The New York State Senate

 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5883
 
                        2021-2022 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               March 1, 2021
                                ___________
 
 Introduced by M. of A. STIRPE -- read once and referred to the Committee
   on Ways and Means
 
 AN  ACT  to amend the tax law, in relation to exempting certain personal
   protective clothing and equipment  from  the  tax  on  sales  and  the
   compensating use tax
 
   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 46 to read as follows:
   (46)  PERSONAL  PROTECTIVE  CLOTHING AND EQUIPMENT WORN FOR PROTECTION
 AGAINST ILLNESS FROM INFECTIOUS DISEASE OR MATERIALS OR TO HELP  PREVENT
 OR  REDUCE THE SPREAD OF INFECTIOUS DISEASE OR ILLNESS. PERSONAL PROTEC-
 TIVE CLOTHING AND EQUIPMENT  SHALL  INCLUDE,  BUT  NOT  BE  LIMITED  TO,
 ISOLATION GOWNS AND COVERALLS, GLOVES, FACEMASKS, FACE SHIELDS, GOGGLES,
 AND  ANY  OTHER  CLOTHING OR EQUIPMENT DETERMINED BY THE COMMISSIONER OF
 HEALTH TO BE EFFECTIVE IN PROTECTING THE  WEARER  AGAINST  ILLNESS  FROM
 INFECTIOUS  DISEASE OR MATERIALS OR TO HELP PREVENT OR REDUCE THE SPREAD
 OF INFECTIOUS DISEASE OR ILLNESS.
   § 2. This act shall take effect on the first  day  of  the  sales  tax
 quarterly  period commencing after this act shall have become a law, and
 shall apply to sales made and uses occurring on and after such  date  in
 accordance  with applicable transitional 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.
                                                            LBD03340-01-1

 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  5883--A
 
                        2021-2022 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               March 1, 2021
                                ___________
 
 Introduced by M. of A. STIRPE -- read once and referred to the Committee
   on  Ways  and  Means  --  committee  discharged, bill amended, ordered
   reprinted as amended and recommitted to said committee
 
 AN ACT to amend the tax law, in relation to exempting  certain  personal
   protective  clothing  and  equipment  from  the  tax  on sales and the
   compensating use tax, exempting from sales and compensating use  taxes
   any  equipment  or  product  purchased  by  restaurant or food service
   establishments for use in outdoor dining during the novel  coronavirus
   (COVID-19)  and  exempting  from  sales and compensating use taxes any
   equipment or product purchased by a small business  that  is  used  to
   comply with a COVID-19 health and safety plan
 
   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 three new paragraphs 47, 48 and 49 to read as follows:
   (47)  PERSONAL  PROTECTIVE  CLOTHING AND EQUIPMENT WORN FOR PROTECTION
 AGAINST ILLNESS FROM INFECTIOUS DISEASE OR MATERIALS OR TO HELP  PREVENT
 OR  REDUCE THE SPREAD OF INFECTIOUS DISEASE OR ILLNESS. PERSONAL PROTEC-
 TIVE CLOTHING AND EQUIPMENT  SHALL  INCLUDE,  BUT  NOT  BE  LIMITED  TO,
 ISOLATION GOWNS AND COVERALLS, GLOVES, FACEMASKS, FACE SHIELDS, GOGGLES,
 AND  ANY  OTHER  CLOTHING OR EQUIPMENT DETERMINED BY THE COMMISSIONER OF
 HEALTH TO BE EFFECTIVE IN PROTECTING THE  WEARER  AGAINST  ILLNESS  FROM
 INFECTIOUS  DISEASE OR MATERIALS OR TO HELP PREVENT OR REDUCE THE SPREAD
 OF INFECTIOUS DISEASE OR ILLNESS.
   (48) ANY EQUIPMENT OR PRODUCT PURCHASED  BY  ANY  RESTAURANT  OR  FOOD
 SERVICE  ESTABLISHMENT  FOR  THE  USE IN OUTDOOR DINING DURING THE NOVEL
 CORONAVIRUS (COVID-19) PANDEMIC.
   (49) ANY  EQUIPMENT  OR  PRODUCT,  INCLUDING  MATERIALS  USED  IN  THE
 CONSTRUCTION  OF PHYSICAL BARRIERS, INCLUDING BUT NOT LIMITED TO PLASTIC
 SHIELDING WALLS, STRIP CURTAINS, CUBICLE WALLS,  PLEXIGLASS  OR  SIMILAR
 MATERIALS,  OR  OTHER IMPERMEABLE DIVIDERS OR PARTITIONS, PURCHASED BY A
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD03340-04-1

