S T A T E O F N E W Y O R K
________________________________________________________________________
4247--A
2011-2012 Regular Sessions
I N A S S E M B L Y
February 2, 2011
___________
Introduced by M. of A. GABRYSZAK, SCHIMMINGER, CASTELLI, KATZ, ENGLE-
BRIGHT, GALEF, TOBACCO, GUNTHER, BENEDETTO, MAISEL, FINCH, RAIA,
ZEBROWSKI, PAULIN -- Multi-Sponsored by -- M. of A. ABBATE, BOYLE,
CONTE, COOK, CRESPO, DUPREY, GIGLIO, GLICK, HEASTIE, LATIMER, LIFTON,
McENENY, McKEVITT, MENG, PALMESANO, SWEENEY, THIELE, TITONE, WEISEN-
BERG -- 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 committee
AN ACT to amend the tax law, in relation to the personal income tax
credit for solar and wind energy systems
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Paragraph 1 of subsection (g-1) of section 606 of the tax
law, as amended by chapter 378 of the laws of 2005, is amended to read
as follows:
(1) General. An individual taxpayer shall be allowed a credit against
the tax imposed by this article equal to twenty-five percent of quali-
fied solar energy system equipment expenditures. This credit shall not
exceed (A) three thousand seven hundred fifty dollars for qualified
solar energy equipment placed in service before September first, two
thousand six, and (B) five thousand dollars for qualified solar energy
equipment placed in service on or after September first, two thousand
six BUT PRIOR TO JANUARY FIRST, TWO THOUSAND THIRTEEN, AND (C) FIVE
THOUSAND DOLLARS FOR QUALIFIED SOLAR ENERGY EQUIPMENT THAT IS A SOLAR
THERMAL ENERGY SYSTEM PLACED IN SERVICE ON OR AFTER JANUARY FIRST, TWO
THOUSAND THIRTEEN, AND (D) FIVE THOUSAND DOLLARS FOR QUALIFIED SOLAR
ENERGY EQUIPMENT THAT IS A SOLAR ELECTRIC ENERGY SYSTEM PLACED IN
SERVICE ON OR AFTER JANUARY FIRST, TWO THOUSAND THIRTEEN.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD07657-03-2
A. 4247--A 2
S 2. Subparagraph (A) of paragraph 2 of subsection (g-1) of section
606 of the tax law, as amended by chapter 378 of the laws of 2005, is
amended to read as follows:
(A) The term "qualified solar energy system equipment expenditures"
means expenditures for the purchase of solar energy system equipment, A
SOLAR THERMAL ENERGY SYSTEM, OR A SOLAR ELECTRIC ENERGY SYSTEM which is
installed in connection with residential property which is (i) located
in this state and (ii) which is used by the taxpayer as ANY OF his or
her [principal residence] RESIDENCES at the time the solar energy system
equipment, A SOLAR THERMAL ENERGY SYSTEM, OR A SOLAR ELECTRIC ENERGY
SYSTEM is placed in service.
S 3. Paragraph 3 of subsection (g-1) of section 606 of the tax law, as
amended by chapter 128 of the laws of 2007, is amended to read as
follows:
(3) Solar energy system equipment. (A) The term "solar energy system
equipment" shall mean an arrangement or combination of components
utilizing solar radiation, which, when installed in a residence, produc-
es energy designed to provide heating, cooling, hot water or electricity
for use in such residence. Such arrangement or components shall not
include equipment connected to solar energy system equipment that is a
component of part or parts of a non-solar energy system or which uses
any sort of recreational facility or equipment as a storage medium.
[Solar energy system equipment that generates electricity for use in a
residence]
(B) THE TERM "SOLAR THERMAL ENERGY SYSTEM" SHALL MEAN SOLAR ENERGY
EQUIPMENT THAT IS AN ARRANGEMENT OR COMBINATION OF COMPONENTS UTILIZING
SOLAR RADIATION, WHICH, WHEN INSTALLED IN A RESIDENCE, PRODUCES ENERGY
DESIGNED TO PROVIDED HEATING, COOLING OR HOT WATER FOR USE IN SUCH RESI-
DENCE.
(C) THE TERM "SOLAR ELECTRIC ENERGY SYSTEM" SHALL MEAN SOLAR ENERGY
EQUIPMENT THAT IS AN ARRANGEMENT OR COMBINATION OF COMPONENTS UTILIZING
SOLAR RADIATION, WHICH, WHEN INSTALLED IN A RESIDENCE, PRODUCES ENERGY
DESIGNED TO PROVIDE ELECTRICITY FOR USE IN SUCH RESIDENCE. SUCH SYSTEMS
must conform to applicable requirements set forth in section sixty-six-j
of the public service law. Provided, however, where A solar ELECTRIC
energy system [equipment] is purchased and installed by a condominium
management association or a cooperative housing corporation, for
purposes of this subsection only, the term "ten kilowatts" in such
section sixty-six-j shall be read as "fifty kilowatts."
S 4. Paragraph 4 of subsection (g-1) of section 606 of the tax law, as
amended by chapter 378 of the laws of 2005, is amended to read as
follows:
(4) Multiple taxpayers. Where solar energy system equipment is
purchased and installed in a [principal] residence 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 solar energy system equipment contributed by
each taxpayer.
S 5. Paragraph 5 of subsection (g-1) of section 606 of the tax law, as
added by chapter 128 of the laws of 2007, is amended to read as follows:
(5) Proportionate share. Where solar energy system equipment is
purchased and installed by a condominium management association or a
cooperative housing corporation, a taxpayer who is a member of the
condominium management association or who is a tenant-stockholder in the
cooperative housing corporation may for the purpose of this subsection
claim a proportionate share of the total expense as the expenditure for
A. 4247--A 3
the purposes of the credit attributable to his [principal] OR HER resi-
dence.
