Amd §§4 & 304, add Art 7-D §§288 - 292, Mult Dwell L; amd §§1101, 1104, 1131, 1132, 1133, 1137, 1142 & 1240,
Tax L; amd §1, Chap 161 of 1970
Relates to the regulation of short-term rental units; authorizes short-term rental units; requires short-term rental hosts to register each unit with the division of housing and community renewal.
STATE OF NEW YORK
________________________________________________________________________
6592--A
2021-2022 Regular Sessions
IN ASSEMBLY
March 19, 2021
___________
Introduced by M. of A. VANEL -- read once and referred to the Committee
on Housing -- recommitted to the Committee on Housing in accordance
with Assembly Rule 3, sec. 2 -- committee discharged, bill amended,
ordered reprinted as amended and recommitted to said committee
AN ACT to amend the multiple dwelling law, the tax law and chapter 161
of the laws of 1970, relating to enabling any city having a population
of one million or more to impose and collect taxes on the occupancy of
hotel rooms in such city, in relation to the regulation of short-term
rental units
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subparagraph 1 of paragraph a of subdivision 8 of section 4
2 of the multiple dwelling law, as amended by chapter 225 of the laws of
3 2010, is amended to read as follows:
4 (1) (A) occupancy of such dwelling unit for fewer than thirty consec-
5 utive days by other natural persons living within the household of the
6 permanent occupant such as house guests or lawful boarders, roomers or
7 lodgers; [or]
8 (B) incidental and occasional occupancy of such dwelling unit for
9 fewer than thirty consecutive days by other natural persons when the
10 permanent occupants are temporarily absent for personal reasons such as
11 vacation or medical treatment, provided that there is no monetary
12 compensation paid to the permanent occupants for such occupancy; or
13 (C) occupancy of such dwelling as a short-term rental unit pursuant to
14 article seven-D of this chapter.
15 § 2. The multiple dwelling law is amended by adding a new article 7-D
16 to read as follows:
17 ARTICLE 7-D
18 SHORT-TERM RENTAL UNITS
19 Section 288. Definitions.
20 289. Short-term rental units authorized.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD10007-02-2
A. 6592--A 2
1 290. Registration.
2 291. Requirements of hosting platforms.
3 292. Regulations.
4 § 288. Definitions. For the purposes of this article, the following
5 terms shall have the following meanings:
6 1. "Short-term rental unit" means an entire dwelling unit, or a room,
7 group of rooms, other living or sleeping space, or any other space, made
8 available for rent by guests for less than thirty consecutive days.
9 2. "Short-term rental host" means an owner or tenant of a short-term
10 rental unit who rents such unit to guests.
11 3. "Hosting platform" means a person or entity who, pursuant to an
12 agreement with an operator of a hotel, facilitates the occupancy of a
13 hotel. A person "facilitates the occupancy of a hotel" by, in exchange
14 for a fee, either: (A) providing the forum in which an operator can list
15 or advertise a hotel for occupancy; or (B) providing the forum, in
16 which, or by means of which, the offer for occupancy is accepted.
17 § 289. Short-term rental units authorized. 1. A short-term rental host
18 may operate a dwelling unit as a short-term rental unit provided such
19 dwelling unit:
20 (a) is registered in accordance with section two hundred ninety of
21 this article;
22 (b) is not used to provide single room occupancy as defined by subdi-
23 vision sixteen of section four of this chapter;
24 (c) includes a conspicuously posted evacuation diagram identifying all
25 means of egress from the unit and the building in which it is located;
26 (d) includes a conspicuously posted list of emergency phone numbers
27 for police, fire, and poison control;
28 (e) is not subject to the emergency housing rent control law, chapter
29 seven of subtitle S of title nine of New York's compilation of codes,
30 rules and regulations, the rent and rehabilitation law of the city of
31 New York enacted pursuant to the local emergency housing rent control
32 law, the emergency tenant protection act of nineteen seventy-four, the
33 public housing law, or otherwise rent subsidized, rent controlled, rent
34 stabilized, or considered affordable housing; and
35 (f) is insured for at least five hundred thousand dollars to protect
36 against third party claims of property damage or bodily injury that
37 arise out of the operation of a short-term rental unit. Insurance
38 provided by hosting platforms can satisfy this requirement.
