S 2347: Creates a small business renewable tax credit; provides the term "business related renewable energy usage" shall refer to renewable power usage used to further the economic activity of the taxpayer at the primary business location that is clearly delimited from any shared renewable energy power usage cost.

  
  STATE OF NEW YORK ________________________________________________________________________ 2347 2025-2026 Regular Sessions  IN SENATE January 16, 2025 ___________ Introduced by Sen. PARKER -- 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 a small business grid renew- able energy tax credit The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Section 210-B of the tax law is amended by adding a new 2 subdivision 61 to read as follows: 3 61. Small business grid renewable energy tax credit. (a) A taxpayer 4 that is eligible under the limitations specified in paragraph (b) of 5 this subdivision shall be allowed a credit against the tax imposed by 6 this article. The amount of the credit shall be equal to twenty percent 7 of the cost of conversion from electric or gas to renewable energy. 8 (b) An eligible taxpayer shall (i) have no more than nineteen full 9 time equivalent employees in New York state, including any related 10 members or affiliates, (ii) not be a sole-proprietorship if such sole- 11 proprietor's primary business location is sited in or part of such sole- 12 proprietor's place of residence, (iii) not be certified pursuant to 13 article eighteen-B of the general municipal law, (iv) not be receiving 14 any allocation or award pursuant to any program authorized under article 15 six of the economic development law, and (v) shall be located within a 16 certain radius of other qualified small businesses. 17 (c) (i) The term "business related renewable energy usage" shall refer 18 to renewable energy power usage used to further the economic activity of 19 the taxpayer at the primary business location that is clearly delimited 20 from any shared renewable energy power usage cost. (ii) The term 21 "primary business location" shall mean the physical site of the taxpayer 22 within the state of New York where the majority of the taxpayer's 23 economic activity is generated or coordinated through. (iii) The term 24 "related members" shall have the same meaning as set forth in clauses 25 (A) and (B) of subparagraph one of paragraph (o) of subdivision nine of 26 section two hundred eight of this article, and the term "affiliates" 27 shall mean those corporations that are members of the same affiliated EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD06171-01-5 
 S. 2347 2 1 group (as defined in section fifteen hundred four of the internal reven- 2 ue code) as the taxpayer. 3 (d) The credit allowed under this subdivision for any taxable year 4 shall not reduce the tax due for such year to less than the higher of 5 the amounts prescribed in paragraph (d) of subdivision one of section 6 two hundred ten of this article. However, if the amount of credit 7 allowed under this subdivision for any taxable year reduces the tax to 8 such amount, any amount of credit not deductible in such taxable year 9 shall be treated as an overpayment of tax to be credited or refunded in 10 accordance with the provisions of section one thousand eighty-six of 11 this chapter. Provided, however, the provisions of subsection (c) of 12 section one thousand eighty-eight of this chapter notwithstanding, no 13 interest shall be paid thereon. 14 § 2. Section 606 of the tax law is amended by adding a new subsection 15 (bbb) to read as follows: 16 (bbb) Small business grid renewable energy tax credit. (1) A taxpayer 17 that is eligible under the limitations specified in paragraph two of 18 this subsection shall be allowed a credit against the tax imposed by 19 this article. The amount of the credit shall be equal to twenty percent 20 of the cost of conversion from electric or gas to renewable energy. 21 (2) An eligible taxpayer shall (i) have no more than nineteen full 22 time equivalent employees in New York state, including any related 23 members or affiliates, (ii) shall not be a sole-proprietorship if such 24 sole-proprietor's primary business location is sited in or part of such 25 sole-proprietor's place of residence, (iii) not be certified pursuant to 26 article eighteen-B of the general municipal law, (iv) not be receiving 27 any allocation or award pursuant to any program authorized under article 28 six of the economic development law, and (v) shall be located within a 29 certain radius of other qualified small businesses. 30 (3) (i) The term "business related renewable energy usage" shall refer 31 to renewable energy power usage used to further the economic activity of 32 the taxpayer at the primary business location that is clearly delimited 33 from any shared renewable energy power usage cost. (ii) The term "prima- 34 ry business location" shall mean the physical site of the taxpayer with- 35 in the state of New York where the majority of the taxpayer's economic 36 activity is generated or coordinated through. (iii) The term "related 37 members" shall have the same meaning as set forth in clauses (A) and (B) 38 of subparagraph one of paragraph (o) of subdivision nine of section two 39 hundred eight of this chapter, and the term "affiliates" shall mean 40 those corporations that are members of the same affiliated group (as 41 defined in section fifteen hundred four of the internal revenue code) as 42 the taxpayer. 43 (4) If the amount of credit allowed under this subsection for any 44 taxable year shall exceed the taxpayer's tax for such year, the excess 45 shall be treated as an overpayment of tax to be credited or refunded in 46 accordance with the provisions of section six hundred eighty-six of this 47 article, provided, however, that no interest shall be paid thereon. 48 § 3. Subparagraph (B) of paragraph 1 of subsection (i) of section 606 49 of the tax law is amended by adding a new clause (lii) to read as 50 follows: 51 (lii) Small business grid renewable Qualifying grid renewable energy 52 energy tax credit under usage under subdivision 53 subsection (bbb) sixty-one of section two 54 hundred ten-B 55 § 4. This act shall take effect on the first of January next succeed- 56 ing the date on which it shall have become a law.