Bill Text: NY S04192 | 2011-2012 | General Assembly | Introduced

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Bill Title: Provides a tax deduction for the installation of mechanical insulation property in any taxable year; provides that such deduction shall be for the lesser of 30% of the cost of such property or the excess in energy savings provided by such property.

Sponsorship: Partisan Bill (Republican 1)

Status: (Introduced - Dead) 2012-01-04 - REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS [S04192 Detail]

Download: New_York-2011-S04192-Introduced.html

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                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         4192
                              2011-2012 Regular Sessions
                                   I N  S E N A T E
                                    March 23, 2011
                                      ___________
       Introduced  by  Sen. MAZIARZ -- read twice and ordered printed, and when
         printed to be committed to the Committee on Investigations and Govern-
         ment Operations
       AN ACT to amend the tax law, in relation to providing  a  tax  deduction
         for the installation of mechanical insulation property
         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1.  Subsection (c) of section 612 of the tax law is amended by
    2  adding a new paragraph 27 to read as follows:
    3    (27) THE APPLICABLE PERCENTAGE OF THE COST  OF  MECHANICAL  INSULATION
    4  PROPERTY PLACED IN SERVICE DURING THE TAXABLE YEAR.
    5    (A) FOR THE PURPOSES OF THIS PARAGRAPH:
    6    (I) "APPLICABLE PERCENTAGE" SHALL MEAN THE LESSER OF:
    7    (I)  THIRTY  PERCENT OF THE COST OF THE MECHANICAL INSULATION PROPERTY
    8  PLACED IN SERVICE; OR
    9    (II) THE EXCESS, IF ANY, OF (A) THE ENERGY  SAVINGS,  EXPRESSED  AS  A
   10  PERCENTAGE,  OBTAINED  BY PLACING SUCH MECHANICAL INSULATION PROPERTY IN
   11  SERVICE IN CONNECTION WITH A MECHANICAL  SYSTEM,  OVER  (B)  THE  ENERGY
   12  SAVINGS, EXPRESSED AS A PERCENTAGE, SUCH PROPERTY IS REQUIRED TO MEET BY
   13  STANDARD  90.1-2007,  DEVELOPED AND PUBLISHED BY THE AMERICAN SOCIETY OF
   14  HEATING, REFRIGERATING AND AIR-CONDITIONING ENGINEERS.
   15    (II) "COST" SHALL INCLUDE:
   16    (I) THE AMOUNTS PAID OR INCURRED FOR THE INSTALLATION OF SUCH  MECHAN-
   17  ICAL INSULATION PROPERTY;
   18    (II)  EXPENDITURES  FOR LABOR COSTS PROPERLY ALLOCABLE TO THE PREPARA-
   19  TION, ASSEMBLY AND INSTALLATION OF MECHANICAL INSULATION PROPERTY; AND
   20    (III) IN THE CASE OF REMOVAL AND DISPOSAL OF THE OLD MECHANICAL  INSU-
   21  LATION  PROPERTY, THIRTY PERCENT OF THE COST OF THE NEW MECHANICAL INSU-
   22  LATION PROPERTY, DETERMINED WITHOUT REGARD TO THE TAX CREDIT  AUTHORIZED
   23  BY THIS SUBSECTION.
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD09957-02-1
       S. 4192                             2
    1    (III)  "MECHANICAL  INSULATION PROPERTY" SHALL MEAN INSULATION MATERI-
    2  ALS, FACINGS AND ACCESSORY PRODUCTS:
    3    (I)  PLACED IN SERVICE IN CONNECTION WITH A MECHANICAL SYSTEM WHICH IS
    4  LOCATED IN THE STATE OF NEW YORK AND IS OF A  CHARACTER  SUBJECT  TO  AN
    5  ALLOWANCE FOR DEPRECIATION; AND
    6    (II)  UTILIZED  FOR  THERMAL, ACOUSTICAL AND PERSONNEL SAFETY REQUIRE-
    7  MENTS FOR MECHANICAL PIPING AND EQUIPMENT, HOT  AND  COLD  APPLICATIONS,
    8  AND HEATING, VENTING AND AIR CONDITIONING APPLICATIONS WHICH CAN BE USED
    9  IN VARIETY OF FACILITIES.
   10    (B) IN THE CASE OF MECHANICAL INSULATION PROPERTY PLACED IN SERVICE AS
   11  A  REPLACEMENT  FOR INSULATION PROPERTY, SUBCLAUSE (II) OF CLAUSE (I) OF
   12  SUBPARAGRAPH (A) OF THIS PARAGRAPH SHALL BE APPLIED  WITHOUT  REGARD  TO
   13  ITEM (B) THEREOF.
   14    (C)  THE  AMOUNT OF ANY OTHER CREDIT OR DEDUCTION ALLOWABLE UNDER THIS
   15  CHAPTER FOR ANY COST OF MECHANICAL INSULATION PROPERTY  WHICH  IS  TAKEN
   16  INTO  ACCOUNT UNDER PARAGRAPH ONE OF THIS SUBSECTION SHALL BE REDUCED BY
   17  THE AMOUNT OF SUCH COST SO TAKEN INTO ACCOUNT; PROVIDED,  HOWEVER,  THAT
   18  THIS  PARAGRAPH  SHALL  NOT APPLY TO ANY AMOUNT PROPERLY ATTRIBUTABLE TO
   19  MAINTENANCE.
   20    (D) IN THE CASE OF MECHANICAL INSULATION PROPERTY INSTALLED ON  OR  IN
   21  PROPERTY  OWNED  BY  AN  ENTITY  DESCRIBED IN PARAGRAPH THREE OR FOUR OF
   22  SECTION 50(B) OF THE INTERNAL REVENUE CODE, THE PERSON WHO IS THE PRIMA-
   23  RY CONTRACTOR FOR THE INSTALLATION OF SUCH PROPERTY SHALL BE TREATED  AS
   24  THE TAXPAYER THAT PLACED SUCH PROPERTY IN SERVICE.
   25    (E)  FOR  THE  PURPOSES  OF  THIS  SUBSECTION, ENERGY SAVINGS SHALL BE
   26  CERTIFIED UNDER REGULATIONS OR OTHER GUIDANCE PROVIDED BY THE DEPARTMENT
   27  OF ENVIRONMENTAL CONSERVATION.
   28    S 2. This act shall take effect on the one hundred twentieth day after
   29  it shall have become a law and shall apply to taxable  years  commencing
   30  on or after such effective date; provided, however, that effective imme-
   31  diately, the addition, amendment and/or repeal of any rule or regulation
   32  necessary  for  the implementation of this act on its effective date are
   33  authorized and directed to be made  and  completed  on  or  before  such
   34  effective date.