Assembly Bill A10356

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

                                  10356

                          I N  A S S E M B L Y

                              May 24, 2012
                               ___________

Introduced by M. of A. CAHILL -- read once and referred to the Committee
  on Ways and Means

AN  ACT to amend the tax law, in relation to exempting the sale of plug-
  in hybrid electric vehicles from  state  sales  and  compensating  use
  taxes, and to authorize cities and counties to grant such exemption

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

  Section 1. Subdivision (a) of section 1115 of the tax law  is  amended
by adding a new paragraph 44 to read as follows:
  (44)  THE RECEIPTS FROM THE RETAIL SALE OF NEW PLUG-IN HYBRID ELECTRIC
VEHICLES. FOR PURPOSES OF THIS PARAGRAPH THE TERM "PLUG-IN HYBRID  ELEC-
TRIC  VEHICLE"  MEANS A MOTOR VEHICLE, AS DEFINED IN SECTION ONE HUNDRED
TWENTY-FIVE OF THE VEHICLE AND TRAFFIC LAW, THAT:
  (I) DRAWS PROPULSION USING A TRACTION BATTERY WITH AT LEAST FOUR KILO-
WATT HOURS OF CAPACITY;
  (II) USES AN EXTERNAL SOURCE OF ENERGY TO RECHARGE SUCH BATTERY;
  (III) THE ORIGINAL USE OF WHICH COMMENCES WITH THE TAXPAYER;
  (IV) IS ACQUIRED FOR USE OR LEASE BY THE TAXPAYER AND NOT FOR  RESALE;
AND
  (V) IS MADE BY A MANUFACTURER.
  S  2.  Section 1160 of the tax law is amended by adding a new subdivi-
sion (c) to read as follows:
  (C) THE NEW PLUG-IN HYBRID ELECTRIC VEHICLES EXEMPTION PROVIDED FOR IN
PARAGRAPH FORTY-FOUR  OF  SUBDIVISION  (A)  OF  SECTION  ELEVEN  HUNDRED
FIFTEEN  OF  THIS  CHAPTER SHALL NOT APPLY TO OR LIMIT THE IMPOSITION OF
THE TAX IMPOSED PURSUANT TO THIS ARTICLE.
  S 3. Paragraph 1 of subdivision (a) of section 1210 of the tax law, as
amended by section 3 of part GG of chapter 57 of the laws  of  2010,  is
amended to read as follows:
  (1) Either, all of the taxes described in article twenty-eight of this
chapter,  at  the same uniform rate, as to which taxes all provisions of
the local laws, ordinances or resolutions imposing such taxes  shall  be
identical,  except as to rate and except as otherwise provided, with the
corresponding provisions in such  article  twenty-eight,  including  the

