S T A T E   O F   N E W   Y O R K
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                                  10445

                          I N  A S S E M B L Y

                             March 26, 2010
                               ___________

Introduced  by M. of A. BRENNAN, CASTRO, BARRON -- Multi-Sponsored by --
  M. of A. CLARK, DenDEKKER, DINOWITZ, GOTTFRIED, LIFTON  --  read  once
  and referred to the Committee on Ways and Means

AN  ACT  to  amend  the  tax  law,  in relation to establishing a cap on
  certain tax credits, to impose a surcharge against certain  taxes  and
  to increase the alternative minimum tax on corporations; and providing
  for the repeal of certain provisions upon expiration thereof

  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  210-a  to
read as follows:
  S  210-A. CAP ON CERTAIN CREDITS. 1. FOR PURPOSES OF THIS SECTION, THE
TERM "COVERED CREDITS" SHALL MEAN AND INCLUDE THE FOLLOWING: THE  ALTER-
NATIVE  FUELS CREDIT SET FORTH IN SUBDIVISION TWENTY-FOUR OF SECTION TWO
HUNDRED TEN OF THIS ARTICLE, THE AUTOMATED EXTERNAL DEFIBRILLATOR CREDIT
SET FORTH IN SUBDIVISION TWENTY-FIVE OF SECTION TWO HUNDRED TEN OF  THIS
ARTICLE, THE BIOFUEL PRODUCTION CREDIT SET FORTH IN SECTION TWENTY-EIGHT
OF  THIS CHAPTER AND SUBDIVISION THIRTY-EIGHT OF SECTION TWO HUNDRED TEN
OF THIS ARTICLE, THE BROWNFIELD REDEVELOPMENT TAX CREDIT  SET  FORTH  IN
SECTION  TWENTY-ONE  OF  THIS  CHAPTER  AND  SUBDIVISION THIRTY-THREE OF
SECTION TWO HUNDRED TEN OF THIS ARTICLE, THE TAX CREDIT  FOR  REMEDIATED
BROWNFIELDS SET FORTH IN SECTION TWENTY-TWO OF THIS CHAPTER AND SUBDIVI-
SION  THIRTY-FOUR  OF SECTION TWO HUNDRED TEN OF THIS ARTICLE, THE ENVI-
RONMENTAL REMEDIATION INSURANCE CREDIT SET FORTH IN SECTION TWENTY-THREE
OF THIS CHAPTER AND SUBDIVISION THIRTY-FIVE OF SECTION TWO  HUNDRED  TEN
OF  THIS ARTICLE, THE CLEAN HEATING FUEL CREDIT SET FORTH IN SUBDIVISION
THIRTY-NINE OF SECTION TWO HUNDRED TEN OF THIS ARTICLE, THE CONSERVATION
EASEMENT CREDIT SET FORTH IN SUBDIVISION  THIRTY-EIGHT  OF  SECTION  TWO
HUNDRED  TEN  OF THIS ARTICLE, THE CREDIT FOR EMPLOYMENT OF PERSONS WITH
DISABILITIES SET  FORTH  IN  SUBDIVISION  TWENTY-THREE  OF  SECTION  TWO
HUNDRED  TEN  OF  THIS  ARTICLE,  THE EMPIRE STATE COMMERCIAL PRODUCTION
CREDIT, SET FORTH IN SECTION TWENTY-EIGHT OF THIS CHAPTER  AND  SUBDIVI-
SION THIRTY-EIGHT OF SECTION TWO HUNDRED TEN OF THIS ARTICLE, THE EMPIRE
STATE  FILM  PRODUCTION  CREDIT SET FORTH IN SECTION TWENTY-FOUR OF THIS

