This bill has been amended

Bill S4880B-2011

Provides for the suspension of taxes on gasoline and similar motor fuels for certain summer holiday weekends

Establishes a motor fuel and Diesel motor fuel holiday tax credit to be taken against personal income taxes for certain summer holiday weekends.

Details

Actions

  • Jan 4, 2012: REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • Jan 4, 2012: returned to senate
  • Jan 4, 2012: died in assembly
  • May 24, 2011: referred to ways and means
  • May 24, 2011: DELIVERED TO ASSEMBLY
  • May 24, 2011: PASSED SENATE
  • May 18, 2011: ADVANCED TO THIRD READING
  • May 17, 2011: 2ND REPORT CAL.
  • May 16, 2011: 1ST REPORT CAL.670
  • May 12, 2011: PRINT NUMBER 4880B
  • May 12, 2011: AMEND AND RECOMMIT TO FINANCE
  • May 5, 2011: PRINT NUMBER 4880A
  • May 5, 2011: AMEND (T) AND RECOMMIT TO FINANCE
  • May 3, 2011: REPORTED AND COMMITTED TO FINANCE
  • Apr 28, 2011: REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS

Votes

Memo

BILL NUMBER:S4880B

TITLE OF BILL: 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

PURPOSE: This legislation will remove New York State fuel sales taxes on the specific holiday weekends of Memorial Day, Independence Day and Labor Day during the summer months of 2011.

SUMMARY OF PROVISIONS:

Section 1 begins by adding new section 36 to the Tax Law entitled "Fuel Tax Holiday", which establishes the exemption the gasoline and motor fuel tax, the petroleum business tax and the state sales tax for retail sales of gasoline and diesel motor fuel for Memorial Day weekend, from May 27th to May 30th, for Independence Day weekend, from July 1st to July 4th, and Labor Day, from September 2nd to September 5th, spanning the typical four-day vacation weekend for these holidays.

Section 2 amends subdivision (3) of State Finance Law section 88-a by adding a new paragraph (g) which will hold harmless the Dedicated Highway and Bridge Trust Fund by requiring the comptroller to make payments in the amounts that would have been made if the motor fuel or diesel motor fuel had not been purchased during the Fuel Tax Holiday.

Section 5 amends section 392-i of general business law to account for the amendment made in the addition of section 289-g, section 1115 and section 301-b. This is being done as a measure to ensure that the tax code reflects the changes made by the establishment of the tax holidays.

Section 6 amends section 1817 by adding section 30 of subpart I of part V-I of Chapter 57 to include the provisions of new section 36.

Section 7 establishes that all municipalities may elect to take part in the gas tax holidays stated in this bill.

Section 8 states that the Commissioner of taxation and finance shall, on an emergency basis, promulgate and/or amend the rules and regulations necessary to allow for a refund of taxes which were prepaid on any product exempted in this act.

Section 9 provides that this act shall take effect immediately and states that the commissioner of taxation and finance shall make known and/or amend the rules and regulations necessary to allow for a refund of taxes which Were prepaid on any product exempted in this act.

EXISTING LAW: No provision for allowing sale of tax free gasoline is currently made in New York Law.

JUSTIFICATION:

Whether brought on by market tensions or mere speculation, New Yorkers are being negatively impacted by rising gas prices. Projections estimate gas prices could reach five dollars a gallon by summer, perhaps even higher.

This legislation would suspend the three separate state taxes on fuel the 8-cent excise tax, the 8-cent sales tax and the 17-cent Petroleum Business Tax - during the busy four-day Memorial Day, Independence Day and Labor Day holiday weekends, providing consumers an immediate savings of 33-cents per gallon of gasoline - about $5 to $6 a fill-up.

While other countries are getting rich at our expense, Our blue collar families and small business owners are being mugged. Governments should not smile and watch their government coffers grow as taxpayer misery skyrockets with ever increasing gas prices.

New York prides itself on the colorful diversity of vacation spots throughout the state. Whether it is camping in the Adirondacks, going to the Saratoga Race Track, hitting the beaches in Coney Island, seeing a show on Broadway or touring the grape growing regions of central and western New York, as a state we have so much to offer.

As we come closer to the busy summer travel season, it is often on the Memorial Day, Independence Day and Labor Day four-day weekends that New Yorkers have the opportunity to take a vacation and spend time traveling. This legislation helps people across the State of New York enjoy their time off with families, while giving our local economy a boost.

LEGISLATIVE HISTORY: New Bill.

FISCAL IMPLICATIONS: Approximately $60 million to the state.

LOCAL FISCAL IMPLICATIONS: A locality may suspend its tax, but it is pursuant to local law.

EFFECTIVE DATE: Immediately, with provisions.


Text

STATE OF NEW YORK ________________________________________________________________________ 4880--B 2011-2012 Regular Sessions IN SENATE 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: Section 1. The tax law is amended by adding a new section 36 to read as follows: S 36. FUEL TAX HOLIDAY. (A) DEFINITIONS. FOR PURPOSES OF THIS SECTION, (1) "APPLICABLE PERIOD" SHALL MEAN (A) FRIDAY, MAY TWENTY-SEVENTH THROUGH MONDAY, MAY THIRTIETH, TWO THOUSAND ELEVEN, (B) FRIDAY, JULY FIRST, THROUGH MONDAY, JULY FOURTH, TWO THOUSAND ELEVEN, AND (C) FRIDAY, SEPTEMBER SECOND THROUGH MONDAY, SEPTEMBER FIFTH, TWO THOUSAND ELEVEN. (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 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 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 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 RETAILER SELLER IS REQUIRED TO FILE ITS RETURN MORE THAN THIRTY DAYS AFTER THE CLOSE OF THE APPLICABLE PERIOD DEFINED IN SUBPARAGRAPH (A), (B), OR (C) OF PARAGRAPH ONE OF SUBDIVISION (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, TWO THOUSAND TWELVE, 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-SIX 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 THE TWO THOUSAND ELEVEN-TWO THOUSAND TWELVE STATE FISCAL YEAR. 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-SIX 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-SIX 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-SIX 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-SIX 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-SIX OF THE TAX LAW, EXEMPTION FROM TAXATION PURSUANT TO SECTION THIRTY-SIX 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-SIX OF THE TAX LAW, EXEMPTION FROM TAXATION PURSUANT TO SECTION THIRTY-SIX 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 compensating 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 pursuant to sections eleven hundred seven and eleven hundred eight of the tax law or article twenty-nine of the tax law from Friday, May twen- ty-seventh through Monday, May thirtieth, two thousand eleven, from Friday, July first, through Monday, July fourth, two thousand eleven and from Friday, September second through Monday, September fifth, two thou- sand eleven, 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 first date listed in subparagraph (A), (B) or (C) of para- graph one of subdivision (a) of section thirty-six of the tax law, provided, however, that a municipality may adopt one local law, ordi- nance or resolution that will apply to all or some of the dates listed in paragraph one of subdivision (a) of section thirty-six of the tax 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 immediately, provided however that the commissioner of taxation and finance shall make provision for retail sellers to apply for credit for the taxes prepaid pursuant to articles twelve-A, thirteen-A, twenty-eight, and, if applicable, twenty-nine of the tax law, no later than the tenth day of June, two thousand eleven.

Comments

Open Legislation comments facilitate discussion of New York State legislation. All comments are subject to moderation. Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity or hate speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Comment moderation is generally performed Monday through Friday.

By contributing or voting you agree to the Terms of Participation and verify you are over 13.

Discuss!

blog comments powered by Disqus