39 2. A short-term rental host shall not operate more than one class A
40 multiple dwelling unit as a short-term rental unit unless the units are
41 at the same address, including apartment number, if applicable.
42 3. Occupancies of a short-term rental unit shall be subject to taxes
43 and fees pursuant to articles twenty-eight and twenty-nine of the tax
44 law and applicable local laws.
45 4. Short-term rental hosts shall maintain records related to guest
46 stays for one year, including the date of each booking and the identity
47 and number of guests, and records related to their registration as
48 short-term rental hosts with the division of housing and community
49 renewal.
50 5. Hosting platforms shall maintain records related to guest stays for
51 one year, including the date of each booking and the identity and number
52 of guests. Hosting platforms shall make all relevant records available
53 to the division of housing and community renewal consistent in response
54 to valid legal process.
A. 6592--A 3
1 § 290. Registration. 1. Short-term rental hosts shall be required to
2 register each short-term rental unit with the division of housing and
3 community renewal.
4 2. Registrations shall be valid for two years, after which time the
5 short-term rental host may renew his or her registration in a manner
6 prescribed by the division of housing and community renewal. The divi-
7 sion of housing and community renewal may revoke the registration of a
8 short-term rental host upon a determination that the short-term rental
9 host has violated any provision of this article at least three times in
10 two calendar years, and may determine that the short-term rental host
11 shall be ineligible for registration for a period of up to twelve months
12 from the date the third violation is determined to have occurred.
13 3. The division of housing and community renewal shall set a fee for
14 short-term rental registration not to exceed one hundred dollars.
15 4. Hosting platforms are authorized to facilitate the registration
16 process by collecting the required application information and transmit-
17 ting it to the division of housing and community renewal for processing
18 if the platform has obtained short-term rental host consent.
19 § 291. Requirements of hosting platforms. Hosting platforms shall:
20 1. create a dedicated means by which complaints can be submitted by
21 short-term rental hosts, guests, and community members. These means
22 shall be available twenty-four hours a day, seven days a week.
23 2. maintain records of all transactions in cities with a population of
24 a million or more for a period of twelve months.
25 3. inform short-term rental hosts of the registration requirement and
26 regulations under this article.
27 § 292. Regulations. The division of housing and community renewal
28 shall promulgate regulations necessary and appropriate to enforce this
29 article, including regulations to facilitate the registration of short-
30 term rental hosts and to facilitate information sharing between and
31 among the division, hosting platforms, and other enforcement agencies.
32 § 3. Section 304 of the multiple dwelling law is amended by adding a
33 new subdivision 1-b to read as follows:
34 1-b. a. Every person who shall violate or assist in the violation of
35 any provision of sections two hundred eighty-nine or two hundred ninety
36 of this chapter shall be guilty of an offense, and any person found to
37 have committed three or more offenses of such sections may be prohibited
38 from operating a short-term rental unit for a period of one year.
39 b. The maximum fine for violating section two hundred eighty-nine or
40 two hundred ninety of this chapter shall be five hundred dollars for a
41 first offense; and one thousand dollars for the second or any subsequent
42 offense.
43 c. Any violation under this subdivision shall not be a crime and the
44 penalty or punishment imposed therefor shall not be deemed for any
45 purpose a penal or criminal penalty or punishment, and shall not impose
46 any disability upon or affect or impair the credibility as a witness, or
47 otherwise, of any person convicted thereof.
48 § 4. Subdivision (c) of section 1101 of the tax law, as added by chap-
49 ter 93 of the laws of 1965, paragraphs 2, 3, 4 and 6 as amended by
50 section 2 and paragraph 8 as added by section 3 of part AA of chapter 57
51 of the laws of 2010, and paragraph 5 as amended by chapter 575 of the
52 laws of 1965, is amended to read as follows:
53 (c) When used in this article for the purposes of the tax imposed
54 under subdivision (e) of section eleven hundred five, and subdivision
55 (a) of section eleven hundred four, the following terms shall mean:
A. 6592--A 4
1 (1) Hotel. A building or portion of it which is regularly used and
2 kept open as such for the lodging of guests. The term "hotel" includes
3 an apartment hotel, a motel, boarding house or club, whether or not
4 meals are served, short-term rental units as defined in paragraph nine
5 of this subdivision, and a bungalow or similar furnished living unit
6 that is limited to a single family occupancy and does not provide house-
7 keeping, food, or other common hotel services, including but not limited
8 to entertainment or planned activities.
