S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3902
 
                        2021-2022 Regular Sessions
 
                             I N  S E N A T E
 
                             February 1, 2021
                                ___________
 
 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  sump  pump
   installation and replacement credit
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 606 of the tax law  is  amended  by  adding  a  new
 subsection (lll) to read as follows:
   (LLL)  SUMP  PUMP INSTALLATION AND REPLACEMENT CREDIT. (1) GENERAL. AN
 INDIVIDUAL TAXPAYER SHALL BE ALLOWED A CREDIT FOR TAXABLE  YEARS  BEGIN-
 NING  ON  OR  AFTER JANUARY FIRST, TWO THOUSAND TWENTY-THREE AGAINST THE
 TAX IMPOSED BY THIS ARTICLE FOR THE COSTS  FOR  REPLACEMENT,  REPAIR  OR
 INSTALLATION OF A SUMP PUMP, WHEN SUCH REPAIR, REPLACEMENT, OR INSTALLA-
 TION  IS  RECOMMENDED BY A CERTIFIED PLUMBER OR MUNICIPALITY. THE AMOUNT
 OF THE CREDIT SHALL BE FIFTY PERCENT OF THE TOTAL COST  OF  REPLACEMENT,
 REPAIR, OR INSTALLATION.
   (2) SUMP PUMP REPLACEMENT, REPAIR AND INSTALLATION COSTS. (A) THE TERM
 "COSTS  OF  REPLACEMENT, REPAIR OR INSTALLATION" INCLUDES THE COST OF AN
 ASSESSMENT FROM A PLUMBER, ANY  INITIAL  APPRAISALS,  LABOR  COSTS,  ANY
 DISPOSAL FEES, AND ANY CLEANUP FEES; EXCEPT ANY STATE OR LOCAL SALES TAX
 APPLICABLE  TO  THE  SERVICES  PERFORMED. (B) THE TERM "COSTS OF REPAIR"
 INCLUDES  THE  COST  OF  AN  ASSESSMENT  FROM  A  PLUMBER,  ANY  INITIAL
 APPRAISALS,  LABOR  COSTS, ANY DISPOSAL FEES, AND FOLLOW-UP FEES; EXCEPT
 ANY STATE OR LOCAL SALES TAX APPLICABLE TO THE SERVICES.
   (3) AMOUNT OF CREDIT. THE AGGREGATE  AMOUNT  OF  TAX  CREDITS  ALLOWED
 UNDER  THIS  SUBSECTION  IN  ANY  CALENDAR  YEAR STATEWIDE SHALL BE FIVE
 MILLION DOLLARS.
   (4) INSTALLATION AND REPAIR FOR QUALIFIED TAXPAYERS. A PROPERTY  OWNER
 WHO  INCURS COSTS FOR REPAIR OR REPLACEMENT OF A SUMP PUMP MUST BE DOING
 SO ON A RESIDENTIAL OR MIXED USE PROPERTY WHICH IS:
   (A) LOCATED IN THE STATE;
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD07690-01-1

 S. 3902                             2
 
   (B) OWNED BY THE TAXPAYER;
   (C) USED BY THE TAXPAYER AS HIS OR HER PRINCIPAL RESIDENCE; AND
   (D)  OWNED  BY  A  TAXPAYER  WITH  A HOUSEHOLD INCOME OF LESS THAN TWO
 HUNDRED FIFTY THOUSAND DOLLARS.
   (5) WHEN CREDIT IS ALLOWED. THE CREDIT PROVIDED FOR IN THIS SUBSECTION
 SHALL BE ALLOWED WITH RESPECT TO  THE  TAXABLE  YEAR,  COMMENCING  AFTER
 JANUARY  FIRST, TWO THOUSAND TWENTY-THREE IN WHICH THE WORK IS COMPLETED
 AND PAID FOR.
   (6) CARRYOVER CREDIT. IF THE AMOUNT OF THE CREDIT, AND  CARRYOVERS  OF
 SUCH  CREDIT, ALLOWABLE UNDER THIS SUBSECTION FOR ANY TAXABLE YEAR SHALL
 EXCEED THE TAXPAYER'S TAX FOR SUCH  YEAR,  SUCH  EXCESS  AMOUNT  MAY  BE
 CARRIED  OVER  TO THE FIVE TAXABLE YEARS NEXT FOLLOWING THE TAXABLE YEAR
 WITH RESPECT TO WHICH THE CREDIT IS ALLOWED AND MAY BE DEDUCTED FROM THE
 TAXPAYER'S TAX FOR SUCH YEAR OR YEARS.
   § 2. This act shall take effect immediately and shall apply to taxable
 years commencing on or after such effective date.