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
              

                                                           LBD16620-03-0

A. 10445                            2

CHAPTER AND SUBDIVISION THIRTY-SIX OF SECTION TWO HUNDRED  TEN  OF  THIS
ARTICLE,  THE  EMPIRE  ZONE  CAPITAL TAX CREDIT SET FORTH IN SUBDIVISION
TWENTY OF SECTION TWO HUNDRED TEN  OF  THIS  ARTICLE,  THE  EMPIRE  ZONE
INVESTMENT  TAX  CREDIT SET FORTH IN SUBDIVISION TWELVE-B OF SECTION TWO
HUNDRED TEN OF THIS ARTICLE, THE EMPIRE ZONE EMPLOYMENT INCENTIVE CREDIT
SET FORTH IN SUBDIVISION TWELVE-C OF SECTION TWO  HUNDRED  TEN  OF  THIS
ARTICLE,  THE  INVESTMENT  TAX CREDIT SET FORTH IN SUBDIVISION TWELVE OF
SECTION TWO HUNDRED TEN OF THIS ARTICLE, THE EMPIRE ZONE WAGE TAX CREDIT
SET FORTH IN SUBDIVISION NINETEEN OF SECTION TWO  HUNDRED  TEN  OF  THIS
ARTICLE, THE GREEN BUILDING CREDIT SET FORTH IN SECTION NINETEEN OF THIS
CHAPTER  AND  SUBDIVISION  THIRTY-ONE OF SECTION TWO HUNDRED TEN OF THIS
ARTICLE, THE CREDIT FOR COMPANIES WHO PROVIDE TRANSPORTATION TO INDIVID-
UALS WITH DISABILITIES SET FORTH IN SUBDIVISION  FORTY  OF  SECTION  TWO
HUNDRED  TEN OF THIS ARTICLE, THE LOW INCOME HOUSING CREDIT SET FORTH IN
SECTION EIGHTEEN OF THIS CHAPTER AND SUBDIVISION THIRTY OF  SECTION  TWO
HUNDRED TEN OF THIS ARTICLE, THE CREDIT FOR THE SPECIAL ADDITIONAL MORT-
GAGE  RECORDING  TAX  SET  FORTH IN SUBDIVISION SEVENTEEN OF SECTION TWO
HUNDRED TEN OF THIS ARTICLE, THE CREDIT FOR SERVICING CERTAIN  MORTGAGES
SET FORTH IN SUBDIVISION TWENTY-ONE-A OF SECTION TWO HUNDRED TEN OF THIS
ARTICLE,  THE  QUALIFIED  EMERGING TECHNOLOGY COMPANY CAPITAL TAX CREDIT
SET FORTH IN SUBDIVISION TWELVE-F OF SECTION TWO  HUNDRED  TEN  OF  THIS
ARTICLE, THE QUALIFIED EMERGING TECHNOLOGY COMPANY EMPLOYMENT CREDIT SET
FORTH  IN  SUBDIVISION TWELVE-E OF SECTION TWO HUNDRED TEN OF THIS ARTI-
CLE, THE QUALIFIED EMERGING TECHNOLOGY  COMPANY  FACILITIES,  OPERATIONS
AND  TRAINING  CREDIT  SET  FORTH IN SUBDIVISION TWELVE-G OF SECTION TWO
HUNDRED TEN OF THIS ARTICLE, THE QEZE CREDIT FOR REAL PROPERTY TAXES SET
FORTH IN SECTION FIFTEEN OF THIS CHAPTER AND SUBDIVISION TWENTY-SEVEN OF
SECTION TWO HUNDRED TEN OF THIS ARTICLE, THE QEZE TAX  REDUCTION  CREDIT
SET   FORTH   IN   SECTION  SIXTEEN  OF  THIS  CHAPTER  AND  SUBDIVISION
TWENTY-EIGHT OF SECTION TWO HUNDRED TEN OF THIS ARTICLE, THE CREDIT  FOR
REHABILITATION  OF HISTORIC PROPERTIES SET FORTH IN SUBDIVISION FORTY OF
SECTION TWO HUNDRED TEN OF THIS ARTICLE AND THE  SECURITY  TRAINING  TAX
CREDIT  SET  FORTH IN SECTION TWENTY-SIX OF THIS CHAPTER AND SUBDIVISION
THIRTY-SEVEN OF SECTION TWO HUNDRED TEN OF THIS ARTICLE.
  2. NOTWITHSTANDING ANY OTHER PROVISION OF  LAW,  THE  TOTAL  ALLOWABLE
COVERED  CREDITS  THAT  MAY BE CREDITED OR REFUNDED TO A TAXPAYER IN ANY
TAX YEAR SHALL BE LIMITED TO A TOTAL OF  FIFTEEN  MILLION  DOLLARS.  ANY
AMOUNT OF CREDIT EXCEEDING FIFTEEN MILLION DOLLARS NOT CREDITED PURSUANT
TO THIS SECTION IN ANY TAX YEAR MAY BE CARRIED OVER TO THE FOLLOWING TAX
YEAR  OR  YEARS AND MAY BE CREDITED AGAINST SUCH TAXPAYER'S TAX FOR SUCH
YEAR OR YEARS.
  S 2. The tax law is amended by adding a new section 210-b to  read  as
follows:
  S  210-B.  SURCHARGE.  1.  FOR PURPOSES OF THIS SECTION, THE FOLLOWING
TERMS SHALL HAVE THE FOLLOWING MEANINGS:
  A. "TAXES SUBJECT TO SURCHARGE" SHALL MEAN AND INCLUDE THE  FOLLOWING:
THE  CORPORATION  TAX  IMPOSED PURSUANT TO ARTICLE NINE OF THIS CHAPTER,
THE FRANCHISE TAX ON BUSINESS CORPORATIONS IMPOSED PURSUANT  TO  ARTICLE
NINE-A  OF  THIS  CHAPTER,  THE  FRANCHISE  TAX  ON BANKING CORPORATIONS
IMPOSED PURSUANT TO ARTICLE THIRTY-TWO OF THIS CHAPTER AND THE FRANCHISE
TAX ON INSURANCE CORPORATIONS IMPOSED PURSUANT TO  ARTICLE  THIRTY-THREE
OF THIS CHAPTER; AND
  B.  "FINAL  TAX  LIABILITY" SHALL MEAN THE TAX LIABILITY OF A TAXPAYER
AFTER ALL DEDUCTIONS AND CREDITS FOR WHICH  SUCH  TAXPAYER  IS  ELIGIBLE
HAVE BEEN TAKEN.

