STATE OF NEW YORK
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4769--A
2009-2010 Regular Sessions
IN ASSEMBLY
February 6, 2009
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Introduced by M. of A. ALESSI -- read once and referred to the Committee
on Ways and Means -- recommitted to the Committee on Ways and Means in
accordance with Assembly Rule 3, sec. 2 -- committee discharged, bill
amended, ordered reprinted as amended and recommitted to said commit-
tee
AN ACT to amend the tax law, in relation to exempting the sales of wine
and wine products produced in the state from sales and compensating
use taxes during the first week in March
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivision (b) of section 1101 of the tax law is amended
2 by adding a new paragraph 37 to read as follows:
3 (37) Wine and wine products. (i) "Wine" means the product of the
4 normal alcoholic fermentation of the juice of fresh, sound, ripe grapes,
5 with the usual cellar treatment and necessary additions to correct
6 defects due to climatic, saccharine and seasonal conditions, including
7 champagne, sparkling and fortified wine of an alcoholic content not to
8 exceed twenty-four per centum by volume. No other product shall be
9 called "wine" unless designated by appropriate prefixes descriptive of
10 the fruit or other product from which the same was predominantly
11 produced, or as artificial or imitation wine.
12 (ii) "Wine product" means a beverage containing wine to which is added
13 concentrated or unconcentrated juice, flavoring material, water, citric
14 acid, sugar and carbon dioxide and containing not more than six per
15 centum alcohol by volume, to which nothing other than wine has been
16 added to increase the alcoholic content of such beverage.
17 § 2. Subdivision (b) of section 1107 of the tax law is amended by
18 adding a new clause 12 to read as follows:
19 (12) Except as otherwise provided by law, the exemption provided for
20 in paragraph forty-four of subdivision (a) of section eleven hundred
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD08139-02-0
A. 4769--A 2
1 fifteen of this article relating to wine and wine products shall not
2 apply.
3 § 3. Subdivision (a) of section 1115 of the tax law is amended by
4 adding a new paragraph 44 to read as follows:
5 (44) For the first week in March, the retail sale of wine and wine
6 products produced in the state.
7 § 4. Subparagraph (i) of paragraph 1 of subdivision (a) of section
8 1210 of the tax law, as amended by section 34 of part S-1 of chapter 57
9 of the laws of 2009, is amended to read as follows:
10 (i) Either, all of the taxes described in article twenty-eight of this
11 chapter, at the same uniform rate, as to which taxes all provisions of
12 the local laws, ordinances or resolutions imposing such taxes shall be
13 identical, except as to rate and except as otherwise provided, with the
14 corresponding provisions in such article twenty-eight, including the
15 definition and exemption provisions of such article, so far as the
16 provisions of such article twenty-eight can be made applicable to the
17 taxes imposed by such city or county and with such limitations and
18 special provisions as are set forth in this article. The taxes author-
19 ized under this subdivision may not be imposed by a city or county
20 unless the local law, ordinance or resolution imposes such taxes so as
21 to include all portions and all types of receipts, charges or rents,
22 subject to state tax under sections eleven hundred five and eleven
23 hundred ten of this chapter, except as otherwise provided. (i) Any local
24 law, ordinance or resolution enacted by any city of less than one
25 million or by any county or school district, imposing the taxes author-
26 ized by this subdivision, shall, notwithstanding any provision of law to
27 the contrary, exclude from the operation of such local taxes all sales
28 of tangible personal property for use or consumption directly and
29 predominantly in the production of tangible personal property, gas,
30 electricity, refrigeration or steam, for sale, by manufacturing, proc-
31 essing, generating, assembly, refining, mining or extracting; and all
32 sales of tangible personal property for use or consumption predominantly
33 either in the production of tangible personal property, for sale, by
34 farming or in a commercial horse boarding operation, or in both; and,
35 unless such city, county or school district elects otherwise, shall omit
36 the provision for credit or refund contained in clause six of subdivi-
37 sion (a) or subdivision (d) of section eleven hundred nineteen of this
38 chapter. (ii) Any local law, ordinance or resolution enacted by any
39 city, county or school district, imposing the taxes authorized by this
40 subdivision, shall omit the residential solar energy systems equipment
41 exemption provided for in subdivision (ee) and the clothing and footwear
42 exemption provided for in paragraph thirty of subdivision (a) of section
43 eleven hundred fifteen of this chapter, unless such city, county or
44 school district elects otherwise as to either such residential solar
45 energy systems equipment exemption or such clothing and footwear
46 exemption. Except as otherwise provided by law, any local law, ordi-
47 nance or resolution enacted by any city of less than one million or by
48 any county or school district, imposing the taxes authorized by this
49 subdivision, shall omit the wine and wine product exemption provided for
50 in paragraph forty-four of subdivision (a) of section eleven hundred
51 fifteen of this chapter.
