senate Bill S4088A

Makes technical corrections to the conservation easement tax credit

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Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
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actions

  • 17 / Mar / 2011
    • REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 02 / Jun / 2011
    • REPORTED AND COMMITTED TO FINANCE
  • 04 / Jan / 2012
    • REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 25 / Jan / 2012
    • AMEND AND RECOMMIT TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 25 / Jan / 2012
    • PRINT NUMBER 4088A
  • 18 / Apr / 2012
    • REPORTED AND COMMITTED TO FINANCE
  • 01 / May / 2012
    • 1ST REPORT CAL.669
  • 02 / May / 2012
    • 2ND REPORT CAL.
  • 07 / May / 2012
    • ADVANCED TO THIRD READING
  • 06 / Jun / 2012
    • PASSED SENATE
  • 06 / Jun / 2012
    • DELIVERED TO ASSEMBLY
  • 06 / Jun / 2012
    • REFERRED TO WAYS AND MEANS

Summary

Makes technical corrections to the conservation easement tax credit.

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Bill Details

See Assembly Version of this Bill:
A9653
Versions:
S4088
S4088A
Legislative Cycle:
2011-2012
Current Committee:
Law Section:
Tax Law
Laws Affected:
Amd ยงยง606 & 210, Tax L
Versions Introduced in 2009-2010 Legislative Cycle:
S866, S866

Sponsor Memo

BILL NUMBER:S4088A

TITLE OF BILL:
An act
to amend the tax law, in relation to making technical corrections to the
conservation easement tax credit

PURPOSE:
To make a technical correction to paragraph 1 of subsection
(kk) of section 606 of the tax law, as added by section 1 of Part F
of Chapter 62 of the laws of 2006.

SUMMARY OF PROVISIONS:
Section 1 and 2 make technical corrections to
Chapter 62 of the laws of 2006 to allow the tax credit to be applied
to all classifications of land subject to the easement.

JUSTIFICATION:
An income tax credit for real property taxes paid on
land under a conservation easement will help landowners bear the
annual carrying costs of land that provides multiple public benefits.
This income tax credit will have a large impact on those landowners
who have modest incomes and are unlikely to benefit significantly
from existing tax deductions.
An income tax credit will provide them with an incentive to make a
gift to perpetually conserved land that they otherwise could not
afford to make.

LEGISLATIVE HISTORY:
2007-08: S.4368-A,
2008: Governor's Veto
9.
2009-10: S.866, Referred to Investigations & Governmental Operations

FISCAL IMPLICATIONS:
Minimal.

EFFECTIVE DATE:
This act shall take effect immediately and shall be
made applicable to taxable years commencing on and after January 1,
2012 and thereafter.

view bill text
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 4088--A

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                             March 17, 2011
                               ___________

Introduced  by  Sen.  MARCELLINO  -- read twice and ordered printed, and
  when printed to be committed to the Committee  on  Investigations  and
  Government  Operations  --  recommitted  to  the Committee on Investi-
  gations and Government Operations in accordance with  Senate  Rule  6,
  sec.  8  --  committee  discharged, bill amended, ordered reprinted as
  amended and recommitted to said committee

AN ACT to amend the tax law, in relation to making technical corrections
  to the conservation easement tax credit

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  Paragraph  1 of subsection (kk) of section 606 of the tax
law, as added by section 1 of part F of chapter 62 of the laws of  2006,
is amended to read as follows:
  (1)  Credit  allowed.  In the case of a taxpayer who owns land that is
subject to a conservation easement held by a public or private conserva-
tion agency, there shall be allowed a credit for twenty-five percent  of
the  [allowable  school  district,  county and town] real property taxes
PAID on [such] THE  land,  OR  PORTION  OF  THE  LAND,  SUBJECT  TO  THE
EASEMENT.  In no event shall the credit allowed under this subsection in
combination with any other credit for [such school district, county  and
town] real property taxes under this section exceed such taxes.
  S 2. Subdivision 38 of section 210 of the tax law, as added by section
3 of part F of chapter 62 of the laws of 2006, is renumbered subdivision
45 and is amended to read as follows:
  45.  Conservation easement tax credit. (1) Credit allowed. In the case
of a taxpayer who owns land that is subject to a  conservation  easement
held  by a public or private conservation agency, there shall be allowed
a credit for twenty-five percent  of  the  [allowable  school  district,
county and town] real property taxes PAID on [such] THE land, OR PORTION
OF  THE  LAND, SUBJECT TO THE EASEMENT. In no such case shall the credit
allowed under this subdivision in combination with any other credit  for

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02983-02-2

S. 4088--A                          2

[such  school  district, county and town] real property taxes under this
section exceed such taxes.
  (2)  Conservation easement. For purposes of this subdivision, the term
"conservation easement" means a  perpetual  and  permanent  conservation
easement as defined in article forty-nine of the environmental conserva-
tion  law  that serves to protect open space, scenic, natural resources,
biodiversity,  agricultural,  watershed  and/or  historic   preservation
resources.  Any  conservation easement for which a tax credit is claimed
under this subdivision shall be filed with the  department  of  environ-
mental  conservation, as provided for in article forty-nine of the envi-
ronmental conservation law and such conservation easement  shall  comply
with  the  provisions of title three of such article, and the provisions
of subdivision (h) of section 170 of the internal  revenue  code.  Dedi-
cations  of  land  for  open space through the execution of conservation
easements for the purpose of fulfilling density requirements  to  obtain
subdivision  or  building permits shall not be considered a conservation
easement under this subdivision.
  (3) Land. For purposes of this subdivision, the term  "land"  means  a
fee simple title to real property located in this state, with or without
improvements  thereon;  rights  of way; water and riparian rights; ease-
ments; privileges and all other rights  or  interests  of  any  land  or
description  in,  relating to or connected with real property, excluding
buildings, structures, or improvements.
  (4) Public or private conservation agency. For purposes of this subdi-
vision, the term "public  or  private  conservation  agency"  means  any
state,  local, or federal governmental body; or any private not-for-pro-
fit charitable corporation or trust which is authorized to  do  business
in  the state of New York, is organized and operated to protect land for
natural resources, conservation or historic  preservation  purposes,  is
exempt  from  federal  income  taxation  under  section 501(c)(3) of the
internal revenue code, and has the power to acquire, hold  and  maintain
land and/or interests in land for such purposes.
  (5) Credit limitation. The amount of the credit that may be claimed by
a  taxpayer  pursuant  to this subsection shall not exceed five thousand
dollars in any given year.
  (6) Application of the credit. The credit allowed under this  subdivi-
sion  for any taxable year shall not reduce the tax due for such year to
less than the higher of the amounts prescribed in paragraphs (c) and (d)
of subdivision one of this section. However, if the amount of the credit
allowed under this subdivision for any taxable year reduces the  tax  to
such  amount, any amount of the credit thus not deductible in such taxa-
ble year shall be treated as an overpayment of tax  to  be  credited  or
refunded  in accordance with the provisions of subsection (c) of section
[ten hundred] ONE THOUSAND eighty-eight of this chapter, except that, no
interest shall be paid thereon.
  S 3. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
of  the  tax  law is amended by adding a new clause (xxxiv-a) to read as
follows:

(XXXIV-A) CONSERVATION EASEMENT      AMOUNT OF CREDIT UNDER
TAX CREDIT UNDER SUBSECTION (KK)     SUBDIVISION FORTY-FIVE OF
                                     SECTION TWO HUNDRED TEN
  S 4. This act shall take effect immediately and shall be made applica-
ble to taxable years commencing on and after January 1, 2012 and  there-
after.

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