senate Bill S2989B

2011-2012 Legislative Session

Provides a tax credit for farmers who use qualified biodiesel fuel for the sole operation of their farm equipment

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Sponsored By

Archive: Last Bill Status - In Committee


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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Actions

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
May 24, 2012 print number 2989c
amend and recommit to finance
May 22, 2012 reported and committed to finance
May 16, 2012 print number 2989b
amend and recommit to investigations and government operations
Jan 25, 2012 print number 2989a
amend and recommit to investigations and government operations
Jan 04, 2012 referred to investigations and government operations
Feb 04, 2011 referred to investigations and government operations

Votes

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May 22, 2012 - Investigations and Government Operations committee Vote

S2989B
6
0
committee
6
Aye
0
Nay
2
Aye with Reservations
0
Absent
0
Excused
0
Abstained
show Investigations and Government Operations committee vote details

Investigations and Government Operations Committee Vote: May 22, 2012

aye wr (2)

Bill Amendments

Original
A
B
C (Active)
Original
A
B
C (Active)

S2989 - Bill Details

See Assembly Version of this Bill:
A7132B
Current Committee:
Law Section:
Tax Law
Laws Affected:
Amd §§210 & 606, Tax L
Versions Introduced in 2009-2010 Legislative Session:
S7761, A4856

S2989 - Bill Texts

view summary

Provides a tax credit for farmers who use qualified biodiesel fuel for the sole operation of their farm equipment.

view sponsor memo
BILL NUMBER:S2989

TITLE OF BILL:
An act
to amend the tax law, in relation to providing a tax credit to farmers
who purchase biodiesel fuel for the operation of their farm equipment

PURPOSE OR GENERAL IDEA OF BILL:
To create incentives for farmers to use homegrown biodiesel for
operation of their farm equipment rather than petro-gas.

SUMMARY OF SPECIFIC PROVISIONS:
Section 1: Establishes a tax credit of 50.01 per percent of biodiesel
per gallon, not to exceed twenty cents per gallon purchased by a
taxpayer that is principally engaged in farming.

(b) - Defines Biodiesel

(c) - Establishes the application of the credit.

JUSTIFICATION:
Studies have shown that diesel fumes contain particulate matter which
can trigger asthma attacks and other respiratory ailments in
children and that levels of diesel fumes are up to four times greater
inside a bus than ambient levels. Diesel exhaust is classified as a
probable human carcinogen by many government authorities including
the state attorney general. In addition, dark particles from diesel
fuel have been found embedded in glacial ice contributing to rapid
melting of polar ice. By giving incentives to farmers to use
biodiesel it encourages responsible farming and allows farmers an
economic incentive to use such products.

PRIOR LEGISLATIVE HISTORY:
06/01/07 Referred to Ways and Means
01/09/08 Referred to Ways and Means
06/19/08 Held for Consideration in Ways and Means
05/06/10 Referred to Investigations and Government Operations

FISCAL IMPLICATIONS:
Loss of sales tax revenue.

EFFECTIVE DATE:
This act shall take effect immediately.

view full text
download pdf
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  2989

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                            February 4, 2011
                               ___________

Introduced  by  Sen. MAZIARZ -- read twice and ordered printed, and when
  printed to be committed to the Committee on Investigations and Govern-
  ment Operations

AN ACT to amend the tax law, in relation to providing a  tax  credit  to
  farmers  who  purchase  biodiesel fuel for the operation of their farm
  equipment

