Assembly Bill A7591

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

                                  7591

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                              May 19, 2015
                               ___________

Introduced  by  M.  of  A.  BENEDETTO  --  read once and referred to the
  Committee on Cities

AN ACT to amend the tax law and the administrative code of the  city  of
  New York, in relation to adding a surcharge for trips taken by pre-ar-
  rangement in for-hire vehicles in New York city

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

  Section 1. Subdivision (u) of section 1280 of the tax law, as added by
chapter 9 of the laws of 2012, is amended  and  three  new  subdivisions
(v), (w), and (x) are added to read as follows:
  (u) "Dispatch trip" means a trip IN A FOR-HIRE VEHICLE THAT ORIGINATES
WHEN A CUSTOMER CONTRACTS A FOR-HIRE VEHICLE BASE TO REQUEST SERVICE AND
THE  FOR-HIRE  VEHICLE BASE DISPATCHES THE SERVICE REQUEST TO THE DRIVER
OF THE FOR-HIRE VEHICLE. DISPATCH TRIP INCLUDES A TRIP in a HAIL vehicle
that originated by a  customer  [calling]  CONTACTING  a  HAIL  base  to
request service and the HAIL base dispatching the [call] SERVICE REQUEST
to  the  driver  of  the  HAIL  vehicle,  and for which the taximeter is
required to be in the recording or hired  position  designating  such  a
trip.
  (V) "FOR-HIRE VEHICLE OWNER" MEANS A PERSON LICENSED BY THE TLC TO OWN
AND  OPERATE  A FOR-HIRE VEHICLE FOR WHICH THE TLC HAS ISSUED A FOR-HIRE
VEHICLE LICENSE. THIS TERM INCLUDES A HAIL VEHICLE OWNER AS  DEFINED  IN
THIS SECTION.
  (W)  "FOR-HIRE VEHICLE LICENSE" MEANS THE AUTHORITY GRANTED BY THE TLC
TO AN OWNER TO OPERATE A FOR-HIRE VEHICLE, INCLUDING A HAIL VEHICLE.
  (X) "FOR-HIRE VEHICLE BASE" MEANS A PERSON OR ENTITY WHO OR  WHICH  IS
LICENSED  PURSUANT  TO  SECTION 19-511 OF THE ADMINISTRATIVE CODE OF THE
CITY OF NEW YORK FOR THE PURPOSE OF DISPATCHING  FOR-HIRE  VEHICLES  AND
WHICH  IS PERMITTED BY THE TLC TO BE AFFILIATED WITH HOLDERS OF FOR-HIRE
VEHICLE LICENSES. THIS TERM INCLUDES A HAIL  BASE  AS  DEFINED  IN  THIS
SECTION.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10969-02-5
              

