NY A03985

Establishes a tax credit for businesses in New York State that purchase and install wind energy systems and fuel cell electric generating equipment at their business properties.

Wind energy system equipment qualifies for a 50% credit for most taxpayers and 45% for certain business entities; fuel cell equipment qualifies for 45% credit for most taxpayers and 40% for certain business entities based on qualified expenditures.

Qualified expenditures include costs for materials, labor, installation, engineering services, and architectural designs directly related to constructing or installing eligible equipment, but exclude finance charges and grant amounts not included in federal gross income.

Requires taxpayers to obtain a credit component certificate from the New York State Energy Research and Development Authority after equipment operates successfully for at least three continuous months, with a $50 application fee per $5 million of gross receipts.

Allows unused credits to be carried forward for up to five taxable years and requires taxpayers to maintain equipment for five years or forfeit previously claimed benefits, with exceptions for equipment failure or replacement with more efficient systems.