N.Y. Tax Law § 187-q: Utility COVID-19 debt relief credit

§ 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 section one thousand eighty-six of this chapter.

Provided, however, the provisions of subsection (c) of 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.