Bill Text: NY S00204 | 2017-2018 | General Assembly | Amended
Bill Title: Relates to the imposition of sales tax on snowmobiles and all terrain vehicles.
Spectrum: Partisan Bill (Republican 9-0)
Status: (Introduced - Dead) 2018-01-03 - REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS [S00204 Detail]
Download: New_York-2017-S00204-Amended.html
STATE OF NEW YORK ________________________________________________________________________ 204--A 2017-2018 Regular Sessions IN SENATE (Prefiled) January 4, 2017 ___________ Introduced by Sens. MARCHIONE, FUNKE, SEWARD -- read twice and ordered printed, and when printed to be committed to the Committee on Investi- gations and Government Operations -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said commit- tee AN ACT to amend the tax law, in relation to the imposition of sales tax on snowmobiles and all terrain vehicles The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Section 1117 of the tax law, as amended by chapter 481 of 2 the laws of 2000, is amended to read as follows: 3 § 1117. Certain sales of motor vehicles [and], vessels, snowmobiles 4 and all terrain vehicles. (a) Receipts from any sale of a motor vehicle 5 [or], vessel, snowmobile or all terrain vehicle shall not be subject to 6 the retail sales tax imposed under subdivision (a) of section eleven 7 hundred five of this article, despite the taking of physical possession 8 by the purchaser within this state, provided that: 9 (1) the purchaser, at the time of taking delivery 10 (i) is a nonresident of this state, 11 (ii) has no permanent place of abode in this state, and 12 (iii) is not engaged in carrying on in this state any employment, 13 trade, business or profession in which the motor vehicle [or], vessel, 14 snowmobile or all terrain vehicle will be used in this state; 15 (2) (i) the vendor of such motor vehicle does not issue to such 16 purchaser with respect to such motor vehicle either a temporary certif- 17 icate of registration pursuant to subdivision seven of section four 18 hundred twenty of the vehicle and traffic law or a temporary registra- 19 tion pursuant to section four hundred twenty-a of the vehicle and traf- 20 fic law, or other like certificate or registration; or EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD02979-02-7S. 204--A 2 1 (ii) the vendor of such vessel does not assign to such vessel a New 2 York registration number or issue to such purchaser with respect to such 3 vessel a temporary registration pursuant to section twenty-two hundred 4 fifty-five of the vehicle and traffic law, or other like registration or 5 temporary certificate of registration; or 6 (iii) the vendor of such snowmobile does not assign to such snowmobile 7 a New York registration number or issue to such purchaser with respect 8 to such snowmobile a temporary registration pursuant to subdivision four 9 of section twenty-two hundred twenty-five of the vehicle and traffic 10 law, or other like registration or temporary certificate of registra- 11 tion; or 12 (iv) the vendor of such all terrain vehicle does not assign to such 13 all terrain vehicle a New York registration number or issue to such 14 purchaser with respect to such all terrain vehicle a temporary registra- 15 tion pursuant to subdivision four of section twenty-two hundred eighty- 16 five of the vehicle and traffic law, or other like registration or 17 temporary certificate of registration; 18 (3) the purchaser does not register such motor vehicle [or], vessel, 19 snowmobile or all terrain vehicle, as the case may be, in this state 20 prior to registering such motor vehicle or vessel in another state or 21 jurisdiction; and 22 (4) prior to taking delivery such purchaser furnishes to such vendor 23 any affidavit, statement or additional evidence, documentary or other- 24 wise, which the commissioner may require to ensure proper administration 25 of the tax imposed under subdivision (a) of section eleven hundred five 26 of this article. 27 (b) A vendor shall not be liable for failure to collect tax on 28 receipts from any sale of a motor vehicle [or], vessel, snowmobile or 29 all terrain vehicle provided that the vendor prior to making delivery 30 obtains and keeps available for inspection by the commissioner any affi- 31 davit, statement or additional evidence, documentary or otherwise, as 32 may be required to be furnished under subdivision (a) of this section; 33 provided that such affidavit, statement or additional evidence is not 34 known by the vendor, prior to making physical delivery of the motor 35 vehicle [or], vessel, snowmobile or all terrain vehicle, to be false. 