NY State Senate Bill 2009-S6083

Archive: Last Bill Status - In Senate Committee Investigations And Government Operations Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

Please enter your contact information

First Name

Last Name

Email Address

A valid email address is required.

Home address is used to determine the senate district in which you reside. Your support or opposition to this bill is then shared immediately with the senator who represents you.

Optional services from the NY State Senate:

Create an account. An account allows you to officially support or oppose key legislation, sign petitions with a single click, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.

Include a custom message for your Senator? (Optional)

Enter a message to your senator. Many New Yorkers use this to share the reasoning behind their support or opposition to the bill. Others might share a personal anecdote about how the bill would affect them or people they care about.

Actions

View Actions

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Mar 29, 2010	print number 6083a
Mar 29, 2010	amend and recommit to investigations and government operations
Jan 06, 2010	referred to investigations and government operations
Jul 10, 2009	referred to rules

Bill Amendments

Original

A (Active)

co-Sponsors

View additional co-sponsors

2009-S6083 - Details

Current Committee:: Senate Investigations And Government Operations
Law Section:: Tax Law
Laws Affected:: Amd §480-a, Tax L

2009-S6083 - Summary

Relates to the registration fee for retail tobacco dealer registration.

2009-S6083 - Sponsor Memo

                                 BILL NUMBER:  S6083

 TITLE OF BILL :
An act to amend the tax law, in relation to the registration fee for
retail tobacco dealer registration


 PURPOSE OR GENERAL IDEA OF BILL :
Adjusts the annual registration fee for retail dealers of cigarettes
or tobacco products and vending machines selling cigarettes or tobacco
products.

 SUMMARY OF SPECIFIC PROVISIONS :
Section 1 would amend subparagraph (a) (ii) of Section 480-a-2 of the
tax to revise the registration fee for retail establishments selling
cigarettes or tobacco products to $200 per year, plus an additional
surcharge of $100 for an establishment with one point on its tobacco
enforcement record and an additional surcharge of $200 for an
establishment with two points on its tobacco enforcement record; and
would amend subparagraph (a) (iii) of Section 480-a-2 of the tax law
to revise the registration fee for vending machines through which
cigarettes or tobacco products are sold to $200 per year, rather than
$250, $625, or $1,250 depending on gross sales under existing law.

 JUSTIFICATION :
Section 125 of budget bill A.158B enacted enormous increases in the

annual registration fee that retail establishments selling tobacco
products pay to the state Department of Taxation and Finance. The 2009
fee was $100 per store. Under the recently approved budget, however,
the 2010 fee will be $1,000, $2,500, or $5,000 per store depending on
the store's gross sales of all products, not just tobacco.

The purpose of this fee is to maintain a registry of retail tobacco
dealers for taxation and enforcement purposes, not to generate extra
revenue for the state budget or penalize tax collecting businesses for
selling tobacco to adult customers in accordance with state and local
regulations.

Increases of 900%, 2,400% or 4,900% in these small businesses fees are
preposterous, particularly in the midst of the worst economic
recession in 40 years. Moreover, as New York State struggles to retain
jobs, this fee hike is specifically designed to force 5,000 to 10,000
retail stores to quit selling tobacco, sacrificing a major product
category that historically has driven customer traffic and contributed
to their overall viability.

Rather than reducing tobacco consumption, having fewer licensed
tobacco retail outlets available would drive more smokers to buy from
unlicensed sources of tobacco, such as tribal stores, the Internet,
and the black market - further reducing state excise tax and sales tax
revenue.

In addition, the resulting drop in customer count at those retail
outlets that also sell New York Lottery tickets would reduce lottery
sales, and thus lottery aid to education, an unintended fiscal
consequence that was never factored into the revenue forecasts
provided in the new budget.

 PRIOR LEGISLATIVE HISTORY :
New bill.

 FISCAL IMPLICATIONS :
By preserving tobacco excise tax and sales tax revenue as well as
lottery revenue that otherwise would be lost due to the inability of
thousands of retail establishments to afford the exorbitant

registration fee to continue to sell tobacco products, this bill would
have a net positive revenue impact on the 2009-2010 state budget.

