HI HB1626

Establishes an income tax deduction for owners of single-family dwellings, residential condominiums, or cooperative housing units who install automatic fire sprinkler systems not required by current building code.

Deduction limited to $7,000 per residential unit for qualifying costs including design, materials, labor, installation, and permitting of the sprinkler system.

Applies only to automatic fire sprinkler systems placed into service after December 31, 2009.

Director of taxation authorized to require reasonable information from taxpayers claiming the deduction and to adopt rules under chapter 91 to implement the section.

Takes effect upon approval and applies to taxable years beginning after December 31, 2009.