Arkansas 2025 Regular Session

Arkansas House Bill HB1366 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	Stricken language would be deleted from and underlined language would be added to present law.
2	2	JLL126 01/30/2025 9:06:18 AM JLL126
3	3	State of Arkansas 1
4	4	95th General Assembly A Bill 2
5	5	Regular Session, 2025 HOUSE BILL 1366 3
6	6	4
7	7	By: Representatives Ennett, Hudson 5
8	8	6
9	9	7
10	10	For An Act To Be Entitled 8
11	11	AN ACT TO CREATE AN INCOME TAX CREDIT FOR QUALIFIED 9
12	12	STORM SHELTERS; AND FOR OTHER PURPOSES. 10
13	13	11
14	14	12
15	15	Subtitle 13
16	16	TO CREATE AN INCOME TAX CREDIT FOR 14
17	17	QUALIFIED STORM SHELTERS. 15
18	18	16
19	19	BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 17
20	20	18
21	21	SECTION 1. Arkansas Code Title 26, Chapter 51, Subchapter 5, is 19
22	22	amended to add an additional section to read as follows: 20
23	23	26-51-518. Qualified storm shelter. 21
24	24	(a) As used in this section: 22
25	25	(1) "Primary residence" means a single -family residence that is 23
26	26	the full-time legal residence of a taxpayer and is used for purposes of the 24
27	27	taxpayer's income tax calculation under this chapter; 25
28	28	(2) "Qualified storm shelter" means a storm shelter or safe room 26
29	29	that: 27
30	30	(A) Has a design that is capable of withstanding a tornado 28
31	31	that is rated as a five (5) on the Enhanced Fujita Scale; 29
32	32	(B) Is placed in service as an attachment to the 30
33	33	taxpayer's primary residence or on the same lot or parcel as the taxpayer's 31
34	34	primary residence, and no other qualified storm shelter is attached to the 32
35	35	taxpayer's primary residence or on the same lot or parcel as the taxpayer's 33
36	36	primary residence; 34
37	37	(C) Meets or exceeds the most recent minimum criteria 35
38	38	established by the Federal Emergency Management Agency for the design, 36 HB1366
39	39
40	40	2 01/30/2025 9:06:18 AM JLL126
41	41	construction, and operation of residential safe rooms; and 1
42	42	(D) Is built on the site of the taxpayer's primary 2
43	43	residence or is manufactured offsite and installed on the site of the 3
44	44	taxpayer's primary residence; and 4
45	45	(3) "Single-family residence" means a structure designed 5
46	46	according to the International Residential Codes or its predecessor codes. 6
47	47	(b) There is allowed an income tax credit against the income tax 7
48	48	imposed by this chapter in an amount equal to the lesser of: 8
49	49	(1) Fifty percent (50%) of the total cost of the construction, 9
50	50	acquisition, and installation of a qualified storm shelter at the primary 10
51	51	residence of the taxpayer during the tax year, excluding any costs reimbursed 11
52	52	or expected to be reimbursed by another entity, including without limitation 12
53	53	insurance reimbursement, grants, or other government subsidies or incentives; 13
54	54	or 14
55	55	(2) Three thousand dollars ($3,000). 15
56	56	(c) The amount of the income tax credit under this section that may be 16
57	57	claimed by the taxpayer in a tax year shall not exceed the amount of income 17
58	58	tax due by the taxpayer. 18
59	59	(d)(1) The total amount of income tax credits that may be awarded 19
60	60	under this section shall not exceed two million dollars ($2,000,000) for all 20
61	61	taxpayers in a calendar year. 21
62	62	(2) Before claiming an income tax credit under this section, a 22
63	63	taxpayer shall file an informational report in the manner prescribed by the 23
64	64	Division of Emergency Management that includes information showing: 24
65	65	(A) The costs for construction, acquisition, and 25
66	66	installation of a qualified storm shelter at the primary residence of the 26
67	67	taxpayer; and 27
68	68	(B) Any additional information required by the division. 28
69	69	(3)(A) Upon receipt of an informational report containing the 29
70	70	information required under this subsection, the division shall issue an 30
71	71	income tax credit certificate to the taxpayer submitting the informational 31
72	72	report. 32
73	73	(B) Income tax credit certificates issued under 33
74	74	subdivision (d)(3)(A) of this section shall be issued on a first -come, first-34
75	75	served basis until the maximum amount of income tax credits stated in 35
76	76	subdivision (d)(1) of this section is met. 36 HB1366
77	77
78	78	3 01/30/2025 9:06:18 AM JLL126
79	79	(C) If the maximum amount of income tax credits stated in 1
80	80	subdivision (d)(1) of this section is met: 2
81	81	(i) The division shall notify each taxpayer who has 3
82	82	submitted an informational report under this subsection but who will not 4
83	83	receive an income tax credit certificate because the maximum amount stated in 5
84	84	subdivision (d)(1) of this section has been met that no additional income tax 6
85	85	credit certificates will be issued for the tax year; and 7
86	86	(ii) Notwithstanding any other restrictions stated 8
87	87	in this section, each taxpayer notified under subdivision (d)(3)(C)(i) of 9
88	88	this section is allowed to resubmit his or her informational report under 10
89	89	this subsection in the next tax year. 11
90	90	(e)(1) The division shall prepare an annual report detailing the 12
91	91	number of qualified storm shelters constructed, acquired, and installed and 13
92	92	the amount of income tax credits allowed under this section during the 14
93	93	previous calendar year. 15
94	94	(2) The report required under subdivision (e)(1) of this section 16
95	95	shall: 17
96	96	(A) Contain information that is consistent with any rules 18
97	97	adopted by the Department of Finance and Administration; and 19
98	98	(B) Be submitted to the Legislative Council or, if the 20
99	99	General Assembly is in session, the Joint Budget Committee. 21
100	100	(f) The division and the department may adopt rules to implement and 22
101	101	administer this section. 23
102	102	24
103	103	SECTION 2. EFFECTIVE DATE. Section 1 of this act is effective for tax 25
104	104	years beginning on or after January 1, 2025. 26
105	105	27
106	106	28
107	107	29
108	108	30
109	109	31
110	110	32
111	111	33
112	112	34
113	113	35
114	114	36