Senate Bill S10448

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   10448
 
                             I N  S E N A T E
 
                               May 15, 2026
                                ___________
 
 Introduced  by Sen. BOTTCHER -- 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 providing tax exemptions for
   certain receipts involving sporting events sponsored  by  an  interna-
   tional federation recognized by the International Olympic Committee

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. This act shall be known and may be cited as  the  "sporting
 event promotion act".
   §  2.  Section 1115 of the tax law is amended by adding a new subdivi-
 sion (mm) to read as follows:
   (MM) (1) FOR THE PURPOSES OF THIS  SUBDIVISION,  THE  FOLLOWING  TERMS
 SHALL HAVE THE FOLLOWING MEANINGS:
   (A) "COVERED EVENT" MEANS A MULTI-SPORT OR SINGLE-SPORT SPORTING EVENT
 CONDUCTED IN WHOLE OR IN PART WITHIN NEW YORK STATE THAT:
   (I)  IS  ORGANIZED, SANCTIONED, OR CONDUCTED PURSUANT TO THE TECHNICAL
 RULES AND AUTHORITY OF AN INTERNATIONAL  FEDERATION  RECOGNIZED  BY  THE
 INTERNATIONAL  OLYMPIC COMMITTEE OR THE INTERNATIONAL PARALYMPIC COMMIT-
 TEE; AND
   (II) IS DESIGNATED AS A COVERED EVENT BY THE  COMMISSIONER  OF  EMPIRE
 STATE DEVELOPMENT PURSUANT TO PARAGRAPH TWO OF THIS SUBDIVISION.
   PROVIDED, HOWEVER, THAT "COVERED EVENT" SHALL NOT INCLUDE:
   (1) ANY EVENT CONDUCTED PRIMARILY BY, OR UNDER THE COMMERCIAL AUTHORI-
 TY  OF,  A  PROFESSIONAL  SPORTS LEAGUE OR LEAGUE-AFFILIATED ENTITY THAT
 OPERATES A CLOSED, FRANCHISE-BASED,  OR  MEMBERSHIP-GUARANTEED  COMPETI-
 TION;
   (2)  ANY  SENIOR  PROFESSIONAL  SPORTING EVENT CONDUCTED PRIMARILY FOR
 COMMERCIAL PROFIT, INCLUDING EVENTS THAT PROVIDE GUARANTEED PRIZE MONEY,
 APPEARANCE FEES, OR PURSES IN EXCESS OF THRESHOLDS  ESTABLISHED  BY  THE
 COMMISSIONER BY REGULATION;
   (3)  ANY  INTERNATIONAL  OR  DOMESTIC WORLD CHAMPIONSHIP TOURNAMENT IN
 SOCCER OR FOOTBALL COMMONLY  KNOWN  AS  A  "WORLD  CUP,"  INCLUDING  ANY
 SUBSTANTIALLY  SIMILAR  SUCCESSOR  OR  DERIVATIVE  EVENT,  REGARDLESS OF
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD14289-02-5
              