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

  Section  1.  Section  210  of  the  tax law is amended by adding a new
subdivision 43 to read as follows:
  43. CREDIT FOR BIODIESEL FUEL USED IN FARMING EQUIPMENT.   (A)  ALLOW-
ANCE  OF  CREDIT.  A  TAXPAYER THAT IS A BUSINESS PRINCIPALLY ENGAGED IN
FARMING, AS  SUCH TERM IS DEFINED IN PARAGRAPH NINETEEN  OF  SUBDIVISION
(B)  OF  SECTION  ELEVEN  HUNDRED ONE OF THIS CHAPTER SHALL BE ALLOWED A
CREDIT AGAINST THE TAX IMPOSED BY THIS   ARTICLE  FOR  THE  PURCHASE  OF
BIODIESEL  FUEL  TO  BE  USED IN FARMING EQUIPMENT. SUCH CREDIT SHALL BE
$0.01 PER PERCENT OF BIODIESEL PER GALLON  OF  BIOHEAT,  NOT  TO  EXCEED
TWENTY CENTS PER GALLON, PURCHASED BY SUCH TAXPAYER.
  (B)  FOR PURPOSES OF THIS SUBDIVISION, THE TERM "BIODIESEL" SHALL MEAN
A FUEL COMPRISED EXCLUSIVELY OF MONOALKYL ESTERS  OF  LONG  CHAIN  FATTY
ACIDS DERIVED FROM VEGETABLE OILS OR ANIMAL FATS, DESIGNATED B100, WHICH
MEETS  THE  SPECIFICATIONS  OF AMERICAN SOCIETY OF TESTING AND MATERIALS
DESIGNATION D 6751.
  (C) APPLICATION OF CREDIT. IF THE AMOUNT OF THE CREDIT  ALLOWED  UNDER
THIS  SUBDIVISION  FOR  ANY TAXABLE YEAR SHALL EXCEED THE TAXPAYER'S TAX
FOR SUCH YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF  TAX  TO
BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION ONE
THOUSAND EIGHTY-SIX OF THIS CHAPTER, PROVIDED, HOWEVER, THAT NO INTEREST
SHALL  BE  PAID  ON  SUCH  REFUND,  NOTWITHSTANDING  THE  PROVISIONS  OF
SUBSECTION (C) OF SECTION ONE  THOUSAND EIGHTY-EIGHT OF THIS CHAPTER.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08610-01-1

S. 2989                             2

  S 2. Section 606 of the tax law is amended by adding a new  subsection
(ss) to read as follows:
  (SS)  CREDIT  FOR BIODIESEL FUEL USED IN FARMING EQUIPMENT. (1) ALLOW-
ANCE OF CREDIT. A TAXPAYER WHOSE FEDERAL GROSS INCOME FROM  FARMING  FOR
THE  TAXABLE  YEAR IS AT LEAST TWO-THIRDS OF EXCESS FEDERAL GROSS INCOME
SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY  THIS  ARTICLE  FOR
THE  PURCHASE  OF  BIODIESEL  FUEL TO BE USED IN FARMING EQUIPMENT. SUCH
CREDIT SHALL BE $0.01 PER PERCENT OF BIODIESEL PER  GALLON  OF  BIOHEAT,
NOT TO EXCEED TWENTY CENTS PER GALLON, PURCHASED BY SUCH TAXPAYER.
  (2)  APPLICATION  OF CREDIT. IF THE AMOUNT OF THE CREDIT ALLOWED UNDER
THIS SUBSECTION FOR ANY TAXABLE YEAR SHALL EXCEED THE TAXPAYER'S TAX FOR
SUCH YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF  TAX  TO  BE
CREDITED  OR  REFUNDED  IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX
HUNDRED EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO  INTEREST
SHALL BE PAID THEREON.
  S 3. This act shall take effect immediately.

S2989A - Bill Details

See Assembly Version of this Bill:
A7132B
Current Committee:
Law Section:
Tax Law
Laws Affected:
Amd §§210 & 606, Tax L
Versions Introduced in 2009-2010 Legislative Session:
S7761, A4856

S2989A - Bill Texts

view summary

Provides a tax credit for farmers who use qualified biodiesel fuel for the sole operation of their farm equipment.

view sponsor memo
BILL NUMBER:S2989A

TITLE OF BILL:
An act
to amend the tax law, in relation to providing a tax credit to farmers
who purchase biodiesel fuel for the operation of their farm equipment

PURPOSE OR GENERAL IDEA OF BILL:
To create incentives for farmers to use homegrown biodiesel for
operation of their farm equipment rather than petro-gas.

SUMMARY OF SPECIFIC PROVISIONS:
Section 1: Establishes a tax credit of $0.01 per percent of biodiesel
per gallon, not to exceed twenty cents per gallon purchased by a
taxpayer that is principally engaged in farming.

