Thursday, May 28, 2009

STATE SENATE BROADENS TAX CREDITS

Good news for anyone with one of our historic Kingston homes. The State Senate has passed the Historic Rehab Tax Credit bill that now heads to the Assembly.

With the intent to help in the stimulus efforts and bolster the economy in some of our struggling communities, the Senate expects the modified tax credit structure to create jobs, increase property values and provide a better quality of life for all Upstate New Yorkers.

Some of the changes include a drastic increase of commercial credit from $100K to $5 Million, and for residential...an increase from $25K to $50K. But this isn't permanent and it's not state wide, it is focussed on just stressed areas with average incomes at or below the states median family income status.

The Senate has also changed the assignment status of the tax credit. No longer will it be tied to just one applicant. The process now allows a transfer from person to person within the company and even opens the opportunity for outside investors to access the program, with the intent of rehabilitating the structures in those stressed economic areas.

As stated in the AP, Malcolm Smith said... "Our State's ability to attract new businesses and investment will increase dramatically, and will help us produce the kind of results that the people of New York expect and deserve. There are struggling communities in every region of this state who will benefit from the reinvestment and beautification of our neighborhoods."

The City of Kingston definitely qualifies as an economically stressed community. Our state representatives are right to make these credits available throughout the state. I hope to see this passed by the Assembly and utilized locally. I'll see if there is any way of tracking what is accomplished locally as a result of this legislation.

4 comments:

Andi Turco-Levin said...

Mike, if you have more information on this please pass it on to me. June 9th is Lobby Day in Albany for Realtors and we have appointments with Larkin, Cahill, and Bonacic to discuss issues such as this that help our community.

Anonymous said...

Some folks from NY City must be planning to buy some historical properties upstate. On second thought I am now wondering if there are areas in NYC that would qualify. The huge jump into millions of dollars makes me suspicious.

Anonymous said...

just curious,, do we know who owns that building ??? hmmm,,,,

Anonymous said...

It is pretty well established that areas with historic properties are usually in large towns or cities. Thats where the economic struggles really hit. Injecting restoration funds into these districts at better rates is a smart idea to bolster the job market. At least in the construction sector.