 S. 10448                            2
 
 WHETHER SUCH EVENT IS CONDUCTED BY AN  INTERNATIONAL  FEDERATION  RECOG-
 NIZED BY THE INTERNATIONAL OLYMPIC COMMITTEE;
   (4) ANY EVENT PRIMARILY PROMOTED OR CONDUCTED BY A FOR-PROFIT PROMOTER
 INVOLVING  BOXING,  MIXED  MARTIAL ARTS, KICKBOXING, OR ANY OTHER COMBAT
 SPORT; OR
   (5)  ANY  MOTORSPORT  OR  AUTO-RACING  EVENT,  INCLUDING  COMPETITIONS
 CONDUCTED AS PART OF A PROFESSIONAL RACING SERIES OR CHAMPIONSHIP.
   (B) "COVERED ORGANIZATION" MEANS:
   (I)  AN INTERNATIONAL FEDERATION RECOGNIZED BY THE INTERNATIONAL OLYM-
 PIC COMMITTEE OR THE INTERNATIONAL PARALYMPIC COMMITTEE; OR
   (II) AN ORGANIZING COMMITTEE, LOCAL ORGANIZING ENTITY, OR SPECIAL-PUR-
 POSE VEHICLE AUTHORIZED OR ESTABLISHED BY SUCH FEDERATION TO  PLAN,  BID
 FOR, STAGE, OR DELIVER A COVERED EVENT.
   (C) "ACCREDITED PERSON" MEANS AN ATHLETE, COACH, JUDGE, REFEREE, TECH-
 NICAL  OFFICIAL,  FEDERATION  OFFICIAL,  TEAM  MEDICAL STAFF, ACCREDITED
 MEDIA, ACCREDITED WORKFORCE, OR OTHER INDIVIDUAL WHO IS ISSUED AN  EVENT
 CREDENTIAL  BY  A  COVERED ORGANIZING COMMITTEE FOR OFFICIAL DUTIES AT A
 COVERED EVENT.
   (D) "OFFICIAL USE" MEANS USE THAT IS NECESSARY, CUSTOMARY, OR  REASON-
 ABLY RELATED TO PARTICIPATION IN, OFFICIATING, PRODUCING, ADMINISTERING,
 OR BROADCASTING A COVERED EVENT.
   (E)  "TEMPORARY  IMPORT" MEANS TANGIBLE PERSONAL PROPERTY BROUGHT INTO
 NEW YORK STATE FOR OFFICIAL USE IN A COVERED EVENT AND REMOVED FROM  NEW
 YORK  STATE  WITHIN  ONE  HUNDRED EIGHTY DAYS AFTER THE END DATE OF SUCH
 COVERED EVENT, AS DETERMINED UNDER RULES OF THE COMMISSIONER OF TAXATION
 AND FINANCE.
   (2) THE COMMISSIONER OF EMPIRE STATE DEVELOPMENT, IN CONSULTATION WITH
 THE COMMISSIONER OF TAXATION AND FINANCE,  SHALL  PROMULGATE  RULES  FOR
 DESIGNATION  OF  A  COVERED EVENT AND VERIFICATION OF ACCREDITED STATUS.
 THE COMMISSIONER SHALL CONSTRUE THIS  SUBDIVISION  TO  ADVANCE  INTERNA-
 TIONAL  AMATEUR, OLYMPIC, AND PARALYMPIC SPORT DEVELOPMENT AND SHALL NOT
 DESIGNATE EVENTS WHOSE PRIMARY PURPOSE IS COMMERCIAL PROFESSIONAL ENTER-
 TAINMENT.
   (3) RECEIPTS FROM AND THE USE OF TANGIBLE PERSONAL PROPERTY AND  TAXA-
 BLE  SERVICES  PURCHASED  FOR  OFFICIAL USE IN CONNECTION WITH A COVERED
 EVENT SHALL BE EXEMPT FROM THE TAX ON RETAIL SALES IMPOSED UNDER SECTION
 ELEVEN HUNDRED FIVE AND THE COMPENSATING USE TAX IMPOSED  UNDER  SECTION
 ELEVEN  HUNDRED  TEN OF THIS ARTICLE PROVIDED THAT SUCH PURCHASE IS MADE
 BY:
   (A) A COVERED ORGANIZATION; OR
   (B) AN ACCREDITED PERSON, TO THE EXTENT SUCH PURCHASE IS FOR  OFFICIAL
 USE  AND  IS  SUPPORTED  BY  DOCUMENTATION IN THE FORM PRESCRIBED BY THE
 COMMISSIONER.
   (4) THE EXEMPTION IN THIS SUBDIVISION SHALL INCLUDE TEMPORARY  IMPORTS
 USED  FOR OFFICIAL USE IN CONNECTION WITH A COVERED EVENT, AND THE EXER-
 CISE OF ANY RIGHT OR POWER OVER SUCH TEMPORARY  IMPORTS,  PROVIDED  SUCH
 PROPERTY  IS  REMOVED  FROM NEW YORK STATE WITHIN THE TIME PERIOD ESTAB-
 LISHED BY RULE.
   (5) THE COMMISSIONER OF TAXATION AND FINANCE SHALL:
   (A) PRESCRIBE AN EXEMPTION CERTIFICATE AND AN ELECTRONIC  VERIFICATION
 METHOD FOR SELLERS AND PURCHASERS;
   (B)  MAY  REQUIRE CREDENTIAL NUMBERS OR OTHER CREDENTIAL VERIFICATION;
 AND
   (C) MAY ADOPT ANTI-FRAUD PROVISIONS  INCLUDING  POST-AUDIT  AUTHORITY,
 RECORDKEEPING, AND PENALTIES FOR MISUSE.
 S. 10448                            3
 
   (6)  THIS  SUBDIVISION  SHALL ONLY APPLY TO PURCHASES OCCURRING WITHIN
 THE PERIOD BEGINNING NINETY DAYS PRIOR TO THE OPENING DAY OF THE COVERED
 EVENT AND ENDING THIRTY DAYS AFTER THE CLOSING DAY OF THE COVERED EVENT,
 OR SUCH OTHER PERIOD AS THE COMMISSIONER MAY AUTHORIZE BY RULE BASED  ON
 EVENT OPERATIONAL TIMELINES.
   (7) NOTHING IN THIS SUBDIVISION SHALL BE CONSTRUED TO EXEMPT ALCOHOLIC
 BEVERAGES,   CANNABIS  PRODUCTS,  TOBACCO  PRODUCTS,  OR  PURCHASES  FOR
 PERSONAL CONSUMPTION UNRELATED TO OFFICIAL USE.
   § 3. This act shall take effect immediately and shall apply to covered
 events designated on or after such effective date. Effective  immediate-
 ly,  the  addition,  amendment  and/or  repeal of any rule or regulation
 necessary for the implementation of this act on its effective  date  are
 authorized to be made and completed on or before such effective date.