A9799A-2011 Actions

• Jun 19, 2012: held for consideration in ways and means
• May 1, 2012: print number 9799a
• May 1, 2012: amend (t) and recommit to ways and means
• Apr 5, 2012: referred to ways and means

A9799A-2011 Text

 S T A T E   O F   N E W   Y O R K
 
 9799--A
 I N  ASSEMBLY
 April 5, 2012
 
 Introduced  by  M.  of  A.  McDONOUGH  --  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, the state finance law, and the general
 business law, in relation to suspending taxes on gasoline and  similar
 motor fuels from Memorial Day to Labor Day
 

THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM
 BLY, DO ENACT AS FOLLOWS:

 

Section 1. The tax law is amended by adding a new section 37  to  read
 as follows:

 

S  37.    FUEL  TAX  HOLIDAY.  (A)  DEFINITIONS.  FOR PURPOSES OF THIS
 SECTION,
 (1) "APPLICABLE PERIOD" SHALL MEAN THE PERIOD COMMENCING ON  THE  LAST
 MONDAY  IN MAY, KNOWN AS MEMORIAL DAY, AND ENDING ON THE FIRST MONDAY IN
 SEPTEMBER, KNOWN AS LABOR DAY.
 (2) "DIESEL MOTOR FUEL" AND "MOTOR FUEL" SHALL HAVE THE  SAME  MEANING
 AS SECTION TWO HUNDRED EIGHTY-TWO OF THIS CHAPTER.
 (3)  "FILLING  STATION"  SHALL HAVE THE SAME MEANING AS IN SECTION TWO
 HUNDRED EIGHTY-TWO OF THIS CHAPTER.
 (4) "RETAIL SALE" AND "SOLD AT RETAIL" SHALL MEAN ANY  SALE  OF  MOTOR
 FUEL  OR DIESEL MOTOR FUEL AT A FILLING STATION TO A PERSON FOR USE IN A
 MOTOR VEHICLE.
 (5) "RETAIL SELLER" SHALL MEAN ANY PERSON  WHO  SELLS  MOTOR  FUEL  OR
 DIESEL MOTOR FUEL AT RETAIL.
 (6)  "SALE"  SHALL  HAVE  THE  SAME  MEANING AS IN SECTION TWO HUNDRED
 EIGHTY-TWO OF THIS CHAPTER.
 (B) EXEMPTION FROM TAXATION. NOTWITHSTANDING ANY  OTHER  PROVISION  OF
 LAW,  RULE  OR  REGULATION  TO THE CONTRARY, THE TAXES IMPOSED ON RETAIL
 SALES OF MOTOR FUEL AND DIESEL MOTOR FUEL  MADE  DURING  THE  APPLICABLE
 PERIOD  SHALL  BE  EXEMPT  FROM  THE TAXES IMPOSED BY ARTICLES TWELVE-A,
 THIRTEEN-A, AND TWENTY-EIGHT OF THIS CHAPTER. IF THE  RETAIL  SELLER  IS
 LOCATED  WITHIN  A  MUNICIPALITY  THAT  HAS ELECTED TO ELIMINATE THE TAX
 IMPOSED PURSUANT TO ARTICLE TWENTY-NINE  OF  THIS  CHAPTER,  SUCH  TAXES
 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD14941-03-2
 
