Current through September 18, 2024
A. The tax credit
is equal to the amount actually paid for the required lead removal or lead
hazard reduction up to a maximum of one thousand five hundred dollars ($1,500)
per dwelling unit for mitigation and up to five thousand dollars ($5,000) for
abatement.
B. In the event that
multiple owners and/or renter(s)/lessee(s) of the dwelling unit have jointly
incurred costs and paid for the lead abatement or lead hazard mitigation, each
individual must apply for relief as a separate claimant, and must include all
required proof of payment and certifications, based on their respective
contributions to the cost of lead abatement or lead hazard
mitigation.
C. Only one claim for
relief can be filed per dwelling unit. If a mitigation claim has previously
been filed for the same dwelling unit, the amount of the abatement claim will
be reduced by the amount of the mitigation claim already paid for the dwelling
unit, even if the dwelling unit has been transferred to another owner or
lessee.
1. Example: A claimant, in year one,
can perform lead mitigation and file for a credit up to $1,500 per dwelling
unit. In a subsequent year a claimant may perform lead abatement work and claim
an additional credit for the difference between $1,500 and $5,000, up to $3,500
per dwelling unit. The total cannot exceed $5,000 per dwelling unit.
D. Each Claimant may only claim
relief for mitigation or abatement efforts for three (3) separate dwelling
units.
1. Example 1: A claimant, in year one,
can perform lead mitigation in three separate dwelling units in one building
and file for a credit up to $1,500 per dwelling unit. In a subsequent year that
claimant may perform lead abatement work in three different dwelling units in a
separate building and claim an additional credit for $5,000 per dwelling
unit.
2. Example 2: A claimant is
the owner of multiple apartment houses. The owner files a claim in year one for
the abatement work performed in year one and may claim the lead paint credit up
to the maximum of three (3) dwelling units. In year two the owner continues
with the lead abatement efforts in a separate apartment house. The owner may
file a claim for the work performed in year two up to the maximum of three (3)
additional dwelling units.
3.
Example 3: A claimant is the owner of one apartment house which contains six
(6) dwelling units. In year one the owner may submit a claim up to the maximum
of three (3) dwelling units for work performed in year one. In year two, the
owner may claim a credit for work performed in year two for three (3)
additional dwelling units.
E. Credit applications (Form RI 6238) shall
have copies attached of all receipts and other documents representing the total
expenses claimed.
1. Example 1: Claimant had
lead paint abatement performed and upon completion pays the contractor in
December of year one. The claimant obtains lead paint certification in February
of year two. The claim for credit is made in year one; the year in which the
work was performed and payment remitted. However, the certification of
conformance for mitigation or lead safe certificate for abatement must be
attached to the claim for credit.
F. The lead credit is applied after any other
grants, credits or reimbursements attributable to the lead mitigation or
abatement.
1. Example: Claimant files for a
lead abatement credit and is reimbursed through a third party for $1,000 for
expenses. Total expenses are $3,000 which is reduced by the $1,000
reimbursement. The net expense of $2,000 is the amount eligible for lead paint
credit.
