Bill Text: NY S05726 | 2023-2024 | General Assembly | Introduced
Bill Title: Establishes a tax credit for the replacement or repair of sewer lateral pipes by homeowners who use the home as their principal residence and have an income of less than two hundred fifty thousand dollars.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced) 2024-05-06 - RECOMMIT, ENACTING CLAUSE STRICKEN [S05726 Detail]
Download: New_York-2023-S05726-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 5726 2023-2024 Regular Sessions IN SENATE March 15, 2023 ___________ 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 establishing a sanitary sewer lateral pipe replacement or repair credit The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Section 606 of the tax law is amended by adding a new 2 subsection (ooo) to read as follows: 3 (ooo) Sanitary sewer lateral pipe replacement credit. (1) General. An 4 individual taxpayer shall be allowed a credit for taxable years begin- 5 ning on or after January first, two thousand twenty-four against the tax 6 imposed by this article for the costs to repair or replace a lateral 7 sanitary sewer pipe, when such repair or replacement is recommended by a 8 certified plumber or the presiding municipality. The amount of the cred- 9 it shall be twenty-five percent of the total cost of repair or removal. 10 (2) Lateral repair and replacement costs. (A) The term "costs of 11 replacement" includes the cost of an assessment from a plumber, any 12 initial appraisals, labor costs, disposal fees, and cleanup fees; except 13 any state or local sales tax applicable to the services performed. (B) 14 The term "costs of repair" includes the cost of an assessment from a 15 plumber, any initial appraisals, labor costs, disposal fees, and 16 follow-up fees; except any state or local sales tax applicable to the 17 services. 18 (3) Amount of credit. The aggregate amount of tax credits allowed 19 under this subsection in any calendar year statewide shall be five 20 million dollars. 21 (4) Lateral repair or replacement for qualified taxpayers. A property 22 owner who incurs costs for repairing or replacing lateral sewer pipes 23 must be replacing or repairing the lateral pipe located on a residential 24 property or mixed-use property, which is: 25 (A) located in this state; EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD09240-01-3S. 5726 2 1 (B) owned by the taxpayer; 2 (C) used by the taxpayer as their principal residence; and 3 (D) owned by a taxpayer with a household income of less than two 4 hundred fifty thousand dollars. 5 (5) When credit allowed. The credit provided for in this subsection 6 shall be allowed with respect to the taxable year, commencing after 7 January first, two thousand twenty-five in which the work is completed 8 and paid for. 9 (6) Carryover of credit. If the amount of the credit, and carryovers 10 of such credit, allowable under this subsection for any taxable year 11 shall exceed the taxpayer's tax for such year, such excess amount may be 12 carried over to the five taxable years next following the taxable year 13 with respect to which the credit is allowed and may be deducted from the 14 taxpayer's tax for such year or years. 15 § 2. This act shall take effect January 1, 2025, and shall apply to 16 taxable years commencing on or after such effective date.