 A. 5883--A                          2
 
 SMALL BUSINESS DOING BUSINESS IN THIS STATE THAT  IS  DIRECTLY  USED  BY
 SUCH SMALL BUSINESS TO BE IN COMPLIANCE WITH A COVID-19 HEALTH AND SAFE-
 TY PLAN. FOR PURPOSES OF THIS PARAGRAPH, THE TERM "SMALL BUSINESS" SHALL
 MEAN A BUSINESS WITH ONE HUNDRED OR FEWER EMPLOYEES.
   § 2.  Section 210-B of the tax law is amended by adding two new subdi-
 visions 58 and 59 to read as follows:
   58.  SALES  TAX  PAID  ON OUTDOOR DINING EQUIPMENT CREDIT. (1) FOR THE
 PERIOD BEGINNING JUNE FOURTH, TWO THOUSAND  TWENTY  AND  ENDING  ON  THE
 EFFECTIVE  DATE OF THIS SUBDIVISION, A TAXPAYER WHO OWNS A RESTAURANT OR
 FOOD SERVICE ESTABLISHMENT SHALL BE ALLOWED A CREDIT FOR SALES TAX  PAID
 FOR  ANY  EQUIPMENT  OR  PRODUCT  PURCHASED  BY SUCH TAXPAYER FOR USE IN
 OUTDOOR DINING DURING THE NOVEL CORONAVIRUS (COVID-19) PANDEMIC.
   (2) 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 SIX HUNDRED EIGHTY-SIX OF THIS
 ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST SHALL BE PAID THEREON.
   59. SALES TAX PAID ON MATERIALS FOR COVID-19 HEALTH  AND  SAFETY  PLAN
 COMPLIANCE.  (1)  FOR  THE  PERIOD BEGINNING MAY FIFTEENTH, TWO THOUSAND
 TWENTY AND ENDING ON THE EFFECTIVE DATE OF THIS SUBDIVISION, A  TAXPAYER
 WHO  OWNS  A SMALL BUSINESS SHALL BE ALLOWED A CREDIT FOR SALES TAX PAID
 FOR  ANY  EQUIPMENT  OR  PRODUCT,  INCLUDING  MATERIALS  USED   IN   THE
 CONSTRUCTION  OF PHYSICAL BARRIERS, INCLUDING BUT NOT LIMITED TO PLASTIC
 SHIELDING WALLS, STRIP CURTAINS, CUBICLE WALLS,  PLEXIGLASS  OR  SIMILAR
 MATERIALS,  OR  OTHER  IMPERMEABLE  DIVIDERS OR PARTITIONS, PURCHASED BY
 SUCH SMALL BUSINESS IN ORDER TO BE IN COMPLIANCE WITH A COVID-19  HEALTH
 AND SAFETY PLAN.
   (2) IF THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY
 TAXABLE  YEAR  SHALL  EXCEED THE SMALL BUSINESS'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 EIGHT-
 Y-SIX OF THIS CHAPTER, PROVIDED, HOWEVER, THAT NO INTEREST SHALL BE PAID
 THEREON.
   (3)  FOR PURPOSES OF THIS SUBDIVISION, THE TERM "SMALL BUSINESS" SHALL
 MEAN A BUSINESS WITH ONE HUNDRED OR FEWER EMPLOYEES.
   § 3. Section 606  of  the  tax  law  is  amended  by  adding  two  new
 subsections (nnn) and (ooo) to read as follows:
   (NNN)  SALES  TAX PAID ON OUTDOOR DINING EQUIPMENT CREDIT. (1) FOR THE
 PERIOD BEGINNING JUNE FOURTH, TWO THOUSAND  TWENTY  AND  ENDING  ON  THE
 EFFECTIVE  DATE  OF THIS SUBSECTION, A TAXPAYER WHO OWNS A RESTAURANT OR
 FOOD SERVICE ESTABLISHMENT SHALL BE ALLOWED A CREDIT FOR SALES TAX  PAID
 FOR  ANY  EQUIPMENT  OR  PRODUCT  PURCHASED  BY SUCH TAXPAYER FOR USE IN
 OUTDOOR DINING DURING THE NOVEL CORONAVIRUS (COVID-19) PANDEMIC.
   (2) 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.
   (OOO)  SALES TAX PAID ON MATERIALS FOR COVID-19 HEALTH AND SAFETY PLAN
 COMPLIANCE. (1) FOR THE PERIOD BEGINNING  MAY  FIFTEENTH,  TWO  THOUSAND
 TWENTY  AND  ENDING ON THE EFFECTIVE DATE OF THIS SUBSECTION, A TAXPAYER
 WHO OWNS A SMALL BUSINESS SHALL BE ALLOWED A CREDIT FOR SALES  TAX  PAID
 FOR   ANY   EQUIPMENT  OR  PRODUCT,  INCLUDING  MATERIALS  USED  IN  THE
 CONSTRUCTION OF PHYSICAL BARRIERS, INCLUDING BUT NOT LIMITED TO  PLASTIC
 SHIELDING  WALLS,  STRIP  CURTAINS, CUBICLE WALLS, PLEXIGLASS OR SIMILAR
 MATERIALS, OR OTHER IMPERMEABLE DIVIDERS  OR  PARTITIONS,  PURCHASED  BY

