Bill Text: NY S04880 | 2011-2012 | General Assembly | Amended
Bill Title: Establishes a motor fuel and Diesel motor fuel holiday tax credit to be taken against personal income taxes for certain summer holiday weekends.
Spectrum: Partisan Bill (Republican 6-0)
Status: (Engrossed - Dead) 2012-06-13 - PRINT NUMBER 4880D [S04880 Detail]
Download: New_York-2011-S04880-Amended.html
S T A T E O F N E W Y O R K ________________________________________________________________________ 4880--B 2011-2012 Regular Sessions I N S E N A T E April 28, 2011 ___________ Introduced by Sens. BALL, LARKIN, NOZZOLIO, ROBACH -- read twice and ordered printed, and when printed to be committed to the Committee on Investigations and Government Operations -- reported favorably from said committee and committed to the Committee on Finance -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the tax law, the state finance law, and the general business law, in relation to suspending taxes on gasoline and similar motor fuels on certain summer holiday weekends in 2011 THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. The tax law is amended by adding a new section 36 to read 2 as follows: 3 S 36. FUEL TAX HOLIDAY. (A) DEFINITIONS. FOR PURPOSES OF THIS 4 SECTION, 5 (1) "APPLICABLE PERIOD" SHALL MEAN (A) FRIDAY, MAY TWENTY-SEVENTH 6 THROUGH MONDAY, MAY THIRTIETH, TWO THOUSAND ELEVEN, (B) FRIDAY, JULY 7 FIRST, THROUGH MONDAY, JULY FOURTH, TWO THOUSAND ELEVEN, AND (C) FRIDAY, 8 SEPTEMBER SECOND THROUGH MONDAY, SEPTEMBER FIFTH, TWO THOUSAND ELEVEN. 9 (2) "DIESEL MOTOR FUEL" AND "MOTOR FUEL" SHALL HAVE THE SAME MEANING 10 AS SECTION TWO HUNDRED EIGHTY-TWO OF THIS CHAPTER. 11 (3) "FILLING STATION" SHALL HAVE THE SAME MEANING AS SECTION TWO 12 HUNDRED EIGHTY-TWO OF THIS CHAPTER. 13 (4) "RETAIL SALE" AND "SOLD AT RETAIL" SHALL MEAN ANY SALE OF MOTOR 14 FUEL OR DIESEL MOTOR FUEL AT A FILLING STATION TO A PERSON FOR USE IN A 15 MOTOR VEHICLE. 16 (5) "RETAIL SELLER" SHALL MEAN ANY PERSON WHO SELLS MOTOR FUEL OR 17 DIESEL MOTOR FUEL AT RETAIL. 18 (6) "SALE" SHALL HAVE THE SAME MEANING AS SECTION TWO HUNDRED EIGHTY- 19 TWO OF THIS CHAPTER. EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD11057-08-1 S. 4880--B 2 1 (B) EXEMPTION FROM TAXATION. NOTWITHSTANDING ANY OTHER PROVISION OF 2 LAW, RULE OR REGULATION TO THE CONTRARY, THE TAXES IMPOSED ON RETAIL 3 SALES OF MOTOR FUEL AND DIESEL MOTOR FUEL MADE DURING THE APPLICABLE 4 PERIOD SHALL BE EXEMPT FROM THE TAXES IMPOSED BY ARTICLES TWELVE-A, 5 THIRTEEN-A, AND TWENTY-EIGHT OF THIS CHAPTER. IF THE RETAIL SELLER IS 6 LOCATED WITHIN A MUNICIPALITY THAT HAS ELECTED TO ELIMINATE THE TAX 7 IMPOSED PURSUANT TO ARTICLE TWENTY-NINE OF THIS CHAPTER, SUCH TAXES 8 SHALL NOT BE IMPOSED ON THE RETAIL SALE OF MOTOR FUEL OR DIESEL MOTOR 9 FUEL DURING THE APPLICABLE PERIOD. 