Refundable Clean Heating Fuel Tax Credit (Corporate) (New York)

Summary

Last modified on February 12, 2015.

Financial Incentive Program

Place	New York
Name	Refundable Clean Heating Fuel Tax Credit (Corporate)
Incentive Type	Corporate Tax Credit
Applicable Sector	Residential
Eligible Technologies	Biodiesel
Active Incentive	Yes
Implementing Sector	State/Territory
Energy Category	Renewable Energy Incentive Programs
Amount	0.01/gallon for each percent of biodiesel
Carryover Provisions	No carryover; tax credit is refundable
Equipment Requirements	Must be used for residential space heating or hot water production within New York State
Start Date	01/01/2008 (2008 reinstatement)
Expiration Date	2016-12-31
Maximum Incentive	0.20/gallon
Program Administrator	New York State Department of Taxation and Finance
References	DSIREDatabase of State Incentives for Renewables and Efficiency

Summary

The state of New York began offering a corporate income tax credit for biodiesel purchases used for residential space heating and water heating beginning in 2006. The original credit was authorized for only one year from July 1, 2006 to June 30, 2007. However, in 2008 the law was amended to reinstate the credit for purchases made between January 1, 2008 and December 31, 2011. The window was extended through December 31, 2016 by A.B. 7793 in October 2011. Eligible taxpayers are defined as corporations that are subject to the franchise tax on business corporations, including a corporation that is a partner in a partnership.

The value of the tax credit is $0.01/gallon for each percent of biodiesel blended with conventional home heating oil, up to a maximum of $0.20/ gallon. In other words, the purchaser of a mixture of 10% biodiesel and 90% conventional heating oil is entitled to a tax credit of $0.10/gallon. Biodiesel is defined to include certain fuels created from both animal fats and vegetable oils. Biodiesel use in buildings with both residential and non-residential space and a common oil storage tank is eligible for a partial credit based on the percentage of square footage used for residential purposes. If a taxpayer's allowable credit exceeds their tax liability for a given year, the remaining credit is refunded rather than carried over to a subsequent tax year.

In order to claim the tax credit corporate income taxpayers must complete Form CT-241, which is available on the New York State Department of Taxation and Finance web site.

Incentive Contact

Contact Name	Taxpayer Assistance - Corporate Tax Information Center
Department	New York State Department of Taxation and Finance
Address	W.A. Harriman Campus
Place	Albany, New York
Zip/Postal Code	12227
Phone	(518) 485-6027
Phone 2	(888) 698-2908
Website	http://www.tax.state.ny.us

Authorities (Please contact the if there are any file problems.)

Authority 1:	NYCL Tax § 210.39
Date Effective	01/01/2008 (2008 reinstatement)
Date Enacted	05/21/2006 (subsequently amended)
Expiration Date	12/31/2016 (2011 extension)

Authority 2:	A.B. 7793
Date Effective	2011-10-14
Date Enacted	2011-10-14

• Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.