 EFFECTIVE DATE :
This act shall take effect immediately.

2009-S6083 - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  6083

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                              July 10, 2009
                               ___________

Introduced  by  Sen.  STACHOWSKI  -- read twice and ordered printed, and
  when printed to be committed to the Committee on Rules

AN ACT to amend the tax law, in relation to  the  registration  fee  for
  retail tobacco dealer registration

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Subparagraphs (ii) and (iii) of paragraph (a)  of  subdivi-
sion  2  of  section  480-a of the tax law, as amended by section 125 of
part C of chapter 58 of the laws of 2009, is amended to read as follows:
  (ii) Each retail dealer must pay an application fee with the quarterly
return described by subparagraph (i) of this paragraph for  each  retail
place  of  business  in  this state through which it sells cigarettes or
tobacco products[, which is based on gross sales of that place of  busi-
ness  during  the  previous calendar year]. The application fee is[: one
thousand] TWO HUNDRED dollars for each retail place  of  business  [with
gross  sales  totaling  less than one million dollars; two thousand five
hundred dollars for each retail  place  of  business  with  gross  sales
totaling at least one million dollars but less than ten million dollars;
and  five  thousand dollars for each retail place of business with gross
sales totaling at least ten million dollars], EXCEPTING  THAT  A  RETAIL
PLACE  OF  BUSINESS WITH ACTIVE POINTS ON ITS TOBACCO ENFORCEMENT RECORD
AS DESCRIBED IN SECTION THIRTEEN HUNDRED NINETY-NINE-EE  OF  THE  PUBLIC
HEALTH LAW SHALL PAY AN ADDITIONAL SURCHARGE. THE SURCHARGE SHALL BE ONE
HUNDRED  DOLLARS FOR A RETAIL PLACE OF BUSINESS WITH ONE ACTIVE POINT AS
OF THE FIRST DAY OF JULY PRECEDING THE CALENDAR YEAR OF REGISTRATION AND
TWO HUNDRED DOLLARS FOR A RETAIL  PLACE  OF  BUSINESS  WITH  TWO  ACTIVE
POINTS AS OF THE FIRST DAY OF JULY PRECEDING THE CALENDAR YEAR OF REGIS-
TRATION.
  (iii) Every person who owns or, if the owner is not the operator, then
any person who operates one or more vending machines through which ciga-
rettes or tobacco products are sold in this state, regardless of whether

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD14162-01-9

S. 6083                             2

located on the premises of the vending machine owner or, if the owner is
not  the  operator, then the premises of the operator or the premises of
any other person, must pay an application fee with the quarterly  return
described  by  subparagraph  (i)  of  this  paragraph  for  each vending
machine, which is based on gross sales of that  vending  machine  during
the  previous  calendar  year.  The  application  fee  is[:] two hundred
[fifty] dollars [for each vending machine with gross sales totaling less
than one hundred thousand dollars; six hundred twenty-five  dollars  for
each  vending  machine  with  gross  sales totaling at least one hundred
thousand dollars but less than one million dollars; and one thousand two
hundred fifty dollars for each vending machine with gross sales totaling
at least one million dollars]. The department will issue a  registration
certificate,  as  prescribed  by  the  commissioner,  after receipt of a
registration application and the appropriate registration fee, prior  to
the next succeeding January first.
  S 2. This act shall take effect immediately.

co-Sponsors

View additional co-sponsors

2009-S6083A (ACTIVE) - Details

Current Committee:: Senate Investigations And Government Operations
Law Section:: Tax Law
Laws Affected:: Amd §480-a, Tax L

2009-S6083A (ACTIVE) - Summary

Relates to the registration fee for retail tobacco dealer registration.

2009-S6083A (ACTIVE) - Sponsor Memo

                                 BILL NUMBER:  S6083A

 TITLE OF BILL :
An act to amend the tax law, in relation to the registration fee for
retail tobacco dealer registration


 PURPOSE OR GENERAL IDEA OF BILL :
Adjusts the annual registration fee for retail dealers of cigarettes
or tobacco products and vending machines selling cigarettes or tobacco
products.