10 (C) PRICE REDUCTION. DURING THE APPLICABLE PERIOD, EACH RETAIL SELLER 11 SHALL REDUCE THE PRICE PER GALLON OF MOTOR FUEL AND DIESEL MOTOR FUEL 12 OFFERED FOR SALE BY THE AMOUNT OF THE TAXES THAT THE RETAIL SELLER 13 PREPAID ON THE GALLON OF MOTOR FUEL AND DIESEL MOTOR FUEL AND THE AMOUNT 14 OF TAX IN EXCESS OF THE PREPAID AMOUNT THAT WOULD HAVE BEEN COLLECTED 15 FROM THE CONSUMER IF THE SALE OF THE MOTOR FUEL OR DIESEL MOTOR FUEL HAD 16 NOT BEEN EXEMPT FROM TAX PURSUANT TO SUBDIVISION (B) OF THIS SECTION. 17 (D) ADVERTISING. NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE 18 CONTRARY, A RETAIL SELLER MAY ADVERTISE THAT THE MOTOR FUEL AND/OR 19 DIESEL MOTOR FUEL IS BEING OR WILL BE SOLD WITHOUT THE STATE TAXES. SUCH 20 ADVERTISEMENT MAY COMMENCE NO EARLIER THAN THREE DAYS BEFORE THE APPLI- 21 CABLE PERIOD AND MUST END BY THE END OF THE APPLICABLE PERIOD. 22 (E) REFUNDS AND CREDITS. (1) NOTWITHSTANDING ANY OTHER PROVISION OF 23 LAW TO THE CONTRARY, THE RETAIL SELLER SHALL BE ENTITLED TO RECEIVE A 24 CREDIT AGAINST THE TAXES DUE PURSUANT TO ARTICLE TWENTY-EIGHT OF THIS 25 CHAPTER FOR THE AMOUNT OF TAX THAT THE RETAIL SELLER PREPAID PURSUANT TO 26 ARTICLES TWELVE-A, THIRTEEN-A, TWENTY-EIGHT AND, IF APPLICABLE, TWENTY- 27 NINE OF THIS CHAPTER. IF THE RETAIL SELLER IS LOCATED WITHIN A MUNICI- 28 PALITY THAT HAS ELECTED TO ELIMINATE THE TAX IMPOSED PURSUANT TO ARTICLE 29 TWENTY-NINE OF THIS CHAPTER, THE RETAIL SELLER SHALL BE ENTITLED TO 30 CLAIM A CREDIT AGAINST THE TAXES DUE PURSUANT TO ARTICLE TWENTY-EIGHT OF 31 THIS CHAPTER FOR SUCH PREPAID TAXES. THE AMOUNT OF CREDIT SHALL EQUAL 32 THE AMOUNT OF TAX THAT WAS PREPAID PURSUANT TO ARTICLES TWELVE-A, THIR- 33 TEEN-A, TWENTY-EIGHT AND, IF APPLICABLE, TWENTY-NINE OF THIS CHAPTER FOR 34 EACH GALLON OF MOTOR FUEL AND DIESEL MOTOR FUEL SOLD AT RETAIL DURING 35 THE APPLICABLE PERIOD. SUCH CREDIT SHALL NOT BE ALLOWED FOR SALES THAT 36 WOULD HAVE OTHERWISE BEEN EXEMPT FROM TAX. 37 (2) A RETAIL SELLER MAY CLAIM THE CREDIT PRESCRIBED IN PARAGRAPH ONE 38 OF THIS SUBDIVISION WHEN THE RETAIL SELLER FILES ITS RETURN OF TAX FOR 39 THE SALES OF MOTOR FUEL AND DIESEL MOTOR FUEL FOR THE PERIOD THAT 40 INCLUDES THE APPLICABLE PERIOD. NOTWITHSTANDING THE FOREGOING, IF A 41 RETAILER SELLER IS REQUIRED TO FILE ITS RETURN MORE THAN THIRTY DAYS 42 AFTER THE CLOSE OF THE APPLICABLE PERIOD DEFINED IN SUBPARAGRAPH (A), 43 (B), OR (C) OF PARAGRAPH ONE OF SUBDIVISION (A) OF THIS SECTION, SUCH 44 RETAILER SHALL BE AUTHORIZED TO FILE AN AMENDMENT TO ITS MOST RECENTLY 45 FILED RETURN TO CLAIM SUCH CREDIT. NO CREDIT MAY BE CLAIMED FOR THE 46 TAXES PREPAID PURSUANT TO ARTICLE TWELVE-A, THIRTEEN-A, TWENTY-EIGHT OR, 47 IF APPLICABLE, TWENTY-NINE OF THIS CHAPTER PURSUANT TO THIS SECTION IF 48 THE CLAIM WOULD HAVE BEEN BARRED PURSUANT TO THE ARTICLE THAT REQUIRED 49 PREPAYMENT OF SUCH TAXES. NO INTEREST SHALL BE PAID ON ANY CLAIMS FOR 50 CREDIT MADE PURSUANT TO THIS SECTION. 