(b) - Defines Biodiesel

(c) - Establishes the application of the credit.

JUSTIFICATION:
Studies have shown that diesel fumes contain particulate matter which
can trigger asthma attacks and other respiratory ailments in children
and that levels of diesel fumes are up to four times greater inside a
bus than ambient levels. Diesel exhaust is classified as a probable
human carcinogen by many government authorities including the state
attorney general. In addition, dark particles from diesel fuel have
been found embedded in glacial ice contributing to rapid melting of
polar ice. By giving incentives to farmers to use biodiesel it
encourages responsible farming and allows farmers an economic
incentive to use such products.

PRIOR LEGISLATIVE HISTORY:
06/01/07 Referred to Ways and Means
01/09/08 Referred to Ways and Means
06/19/08 Held for Consideration in Ways and Means
05/06/10 Referred to Investigations and Government Operations

FISCAL IMPLICATIONS:
Loss of sales tax revenue.

EFFECTIVE DATE:
This act shall take effect immediately.

view full text
download pdf
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 2989--A

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                            February 4, 2011
                               ___________

Introduced  by  Sen. MAZIARZ -- read twice and ordered printed, and when
  printed to be committed to the Committee on Investigations and Govern-
  ment Operations -- 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 providing a tax credit to
  farmers who purchase biodiesel fuel for the operation  of  their  farm
  equipment

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

  Section 1. Section 210 of the tax law  is  amended  by  adding  a  new
subdivision 45 to read as follows:
  45.  CREDIT  FOR BIODIESEL FUEL USED IN FARMING EQUIPMENT.  (A) ALLOW-
ANCE OF CREDIT. A TAXPAYER THAT IS A  BUSINESS  PRINCIPALLY  ENGAGED  IN
FARMING,  AS   SUCH TERM IS DEFINED IN PARAGRAPH NINETEEN OF SUBDIVISION
(B) OF SECTION ELEVEN HUNDRED ONE OF THIS CHAPTER  SHALL  BE  ALLOWED  A
CREDIT  AGAINST  THE  TAX  IMPOSED BY THIS   ARTICLE FOR THE PURCHASE OF
BIODIESEL FUEL TO BE USED IN FARMING EQUIPMENT.  SUCH  CREDIT  SHALL  BE
$0.01  PER  PERCENT  OF  BIODIESEL  PER GALLON OF BIOHEAT, NOT TO EXCEED
TWENTY CENTS PER GALLON, PURCHASED BY SUCH TAXPAYER.
  (B) FOR PURPOSES OF THIS SUBDIVISION, THE TERM "BIODIESEL" SHALL  MEAN
A  FUEL  COMPRISED  EXCLUSIVELY  OF MONOALKYL ESTERS OF LONG CHAIN FATTY
ACIDS DERIVED FROM VEGETABLE OILS OR ANIMAL FATS, DESIGNATED B100, WHICH
MEETS THE SPECIFICATIONS OF AMERICAN SOCIETY OF  TESTING  AND  MATERIALS
DESIGNATION D 6751.
  (C)  APPLICATION  OF CREDIT. IF THE AMOUNT OF THE CREDIT ALLOWED UNDER
THIS SUBDIVISION FOR ANY TAXABLE YEAR SHALL EXCEED  THE  TAXPAYER'S  TAX
FOR  SUCH  YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO
BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION ONE
THOUSAND EIGHTY-SIX OF THIS CHAPTER, PROVIDED, HOWEVER, THAT NO INTEREST

