Exempts libraries from the imposition of the metropolitan commuter transportation mobility tax.
TITLE OF BILL: An act to amend the tax law, in relation to the exemption of libraries from the imposition of the metropolitan commuter transportation mobility tax
Purpose: The legislation would exempt public and free association libraries located in the metropolitan commuter transportation district from paying the metropolitan commuter transportation mobility tax (MTA payroll tax), in the same manner of exemption currently encompassing public and private schools.
Summary of Provisions:
Section 1 amends Section 800 (4) of the tax law, to include public and free association libraries as eligible educational institutions that are exempt from payment of the MTA payroll tax.
Section 2 sets the enacting date.
Justification: Public libraries, like public school districts, are educational institutions chartered by the NYS Board of Regents and regulated by the State Education Department. Like public school districts, public libraries receive state and local tax dollars to provide educational services to their communities.Therefore, public libraries should be treated the same as public school districts when it comes to funding and taxation.
In addition, despite library usage increasing by 11% since 2007, state funding for libraries has declined by 23%. These continued reductions in state funding for public libraries has resulted in some areas covered by the pay roll tax paying 50% to 105% of their library aid to the MTA.
By exempting public libraries from the MTA payroll tax, this financial injustice and unequal treatment would be rectified and allow libraries to use their limited resources to meet the needs of their communities.
Legislative History: S. 6079-A (2012)
Fiscal Implications: To be determined.
Effective Date: This act shall take effect immediately.
STATE OF NEW YORK ________________________________________________________________________ 1891 2013-2014 Regular Sessions IN SENATE (PREFILED) January 9, 2013 ___________Introduced by Sens. MARTINS, FUSCHILLO, LARKIN, LAVALLE, ZELDIN -- read twice and ordered printed, and when printed to be committed to the Committee on Investigations and Government Operations AN ACT to amend the tax law, in relation to the exemption of libraries from the imposition of the metropolitan commuter transportation mobil- ity tax THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Paragraph 4 of subsection (b) of section 800 of the tax law, as added by section 1 of part B of chapter 56 of the laws of 2011, is amended to read as follows: (4) Any eligible educational institution. An "eligible educational institution" shall mean any public school district, a board of cooper- ative educational services, a public elementary or secondary school, a school approved pursuant to article eighty-five or eighty-nine of the education law to serve students with disabilities of school age, or a nonpublic elementary or secondary school that provides instruction in grade one or above, AND ALL PUBLIC AND FREE ASSOCIATION LIBRARIES AS SUCH TERMS ARE DEFINED IN SUBDIVISION TWO OF SECTION TWO HUNDRED FIFTY- THREE OF THE EDUCATION LAW. S 2. This act shall take effect immediately.EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD03640-01-3