S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  3309--A
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 27, 2017
                                ___________
 
 Introduced by M. of A. THIELE -- 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 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.
   § 2. Subdivision 22 of section 210-B of  the  tax  law,  as  added  by
 section  17  of  part A of chapter 59 of the laws of 2014, is amended to
 read as follows:
   22. Conservation easement tax credit. (a) 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.
                                                            LBD02348-03-8
              

 A. 3309--A                          2
 
 [such school district, county and town] real property taxes  under  this
 section exceed such taxes.
   (b)  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.
   (c) 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.
   (d) 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.
   (e) 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.
   (f) 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 fixed dollar minimum amount prescribed in paragraph (d) of
 subdivision one of section two hundred ten of this article. However,  if
 the  amount of the credit allowed under this subdivision for any taxable
 year reduces the tax to such amount or if the  taxpayer  otherwise  pays
 tax  based  on the fixed dollar minimum amount, any amount of the credit
 thus not deductible in such taxable year shall be treated as an overpay-
 ment of tax to be credited or refunded in accordance with the provisions
 of subsection (c) of section one thousand eighty-eight of this  chapter,
 except that, no interest shall be paid thereon.
   §  3. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
 of the tax law is amended by adding a  new  clause  (xliv)  to  read  as
 follows:
 
 (XLIV) CONSERVATION EASEMENT         AMOUNT OF CREDIT UNDER
 TAX CREDIT UNDER SUBSECTION (KK)     SUBDIVISION TWENTY-TWO OF
                                      SECTION TWO HUNDRED TEN-B
   § 4. This act shall take effect immediately and shall be made applica-
 ble  to taxable years commencing on and after January 1, 2019 and there-
 after.