Assembly Bill A1995

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   1995
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 14, 2025
                                ___________
 
 Introduced  by  M. of A. PEOPLES-STOKES -- read once and referred to the
   Committee on Ways and Means
 
 AN ACT to amend the tax law, in relation to providing an asbestos  reme-
   diation tax credit
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. The tax law is amended by adding a new section 23-a to read
 as follows:
   § 23-A. ASBESTOS REMEDIATION CREDIT. (A) DEFINITIONS. AS USED IN  THIS
 SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
   (1)  QUALIFIED  STRUCTURE. "QUALIFIED STRUCTURE" SHALL MEAN A BUILDING
 (I) PRINCIPALLY  USED  BY  THE  TAXPAYER  FOR  RESIDENTIAL,  INDUSTRIAL,
 COMMERCIAL,  RECREATIONAL  OR  ENVIRONMENTAL CONSERVATION PURPOSES, (II)
 WHICH WAS ORIGINALLY PLACED IN SERVICE AT LEAST TWENTY-FIVE YEARS  PRIOR
 TO THE TAXABLE YEAR IN WHICH THE CREDIT IS CLAIMED, AND (III) THAT IS AT
 LEAST PARTIALLY SITUATED WITHIN ERIE COUNTY.
   (2)  ELIGIBLE  COSTS. "ELIGIBLE COSTS" SHALL MEAN ALL AMOUNTS PROPERLY
 CHARGEABLE TO A CAPITAL ACCOUNT, WHICH ARE INCURRED IN DIRECT CONNECTION
 TO ASBESTOS REMEDIATION OF A QUALIFIED ASBESTOS PROJECT.
   (3) QUALIFIED ASBESTOS PROJECT. "QUALIFIED ASBESTOS PROJECT" SHALL  BE
 AN  ASBESTOS PROJECT AS DEFINED IN SECTION NINE HUNDRED ONE OF THE LABOR
 LAW AND UNDERTAKEN BY  THE  TAXPAYER,  ON  A  QUALIFIED  STRUCTURE,  AND
 COMPLETED  PURSUANT  TO  THE APPLICABLE REGULATIONS AT PART FIFTY-SIX OF
 TITLE TWELVE OF THE OFFICIAL COMPILATION OF RULES AND REGULATIONS OF THE
 STATE.
   (B) ASBESTOS REMEDIATION CREDIT. (1) ALLOWANCE OF CREDIT.  A  TAXPAYER
 WHO  HAS  UNDERTAKEN  A QUALIFIED ASBESTOS PROJECT ON A QUALIFIED STRUC-
 TURE, AND WHO IS SUBJECT TO TAX UNDER ARTICLE NINE, NINE-A OR TWENTY-TWO
 OF THIS CHAPTER, SHALL BE ALLOWED A CREDIT AGAINST SUCH TAX, PURSUANT TO
 THE PROVISIONS REFERENCED IN SUBDIVISION (C) OF THIS SECTION.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD04501-01-5
 A. 1995                             2
              

