Offers certain refunds or credits to school bus operators from sales tax for certain school buses and equipment and fuel used in operation of a school bus.
STATE OF NEW YORK
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175
2015-2016 Regular Sessions
IN ASSEMBLY(Prefiled)
January 7, 2015
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Introduced by M. of A. GANTT, GUNTHER, LUPARDO, ZEBROWSKI, CAHILL --
Multi-Sponsored by -- M. of A. TITONE -- read once and referred to
the Committee on Ways and Means
AN ACT to amend the tax law, in relation to providing certain school bus
operators with a refund or credit of sales and compensating use taxes
on the purchase of school buses and equipment and fuel used in the
operation of a school bus
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 1119 of the tax law is amended by adding a new
2 subdivision (g) to read as follows:
3 (g) Subject to the conditions and limitations provided in this subdi-
4 vision, a refund or credit shall be allowed for tax paid pursuant to
5 subdivision (a) of section eleven hundred five, paragraph three of
6 subdivision (c) of section eleven hundred five, or section eleven
7 hundred ten of this article and any tax imposed pursuant to the authori-
8 ty of article twenty-nine of this chapter, on the sale to or purchase by
9 a school bus operator of (i) a school bus, as defined in section one
10 hundred forty-two of the vehicle and traffic law, at least seventy
11 percent of the use of which is for the transportation, by such operator,
12 of school students to or from school or school related events, pursuant
13 to a contract made under the provisions of the education law, (ii)
14 parts, equipment and lubricants when such parts, equipment and lubri-
15 cants are installed in or on such a school bus, at least seventy percent
16 of the use of which is for such transportation, by such operator, pursu-
17 ant to such contract, (iii) the services described in paragraph three of
18 subdivision (c) of section eleven hundred five of this article when
19 rendered with respect to such a school bus so used or with respect to
20 parts, equipment and lubricants installed in or on such a school bus so
21 used, and (iv) motor fuel or diesel motor fuel used exclusively by such
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD02831-01-5
A. 175 2
1 operator in such a school bus for such transportation pursuant to such
2 contract. No refund or credit shall be allowed under this subdivision
3 unless all of the requirements for such refund or credit have been met
4 for at least a twelve month period after the school bus operator's
5 purchase of such school bus; however, such refund or credit shall be
6 allowed for a school bus that is painted "national school bus chrome"
7 pursuant to subdivision twenty-one of section three hundred seventy-five
8 of the vehicle and traffic law and labeled as a "SCHOOL BUS" pursuant to
9 subparagraph one of paragraph (b) of subdivision twenty of such section
10 three hundred seventy-five if all of the requirements for such refund or
11 credit have been met in the previous quarterly reporting period as
12 described in subdivision (b) of section eleven hundred thirty-six of
13 this article. An application for a refund or credit pursuant to this
14 subdivision must be filed with the commissioner within the time provided
15 by subdivision (a) of section eleven hundred thirty-nine of this article
16 and no more frequently than quarterly. Such application shall be in
17 such form as the commissioner may prescribe. Where an application for
18 credit has been filed, the school bus operator may take such credit on
19 the return which is due coincident with or immediately subsequent to the
20 time the school bus operator files such application for credit. Howev-
21 er, the taking of the credit on the return shall be deemed to be part of
22 the application for credit and shall be subject to the provisions in
23 respect to applications for credit in such section eleven hundred thir-
24 ty-nine as provided in subdivision (e) of such section. The allowance
25 of the credit or refund shall also be subject to the school bus operator
26 maintaining records satisfactory to the commissioner demonstrating
27 compliance with all the requirements of this subdivision. The percent-
28 age of such school bus use may be computed either on the basis of mile-
29 age or hours of use, at the discretion of the purchaser or user. For the
30 purposes of this subdivision, the term "school" shall mean a pre-kinder-
31 garten or kindergarten program, a preschool, nursery school or elementa-
32 ry, intermediate or secondary school. The refund or credit shall be
33 fifty percent for the period commencing September first, two thousand
34 sixteen to August thirty-first, two thousand seventeen. The refund or
35 credit shall be one hundred percent commencing September first, two
36 thousand seventeen.
37 § 2. This act shall take effect on the first day of the sales tax
38 quarterly period, as described in subdivision (b) of section 1136 of the
39 tax law, next commencing September 1, 2016 and shall apply in accordance
40 with the applicable transitional provisions in sections 1106 and 1217 of
41 the tax law; provided, further, that the commissioner of taxation and
42 finance shall be authorized on and after the date this act shall have
43 become a law to adopt and amend any rules or regulations and issue any
44 procedure, forms or instructions necessary to implement this act on its
45 effective date.
