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Sponsors
Senator · Senate District 61
2 Co-sponsors
History
- Referred to investigations and government operations
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Establishes a credit against income tax for the rehabilitation of distressed residential properties
In Assembly Committee · Ways And Means · Sponsor Robin Schimminger
Full text
The text isn't available here yet. Check nysenate.gov.
Sponsor's memo
BILL NUMBER:S6979
Title of bill
An act to amend the tax law, in relation to establishing a credit against income tax for the rehabilitation of distressed residential properties
Summary of provisions
This bill would create a new tax credit program to encourage the reha- bilitation of distressed residential property.
Section 1 - amends section 606 of the Tax Law by adding a new subsection (uu) which creates a tax credit for the rehabilitation of distressed residential property.
(1) For taxable years beginning after January 1, 2012, taxpayers shall be allowed a credit equal to thirty percent of the qualified expenditures made by the taxpayer with respect to a qualified distressed residential property. (2) The credit shall not exceed $100,000. Credits are allowed in the taxable year in which the property is deemed a certified rehabilitation. (3) Credits may be carried forward, but not more than $25,000 in any year. (4) Defines qualified rehabilitation expenditure. Expenditures must be made after January 1, 2012 and before December 31, 2017. (5) Defines certified rehabilitation. (6) Defines qualified distressed residential property. (7) Provides for recapture of tax credits in the event the rehabilitated distressed residential property is disposed of within five years after receiving the credit.
Section 2 - amends subparagraph (B) of paragraph 1 of subsection (i) of section 606 by adding a new clause (xxxiv) enumerating the new credit for rehabilitation of distressed residential property.
Section 3 - amends section 210 of the Tax law to add a new subdivision 45.
(1) For taxable years beginning after January 1, 2012, taxpayers shall be allowed a credit equal to thirty percent of the qualified expenditures made by the taxpayer with respect to a qualified distressed residential property. (2) The credit shall not exceed $100,000. Credits are allowed in the taxable year in which the property is deemed a certified rehabilitation. (3) Credits may be carried forward, but not more than $25,000 in any year. (4) Defines qualified rehabilitation expenditure. Expenditures must be made after January 1, 2012 and before December 31, 2017. (5) Defines certified rehabilitation.
(6) Defines qualified distressed commercial property. (7) Provides for recapture of tax credits in the event the rehabilitated distressed residential property is disposed of within five years after receiving the credit.
Section 4 - provides that this act shall take effect immediately and shall apply to taxable years on or after January 1, 2012.
Purpose and justification
In many communities across New York State, whether towns, villages, suburbs or cities, there are areas of rundown and dilapidated residential buildings. These residential buildings may have not have received any significant updating for years, and they are now vacant or under performing properties that give their whole neighborhoods a rundown appearance and at best are not attractive places to live. Rehabilitating these properties will benefit communities, make these areas economically attractive for new and existing residents and help to revive the economy of our state. Under this legislation, it will be up to local communities to identify, by local law , areas that are dilapidated and in need of rehabilitation, and to confirm that rehabilitation work is completed to the satisfaction of their building departments and certificates of occupancy were issued for the work done. Residents and communities, as well as the state as a whole, will be rewarded with rejuvenated neighborhoods.
Existing law
Various tax credits are offered to encourage activities that will benefit the state.
Prior legislative history
New bill.
Fiscal implications
To be determined.
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.