 SUMMARY OF SPECIFIC PROVISIONS :
Section 1 would amend subparagraph (a) (ii) of Section 480-a-2 of the
tax to revise the registration fee for retail establishments selling
cigarettes or tobacco products to $200 per year, plus an additional
surcharge of $ 100 for an establishment with one point on its tobacco
enforcement record and an additional surcharge of $200 for an
establishment with two points on its tobacco enforcement record; and
would amend subparagraph (a) (iii) of Section 480-a-2 of the tax law
to revise the registration fee for vending machines through which
cigarettes or tobacco products are sold to $200 per year, rather than
$250, $625, or $1,250 depending on gross sales under existing law.

 JUSTIFICATION :
Section 125 of budget bill A.158B enacted enormous increases in the

annual registration fee that retail establishments selling tobacco
products pay to the state Department of Taxation and Finance. The 2009
fee was $100 per store. Under the recently approved budget, however,
the 2010 fee will be $1,000, $2,500, or $5,000 per store depending on
the store's gross sales of all products, not just tobacco.

The purpose of this fee is to maintain a registry of retail tobacco
dealers for taxation and enforcement purposes, not to generate extra
revenue for the state budget or penalize tax collecting businesses for
selling tobacco to adult customers in accordance with state and local
regulations.

Increases of 900%, 2,400% or 4,900% in these small businesses fees are
preposterous, particularly in the midst of the worst economic
recession in 40 years. Moreover, as New York State struggles to retain
jobs, this fee hike is specifically designed to force 5,000 to 10,000
retail stores to quit selling tobacco, sacrificing a major product
category that historically has driven customer traffic and contributed
to their overall viability.

Rather than reducing tobacco consumption, having fewer licensed
tobacco retail outlets available would drive more smokers to buy from
unlicensed sources of tobacco, such as tribal stores, the Internet,
and the black market - further reducing state excise tax and sales tax
revenue.

In addition, the resulting drop in customer count at those retail
outlets that also sell New York Lottery tickets would reduce lottery
sales, and thus lottery aid to education, an unintended fiscal
consequence that was never factored into the revenue forecasts
provided in the new budget.

 PRIOR LEGISLATIVE HISTORY :
New bill.

 FISCAL IMPLICATIONS :
By preserving tobacco excise tax and sales tax revenue as well as
lottery revenue that otherwise would be lost due to the inability of
thousands of retail establishments to afford the exorbitant

registration fee to continue to sell tobacco products, this bill would
have a net positive revenue impact on the 2009-2010 state budget.

 EFFECTIVE DATE :
This act shall take effect immediately.

2009-S6083A (ACTIVE) - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 6083--A

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                              July 10, 2009
                               ___________

Introduced  by  Sens.  STACHOWSKI,  AUBERTINE,  BONACIC, BRESLIN, KLEIN,
  MAZIARZ, STAVISKY -- read twice and ordered printed, and when  printed
  to  be  committed  to  the  Committee  on  Rules -- recommitted to the
  Committee on Investigations and Government  Operations  in  accordance
  with  Senate  Rule  6,  sec.  8 -- committee discharged, bill amended,
  ordered reprinted as amended and recommitted to said committee

AN ACT to amend the tax law, in relation to  the  registration  fee  for
  retail tobacco dealer registration