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

                                                           LBD15536-03-2

A. 10356                            2

definition  and  exemption  provisions  of  such  article, so far as the
provisions of such article twenty-eight can be made  applicable  to  the
taxes  imposed  by  such  city  or  county and with such limitations and
special  provisions  as are set forth in this article. The taxes author-
ized under this subdivision may not be  imposed  by  a  city  or  county
unless  the  local law, ordinance or resolution imposes such taxes so as
to include all portions and all types of  receipts,  charges  or  rents,
subject  to  state  tax  under  sections  eleven hundred five and eleven
hundred ten of this chapter, except as otherwise provided. (i) Any local
law, ordinance or resolution enacted  by  any  city  of  less  than  one
million  or by any county or school district, imposing the taxes author-
ized by this subdivision, shall, notwithstanding any provision of law to
the contrary, exclude from the operation of such local taxes  all  sales
of  tangible  personal  property  for  use  or  consumption directly and
predominantly in the production  of  tangible  personal  property,  gas,
electricity,  refrigeration  or steam, for sale, by manufacturing, proc-
essing, generating, assembly, refining, mining or  extracting;  and  all
sales of tangible personal property for use or consumption predominantly
either  in  the  production  of tangible personal property, for sale, by
farming or in a commercial horse boarding operation, or  in  both;  and,
unless such city, county or school district elects otherwise, shall omit
the  provision  for credit or refund contained in clause six of subdivi-
sion (a) or subdivision (d) of section eleven hundred nineteen  of  this
chapter.  (ii)  Any  local  law,  ordinance or resolution enacted by any
city, county or school district, imposing the taxes authorized  by  this
subdivision,  shall  omit the residential solar energy systems equipment
exemption provided for in subdivision (ee) [and], the clothing and foot-
wear exemption provided for in paragraph  thirty  AND  THE  NEW  PLUG-IN
HYBRID  ELECTRIC VEHICLES EXEMPTION PROVIDED FOR IN PARAGRAPH FORTY-FOUR
of subdivision (a) of section eleven hundred fifteen  of  this  chapter,
unless  such  city,  county  or  school  district elects otherwise as to
either such residential solar energy systems equipment exemption or such
clothing and footwear exemption OR  SUCH  NEW  PLUG-IN  HYBRID  ELECTRIC
VEHICLE EXEMPTION.
  S  4.  Section 1210 of the tax law is amended by adding a new subdivi-
sion (p) to read as follows:
  (P) NOTWITHSTANDING ANY OTHER PROVISION OF STATE OR LOCAL  LAW,  ORDI-
NANCE OR RESOLUTION TO THE CONTRARY:
  (1)  ANY  CITY HAVING A POPULATION OF ONE MILLION OR MORE IN WHICH THE
TAXES IMPOSED BY SECTION ELEVEN HUNDRED SEVEN OF  THIS  CHAPTER  ARE  IN
EFFECT,  ACTING THROUGH ITS LOCAL LEGISLATIVE BODY, IS HEREBY AUTHORIZED
AND EMPOWERED TO ELECT TO PROVIDE THE SAME EXEMPTIONS FROM SUCH TAXES AS
THE NEW PLUG-IN HYBRID ELECTRIC VEHICLES EXEMPTION FROM STATE SALES  AND
COMPENSATING  USE TAXES DESCRIBED IN PARAGRAPH FORTY-FOUR OF SUBDIVISION
(A) OF SECTION ELEVEN HUNDRED FIFTEEN OF  THIS  CHAPTER  BY  ENACTING  A
RESOLUTION  IN  THE FORM SET FORTH IN PARAGRAPH TWO OF THIS SUBDIVISION;
WHEREUPON, UPON COMPLIANCE WITH THE PROVISIONS OF SUBDIVISIONS  (D)  AND
(E)  OF  THIS SECTION, SUCH ENACTMENT OF SUCH RESOLUTION SHALL BE DEEMED
TO BE AN AMENDMENT TO SUCH SECTION ELEVEN HUNDRED SEVEN AND SUCH SECTION
ELEVEN HUNDRED SEVEN SHALL BE DEEMED TO INCORPORATE SUCH  EXEMPTIONS  AS
IF  THEY  HAD BEEN DULY ENACTED BY THE STATE LEGISLATURE AND APPROVED BY
THE GOVERNOR.
  (2) FORM OF RESOLUTION: BE IT ENACTED BY THE (INSERT PROPER  TITLE  OF
LOCAL LEGISLATIVE BODY) AS FOLLOWS:
  SECTION  ONE.  RECEIPTS  FROM  SALES  OF  AND  CONSIDERATION  GIVEN OR
CONTRACTED TO BE GIVEN FOR, OR FOR THE USE  OF,  PROPERTY  AND  SERVICES

A. 10356                            3

EXEMPT FROM STATE SALES AND COMPENSATING USE TAXES PURSUANT TO PARAGRAPH
44 OF SUBDIVISION (A) OF SECTION 1115 OF THE NEW YORK TAX LAW SHALL ALSO
BE  EXEMPT  FROM SALES AND COMPENSATING USE TAXES IMPOSED IN THIS JURIS-
DICTION.
  SECTION  TWO.  THIS  RESOLUTION SHALL TAKE EFFECT MARCH 1, (INSERT THE
YEAR, BUT NOT EARLIER THAN THE YEAR 2012) AND SHALL APPLY TO SALES MADE,
SERVICES RENDERED AND USES OCCURRING ON AND AFTER THAT DATE  IN  ACCORD-
ANCE  WITH THE APPLICABLE TRANSITIONAL PROVISIONS IN SECTIONS 1106, 1216
AND 1217 OF THE NEW YORK TAX LAW.
  S 5. This act shall take effect October 1, 2012.