 A. 5883--A                          3

 SUCH  SMALL BUSINESS IN ORDER TO BE IN COMPLIANCE WITH A COVID-19 HEALTH
 AND SAFETY PLAN.
   (2)  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.
   (3) FOR PURPOSES OF THIS SUBSECTION, THE TERM "SMALL  BUSINESS"  SHALL
 MEAN A BUSINESS WITH ONE HUNDRED OR FEWER EMPLOYEES.
   §  4. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
 of the tax law is amended by adding two new clauses (xlix)  and  (l)  to
 read as follows:
 (XLIX) SALES TAX PAID ON OUTDOOR   SALES TAX PAID ON OUTDOOR DINING
 DINING EQUIPMENT CREDIT UNDER      EQUIPMENT CREDIT UNDER SUBDIVISION
 SUBSECTION (NNN)                   FIFTY-EIGHT OF SECTION TWO HUNDRED
                                    TEN-B
 
 (L) SALES TAX PAID ON              SALES TAX PAID ON MATERIALS
 MATERIALS FOR COVID-19 HEALTH      FOR COVID-19 HEALTH AND SAFETY
 AND SAFETY PLAN COMPLIANCE         PLAN COMPLIANCE UNDER SUBDIVISION
 UNDER SUBSECTION (OOO)             FIFTY-NINE OF SECTION TWO
                                    HUNDRED TEN-B
   §  5.  This  act  shall  take effect on the first day of the sales tax
 quarterly period commencing after this act shall have become a law,  and
 shall  apply  to sales made and uses occurring on and after such date in
 accordance with applicable transitional provisions of sections 1106  and
 1217  of  the  tax  law;  provided that the commissioner of taxation and
 finance shall be authorized on and after the date this  act  shall  have
 become a law to take steps necessary to implement the provisions of this
 act on its effective date.