Bill S2515-2013

Establishes the retail gas station electric generator tax credit

Establishes the retail gas station electric generator tax credit.

Details

Actions

  • Jan 8, 2014: REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • Jan 18, 2013: REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS

Memo

BILL NUMBER:S2515

TITLE OF BILL: An act to amend the tax law, in relation to establishing the retail gas station electric generator tax credit

PURPOSE: This bill would provide taxpayers that own retail motor fuel and diesel motor fuel filling stations in the state with a refundable tax credit for the purchase and installation of an emergency electric generator that is capable of providing emergency power to the fuel pumps at the filling station.

SUMMARY OF PROVISIONS:

Section 1 of the bill amends section 210 of the Tax law to provide a refundable credit to business corporation taxpayers that own motor fuel and diesel motor fuel filling stations that sell motor fuel and diesel motor fuel at retail for purchasing and installing an emergency electric generator at a filling station. The emergency electric generator must be capable of providing emergency power to the fuel pumps.

Section 2 of the bill amends section 606 of the Tax law to provide a refundable credit to S Corporation taxpayers that own motor fuel and diesel motor fuel filling stations that sell motor fuel and diesel motor fuel at retail for purchasing and installing an emergency electric generator at a filling station. The emergency electric generator must be capable of providing emergency power to the fuel pumps.

Section 3 of the bill amends section 606 of the Tax law to provide a refundable credit to individual taxpayers that own motor fuel and diesel motor fuel filling stations that sell motor fuel and diesel motor fuel at retail for purchasing and installing an emergency electric generator at a filling station. The emergency electric generator must be capable of providing emergency power to the fuel pumps.

Section 4 of the bill provides that the act shall take effect immediately and apply to taxable years beginning on and after January 1, 2013.

EXISTING LAW: Currently, the Tax Law does not provide for such a credit.

JUSTIFICATION: As New Yorkers began to recover from Hurricane Sandy, many found that they were unable to obtain motor fuel locally because there was no electricity at the service stations to operate the fuel pumps. These New Yorkers were forced to either drive upstate or to another State to obtain motor fuel. At the few service stations that did have power to operate the fuel pumps, the lines to obtain motor fuel stretched for blocks. In Manhattan, three police officers were sent to a service station to keep the peace after fights broke out in the waiting line.

This bill addresses the underlying cause of the inability for New Yorkers to purchase motor fuel after Hurricane Sandy by providing

service station owners with a refundable tax credit when the owner purchases a generator that is able to power the fuel pumps is purchased and installed at a service station in New York. This tax credit will provide service station owners, many of whom are struggling with repairs in the wake of Hurricane Sandy, with the security that if they make the investment that they need to purchase and install a generator, they will receive some financial relief.

We need to help to ensure that New Yorkers do not face the same situation in the future. This bill is a good step toward achieving that goal.

LEGISLATIVE HISTORY: New Bill

FISCAL IMPLICATIONS: To be determined

EFFECTIVE DATE: This act shall take effect immediately and shall apply to all taxable years beginning on and after January 1, 2013.