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08610-02-2

S. 2989--A                          2

SHALL  BE  PAID  ON  SUCH  REFUND,  NOTWITHSTANDING  THE  PROVISIONS  OF
SUBSECTION (C) OF SECTION ONE  THOUSAND EIGHTY-EIGHT OF THIS CHAPTER.
  S  2. Section 606 of the tax law is amended by adding a new subsection
(uu) to read as follows:
  (UU) CREDIT FOR BIODIESEL FUEL USED IN FARMING EQUIPMENT.  (1)  ALLOW-
ANCE  OF  CREDIT. A TAXPAYER WHOSE FEDERAL GROSS INCOME FROM FARMING FOR
THE TAXABLE YEAR IS AT LEAST TWO-THIRDS OF EXCESS FEDERAL  GROSS  INCOME
SHALL  BE  ALLOWED  A CREDIT AGAINST THE TAX IMPOSED BY THIS ARTICLE FOR
THE PURCHASE OF BIODIESEL FUEL TO BE USED  IN  FARMING  EQUIPMENT.  SUCH
CREDIT  SHALL  BE  $0.01 PER PERCENT OF BIODIESEL PER GALLON OF BIOHEAT,
NOT TO EXCEED TWENTY CENTS PER GALLON, PURCHASED BY SUCH TAXPAYER.
  (2) APPLICATION OF CREDIT. IF THE AMOUNT OF THE CREDIT  ALLOWED  UNDER
THIS SUBSECTION FOR ANY TAXABLE YEAR SHALL EXCEED THE TAXPAYER'S TAX FOR
SUCH  YEAR,  THE  EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE
CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS  OF  SECTION  SIX
HUNDRED  EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST
SHALL BE PAID THEREON.
  S 3. This act shall take effect immediately.

S2989B - Bill Details

See Assembly Version of this Bill:
A7132B
Current Committee:
Law Section:
Tax Law
Laws Affected:
Amd §§210 & 606, Tax L
Versions Introduced in 2009-2010 Legislative Session:
S7761, A4856

S2989B - Bill Texts

view summary

Provides a tax credit for farmers who use qualified biodiesel fuel for the sole operation of their farm equipment.

view sponsor memo
BILL NUMBER:S2989B

TITLE OF BILL:
An act to amend the tax law, in relation to providing a tax credit to
farmers who purchase biodiesel fuel for the operation of their farm
equipment

PURPOSE OR GENERAL IDEA OF BILL:
To create incentives for farmers to use homegrown biodiesel for opera-
tion of their farm equipment rather than petro-gas.

SUMMARY OF SPECIFIC PROVISIONS:
Section 1 and 2: Establishes a tax credit of $0.01 per percent of biod-
iesel per gallon, not to exceed twenty cents per gallon purchased by a
taxpayer that is principally engaged in farming.

(b) - Defines Biodiesel and Qualified Biodiesel

(c) - Establishes the application of the credit.

Section 3: is the Effective Date

JUSTIFICATION:
Studies have shown that diesel fumes contain particulate matter which
can trigger asthma attacks and other respiratory ailments in children
and that levels of diesel fumes are up to four times greater inside a
bus than ambient levels. Diesel exhaust is classified as a probable
human carcinogen by many government authorities including the state
attorney general. In addition, dark particles from diesel fuel have been
found embedded in glacial ice contributing to rapid melting of polar
ice. By giving incentives to farmers to use biodiesel it encourages
responsible farming and allows farmers an economic incentive to use such
products.

PRIOR LEGISLATIVE HISTORY:
06/01/07 Referred to Ways and Means
01/09/08 Referred to Ways and Means
06/19/08 Held for Consideration in Ways and Means
05/06/10 Referred to Investigations and Government Operations

FISCAL IMPLICATIONS:
Loss of sales tax revenue.

EFFECTIVE DATE:
This act shall take effect immediately.

view full text
download pdf
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 2989--B

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                            February 4, 2011
                               ___________

Introduced  by  Sen. MAZIARZ -- read twice and ordered printed, and when
  printed to be committed to the Committee on Investigations and Govern-
  ment Operations -- 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 -- committee discharged, bill amended,
  ordered reprinted as amended and recommitted to said committee

AN ACT to amend the tax law, in relation to providing a  tax  credit  to
  farmers  who  purchase  biodiesel fuel for the operation of their farm
  equipment