52 § 5. Notwithstanding any other provision of state or local law, ordi-
53 nance or resolution to the contrary: (a) any city, county or school
54 district imposing sales and compensating use taxes pursuant to the
55 authority of subpart B of part 1 of article 29 of the tax law, acting
56 through its local legislative body, is hereby authorized and empowered
A. 4769--A 3
1 to elect to provide the exemption from such taxes for the same wine and
2 wine products exempt from state sales and compensating use taxes
3 described in paragraph 44 of subdivision (a) of section 1115 of the tax
4 law, for the first week in March, whether such taxes are imposed by
5 local law, ordinance or resolution, by enacting a resolution in the form
6 set forth in subdivision (c) of this section; whereupon, upon compliance
7 with the provisions of subdivision (d) of this section, such enactment
8 of such resolution shall be deemed to amend such local law, ordinance or
9 resolution imposing such taxes, and such local law, ordinance or resol-
10 ution shall be deemed to incorporate such exemption for such period.
11 (b) Any city having a population of one million or more in which the
12 taxes imposed by section 1107 of the tax law are in effect, acting
13 through its local legislative body, is hereby authorized and empowered
14 to elect to provide the exemption from such taxes for the same wine and
15 wine products exempt from state sales and compensating use taxes
16 described in paragraph 44 of subdivision (a) of section 1115 of the tax
17 law, for the first week in March, by enacting a resolution in the form
18 set forth in subdivision (c) of this section; whereupon, upon compliance
19 with the provisions of subdivision (d) of this section, such enactment
20 of such resolution shall be deemed to be an amendment to such section
21 1107 of the tax law and such section 1107 shall be deemed to incorporate
22 such exemption as if it had been duly enacted by the state legislature
23 and approved by the governor.
24 (c) Form of Resolution: Be it enacted by the {insert proper title of
25 local legislative body} as follows:
26 Section one. Receipts from sales of and consideration given or
27 contracted to be given for purchases of wine and wine products produced
28 in the state exempt from state sales and compensating use taxes pursuant
29 to paragraph 44 of subdivision (a) of section 1115 of the tax law shall
30 also be exempt from sales and compensating use taxes imposed in this
31 jurisdiction.
32 Section two. This resolution shall take effect immediately and shall
33 apply to sales made and uses occurring during the first week in March,
34 although made or occurring under a prior contract.
35 (d) A resolution enacted pursuant to this section shall not be effec-
36 tive unless (1) it is enacted by February 1, 2011, (2) a certified copy
37 of such resolution is received no later than February 15, 2011, by the
38 commissioner of taxation and finance, attention: secretary to the
39 commissioner of taxation and finance, room 200, building nine, state
40 office campus, Albany, New York 12227, and (3) certified copies of such
41 resolutions shall also be filed with the city or county clerk, the
42 secretary of state and the state comptroller within five business days
43 after the date it is enacted. The commissioner of taxation and finance
44 shall accept and give effect to a resolution enacted pursuant to the
45 authority of this section which is in substantial compliance with the
46 provisions of this section so as to give notice to the commissioner of
47 taxation and finance of the intent of a county, city or school district
48 to provide the exemption authorized by this section.
49 § 6. The provisions of this act and of any resolution enacted pursuant
50 thereto, taken separately or together, shall not be construed by any
51 person or any court or other entity as either (i) a failure or refusal
52 to continue to impose the taxes imposed by section 1107 of the tax law,
53 as such taxes may from time to time be amended, or (ii) as a reduction
54 in the rate at which such taxes are imposed. After the effective date of
55 this act, the taxes imposed by such section 1107 of the tax law on
56 receipts from retail sales of and consideration given or contracted to
A. 4769--A 4
1 be given for purchases of such wine and wine products produced in the
2 state shall, except as provided in section five of this act for the
3 first week in March, continue to apply, persons liable for such taxes on
4 purchases of such wine and wine products produced in the state shall
5 continue to be liable for such taxes, persons required to collect such
6 taxes on such wine and wine products produced within the state shall
7 continue to be required to collect and pay over such taxes to the
8 commissioner of taxation and finance, such commissioner shall continue
9 to be required to certify such taxes on such wine and wine products
10 produced in the state as provided by article 28 of the tax law and
11 section 92-d of the state finance law and the state comptroller shall
12 continue to be required to deposit, appropriate and pay over such taxes
13 as required by such section 92-d of the state finance law, in the manner
14 and to the extent as if this act had not become a law.
15 § 7. This act shall take effect immediately, and the sales and compen-
16 sating use tax exemptions provided pursuant to this act shall apply to
17 sales made and uses occurring the first week in March, although made or
18 occurring under a prior contract.