A. 7591                             2

  S  2. Section 1281 of the tax law, as amended by chapter 9 of the laws
of 2012, is amended to read as follows:
  S  1281.  Imposition  of  tax. In addition to any other tax imposed by
this chapter or other law, there is  hereby  imposed  on  every  taxicab
owner  a tax of fifty cents per taxicab trip [and], on every HAIL base a
tax of fifty cents per HAIL vehicle trip provided by every HAIL  vehicle
affiliated  with  the  base  AND ON EVERY FOR-HIRE VEHICLE BASE A TAX OF
FIFTY CENTS  PER  DISPATCH  TRIP  PROVIDED  BY  EVERY  FOR-HIRE  VEHICLE
DISPATCHED  BY  SUCH BASE, on every trip that originates in the city and
terminates anywhere within the territorial boundaries of the MCTD.
  S 3. Section 1282 of the tax law, as amended by chapter 9 of the  laws
of 2012, is amended to read as follows:
  S  1282.  Presumption  of  taxability.  For  the purpose of the proper
administration of this article and to prevent evasion of the tax imposed
by this article, it shall be presumed that  every  taxicab  trip  [and],
every  HAIL  vehicle trip AND EVERY DISPATCH TRIP that originates in the
city is subject to the tax imposed by  this  article.  This  presumption
shall  prevail  until  the contrary is proven, and the burden of proving
the contrary shall be on the person liable for tax.
  S 4. Subdivisions (a), (c) and (d) of section 1283  of  the  tax  law,
subdivisions  (a)  and  (c)  as  amended and subdivision (d) as added by
chapter 9 of the laws of 2012, are amended to read as follows:
  (a) The taxicab owner or [HAIL] FOR-HIRE VEHICLE base, as the case may
be, shall be liable for the tax imposed by this article.
  (c) (1) Although the tax is imposed on the taxicab owner or the [HAIL]
FOR-HIRE VEHICLE base, the city or the TLC shall adopt  or  amend  ordi-
nances  or  regulations to ensure that the economic incidence of the tax
is passed through to passengers, such as by increasing taxicab  or  HAIL
vehicle  trip  fares.   The passing along of such economic incidence may
not be construed by any court or administrative body as imposing the tax
on any person other than the taxicab owner or the [HAIL] FOR-HIRE  VEHI-
CLE  base. The city or the TLC must adjust trip fares to include therein
the pass-through of the economic incidence of the tax  imposed  by  this
article,  as the rate of such tax may from time to time change, and must
timely require that any taximeter in a taxicab or HAIL vehicle  used  to
provide  trips that originate in the city AND THAT FARES CHARGED BY FOR-
HIRE VEHICLE BASES FOR DISPATCH TRIPS THAT  ORIGINATE  IN  THE  CITY  be
adjusted to include the pass-through.
  (2)  A taxicab owner or a HAIL base or HAIL vehicle owner in such city
must timely adjust the taximeter in any of  such  person's  taxicabs  or
HAIL vehicles so that it reflects such pass-through as such pass-through
amount  may  from  time to time change.  A FOR-HIRE VEHICLE BASE IN SUCH
CITY MUST TIMELY ADJUST FARES FOR DISPATCH TRIPS SO  THAT  THEY  REFLECT
SUCH  PASS-THROUGH  AS  SUCH  PASS-THROUGH  AMOUNT MAY FROM TIME TO TIME
CHANGE.
  (3) Neither the failure of such city or the TLC to adjust  fares,  nor
the  failure of a taxicab owner, HAIL base, HAIL vehicle owner, or other
person to adjust a taximeter, NOR THE FAILURE OF A FOR-HIRE VEHICLE BASE
TO ADJUST FARES FOR DISPATCH TRIPS will relieve any  person  liable  for
the  tax  imposed  by  this  article from the obligation to pay such tax
timely, at the correct rate.
  (d) Nothing in this article shall be construed as limiting the imposi-
tion of any tax imposed by  article  twenty-eight  of  this  chapter  on
transportation  service  provided  by  a  [HAIL]  FOR-HIRE VEHICLE base,
[HAIL] FOR-HIRE vehicle, or owner or operator of a [HAIL] FOR-HIRE vehi-
cle. Nor shall anything in  article  twenty-eight  of  this  chapter  be

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construed  as limiting the imposition of any tax imposed by this article
on a [HAIL] FOR-HIRE vehicle trip or as limiting  the  obligation  on  a
[HAIL] FOR-HIRE VEHICLE base to pay such tax.
  S 5. Subdivisions (a) and (b) of section 1286 of the tax law, subdivi-
sion  (a)  as  amended  and subdivision (b) as added by chapter 9 of the
laws of 2012, are amended to read as follows:
  (a) Every person liable for any tax  imposed  by  this  article  shall
keep:
  (1)  records  of every taxicab or HAIL vehicle trip originating in the
city and [of] RECORDS OF EVERY DISPATCH TRIP ORIGINATING  IN  THE  CITY,
INCLUDING  all amounts paid, charged or due thereon and of the tax paya-
ble thereon, in such form as the commissioner may require;
  (2) a true and complete copy of every contract, agreement, or arrange-
ment concerning the lease, rental, or license to use a taxicab for which
the person is required to remit the tax on trips imposed by this article
on such person;
  (3) a true and complete copy of every contract, agreement, or arrange-
ment concerning the appointment of an agent;
  (4) a true and complete copy of every contract, agreement, or arrange-
ment concerning the affiliation of a [HAIL] FOR-HIRE  vehicle  or  of  a
[HAIL]  FOR-HIRE  vehicle owner or driver with a [HAIL] FOR-HIRE VEHICLE
base;
  (5) true and complete copies of any records required to be kept by the
TLC; and
  (6) such other records and information as the commissioner may require
to perform his or her duties under this article.
  (b) Every person that has contracted with the city or TLC  to  provide
services  to  the  city,  to the TLC, or to persons liable for tax under
this article relating to taximeters, to administering taximeters  or  to
information  obtained from taximeters, and every person that the TLC has
authorized to obtain or possess information generated by  taximeters  OR
RELATING  TO  DISPATCH TRIPS, shall keep true and complete copies of all
meter AND DISPATCH TRIP information.
  S 6. Subdivision (b) of section 1287 of the tax  law,  as  amended  by
chapter 9 of the laws of 2012, is amended to read as follows:
  (b) Notwithstanding the provisions of subdivision (a) of this section,
the  commissioner may, in his or her discretion, permit the proper offi-
cer of the city or the duly authorized representative of  such  officer,
to  inspect  any return filed under this article, or may furnish to such
officer or such officer's authorized representative an abstract  of  any
such  return  or  supply such person with information concerning an item
contained in any such return, or disclosed by any investigation  of  tax
liability  under  this  article; but such permission shall be granted or
such information furnished only if  the  city  or  the  TLC  shall  have
furnished the commissioner with all information requested by the commis-
sioner pursuant to this article and shall have permitted the commission-
er   or   the  commissioner's  authorized  representative  to  make  any
inspection of  any  records  or  reports  concerning  taxicabs,  taxicab
owners,  agents, [HAIL] FOR-HIRE VEHICLE vehicles, [HAIL] FOR-HIRE vehi-
cle owners, and [HAIL] FOR-HIRE VEHICLE bases filed with or possessed by
such city or the TLC which the commissioner may have requested from such
city or the TLC. Provided, further, that the commissioner  may  disclose
to  the  city  or  the  TLC  whether  or not a person liable for the tax
imposed by this article has paid all of the tax due under  this  article
as of any given date.

