NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A7431
SPONSOR: Paulin TITLE OF BILL:
An act to amend the tax law, in relation to exempting timber, logs,
lumber, pulpwood and posts from sales and use taxes; and providing for
the repeal of such provisions upon expiration thereof
PURPOSE:
This bill exempts timber, logs, lumber, pulpwood and posts from sales
and use taxes for one year after the effective date.
SUMMARY OF PROVISIONS:
Section one amends subdivision (a) of section 1115 of the tax law by
adding a new paragraph 15-a to exempt timber, logs, lumber, pulpwood and
posts from sales and use taxes.
Section two is the effective date.
JUSTIFICATION:
The costs of lumber have spiraled upwards by more than 150 percent in
the last year due to tariffs on Canada, reduced output from mills during
the COVID-19 pandemic and rising demands as our economy emerges from the
pandemic. This is contributing to an increased cost for homeowners look-
ing to remodel, build, or make home renovations. It is also increasing
costs on local builders who stick to quotes priced out prior to price
surges and absorb the cost. In order to alleviate costs and,jump start
the local economy post-pandemic, this legislation will exempt sales and
use taxes for timber, logs, lumber, pulpwood and posts for one year
after the effective date.
LEGISLATIVE HISTORY:
New Bill.
FISCAL IMPLICATIONS:
To be determined.
EFFECTIVE DATE:
This bill shall take effect immediately and shall expire and be deemed
repealed one year after the effective date of this act.
STATE OF NEW YORK
________________________________________________________________________
7431
2021-2022 Regular Sessions
IN ASSEMBLY
May 7, 2021
___________
Introduced by M. of A. PAULIN -- read once and referred to the Committee
on Ways and Means
AN ACT to amend the tax law, in relation to exempting timber, logs,
lumber, pulpwood and posts from sales and use taxes; and providing for
the repeal of such provisions upon expiration thereof
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 15-a to read as follows:
3 (15-a) Timber, logs, lumber, pulpwood and posts.
4 § 2. This act shall take effect immediately and shall expire and be
5 deemed repealed one year after the effective date of this act.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD11159-01-1
