S T A T E   O F   N E W   Y O R K
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                                 6968--A

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                             April 15, 2015
                               ___________

Introduced by M. of A. CUSICK -- read once and referred to the Committee
  on Ways and Means -- recommitted to the Committee on Ways and Means in
  accordance  with Assembly Rule 3, sec. 2 -- committee discharged, bill
  amended, ordered reprinted as amended and recommitted to said  commit-
  tee

AN  ACT  to amend the tax law, in relation to providing a tax credit for
  businesses that purchase flood insurance; and providing for the repeal
  of such provisions upon expiration thereof

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

  Section  1.  Section  210-B  of the tax law is amended by adding a new
subdivision 49 to read as follows:
  49. TAX CREDIT FOR BUSINESSES WHICH PURCHASE FLOOD INSURANCE.   (A)  A
QUALIFIED TAXPAYER SHALL BE ALLOWED AN ANNUAL CREDIT FOR THE PURCHASE OF
FLOOD  INSURANCE. THE CREDIT SHALL BE EQUAL TO: (I) SEVENTY-FIVE PERCENT
OF THE COST OF FLOOD INSURANCE FOR THE  BUSINESS  ON  OR  AFTER  JANUARY
FIRST,  TWO  THOUSAND SEVENTEEN; (II) FIFTY PERCENT OF THE COST OF FLOOD
INSURANCE FOR THE BUSINESS ON OR AFTER JANUARY FIRST, TWO THOUSAND EIGH-
TEEN; AND (III) TWENTY-FIVE PERCENT OF THE COST OF FLOOD  INSURANCE  FOR
THE BUSINESS ON OR AFTER JANUARY FIRST, TWO THOUSAND EIGHTEEN AND BEFORE
JANUARY FIRST, TWO THOUSAND NINETEEN.
  (B) IN NO EVENT SHALL THE CREDIT UNDER THIS SUBDIVISION REDUCE THE TAX
PAYABLE  TO  LESS THAN THE DOLLAR AMOUNT FIXED AS A MINIMUM TAX BY PARA-
GRAPH (D) OF SUBDIVISION ONE OF SECTION TWO HUNDRED TEN OF THIS ARTICLE.
HOWEVER, IF THE AMOUNT OF CREDIT ALLOWED UNDER THIS SUBDIVISION FOR  ANY
TAXABLE  YEAR  WOULD  HAVE REDUCED THE TAX TO SUCH AMOUNT, ANY AMOUNT OF
CREDIT THUS NOT USED IN SUCH TAXABLE YEAR MAY BE TREATED AS AN  OVERPAY-
MENT OF TAX TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS
OF SECTION ONE THOUSAND EIGHTY-SIX OF THIS CHAPTER.
  (C)  FOR  PURPOSES  OF  THIS  SUBDIVISION,  "QUALIFIED TAXPAYER" SHALL
INCLUDE, BUT NOT BE LIMITED TO BUSINESSES OPERATING IN OR OUT OF A RESI-

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD03106-03-6
              

A. 6968--A                          2

DENCE WHOSE BUSINESS IS LOCATED WITHIN A HEIGHTENED FLOOD RISK ZONE  AND
DOES NOT CURRENTLY HAVE FLOOD INSURANCE.
  S  2. Section 606 of the tax law is amended by adding a new subsection
(s-1) to read as follows:
  (S-1) CREDIT FOR ANNUAL BUSINESS PURCHASE OF FLOOD INSURANCE.   (1)  A
QUALIFIED  TAXPAYER  SHALL  BE  ALLOWED  AN ANNUAL CREDIT AS HEREINAFTER
PROVIDED AGAINST THE TAX IMPOSED BY THIS ARTICLE  FOR  THE  PURCHASE  OF
FLOOD  INSURANCE.  THE  AMOUNT  OF THE CREDIT SHALL BE: (I) SEVENTY-FIVE
PERCENT OF THE COST OF FLOOD INSURANCE FOR  THE  BUSINESS  ON  OR  AFTER
JANUARY FIRST, TWO THOUSAND SEVENTEEN; (II) FIFTY PERCENT OF THE COST OF
FLOOD INSURANCE FOR THE BUSINESS ON OR AFTER JANUARY FIRST, TWO THOUSAND
EIGHTEEN;  AND  (III) TWENTY-FIVE PERCENT OF THE COST OF FLOOD INSURANCE
FOR THE BUSINESS ON OR AFTER JANUARY FIRST, TWO  THOUSAND  EIGHTEEN  AND
BEFORE JANUARY FIRST, TWO THOUSAND NINETEEN.
  (2)  FOR  PURPOSES  OF  THIS  SUBSECTION,  "QUALIFIED  TAXPAYER" SHALL
INCLUDE, BUT NOT BE LIMITED TO BUSINESSES OPERATING IN OR OUT OF A RESI-
DENCE WHOSE BUSINESS IS LOCATED WITHIN A HEIGHTENED FLOOD RISK ZONE  AND
DOES NOT CURRENTLY HAVE FLOOD INSURANCE.
  (3)  IF  THE  AMOUNT  OF  CREDIT ALLOWABLE UNDER THIS SUBSECTION SHALL
EXCEED THE TAXPAYER'S TAX FOR SUCH YEAR, THE EXCESS MAY 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.
  S 3. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
of  the  tax  law  is  amended  by  adding a new clause (xli) to read as
follows:
(XLI) PURCHASE OF FLOOD INSURANCE    AMOUNT OF CREDIT UNDER
BY BUSINESSES UNDER SUBSECTION (S-1) SUBDIVISION FORTY-NINE OF
                                     SECTION TWO HUNDRED TEN-B
  S 4. The commissioner of taxation and finance  shall  prescribe  rules
and  regulations  necessary  to  establish the criteria for a heightened
flood risk zone and for the implementation of the tax credit  for  busi-
nesses which purchase flood insurance provided by this act.
  S  5.  This  act  shall take effect on the sixtieth day after it shall
have become a law and shall expire December 31,  2019,  when  upon  such
date the provisions of this act shall be deemed repealed.