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

  Section  1.  Section  210  of  the  tax law is amended by adding a new
subdivision 45 to read as follows:
  45. CREDIT FOR BIODIESEL FUEL USED IN FARMING EQUIPMENT.   (A)  ALLOW-
ANCE  OF  CREDIT.  A  TAXPAYER THAT IS A BUSINESS PRINCIPALLY ENGAGED IN
FARMING, AS  SUCH TERM IS DEFINED IN PARAGRAPH NINETEEN  OF  SUBDIVISION
(B)  OF  SECTION  ELEVEN  HUNDRED ONE OF THIS CHAPTER SHALL BE ALLOWED A
CREDIT AGAINST THE TAX IMPOSED BY THIS   ARTICLE  FOR  THE  PURCHASE  OF
QUALIFIED  BIODIESEL FUEL TO BE USED IN FARMING EQUIPMENT IN THIS STATE.
SUCH CREDIT SHALL BE $0.01 PER PERCENT OF BIODIESEL PER GALLON OF QUALI-
FIED BIODIESEL FUEL, NOT TO EXCEED TWENTY CENTS PER GALLON, PURCHASED BY
SUCH TAXPAYER DURING THE TAXABLE YEAR AND USED IN FARMING EQUIPMENT.
  (B) FOR PURPOSES OF THIS SUBDIVISION, THE FOLLOWING DEFINITIONS  SHALL
APPLY:
  (1)  "BIODIESEL"  SHALL MEAN A FUEL COMPRISED EXCLUSIVELY OF MONOALKYL
ESTERS OF LONG CHAIN FATTY ACIDS DERIVED FROM VEGETABLE OILS  OR  ANIMAL
FATS, DESIGNATED B100, WHICH MEETS THE SPECIFICATIONS OF AMERICAN SOCIE-
TY OF TESTING AND MATERIALS DESIGNATION D 6751.
  (2) "QUALIFIED BIODIESEL" SHALL MEAN A FUEL THAT IS A MIXTURE OF BIOD-
IESEL AND DIESEL MOTOR FUEL.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08610-04-2

