Bill Text: NY A10179 | 2023-2024 | General Assembly | Introduced

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Bill Title: Authorizes a building construction, demolition and repair work insurance tax credit for certain qualifying insurance premium payments for personal injury liability insurance and property damage liability insurance.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced) 2024-05-10 - referred to insurance [A10179 Detail]

Download: New_York-2023-A10179-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          10179

                   IN ASSEMBLY

                                      May 10, 2024
                                       ___________

        Introduced by COMMITTEE ON RULES -- (at request of M. of A. Fitzpatrick)
          -- read once and referred to the Committee on Insurance

        AN ACT to amend the insurance law and the tax law, in relation to quali-
          fication  for and establishment of a building construction, demolition
          and repair work insurance credit

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  The insurance law is amended by adding a new section 3463
     2  to read as follows:
     3    § 3463. Qualification of building construction, demolition and  repair
     4  work insurance for tax credit.
     5    (a)  The  superintendent of financial services is hereby authorized to
     6  promulgate regulations relating to  the  certification  of  policies  of
     7  insurance  which  qualify  for  certain  work under sections two hundred
     8  forty and two hundred forty-one of the labor  law,  provided  for  under
     9  section  twenty-three-a of the tax law. Such tax credit shall only apply
    10  against a portion of the premium paid for coverage under subsection  (b)
    11  of this section as determined by the superintendent.
    12    (b)  In order to qualify for the building construction, demolition and
    13  repair work credit provided under section twenty-three-a of the tax law,
    14  insurance shall be  personal  injury  liability  insurance  or  property
    15  damage  liability  insurance,  as  such terms are defined by section one
    16  thousand one hundred thirteen of this chapter, and shall contain  cover-
    17  age for claims including third party claims for construction site bodily
    18  injury   and   property   damage   resulting  from  the  application  of
    19  construction workers injured from an  elevation  risk  while  performing
    20  work covered under section two hundred forty or two hundred forty-one of
    21  the labor law, or substantially similar coverage.
    22    (c)  The  tax  credit for building construction, demolition and repair
    23  work insurance under section twenty-three-a of  the  tax  law  shall  be
    24  limited  to any contractor performing work involving the erection, demo-
    25  lition, repairing, altering, painting, cleaning or pointing of a  build-
    26  ing  or  structure  provided  such  contractor  obtains a certificate of
    27  completion from a training program on work and job site safety  training

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD15386-01-4
        A. 10179                            2

     1  which  shall  include  proper planning, supervision, training and use of
     2  fall protection. Such training program shall be approved by the  commis-
     3  sioner.    A  list  of approved programs shall be made available to such
     4  contractors.    The  commissioner shall promulgate rules and regulations
     5  setting forth the criteria for approval of such programs, the procedures
     6  to be followed in applying for such approval  and  any  other  rules  or
     7  regulations  as shall be necessary and proper to effectuate the purposes
     8  of this section. The certificate of completion  shall  be  valid  for  a
     9  period of two years.
    10    §  2.  The  tax law is amended by adding a new section 23-a to read as
    11  follows:
    12    § 23-a. Building construction, demolition and  repair  work  insurance
    13  credit.
    14    (a)  Allowance  of  credit;  general.  A taxpayer subject to tax under
    15  article nine, nine-A or twenty-two of this chapter shall  be  allowed  a
    16  credit against such tax, pursuant to the provisions referenced in subdi-
    17  vision  (b) of this section. The amount of such credit shall be equal to
    18  the lesser of ten thousand dollars or twenty-five percent of the  premi-
    19  ums  paid  for coverage as determined by the superintendent of financial
    20  services pursuant to section  thirty-four  hundred  sixty-three  of  the
    21  insurance law.
    22    (b)  Cross  references.  For application of the credit provided for in
    23  this section, see the following provisions of this chapter:
    24    (1) Article 9: Section 187-s;
    25    (2) Article 9-A: Section 210-B, subdivision 61; and
    26    (3) Article 22: Section 606, subdivision (qqq).
    27    § 3. The tax law is amended by adding a new section 187-s to  read  as
    28  follows:
    29    §  187-s.  Building construction, demolition and repair work insurance
    30  credit. 1. Allowance of credit. A taxpayer shall be allowed a credit, to
    31  be computed as provided  in  section  twenty-three-a  of  this  chapter,
    32  against  the  taxes  imposed by section one hundred eighty-three and one
    33  hundred eighty-four of this article. Provided, however, that the  amount
    34  of  such credit allowable against the tax imposed by section one hundred
    35  eighty-four shall be the excess of the amount of such  credit  over  the
    36  amount  of any credit allowed by this section against the tax imposed by
    37  section one hundred eighty-three of this article.
    38    2. Application of this article. In no event  shall  the  credit  under
    39  this  section  be allowed in an amount which will reduce the tax payable
    40  less than the applicable minimum tax fixed by section one hundred eight-
    41  y-three of this article. If, however, the  amount  of  credit  allowable
    42  under  this section for any taxable year reduces the tax to such amount,
    43  any amount of credit not deductible in such taxable year shall be treat-
    44  ed as an overpayment of tax  to  be  refunded  in  accordance  with  the
    45  provisions of section one thousand eighty-six of this chapter. Provided,
    46  however, notwithstanding the provisions of subsection (c) of section one
    47  thousand  eighty-eight of this chapter, no interest shall be paid there-
    48  on.
    49    § 4. Section 210-B of the tax law is amended by adding a new  subdivi-
    50  sion 61 to read as follows:
    51    61.  Building construction, demolition and repair work insurance cred-
    52  it.  (a) Allowance of credit. A taxpayer shall be allowed a  credit,  to
    53  be  computed  as  provided  in  section  twenty-three-a of this chapter,
    54  against the tax imposed by this article.
    55    (b) Application of credit. The credit allowed under  this  subdivision
    56  for  any taxable year shall not reduce the tax due for such year to less
        A. 10179                            3

     1  than the fixed dollar minimum amount  prescribed  in  paragraph  (d)  of
     2  subdivision  one of section two hundred ten of this article. However, if
     3  the amount of credits allowed under this subdivision of any taxable year
     4  reduces  the  tax  to  such amount or if the taxpayer otherwise pays tax
     5  based on the fixed dollar minimum amount, any amount of credit thus  not
     6  deductible  in  such  taxable year shall be treated as an overpayment of
     7  tax to be credited or refunded in  accordance  with  the  provisions  of
     8  section  one  thousand  eighty-six  of  this chapter. Provided, however,
     9  notwithstanding the provisions of subdivision (c) of section  one  thou-
    10  sand eighty-eight of this chapter, no interest shall be paid thereon.
    11    §  5. Section 606 of the tax law is amended by adding a new subsection
    12  (qqq) to read as follows:
    13    (qqq) Building construction,  demolition  and  repair  work  insurance
    14  credit.   (1) Allowance of credit. A taxpayer shall be allowed a credit,
    15  to be computed as provided in section twenty-three-a  of  this  chapter,
    16  against the tax imposed by this article.
    17    (2)  Application  of credit. If the amount of the credit allowed under
    18  this subsection for any taxable year shall exceed the taxpayer's tax for
    19  such year, the excess shall be treated as an overpayment of  tax  to  be
    20  credited  or  refunded  in accordance with the provisions of section six
    21  hundred eighty-six of this article, provided, however, that no  interest
    22  shall be paid thereon.
    23    § 6. This act shall take effect on the one hundred eightieth day after
    24  it shall have become a law.