GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1999

H	3 

HOUSE BILL 1583*
Committee Substitute Favorable 6/20/00
Committee Substitute #2 Favorable 6/30/00

Short Title:  Nonhaz. Dry-Cleaning Technology Incentive.      	(Public)

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Sponsors:

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Referred to: 

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May 18, 2000

A BILL TO BE ENTITLED
AN ACT TO PROVIDE A NEW TAX CREDIT AS AN INCENTIVE FOR INVESTING IN DRY-CLEANING EQUIPMENT THAT DOES NOT USE HAZARDOUS SUBSTANCES, AS RECOMMENDED BY THE ENVIRONMENTAL REVIEW COMMISSION.
The General Assembly of North Carolina enacts:
Section 1.  Article 3B of Chapter 105 of the General Statutes is amended by adding a new section to read:
"§ 105-129.16C. Credit for investing in dry-cleaning equipment that does not use a hazardous substance.
(a)	Credit. – If a taxpayer that has purchased or leased qualified dry-cleaning equipment, places it in service in this State for commercial purposes during the taxable year, the taxpayer is allowed a credit equal to twenty percent (20%) of the cost of the equipment.  To support the credit allowed by this section, the taxpayer must file with the tax return for the taxable year in which the credit is claimed a certification by the Department of Environment and Natural Resources that the equipment purchased or leased by the taxpayer is qualified dry-cleaning equipment.
(b)	Restrictions. – No credit is allowed under this section to the extent the cost of the equipment was paid with public funds.  A taxpayer that claims any other credit allowed under this Chapter with respect to qualified dry-cleaning equipment may not take the credit allowed in this section with respect to the same equipment.
(c)	Definitions. – The following definitions apply only in this section:
(1)	Hazardous solvent. – A solvent, any portion of which consists of a chlorine-based solvent, a hydrocarbon-based solvent, a hazardous substance as defined in G.S. 130A-310(2), or any substance determined by the Administrator of the Environmental Protection Agency or the Director of the National Institute of Occupational Safety and Health to possess carcinogenic potential to humans.
(2)	Qualified dry-cleaning equipment. – Equipment that is designed and used primarily to dry-clean clothing and other fabric and does not use any hazardous solvent or any other substance that the Department of Environment and Natural Resources determines to pose a threat to human health or the environment."
Section 2.  This act is effective for taxable years beginning on or after July 1, 2001.