What's happening
This bill provides a 25% tax credit to residential property owners for installing fire sprinkler systems where not already required.
Why it matters
Encourages proactive fire safety upgrades. By providing a financial incentive, the bill aims to motivate property owners in areas without sprinkler mandates to voluntarily install these life-saving systems, potentially reducing fire-related injuries, deaths, and property losses.
Targets equity in safety standards. The credit is available only where local laws do not already require sprinklers, helping to address disparities in fire protection between jurisdictions with different building codes or enforcement.
Refundable tax credit increases accessibility. The credit can be refunded if it exceeds the taxpayer’s liability, making it more accessible to lower-income property owners who might otherwise lack the upfront funds or tax liability to benefit from non-refundable credits.
Potential public health and insurance impacts. Widespread adoption of sprinkler systems could lower municipal firefighting costs, reduce strain on emergency services, and may eventually lead to lower property insurance premiums for affected residents.
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Who cares
Residential property owners
The bill would provide a refundable tax credit covering 25% of sprinkler installation labor and materials, but only for properties in municipalities that do not already require sprinklers.
Corporate residential property owners
The bill would offer the same 25% credit against corporate taxes, with excess credit available for refund or credit without interest.
Fire sprinkler installers
The credit would reduce eligible owners’ costs for the installation labor and materials these contractors provide.
Headline styles
Tax Credit for Sprinkler Installation
Plain English, a few words. Used as the page title.
Sponsors
2 Co-sponsors
History
- Referred to ways and means
- Referred to ways and means
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.
Tax Credit for Sprinkler Systems
In Senate Committee · Investigations And Government Operations · Sponsor John J. Flanagan
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
3885
2017-2018 Regular Sessions
IN ASSEMBLY
January 30, 2017
Introduced by M. of A. DenDEKKER -- read once and referred to the Committee on Ways and Means
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 Assembly, do enact as follows:
Section 1. Section 606 of the tax law is amended by adding a new subsection (ccc) to read as follows:
(ccc) Fire sprinkler tax credit for residential properties. (1) Allowance of credit. A taxpayer who is a residential property owner shall be allowed a credit, to be computed as hereinafter provided, against the tax imposed by this article. The amount of the credit shall be equal to twenty-five percent of the cost of the labor and materials needed to install sprinkler systems as defined by section one hundred fifty-five-a of the executive law, by the residential property owner, provided, however, that this subsection shall apply only to residential properties in municipalities that do not already require fire sprinkler systems be installed.
(2) Application of credit. If the amount of the credit allowed under this subsection for any taxable year shall exceed the taxpayer's tax for such year, the excess shall be treated as an overpayment of tax to be credited or refunded in accordance with the provisions of section six hundred eighty-six of this article, provided, however, that no interest shall be paid thereon.
§ 2. Section 210-B of the tax law is amended by adding a new subdivision 49 to read as follows:
49. Fire sprinkler tax credit for residential properties. (1) Allowance of credit. A taxpayer who is a residential property owner shall be allowed a credit, to be computer as hereinafter provided, against the tax imposed by this article. The amount of the credit shall be equal to twenty-five percent of the cost of the labor and materials needed to
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD07712-01-7
A. 3885 2
install sprinkler systems as defined by section one hundred fifty-five-a of the executive law, by the residential property owner, provided, however, that this subdivision shall apply only to residential properties in municipalities that do not already require fire sprinkler systems be installed.
(2) Application of credit. If the amount of the credit allowed under this subdivision for any taxable year shall exceed the taxpayer's tax for such year, the excess shall be treated as an overpayment of tax to be credited or refunded in accordance with the provisions of section six hundred eighty-six of this chapter, provided, however, that no interest shall be paid thereon.
§ 3. This act shall take effect immediately.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.