S. 2989--B                          2

  (C)  APPLICATION  OF CREDIT. IF THE AMOUNT OF THE CREDIT ALLOWED UNDER
THIS SUBDIVISION FOR ANY TAXABLE YEAR SHALL EXCEED  THE  TAXPAYER'S  TAX
FOR  SUCH  YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO
BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION ONE
THOUSAND EIGHTY-SIX OF THIS CHAPTER, PROVIDED, HOWEVER, THAT NO INTEREST
SHALL  BE  PAID  ON  SUCH  REFUND,  NOTWITHSTANDING  THE  PROVISIONS  OF
SUBSECTION (C) OF SECTION ONE  THOUSAND EIGHTY-EIGHT OF THIS CHAPTER.
  S 2. Section 606 of the tax law is amended by adding a new  subsection
(uu) to read as follows:
  (UU)  CREDIT  FOR BIODIESEL FUEL USED IN FARMING EQUIPMENT. (1) ALLOW-
ANCE OF CREDIT. A TAXPAYER WHOSE FEDERAL GROSS INCOME FROM  FARMING  FOR
THE  TAXABLE  YEAR IS AT LEAST TWO-THIRDS OF EXCESS FEDERAL GROSS INCOME
SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY  THIS  ARTICLE  FOR
THE PURCHASE OF QUALIFIED BIODIESEL FUEL TO BE USED IN FARMING EQUIPMENT
IN  THIS STATE.  SUCH CREDIT SHALL BE $0.01 PER PERCENT OF BIODIESEL PER
GALLON OF QUALIFIED BIODIESEL FUEL,  NOT  TO  EXCEED  TWENTY  CENTS  PER
GALLON,  PURCHASED  BY SUCH TAXPAYER DURING THE TAXABLE YEAR AND USED IN
FARMING EQUIPMENT.
  (2) DEFINITIONS. FOR PURPOSES OF THIS SUBSECTION, THE FOLLOWING  DEFI-
NITIONS SHALL APPLY:
  (A)  "EXCESS  FEDERAL  GROSS INCOME" MEANS THE AMOUNT OF FEDERAL GROSS
INCOME FROM ALL SOURCES FOR THE TAXABLE YEAR REDUCED BY THE SUM (NOT  TO
EXCEED THIRTY THOUSAND DOLLARS) OF THOSE ITEMS INCLUDED IN FEDERAL GROSS
INCOME  WHICH  CONSIST  OF  (I)  EARNED  INCOME,  (II) PENSION PAYMENTS,
INCLUDING SOCIAL SECURITY PAYMENTS, (III) INTEREST, AND (IV)  DIVIDENDS.
FOR  PURPOSES  OF  THIS  PARAGRAPH,  THE TERM "EARNED INCOME" SHALL MEAN
WAGES, SALARIES, TIPS AND OTHER EMPLOYEE COMPENSATION, AND  THOSE  ITEMS
OF  GROSS INCOME WHICH ARE INCLUDIBLE IN THE COMPUTATION OF NET EARNINGS
FROM SELF-EMPLOYMENT. FOR THE PURPOSES OF THIS PARAGRAPH, PAYMENTS  FROM
THE  STATE'S FARMLAND PROTECTION PROGRAM, ADMINISTERED BY THE DEPARTMENT
OF AGRICULTURE AND MARKETS, SHALL BE INCLUDED AS  FEDERAL  GROSS  INCOME
FROM FARMING.
  (B) "BIODIESEL" MEANS A FUEL COMPRISED EXCLUSIVELY OF MONOALKYL ESTERS
OF  LONG  CHAIN  FATTY ACIDS DERIVED FROM VEGETABLE OILS OR ANIMAL FATS,
DESIGNATED B100, WHICH MEETS THE SPECIFICATIONS OF AMERICAN  SOCIETY  OF
TESTING AND MATERIALS DESIGNATION D 6751.
  (C)  "QUALIFIED BIODIESEL" MEANS A FUEL THAT IS A MIXTURE OF BIODIESEL
AND DIESEL MOTOR FUEL.
  (3) APPLICATION OF CREDIT. IF THE AMOUNT OF THE CREDIT  ALLOWED  UNDER
THIS SUBSECTION FOR ANY TAXABLE YEAR SHALL EXCEED THE TAXPAYER'S TAX FOR
SUCH  YEAR,  THE  EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE
CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS  OF  SECTION  SIX
HUNDRED  EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST
SHALL BE PAID THEREON.
  S 3. This act shall take effect immediately and shall apply to taxable
years beginning on and after January 1, 2013.

S2989C (ACTIVE) - Bill Details

See Assembly Version of this Bill:
A7132B
Current Committee:
Law Section:
Tax Law
Laws Affected:
Amd §§210 & 606, Tax L
Versions Introduced in 2009-2010 Legislative Session:
S7761, A4856

S2989C (ACTIVE) - Bill Texts

view summary

Provides a tax credit for farmers who use qualified biodiesel fuel for the sole operation of their farm equipment.

view sponsor memo
BILL NUMBER:S2989C

TITLE OF BILL:
An act to amend the tax law, in relation to providing a tax credit to
farmers who purchase biodiesel fuel for the operation of their farm
equipment

PURPOSE OR GENERAL IDEA OF BILL:
To create incentives for farmers to use homegrown biodiesel for opera-
tion of their farm equipment rather than petro-gas.

SUMMARY OF SPECIFIC PROVISIONS:
Section 1 and 2: Establishes a tax credit of $0.01 per percent of biod-
iesel per gallon, not to exceed twenty cents per gallon purchased by a
taxpayer that is principally engaged in farming.

(b) - Defines Biodiesel and Qualified Biodiesel

(c) - Establishes the application of the credit.

Section 3: is the Effective Date

JUSTIFICATION:
Studies have shown that diesel fumes contain particulate matter which
can trigger asthma attacks and other respiratory ailments in children
and that levels of diesel fumes are up to four times greater inside a
bus than ambient levels. Diesel exhaust is classified as a probable
human carcinogen by many government authorities including the state
attorney general. In addition, dark particles from diesel fuel have been
found embedded in glacial ice contributing to rapid melting of polar
ice. By giving incentives to farmers to use biodiesel it encourages
responsible farming and allows farmers an economic incentive to use such
products.

