S T A T E O F N E W Y O R K
________________________________________________________________________
7546
2009-2010 Regular Sessions
I N A S S E M B L Y
April 14, 2009
___________
Introduced by M. of A. ORTIZ -- read once and referred to the Committee
on Ways and Means
AN ACT to amend the tax law, in relation to providing a tax credit to
small businesses that purchase and install a security system
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Section 210 of the tax law is amended by adding a new
subdivision 24-a to read as follows:
24-A. CREDIT FOR SMALL BUSINESS PURCHASE OF SECURITY SYSTEM. (A) A
TAXPAYER SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS HEREINAFTER
PROVIDED, AGAINST THE TAX IMPOSED BY THIS ARTICLE, FOR THE PURCHASE,
OTHER THAN FOR RESALE, OF A SECURITY SYSTEM.
(B) FOR THE PURPOSES OF THIS SUBDIVISION, THE FOLLOWING TERMS SHALL
HAVE THE FOLLOWING MEANINGS:
(1) "SECURITY SYSTEM" IS DEFINED AS A SYSTEM INSTALLED TO DETECT
INTRUSION, BREAK-IN, MOVEMENT, SOUND OR FIRE.
(2) "SMALL BUSINESS" MEANS A NEW YORK TAXPAYER AS DEFINED IN PARAGRAPH
(F) OF SUBDIVISION ONE OF THIS SECTION WHO HAS FEWER THAN FIFTY EMPLOY-
EES IN THE INITIAL TAXABLE YEAR FOR WHICH THE CREDIT IS CLAIMED.
(C) THE AMOUNT OF CREDIT SHALL BE FIFTY PERCENT OF THE COST TO THE
TAXPAYER FOR THE PURCHASE AND INSTALLATION OF SUCH SECURITY SYSTEM
DURING THE TAXABLE YEAR OF PURCHASE, SUCH CREDIT NOT TO EXCEED SEVEN
HUNDRED FIFTY DOLLARS WITH RESPECT TO EACH PURCHASE AND INSTALLATION.
THE CREDIT ALLOWED UNDER THIS SUBDIVISION 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.
S 2. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
of the tax law, as amended by section 2 of part ZZ-1 of chapter 57 of
the laws of 2008, is amended to read as follows:
(B) shall be treated as the owner of a new business with respect to
such share if the corporation qualifies as a new business pursuant to
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD10974-01-9
A. 7546 2
paragraph (j) of subdivision twelve of section two hundred ten of this
chapter.
The corporation's credit base under
section two hundred ten or section
With respect to the following fourteen hundred fifty-six of this
credit under this section: chapter is:
(I) Investment tax credit under Investment credit base or qualified
subsection (a) rehabilitation expenditures under
subdivision twelve of section two
hundred ten
(II) Empire zone investment Cost or other basis under
tax credit under subsection (j) subdivision twelve-B of section
two hundred ten
(III) Empire zone wage tax credit Eligible wages under subdivision
under subsection (k) nineteen of section two hundred
ten or subsection (e) of section
fourteen hundred fifty-six
(IV) Empire zone capital tax Qualified investments and
credit under subsection (l) contributions under subdivision
twenty of section two hundred ten
or subsection (d) of section
fourteen hundred fifty-six
(V) Agricultural property tax Allowable school district property
credit under subsection (n) taxes under subdivision twenty-two
of section two hundred ten
(VI) Credit for employment of Qualified first-year wages or
persons with disabilities qualified second-year wages under
under subsection (o) subdivision twenty-three of
section two hundred ten or
subsection (f) of section
fourteen hundred fifty-six
(VII) Employment incentive credit Applicable investment credit base
under subsection (a-1) under subdivision twelve-D of
section two hundred ten
(VIII) Empire zone employment Applicable investment credit
incentive credit under subsection under subdivision twelve-C of
(j-1) section two hundred ten
(IX) Alternative fuels credit Cost under subdivision twenty-four
under subsection (p) of section two hundred ten
(X) Qualified emerging technology Applicable credit base under
company employment credit under subdivision twelve-E of section
subsection (q) two hundred ten
A. 7546 3
(XI) Qualified emerging technology Qualified investments under
company capital tax credit under subdivision twelve-F of section
subsection (r) two hundred ten
(XII) Credit for purchase of an Cost of an automated external
automated external defibrillator defibrillator under subdivision
under subsection (s) twenty-five of section two hundred
ten or subsection (j) of section
fourteen hundred fifty-six
(XIII) Low-income housing credit Credit amount under subdivision
under subsection (x) thirty of section two hundred ten
or subsection (l) of section
