Alters the definition of a qualified historic home for the purposes of the historic homeownership rehabilitation credit.
TITLE OF BILL:
An act to amend the tax law, in relation to the definition of qualified historic home for the purposes of the historic homeownership rehabilitation credit
The purpose of this bill is to expand the purview of the historic home rehabilitation tax credit to include all homes listed on the national or state historic registers and all homes of a historical significance in historic districts.
SUMMARY OF PROVISIONS:
The bill amends subparagraph (A) of paragraph 5 of subsection (pp) of Section 606 of the Tax Law to delete language in the definition of a "qualified historic home" that requires such home to be a "targeted area residence within the meaning of Section 143 (j) of the Internal Revenue Code." Thus, the bill expands the application of the historic home rehabilitation tax credit to all homes listed as historic under the national and state registers and any home deemed to be of historical significance located in a registered historic district.
Chapter 547 of the laws of 2006 enacted a 20% tax credit for the rehabilitation of historic homes or homes located in a historic district provided such homes are located in "distressed areas" pursuant to the Internal Revenue Code. While Chapter 547 represents a significant first step in implementing a historic home rehabilitation tax credit, it unfortunately would only apply to approximately 4,100 homes statewide.
Eliminating the "distressed area" or "targeted area" requirement as provided for in the bill would expand the tax credit program to include over 50,000 qualified homes, a goal that was envisioned by original legislation first introduced in 1995.
Extending the incentives contained in Chapter 547 to historic homes located anywhere in the state will enhance the revitalization of our neighborhoods by providing an incentive for investment in New York's rich legacy of historic housing stock.
Primarily, the bill would create a vastly expanded economic development program targeted at aging residential properties that would provide increased housing opportunities; however, it would also have an economic impact on local economies resulting from spending by
homeowners for labor and materials. Rehabilitation of these properties would also result in tax base growth and will also help foster further business growth.
2009-2010: S.4682/A.4364 Referred to Investigations and Government Operations 2007-2008: S.4575/A.4117 Passed Senate
Undetermined; however, any fiscal impact on the state would be partially offset by increased local property tax revenues through increased assessments on rehabilitated properties and the return to the tax rolls of previously abandoned or delinquent properties.
This act shall take effect immediately.
STATE OF NEW YORK ________________________________________________________________________ 758--A 2011-2012 Regular Sessions IN SENATE (PREFILED) January 5, 2011 ___________Introduced by Sens. YOUNG, RANZENHOFER -- read twice and ordered print- ed, and when printed to be committed to the Committee on Investi- gations and Government Operations -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said commit- tee AN ACT to amend the tax law, in relation to the definition of qualified historic home for the purposes of the historic homeownership rehabili- tation 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 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, AND (iii) in which the taxpayer resides during the taxable year in which the taxpayer is allowed a credit under this subsection
[, and (iv) which is in whole or in part a targeted area residence within the meaning of section 143(j) of the internal revenue code or 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]. S 2. This act shall take effect immediately.EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD02630-02-1