Provides that land leased from a relative shall be eligible for the personal income real property tax credit for manufacturers when the land is used for the production of goods by farming, agriculture, horticulture, floriculture, viticulture or commercial fishing.
STATE OF NEW YORK
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4275
2015-2016 Regular Sessions
IN SENATE
March 11, 2015
___________
Introduced by Sens. YOUNG, RICHIE -- (at request of the Legislative
Commission on Rural Resources) -- read twice and ordered printed, and
when printed to be committed to the Committee on Investigations and
Government Operations
AN ACT to amend the tax law, in relation to the personal income real
property tax credit for manufacturers
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Clause (ii) of subparagraph (B) of paragraph 2 of
2 subsection (xx) of section 606 of the tax law, as added by section 4 of
3 part R of chapter 59 of the laws of 2014, is amended to read as follows:
4 (ii) In addition, the term real property tax includes taxes paid by
5 the taxpayer upon real property principally used during the taxable year
6 by the taxpayer in manufacturing where the taxpayer leases such real
7 property from an unrelated third party if the following conditions are
8 satisfied: (I) the tax must be paid by the taxpayer as lessee pursuant
9 to explicit requirements in a written lease, and (II) the taxpayer as
10 lessee has paid such taxes directly to the taxing authority and has
11 received a written receipt for payment of taxes from the taxing authori-
12 ty. In the case of a combined group that constitutes a qualified New
13 York manufacturer, the conditions in the preceding sentence are satis-
14 fied if one corporation in the combined group is the lessee and another
15 corporation in the combined group makes the payments to the taxing
16 authority. In the case of a taxpayer who during the taxable year is
17 principally engaged in the production of goods by farming, agriculture,
18 horticulture, floriculture, viticulture or commercial fishing, the lease
19 of land from a related party shall not preclude eligibility for the real
20 property tax credit for manufacturers.
21 § 2. This act shall take effect immediately and shall apply to tax
22 years commencing on or after January 1, 2015.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD09748-02-5
