S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3645
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                             February 11, 2019
                                ___________
 
 Introduced  by  Sen. KENNEDY -- read twice and ordered printed, and when
   printed to be committed to the Committee on Budget and Revenue
 
 AN ACT to amend the tax  law,  in  relation  to  the  rehabilitation  of
   historic properties tax credit
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subparagraph (A) of  paragraph  1  of  subsection  (oo)  of
 section  606 of the tax law, as amended by section 1 of part RR of chap-
 ter 59 of the laws of 2018, is amended and two new paragraphs  6  and  7
 are added to read as follows:
   (A)  For  taxable years beginning on or after January first, two thou-
 sand ten and before January first, two thousand twenty-five, a  taxpayer
 shall  be  allowed  a  credit  as  hereinafter provided, against the tax
 imposed by this article, in an amount equal to one  hundred  percent  of
 the  amount  of  credit allowed the taxpayer with respect to a certified
 historic structure, AND ONE HUNDRED TEN PERCENT OF THE AMOUNT OF  CREDIT
 ALLOWED THE TAXPAYER WITH RESPECT TO A CERTIFIED HISTORIC STRUCTURE THAT
 IS A SMALL PROJECT, under internal revenue code section 47(c)(3), deter-
 mined  without  regard to ratably allocating the credit over a five year
 period as required by subsection (a) of such section 47, with respect to
 a certified historic  structure  located  within  the  state.  Provided,
 however,  the  credit shall not exceed five million dollars. For taxable
 years beginning on or after January first, two thousand  twenty-five,  a
 taxpayer  shall be allowed a credit as hereinafter provided, against the
 tax imposed by this article, in an amount equal to thirty percent of the
 amount of credit allowed  the  taxpayer  with  respect  to  a  certified
 historic  structure under internal revenue code section 47(c)(3), deter-
 mined without regard to ratably allocating the credit over a  five  year
 period as required by subsection (a) of such section 47, with respect to
 a  certified  historic  structure  located  within  the state; provided,
 however, the credit shall not exceed one hundred thousand dollars.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD09259-03-9