9 (2) Occupancy. The use or possession, or the right to the use or
10 possession, of any room in a hotel. "Right to the use or possession"
11 includes the rights of a room remarketer as described in paragraph eight
12 of this subdivision.
13 (3) Occupant. A person who, for a consideration, uses, possesses, or
14 has the right to use or possess, any room in a hotel under any lease,
15 concession, permit, right of access, license to use or other agreement,
16 or otherwise. "Right to use or possess" includes the rights of a room
17 remarketer as described in paragraph eight of this subdivision.
18 (4) Operator. Any person operating a hotel. Such term shall include a
19 room remarketer and such room remarketer shall be deemed to operate a
20 hotel, or portion thereof, with respect to which such person has the
21 rights of a room remarketer. This term does not include a hosting plat-
22 form as defined in paragraph ten of this subdivision.
23 (5) Permanent resident. Any occupant of any room or rooms in a hotel
24 for at least ninety consecutive days shall be considered a permanent
25 resident with regard to the period of such occupancy.
26 (6) Rent. The consideration received for occupancy, including any
27 service or other charge or amount required by the operator to be paid as
28 a condition for occupancy, valued in money, whether received in money or
29 otherwise and whether [received] collected by the operator [or a], host-
30 ing platform, room remarketer or another person on behalf of [either]
31 any of them.
32 (7) Room. Any room or rooms of any kind in any part or portion of a
33 hotel, which is available for or let out for any purpose other than a
34 place of assembly.
35 (8) Room remarketer. A person who reserves, arranges for, conveys, or
36 furnishes occupancy, whether directly or indirectly, to an occupant for
37 rent in an amount determined by the room remarketer, directly or indi-
38 rectly, whether pursuant to a written or other agreement. Such person's
39 ability or authority to reserve, arrange for, convey, or furnish occu-
40 pancy, directly or indirectly, and to determine rent therefor, shall be
41 the "rights of a room remarketer". A room remarketer is not a permanent
42 resident with respect to a room for which such person has the rights of
43 a room remarketer. A hosting platform is not a room remarketer.
44 (9) Short-term rental unit. A room, group of rooms, or other living or
45 sleeping space, or any other space let to occupants, including but not
46 limited to private dwellings, residences, or buildings used as resi-
47 dences.
48 (10) Hosting platform. A person or entity who, pursuant to an agree-
49 ment with an operator of a hotel, facilitates the occupancy of a hotel.
50 A person "facilitates the occupancy of a hotel" by, in exchange for a
51 fee, either: (A) providing the forum in which an operator can list or
52 advertise a hotel for occupancy; or (B) providing the forum in which, or
53 by means of which, the offer for occupancy is accepted.
54 § 5. Subdivision (a) of section 1104 of the tax law, as added by chap-
55 ter 3 of the laws of 2004, is amended to read as follows:
A. 6592--A 5
1 (a) Imposition. In addition to any other fee or tax imposed by this
2 article or any other law, on and after April first, two thousand five,
3 there is hereby imposed within the territorial limits of a city with a
4 population of a million or more and there shall be paid a unit fee on
5 every occupancy of a unit in a hotel in such city subject to tax under
6 subdivision (e) of section eleven hundred five of this part at the rate
7 of one dollar and fifty cents per unit per day, except that such unit
8 fee shall not be imposed upon (1) occupancy by a permanent resident or
9 (2) where the rent per unit is not more than at the rate of two dollars
10 per day.
11 § 6. Subdivision 1 of section 1131 of the tax law, as amended by
12 section 2 of part G of chapter 59 of the laws of 2019, is amended to
13 read as follows:
14 (1) "Persons required to collect tax" or "person required to collect
15 any tax imposed by this article" shall include: every vendor of tangible
16 personal property or services; every recipient of amusement charges;
17 every hosting platform with respect to occupancies it facilitates as
18 described in paragraph ten of subdivision (c) of section eleven hundred
19 one of this article; every operator of a hotel except with respect to
20 occupancies facilitated by a hosting platform; and every marketplace
21 provider with respect to sales of tangible personal property it facili-
22 tates as described in paragraph one of subdivision (e) of section eleven
23 hundred one of this article. Said terms shall also include any officer,
24 director or employee of a corporation or of a dissolved corporation, any
25 employee of a partnership, any employee or manager of a limited liabil-
26 ity company, or any employee of an individual proprietorship who as such
27 officer, director, employee or manager is under a duty to act for such
28 corporation, partnership, limited liability company or individual
29 proprietorship in complying with any requirement of this article, or has
30 so acted; and any member of a partnership or limited liability company.