       A. 9799--A                          2
 SHALL  NOT  BE  IMPOSED ON THE RETAIL SALE OF MOTOR FUEL OR DIESEL MOTOR
 FUEL DURING THE APPLICABLE PERIOD.
 (C)  PRICE REDUCTION. DURING THE APPLICABLE PERIOD, EACH RETAIL SELLER
 SHALL REDUCE THE PRICE PER GALLON OF MOTOR FUEL AND  DIESEL  MOTOR  FUEL
 OFFERED  FOR  SALE  BY  THE  AMOUNT  OF THE TAXES THAT THE RETAIL SELLER
 PREPAID ON THE GALLON OF MOTOR FUEL AND DIESEL MOTOR FUEL AND THE AMOUNT
 OF TAX IN EXCESS OF THE PREPAID AMOUNT THAT WOULD  HAVE  BEEN  COLLECTED
 FROM THE CONSUMER IF THE SALE OF THE MOTOR FUEL OR DIESEL MOTOR FUEL HAD
 NOT BEEN EXEMPT FROM TAX PURSUANT TO SUBDIVISION (B) OF THIS SECTION.
 (D)  ADVERTISING.  NOTWITHSTANDING  ANY  OTHER PROVISION OF LAW TO THE
 CONTRARY, A RETAIL SELLER MAY  ADVERTISE  THAT  THE  MOTOR  FUEL  AND/OR
 DIESEL MOTOR FUEL IS BEING OR WILL BE SOLD WITHOUT THE STATE TAXES. SUCH
 ADVERTISEMENT  MAY COMMENCE NO EARLIER THAN THREE DAYS BEFORE THE APPLI
 CABLE PERIOD AND MUST END BY THE END OF THE APPLICABLE PERIOD.
 (E) REFUNDS AND CREDITS. (1) NOTWITHSTANDING ANY  OTHER  PROVISION  OF
 LAW  TO  THE  CONTRARY, THE RETAIL SELLER SHALL BE ENTITLED TO RECEIVE A
 CREDIT AGAINST THE TAXES DUE PURSUANT TO ARTICLE  TWENTY-EIGHT  OF  THIS
 CHAPTER FOR THE AMOUNT OF TAX THAT THE RETAIL SELLER PREPAID PURSUANT TO
 ARTICLES  TWELVE-A, THIRTEEN-A, TWENTY-EIGHT AND, IF APPLICABLE, TWENTY
 NINE OF THIS CHAPTER. IF THE RETAIL SELLER IS LOCATED WITHIN  A  MUNICI
 PALITY THAT HAS ELECTED TO ELIMINATE THE TAX IMPOSED PURSUANT TO ARTICLE
 TWENTY-NINE  OF  THIS  CHAPTER,  THE  RETAIL SELLER SHALL BE ENTITLED TO
 CLAIM A CREDIT AGAINST THE TAXES DUE PURSUANT TO ARTICLE TWENTY-EIGHT OF
 THIS CHAPTER FOR SUCH PREPAID TAXES. THE AMOUNT OF  CREDIT  SHALL  EQUAL
 THE  AMOUNT OF TAX THAT WAS PREPAID PURSUANT TO ARTICLES TWELVE-A, THIR
 TEEN-A, TWENTY-EIGHT AND, IF APPLICABLE, TWENTY-NINE OF THIS CHAPTER FOR
 EACH GALLON OF MOTOR FUEL AND DIESEL MOTOR FUEL SOLD  AT  RETAIL  DURING
 THE  APPLICABLE  PERIOD. SUCH CREDIT SHALL NOT BE ALLOWED FOR SALES THAT
 WOULD HAVE OTHERWISE BEEN EXEMPT FROM TAX.
 (2) A RETAIL SELLER MAY CLAIM THE CREDIT PRESCRIBED IN  PARAGRAPH  ONE
 OF  THIS  SUBDIVISION WHEN THE RETAIL SELLER FILES ITS RETURN OF TAX FOR
 THE SALES OF MOTOR FUEL AND  DIESEL  MOTOR  FUEL  FOR  THE  PERIOD  THAT
 INCLUDES  THE  APPLICABLE  PERIOD.  NOTWITHSTANDING  THE FOREGOING, IF A
 RETAIL SELLER IS REQUIRED TO FILE ITS RETURN MORE THAN THIRTY DAYS AFTER
 THE CLOSE OF THE APPLICABLE PERIOD DEFINED IN PARAGRAPH ONE OF  SUBDIVI
 SION  (A)  OF THIS SECTION, SUCH RETAILER SHALL BE AUTHORIZED TO FILE AN
 AMENDMENT TO ITS MOST RECENTLY FILED RETURN TO  CLAIM  SUCH  CREDIT.  NO
 CREDIT  MAY  BE  CLAIMED  FOR  THE  TAXES  PREPAID  PURSUANT  TO ARTICLE
 TWELVE-A, THIRTEEN-A, TWENTY-EIGHT OR,  IF  APPLICABLE,  TWENTY-NINE  OF
 THIS  CHAPTER  PURSUANT  TO  THIS  SECTION  IF THE CLAIM WOULD HAVE BEEN
 BARRED PURSUANT TO THE ARTICLE THAT REQUIRED PREPAYMENT OF  SUCH  TAXES.
 NO INTEREST SHALL BE PAID ON ANY CLAIMS FOR CREDIT MADE PURSUANT TO THIS
 SECTION.
 