 S. 3645                             2
 
   (6) A TAXPAYER IS PERMITTED TO TRANSFER SUCH CREDIT ALLOWED UNDER THIS
 SUBSECTION, IN WHOLE OR IN PART, TO ANY INDIVIDUAL  OR  ENTITY,  WITHOUT
 THE  REQUIREMENT OF TRANSFERRING ANY OWNERSHIP INTEREST IN THE CERTIFIED
 HISTORIC STRUCTURE OR ANY INTEREST IN THE ENTITY WHICH OWNS  THE  CERTI-
 FIED  HISTORIC  STRUCTURE;  PROVIDED,  HOWEVER, THAT A TAXPAYER MAY ONLY
 TRANSFER SUCH CREDIT ONCE. SUCH TRANSFER SHALL NOT AFFECT THE TIME SCHE-
 DULE FOR CLAIMING THE CREDIT TRANSFERRED. ANY CREDIT RECAPTURED SHALL BE
 THE LIABILITY OF THE TAXPAYER WHO ACTUALLY CLAIMED THE CREDIT. THE CLAIM
 OF A TRANSFEREE SHALL BE PERMITTED IN THE SAME MANNER AND SUBJECT TO THE
 SAME PROVISIONS OF THIS SUBSECTION AS APPLIED TO THE  TAXPAYER  TO  WHOM
 THE CREDIT WAS ORIGINALLY ALLOWED.
   (7)  FOR  PURPOSES  OF  THIS SUBSECTION THE TERM "SMALL PROJECT" MEANS
 QUALIFIED REHABILITATION EXPENDITURES TOTALING FIVE MILLION  DOLLARS  OR
 LESS.
   § 2. Subparagraph (A) of paragraph 5 of subsection (pp) of section 606
 of the tax law, as added by chapter 547 of the laws of 2006, clause (iv)
 as  amended  by  chapter  239 of the laws of 2009, is amended to read as
 follows:
   (A) The term "qualified historic home" means,  for  purposes  of  this
 subsection,  a  certified  historic  structure  located  within New York
 state:
   (i) which has been substantially rehabilitated,
   (ii) which, or any portion of which, is owned, in whole  or  part,  by
 the taxpayer,
   (iii)  in  which the taxpayer resides during the taxable year in which
 the taxpayer is allowed a credit under this subsection, and
   (iv) (1) which is in whole or in part a targeted area residence within
 the meaning of section 143(j) of the internal revenue code;  or  (2)  is
 located  within  a census tract which is identified as being at or below
 one hundred percent of the state median family income in the most recent
 federal census; OR (3) WHICH IS LOCATED IN A CITY WITH A  POPULATION  OF
 LESS  THAN ONE MILLION WITH A POVERTY RATE GREATER THAN FIFTEEN PERCENT,
 ROUNDED TO THE NEAREST WHOLE NUMBER, IN THE TWO THOUSAND SEVENTEEN AMER-
 ICAN COMMUNITY SURVEY.
   § 3. Subparagraph (i) of paragraph (a) of subdivision  26  of  section
 210-B  of  the tax law, as amended by section 2 of part RR of chapter 59
 of the laws of 2018, is amended and a new paragraph (f) is added to read
 as follows:
   (i) For taxable years beginning on or after January first,  two  thou-
 sand ten, and before January first, two thousand twenty-five, a taxpayer
 shall  be  allowed  a  credit  as  hereinafter provided, against the tax
 imposed by this article, in an amount equal to one  hundred  percent  of
 the amount of credit allowed the taxpayer for the same taxable year with
 respect  to  a certified historic structure, AND ONE HUNDRED TEN PERCENT
 OF THE AMOUNT OF CREDIT ALLOWED THE TAXPAYER WITH RESPECT TO A CERTIFIED
 HISTORIC STRUCTURE THAT IS A SMALL PROJECT, under internal revenue  code
 section  47(c)(3),  determined  without regard to ratably allocating the
 credit over a five year period as required by  subsection  (a)  of  such
 section 47, with respect to a certified historic structure located with-
 in  the  state.  Provided,  however,  the  credit  shall not exceed five
 million dollars.
   (F) FOR PURPOSES OF THIS SUBDIVISION "SMALL PROJECT"  MEANS  QUALIFIED
 REHABILITATION EXPENDITURES TOTALING FIVE MILLION DOLLARS OR LESS.
   §  4.  Subparagraph  (A)  of paragraph 1 of subdivision (y) of section
 1511 of the tax law, as amended by section 3 of part RR of chapter 59 of

 S. 3645                             3
 
 the laws of 2018, is amended and a new paragraph 6 is added to  read  as
 follows:
   (A)  For  taxable years beginning on or after January first, two thou-
 sand ten and before January first, two thousand twenty-five, a  taxpayer
 shall  be  allowed  a  credit  as  hereinafter provided, against the tax
 imposed by this article, in an amount equal to one  hundred  percent  of
 the  amount  of  credit allowed the taxpayer with respect to a certified
 historic structure, AND ONE HUNDRED TEN PERCENT OF THE AMOUNT OF  CREDIT
 ALLOWED THE TAXPAYER WITH RESPECT TO A CERTIFIED HISTORIC STRUCTURE THAT
 IS A SMALL PROJECT, under internal revenue code section 47(c)(3), deter-
 mined  without  regard to ratably allocating the credit over a five year
 period as required by subsection (a) of such section 47, with respect to
 a certified historic  structure  located  within  the  state.  Provided,
 however,  the  credit shall not exceed five million dollars. For taxable
 years beginning on or after January first, two thousand  twenty-five,  a
 taxpayer  shall be allowed a credit as hereinafter provided, against the
 tax imposed by this article, in an amount equal to thirty percent of the
 amount of credit allowed  the  taxpayer  with  respect  to  a  certified
 historic  structure under internal revenue code section 47(c)(3), deter-
 mined without regard to ratably allocating the credit over a  five  year
 period  as required by subsection (a) of such section 47 with respect to
 a certified historic structure located  within  the  state.    Provided,
 however, the credit shall not exceed one hundred thousand dollars.
   (6)  FOR  PURPOSES OF THIS SUBDIVISION "SMALL PROJECT" MEANS QUALIFIED
 REHABILITATION EXPENDITURES TOTALING FIVE MILLION DOLLARS OR LESS.
   § 5. This act shall take effect immediately.

