ALERT: Historic Homeowner Tax Credit Passes NYS Legislature!
Sometime after midnight on Thursday, before heading off on summer recess, both houses of the New York State Legislature passed a measure (A.11987/S.8392) providing a State Income Tax credit for the rehabilitation costs of historic commercial and residential structures. Governor Pataki, who has supported this initiative in the past, is anticipated to sign this bill into law within the next 45 days.
Under this new legislation, approximately 11,000 State and National Register-listed, owner-occupied residential structures in distressed areas would be eligible for a New York State Income Tax Credit covering 20% of exterior rehabilitation costs, up to a credit value of $25,000. National Register-listed or -eligible commercial properties that qualify for the Federal Rehabilitation Tax Credit would also qualify for a New York State Income Tax Credit covering 30% of rehabilitation costs, up to a credit value of $100,000.
The Historic Districts Council has long advocated for this initiative and feels that this measure will have a significant impact on community renewal and preservation activity in New York City, especially in under-served and low-income areas. It will be the first-ever financial incentives for homeowners and homebuyers for upkeep and stewardship of historic homes. The commercial tax credit will complement an existing federal program for historic structures. Nationally, twenty-one states provide such rehabilitation tax credits for historic properties.
Once signed into law, the precise mechanisms of how this credit will be given will be drafted by the NYS Office of Parks, Recreation and Historic Preservation working in collaboration with the preservation community, notably HDC’s colleagues in Albany, the Preservation League of New York State.
Please be sure to thank your state legislators for their support of this “landmark” bill!
Go to http://www.cmap.nypirg.org/netmaps/MyGovernment/NYC/MyGovernmentNYC.asp?cmd=start to find out your elected representatives in Albany.
For more information on the bill, visit our colleagues at http://www.preservenys.org/