S  2.

Section 88-a of the state finance law is amended by adding a new
 subdivision 10 to read as follows:

 10. BY MARCH THIRTY-FIRST EACH YEAR, THE  COMPTROLLER  SHALL  TRANSFER
 FROM  THE  GENERAL  FUND TO THE MASS TRANSPORTATION OPERATING ASSISTANCE
 FUND AN AMOUNT NO GREATER THAN THE AMOUNT THAT WOULD HAVE OTHERWISE BEEN
 DEPOSITED IN THE MASS TRANSPORTATION OPERATING ASSISTANCE FUND  PURSUANT
 TO  THIS  SECTION IF THE EXEMPTION DEFINED IN SUBDIVISION (B) OF SECTION
 THIRTY-SEVEN OF THE TAX LAW HAD NOT BEEN  AUTHORIZED;  PROVIDED  HOWEVER
 THAT THE COMPTROLLER SHALL MAKE SUCH TRANSFER ONLY AFTER THE DIRECTOR OF
 THE  BUDGET HAS DETERMINED IN HIS OR HER DISCRETION THAT THE TRANSFER IS
 NECESSARY TO ENSURE A POSITIVE FUND BALANCE OF THE  MASS  TRANSPORTATION
 OPERATING ASSISTANCE FUND AT THE END OF EACH STATE FISCAL YEAR.
 
       A. 9799--A                          3
 

S 3. Subdivision 3 of section 89-b of the state finance law is amended
 by adding a new paragraph (g) to read as follows:

 (G)  WITHIN  FORTY-FIVE  DAYS AFTER AN APPLICABLE PERIOD AS DEFINED BY
 SUBDIVISION (A) OF SECTION THIRTY-SEVEN OF THE TAX LAW, THE COMPTROLLER,
 IN CONSULTATION WITH THE DIRECTOR OF THE DIVISION OF THE  BUDGET,  SHALL
 TRANSFER  FROM  THE  GENERAL  FUND TO THE SPECIAL OBLIGATION RESERVE AND
 PAYMENT ACCOUNT AN AMOUNT EQUAL TO THE AMOUNT THAT WOULD HAVE  OTHERWISE
 BEEN  DEPOSITED  IN  THE  SPECIAL OBLIGATION RESERVE AND PAYMENT ACCOUNT
 PURSUANT TO THIS SECTION IF THE EXEMPTION DEFINED IN SUBDIVISION (B)  OF
 SECTION THIRTY-SEVEN OF THE TAX LAW HAD NOT BEEN AUTHORIZED.
 

S  4.

Section 89-c of the state finance law is amended by adding a new
 subdivision 4 to read as follows:

 4. WITHIN FORTY-FIVE DAYS AFTER AN APPLICABLE  PERIOD  AS  DEFINED  BY
 SUBDIVISION (A) OF SECTION THIRTY-SEVEN OF THE TAX LAW, THE COMPTROLLER,
 IN  CONSULTATION  WITH THE DIRECTOR OF THE DIVISION OF THE BUDGET, SHALL
 TRANSFER FROM THE GENERAL FUND  TO  THE  DEDICATED  MASS  TRANSPORTATION
 TRUST  FUND AN AMOUNT EQUAL TO THE AMOUNT THAT WOULD HAVE OTHERWISE BEEN
 DEPOSITED IN THE DEDICATED MASS TRANSPORTATION TRUST  FUND  PURSUANT  TO
 THIS  SECTION  IF  THE  EXEMPTION  DEFINED IN SUBDIVISION (B) OF SECTION
 THIRTY-SEVEN OF THE TAX LAW HAD NOT BEEN AUTHORIZED.
 

