Provides for an exemption from the tax on sales and the compensating use tax for fuel-efficient vehicles, zero-emitting vehicles, flexible fuel vehicles and alternative fuel vehicles; provides credits against the personal income tax and the corporate franchise tax for the purchase of such vehicles.
STATE OF NEW YORK
________________________________________________________________________
1906--A
2009-2010 Regular Sessions
IN ASSEMBLY
January 14, 2009
___________
Introduced by M. of A. THIELE -- read once and referred to the Committee
on Ways and Means -- committee discharged, bill amended, ordered
reprinted as amended and recommitted to said committee
AN ACT to amend the tax law, in relation to exempting the retail sale of
fuel-efficient vehicles, zero-emission vehicles, flexible-fuel vehi-
cles and alternative-fuel vehicles from the tax on sales and the
compensating use tax; and to amend the tax law, in relation to provid-
ing a credit against the personal income tax and the corporate fran-
chise tax for the purchase of fuel-efficient vehicles
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivision (a) of section 1115 of the tax law is amended
2 by adding a new paragraph 44 to read as follows:
3 (44) (i) The receipts from the retail sale of new fuel-efficient vehi-
4 cles, zero-emission vehicles, flexible-fuel vehicles or alternative-fuel
5 vehicles.
6 (ii) As used in this paragraph:
7 (A) "fuel-efficient vehicle" means a vehicle, as defined in section
8 one hundred fifty-nine of the vehicle and traffic law, that is rated at
9 one hundred ten percent or greater of the average fuel efficiency for
10 vehicles in its class based on passenger and cargo volume;
11 (B) "zero-emission vehicle" means a vehicle, as defined in section one
12 hundred fifty-nine of the vehicle and traffic law, which provides zero
13 emissions under any and all possible operational needs and conditions;
14 (C) "flexible-fuel vehicle" means a vehicle, as defined in section one
15 hundred fifty-nine of the vehicle and traffic law, that is engineered
16 and designed to be operated using gasoline and/or an alternative-fuel
17 mixture or blend; and
18 (D) "alternative-fuel vehicle" means a vehicle, as defined in section
19 one hundred fifty-nine of the vehicle and traffic law, which is powered
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD03132-02-9
A. 1906--A 2
1 by a fuel source other than gasoline or diesel fuel that can be regis-
2 tered for use upon the roads of the state.
3 § 2. Paragraph 1 of subdivision (a) of section 1210 of the tax law,
4 as amended by chapter 306 of the laws of 2005, subparagraph (i) as
5 amended by section 4 of part SS-1 of chapter 57 of the laws of 2008,
6 subparagraph (ii) as amended by chapter 144 of the laws of 2006, is
7 amended to read as follows:
8 (1) (i) Either, all of the taxes described in article twenty-eight of
9 this chapter, at the same uniform rate, as to which taxes all provisions
10 of the local laws, ordinances or resolutions imposing such taxes shall
11 be identical, except as to rate and except as otherwise provided, with
12 the corresponding provisions in such article twenty-eight, including the
13 definition and exemption provisions of such article, so far as the
14 provisions of such article twenty-eight can be made applicable to the
15 taxes imposed by such city or county and with such limitations and
16 special provisions as are set forth in this article. The taxes author-
17 ized under this subdivision may not be imposed by a city or county
18 unless the local law, ordinance or resolution imposes such taxes so as
19 to include all portions and all types of receipts, charges or rents,
20 subject to state tax under sections eleven hundred five and eleven
21 hundred ten of this chapter, except as otherwise provided. Any local
22 law, ordinance or resolution enacted by any city of less than one
23 million or by any county or school district, imposing the taxes author-
24 ized by this subdivision, shall, notwithstanding any provision of law to
25 the contrary, exclude from the operation of such local taxes all sales
26 of tangible personal property for use or consumption directly and
27 predominantly in the production of tangible personal property, gas,
28 electricity, refrigeration or steam, for sale, by manufacturing, proc-
29 essing, generating, assembly, refining, mining or extracting; and all
30 sales of tangible personal property for use or consumption predominantly
31 either in the production of tangible personal property, for sale, by
32 farming or in a commercial horse boarding operation, or in both; and,