36 (c) For purposes of this section, the term: 37 (1) "Motor vehicle" shall include a motor vehicle as defined in 38 section one hundred twenty-five of the vehicle and traffic law and a 39 trailer as defined in section one hundred fifty-six of the vehicle and 40 traffic law. 41 (2) "Vessel" shall (i) include a vessel as defined in section twenty- 42 two hundred fifty of the vehicle and traffic law, including any inboard 43 or outboard motor and any trailer, as defined in section one hundred 44 fifty-six of the vehicle and traffic law, sold with the vessel for use 45 with such vessel; (ii) but not include a vessel weighing two hundred 46 pounds or less, inclusive of any mast and sail or other rigging, which 47 is not equipped with a motor and which is exempt from registration under 48 paragraph (g) of subdivision one of section twenty-two hundred fifty-two 49 of the vehicle and traffic law. 50 (3) "Snowmobile" shall include a snowmobile as defined in section 51 twenty-two hundred twenty-one of the vehicle and traffic law. 52 (4) "All terrain vehicle" shall include an all terrain vehicle as 53 defined in section twenty-two hundred eighty-one of the vehicle and 54 traffic law. 55 (d) Nothing in this section or section twelve hundred fourteen of this 56 chapter shall be construed as meaning that the provisions of subdivisionS. 204--A 3 1 (i) of section eleven hundred eleven of this article do not apply to 2 leases of motor vehicles, vessels and trailers described in subdivision 3 (i) of section eleven hundred eleven of this article. 4 § 2. Section 1214 of the tax law, as amended by chapter 481 of the 5 laws of 2000, is amended to read as follows: 6 § 1214. Certain sales of motor vehicles [and], vessels, snowmobiles 7 and all terrain vehicles: proof required for registration of motor vehi- 8 cles [and], vessels, snowmobiles and all terrain vehicles. (a) (1) 9 Except as provided in paragraph three of this subdivision, where a sale 10 of a motor vehicle [or], vessel, snowmobile or all terrain vehicle, 11 including an agreement therefor, is made in any city, county or school 12 district to a nonresident thereof, such sale shall not be subject to tax 13 by such city, county or school district, despite the fact that such 14 motor vehicle [or], vessel, snowmobile or all terrain vehicle is deliv- 15 ered to the purchaser within such jurisdiction, provided the purchaser 16 furnishes to the vendor, prior to taking delivery, proof satisfactory to 17 the commissioner that the purchaser: 18 (i) is a nonresident of the jurisdiction in which the sale is made, 19 (ii) has no permanent place of abode within such jurisdiction, 20 (iii) is not engaged in carrying on in such jurisdiction any employ- 21 ment, trade, business or profession in which the motor vehicle [or], 22 vessel, snowmobile or all terrain vehicle will be used in such jurisdic- 23 tion, and such other proof as the commissioner may require to ensure 24 proper administration of the taxes imposed under the authority of 25 sections twelve hundred ten and twelve hundred eleven of this article. 26 (2) However, if such purchaser resides in a city, county or school 27 district imposing a tax on the use of such motor vehicle [or], vessel, 28 snowmobile or all terrain vehicle, the vendor shall be required to 29 collect from such purchaser, as provided in section twelve hundred 30 fifty-four of this article, the aggregate compensating use taxes imposed 31 by the city, if any, county and school district in which such purchaser 32 resides, for distribution by the commissioner to such taxing jurisdic- 33 tion or jurisdictions. 34 (3) Provided, however, the exclusion from tax provided in paragraph 35 one of this subdivision shall not apply where the receipts from such 36 sale would have been excluded from tax pursuant to section eleven 37 hundred seventeen of this chapter but for failure to satisfy either the 38 condition set forth in paragraph two of subdivision (a) of section elev- 39 en hundred seventeen of this chapter or the condition set forth in para- 40 graph three of subdivision (a) of section eleven hundred seventeen of 41 this chapter. 42 (b) A vendor shall not be liable for failure to collect tax on such 43 sale of a motor vehicle [or], vessel, snowmobile or all terrain vehicle 44 provided the proof furnished to such vendor by the purchaser pursuant to 45 subdivision (a) of this section shows that the purchaser's residence is 46 not in any city, county or school district which imposes a tax on the 47 use of such motor vehicle [or], vessel, snowmobile or all terrain vehi- 48 cle, and provided the vendor keeps such proof available for inspection 49 by the commissioner and further provided that such proof is not known by 50 the vendor, prior to making physical delivery of the motor vehicle [or], 51 vessel, snowmobile or all terrain vehicle, to be false. 