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  3645--A
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                             February 11, 2019
                                ___________
 
 Introduced  by Sens. KENNEDY, METZGER, SERRANO -- read twice and ordered
   printed, and when printed to be committed to the Committee  on  Budget
   and  Revenue  -- committee discharged, bill amended, ordered reprinted
   as amended and recommitted to said committee
 
 AN ACT to amend the tax  law,  in  relation  to  the  rehabilitation  of
   historic properties tax credit
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subparagraph (A) of  paragraph  1  of  subsection  (oo)  of
 section  606 of the tax law, as amended by section 1 of part RR of chap-
 ter 59 of the laws of 2018, is amended and two new paragraphs  6  and  7
 are added to read as follows:
   (A)  For  taxable years beginning on or after January first, two thou-
 sand ten and before January first, two thousand twenty-five, a  taxpayer
 shall  be  allowed  a  credit  as  hereinafter provided, against the tax
 imposed by this article, in an amount equal to one  hundred  percent  of
 the  amount  of  credit allowed the taxpayer with respect to a certified
 historic structure, AND ONE HUNDRED TEN PERCENT OF THE AMOUNT OF  CREDIT
 ALLOWED THE TAXPAYER WITH RESPECT TO A CERTIFIED HISTORIC STRUCTURE THAT
 IS A SMALL PROJECT, under internal revenue code section 47(c)(3), deter-
 mined  without  regard to ratably allocating the credit over a five year
 period as required by subsection (a) of such section 47, with respect to
 a certified historic  structure  located  within  the  state.  Provided,
 however,  the  credit shall not exceed five million dollars. For taxable
 years beginning on or after January first, two thousand  twenty-five,  a
 taxpayer  shall be allowed a credit as hereinafter provided, against the
 tax imposed by this article, in an amount equal to thirty percent of the
 amount of credit allowed  the  taxpayer  with  respect  to  a  certified
 historic  structure under internal revenue code section 47(c)(3), deter-
 mined without regard to ratably allocating the credit over a  five  year
 period as required by subsection (a) of such section 47, with respect to
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD09259-04-9