 
   (2) AMOUNT OF CREDIT. THE AMOUNT OF THE CREDIT SHALL BE FIFTY  PERCENT
 OF  ALL  ELIGIBLE  COSTS  WHICH  ARE  INCURRED IN THE TAXABLE YEAR, AS A
 RESULT OF ASBESTOS REMEDIATION WITH A QUALIFIED  ASBESTOS  PROJECT.  THE
 CREDIT  SHALL  BE  ALLOWED  FOR  THE TAXABLE YEAR IN WHICH THE QUALIFIED
 ASBESTOS  PROJECT  IS  FIRST  COMMENCED  AND FOR THE NEXT TWO SUCCEEDING
 TAXABLE YEARS. THE CREDIT AUTHORIZED PURSUANT TO THIS SECTION SHALL  NOT
 EXCEED  ONE MILLION DOLLARS IN THE AGGREGATE FOR THE THREE TAXABLE YEARS
 ALLOWED AND CLAIMED. THE COSTS, EXPENSES AND OTHER AMOUNTS FOR  WHICH  A
 CREDIT  IS  ALLOWED AND CLAIMED UNDER THIS SUBDIVISION SHALL NOT BE USED
 IN THE CALCULATION OF ANY OTHER CREDIT ALLOWED UNDER THIS CHAPTER.
   (C) CROSS-REFERENCES. FOR APPLICATION OF THE CREDIT  PROVIDED  FOR  IN
 THIS SECTION, SEE THE FOLLOWING PROVISIONS OF THIS CHAPTER:
   ARTICLE 9: SECTION 187-T.
   ARTICLE 9-A: SECTION 210-B, SUBDIVISION 61.
   ARTICLE 22: SECTION 606, SUBSECTIONS (I) AND (BBB).
   §  2.  The tax law is amended by adding a new section 187-t to read as
 follows:
   § 187-T. ASBESTOS  REMEDIATION  CREDIT.  1.  ALLOWANCE  OF  CREDIT.  A
 TAXPAYER  SHALL  BE  ALLOWED  A  CREDIT,  TO  BE COMPUTED AS PROVIDED IN
 SECTION TWENTY-THREE-A OF THIS CHAPTER, AGAINST  THE  TAXES  IMPOSED  BY
 THIS  ARTICLE.  PROVIDED, HOWEVER, THAT THE AMOUNT OF SUCH CREDIT ALLOW-
 ABLE AGAINST THE TAX IMPOSED BY SECTION ONE HUNDRED EIGHTY-FOUR OF  THIS
 ARTICLE SHALL BE THE EXCESS OF THE AMOUNT OF SUCH CREDIT OVER THE AMOUNT
 OF ANY CREDIT ALLOWED BY THIS SECTION AGAINST THE TAX IMPOSED BY SECTION
 ONE HUNDRED EIGHTY-THREE OF THIS ARTICLE.
   2.  APPLICATION OF CREDIT. THE CREDIT UNDER THIS SECTION FOR ANY TAXA-
 BLE YEAR SHALL NOT REDUCE THE TAX DUE FOR SUCH YEAR  TO  LESS  THAN  THE
 APPLICABLE  MINIMUM  TAX  PRESCRIBED  BY  THIS ARTICLE. IF, HOWEVER, THE
 AMOUNT OF CREDIT ALLOWABLE UNDER  THIS  SECTION  FOR  ANY  TAXABLE  YEAR
 REDUCES  THE  TAX TO SUCH AMOUNT, ANY AMOUNT OF CREDIT NOT DEDUCTIBLE IN
 SUCH TAXABLE YEAR SHALL BE TREATED  AS  AN  OVERPAYMENT  OF  TAX  TO  BE
 REFUNDED  IN  ACCORDANCE  WITH  THE  PROVISIONS  OF SECTION ONE THOUSAND
 EIGHTY-SIX  OF  THIS  CHAPTER.  PROVIDED,  HOWEVER,  THE  PROVISIONS  OF
 SUBSECTION  (C)  OF  SECTION  ONE  THOUSAND EIGHTY-EIGHT OF THIS CHAPTER
 NOTWITHSTANDING, NO INTEREST SHALL BE PAID THEREON.
   § 3. Section 210-B of the tax law is amended by adding a new  subdivi-
 sion 61 to read as follows:
   61.  ASBESTOS  REMEDIATION CREDIT. (A) ALLOWANCE OF CREDIT. A TAXPAYER
 WHO HAS UNDERTAKEN A QUALIFIED ASBESTOS PROJECT ON AN EXISTING STRUCTURE
 SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED IN  SECTION  TWEN-
 TY-THREE-A OF THIS CHAPTER, AGAINST THE TAX IMPOSED BY THIS ARTICLE.
   (B)  APPLICATION  OF CREDIT. THE CREDIT ALLOWED UNDER THIS SUBDIVISION
 FOR ANY TAXABLE YEAR SHALL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO  LESS
 THAN THE HIGHER AMOUNT PRESCRIBED IN PARAGRAPH (D) OF SUBDIVISION ONE OF
 SECTION  TWO  HUNDRED  TEN  OF THIS ARTICLE.   HOWEVER, IF THE AMOUNT OF
 CREDITS ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR REDUCES  THE
 TAX  TO  SUCH  AMOUNT,  ANY AMOUNT OF CREDIT THUS NOT DEDUCTIBLE IN SUCH
 TAXABLE YEAR SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDITED OR
 REFUNDED IN ACCORDANCE WITH  THE  PROVISIONS  OF  SECTION  ONE  THOUSAND
 EIGHTY-SIX  OF  THIS  CHAPTER.    PROVIDED,  HOWEVER,  THE PROVISIONS OF
 SUBSECTION (C) OF SECTION ONE  THOUSAND  EIGHTY-EIGHT  OF  THIS  CHAPTER
 NOTWITHSTANDING, NO INTEREST SHALL BE PAID THEREON.
   §  4. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
 of the tax law is amended by adding  a  new  clause  (lii)  to  read  as
 follows:
 A. 1995                             3
 
 (LII) ASBESTOS REMEDIATION CREDIT    AMOUNT OF CREDIT UNDER
 UNDER SUBSECTION (BBB)               SUBDIVISION SIXTY-ONE OF
                                      SECTION TWO HUNDRED TEN-B
   §  5. Section 606 of the tax law is amended by adding a new subsection
 (bbb) to read as follows:
   (BBB) ASBESTOS REMEDIATION CREDIT. (1) ALLOWANCE OF CREDIT. A TAXPAYER
 WHO HAS UNDERTAKEN A QUALIFIED ASBESTOS PROJECT ON AN EXISTING STRUCTURE
 SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED IN  SECTION  TWEN-
 TY-THREE-A OF THIS CHAPTER, AGAINST THE TAX IMPOSED BY THIS ARTICLE.
   (2)  APPLICATION  OF CREDIT. IF THE AMOUNT OF THE CREDIT ALLOWED UNDER
 THIS SUBSECTION FOR ANY TAXABLE YEAR SHALL EXCEED THE TAXPAYER'S TAX FOR
 SUCH YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF  TAX  TO  BE
 CREDITED  OR  REFUNDED  IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX
 HUNDRED EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO  INTEREST
 SHALL BE PAID THEREON.
   § 6. This act shall take effect immediately and shall apply to taxable
 years commencing on or after January 1, 2025.