33 unless such city, county or school district elects otherwise, shall omit
34 the provision for credit or refund contained in clause six of subdivi-
35 sion (a) of section eleven hundred nineteen of this chapter. Any local
36 law, ordinance or resolution enacted by any city, county or school
37 district, imposing the taxes authorized by this subdivision, shall omit
38 the residential solar energy systems equipment exemption provided for in
39 subdivision (ee), the clothing and footwear exemption provided for in
40 paragraph thirty of subdivision (a) and the qualified empire zone enter-
41 prise exemptions provided for in subdivision (z) and the fuel-efficient
42 vehicles, zero-emission vehicles, flexible-fuel vehicles or alterna-
43 tive-fuel vehicles exemption provided for in paragraph forty-four of
44 subdivision (a) of section eleven hundred fifteen of this chapter,
45 unless such city, county or school district elects otherwise as to
46 either such residential solar energy systems equipment exemption or such
47 clothing and footwear exemption or such qualified empire zone enterprise
48 exemptions or such fuel-efficient vehicles, zero-emission vehicles,
49 flexible-fuel vehicles or alternative-fuel vehicles exemption provided
50 for in paragraph forty-four of subdivision (a) of section eleven hundred
51 fifteen of this chapter; provided that if such a city having a popu-
52 lation of one million or more in which the taxes imposed by section
53 eleven hundred seven of this chapter are in effect enacts the resolution
54 described in subdivision (k) of this section or repeals such resolution
55 or enacts the resolution described in subdivision (l) of this section or
56 repeals such resolution or enacts the resolution described in subdivi-
A. 1906--A 3
1 sion (n) of this section or repeals such resolution, such resolution or
2 repeal shall also be deemed to amend any local law, ordinance or resol-
3 ution enacted by such a city imposing such taxes pursuant to the author-
4 ity of this subdivision, whether or not such taxes are suspended at the
5 time such city enacts its resolution pursuant to subdivision (k), (l)
6 [or], (n) or (p) of this section or at the time of any such repeal;
7 provided, further, that any such local law, ordinance or resolution and
8 section eleven hundred seven of this chapter, as deemed to be amended in
9 the event a city of one million or more enacts a resolution pursuant to
10 the authority of subdivision (k), (l) [or], (n) or (p) of this section,
11 shall be further amended, as provided in section twelve hundred eighteen
12 of this subpart, so that the residential solar energy systems equipment
13 exemption or the clothing and footwear exemption or the qualified empire
14 zone enterprise exemptions or the fuel-efficient vehicles, zero-emission
15 vehicles, flexible-fuel vehicles or alternative-fuel vehicles exemption
16 in any such local law, ordinance or resolution or in such section eleven
17 hundred seven are the same, as the case may be, as the residential solar
18 energy systems equipment exemption provided for in subdivision (ee), the
19 clothing and footwear exemption in paragraph thirty of subdivision (a)
20 or the qualified empire zone enterprise exemptions in subdivision (z) or
21 the fuel-efficient vehicles, zero-emission vehicles, flexible-fuel vehi-
22 cles or alternative-fuel vehicles exemption in paragraph forty-four of
23 subdivision (a) of section eleven hundred fifteen of this chapter.
24 (ii) Notwithstanding any other provision of the law to the contrary,
25 any county, imposing the taxes authorized by this subdivision, having a
26 population of not less than one hundred thirty-nine thousand and not
27 more than one hundred forty thousand, determined in accordance with the
28 two thousand decennial federal census, may by local law, ordinance or
29 resolution elect to exempt from such local sales and compensating use
30 taxes clothing and footwear, as defined in paragraph fifteen of subdivi-
31 sion (b) of section eleven hundred one of this chapter, for which the
32 receipt or consideration given or contracted to be given is less than
33 one hundred ten dollars per article of clothing, per pair of shoes or
34 other articles of footwear or per item used or consumed to make or
35 repair such clothing and which becomes a physical component part of such
36 clothing. Every such county shall comply with the provisions of subdivi-
37 sions (d) and (e) of this section, including such provisions applicable
38 to providing or repealing the exemption described in paragraph thirty of
39 subdivision (a) of section eleven hundred fifteen of this chapter.