A. 10445                            3

  2. NOTWITHSTANDING ANY OTHER PROVISION OF LAW, THERE IS HEREBY IMPOSED
A  SURCHARGE  AGAINST TAXES SUBJECT TO SURCHARGE FOR ANY TAXPAYER WHO IS
SUBJECT TO ONE  OR  MORE  OF  SUCH  TAXES  SUBJECT  TO  SURCHARGE.  SUCH
SURCHARGE  SHALL BE FIFTEEN PERCENT OF SUCH TAXPAYER'S FINAL TAX LIABIL-
ITY FOR THE TAX YEAR.
  S  3.  Subparagraph  (ii) of paragraph (c) of subdivision 1 of section
210 of the tax law, as amended by section 5 of part N of chapter  60  of
the laws of 2007, is amended to read as follows:
  (ii)  For taxable years beginning in nineteen hundred ninety, nineteen
hundred ninety-one, nineteen hundred ninety-two, nineteen hundred  nine-
ty-three  and nineteen hundred ninety-four the amount prescribed by this
paragraph shall be computed at the rate of five percent of  the  taxpay-
er's  minimum  taxable  income  base.  For taxable years beginning after
nineteen hundred ninety-four and before  July  first,  nineteen  hundred
ninety-eight,  the amount prescribed by this paragraph shall be computed
at the rate of three and one-half  percent  of  the  taxpayer's  minimum
taxable  income  base. For taxable years beginning after June thirtieth,
nineteen hundred ninety-eight and before July  first,  nineteen  hundred
ninety-nine,  the  amount prescribed by this paragraph shall be computed
at the rate of three and one-quarter percent of the  taxpayer's  minimum
taxable  income  base. For taxable years beginning after June thirtieth,
nineteen hundred ninety-nine and before July first,  two  thousand,  the
amount  prescribed  by  this  paragraph shall be computed at the rate of
three percent of the taxpayer's minimum taxable income base.  For  taxa-
ble  years  beginning  after  June  thirtieth,  two thousand, the amount
prescribed by this paragraph shall be computed at the rate  of  two  and
one-half  percent  of  the  taxpayer's  minimum taxable income base. For
taxable years beginning on or after January first, two  thousand  seven,
amount prescribed by this paragraph shall be computed at the rate of one
and one-half percent of the taxpayer's minimum taxable income base.  FOR
TAXABLE YEARS BEGINNING ON OR AFTER JANUARY FIRST, TWO THOUSAND TEN, THE
AMOUNT  PRESCRIBED  BY  THIS  PARAGRAPH SHALL BE COMPUTED AT THE RATE OF
THREE AND ONE-HALF PERCENT OF  THE  TAXPAYER'S  MINIMUM  TAXABLE  INCOME
BASE.  The  "taxpayer's  minimum  taxable  income  base"  shall mean the
portion of the taxpayer's minimum taxable income  allocated  within  the
state  as hereinafter provided, subject to any modifications required by
paragraphs (d) and (e) of subdivision three of this section.
  S 4. This act shall take effect immediately and shall apply to taxable
years beginning on or after January 1, 2010, provided that  section  two
of this act shall expire and be deemed repealed January 1, 2014.