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Subparagraphs (ii) and (iii) of paragraph (a)  of  subdivi-
sion  2  of  section  480-a of the tax law, as amended by section 125 of
part C of chapter 58 of the laws of 2009, is amended to read as follows:
  (ii) Each retail dealer must pay an application fee with the quarterly
return described by subparagraph (i) of this paragraph for  each  retail
place  of  business  in  this state through which it sells cigarettes or
tobacco products[, which is based on gross sales of that place of  busi-
ness  during  the previous calendar year]. [The] BEGINNING WITH CALENDAR
YEAR TWO THOUSAND TEN,  THE  application  fee  is[:  one  thousand]  TWO
HUNDRED  dollars  for  each  retail  place of business [with gross sales
totaling less than  one  million  dollars;  two  thousand  five  hundred
dollars  for  each retail place of business with gross sales totaling at
least one million dollars but less than ten million  dollars;  and  five
thousand  dollars  for  each  retail  place of business with gross sales
totaling at least ten million dollars], EXCEPTING THAT A RETAIL PLACE OF
BUSINESS WITH  ACTIVE  POINTS  ON  ITS  TOBACCO  ENFORCEMENT  RECORD  AS
DESCRIBED  IN  SECTION  THIRTEEN  HUNDRED  NINETY-NINE-EE  OF THE PUBLIC
HEALTH LAW SHALL PAY AN ADDITIONAL SURCHARGE. THE SURCHARGE SHALL BE ONE
HUNDRED DOLLARS FOR A RETAIL PLACE OF BUSINESS WITH ONE ACTIVE POINT  AS
OF THE FIRST DAY OF JULY PRECEDING THE CALENDAR YEAR OF REGISTRATION AND
TWO  HUNDRED  DOLLARS  FOR  A  RETAIL  PLACE OF BUSINESS WITH TWO ACTIVE

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD14162-03-0

S. 6083--A                          2

POINTS AS OF THE FIRST DAY OF JULY PRECEDING THE CALENDAR YEAR OF REGIS-
TRATION.
  (iii) Every person who owns or, if the owner is not the operator, then
any person who operates one or more vending machines through which ciga-
rettes or tobacco products are sold in this state, regardless of whether
located on the premises of the vending machine owner or, if the owner is
not  the  operator, then the premises of the operator or the premises of
any other person, must pay an application fee with the quarterly  return
described  by  subparagraph  (i)  of  this  paragraph  for  each vending
machine, which is based on gross sales of that  vending  machine  during
the previous calendar year. [The] BEGINNING WITH CALENDAR YEAR TWO THOU-
SAND  TEN,  THE  application  fee is[:] two hundred [fifty] dollars [for
each vending machine with gross sales totaling  less  than  one  hundred
thousand  dollars;  six  hundred  twenty-five  dollars  for each vending
machine with gross sales totaling at least one hundred thousand  dollars
but  less  than  one million dollars; and one thousand two hundred fifty
dollars for each vending machine with gross sales totaling at least  one
million  dollars]. The department will issue a registration certificate,
as prescribed by the  commissioner,  after  receipt  of  a  registration
application  and  the  appropriate  registration  fee, prior to the next
succeeding January first.
  S 2. This act shall take effect immediately.

Comments

Open Legislation is a forum for New York State legislation. All comments are subject to review and community moderation is encouraged.

Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity, hate or toxic speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Attempts to intimidate and silence contributors or deliberately deceive the public, including excessive or extraneous posting/posts, or coordinated activity, are prohibited and may result in the temporary or permanent banning of the user. Comment moderation is generally performed Monday through Friday. By contributing or voting you agree to the Terms of Participation and verify you are over 13.

Create an account. An account allows you to sign petitions with a single click, officially support or oppose key legislation, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.

Senate Bill S6083

Sponsored By

Archive: Last Bill Status - In Senate Committee Investigations And Government Operations Committee

Bill Amendments

co-Sponsors

2009-S6083 - Details

2009-S6083 - Summary

2009-S6083 - Sponsor Memo

2009-S6083 - Bill Text download pdf

co-Sponsors

2009-S6083A (ACTIVE) - Details

2009-S6083A (ACTIVE) - Summary

2009-S6083A (ACTIVE) - Sponsor Memo

2009-S6083A (ACTIVE) - Bill Text download pdf

Comments

Senate Bill S6083

Share this bill

Sponsored By

Archive: Last Bill Status - In Senate Committee Investigations And Government Operations Committee

Bill Amendments

co-Sponsors

2009-S6083 - Details

2009-S6083 - Summary

2009-S6083 - Sponsor Memo

2009-S6083 - Bill Text download pdf

co-Sponsors

2009-S6083A (ACTIVE) - Details

2009-S6083A (ACTIVE) - Summary

2009-S6083A (ACTIVE) - Sponsor Memo

2009-S6083A (ACTIVE) - Bill Text download pdf

Comments