2023 New York Laws › ISC - Insurance › Article 77 - The Life and Health Insurance Company Guaranty Corporation of New York Act › 7712 - Credits for Assessments Paid.

§  7712.  Credits  for  assessments paid. (a) The superintendent shall
annually issue a certificate of tax credit for net class  A  assessments
paid, and a separate certificate of tax credit for total net class B and
class  C  assessments paid, as such assessments are described in section
seven thousand seven hundred nine  of  this  article,  to  an  insurance
company  that  is  required  to  file  a  tax return pursuant to article
thirty-three of  the  tax  law.  The  superintendent  shall  issue  such
certificates  by  March  thirty-first  of the year following the year in
which the class A, B, and C assessments are paid or to  which  they  are
allocated  pursuant to the provisions of subsection (c) of this section.
For the purposes of this section, an insurance company's  "net  class  A
assessments paid" shall mean its gross class A assessments paid pursuant
to  the  provisions  of  article  seventy-five or section seven thousand
seven hundred nine of this article, less  any  refunds,  recoveries,  or
reimbursements,  and an insurance company's "total net class B and class
C assessments paid" shall mean its gross class B and class C assessments
paid pursuant to the provisions of article seventy-five or section seven
thousand  seven  hundred  nine  of  this  article,  less  any   refunds,
recoveries, or reimbursements.
(b)  The  certificates of tax credit shall set forth the amount of tax
credit an insurance company may claim as follows:
(1) for net class A assessments, the eligible credit amount  shall  be
equal  to the product of eighty per centum and the company's net class A
assessments paid; and
(2) for total net class B and class C assessments, the eligible credit
amount shall be equal to the  product  of  eighty  per  centum  and  the
company's  total  net  class  B and class C assessments paid, subject to
subsection (c) of this section.
(c)(1) The aggregate amount of tax credits pursuant  to  this  section
for  total  net  class  B  and class C assessments in each calendar year
shall not exceed one hundred fifty million dollars.  The  aggregate  tax
credit amount shall be allocated annually by the superintendent on a pro
rata  basis  to  each  company required to file a tax return pursuant to
article thirty-three of the tax law.
(2) The superintendent shall  allocate  any  tax  credit  amount  that
exceeds  the  annual  credit cap of one hundred fifty million dollars to
the  following  calendar  year  and  include  such  amount  within   the
calculation  of  the  eligible  credit  amount  subject to the aggregate
credit amount for the succeeding calendar year by the superintendent.
(3) For companies issued a certificate of tax  credit  for  total  net
class B and class C assessments, such annual certificate shall set forth
an  amount  equal to thirty-three and one-third per centum of the amount
calculated under subsection (b) of this section and  allocated  pursuant
to  paragraph  one  of this subsection. The amount on the certificate of
tax credit shall be eligible to be claimed  in  the  taxable  year  that
begins   in   the   calendar  year  that  such  certificate  is  issued.
Thirty-three and one-third per centum of such amount shall  be  eligible
to  be  claimed  in each of the two taxable years following such taxable
year.
(d)(1) The superintendent shall, in consultation with the commissioner
of taxation and finance, develop a certificate of  tax  credit  for  net
class A assessments, and a certificate of tax credit for total net class
B   and  class  C  assessments.  Each  certificate  shall  contain  such
information as required by the commissioner  of  taxation  and  finance,
including a certificate date.
(2)   The   superintendent  shall  solely  determine  the  tax  credit
eligibility of any insurance company and shall revoke any certificate of
tax credit issued to an insurance company that no longer qualifies for a

tax credit. The superintendent shall modify the  amount  of  the  credit
shown  on any such certificate if the superintendent determines that the
amount certified under subsection (b) of this section was  not  computed
properly pursuant to this section.
(3)  To  be  issued a certificate of tax credit by the superintendent,
each insurance company shall:
(A) agree to allow the department of taxation and finance to share the
insurance company's tax information relevant to  the  administration  of
this  section  with  the superintendent. However, any information shared
with the superintendent as  a  result  of  this  section  shall  not  be
available  for  public disclosure or inspection under article six of the
public officers law;
(B) allow the superintendent and the corporation access to any and all
books and records the  superintendent  or  corporation  may  require  to
monitor compliance with this section; and
(C)  agree  to  provide  any  additional  information  required by the
superintendent relevant to this section.