Establishes a sales tax exemption for certain products purchased for less than five hundred dollars commencing on the fourth Friday in November and ending on the twenty-sixth day of December.
STATE OF NEW YORK
________________________________________________________________________
9313
IN ASSEMBLY
February 23, 2022
___________
Introduced by M. of A. JENSEN -- read once and referred to the Committee
on Ways and Means
AN ACT to amend the tax law, in relation to establishing a sales tax
holiday for various products for the period commencing on Black Friday
and ending after Christmas day
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 47 to read as follows:
3 (47) Products purchased for less than five hundred dollars commencing
4 on the fourth Friday in November and ending on the twenty-sixth day in
5 December. For the purposes of this paragraph the term "products" shall
6 include but not be limited to:
7 (A) clothing, footwear, jewelry, handbags, book bags, backpacks,
8 luggage, wallets, watches;
9 (B) sporting goods, camping equipment;
10 (C) tools used for home improvement, automotive maintenance and
11 repair;
12 (D) books, journals, paper, writing instruments, art supplies, greet-
13 ing cards, post cards, paintings, drawings, photographs, sculptures,
14 pottery, textiles;
15 (E) plants, floral arrangements;
16 (F) cosmetics, personal grooming items;
17 (G) musical instruments, cookware, small home appliances for residen-
18 tial use;
19 (H) bedding, towels, bath accessories;
20 (I) furniture; and
21 (J) toys, games, video games, video game consoles, any associated
22 accessories for video game consoles, home electronics, computers,
23 phones, tablets, stereo equipment.
24 § 2. Subdivision (b) of section 1107 of the tax law is amended by
25 adding a new clause 12 to read as follows:
26 (12) Except as otherwise provided by law, the exemption provided in
27 paragraph forty-seven of subdivision (a) of section eleven hundred
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD14692-01-2
A. 9313 2
1 fifteen of this article relating to products purchased for less than
2 five hundred dollars shall be applicable pursuant to a local law, ordi-
3 nance or resolution adopted by a city subject to the provisions of this
4 section. Such city is empowered to adopt or repeal such a local law,
5 ordinance or resolution. Such adoption or repeal shall also be deemed to
6 amend any local law, ordinance or resolution enacted by such a city
7 imposing taxes pursuant to the authority of subdivision (a) of section
8 twelve hundred ten of this chapter.
9 § 3. Paragraph 1 of subdivision (a) of section 1210 of the tax law, as
10 amended by section 5 of part J of chapter 59 of the laws of 2021, is
11 amended to read as follows:
12 (1) Either, all of the taxes described in article twenty-eight of this
13 chapter, at the same uniform rate, as to which taxes all provisions of
14 the local laws, ordinances or resolutions imposing such taxes shall be
15 identical, except as to rate and except as otherwise provided, with the
16 corresponding provisions in such article twenty-eight, including the
17 definition and exemption provisions of such article, so far as the
18 provisions of such article twenty-eight can be made applicable to the
19 taxes imposed by such city or county and with such limitations and
20 special provisions as are set forth in this article. The taxes author-
21 ized under this subdivision may not be imposed by a city or county
22 unless the local law, ordinance or resolution imposes such taxes so as
23 to include all portions and all types of receipts, charges or rents,
24 subject to state tax under sections eleven hundred five and eleven
25 hundred ten of this chapter, except as otherwise provided. Notwith-
26 standing the foregoing, a tax imposed by a city or county authorized
27 under this subdivision shall not include the tax imposed on charges for
28 admission to race tracks and simulcast facilities under subdivision (f)
29 of section eleven hundred five of this chapter. (i) Any local law, ordi-
30 nance or resolution enacted by any city of less than one million or by
31 any county or school district, imposing the taxes authorized by this
32 subdivision, shall, notwithstanding any provision of law to the contra-
33 ry, exclude from the operation of such local taxes all sales of tangible
34 personal property for use or consumption directly and predominantly in
35 the production of tangible personal property, gas, electricity, refrig-
36 eration or steam, for sale, by manufacturing, processing, generating,
37 assembly, refining, mining or extracting; and all sales of tangible
38 personal property for use or consumption predominantly either in the
39 production of tangible personal property, for sale, by farming or in a
40 commercial horse boarding operation, or in both; and all sales of fuel
41 sold for use in commercial aircraft and general aviation aircraft; and,
42 unless such city, county or school district elects otherwise, shall omit
43 the provision for credit or refund contained in clause six of subdivi-
44 sion (a) or subdivision (d) of section eleven hundred nineteen of this
45 chapter. (ii) Any local law, ordinance or resolution enacted by any
46 city, county or school district, imposing the taxes authorized by this
47 subdivision, shall omit the residential solar energy systems equipment
48 and electricity exemption provided for in subdivision (ee), the commer-
49 cial solar energy systems equipment and electricity exemption provided
50 for in subdivision (ii), the commercial fuel cell electricity generating
