New York 2025-2026 Regular Session

New York Assembly Bill A09696

Introduced
1/21/26  

Caption

Establishes the USDA construction tax credit for a percentage of the profit on any newly constructed home that is sold to someone qualifying with a USDA mortgage.

Impact

The introduction of this bill is expected to have a positive impact on the housing market, particularly for first-time homebuyers and those in rural areas who might find it difficult to obtain conventional financing. By providing a financial incentive for developers to construct new homes, it is anticipated that this will stimulate construction activity, create jobs, and increase the availability of affordable housing options.

Summary

Bill A09696 aims to establish a USDA construction tax credit in New York, allowing taxpayers to claim a credit of up to fifteen percent of the difference between the total building costs and the final sale price of newly constructed properties sold to individuals financing them with USDA mortgages. The intent of this bill is to encourage the development of housing that is accessible to individuals utilizing USDA loans, thus promoting home ownership in lower-income and rural areas.

Contention

While the bill appears to benefit housing development and homebuyers, there may be concerns regarding the fiscal implications of implementing such a tax credit. Critics might argue that this could result in reduced state revenue, requiring careful consideration of budget allocations. Moreover, discussions could arise about how effectively the bill would channel support to those in greatest need versus affluent developers leveraging the tax benefits.

Companion Bills

NY S00849

Same As Establishes the USDA construction tax credit for a percentage of the profit on any newly constructed home that is sold to someone qualifying with a USDA mortgage.

Previously Filed As

NY S00849

Establishes the USDA construction tax credit for a percentage of the profit on any newly constructed home that is sold to someone qualifying with a USDA mortgage.

NY A04241

Establishes the USDA construction tax credit for a percentage of the profit on any newly constructed home that is sold to someone qualifying with a USDA mortgage.

NY HB05503

An Act Requiring Mortgagees To Provide Mortgagors With Periodic Statements.

NY SB631

Authorizing the sale of toll credits to fund a newly established noise barrier construction fund for the design and construction of noise barrier projects.

NY SB152

Authorizing the sale of toll credits to fund a newly established noise barrier construction fund for the design and construction of noise barrier projects.

NY S1763

Provides refundable gross income tax credit for early principal payments on certain home mortgages.

NY A4122

Provides refundable gross income tax credit for early principal payments on certain home mortgages.

NY SB152

Authorizing the sale of toll credits to fund a newly established noise barrier construction fund for the design and construction of noise barrier projects.

NY A10825

Establishes a personal income tax credit for not more than one thousand dollars for certain tolls paid by a taxpayer in the course of commuting on toll roads in the state of New York.

NY S08918

Establishes the build up New York pilot program to provide grants to eligible municipalities that construct new accessory dwelling unit housing projects built on top of existing buildings that utilize mass timber and serve certain households; establishes the mass timber for affordable housing program to provide tax credits for eligible taxpayers who use mass timber in certain new construction or major retrofits of existing buildings that primarily serve households up to one hundred fifty percent of the area median income; establishes tax credits for mass timber production.

Similar Bills

No similar bills found.