 S. 3645--A                          2
 
 a  certified  historic  structure  located  within  the state; provided,
 however, the credit shall not exceed one hundred thousand dollars.
   (6) A TAXPAYER IS PERMITTED TO TRANSFER SUCH CREDIT ALLOWED UNDER THIS
 SUBSECTION,  IN  WHOLE  OR IN PART, TO ANY INDIVIDUAL OR ENTITY, WITHOUT
 THE REQUIREMENT OF TRANSFERRING ANY OWNERSHIP INTEREST IN THE  CERTIFIED
 HISTORIC  STRUCTURE  OR ANY INTEREST IN THE ENTITY WHICH OWNS THE CERTI-
 FIED HISTORIC STRUCTURE; PROVIDED, HOWEVER, THAT  A  TAXPAYER  MAY  ONLY
 TRANSFER  SUCH  CREDIT ONCE. ANY INDIVIDUAL OR ENTITY TO WHOM THE CREDIT
 WAS TRANSFERRED MAY NOT TRANSFER THE CREDIT, IN WHOLE OR IN PART, TO ANY
 OTHER PARTY BUT MAY CLAIM IT AGAINST THE TAX IMPOSED  BY  THIS  ARTICLE.
 SUCH TRANSFER SHALL NOT AFFECT THE TIME SCHEDULE FOR CLAIMING THE CREDIT
 TRANSFERRED. ANY CREDIT RECAPTURED SHALL BE THE LIABILITY OF THE TAXPAY-
 ER  WHO  ACTUALLY CLAIMED THE CREDIT. THE CLAIM OF A TRANSFEREE SHALL BE
 PERMITTED IN THE SAME MANNER AND SUBJECT TO THE SAME PROVISIONS OF  THIS
 SUBSECTION  AS APPLIED TO THE TAXPAYER TO WHOM THE CREDIT WAS ORIGINALLY
 ALLOWED.
   (7) FOR PURPOSES OF THIS SUBSECTION THE  TERM  "SMALL  PROJECT"  MEANS
 QUALIFIED  REHABILITATION  EXPENDITURES TOTALING FIVE MILLION DOLLARS OR
 LESS.
   § 2. Subparagraph (i) of paragraph (a) of subdivision  26  of  section
 210-B  of  the tax law, as amended by section 2 of part RR of chapter 59
 of the laws of 2018, is amended and a new paragraph (f) is added to read
 as follows:
   (i) For taxable years beginning on or after January first,  two  thou-
 sand ten, and before January first, two thousand twenty-five, a taxpayer
 shall  be  allowed  a  credit  as  hereinafter provided, against the tax
 imposed by this article, in an amount equal to one  hundred  percent  of
 the amount of credit allowed the taxpayer for the same taxable year with
 respect  to  a certified historic structure, AND ONE HUNDRED TEN PERCENT
 OF THE AMOUNT OF CREDIT ALLOWED THE TAXPAYER WITH RESPECT TO A CERTIFIED
 HISTORIC STRUCTURE THAT IS A SMALL PROJECT, under internal revenue  code
 section  47(c)(3),  determined  without regard to ratably allocating the
 credit over a five year period as required by  subsection  (a)  of  such
 section 47, with respect to a certified historic structure located with-
 in  the  state.  Provided,  however,  the  credit  shall not exceed five
 million dollars.
   (F) FOR PURPOSES OF THIS SUBDIVISION "SMALL PROJECT"  MEANS  QUALIFIED
 REHABILITATION EXPENDITURES TOTALING FIVE MILLION DOLLARS OR LESS.
   §  3.  Subparagraph  (A)  of paragraph 1 of subdivision (y) of section
 1511 of the tax law, as amended by section 3 of part RR of chapter 59 of
 the laws of 2018, is amended and a new paragraph 6 is added to  read  as
 follows:
   (A)  For  taxable years beginning on or after January first, two thou-
 sand ten and before January first, two thousand twenty-five, a  taxpayer
 shall  be  allowed  a  credit  as  hereinafter provided, against the tax
 imposed by this article, in an amount equal to one  hundred  percent  of
 the  amount  of  credit allowed the taxpayer with respect to a certified
 historic structure, AND ONE HUNDRED TEN PERCENT OF THE AMOUNT OF  CREDIT
 ALLOWED THE TAXPAYER WITH RESPECT TO A CERTIFIED HISTORIC STRUCTURE THAT
 IS A SMALL PROJECT, under internal revenue code section 47(c)(3), deter-
 mined  without  regard to ratably allocating the credit over a five year
 period as required by subsection (a) of such section 47, with respect to
 a certified historic  structure  located  within  the  state.  Provided,
 however,  the  credit shall not exceed five million dollars. For taxable
 years beginning on or after January first, two thousand  twenty-five,  a
 taxpayer  shall be allowed a credit as hereinafter provided, against the

 S. 3645--A                          3
 
 tax imposed by this article, in an amount equal to thirty percent of the
 amount of credit allowed  the  taxpayer  with  respect  to  a  certified
 historic  structure under internal revenue code section 47(c)(3), deter-
 mined  without  regard to ratably allocating the credit over a five year
 period as required by subsection (a) of such section 47 with respect  to
 a  certified  historic  structure  located within the state.   Provided,
 however, the credit shall not exceed one hundred thousand dollars.
   (6) FOR PURPOSES OF THIS SUBDIVISION "SMALL PROJECT"  MEANS  QUALIFIED
 REHABILITATION EXPENDITURES TOTALING FIVE MILLION DOLLARS OR LESS.
   § 4. This act shall take effect immediately and shall apply to taxable
 years beginning on and after January 1, 2020.