N.Y.
Tax Law Section 187-Q
Utility COVID-19 debt relief credit
1.
Allowance of credit. A taxpayer doing business in this state that is subject to the supervision of the public service commission shall be allowed a credit against the taxes imposed by this article, to be computed as hereinafter provided, for the amount of debt that the taxpayer has waived in accordance with procedures established by the public service commission that was owed to the taxpayer by customers who received utility arrears assistance pursuant to the chapter of the laws of two thousand twenty-one that enacted this section. Provided, however, that if the taxpayer is subject to tax under both sections one hundred eighty-three and one hundred eighty-four of this article the amount of such credit allowable against the tax imposed by such section one hundred eighty-four shall be the excess of the amount of such credit over the amount of any credit allowed by this section against the tax imposed by section one hundred eighty-three of this article.2.
Application of credit. In no event shall the credit under this section be allowed in an amount that will reduce the tax payable to less than the applicable minimum tax fixed by section one hundred eighty-three of this article. If, however, the amount of credit allowable under this section for any taxable year reduces the tax to such amount, any amount of credit not deductible in such taxable year shall be treated as an overpayment of tax to be refunded in accordance with the provisions of § 1086 (Overpayment)section one thousand eighty-six of this chapter. Provided, however, the provisions of subsection (c) of § 1088 (Interest on overpayment)section one thousand eighty-eight of this chapter notwithstanding, no interest shall be paid thereon.3.
Certification. No amount of waived customer debt may be the basis for the credit herein unless such amount is certified by the public service commission as provided herein. After consulting with the commissioner, the public service commission shall establish procedures for determining the amount of waived customer debt that may be used as a basis for the tax credit allowed by this section. Such procedures shall include provisions describing the application process, application due dates, the documentation that will be provided by taxpayers to substantiate the amount of customer debt that was waived by such taxpayers, the process by which the public service commission shall certify to a taxpayer and to the commissioner the amount of waived customer debt that qualifies for the credit, and such other provisions as deemed necessary and appropriate.4.
Timing of credit. The credit allowed by this section shall be claimed in the taxable year in which the public service commission certifies the amount of customer debt waived by the taxpayer that qualifies for the credit allowed by this section.5.
Credit recapture. If the certification made by the public service commission under subdivision three of this section is revoked by the public service commission, the amount of credit described in this section and claimed by the taxpayer prior to that revocation shall be added back to the tax in the taxable year in which such revocation becomes final.6.
Information sharing. Notwithstanding any provision of this chapter, employees and officers of the public service commission and the department shall be allowed and are directed to share and exchange information regarding the credits allowed, or claimed, pursuant to this section, and the taxpayers who are applying for credits or who are claiming credits, including information contained in or derived from credit claim forms submitted to the department, and the information of the taxpayer used by the department of public service to determine the amount of waived customer debt.
Source:
Section 187-Q — Utility COVID-19 debt relief credit, https://www.nysenate.gov/legislation/laws/TAX/187-Q (updated Apr. 23, 2021; accessed Oct. 26, 2024).
