Establishes a motor fuel and Diesel motor fuel holiday tax credit to be taken against personal income taxes for certain summer holiday weekends.
TITLE OF BILL: An act to amend the tax law, in relation to establishing a motor fuel holiday tax credit for the 2012 tax year
PURPOSE: This legislation will remove New York State fuel sales taxes on the specific holiday weekends of Independence Day and Labor Day during the summer months of 2012.
SUMMARY OF PROVISIONS: Section One - amends section 606 tax law by adding a new subsection (uu). (uu) Motor fuel holiday tax credit. (1) Residents. For the tax year beginning on January 1, 2012 and ending before January 1, 2013, a tax payer shall be allowed a credit, to be computed as provided in paragraph four of this subsection, against the taxes imposed by this article for taxes paid upon motor fuel and diesel motor fuel tax holiday; provided, that such credit shall not exceed twenty-five dollars. If the amount of credit allowable under this subsection for any tax year shall exceed the taxpayer's tax for such year, the excess may be carried over to the following year or years and may be deducted from the taxpayer's tax for such year or years.
Section One - also states (2) Nonresidents. In the case of a nonresident taxpayer or a part-year resident taxpayer, the credit determined under this subsection shall be limited to the amount determined by multiplying the amount of such credit by the New York source fraction as set forth in paragraph three of subsection (e) of section six hundred one of this article. The credit as so limited shall be applied as provided in paragraph one of this subsection.
Section One - defines "Motor fuel tax holiday" shall mean (i) the period commencing on the Friday immediately preceding the fourth of July and ending on the first Monday after the fourth of July; and (ii) the period commencing on the Friday immediately preceding Labor day and ending on the first Tuesday following Labor day. "Diesel motor fuel" and "motor fuel" shall have the same meanings, and "filling station" shall have the same meaning as section 282 of this chapter.
Section One - states that the credit computation for the purchase of motor fuel, the credit shall equal the product of 33 cents multiplied by the number of gallon of gasoline purchased in this state during a motor fuel tax holiday, provided that such claim is supported by receipts listing the number of gallons purchased and the location of the filling station where such motor fuel was purchased. For the purchase of diesel motor fuel, the credit shall equal the product of 32 cents multiplied by the number of gallons of diesel motor fuel purchased in this state during a motor fuel tax holiday, provided that such claim is supported by receipts listing the number of gallons purchased and the location of the filling station where such diesel motor fuel was purchased.
Section Two - this act shall take effect immediately.
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 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 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: This is a new bill.
FISCAL IMPLICATIONS: Approximately $60 million to the state.
EFFECTIVE DATE: Immediately.
STATE OF NEW YORK ________________________________________________________________________ 4880--D 2011-2012 Regular Sessions IN SENATE April 28, 2011 ___________Introduced by Sens. BALL, GRISANTI, LARKIN, NOZZOLIO, RANZENHOFER, 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 Commit- tee 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 -- recommitted to the Committee on Investigations and Government Operations in accordance with Senate Rule 6, sec. 8 -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee -- reported favorably from said commit- tee and committed to the Committee on Finance -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the tax law, in relation to establishing a motor fuel holiday tax credit for the 2012 tax year THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Section 606 of the tax law is amended by adding a new subsection (uu) to read as follows: (UU) MOTOR FUEL HOLIDAY TAX CREDIT. (1) RESIDENTS. FOR THE TAX YEAR BEGINNING ON JANUARY FIRST, TWO THOUSAND TWELVE AND ENDING BEFORE JANU- ARY FIRST, TWO THOUSAND THIRTEEN, A TAXPAYER SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED IN PARAGRAPH FOUR OF THIS SUBSECTION, AGAINST THE TAXES IMPOSED BY THIS ARTICLE FOR TAXES PAID UPON MOTOR FUEL AND DIESEL MOTOR FUEL PURCHASED FROM A FILLING STATION IN THIS STATE DURING A MOTOR FUEL TAX HOLIDAY; PROVIDED, HOWEVER, THAT SUCH CREDIT SHALL NOT EXCEED TWENTY-FIVE DOLLARS. IF THE AMOUNT OF THE CREDIT ALLOWABLE UNDER THIS SUBSECTION FOR ANY TAX YEAR SHALL EXCEED THE TAXPAYER'S TAX FOR SUCH YEAR, THE EXCESS MAY BE CARRIED OVER TO THE FOLLOWING YEAR OR YEARS AND MAY BE DEDUCTED FROM THE TAXPAYER'S TAX FOR SUCH YEAR OR YEARS.EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD11057-16-2 S. 4880--D 2
(2) NONRESIDENTS. IN THE CASE OF A NONRESIDENT TAXPAYER OR A PART-YEAR RESIDENT TAXPAYER, THE CREDIT DETERMINED UNDER THIS SUBSECTION SHALL BE LIMITED TO THE AMOUNT DETERMINED BY MULTIPLYING THE AMOUNT OF SUCH CRED- IT BY THE NEW YORK SOURCE FRACTION AS SET FORTH IN PARAGRAPH THREE OF SUBSECTION (E) OF SECTION SIX HUNDRED ONE OF THIS ARTICLE. THE CREDIT AS SO LIMITED SHALL BE APPLIED AS PROVIDED IN PARAGRAPH ONE OF THIS SUBSECTION. (3) DEFINITIONS. FOR PURPOSES OF THIS SUBSECTION: (A) "MOTOR FUEL TAX HOLIDAY" SHALL MEAN (I) THE PERIOD COMMENCING ON THE FRIDAY IMMEDIATELY PRECEDING THE FOURTH DAY OF JULY AND ENDING ON THE FIRST MONDAY FOLLOWING THE FOURTH OF JULY; AND (II) THE PERIOD COMMENCING ON THE FRIDAY IMMEDIATELY PRECEDING LABOR DAY AND ENDING ON THE FIRST TUESDAY FOLLOWING LABOR DAY. (B) "DIESEL MOTOR FUEL" AND "MOTOR FUEL" SHALL HAVE THE SAME MEANINGS AS SECTION TWO HUNDRED EIGHTY-TWO OF THIS CHAPTER. (C) "FILLING STATION" SHALL HAVE THE SAME MEANING AS SECTION TWO HUNDRED EIGHTY-TWO OF THIS CHAPTER. (4) CREDIT COMPUTATION. FOR THE PURCHASE OF MOTOR FUEL, THE CREDIT SHALL EQUAL THE PRODUCT OF THIRTY-THREE CENTS MULTIPLIED BY THE NUMBER OF GALLONS OF GASOLINE PURCHASED IN THIS STATE DURING A MOTOR FUEL TAX HOLIDAY, PROVIDED THAT SUCH CLAIM IS SUPPORTED BY RECEIPTS LISTING THE NUMBER OF GALLONS PURCHASED AND THE LOCATION OF THE FILLING STATION WHERE SUCH MOTOR FUEL WAS PURCHASED. FOR THE PURCHASE OF DIESEL MOTOR FUEL, THE CREDIT SHALL EQUAL THE PRODUCT OF THIRTY-TWO CENTS MULTIPLIED BY THE NUMBER OF GALLONS OF DIESEL MOTOR FUEL PURCHASED IN THIS STATE DURING A MOTOR FUEL TAX HOLIDAY, PROVIDED THAT SUCH CLAIM IS SUPPORTED BY RECEIPTS LISTING THE NUMBER OF GALLONS PURCHASED AND THE LOCATION OF THE FILLING STATION WHERE SUCH DIESEL MOTOR FUEL WAS PURCHASED. S 2. This act shall take effect immediately.