•  Summary 
  •  
  •  Actions 
  •  
  •  Committee Votes 
  •  
  •  Floor Votes 
  •  
  •  Memo 
  •  
  •  Text 
  •  
  •  LFIN 
  •  
  •  Chamber Video/Transcript 

A07745 Summary:

BILL NOA07745
 
SAME ASSAME AS S07260
 
SPONSORRosenthal L
 
COSPNSRGottfried, Simon, Kim, Fernandez, Burgos, Mamdani, Seawright, Glick, Forrest, Gallagher, Gonzalez-Rojas
 
MLTSPNSR
 
Rpld §1115 sub (a) ¶29, §1118 subs 9 & 10, amd §1118, Tax L
 
Repeals certain provisions relating to use tax exemptions for certain race horses; prevents nonresident racehorse owners from avoiding use tax in certain situations.
Go to top    

A07745 Actions:

BILL NOA07745
 
05/21/2021referred to ways and means
01/05/2022referred to ways and means
Go to top

A07745 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A7745
 
SPONSOR: Rosenthal L
  TITLE OF BILL: An act to amend the tax law, in relation to use tax exemptions for certain race horses; and to repeal certain provisions of such law relat- ing thereto   PURPOSE: This bill would eliminate certain tax exemptions for horse racing in New York State.   SUMMARY OF SPECIFIC PROVISIONS: Section one repeals paragraph 29 of subdivision (a) of section 1115 of the tax law. Section two repeals subdivisions 9 and 10 of section 1118 of the tax law. Section three amends paragraph (b) of subdivision 2 of section 1118 of the tax law. Section four establishes the effective date.   JUSTIFICATION: Horse racing attendance in New York State has sharply declined over the years. While the summer racing season at Saratoga remains popular, stands at Yonkers Raceway, Aqueduct Racetrack and others have become practically empty. The decline in the popularity of horse racing in recent years has been partly attributed to the public's increasing disapproval of cruelty within the industry, evidenced by doping scandals and high numbers of injuries and deaths. Despite horse racing's dimin- ishing attraction, New York State continues to provide millions of dollars in subsidies each year to prop up the industry. Other states, including Kentucky, California, Illinois, and Texas do not provide state subsidies to their racing industry as New York does. New York State also exempts the purchase of race horses from state sales and use taxes. These horses, which cost tens of thousands of dollars, are purchased by wealthy individuals who can afford to pay the tax. By beginning to eliminate the tax exemptions and subsidies provided to the racing industry, New York can make greater investments in education, housing and other underfunded areas.   LEGISLATIVE HISTORY: New bill.   FISCAL IMPLICATIONS: Undetermined.   EFFECTIVE DATE: Immediately.
Go to top

A07745 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          7745
 
                               2021-2022 Regular Sessions
 
                   IN ASSEMBLY
 
                                      May 21, 2021
                                       ___________
 
        Introduced  by  M.  of  A. L. ROSENTHAL -- read once and referred to the
          Committee on Ways and Means
 
        AN ACT to amend the tax law, in  relation  to  use  tax  exemptions  for
          certain  race  horses;  and  to  repeal certain provisions of such law
          relating thereto
 
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section  1. Paragraph 29 of subdivision (a) of section 1115 of the tax
     2  law is REPEALED.
     3    § 2. Subdivisions 9 and  10  of  section  1118  of  the  tax  law  are
     4  REPEALED.
     5    § 3. Paragraph (b) of subdivision 2 of section 1118 of the tax law, as
     6  added  by  section  2  of  part CC of chapter 59 of the laws of 2017, is
     7  amended to read as follows:
     8    (b) Notwithstanding any provision of this article to the contrary, the
     9  exclusion in paragraph (a) of this subdivision shall not  apply  to  the
    10  use  within  the  state  of property or a service purchased outside this
    11  state by a nonresident that is not an individual, unless  such  nonresi-
    12  dent  has  been doing business outside the state for at least six months
    13  prior to the date such nonresident brought such property or service into
    14  this state.  For purposes of this paragraph, the exclusion in  paragraph
    15  (a)  of  this subdivision shall not apply to any nonresident that is not
    16  an individual when the property purchased by such nonresident is a horse
    17  or horses brought into the state for racing, regardless of whether  such
    18  nonresident  has  been doing business outside the state for at least six
    19  months prior to the date such horse or  horses  were  brought  into  the
    20  state for racing.
    21    § 4. This act shall take effect immediately.
 
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD11222-01-1
Go to top