52 (c) For purposes of subdivisions (a) and (b) of this section, the 53 term: 54 (1) "Motor vehicle" shall include a motor vehicle as defined in 55 section one hundred twenty-five of the vehicle and traffic law and aS. 204--A 4 1 trailer as defined in section one hundred fifty-six of the vehicle and 2 traffic law. 3 (2) "Vessel" shall (i) include a vessel as defined in section twenty- 4 two hundred fifty of the vehicle and traffic law, including any inboard 5 or outboard motor and any trailer, as defined in section one hundred 6 fifty-six of the vehicle and traffic law, sold with the vessel for use 7 with such vessel; (ii) but not include a vessel weighing two hundred 8 pounds or less, inclusive of any mast and sail or other rigging, which 9 is not equipped with a motor and which is exempt from registration under 10 paragraph (g) of subdivision one of section twenty-two hundred fifty-two 11 of the vehicle and traffic law. 12 (3) "Snowmobile: shall include a snowmobile as defined in section 13 twenty-two hundred twenty-one of the vehicle and traffic law. 14 (4) "All terrain vehicle" shall include an all terrain vehicle as 15 defined in section twenty-two hundred eighty-one of the vehicle and 16 traffic law. 17 (d) The commissioner of motor vehicles shall not issue a registration 18 certificate, except in renewal of registration by the same owner, (1) 19 for any passenger motor vehicle not used to carry passengers for hire, 20 any snowmobile, as defined in section twenty-two hundred twenty-one of 21 the vehicle and traffic law, trailer, as defined in section one hundred 22 fifty-six of the vehicle and traffic law, vessel, as defined in section 23 twenty-two hundred fifty of such law, or all terrain vehicle, as defined 24 in section twenty-two hundred eighty-one of such law, which is owned by 25 an individual whose residence is within any city or county imposing the 26 taxes authorized by subdivision (a) of section twelve hundred ten of 27 this article, or (2) for any motor vehicle, snowmobile, trailer, vessel 28 or all terrain vehicle except as provided in paragraph one of this 29 subdivision, owned by a person whose residence or business address is 30 within any such city or county, except upon proof, in a form approved by 31 the commissioner and the commissioner of motor vehicles that any tax 32 imposed by such city or county with respect to the sale of the motor 33 vehicle, snowmobile, trailer, vessel or all terrain vehicle to the 34 registrant or his use thereof has been paid, or that no such tax is due. 35 § 3. Paragraph 1 of subdivision (g) of section 1132 of the tax law, as 36 amended by chapter 402 of the laws of 1986, is amended to read as 37 follows: 38 (1) The clerk of each county when performing the function of registra- 39 tion of a motor vehicle, snowmobile, vessel or all terrain vehicle or 40 accepting an application for a certificate of title of a motor vehicle 41 or vessel, pursuant to the authority of the vehicle and traffic law, or 42 the commissioner of motor vehicles, when such commissioner performs such 43 functions, prior to performing such functions, shall act as the agent of 44 the state tax commission to collect any retail sales tax due under this 45 article and under a sales tax imposed pursuant to section twelve hundred 46 ten or twelve hundred eleven of this chapter upon sales of such motor 47 vehicles, snowmobiles, vessels or all terrain vehicles by persons other 48 than dealers registered under sections four hundred fifteen, twenty-two 49 hundred twenty-two, twenty-two hundred fifty-seven and twenty-two 50 hundred eighty-two of the vehicle and traffic law. Such county clerks 51 and such commissioner shall also act as such agents to collect any 52 compensating use tax due under section eleven hundred ten of this arti- 53 cle and under a compensating use tax imposed pursuant to section twelve 54 hundred ten or twelve hundred eleven of this chapter for the use of a 55 motor vehicle, snowmobile, vessel or all terrain vehicle within this 56 state. The commissioner of motor vehicles shall act as such agent with-S. 204--A 5 1 out fee. Each such county clerk shall, after deducting his fee as 2 provided in paragraph two of this subdivision, and such commissioner 3 shall remit to the tax commission all funds collected pursuant to this 4 subdivision and shall follow such procedures and keep such records as 5 shall be prescribed by the tax commission. Sales or compensating use 6 taxes collected pursuant to the provisions of this section on snowmo- 7 biles or all terrain vehicles shall be determined by reference to place 8 of residence of the owner of the snowmobile or all terrain vehicle. 9 § 4. This act shall take effect immediately and shall apply to sales 10 made and uses occurring on or after the first day of a sales tax quar- 11 terly period, as described in subdivision (b) of section 1136 of the tax 12 law, next commencing at least 90 days after this act shall have become a 13 law, although made or used under a prior contract; provided that the 14 commissioner of taxation and finance shall be authorized on and after 15 the date this act shall have become a law to adopt and amend any rules 16 or regulations and issue any procedures, forms or instructions necessary 17 to implement the provisions of this act on its effective date.