S 6. Section 606 of the tax law is amended by adding a new subsection
(g-3) to read as follows:
(G-3) WIND ENERGY SYSTEM EQUIPMENT CREDIT. (1) GENERAL. AN INDIVIDUAL
TAXPAYER SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY THIS ARTI-
CLE EQUAL TO TWENTY-FIVE PERCENT OF QUALIFIED WIND ENERGY SYSTEM EQUIP-
MENT EXPENDITURES. THIS CREDIT SHALL NOT EXCEED FIVE THOUSAND DOLLARS
FOR QUALIFIED WIND ENERGY EQUIPMENT.
(2) QUALIFIED WIND ENERGY SYSTEM EQUIPMENT EXPENDITURES. (A) THE TERM
"QUALIFIED WIND ENERGY SYSTEM EQUIPMENT EXPENDITURES" MEANS EXPENDITURES
FOR THE PURCHASE OF WIND ENERGY SYSTEM EQUIPMENT WHICH IS INSTALLED IN
CONNECTION WITH RESIDENTIAL PROPERTY WHICH IS (I) LOCATED IN THIS STATE
AND (II) WHICH IS USED BY THE TAXPAYER AS ANY OF HIS OR HER RESIDENCES
AT THE TIME THE WIND ENERGY SYSTEM EQUIPMENT IS PLACED IN SERVICE.
(B) 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
DESIGNS AND PLANS DIRECTLY RELATED TO THE CONSTRUCTION OR INSTALLATION
OF THE WIND ENERGY SYSTEM EQUIPMENT.
(C) SUCH QUALIFIED EXPENDITURES SHALL NOT INCLUDE INTEREST OR OTHER
FINANCE CHARGES.
(3) WIND ENERGY SYSTEM EQUIPMENT. THE TERM "WIND ENERGY SYSTEM EQUIP-
MENT" SHALL MEAN AN ARRANGEMENT OR COMBINATION OF COMPONENTS UTILIZING
WIND, WHICH, WHEN INSTALLED IN A RESIDENCE, PRODUCES ENERGY DESIGNED TO
PROVIDE ELECTRICITY FOR USE IN SUCH RESIDENCE. SUCH ARRANGEMENT OR
COMPONENTS SHALL NOT INCLUDE EQUIPMENT CONNECTED TO WIND ENERGY SYSTEM
EQUIPMENT THAT IS A COMPONENT OF PART OR PARTS OF A NON-WIND ENERGY
SYSTEM OR WHICH USES ANY SORT OF RECREATIONAL FACILITY OR EQUIPMENT AS A
STORAGE MEDIUM. WIND ENERGY SYSTEM EQUIPMENT THAT GENERATES ELECTRICITY
FOR USE IN A RESIDENCE MUST CONFORM TO APPLICABLE REQUIREMENTS SET FORTH
IN SECTION SIXTY-SIX-L OF THE PUBLIC SERVICE LAW. PROVIDED, HOWEVER,
WHERE WIND ENERGY SYSTEM EQUIPMENT IS PURCHASED AND INSTALLED BY A
CONDOMINIUM MANAGEMENT ASSOCIATION OR A COOPERATIVE HOUSING CORPORATION,
FOR PURPOSES OF THIS SUBSECTION ONLY, THE TERM "TWENTY-FIVE KILOWATTS"
IN SUCH SECTION SIXTY-SIX-L SHALL BE READ AS "FIFTY KILOWATTS."
(4) MULTIPLE TAXPAYERS. WHERE WIND ENERGY SYSTEM EQUIPMENT IS
PURCHASED AND INSTALLED IN A RESIDENCE 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 ENERGY SYSTEM EQUIPMENT CONTRIBUTED BY EACH
TAXPAYER.
(5) PROPORTIONATE SHARE. WHERE WIND ENERGY SYSTEM EQUIPMENT IS
PURCHASED AND INSTALLED BY A CONDOMINIUM MANAGEMENT ASSOCIATION OR A
COOPERATIVE HOUSING CORPORATION, A TAXPAYER WHO IS A MEMBER OF THE
CONDOMINIUM MANAGEMENT ASSOCIATION OR WHO IS A TENANT-STOCKHOLDER IN THE
COOPERATIVE HOUSING CORPORATION MAY FOR THE PURPOSE OF THIS SUBSECTION
CLAIM A PROPORTIONATE SHARE OF THE TOTAL EXPENSE AS THE EXPENDITURE FOR
THE PURPOSES OF THE CREDIT ATTRIBUTABLE TO HIS OR HER RESIDENCE.
(6) GRANTS. FOR PURPOSES OF DETERMINING THE AMOUNT OF THE EXPENDITURE
INCURRED IN PURCHASING AND INSTALLING WIND ENERGY SYSTEM EQUIPMENT, 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.
A. 4247--A 4
(7) WHEN CREDIT ALLOWED. THE CREDIT PROVIDED FOR IN THIS SUBSECTION
SHALL BE ALLOWED WITH RESPECT TO THE TAXABLE YEAR, COMMENCING AFTER TWO
THOUSAND TWELVE, IN WHICH THE WIND ENERGY SYSTEM EQUIPMENT IS PLACED IN
SERVICE.
(8) 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 7. This act shall take effect on January 1, 2013 and shall apply to
taxable years beginning on and after such date.