S 5.

Section 392-i of the general business law, as amended by  section
 5  of part M-1 of chapter 109 of the laws of 2006, is amended to read as
 follows:

 

S 392-i. Prices reduced to reflect change in  sales  tax  computation.
 Every  person  engaged  in  the  retail sale of motor fuel and/or diesel
 motor fuel or a  distributor  of  such  fuels,  as  defined  in  article
 twelve-A  of the tax law, shall reduce the price such person charges for
 motor fuel and/or diesel motor fuel in an amount equal to any  reduction
 in  taxes  prepaid  by  the  distributor, CREDIT FOR THE AMOUNT OF TAXES
 PREPAID BY THE RETAIL SELLER ALLOWABLE PURSUANT TO SECTION  THIRTY-SEVEN
 OF THE TAX LAW, EXEMPTION FROM TAXATION PURSUANT TO SECTION THIRTY-SEVEN
 OF THE TAX LAW TO THE EXTENT THAT THE TAX THAT WOULD HAVE BEEN OTHERWISE
 DUE  EXCEEDS  THE  AMOUNT  OF  TAX  PREPAID, or paid by retail customers
 resulting from computing sales and compensating use AND OTHER taxes at a
 cents per gallon rate pursuant to the provisions  of  paragraph  two  of
 subdivision  (e) and subdivision (m) of section eleven hundred eleven of
 the tax law.
 

S 6. Paragraph 1 of subdivision (n) of section 1817 of the tax law, as
 amended by section 30 of subpart I of part V-1 of chapter 57 of the laws
 of 2009, is amended to read as follows:

 (1) Every person engaged in the  retail  sale  of  motor  fuel  and/or
 diesel  motor fuel or a distributor of such fuels, as defined in article
 twelve-A of this chapter, shall comply with the  provisions  of  section
 three  hundred  ninety-two-i of the general business law by reducing the
 prices charged for motor fuel and diesel motor fuel in an  amount  equal
 to  any  reduction  in  taxes prepaid by the distributor, CREDIT FOR THE
 AMOUNT OF TAXES PREPAID BY  THE  RETAIL  SELLER  ALLOWABLE  PURSUANT  TO
 SECTION THIRTY-SEVEN OF THE TAX LAW, EXEMPTION FROM TAXATION PURSUANT TO
 SECTION  THIRTY-SEVEN  OF  THE  TAX  LAW TO THE EXTENT THAT THE TAX THAT
 WOULD HAVE BEEN OTHERWISE DUE EXCEEDS THE  AMOUNT  OF  TAX  PREPAID,  or
 imposed  on  retail customers resulting from computing sales and compen
 sating use taxes at a cents per gallon rate pursuant to  the  provisions
 of  paragraph  two of subdivision (e) and subdivision (m) of section one
 thousand one hundred eleven of this chapter.
 

S 7. Notwithstanding any law to the contrary, a municipality may  make
 the  election to eliminate all taxes on motor fuel and diesel motor fuel
 
       A. 9799--A                          4
 pursuant to sections 1107 and 1108 of the tax law or article 29  of  the
 tax  law  from the period commencing on the last Monday in May, known as
 Memorial Day, and ending on the first  Monday  in  September,  known  as
 Labor  Day,  by local law, ordinance or resolution, if such municipality
 mails, by certified or registered mail, a certified copy of  such  local
 law, ordinance or resolution to the commissioner of taxation and finance
 at  his  or her office in Albany no later than the Wednesday immediately
 preceding the one hundred eightieth day after this act shall have become
 a law.
 

S 8. The commissioner of taxation and finance shall, on  an  emergency
 basis,  promulgate  and/or  amend any rules and regulations necessary to
 provide for the tax free sales of motor fuel and diesel motor  fuel  and
 refunds of prepaid tax to retail sellers.
 

S 9. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.

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