Bill Text: NY S01843 | 2023-2024 | General Assembly | Introduced

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Bill Title: Provides a tax credit for the installation of fire sprinkler systems for residential properties.

Spectrum: Partisan Bill (Democrat 7-0)

Status: (Introduced) 2024-01-03 - REFERRED TO BUDGET AND REVENUE [S01843 Detail]

Download: New_York-2023-S01843-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          1843

                               2023-2024 Regular Sessions

                    IN SENATE

                                    January 17, 2023
                                       ___________

        Introduced  by  Sens.  COMRIE,  ADDABBO,  BAILEY,  HOYLMAN-SIGAL, MYRIE,
          PERSAUD, SEPULVEDA -- read twice and ordered printed, and when printed
          to be committed to the Committee on Budget and Revenue

        AN ACT to amend the tax law, in relation to providing  tax  credits  for
          the installation of fire sprinkler systems

          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 (ooo) to read as follows:
     3    (ooo) Fire sprinkler tax credit for residential properties. (1) Allow-
     4  ance  of credit. A taxpayer who is a residential property owner shall be
     5  allowed a credit, to be computed as hereinafter  provided,  against  the
     6  tax  imposed by this article. The amount of the credit shall be equal to
     7  twenty-five percent of the cost of the labor  and  materials  needed  to
     8  install sprinkler systems as defined by section one hundred fifty-five-a
     9  of  the  executive  law,  by  the  residential property owner, provided,
    10  however, that this subsection shall apply only to residential properties
    11  in municipalities that do not already require fire sprinkler systems  be
    12  installed.
    13    (2) Credit limitation. The amount of the credit that may be claimed by
    14  a  taxpayer  pursuant  to this subsection shall not exceed five thousand
    15  dollars in any given year.
    16    (3) Application of credit. If the amount of the credit  allowed  under
    17  this subsection for any taxable year shall exceed the taxpayer's tax for
    18  such  year,  the  excess shall be treated as an overpayment of tax to be
    19  credited or refunded in accordance with the provisions  of  section  six
    20  hundred  eighty-six of this article, provided, however, that no interest
    21  shall be paid thereon.
    22    § 2. Section 210-B of the tax law is amended by adding a new  subdivi-
    23  sion 59 to read as follows:

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD03500-01-3
        S. 1843                             2

     1    59.  Fire  sprinkler tax credit for residential properties. (1) Allow-
     2  ance of credit. A taxpayer who is a residential property owner shall  be
     3  allowed  a  credit,  to be computed as hereinafter provided, against the
     4  tax imposed by this article. The amount of the credit shall be equal  to
     5  twenty-five  percent  of  the  cost of the labor and materials needed to
     6  install sprinkler systems as defined by section one hundred fifty-five-a
     7  of the executive law,  by  the  residential  property  owner,  provided,
     8  however,  that  this subdivision shall apply only to residential proper-
     9  ties in municipalities  that  do  not  already  require  fire  sprinkler
    10  systems be installed.
    11    (2) Credit limitation. The amount of the credit that may be claimed by
    12  a  taxpayer  pursuant to this subdivision shall not exceed five thousand
    13  dollars in any given year.
    14    (3) Application of credit.  The credit allowed under this  subdivision
    15  for  any taxable year shall not reduce the tax due for such year to less
    16  than  the  fixed dollar minimum amount  prescribed  in  paragraph (d) of
    17  subdivision  one of section two hundred ten of this chapter. However, if
    18  the amount of credits allowed under this   subdivision for  any  taxable
    19  year  reduces  the  tax to such amount or if the taxpayer otherwise pays
    20  tax based on the fixed dollar minimum amount, any amount of credit  thus
    21  not  deductible  in such taxable year shall be treated as an overpayment
    22  of tax to be credited or refunded in accordance with the  provisions  of
    23  section  one thousand eighty-six of this chapter. Provided, however, the
    24  provisions of subsection (c) of section   one thousand  eighty-eight  of
    25  this chapter notwithstanding, no interest shall be paid thereon.
    26    § 3. This act shall take effect immediately and shall apply to taxable
    27  years beginning on or after January 1, 2023.