Text

STATE OF NEW YORK ________________________________________________________________________ 2515 2013-2014 Regular Sessions IN SENATE January 18, 2013 ___________
Introduced by Sens. GOLDEN, MAZIARZ -- 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 establishing the retail gas station electric generator tax credit THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Section 210 of the tax law is amended by adding a new subdivision 46 to read as follows: 46. RETAIL GAS STATION ELECTRIC GENERATOR TAX CREDIT. (A) ALLOWANCE OF CREDIT. A TAXPAYER WHO IS ENGAGED IN THE BUSINESS OF SELLING MOTOR FUEL OR DIESEL MOTOR FUEL AT RETAIL SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED IN PARAGRAPH (C) OF THIS SUBDIVISION, AGAINST THE TAX IMPOSED BY THIS ARTICLE FOR THE PURCHASE AND INSTALLATION OF AN EMERGEN- CY ELECTRIC GENERATOR THAT IS CAPABLE OF PROVIDING EMERGENCY POWER TO FUEL PUMPS AT A FILLING STATION OWNED BY THE TAXPAYER THAT IS LOCATED IN THIS STATE. A TAXPAYER MAY CLAIM CREDIT PURSUANT TO THIS SUBDIVISION FOR EACH EMERGENCY ELECTRIC GENERATOR INSTALLED AT A FILLING STATION OWNED BY THE TAXPAYER THAT IS LOCATED IN THIS STATE; PROVIDED, HOWEVER, THAT THE TAXPAYER SHALL NOT CLAIM MORE THAN ONE CREDIT FOR ANY ONE FILLING STATION. (B) DEFINITIONS. FOR PURPOSES OF THIS SUBDIVISION, THE FOLLOWING DEFI- NITIONS SHALL APPLY: (1) "AT RETAIL" SHALL MEAN A FILLING STATION WHERE SUCH FUEL IS STORED PRIMARILY FOR SALE BY DELIVERY DIRECTLY INTO THE ORDINARY FUEL TANK CONNECTED WITH THE ENGINE OF A MOTOR VEHICLE TO BE CONSUMED IN THE OPER- ATION OF SUCH MOTOR VEHICLE OR WHERE SUCH FUEL IS STORED PRIMARILY FOR SALE BY DELIVERY DIRECTLY INTO THE ORDINARY FUEL TANK CONNECTED WITH THE ENGINE OF A VESSEL TO BE CONSUMED IN THE OPERATION OF SUCH VESSEL.
(2) "DIESEL MOTOR FUEL" SHALL HAVE THE SAME MEANING AS THE TERM HIGH- WAY DIESEL MOTOR FUEL AS DEFINED IN SECTION TWO HUNDRED EIGHTY-TWO OF THIS CHAPTER. (3) "FILLING STATION" SHALL MEAN ANY PREMISES WHEREON THE RETAIL SALE OF MOTOR FUELS IS CONDUCTED AS THE PRINCIPAL BUSINESS. (4) "MOTOR FUEL" SHALL HAVE THE SAME MEANING AS IN SECTION TWO HUNDRED EIGHTY-TWO OF THIS CHAPTER. (C) AMOUNT OF CREDIT. THE AMOUNT OF CREDIT SHALL EQUAL THE COST TO PURCHASE AND INSTALL AN EMERGENCY ELECTRIC GENERATOR AT A FILLING STATION LOCATED IN THIS STATE LESS ANY AMOUNTS FOR SUCH PURCHASE OR INSTALLATION THAT WERE DEDUCTED BY THE TAXPAYER FOR FEDERAL PURPOSES, OR FIFTEEN THOUSAND DOLLARS, WHICHEVER IS LESSER. (D) APPLICATION OF CREDIT. THE CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR WILL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO LESS THAN THE HIGHER OF THE AMOUNTS PRESCRIBED IN PARAGRAPHS (C) AND (D) OF SUBDIVISION ONE OF THIS SECTION. HOWEVER, IF THE AMOUNT OF CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR REDUCES THE TAX TO SUCH AMOUNT, ANY AMOUNT OF CREDIT THUS NOT DEDUCTIBLE IN SUCH TAXABLE YEAR WILL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION ONE THOUSAND EIGHTY-SIX OF THIS CHAPTER. PROVIDED, HOWEVER, THE