51 systems equipment and electricity generated by such equipment exemption
52 provided for in subdivision (kk) and the clothing and footwear exemption
53 provided for in paragraph thirty of subdivision (a) of section eleven
54 hundred fifteen of this chapter, unless such city, county or school
55 district elects otherwise as to such residential solar energy systems
56 equipment and electricity exemption, such commercial solar energy
A. 9313 3
1 systems equipment and electricity exemption, commercial fuel cell elec-
2 tricity generating systems equipment and electricity generated by such
3 equipment exemption or such clothing and footwear exemption. Any local
4 law, ordinance or resolution enacted by any city, county or school
5 district, imposing the taxes authorized by this subdivision, shall omit
6 the products purchased for less than five hundred dollars exemption
7 provided for in paragraph forty-seven of subdivision (a) of section
8 eleven hundred fifteen of this chapter, unless such city, county or
9 school district elects otherwise; provided that if such a city having a
10 population of one million or more enacts the resolution described in
11 subdivision (q) of this section or repeals such resolution, such resol-
12 ution or repeal shall also be deemed to amend any local law, ordinance
13 or resolution enacted by such a city imposing such taxes pursuant to the
14 authority of this subdivision, whether or not such taxes are suspended
15 at the time such city enacts its resolution pursuant to subdivision (q)
16 of this section or at the time of any such repeal; provided, further,
17 that any such local law, ordinance or resolution and section eleven
18 hundred seven of this chapter, as deemed to be amended in the event a
19 city of one million or more enacts a resolution pursuant to the authori-
20 ty of subdivision (q) of this section, shall be further amended, as
21 provided in section twelve hundred eighteen of this subpart, so that the
22 products purchased for less than five hundred dollars exemption in any
23 such local law, ordinance or resolution or in such section eleven
24 hundred seven of this chapter is the same as the products purchased for
25 less than five hundred dollars exemption in paragraph forty-seven of
26 subdivision (a) of section eleven hundred fifteen of this chapter. (iii)
27 Any local law, ordinance or resolution enacted by any city, county or
28 school district, imposing the taxes authorized by this subdivision,
29 shall omit the residential solar energy systems equipment and electric-
30 ity exemption provided for in subdivision (ee) of section eleven hundred
31 fifteen of this chapter, the commercial solar energy systems equipment
32 and electricity exemption provided for in subdivision (ii) and the
33 clothing and footwear exemption provided for in paragraph thirty of
34 subdivision (a) of section eleven hundred fifteen of this chapter,
35 unless such city, county or school district elects otherwise as to
36 either such residential solar energy systems equipment and electricity
37 exemption, such commercial solar energy systems equipment and electric-
38 ity exemption or such clothing and footwear exemption. Any local law,
39 ordinance or resolution enacted by any city, county or school district,
40 imposing the taxes authorized by this subdivision, shall omit the mobile
41 telecommunication services exemption provided for in subdivision (cc) of
42 section eleven hundred fifteen of this chapter, unless such city, county
43 or school district elects otherwise; provided that if such a city having
44 a population of one million or more repeals a resolution described in
45 former subdivision (p) of this section, such repeal shall also be deemed
46 to amend any local law, ordinance or resolution enacted by such a city
47 imposing such taxes pursuant to the authority of this subdivision,
48 whether or not such taxes are suspended at the time such city repeals
49 its resolution enacted pursuant to former subdivision (p) of this
50 section; provided, further, that any such local law, ordinance or resol-
51 ution and section eleven hundred seven of this chapter, as deemed to be
52 amended in the event a city of one million or more repeals a resolution
53 enacted pursuant to the authority of former subdivision (p) of this
54 section, shall be further amended, as provided in section twelve hundred
55 eighteen of this subpart, so that the wireless telecommunications
56 services exemption in any such local law, ordinance or resolution or in
A. 9313 4
1 such section eleven hundred seven of this chapter is the same as the
2 mobile telecommunication services exemption in subdivision (cc) of
3 section eleven hundred fifteen of this chapter. (iv) Any local law,
4 ordinance or resolution enacted by any city, county or school district,
5 imposing the taxes authorized by this subdivision, shall omit the resi-
6 dential solar energy systems equipment and electricity exemption
7 provided for in subdivision (ee) of section eleven hundred fifteen of
8 this chapter, the commercial solar energy systems equipment and elec-
9 tricity exemption provided for in subdivision (ii) and the clothing and
10 footwear exemption provided for in paragraph thirty of subdivision (a)
11 of section eleven hundred fifteen of this chapter, unless such city,
12 county or school district elects otherwise as to either such residential
13 solar energy systems equipment and electricity exemption, such commer-
14 cial solar energy systems equipment and electricity exemption or such
15 clothing and footwear exemption.
