Establishes business franchise and personal income tax credits for certain taxes and surcharges on wireless communications paid by certain small businesses which do not have a landline telephone.
STATE OF NEW YORK
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6656
2017-2018 Regular Sessions
IN ASSEMBLY
March 10, 2017
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Introduced by M. of A. GJONAJ, MOSLEY, BENEDETTO, SIMANOWITZ, COLTON,
BRABENEC, RAIA, PICHARDO, DiPIETRO, BICHOTTE -- Multi-Sponsored by --
M. of A. ABBATE, COOK, GARBARINO, GIGLIO, HAWLEY, HOOPER, LUPINACCI,
MAGEE, McLAUGHLIN, PALMESANO, PERRY, RIVERA, SKARTADOS -- read once
and referred to the Committee on Ways and Means
AN ACT to amend the tax law, in relation to establishing business fran-
chise tax and personal income tax credit for the amount of certain
taxes and surcharges paid by certain taxpayers that are small busi-
nesses
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 210-B of the tax law is amended by adding a new
2 subdivision 28 to read as follows:
3 28. Wireless communications sales tax and surcharge credit. (a) Allow-
4 ance of credit. A taxpayer that is a small business with a permanent
5 business address within the state, for which its mobile telecommuni-
6 cations service, as defined in paragraph twenty-four of subdivision (b)
7 of section eleven hundred one of this chapter, is the primary means of
8 contacting such small business, and such small business does not have
9 landline telephone service subject to the provisions of article five of
10 the public service law, shall be allowed a credit against the tax
11 imposed by this article equal to the sum of (i) the excise taxes on
12 telecommunications services paid by the taxpayer for mobile telecommuni-
13 cations service during the taxable year, pursuant to section one hundred
14 eighty-six-e of this chapter, (ii) the public safety communications
15 surcharges paid by the taxpayer as a wireless communications customer
16 during the taxable year, pursuant to section one hundred eighty-six-f of
17 this chapter, and (iii) the sales and compensating use taxes paid by the
18 taxpayer as a wireless communications customer during the taxable year,
19 pursuant to sections eleven hundred five, eleven hundred nine and/or
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD10486-01-7
A. 6656 2
1 eleven hundred ten of this chapter, to the extent such taxes and
2 surcharges are related to the taxpayer's small business.
3 (b) Definition. The term "small business" shall, for the purposes of
4 this subdivision, mean a business which is resident in this state, inde-
5 pendently owned and operated, not dominant in its field and employs
6 twenty-five or less persons.
7 (c) Application of credit. The credit allowed under this subdivision
8 for any taxable year shall not reduce the tax due for such year to less
9 than the amount prescribed in paragraph (d) of subdivision one of
10 section two hundred ten of this article. However, if the amount of cred-
11 it allowed under this subdivision for any taxable year reduces the tax
12 to such amount or if the taxpayer otherwise pays tax based on the fixed
13 dollar minimum amount, any amount of credit thus not deductible in such
14 taxable year will be treated as an overpayment of tax to be credited or
15 refunded in accordance with the provisions of section one thousand
16 eighty-six of this chapter. Provided, however, the provisions of
17 subsection (c) of section one thousand eighty-eight of this chapter
18 notwithstanding, no interest will be paid thereon.
19 § 2. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
20 of the tax law is amended by adding a new clause (xliii) to read as
21 follows:
22 (xliii) Wireless communicationsAmount of credit
23 sales tax and surcharge creditunder subdivision
24 under subsection (ccc)twenty-eight of
25 section two hundred ten-B
26 § 3. Section 606 of the tax law is amended by adding a new subsection
27 (ccc) to read as follows:
28 (ccc) Wireless communications sales tax and surcharge credit. (1)
29 Allowance of credit. A taxpayer that owns a small business with a perma-
30 nent business address within the state, for which its mobile telecommu-
31 nications service as defined in paragraph twenty-four of subdivision (b)
32 of section eleven hundred one of this chapter, is the primary means of
33 contacting such small business, and such small business does not have
34 landline telephone service subject to the provisions of article five of
35 the public service law, shall be allowed a credit against the tax
36 imposed by this article equal to the sum of (A) the excise taxes on
37 telecommunications services paid by the taxpayer for mobile telecommuni-
38 cations service during the taxable year, pursuant to section one hundred
39 eighty-six-e of this chapter, (B) the public safety communications
40 surcharges paid by the taxpayer as a wireless communications customer
41 during the taxable year, pursuant to section one hundred eighty-six-f of
42 this chapter, and (C) the sales and compensating use taxes paid by the
43 taxpayer as a wireless communications customer during the taxable year,
44 pursuant to sections eleven hundred five, eleven hundred nine and/or
45 eleven hundred ten of this chapter, to the extent such taxes and
46 surcharges are related to the taxpayer's small business.
47 (2) Definition. The term "small business" means a business which is
48 resident in the state, independently owned and operated, not dominant in
49 its field and employs twenty-five or less persons.
50 (3) Application of credit. If the amount of the credit under this
51 subsection for any taxable year shall exceed the taxpayer's tax for such
52 year, the excess shall be treated as an overpayment of tax to be credit-
53 ed or refunded in accordance with the provisions of section six hundred
54 eighty-six of this article, provided, however, that no interest shall be
55 paid thereon.
56 § 4. This act shall take effect immediately.