fourteen hundred fifty-six
(XIV) Credit for transportation Amount of credit under subdivision
improvement contributions under thirty-two of section two hundred
subsection (z) ten or subsection (n) of section
fourteen hundred fifty-six
(XV) QEZE credit for real property Amount of credit under subdivision
taxes under subsection (bb) twenty-seven of section two hundred
ten or subsection (o) of section
fourteen hundred fifty-six
(XVI) QEZE tax reduction credit Amount of benefit period factor,
under subsection (cc) employment increase factor and zone
allocation factor (without regard
to pro ration) under subdivision
twenty-eight of section two hundred
ten or subsection (p) of section
fourteen hundred fifty-six and
amount of tax factor as determined
under subdivision (f) of section
sixteen
(XVII) Green building credit under Amount of green building credit
subsection (y) under subdivision thirty-one of
section two hundred ten or
subsection (m) of section fourteen
hundred fifty-six
(XVIII) Credit for long-term care Qualified costs under subdivision
insurance premiums under subsection twenty-five-a of section two
(aa) hundred ten or subsection (k) of
section fourteen hundred fifty-six
(XIX) Brownfield redevelopment Amount of credit under subdivision
credit under subsection (dd) thirty-three of section two hundred
ten or subsection (q) of section
fourteen hundred fifty-six
(XX) Remediated brownfield credit Amount of credit under subdivision
for real property taxes for thirty-four of section two hundred
qualified sites under subsection ten or subsection (r) of section
(ee) fourteen hundred fifty-six
A. 7546 4
(XXI) Environmental remediation Amount of credit under subdivision
insurance credit under subsection thirty-five of section two hundred
(ff) ten or subsection (s) of section
fourteen hundred fifty-six
(XXII) Empire state film production Amount of credit for qualified
credit under subsection (gg) production costs in production of a
qualified film under subdivision
thirty-six of section two hundred
ten
(XXIII) Qualified emerging Qualifying expenditures and
technology company facilities, development activities under
operations and training credit subdivision twelve-G of section two
under subsection (nn) hundred ten
(XXIV) Security training tax credit Amount of credit under subdivision
under subsection (ii) thirty-seven of section two hundred
ten or under subsection (t) of
section fourteen hundred fifty-six
(XXV) Credit for qualified fuel Amount of credit under subdivision
cell electric generating equipment thirty-seven of section two hundred
expenditures under subsection (g-2) ten or subsection (t) of section
fourteen hundred fifty-six
(XXVI) Empire state commercial Amount of credit for qualified
production credit under subsection production costs in production of
(jj) a qualified commercial under
subdivision thirty-eight of
section two hundred ten
(XXVII) Biofuel production tax Amount of credit under subdivision
credit under subsection (jj) thirty-eight of section two hundred
ten
(XXVIII) Clean heating fuel credit Amount of credit under subdivision
under subsection (mm) thirty-nine of section two hundred
ten
(XXIX) Credit for rehabilitation Amount of credit under subdivision
of historic properties under forty of [subsection] SECTION
subsection (oo) two hundred ten
(XXX) Credit for companies who Amount of credit under subdivision
provide transportation to forty of section two hundred ten
individuals with disabilities under
subsection (oo)
(XXXI) CREDIT FOR SMALL BUSINESS PURCHASE AND INSTALLATION
PURCHASE AND INSTALLATION COSTS OF A SECURITY SYSTEM
OF A SECURITY SYSTEM UNDER SUBDIVISION
UNDER SUBSECTION (S-1) TWENTY-FOUR-A OF SECTION
TWO HUNDRED TEN OR
SUBSECTION (J-1) OF
SECTION FOURTEEN HUNDRED
A. 7546 5
FIFTY-SIX
S 3. Section 606 of the tax law is amended by adding a new subsection
(s-1) to read as follows:
(S-1) CREDIT FOR SMALL BUSINESS PURCHASE AND INSTALLATION OF A SECURI-
TY SYSTEM. A TAXPAYER SHALL BE ALLOWED A CREDIT AS HEREINAFTER PROVIDED,
AGAINST THE TAX IMPOSED BY THIS ARTICLE FOR THE PURCHASE AND INSTALLA-
TION OF A SECURITY SYSTEM, AS SUCH TERM IS DEFINED IN SUBDIVISION TWEN-
TY-FOUR-A OF SECTION TWO HUNDRED TEN OF THIS CHAPTER. THE AMOUNT OF
CREDIT SHALL BE FIFTY PERCENT OF THE COST TO THE TAXPAYER OF THE
PURCHASE AND INSTALLATION OF THE SECURITY SYSTEM DURING THE TAXABLE
YEAR, SUCH CREDIT NOT TO EXCEED SEVEN HUNDRED FIFTY DOLLARS WITH RESPECT
TO EACH SYSTEM PURCHASED AND INSTALLED.