16 § 4. Subdivision (d) of section 1210 of the tax law, as amended by
17 section 4 of part WW of chapter 60 of the laws of 2016, is amended to
18 read as follows:
19 (d) A local law, ordinance or resolution imposing any tax pursuant to
20 this section, increasing or decreasing the rate of such tax, repealing
21 or suspending such tax, exempting from such tax the energy sources and
22 services described in paragraph three of subdivision (a) or of subdivi-
23 sion (b) of this section or changing the rate of tax imposed on such
24 energy sources and services or providing for the credit or refund
25 described in clause six of subdivision (a) of section eleven hundred
26 nineteen of this chapter, or electing or repealing the exemption for
27 residential solar equipment and electricity in subdivision (ee) of
28 section eleven hundred fifteen of this article, or the exemption for
29 commercial solar equipment and electricity in subdivision (ii) of
30 section eleven hundred fifteen of this article, or electing or repealing
31 the exemption for commercial fuel cell electricity generating systems
32 equipment and electricity generated by such equipment in subdivision
33 (kk) of section eleven hundred fifteen of this article must go into
34 effect only on one of the following dates: March first, June first,
35 September first or December first; provided, that a local law, ordinance
36 or resolution providing for the exemption described in paragraph thirty
37 of subdivision (a) of section eleven hundred fifteen of this chapter or
38 repealing any such exemption or a local law, ordinance or resolution
39 providing for a refund or credit described in subdivision (d) of section
40 eleven hundred nineteen of this chapter or repealing such provision so
41 provided must go into effect only on March first; provided, further,
42 that a local law, ordinance or resolution providing for the exemption
43 described in paragraph forty-seven of subdivision (a) of section eleven
44 hundred fifteen of this chapter or repealing any such exemption so
45 provided and a resolution enacted pursuant to the authority of subdivi-
46 sion (q) of this section providing such exemption or repealing such
47 exemption so provided may go into effect immediately. No such local
48 law, ordinance or resolution shall be effective unless a certified copy
49 of such law, ordinance or resolution is mailed by registered or certi-
50 fied mail to the commissioner at the commissioner's office in Albany at
51 least ninety days prior to the date it is to become effective. However,
52 the commissioner may waive and reduce such ninety-day minimum notice
53 requirement to a mailing of such certified copy by registered or certi-
54 fied mail within a period of not less than thirty days prior to such
55 effective date if the commissioner deems such action to be consistent
56 with the commissioner's duties under section twelve hundred fifty of
A. 9313 5
1 this article and the commissioner acts by resolution. Where the
2 restriction provided for in section twelve hundred twenty-three of this
3 article as to the effective date of a tax and the notice requirement
4 provided for therein are applicable and have not been waived, the
5 restriction and notice requirement in section twelve hundred twenty-
6 three of this article shall also apply.
7 § 5. Section 1210 of the tax law is amended by adding a new subdivi-
8 sion (p) to read as follows:
9 (p) Notwithstanding any other provision of state or local law, ordi-
10 nance or resolution to the contrary: (1) Any city having a population of
11 one million or more in which the taxes imposed by section eleven hundred
12 seven of this chapter are in effect, acting through its local legisla-
13 tive body, is hereby authorized and empowered to elect to provide the
14 exemption from such taxes for the same products purchased for less than
15 five hundred dollars exempt from state sales and compensating use taxes
16 described in paragraph forty-seven of subdivision (a) of section eleven
17 hundred fifteen of this chapter by enacting a resolution in the form set
18 forth in paragraph two of this subdivision; whereupon, upon compliance
19 with the provisions of subdivisions (d) and (e) of this section, such
20 enactment of such resolution shall be deemed to be an amendment to such
21 section eleven hundred seven and such section eleven hundred seven shall
22 be deemed to incorporate such exemption as if it had been duly enacted
23 by the state legislature and approved by the governor. (2) Form of
24 Resolution: Be it enacted by the (insert proper title of local legisla-
25 tive body) as follows: Section one. Receipts from sales of and consid-
26 eration given or contracted to be given for purchases of products
27 purchased for less than five hundred dollars exempt from state sales and
28 compensating use taxes pursuant to paragraph forty-seven of subdivision
29 (a) of section eleven hundred fifteen of the tax law shall also be
30 exempt from sales and compensating use taxes imposed in this jurisdic-
31 tion. Section two. This resolution shall take effect, (insert the date)
32 and shall apply to sales made and uses occurring on and after that date
33 although made or occurring under a prior contract.
34 § 6. The commissioner of taxation and finance is hereby authorized to
35 implement the provisions of this act with respect to the elimination of
36 the imposition of sales tax, additional taxes, and supplemental taxes on
37 products purchased for less than five hundred dollars and all other
38 taxes so addressed by this act.
39 § 7. This act shall take effect on the first day of the sales tax
40 quarterly period, as described in subdivision (b) of section 1136 of the
41 tax law, next commencing at least ninety days after this act shall have
42 become law and shall apply in accordance with the applicable transi-
43 tional provisions of sections 1106 and 1217 of the tax law. Effective
44 immediately, the addition, amendment and/or repeal of any rule or regu-
45 lation necessary for the implementation of this act on its effective
46 date are authorized to be made and completed on or before such effective
47 date.