07 LC
14 9615
House
Bill 577
By:
Representatives Smith of the
70th,
Forster of the
3rd,
Lewis of the
15th,
Smith of the
113th,
Amerson of the
9th,
and others
A
BILL TO BE ENTITLED
AN ACT
AN ACT
To
amend Article 2 of Chapter 7 of the Official Code of Georgia Annotated, relating
to imposition and computation of income taxes, so as to provide for a tax credit
for certain energy efficient homes; to provide a short title; to define terms;
to provide for procedures, conditions, and limitations; to provide for powers,
duties, and authority of the state revenue commissioner; to provide for an
effective date and for applicability; to repeal conflicting laws; and for other
purposes.
BE
IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION
1.
Article
2 of Chapter 7 of the Official Code of Georgia Annotated, relating to imposition
and computation of income taxes, is amended by adding a new Code section to read
as follows:
"48-7-40.27.
(a)
This Code section shall be known and may be cited as the 'Affordable Energy
Efficient Homes Act of 2007.'
(b)
As used in this Code section, the term:
(1)
'Eligible expenditure' means any:
(A)
Energy efficient heating or cooling system;
(B)
Insulation material or system which is specifically and primarily designed to
reduce the heat gain or loss of a residential property when installed in or on
such property;
(C)
Exterior windows, including skylights;
(D)
Exterior doors; and
(E)
Any metal roof installed on a residential property, but only if such roof has
appropriate pigmented coating that is specifically and primarily designed to
reduce the heat gain of such dwelling unit and meets Energy Star program
requirements.
(2)
'Contractor' means the taxpayer who constructed the residential property or
manufactured home or, if more than one taxpayer qualifies, the primary
contractor.
(3)
'Eligible energy efficient residential property' means a newly constructed
residential property or manufactured home property which is located in the State
of Georgia and substantially completed after December 31, 2007, and which is
2,000 square feet or less. In addition, in order to be eligible for the credit
provided in paragraph (1) of subsection (c) of this Code section, the property
must be certified by an accredited Residential Energy Services Network Provider
using the Home Energy Rating System to have:
(A)
A level of annual heating and cooling energy consumption which is at least 40
percent below the annual level of heating and cooling energy consumption of a
comparable residential property constructed in accordance with the standards of
Chapter 4 of the 2006 International Energy Conservation Code, as such code is in
effect on January 1, 2007;
(B)
Heating and cooling equipment efficiencies which correspond to the minimum
allowed under the regulations established by the Department of Energy pursuant
to the National Appliance Energy Conservation Act of 1987 and in effect at the
time of construction of the property; and
(C)
Building envelope component improvements which account for at least one-fifth of
the reduced annual heating and cooling energy consumption levels.
(c)
A taxpayer shall be allowed a credit against the tax imposed by this chapter for
eligible expenditures incurred in the construction of eligible energy efficient
residential property of 2,000 square feet or less. The amount of credit shall
be based upon the following:
(1)
For any eligible energy efficient residential property constructed and certified
as 40 percent or more above the 2006 International Energy Conservation Code and
any supplement in effect at the time of completion, the amount of the credit
shall be equal to the eligible expenditures, not to exceed $4,000.00 for the
taxpayer who is the contractor; and
(2)
For any eligible energy efficient residential property constructed and certified
as between 20 percent and 39 percent above the 2006 International Energy
Conservation Code and any supplement in effect at the time of completion, the
credit shall be equal to the eligible expenditures, not to exceed $2,000.00 for
the taxpayer who is the contractor."
SECTION
2.
This
Act shall become effective on January 1, 2008, and shall apply with respect to
taxable years beginning on or after that date.
SECTION
3.
All
laws and parts of laws in conflict with this Act are repealed.