer
21 who has undertaken a qualified asbestos project on a qualified struc-
22 ture, and who is subject to tax under article nine, nine-A or twenty-two
23 of this chapter, shall be allowed a credit against such tax, pursuant to
24 the provisions referenced in subdivision (c) of this section.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD07055-01-3
A. 5683 2
1 (2) Amount of credit. The amount of the credit shall be fifty percent
2 of all eligible costs which are incurred in the taxable year, as a
3 result of asbestos remediation with a qualified asbestos project. The
4 credit shall be allowed for the taxable year in which the qualified
5 asbestos project is first commenced and for the next two succeeding
6 taxable years. The credit authorized pursuant to this section shall not
7 exceed one million dollars in the aggregate for the three taxable years
8 allowed and claimed. The costs, expenses and other amounts for which a
9 credit is allowed and claimed under this subdivision shall not be used
10 in the calculation of any other credit allowed under this chapter.
11 (c) Cross-references. For application of the credit provided for in
12 this section, see the following provisions of this chapter:
13 Article 9: Section 187-s.
14 Article 9-A: Section 210, subdivision 46.
15 Article 22: Section 606, subsections (i) and (vv).
16 § 2. The tax law is amended by adding a new section 187-s to read as
17 follows:
18 § 187-s. Asbestos remediation credit. 1. Allowance of credit. A
19 taxpayer shall be allowed a credit, to be computed as provided in
20 section twenty-three-a of this chapter, against the taxes imposed by
21 this article. Provided, however, that the amount of such credit allow-
22 able against the tax imposed by section one hundred eighty-four of this
23 article shall be the excess of the amount of such credit over the amount
24 of any credit allowed by this section against the tax imposed by section
25 one hundred eighty-three of this article.
26 2. Application of credit. The credit under this section for any taxa-
27 ble year shall not reduce the tax due for such year to less than the
28 applicable minimum tax prescribed by this article. If, however, the
29 amount of credit allowable under this section for any taxable year
30 reduces the tax to such amount, any amount of credit not deductible in
31 such taxable year shall be treated as an overpayment of tax to be
32 refunded in accordance with the provisions of section one thousand
33 eighty-six of this chapter. Provided, however, the provisions of
34 subsection (c) of section one thousand eighty-eight of this chapter
35 notwithstanding, no interest shall be paid thereon.
36 § 3. Section 210 of the tax law is amended by adding a new subdivision
37 46 to read as follows:
38 46. Asbestos remediation credit. (a) Allowance of credit. A taxpayer
39 who has undertaken a qualified asbestos project on an existing structure
40 shall be allowed a credit, to be computed as provided in section twen-
41 ty-three-a of this chapter, against the tax imposed by this article.
42 (b) Application of credit. The credit allowed under this subdivision
43 for any taxable year shall not reduce the tax due for such year to less
44 than the higher amount prescribed in paragraphs (c) and (d) of subdivi-
45 sion one of this section. However, if the amount of credits allowed
46 under this subdivision for any taxable year reduces the tax to such
47 amount, any amount of credit thus not deductible in such taxable year
48 shall be treated as an overpayment of tax to be credited or refunded in
49 accordance with the provisions of section one thousand eighty-six of
50 this chapter. Provided, however, the provisions of subsection (c) of
51 section one thousand eighty-eight of this chapter notwithstanding, no
52 interest shall be paid thereon.
53 § 4. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
54 of the tax law is amended by adding a new clause (xxxv) to read as
55 follows:
A. 5683 3
1 (xxxv) Asbestos remediation creditAmount of credit under
2 under subsection (vv)subdivision forty-six of
3 section two hundred ten
4 § 5. Section 606 of the tax law is amended by adding a new subsection
5 (vv) to read as follows:
6 (vv) Asbestos remediation credit. (1) Allowance of credit. A taxpayer
7 who has undertaken a qualified asbestos project on an existing structure
8 shall be allowed a credit, to be computed as provided in section twen-
9 ty-three-a of this chapter, against the tax imposed by this article.
10 (2) Application of credit. If the amount of the credit allowed under
11 this subsection for any taxable year shall exceed the taxpayer's tax for
12 such year, the excess shall be treated as an overpayment of tax to be
13 credited or refunded in accordance with the provisions of section six
14 hundred eighty-six of this article, provided, however, that no interest
15 shall be paid thereon.
16 § 6. This act shall take effect immediately and shall apply to taxable
17 years commencing on or after January 1, 2013.