51 S 2. Section 88-a of the state finance law is amended by adding a new 52 subdivision 10 to read as follows: 53 10. BY MARCH THIRTY-FIRST, TWO THOUSAND TWELVE, THE COMPTROLLER SHALL 54 TRANSFER FROM THE GENERAL FUND TO THE MASS TRANSPORTATION OPERATING 55 ASSISTANCE FUND AN AMOUNT NO GREATER THAN THE AMOUNT THAT WOULD HAVE 56 OTHERWISE BEEN DEPOSITED IN THE MASS TRANSPORTATION OPERATING ASSISTANCE S. 4880--B 3 1 FUND PURSUANT TO THIS SECTION IF THE EXEMPTION DEFINED IN SUBDIVISION 2 (B) OF SECTION THIRTY-SIX OF THE TAX LAW HAD NOT BEEN AUTHORIZED; 3 PROVIDED HOWEVER THAT THE COMPTROLLER SHALL MAKE SUCH TRANSFER ONLY 4 AFTER THE DIRECTOR OF THE BUDGET HAS DETERMINED IN HIS OR HER DISCRETION 5 THAT THE TRANSFER IS NECESSARY TO ENSURE A POSITIVE FUND BALANCE OF THE 6 MASS TRANSPORTATION OPERATING ASSISTANCE FUND AT THE END OF THE TWO 7 THOUSAND ELEVEN-TWO THOUSAND TWELVE STATE FISCAL YEAR. 8 S 3. Subdivision 3 of section 89-b of the state finance law is amended 9 by adding a new paragraph (g) to read as follows: 10 (G) WITHIN FORTY-FIVE DAYS AFTER AN APPLICABLE PERIOD AS DEFINED BY 11 SUBDIVISION (A) OF SECTION THIRTY-SIX OF THE TAX LAW, THE COMPTROLLER, 12 IN CONSULTATION WITH THE DIRECTOR OF THE DIVISION OF THE BUDGET, SHALL 13 TRANSFER FROM THE GENERAL FUND TO THE SPECIAL OBLIGATION RESERVE AND 14 PAYMENT ACCOUNT AN AMOUNT EQUAL TO THE AMOUNT THAT WOULD HAVE OTHERWISE 15 BEEN DEPOSITED IN THE SPECIAL OBLIGATION RESERVE AND PAYMENT ACCOUNT 16 PURSUANT TO THIS SECTION IF THE EXEMPTION DEFINED IN SUBDIVISION (B) OF 17 SECTION THIRTY-SIX OF THE TAX LAW HAD NOT BEEN AUTHORIZED. 18 S 4. Section 89-c of the state finance law is amended by adding a new 19 subdivision 4 to read as follows: 20 4. WITHIN FORTY-FIVE DAYS AFTER AN APPLICABLE PERIOD AS DEFINED BY 21 SUBDIVISION (A) OF SECTION THIRTY-SIX OF THE TAX LAW, THE COMPTROLLER, 22 IN CONSULTATION WITH THE DIRECTOR OF THE DIVISION OF THE BUDGET, SHALL 23 TRANSFER FROM THE GENERAL FUND TO THE DEDICATED MASS TRANSPORTATION 24 TRUST FUND AN AMOUNT EQUAL TO THE AMOUNT THAT WOULD HAVE OTHERWISE BEEN 25 DEPOSITED IN THE DEDICATED MASS TRANSPORTATION TRUST FUND PURSUANT TO 26 THIS SECTION IF THE EXEMPTION DEFINED IN SUBDIVISION (B) OF SECTION 27 THIRTY-SIX OF THE TAX LAW HAD NOT BEEN AUTHORIZED. 28 S 5. Section 392-i of the general business law, as amended by section 29 5 of part M-1 of chapter 109 of the laws of 2006, is amended to read as 30 follows: 31 S 392-i. Prices reduced to reflect change in sales tax computation. 32 Every person engaged in the retail sale of motor fuel and/or diesel 33 motor fuel or a distributor of such fuels, as defined in article 34 twelve-A of the tax law, shall reduce the price such person charges for 35 motor fuel and/or diesel motor fuel in an amount equal to any reduction 36 in taxes prepaid by the distributor, CREDIT FOR THE AMOUNT OF TAXES 37 PREPAID BY THE RETAIL SELLER ALLOWABLE PURSUANT TO SECTION THIRTY-SIX OF 38 THE TAX LAW, EXEMPTION FROM TAXATION PURSUANT TO SECTION THIRTY-SIX OF 39 THE TAX LAW TO THE EXTENT THAT THE TAX THAT WOULD HAVE BEEN OTHERWISE 40 DUE EXCEEDS THE AMOUNT OF TAX PREPAID, or paid by retail customers 41 resulting from computing sales and compensating use AND OTHER taxes at a 42 cents per gallon rate pursuant to the provisions of paragraph two of 43 subdivision (e) and subdivision (m) of section eleven