PRIOR LEGISLATIVE HISTORY:
06/01/07 Referred to Ways and Means
01/09/08 Referred to Ways and Means
06/19/08 Held for Consideration in Ways and Means
05/06/10 Referred to Investigations and Government Operations

FISCAL IMPLICATIONS:
Loss of sales tax revenue.

EFFECTIVE DATE:
This act shall take effect immediately.

view full text
download pdf
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 2989--C

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                            February 4, 2011
                               ___________

Introduced  by  Sen. MAZIARZ -- read twice and ordered printed, and when
  printed to be committed to the Committee on Investigations and Govern-
  ment Operations -- 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 -- committee discharged, bill amended,
  ordered reprinted as amended and  recommitted  to  said  committee  --
  reported  favorably from said committee and committed to the Committee
  on Finance -- committee discharged, bill amended, ordered reprinted as
  amended and recommitted to said committee

AN ACT to amend the tax law, in relation to providing a  tax  credit  to
  farmers  who  purchase  biodiesel fuel for the operation of their farm
  equipment

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

  Section  1.  Section  210  of  the  tax law is amended by adding a new
subdivision 45 to read as follows:
  45. CREDIT FOR BIODIESEL FUEL USED IN FARMING EQUIPMENT.   (A)  ALLOW-
ANCE  OF  CREDIT.  A  TAXPAYER THAT IS A BUSINESS PRINCIPALLY ENGAGED IN
FARMING, AS  SUCH TERM IS DEFINED IN PARAGRAPH NINETEEN  OF  SUBDIVISION
(B)  OF  SECTION  ELEVEN  HUNDRED ONE OF THIS CHAPTER SHALL BE ALLOWED A
CREDIT AGAINST THE TAX IMPOSED BY THIS   ARTICLE  FOR  THE  PURCHASE  OF
QUALIFIED  BIODIESEL FUEL TO BE USED IN FARMING EQUIPMENT IN THIS STATE.
SUCH CREDIT SHALL BE $0.01 PER PERCENT OF BIODIESEL PER GALLON OF QUALI-
FIED BIODIESEL FUEL, NOT TO EXCEED TWENTY CENTS PER GALLON, PURCHASED BY
SUCH TAXPAYER DURING THE TAXABLE YEAR AND USED IN FARMING EQUIPMENT.
  (B) FOR PURPOSES OF THIS SUBDIVISION, THE FOLLOWING DEFINITIONS  SHALL
APPLY:
  (1)  "BIODIESEL"  SHALL MEAN A FUEL COMPRISED EXCLUSIVELY OF MONOALKYL
ESTERS OF LONG CHAIN FATTY ACIDS DERIVED FROM VEGETABLE OILS  OR  ANIMAL

