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

                                   387

                       2011-2012 Regular Sessions

                          I N  A S S E M B L Y

                               (PREFILED)

                             January 5, 2011
                               ___________

Introduced  by M. of A. GUNTHER, ORTIZ, PHEFFER, SPANO, ABBATE -- Multi-
  Sponsored by -- M. of A. DESTITO, SWEENEY -- read once and referred to
  the Committee on Ways and Means

AN ACT to amend the tax  law,  in  relation  to  establishing  a  credit
  against  tax  for wind electric generating equipment installed on farm
  property

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

  Section  1.  Section  606  of  the  tax law is amended by adding a new
subsection (g-3) to read as follows:
  (G-3) WIND ELECTRIC GENERATING EQUIPMENT CREDIT; FARM PROPERTY.    (1)
GENERAL. A TAXPAYER SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY
THIS  ARTICLE  EQUAL  TO  TWENTY-FIVE PERCENT OF QUALIFIED WIND ELECTRIC
GENERATING EQUIPMENT EXPENDITURES.  THIS CREDIT SHALL NOT  EXCEED  SEVEN
THOUSAND FIVE HUNDRED DOLLARS.
  (2)  QUALIFIED  WIND  ELECTRIC GENERATING EQUIPMENT EXPENDITURES.  (A)
THE TERM "QUALIFIED WIND  ELECTRIC  GENERATING  EQUIPMENT  EXPENDITURES"
MEANS EXPENDITURES, LIMITED TO THE EXPENDITURE CAP SET FORTH IN SUBPARA-
GRAPH  (B) OF THIS PARAGRAPH, FOR THE PURCHASE OF WIND ELECTRIC GENERAT-
ING EQUIPMENT WHICH IS INSTALLED ON FARM PROPERTY WHICH IS  (I)  LOCATED
IN  THIS  STATE  AND  (II)  USED BY THE TAXPAYER AS HIS OR HER PRINCIPAL
PREMISES AT THE TIME THE WIND ELECTRIC GENERATING EQUIPMENT IS PLACED IN
SERVICE.
  (B) FOR PURPOSES OF SUBPARAGRAPH  (A)  OF  THIS  PARAGRAPH,  THE  TERM
"EXPENDITURE CAP" SHALL MEAN THE PRODUCT OF (I) SIX DOLLARS AND (II) THE
NUMBER  OF  WATTS  INCLUDED  IN  THE RATED CAPACITY OF THE WIND ELECTRIC
GENERATING EQUIPMENT.
  (C) SUCH QUALIFIED EXPENDITURES SHALL INCLUDE EXPENDITURES FOR MATERI-
ALS, LABOR COSTS PROPERLY ALLOCABLE TO ON-SITE PREPARATION, ASSEMBLY AND
ORIGINAL  INSTALLATION,  ARCHITECTURAL  AND  ENGINEERING  SERVICES,  AND

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

                                                           LBD02078-01-1

A. 387                              2

DESIGNS  AND  PLANS DIRECTLY RELATED TO THE CONSTRUCTION OR INSTALLATION
OF THE WIND ELECTRIC GENERATING EQUIPMENT.
  (D)  SUCH  QUALIFIED  EXPENDITURES SHALL NOT INCLUDE INTEREST OR OTHER
FINANCE CHARGES.
  (3) WIND ELECTRIC GENERATING EQUIPMENT. THE TERM "WIND ELECTRIC GENER-
ATING EQUIPMENT" SHALL MEAN EQUIPMENT WHICH, WHEN INSTALLED AT A TAXPAY-
ER'S PREMISES, USES WIND ENERGY FOR THE PURPOSE OF GENERATING  ELECTRIC-
ITY  FOR  USE  AT  SUCH  PREMISES  AND  WHICH  HAS  A RATED CAPACITY FOR
GENERATING ELECTRICITY WHICH DOES NOT EXCEED ONE HUNDRED KILOWATTS.
  (4) MULTIPLE TAXPAYERS. WHERE WIND ELECTRIC  GENERATING  EQUIPMENT  IS
PURCHASED  AND  INSTALLED  IN A PRINCIPAL PREMISES SHARED BY TWO OR MORE
TAXPAYERS, THE AMOUNT OF THE CREDIT ALLOWABLE UNDER THIS SUBSECTION  FOR
EACH  SUCH TAXPAYER SHALL BE PRORATED ACCORDING TO THE PERCENTAGE OF THE
TOTAL EXPENDITURE FOR SUCH WIND ELECTRIC GENERATING  EQUIPMENT  CONTRIB-
UTED BY EACH TAXPAYER.
  (5)  GRANTS. FOR PURPOSES OF DETERMINING THE AMOUNT OF THE EXPENDITURE
INCURRED IN PURCHASING AND INSTALLING WIND  ELECTRIC  GENERATING  EQUIP-
MENT,  THE  AMOUNT  OF ANY FEDERAL, STATE OR LOCAL GRANT RECEIVED BY THE
TAXPAYER, WHICH WAS USED FOR THE PURCHASE AND/OR  INSTALLATION  OF  SUCH
EQUIPMENT  AND WHICH WAS NOT INCLUDED IN THE FEDERAL GROSS INCOME OF THE
TAXPAYER, SHALL NOT BE INCLUDED IN THE AMOUNT OF SUCH EXPENDITURES.
  (6) WHEN CREDIT ALLOWED. THE  CREDIT  PROVIDED  FOR  HEREIN  SHALL  BE
ALLOWED WITH RESPECT TO THE TAXABLE YEAR, COMMENCING ON OR AFTER JANUARY
FIRST, TWO THOUSAND TWELVE, IN WHICH THE WIND ELECTRIC GENERATING EQUIP-
MENT IS PLACED IN SERVICE.
  (7)  CARRYOVER  OF CREDIT. IF THE AMOUNT OF THE CREDIT, AND CARRYOVERS
OF SUCH CREDIT, ALLOWABLE UNDER THIS SUBSECTION  FOR  ANY  TAXABLE  YEAR
SHALL EXCEED THE TAXPAYER'S TAX FOR SUCH YEAR, SUCH EXCESS AMOUNT MAY BE
CARRIED  OVER  TO THE FIVE TAXABLE YEARS NEXT FOLLOWING THE TAXABLE YEAR
WITH RESPECT TO WHICH THE CREDIT IS ALLOWED AND MAY BE DEDUCTED FROM THE
TAXPAYER'S TAX FOR SUCH YEAR OR YEARS.
  S 2. This act shall take effect immediately.