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  S  7. Section 1289 of the tax law, as amended by chapter 9 of the laws
of 2012, is amended to read as follows:
  S 1289. Cooperation by city. The city and the TLC shall cooperate with
and  assist  the commissioner to effect the purposes of this article and
the commissioner's responsibilities under this article. Such cooperation
shall include the city or TLC obtaining, furnishing, and timely updating
current, complete and accurate names, addresses and all  other  informa-
tion  concerning  every (1) taxicab owner, operator, and driver of taxi-
cabs in the city, (2) agent and vehicle owner, and (3)  [HAIL]  FOR-HIRE
VEHICLE  base,  [HAIL]  FOR-HIRE vehicle owner, [HAIL] FOR-HIRE vehicle,
and driver of a [HAIL] FOR-HIRE vehicle, and the trip records and  other
records of any of them, in the city's possession or in the possession of
any  of  its  agencies,  instrumentalities,  agents, contractors, or any
other person the TLC has authorized or required  to  obtain  or  possess
such  records  or  information,  together with any other information the
commissioner requests, all in a format prescribed by, and  without  cost
to,  the  commissioner.  The  TLC  shall  also  furnish,  or cause to be
furnished, in a format prescribed by the commissioner,  any  records  or
information in the possession of the TLC, any agent or contractor of the
city  or the TLC, or any other person the TLC has authorized or required
to obtain or possess such records or information, concerning the persons
liable for the tax imposed  by  this  article,  including,  among  other
things,  detailed  trip  record information. Such cooperation shall also
include the TLC assigning  identifying  numbers  and  other  identifying
indicia  to  [HAIL]  FOR-HIRE  VEHICLE  bases,  [HAIL]  FOR-HIRE vehicle
owners, [HAIL] FOR-HIRE vehicles, and drivers of [HAIL]  FOR-HIRE  vehi-
cles  in  a  format  prescribed by the commissioner, so as to facilitate
filing returns, paying tax,  and  performing  other  tasks  required  to
administer the tax imposed by this article.
  S 8. Section 19-508 of the administrative code of the city of New York
is amended by adding a new subdivision d to read as follows:
  D.  THE  COMMISSION  BY  RULE  MAY PERMIT OR REQUIRE LICENSED FOR-HIRE
VEHICLES TO CARRY EQUIPMENT TO RECORD TRIP  INFORMATION,  INCLUDING  THE
LICENSING  OF BUSINESSES WHICH MANUFACTURE AND PROVIDE SUCH EQUIPMENT TO
THE OWNERS OF TAXICABS AND LICENSED FOR-HIRE VEHICLES.
  S 9. This act shall take effect on the ninetieth day  after  it  shall
have become a law.