S 4. Section 1456 of the tax law is amended by adding a new subsection
(j-1) to read as follows:
(J-1) CREDIT FOR SMALL BUSINESS PURCHASE AND INSTALLATION OF A SECURI-
TY SYSTEM. A TAXPAYER SHALL BE ALLOWED A CREDIT AS HEREINAFTER PROVIDED,
AGAINST THE TAX IMPOSED BY THIS ARTICLE FOR THE PURCHASE AND INSTALLA-
TION OF A SECURITY SYSTEM, AS SUCH TERM IS DEFINED IN SUBDIVISION TWEN-
TY-FOUR-A OF SECTION TWO HUNDRED TEN OF THIS CHAPTER. THE AMOUNT OF THE
CREDIT SHALL BE FIFTY PERCENT OF THE COST TO THE TAXPAYER OF THE
PURCHASE AND INSTALLATION OF SUCH SECURITY SYSTEM DURING THE TAXABLE
YEAR, SUCH CREDIT NOT TO EXCEED SEVEN HUNDRED FIFTY DOLLARS WITH
RESPECT TO EACH SYSTEM PURCHASED AND INSTALLED. THE CREDIT ALLOWED UNDER
THIS SUBSECTION FOR ANY TAXABLE YEAR SHALL NOT REDUCE THE TAX DUE FOR
SUCH YEAR TO LESS THAN THE MINIMUM TAX FIXED BY SUBSECTION (B) OF
SECTION FOURTEEN HUNDRED FIFTY-FIVE OF THIS ARTICLE.
S 5. Section 1511 of the tax law is amended by adding a new subdivi-
sion (l-1) to read as follows:
(L-1) CREDIT FOR SMALL BUSINESS PURCHASE AND INSTALLATION OF SECURITY
SYSTEM. A TAXPAYER SHALL BE ALLOWED A CREDIT AS HEREINAFTER PROVIDED,
AGAINST THE TAX IMPOSED BY THIS ARTICLE FOR THE PURCHASE AND INSTALLA-
TION OF A SECURITY SYSTEM, AS SUCH TERM IS DEFINED IN SUBDIVISION TWEN-
TY-FOUR-A OF SECTION TWO HUNDRED TEN OF THIS CHAPTER. THE AMOUNT OF THE
CREDIT SHALL BE FIFTY PERCENT OF THE COST TO THE TAXPAYER OF THE
PURCHASE AND INSTALLATION OF SUCH SYSTEM DURING THE TAXABLE YEAR, SUCH
CREDIT NOT TO EXCEED SEVEN HUNDRED FIFTY DOLLARS WITH RESPECT TO EACH
SYSTEM PURCHASED AND INSTALLED. THE CREDIT ALLOWED UNDER THIS SUBDIVI-
SION FOR ANY TAXABLE YEAR SHALL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO
LESS THAN THE MINIMUM FIXED BY PARAGRAPH FOUR OF SUBDIVISION (A) OF
SECTION FIFTEEN HUNDRED TWO OF THIS ARTICLE.
S 6. This act shall take effect immediately and shall apply to taxable
years commencing on or after January 1, 2011; provided, however that the
empire state film production credit under subsection (gg), the empire
state commercial production credit under subsection (jj) and the credit
for companies who provide transportation to individuals with disabili-
ties under subsection (oo) of section 606 of the tax law contained in
section two of this act shall expire on the same date as provided in
section 9 of part P of chapter 60 of the laws of 2004, as amended,
section 10 of part V of chapter 62 of the laws of 2006, as amended and
section 5 of chapter 522 of the laws of 2006, as amended, respectively.