PROVISIONS OF SUBSECTION (C) OF SECTION ONE THOUSAND EIGHTY-EIGHT OF THIS CHAPTER NOTWITHSTANDING, NO INTEREST WILL BE PAID THEREON. S 2. Subparagraph (B) of paragraph 1 of subsection (i) of section 606 of the tax law is amended by adding a new clause (xxxv) to read as follows: (XXXV) RETAIL GAS STATION ELECTRIC AMOUNT OF CREDIT UNDER GENERATOR TAX CREDIT UNDER SUBDIVISION FORTY-SIX OF SECTION SUBSECTION (VV) TWO HUNDRED TEN OF THIS CHAPTER S 3. Section 606 of the tax law is amended by adding a new subsection (vv) to read as follows: (VV) RETAIL GAS STATION ELECTRIC GENERATOR TAX CREDIT. (1) ALLOWANCE OF CREDIT. A TAXPAYER WHO IS ENGAGED IN THE BUSINESS OF SELLING MOTOR FUEL OR DIESEL MOTOR FUEL AT RETAIL SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED IN PARAGRAPH (3) OF THIS SUBSECTION, AGAINST THE TAX IMPOSED BY THIS ARTICLE FOR THE PURCHASE AND INSTALLATION OF AN EMERGENCY ELECTRIC GENERATOR THAT IS CAPABLE OF PROVIDING EMERGENCY POWER TO FUEL PUMPS AT A FILLING STATION OWNED BY THE TAXPAYER THAT IS LOCATED IN THIS STATE. A TAXPAYER MAY CLAIM CREDIT PURSUANT TO THIS SUBDIVISION FOR EACH EMERGENCY ELECTRIC GENERATOR INSTALLED AT A FILLING STATION OWNED BY THE TAXPAYER THAT IS LOCATED IN THIS STATE; PROVIDED, HOWEVER, THAT THE TAXPAYER SHALL NOT CLAIM MORE THAN ONE CREDIT FOR ANY ONE FILLING STATION. (2) DEFINITIONS. FOR PURPOSES OF THIS SUBDIVISION, THE FOLLOWING DEFI- NITIONS SHALL APPLY: (A) "AT RETAIL" SHALL MEAN A FILLING STATION WHERE SUCH FUEL IS STORED PRIMARILY FOR SALE BY DELIVERY DIRECTLY INTO THE ORDINARY FUEL TANK CONNECTED WITH THE ENGINE OF A MOTOR VEHICLE TO BE CONSUMED IN THE OPER- ATION OF SUCH MOTOR VEHICLE OR WHERE SUCH FUEL IS STORED PRIMARILY FOR SALE BY DELIVERY DIRECTLY INTO THE ORDINARY FUEL TANK CONNECTED WITH THE ENGINE OF A VESSEL TO BE CONSUMED IN THE OPERATION OF SUCH VESSEL. (B) "DIESEL MOTOR FUEL" SHALL HAVE THE SAME MEANING AS THE TERM HIGH- WAY DIESEL MOTOR FUEL AS DEFINED IN SECTION TWO HUNDRED EIGHTY-TWO OF THIS CHAPTER. (C) "FILLING STATION" SHALL MEAN ANY PREMISES WHEREON THE RETAIL SALE OF MOTOR FUELS IS CONDUCTED AS THE PRINCIPAL BUSINESS.
(D) "MOTOR FUEL" SHALL HAVE THE SAME MEANING AS IN SECTION TWO HUNDRED EIGHTY-TWO OF THIS CHAPTER. (3) AMOUNT OF CREDIT. THE AMOUNT OF CREDIT SHALL EQUAL THE COST TO PURCHASE AND INSTALL AN EMERGENCY ELECTRIC GENERATOR AT A FILLING STATION LOCATED IN THIS STATE LESS ANY AMOUNTS FOR SUCH PURCHASE OR INSTALLATION THAT WERE DEDUCTED BY THE TAXPAYER FOR FEDERAL PURPOSES, OR FIFTEEN THOUSAND DOLLARS, WHICHEVER IS LESSER. (4) APPLICATION OF CREDIT. IF THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBSECTION FOR ANY TAXABLE YEAR SHALL EXCEED THE TAXPAYER'S TAX FOR SUCH YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX HUNDRED EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST SHALL BE PAID THEREON. S 4. This act shall take effect immediately and shall apply to all taxable years beginning on and after January 1, 2013.

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