Taxation of wastewater upgrade grants in Suffolk County, New York, is now a thing of the past.
In December the IRS reversed its 2020 policy of taxing grants made to citizens who upgraded onsite systems to reduce nitrogen pollution. The county, which occupies the eastern end of Long Island, has at least 360,000 cesspools and has had water quality problems along its Atlantic Ocean shore because of high nitrogen levels.In its 2020 opinion, the IRS said the grant money counted as income because homeowners exercised some management of projects, such as choosing a contractor, and because the grants were not given
