NY State Senate Bill 2019-S4557A

Senate Bill S4557A

2019-2020 Legislative Session

Relates to the imposition of sales taxes on goods or services purchased from businesses which employ 20 or less persons

download bill text pdf

Archive: Last Bill Status - In Senate Committee Budget And Revenue 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
Jan 08, 2020	referred to budget and revenue
Apr 22, 2019	print number 4557a
Apr 22, 2019	amend (t) and recommit to budget and revenue
Mar 14, 2019	referred to budget and revenue

Bill Amendments

Original

A (Active)

2019-S4557 - Details

See Assembly Version of this Bill:: A7204
Current Committee:: Senate Budget And Revenue
Law Section:: Tax Law
Laws Affected:: Amd §1105, Tax L
Versions Introduced in Other Legislative Sessions:: 2021-2022: S1083, A2318
2023-2024: S283, A2259

2019-S4557 - Summary

Provides that the tax imposed upon the sales on goods or services purchased from businesses which employ twenty of less persons, are resident in this state, are independently owned and operated and not dominant in their field shall be two percent.

2019-S4557 - Sponsor Memo

                                
 
BILL NUMBER: S4557

SPONSOR: GOUNARDES
 
TITLE OF BILL:  An act to amend the tax law, in relation to the impo-
sition of sales taxes on goods or services purchased from small busi-
nesses

 
PURPOSE OR GENERAL IDEA OF BILL:

This legislation will help small businesses by lowering the sales tax
rate for goods and services purchased.

 
SUMMARY OF PROVISIONS:

Section one of this bill amends the opening paragraph of Tax Law section
1105 to provide that the State sales tax for purchases from a small
business, as defined in Economic Development Law section 131, shall be 2
percent. Section 131 provides that "a small business shall be deemed to
be one which is resident in this state, independently owned and oper-
ated, not dominant in its field and employs one hundred or less
persons."

Section two of this bill provides that this act shall take effect on the
first day of the sales tax quarterly period, as described in subdivision
(b) of section 1136 of the tax law, next commencing at least 90 days
after this act shall have become a law and shall apply in accordance
with the applicable transitional provisions of sections 1106 and 1217 of
the tax law.

 
CURRENT LAW:

Currently, unless an exemption applies, the State sales tax on goods and
services purchased within New York is 4%.

 
JUSTIFICATION:

According to the statistics released by the United States Small Business
Commission, in 2018, 50.2% of New York employees were employed by one of
the 2,143,667 New York small business.  Additionally, in 2015, the top
industries with the greatest percentage of small business employees
were: Agriculture, Forestry, and Fishing and Hunting (92.1%),
Construction (90.7%), and Other Services (except Public Administration)
(86.2%).

Further, New York's small businesses accounted for over half of the
State's exports in 2015.

While these statistics are impressive, for New York ranked 36th in busi-
ness employment growth at 0.4%. We need to help increase the growth of
jobs in New York. Small businesses, which represent over half of the New
York employers, are poised to expand and increase employment. This bill
will help them expend in New York's second largest employment sector,
retail trade.

 
PRIOR LEGISLATIVE HISTORY:

New bill.

 
FISCAL IMPLICATIONS:
To be determined.

 
EFFECTIVE DATE:
This act shall take effect on the first day of the sales tax quarterly
period, as described in subdivision (b) of section 1136 of the tax law,
next commencing at least 90 days after this act shall have become a law
and shall apply in accordance with the applicable transitional
provisions of sections 1106 and 1217 of the tax law.

2019-S4557 - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4557
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                              March 14, 2019
                                ___________
 
 Introduced by Sen. GOUNARDES -- read twice and ordered printed, and when
   printed to be committed to the Committee on Budget and Revenue
 
 AN  ACT  to  amend  the  tax law, in relation to the imposition of sales
   taxes on goods or services purchased from small businesses
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  The  opening paragraph of section 1105 of the tax law, as
 amended by chapter 72 of the  laws  of  1971,  is  amended  to  read  as
 follows:
   On and after June first, nineteen hundred seventy-one, there is hereby
 imposed  and there shall be paid a tax of four percent; PROVIDED, HOWEV-
 ER, THAT WHEN THE GOODS OR SERVICES ARE PURCHASED FROM A SMALL BUSINESS,
 AS DEFINED BY SECTION ONE HUNDRED THIRTY-ONE OF THE ECONOMIC DEVELOPMENT
 LAW, THE AMOUNT OF TAX PAID ON SUCH SALE SHALL BE TWO PERCENT, upon:
   § 2. This act shall take effect on the first  day  of  the  sales  tax
 quarterly period, as described in subdivision (b) of section 1136 of the
 tax  law,  next  commencing  at  least 90 days after this act shall have
 become a law and shall apply in accordance with the  applicable  transi-
 tional provisions of sections 1106 and 1217 of the tax law.
 