hundred eleven of 44 the tax law. 45 S 6. Paragraph 1 of subdivision (n) of section 1817 of the tax law, as 46 amended by section 30 of subpart I of part V-1 of chapter 57 of the laws 47 of 2009, is amended to read as follows: 48 (1) Every person engaged in the retail sale of motor fuel and/or 49 diesel motor fuel or a distributor of such fuels, as defined in article 50 twelve-A of this chapter, shall comply with the provisions of section 51 three hundred ninety-two-i of the general business law by reducing the 52 prices charged for motor fuel and diesel motor fuel in an amount equal 53 to any reduction in taxes prepaid by the distributor, CREDIT FOR THE 54 AMOUNT OF TAXES PREPAID BY THE RETAIL SELLER ALLOWABLE PURSUANT TO 55 SECTION THIRTY-SIX OF THE TAX LAW, EXEMPTION FROM TAXATION PURSUANT TO 56 SECTION THIRTY-SIX OF THE TAX LAW TO THE EXTENT THAT THE TAX THAT WOULD S. 4880--B 4 1 HAVE BEEN OTHERWISE DUE EXCEEDS THE AMOUNT OF TAX PREPAID, or imposed on 2 retail customers resulting from computing sales and compensating use 3 taxes at a cents per gallon rate pursuant to the provisions of paragraph 4 two of subdivision (e) and subdivision (m) of section one thousand one 5 hundred eleven of this chapter. 6 S 7. Notwithstanding any law to the contrary, a municipality may make 7 the election to eliminate all taxes on motor fuel and diesel motor fuel 8 pursuant to sections eleven hundred seven and eleven hundred eight of 9 the tax law or article twenty-nine of the tax law from Friday, May twen- 10 ty-seventh through Monday, May thirtieth, two thousand eleven, from 11 Friday, July first, through Monday, July fourth, two thousand eleven and 12 from Friday, September second through Monday, September fifth, two thou- 13 sand eleven, by local law, ordinance or resolution, if such municipality 14 mails, by certified or registered mail, a certified copy of such local 15 law, ordinance or resolution to the commissioner of taxation and finance 16 at his or her office in Albany no later than the Wednesday immediately 17 preceding the first date listed in subparagraph (A), (B) or (C) of para- 18 graph one of subdivision (a) of section thirty-six of the tax law, 19 provided, however, that a municipality may adopt one local law, ordi- 20 nance or resolution that will apply to all or some of the dates listed 21 in paragraph one of subdivision (a) of section thirty-six of the tax 22 law. 23 S 8. The commissioner of taxation and finance shall, on an emergency 24 basis, promulgate and/or amend any rules and regulations necessary to 25 provide for the tax free sales of motor fuel and diesel motor fuel and 26 refunds of prepaid tax to retail sellers. 27 S 9. This act shall take effect immediately, provided however that the 28 commissioner of taxation and finance shall make provision for retail 29 sellers to apply for credit for the taxes prepaid pursuant to articles 30 twelve-A, thirteen-A, twenty-eight, and, if applicable, twenty-nine of 31 the tax law, no later than the tenth day of June, two thousand eleven.