2018 -- H 7554

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LC004561

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2018

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A N   A C T

RELATING TO TAXATION -- PERSONAL INCOME TAX

     Introduced By: Representatives Solomon, Shanley, McNamara, and Keable

     Date Introduced: February 09, 2018

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

     SECTION 1. Chapter 44-30 of the General Laws entitled "Personal Income Tax" is

hereby amended by adding thereto the following section:

     44-30-27.1. Tax credit for sewer connection cost.

     (a) An owner of real property upon which a single family or multi-family dwelling is

located will be allowed an income tax credit for the installation costs of connecting the single or

multi-family dwelling to a municipal sewer system.

     (b) For the purposes of this section, the owner of real property shall be allowed a non-

refundable state income tax credit in the amount of the actual cost of connection. This credit shall

be claimed only once by the real property owner. This income tax credit shall be allowed as either

a personal or a corporate income tax credit, depending on the real property owner's income tax

filing status on the last day of the owner's income tax filing period; provided, that if the

installation costs were incurred by a corporation, then a non-refundable corporate income tax

credit shall be allowed, and if installation costs were not incurred by a corporation, then a non-

refundable personal income tax credit shall be allowed. In no event shall both a corporate and

personal non-refundable income tax credit be allowed for the installation costs at a single

location.

     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO TAXATION -- PERSONAL INCOME TAX

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     This act would allow a one-time non-refundable tax credit for the actual costs of

connecting a single family or multi-family dwelling to a municipal sewer system to the owner of

the real property credited to the owner's personal income tax or corporate income tax based on the

filing status of the owner.

     This act would take effect upon passage.

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