 
 
 
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD09206-03-9

2019-S4557A (ACTIVE) - Details

See Assembly Version of this Bill:: A7204
Current Committee:: Senate Budget And Revenue
Law Section:: Tax Law
Laws Affected:: Amd §1105, Tax L
Versions Introduced in Other Legislative Sessions:: 2021-2022: S1083, A2318
2023-2024: S283, A2259

2019-S4557A (ACTIVE) - Summary

2019-S4557A (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S4557A

SPONSOR: GOUNARDES
 
TITLE OF BILL:  An act to amend the tax law, in relation to the impo-
sition of sales taxes on goods or services purchased from certain busi-
nesses

 
PURPOSE OR GENERAL IDEA OF BILL:

This legislation will help small businesses by lowering the sales tax
rate for goods and services purchased.

 
SUMMARY OF PROVISIONS:

Section one of this bill amends the opening paragraph of Tax Law section
1105 to provide that the State sales tax for purchases from a small
business with twenty or fewer employees shall be 2 percent.

Section two of this bill provides that this act shall take effect on the
first day of the sales tax quarterly period, as described in subdivision
(b) of section 1136 of the tax law, next commencing at least 90 days

after this act shall have become a law and shall apply in accordance
with the applicable transitional provisions of sections 1106 and 1217 of
the tax law.

 
CURRENT LAW:

Currently, unless an exemption applies, the State sales tax on goods and
services purchased within New York is 4%.

 
JUSTIFICATION:

According to the statistics released by the United States Small Business
Commission, in 2018, 50.2% of New York employees were employed by one of
the 2,143,667 New York small businesses.  Additionally, in 2015, the top
industries with the greatest percentage of small business employees were
Agriculture, Forestry, and Fishing and Hunting (92.1%), Construction
(90.7%), and Other Services (except Public Administration) (86.2%).

Further, New York's small businesses accounted for over half of the
State's exports in 2015.

While these statistics are impressive, for New York ranked 36th in busi-
ness employment growth at 0.4%. We need to help increase the growth of
jobs in New York. Small businesses, which represent over half of the New
York employers, are poised to expand and increase employment. This bill
will help them expand in New York's second largest employment sector,
retail trade.

 
PRIOR LEGISLATIVE HISTORY:

New bill.

 
FISCAL IMPLICATIONS:

To be determined.

 
EFFECTIVE DATE:
This act shall take effect on the first day of the sales tax quarterly
period, as described in subdivision (b) of section 1136 of the tax law,
next commencing at least 90 days after this act shall have become a law
and shall apply in accordance with the applicable transitional
provisions of sections 1106 and 1217 of the tax law.

2019-S4557A (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  4557--A
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                              March 14, 2019
                                ___________
 
 Introduced by Sen. GOUNARDES -- read twice and ordered printed, and when
   printed  to  be  committed  to  the Committee on Budget and Revenue --
   committee discharged, bill amended, ordered reprinted as  amended  and
   recommitted to said committee
 
 AN  ACT  to  amend  the  tax law, in relation to the imposition of sales
   taxes on goods or services purchased from certain businesses
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  The  opening paragraph of section 1105 of the tax law, as
 amended by chapter 72 of the  laws  of  1971,  is  amended  to  read  as
 follows:
   On and after June first, nineteen hundred seventy-one, there is hereby
 imposed  and there shall be paid a tax of four percent; PROVIDED, HOWEV-
 ER, THAT WHEN THE GOODS OR SERVICES ARE PURCHASED FROM A BUSINESS  WHICH
 EMPLOYS  TWENTY OR LESS PERSONS, IS RESIDENT IN THIS STATE, IS INDEPEND-
 ENTLY OWNED AND OPERATED AND IS NOT DOMINANT IN ITS FIELD, THE AMOUNT OF
 TAX PAID ON SUCH SALE SHALL BE TWO PERCENT, upon:
   § 2. This act shall take effect on the first  day  of  the  sales  tax
 quarterly period, as described in subdivision (b) of section 1136 of the
 tax  law,  next  commencing  at  least 90 days after this act shall have
 become a law and shall apply in accordance with the  applicable  transi-
 tional provisions of sections 1106 and 1217 of the tax law.
 
 
 
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD09206-04-9

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.