31 Provided, however, that any person who is a vendor solely by reason of
32 clause (D) or (E) of subparagraph (i) of paragraph (8) of subdivision
33 (b) of section eleven hundred one of this article shall not be a "person
34 required to collect any tax imposed by this article" until twenty days
35 after the date by which such person is required to file a certificate of
36 registration pursuant to section eleven hundred thirty-four of this
37 part.
38 § 7. Section 1132 of the tax law is amended by adding a new subdivi-
39 sion (m) to read as follows:
40 (m) In carrying out the obligations imposed under this section, a
41 hosting platform shall have all the duties, benefits, and entitlements
42 of a person required to collect tax under this article and article twen-
43 ty-nine of this chapter with respect to the occupancies giving rise to
44 the tax obligation, including the right to accept a certificate or other
45 documentation from an occupant substantiating an exemption or exclusion
46 from tax, as if such hosting platform were the operator of the hotel
47 with respect to such occupancy, including the right to receive the
48 refund authorized by subdivision (e) of this section and the credit
49 allowed by subdivision (f) of section eleven hundred thirty-seven of
50 this part.
51 § 8. Section 1133 of the tax law is amended by adding a new subdivi-
52 sion (g) to read as follows:
53 (g) a hosting platform is relieved of liability under this article for
54 failure to collect the correct amount of tax to the extent that the
55 hosting platform can show that the error was due to incorrect or insuf-
A. 6592--A 6
1 ficient information given to the hosting platform by the operator,
2 whether intentional or unintentional.
3 § 9. Section 1137 of the tax law is amended by adding a new subdivi-
4 sion (g) to read as follows:
5 (g) a hosting platform who facilitates the occupancy of a hotel is
6 relieved from the duty to remit to the commissioner the tax imposed by
7 this article in regard to a particular occupancy if, pursuant to an
8 agreement with an operator registered with the commission as required by
9 section eleven hundred thirty-four of this part, the hosting platform
10 and operator agree that the operator is required to remit the tax
11 directly to the commissioner. In such situation, the operator shall be
12 treated as if it collected the tax and shall have all of the rights and
13 obligations imposed by New York law on persons required to collect tax,
14 including but not limited to the liability imposed by section eleven
15 hundred thirty-three of this part.
16 § 10. Section 1142 of the tax law is amended by adding a new subdivi-
17 sion 16 to read as follows:
18 16. Notwithstanding any provision of law to the contrary, including
19 but not limited to subdivisions four, five, and six of this section, no
20 hosting platform shall be required to list any operator of a hotel on
21 any return required to be filed with the commissioner under the applica-
22 ble tax laws and any regulations adopted pursuant thereto. Information
23 provided by a hosting platform to the commissioner shall be confiden-
24 tial. Such confidential information shall not be disclosed by the
25 commissioner unless the hosting platform has given written consent to
26 make such disclosure or there is an agreement between the hosting plat-
27 form and the commissioner to make such disclosure. Notwithstanding any
28 law to the contrary, information provided by a hosting platform shall
29 not be subject to article six of the public officers law and shall not
30 be provided to any other agency of the state, locality, or any other
31 government entity or political subdivision. Audits of any hosting plat-
32 form shall be conducted solely on the basis of the tax identification
33 number associated with each hosting platform and shall not be conducted
34 directly or indirectly on any operator of a hotel or any occupant to
35 whom occupancy is rented from an operator of a hotel, nor shall any
36 hosting platform be required to disclose any personally identifiable
37 information relating to any operator of a hotel or occupant to whom
38 occupancy is rented from an operator of a hotel. Provided, however, that
39 if a hosting platform and operator have entered into an agreement pursu-
40 ant to section eleven hundred thirty-six of this part, only the operator
41 shall be subject to audit by the commissioner.
