S T A T E O F N E W Y O R K
________________________________________________________________________
800
2009-2010 Regular Sessions
I N A S S E M B L Y
(PREFILED)
January 7, 2009
___________
Introduced by M. of A. McDONOUGH, CALHOUN, McKEVITT, FIELDS, ERRIGO,
FINCH -- Multi-Sponsored by -- M. of A. ALFANO, BACALLES, GABRYSZAK,
GALEF, MAGEE, THIELE -- read once and referred to the Committee on
Ways and Means
AN ACT to amend the tax law, in relation to requiring sellers and
distributors of motor fuel to provide the state with information
concerning the identity of purchasers and suppliers and the volume of
fuel purchased or supplied
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Paragraph (a) of subdivision 3 of section 285-a of the tax
law, as added by chapter 276 of the laws of 1986, is amended to read as
follows:
(a) Upon each sale of motor fuel, other than a sale at retail, the
seller must give to the purchaser and the purchaser shall receive at the
time of delivery of such motor fuel, a certification containing such
information as the tax commission shall require which shall include a
statement to the effect: (i) if such seller is a distributor registered
under this article, that he assumed the payment of or paid the taxes
imposed by this article and, in each case, is passing through such
taxes; or (ii) that such seller is passing through such taxes which were
so previously assumed or paid by an identified distributor registered
under this article, and passed through to him. EACH SUCH CERTIFICATION
SHALL ALSO CLEARLY SET FORTH THE VOLUME OF MOTOR FUEL BEING SOLD, THE
FEDERAL EMPLOYER IDENTIFICATION NUMBERS OR, IF NONE, THE NEW YORK STATE
TAX ACCOUNT NUMBERS OF THE SELLER AND OF THE PURCHASER, AND THE RESALE
NUMBER OF THE PURCHASER.
S 2. Subdivision 1 of section 286 of the tax law, as amended by chap-
ter 302 of the laws of 2006, is amended to read as follows:
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01543-01-9
A. 800 2
1. Every person who imports or causes to be imported into this state,
or who produces, refines, manufactures or compounds within this state,
or who purchases or sells in this state motor fuel or diesel motor fuel
or ingredients which may be manufactured or compounded into motor fuel
or diesel motor fuel, or engages in the enhancement of diesel motor
fuel, shall keep a complete and accurate record of all purchases and
sales, uses or other dispositions thereof, INCLUDING A RECORD OF THE
RESALE NUMBERS AND FEDERAL EMPLOYER IDENTIFICATION NUMBERS OR, IF NONE,
THE NEW YORK STATE TAX ACCOUNT NUMBERS OF ALL SELLERS AND PURCHASERS AND
THE AMOUNTS OF FUEL PURCHASED OR SOLD, AS APPLICABLE BY EACH SUCH ENTI-
TY, and a complete and accurate record of the number of gallons of motor
fuel or diesel motor fuel or such ingredients so imported, produced,
refined, manufactured, compounded or enhanced. Every person who stores
motor fuel or diesel motor fuel shall keep a complete and accurate
record of the identity of the person for whom such fuel is stored, the
quantity and type of fuel so stored, the identity of the person to whom
such fuel is released from storage and the quantity and type of fuel so
released. Such records shall be in such form and contain such other
information as the commissioner shall prescribe. Said commissioner, by
rule or regulation, also may require the delivery of statements to
purchasers with consignments of motor fuel or diesel motor fuel or such
ingredients, and prescribe the matters to be contained therein. Such
records and statements, unless required by the commissioner to be
preserved for a longer period, shall be preserved for a period of three
years and shall be offered for inspection at any time upon oral or writ-
ten demand by such commissioner or the commissioner's duly authorized
agents. The commissioner is hereby further authorized to examine the
equipment of any such person pertaining to the storage, sale or delivery
of such fuels, as well as the stock of such fuels in the possession or
control of such person. To verify the amount of tax due under this arti-
cle, each such person is hereby directed and required to give to the
commissioner or the commissioner's duly authorized representatives, the
means, facilities and opportunity for such examinations as are herein
provided for and required. Nothing in this section contained shall be
construed to require the keeping for purposes of this article of a
record of purchases or sales of motor fuel or diesel motor fuel or such
ingredients at retail in small quantities (less than thirty gallons) or
of motor fuel or diesel motor fuel imported into this state in the tank
of a motor vehicle which supplies the fuel for its operation.
S 3. Subdivision 1 of section 287 of the tax law, as amended by chap-
ter 261 of the laws of 1988, is amended to read as follows:
1. Every distributor shall, on or before the twentieth day of each
month, file with the department of taxation and finance a return, on
forms to be prescribed by the commissioner and furnished by such depart-
ment, stating the number of gallons of motor fuel imported, manufactured
or sold by such distributor in the state during the preceding calendar
month and in the case of Diesel motor fuel, the number of gallons of
enhanced Diesel motor fuel imported, the number of gallons enhanced and
the number of gallons which have been sold or used. WITH REGARD TO
SALES, EACH SUCH RETURN SHALL SPECIFY THE IDENTITY OF EACH PURCHASER TO
WHOM SALES WERE MADE OR THE IDENTITY OF EACH SUPPLIER FROM WHOM
PURCHASES WERE MADE, AS APPLICABLE, ALONG WITH THE FEDERAL EMPLOYER
IDENTIFICATION NUMBERS OR, IF NONE, THE NEW YORK STATE TAX ACCOUNT
NUMBER, AND THE RESALE NUMBER OF ALL SUCH ENTITIES, AS WELL AS THE TOTAL
NUMBER OF GALLONS OF MOTOR FUEL AND THE TOTAL NUMBER OF GALLONS OF
DIESEL MOTOR FUEL SOLD TO OR PURCHASED FROM EACH SUCH ENTITY. Provided,
A. 800 3
however, the commissioner may, if he deems it necessary in order to
insure the payment of the taxes imposed by this article, require returns
to be made at such times and covering such periods as he may deem neces-
sary, and, by regulation, may permit the filing of returns by distribu-
tors of Diesel motor fuel on a quarterly, semi-annual or annual basis,
or may waive the filing of returns by a distributor of Diesel motor fuel
for such time and upon such terms as he may deem proper if satisfied
that no tax imposed by this article with respect to Diesel motor fuel is
or will be payable by him during the time for which returns are waived.
