Makes the retail sale of new and used hybrid and certain high-efficiency vehicles exempt from state sales and compensating use taxes; grants counties and cities the option to provide such exemption; provides that such exemption shall not apply to the special tax on passenger car rentals.
STATE OF NEW YORK
________________________________________________________________________
5637
2019-2020 Regular Sessions
IN ASSEMBLY
February 14, 2019
___________
Introduced by M. of A. ENGLEBRIGHT, MAGNARELLI, LUPARDO, GALEF, ORTIZ,
SCHIMMINGER, L. ROSENTHAL, O'DONNELL, TITUS, CAHILL, JAFFEE, BENEDETTO
-- Multi-Sponsored by -- M. of A. ABBATE, PEOPLES-STOKES -- read once
and referred to the Committee on Ways and Means
AN ACT to amend the tax law, in relation to exempting the sale of hybrid
vehicles and certain high-efficiency vehicles from state sales and
compensating use taxes, and to authorize cities and counties to grant
such exemption
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 45 to read as follows:
3 (45)(i) The receipts from the retail sale of new or used hybrid vehi-
4 cles and high-efficiency vehicles.
5 (ii) As used in this paragraph:
6 (A) "High-efficiency vehicle" means a model year two thousand eight or
7 later motor vehicle, as defined in section one hundred twenty-five of
8 the vehicle and traffic law, that is certified in the two thousand eight
9 or later fuel economy guide of the federal Environmental Protection
10 Agency to have a highway fuel economy estimate of thirty-five miles per
11 gallon or better, or which uses no motor fuel or diesel fuel.
12 (B) "Hybrid vehicle" means a motor vehicle, as defined in section one
13 hundred twenty-five of the vehicle and traffic law, that:
14 (i) draws propulsion energy from both:
15 (a) an internal combustion engine (or heat engine that uses combusti-
16 ble fuel), and
17 (b) an energy source device; and
18 (ii) employs a regenerative vehicle braking system that recovers waste
19 energy to charge such energy storage device.
20 § 2. Section 1160 of the tax law is amended by adding a new subdivi-
21 sion (c) to read as follows:
22 (c) The new and used hybrid vehicles and high-efficiency vehicles
23 exemption provided for in paragraph forty-five of subdivision (a) of
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD09512-01-9
A. 5637 2
1 section eleven hundred fifteen of this chapter shall not apply to or
2 limit the imposition of the tax imposed pursuant to this article.
3 § 3. Subparagraph (ii) of paragraph 1 of subdivision (a) of section
4 1210 of the tax law, as amended by section 2 of part WW of chapter 60 of
5 the laws of 2016, is amended to read as follows:
6 (ii) Any local law, ordinance or resolution enacted by any city, coun-
7 ty or school district, imposing the taxes authorized by this subdivi-
8 sion, shall omit the residential solar energy systems equipment and
9 electricity exemption provided for in subdivision (ee), the commercial
10 solar energy systems equipment and electricity exemption provided for in
11 subdivision (ii), the commercial fuel cell electricity generating
12 systems equipment and electricity generated by such equipment exemption
13 provided for in subdivision (kk) and the clothing and footwear exemption
14 provided for in paragraph thirty and the new and used hybrid vehicles
15 and high-efficiency vehicles exemption provided for in paragraph forty-
16 five of subdivision (a) of section eleven hundred fifteen of this chap-
17 ter, unless such city, county or school district elects otherwise as to
18 such residential solar energy systems equipment and electricity
19 exemption, such commercial solar energy systems equipment and electric-
20 ity exemption, commercial fuel cell electricity generating systems
21 equipment and electricity generated by such equipment exemption or such
22 clothing and footwear exemption or such new and used hybrid vehicles or
23 high-efficiency vehicles exemption.
24 § 4. Section 1210 of the tax law is amended by adding a new subdivi-
25 sion (q) to read as follows:
26 (q) Notwithstanding any other provision of state or local law, ordi-
27 nance or resolution to the contrary:
28 (1) Any city having a population of one million or more in which the
29 taxes imposed by section eleven hundred seven of this chapter are in
30 effect, acting through its local legislative body, is hereby authorized
31 and empowered to elect to provide the same exemptions from such taxes as
32 the new and used hybrid vehicles and high-efficiency vehicles exemption
33 from state sales and compensating use taxes described in paragraph
34 forty-five of subdivision (a) of section eleven hundred fifteen of this
35 chapter by enacting a resolution in the form set forth in paragraph two
36 of this subdivision; whereupon, upon compliance with the provisions of
37 subdivisions (d) and (e) of this section, such enactment of such resol-
38 ution shall be deemed to be an amendment to such section eleven hundred
39 seven and such section eleven hundred seven shall be deemed to incorpo-
40 rate such exemptions as if they had been duly enacted by the state
41 legislature and approved by the governor.
42 (2) Form of Resolution: Be it enacted by the (insert proper title of
43 local legislative body) as follows:
44 Section one. Receipts from sales of and consideration given or
45 contracted to be given for, or for the use of, property and services
46 exempt from state sales and compensating use taxes pursuant to paragraph
47 45 of subdivision (a) of section 1115 of the tax law shall also be
48 exempt from sales and compensating use taxes imposed in this jurisdic-
49 tion.
50 Section two. This resolution shall take effect March 1, (insert the
51 year, but not earlier than the year 2021) and shall apply to sales made,
52 services rendered and uses occurring on and after that date in accord-
53 ance with the applicable transitional provisions in sections 1106, 1216
54 and 1217 of the New York tax law.
55 § 5. This act shall take effect October 1, 2020.