40 § 3. Section 1210 of the tax law is amended by adding a new subdivi-
41 sion (p) to read as follows:
42 (p) Notwithstanding any other provision of state or local law, ordi-
43 nance or resolution to the contrary:
44 (1) Any city having a population of one million or more in which the
45 taxes imposed by section eleven hundred seven of this chapter are in
46 effect, acting through its local legislative body, is hereby authorized
47 and empowered to elect to provide the same exemptions from such taxes as
48 the fuel-efficient vehicles, zero-emission vehicles, flexible-fuel vehi-
49 cles or alternative-fuel vehicles exemption from state sales and compen-
50 sating use taxes described in paragraph forty-four of subdivision (a) of
51 section eleven hundred fifteen of this chapter by enacting a resolution
52 in the form set forth in paragraph two of this subdivision; whereupon,
53 upon compliance with the provisions of subdivisions (d) and (e) of this
54 section, such enactment of such resolution shall be deemed to be an
55 amendment to such section eleven hundred seven and such section eleven
56 hundred seven shall be deemed to incorporate such exemptions as if they
A. 1906--A 4
1 had been duly enacted by the state legislature and approved by the
2 governor.
3 (2) Form of Resolution: Be it enacted by the (insert proper title of
4 local legislative body) as follows:
5 Section one. Receipts from sales of and consideration given or
6 contracted to be given for, or for the use of, property and services
7 exempt from state sales and compensating use taxes pursuant to paragraph
8 forty-four of subdivision (a) of section 1115 of the tax law shall also
9 be exempt from sales and compensating use taxes imposed in this juris-
10 diction.
11 Section two. This resolution shall take effect March 1, (insert the
12 year, but not earlier than the year 2009) and shall apply to sales made,
13 services rendered and uses occurring on and after that date in accord-
14 ance with the applicable transitional provisions in sections 1106, 1216
15 and 1217 of the New York tax law.
16 § 4. Section 606 of the tax law is amended by adding a new subsection
17 (qq) to read as follows:
18 (qq) Fuel-efficient vehicles credit. (1) A taxpayer shall be allowed a
19 credit against the tax imposed by this article for the purchase of a
20 fuel-efficient vehicle, zero-emission vehicle, flexible-fuel vehicle or
21 alternative-fuel vehicle. Such credit shall be equal to one thousand
22 dollars for each such vehicle purchased during the taxable year. For
23 purposes of this subsection, the terms "fuel-efficient vehicle", "zero-
24 emission vehicle", "flexible-fuel vehicle" and "alternative-fuel vehi-
25 cle" shall have the same meaning as the meaning set forth in paragraph
26 forty-four of subdivision (a) of section eleven hundred fifteen of this
27 chapter.
28 (2) If the amount of the credit allowed under this subsection for any
29 taxable year shall exceed the taxpayer's tax for such year, the excess
30 may be carried over to the following year or years, and may be deducted
31 from the taxpayer's tax for such year or years.
32 § 5. Section 210 of the tax law is amended by adding a new subdivision
33 41 to read as follows:
34 41. Fuel-efficient vehicles credit. (a) A taxpayer shall be allowed a
35 credit against the tax imposed by this article for the purchase of a
36 fuel-efficient vehicle, zero-emission vehicle, flexible-fuel vehicle or
37 alternative-fuel vehicle. Such credit shall be equal to one thousand
38 dollars for each such vehicle purchased during the taxable year. For
39 purposes of this subdivision, the terms "fuel-efficient vehicle", "zero-
40 emission vehicle", "flexible-fuel vehicle" and "alternative-fuel vehi-
41 cle" shall have the same meaning as the meaning set forth in paragraph
42 forty-four of subdivision (a) of section eleven hundred fifteen of this
43 chapter.
44 (b) If the amount of the credit allowed under this subdivision for any
45 taxable year shall exceed the taxpayer's tax for such year, the excess
46 may be carried over to the following year or years, and may be deducted
47 from the taxpayer's tax for such year or years.
48 § 6. This act shall take effect immediately and shall apply to taxable
49 years beginning on or after January 1, 2010.