Such returns shall contain such further information as the commissioner
shall require. The fact that a distributor's name is signed to a filed
return shall be prima facie evidence for all purposes that the return
was actually signed by such distributor. Each such distributor shall,
with respect to motor fuel, pay to the department with the filing of
such return, the taxes imposed by this article on each gallon of motor
fuel imported, manufactured or sold by such distributor in the state,
and so reported, during the period covered by such return. Each distrib-
utor shall, with respect to Diesel motor fuel, pay to the department
with the filing of the return the taxes imposed by this article on the
number of gallons of Diesel motor fuel sold or used or delivered to a
filling station or delivered into the fuel tank of a motor vehicle
during the period covered by the return. Provided, however, that where a
distributor has purchased automotive fuel upon which the taxes imposed
by this article have been paid or paid over and in each instance the tax
is included in the price, a credit shall be allowed for the amount of
such taxes upon the subsequent sale of such fuel to the extent that such
taxes are so paid and included in the price.
S 4. Subdivision (a) of section 308 of the tax law, as amended by
chapter 2 of the laws of 1995, is amended to read as follows:
(a) General.--Every petroleum business subject to tax under this arti-
cle shall monthly, on or before the twentieth day following the close of
its taxable month, file a return which shall state (i) the number of
gallons of motor fuel imported or caused to be imported into this state
for use, distribution, storage or sale in the state or produced,
refined, manufactured or compounded in the state during the preceding
calendar month, (ii) the number of gallons of diesel motor fuel sold or
used or, with respect to gallonage which prior thereto has not been
included in the measure of the tax imposed by this article, delivered by
the petroleum business to a filling station or into the fuel tank
connecting with the engine of a motor vehicle for use in the operation
thereof during the preceding calendar month, (iii) the number of gallons
of, and the resultant product produced, manufactured or blended, using
diesel motor fuel as a component of such resultant product and the sales
of such resultant product, and (iv) the number of gallons of residual
petroleum product sold or used in this state and the sales of such resi-
dual petroleum product, for the period covered by such return. WITH
REGARD TO SALES, EACH SUCH RETURN SHALL SPECIFY THE IDENTITY OF EACH
PURCHASER TO WHOM SALES WERE MADE OR THE IDENTITY OF EACH SUPPLIER FROM
WHOM PURCHASES WERE MADE, AS APPLICABLE, ALONG WITH THE FEDERAL EMPLOYER
IDENTIFICATION NUMBERS OR, IF NONE, THE NEW YORK STATE TAX ACCOUNT
NUMBER, AND THE RESALE NUMBER OF ALL SUCH ENTITIES, AS WELL AS THE TOTAL
NUMBER OF GALLONS OF MOTOR FUEL AND THE TOTAL NUMBER OF GALLONS OF
DIESEL MOTOR FUEL SOLD TO OR PURCHASED FROM EACH SUCH ENTITY. A residual
petroleum business shall include in its reports the number of gallons of
residual petroleum product imported into the state or purchased in this
state, the number of gallons of diesel motor fuel purchased in this
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state and the number of gallons of, and the resultant product produced,
manufactured or blended by such petroleum business, using diesel motor
fuel as a component of such resultant product. The commissioner of taxa-
tion and finance may permit the filing of a return on a quarterly basis
in the case of a petroleum business which only makes sales of diesel
motor fuel solely for residential heating purposes and which is regis-
tered under article twelve-A of this chapter as a diesel motor fuel
distributor under a limited registration applicable only to the importa-
tion, sale and distribution of diesel motor fuel for the purposes
described in subparagraph (i) of paragraph (b) of subdivision three of
section two hundred eighty-two-a of this chapter or in the case of a
petroleum business registered as a "distributor of kero-jet fuel only"
pursuant to the provisions of subdivision two of section two hundred
eighty-two-a of this chapter. In the case of such returns permitted to
be filed on a quarterly basis, the adjustments to the rates of tax then
in effect, as provided for in sections three hundred one-a and three
hundred one-e of this article, which take effect on the first day of
January of each year shall, with respect to such quarterly return, take
effect on the first day of the next succeeding March. Returns shall be
filed with the commissioner in a form prescribed by the commissioner,
setting forth such other information as the commissioner may prescribe.
Every petroleum business shall also transmit such other returns and such
facts and information as the commissioner may require in the adminis-
tration of this article. Every petroleum business which is a corporation
subject to tax under this article and which ceases to exercise its fran-
chise or to be subject to the tax imposed by this article shall transmit
to the commissioner a return on the date of such cessation, or at such
other time as the commissioner may require, covering each month or peri-
od for which no return was theretofore filed. The commissioner may, if
the commissioner deems it necessary in order to insure the payment of
the tax imposed by this article, require returns to be made at such
times and covering such periods as the commissioner may deem necessary.
Notwithstanding the foregoing provisions of this subdivision, the
commissioner may require any corporation or unincorporated business
which engages in transactions involving petroleum or similar products,
including aviation fuels, to file a monthly return, which shall contain
any data specified by him, regardless of whether such corporation or
unincorporated business is subject to tax under this article.
S 5. This act shall take effect on the one hundred twentieth day after
it shall have become a law.