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08610-06-2

S. 2989--C                          2

FATS, DESIGNATED B100, WHICH MEETS THE SPECIFICATIONS OF AMERICAN SOCIE-
TY OF TESTING AND MATERIALS DESIGNATION D 6751.
  (2) "QUALIFIED BIODIESEL" SHALL MEAN A FUEL THAT IS A MIXTURE OF BIOD-
IESEL AND DIESEL MOTOR FUEL.
  (C)  APPLICATION  OF  CREDIT.    IN  NO  EVENT SHALL THE CREDIT HEREIN
PROVIDED FOR BE ALLOWED IN AN AMOUNT WHICH WILL REDUCE THE  TAX  PAYABLE
TO  LESS THAN THE HIGHER OF THE AMOUNTS PRESCRIBED IN PARAGRAPHS (C) AND
(D) OF SUBDIVISION ONE OF THIS  SECTION.  HOWEVER, IF THE AMOUNT OF  THE
CREDIT  ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR SHALL EXCEED
THE TAXPAYER'S TAX FOR SUCH YEAR, THE EXCESS  SHALL  BE  TREATED  AS  AN
OVERPAYMENT  OF  TAX  TO  BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE
PROVISIONS OF SECTION ONE THOUSAND EIGHTY-SIX OF THIS CHAPTER, PROVIDED,
HOWEVER, THAT NO INTEREST SHALL BE PAID ON SUCH REFUND,  NOTWITHSTANDING
THE PROVISIONS OF SUBSECTION (C) OF SECTION ONE THOUSAND EIGHTY-EIGHT OF
THIS CHAPTER.
  S  2. Section 606 of the tax law is amended by adding a new subsection
(uu) to read as follows:
  (UU) CREDIT FOR BIODIESEL FUEL USED IN FARMING EQUIPMENT.  (1)  ALLOW-
ANCE  OF  CREDIT. A TAXPAYER WHOSE FEDERAL GROSS INCOME FROM FARMING FOR
THE TAXABLE YEAR IS AT LEAST TWO-THIRDS OF EXCESS FEDERAL  GROSS  INCOME
SHALL  BE  ALLOWED  A CREDIT AGAINST THE TAX IMPOSED BY THIS ARTICLE FOR
THE PURCHASE OF QUALIFIED BIODIESEL FUEL TO BE USED IN FARMING EQUIPMENT
IN THIS STATE.  SUCH CREDIT SHALL BE $0.01 PER PERCENT OF BIODIESEL  PER
GALLON  OF  QUALIFIED  BIODIESEL  FUEL,  NOT  TO EXCEED TWENTY CENTS PER
GALLON, PURCHASED BY SUCH TAXPAYER DURING THE TAXABLE YEAR AND  USED  IN
FARMING EQUIPMENT.
  (2)  DEFINITIONS. FOR PURPOSES OF THIS SUBSECTION, THE FOLLOWING DEFI-
NITIONS SHALL APPLY:
  (A) "EXCESS FEDERAL GROSS INCOME" MEANS THE AMOUNT  OF  FEDERAL  GROSS
INCOME  FROM ALL SOURCES FOR THE TAXABLE YEAR REDUCED BY THE SUM (NOT TO
EXCEED THIRTY THOUSAND DOLLARS) OF THOSE ITEMS INCLUDED IN FEDERAL GROSS
INCOME WHICH CONSIST  OF  (I)  EARNED  INCOME,  (II)  PENSION  PAYMENTS,
INCLUDING  SOCIAL SECURITY PAYMENTS, (III) INTEREST, AND (IV) DIVIDENDS.
FOR PURPOSES OF THIS PARAGRAPH, THE  TERM  "EARNED  INCOME"  SHALL  MEAN
WAGES,  SALARIES,  TIPS AND OTHER EMPLOYEE COMPENSATION, AND THOSE ITEMS
OF GROSS INCOME WHICH ARE INCLUDIBLE IN THE COMPUTATION OF NET  EARNINGS
FROM  SELF-EMPLOYMENT. FOR THE PURPOSES OF THIS PARAGRAPH, PAYMENTS FROM
THE STATE'S FARMLAND PROTECTION PROGRAM, ADMINISTERED BY THE  DEPARTMENT
OF  AGRICULTURE  AND  MARKETS, SHALL BE INCLUDED AS FEDERAL GROSS INCOME
FROM FARMING.
  (B) "BIODIESEL" MEANS A FUEL COMPRISED EXCLUSIVELY OF MONOALKYL ESTERS
OF LONG CHAIN FATTY ACIDS DERIVED FROM VEGETABLE OILS  OR  ANIMAL  FATS,
DESIGNATED  B100,  WHICH MEETS THE SPECIFICATIONS OF AMERICAN SOCIETY OF
TESTING AND MATERIALS DESIGNATION D 6751.
  (C) "QUALIFIED BIODIESEL" MEANS A FUEL THAT IS A MIXTURE OF  BIODIESEL
AND DIESEL MOTOR FUEL.
  (3)  APPLICATION  OF CREDIT. IF THE AMOUNT OF THE CREDIT ALLOWED UNDER
THIS SUBSECTION FOR ANY TAXABLE YEAR SHALL EXCEED THE TAXPAYER'S TAX FOR
SUCH YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF  TAX  TO  BE
CREDITED  OR  REFUNDED  IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX
HUNDRED EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO  INTEREST
SHALL BE PAID THEREON.
  S 3. This act shall take effect immediately and shall apply to taxable
years beginning on and after January 1, 2013.

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