42 § 11. Section 1240 of the tax law, as amended by chapter 356 of the
43 laws of 2014, is amended to read as follows:
44 § 1240. Administration and collection. The taxes authorized under
45 sections twelve hundred one through twelve hundred four of this article
46 which are now imposed shall continue to be administered and collected by
47 the fiscal or other officers of the city, county or school district in
48 the same manner as such taxes have been administered and collected by
49 such officers immediately prior to the enactment of this article, in
50 accordance with the applicable provisions of the charter, administrative
51 code, local law, ordinance or resolution then in force, with such amend-
52 ments in respect to administration and collection as may be enacted,
53 except that any taxes that counties are authorized to impose under
54 sections twelve hundred two-a through twelve hundred two-xx of this
55 article shall be imposed on the same transactions subject to tax under
56 subdivision (e) of section eleven hundred five of article twenty-eight
A. 6592--A 7
1 of this chapter, and shall be collected by any person required to
2 collect tax under section eleven hundred thirty-one of article twenty-
3 eight of this chapter, and such person shall have all the rights,
4 duties, and responsibilities as set forth in the provisions of sections
5 eleven hundred thirty-one through eleven hundred forty-eight of article
6 twenty-eight of this chapter. Provided, however, if a hosting platform
7 and a county have previously entered into an agreement regarding the
8 collection of tax, the terms of such agreement shall continue to govern
9 the collection of such tax. Taxes authorized under sections twelve
10 hundred one through twelve hundred four of this article which may here-
11 after be imposed by a city, county or school district shall be adminis-
12 tered and collected in such manner as may be provided in its charter,
13 administrative code, local laws, ordinances or resolutions, with such
14 amendments in respect to administration and collection as may be
15 enacted, except that any taxes that counties are authorized to impose
16 under sections twelve hundred two-a through twelve hundred two-xx of
17 this article shall be imposed on the same transactions subject to tax
18 under subdivision (e) of section eleven hundred five of article twenty-
19 eight of this chapter, and shall be collected by any person required to
20 collect tax under section eleven hundred thirty-one of article twenty-
21 eight of this chapter, and such person shall have all the rights,
22 duties, and responsibilities as set forth in the provisions of sections
23 eleven hundred thirty-one through eleven hundred forty-eight of article
24 twenty-eight of this chapter. Notwithstanding any other provision of law
25 to the contrary, the authorization to impose tax upon the transfer of
26 real property pursuant to subdivision (b) of section twelve hundred one
27 of this article, shall not, when the conveyance consists of a transfer
28 of property made as a result of an order of the court in a foreclosure
29 proceeding ordering the sale of such property, include the authorization
30 to impose civil or criminal penalties, interest, or other liability upon
31 the referee or sheriff effectuating the transfer.
32 § 12. Subdivision 3 of section 1 of chapter 161 of the laws of 1970,
33 relating to enabling any city having a population of one million or more
34 to impose and collect taxes on the occupancy of hotel rooms in such
35 city, is amended to read as follows:
36 (3) Such local laws may provide that any tax imposed shall be paid by
37 the person liable therefor to the owner of the hotel room occupied or to
38 the person entitled to be paid the rent or charge for the hotel room
39 occupied for and on account of the city imposing the tax and that such
40 owner or person entitled to be paid the rent or charge shall be liable
41 for the collection and payment of the tax; and that such owner or person
42 entitled to be paid the rent or charge shall have the same right in
43 respect to collecting the tax from the person occupying the hotel room,
44 or in respect to non-payment of the tax by the person occupying the
45 hotel room, as if the tax were a part of the rent or charge and payable
46 at the same time as the rent or charge; provided, however, that the
47 finance administrator or other fiscal officers of such city, specified
48 in such local law, shall be joined as a party in any action or proceed-
49 ing brought to collect the tax by the owner or by the person entitled to
50 be paid the rent or charge. Notwithstanding any provision to the contra-
51 ry, a hosting platform, as defined in paragraph 10 of subdivision (c) of
52 section 1101 of the tax law, shall collect the tax authorized to be
53 imposed by this section.
54 § 13. This act shall take effect on the one hundred twentieth day
55 after it shall have become a law.
