S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         6592
                              2011-2012 Regular Sessions
                                 I N  A S S E M B L Y
                                    March 22, 2011
                                      ___________
       Introduced  by M. of A. RABBITT -- read once and referred to the Commit-
         tee on Ways and Means
       AN ACT to amend the tax law, in relation to exempting electric  vehicles
         from  state  sales  and  compensating  use  taxes and granting munici-
         palities the option to provide such exemption
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section  1.  Subdivision (a) of section 1115 of the tax law is amended
    2  by adding a new paragraph 44 to read as follows:
    3    (44) RETAIL SALES OF THE ELECTRIC VEHICLES, AS DESCRIBED IN 15 USCS  S
    4  2502(3), SHALL BE EXEMPT FROM THE SALES TAX PROVISIONS OF SECTION ELEVEN
    5  HUNDRED  FIVE OF THIS ARTICLE. THE EXEMPTION PROVIDED FOR IN THIS SUBDI-
    6  VISION SHALL NOT APPLY TO THE RENTAL, LEASING, REPAIR  OR  SERVICING  OF
    7  SUCH ELECTRIC CARS.
    8    S 2. Paragraph 1 of subdivision (a) of section 1210 of the tax law, as
    9  amended  by  section  3 of part GG of chapter 57 of the laws of 2010, is
   10  amended to read as follows:
   11    (1) Either, all of the taxes described in article twenty-eight of this
   12  chapter, at the same uniform rate, as to which taxes all  provisions  of
   13  the  local  laws, ordinances or resolutions imposing such taxes shall be
   14  identical, except as to rate and except as otherwise provided, with  the
   15  corresponding  provisions  in  such  article twenty-eight, including the
   16  definition and exemption provisions of  such  article,  so  far  as  the
   17  provisions  of  such  article twenty-eight can be made applicable to the
   18  taxes imposed by such city or  county  and  with  such  limitations  and
   19  special  provisions  as are set forth in this article. The taxes author-
   20  ized under this subdivision may not be  imposed  by  a  city  or  county
   21  unless  the  local law, ordinance or resolution imposes such taxes so as
   22  to include all portions and all types of  receipts,  charges  or  rents,
   23  subject  to  state  tax  under  sections  eleven hundred five and eleven
   24  hundred ten of this chapter, except as otherwise provided. (i) Any local
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD10222-01-1
       A. 6592                             2
    1  law, ordinance or resolution enacted  by  any  city  of  less  than  one
    2  million  or by any county or school district, imposing the taxes author-
    3  ized by this subdivision, shall, notwithstanding any provision of law to
    4  the  contrary,  exclude from the operation of such local taxes all sales
    5  of tangible personal  property  for  use  or  consumption  directly  and
    6  predominantly  in  the  production  of  tangible personal property, gas,
    7  electricity, refrigeration or steam, for sale, by  manufacturing,  proc-
    8  essing,  generating,  assembly,  refining, mining or extracting; and all
    9  sales of tangible personal property for use or consumption predominantly
   10  either in the production of tangible personal  property,  for  sale,  by
   11  farming  or  in  a commercial horse boarding operation, or in both; and,
   12  unless such city, county or school district elects otherwise, shall omit
   13  the provision for credit or refund contained in clause six  of  subdivi-
   14  sion  (a)  or subdivision (d) of section eleven hundred nineteen of this
   15  chapter. (ii) Any local law, ordinance  or  resolution  enacted  by  any
   16  city,  county  or school district, imposing the taxes authorized by this
   17  subdivision, shall omit the residential solar energy  systems  equipment
   18  exemption provided for in subdivision (ee) and the clothing and footwear
   19  exemption provided for in paragraph thirty of subdivision (a) of section
   20  eleven  hundred  fifteen  of this chapter AND ELECTRIC VEHICLE EXEMPTION
   21  PROVIDED FOR IN PARAGRAPH FORTY-FOUR OF SUBDIVISION (A) OF SECTION ELEV-
   22  EN HUNDRED FIFTEEN OF THIS CHAPTER, unless such city, county  or  school
   23  district  elects  otherwise  as  to either such residential solar energy
   24  systems equipment exemption or such clothing and footwear  exemption  OR
   25  SUCH ELECTRIC VEHICLE EXEMPTION.
   26    S  3.  Section 1210 of the tax law is amended by adding a new subdivi-
   27  sion (p) to read as follows:
   28    (P) NOTWITHSTANDING ANY OTHER PROVISION OF STATE OR LOCAL  LAW,  ORDI-
   29  NANCE OR RESOLUTION TO THE CONTRARY:
   30    (1)  ANY  CITY HAVING A POPULATION OF ONE MILLION OR MORE IN WHICH THE
   31  TAXES IMPOSED BY SECTION ELEVEN HUNDRED SEVEN OF  THIS  CHAPTER  ARE  IN
   32  EFFECT,  ACTING THROUGH ITS LOCAL LEGISLATIVE BODY, IS HEREBY AUTHORIZED
   33  AND EMPOWERED TO ELECT TO PROVIDE THE SAME EXEMPTIONS FROM SUCH TAXES AS
   34  THE ELECTRIC VEHICLE EXEMPTION FROM STATE  SALES  AND  COMPENSATING  USE
   35  TAXES  DESCRIBED  IN  PARAGRAPH FORTY-FOUR OF SUBDIVISION (A) OF SECTION
   36  ELEVEN HUNDRED FIFTEEN OF THIS CHAPTER BY ENACTING A RESOLUTION  IN  THE
   37  FORM  SET  FORTH  IN  PARAGRAPH TWO OF THIS SUBDIVISION; WHEREUPON, UPON
   38  COMPLIANCE WITH THE PROVISIONS OF  SUBDIVISIONS  (D)  AND  (E)  OF  THIS
   39  SECTION,  SUCH  ENACTMENT  OF  SUCH  RESOLUTION SHALL BE DEEMED TO BE AN
   40  AMENDMENT TO SUCH SECTION ELEVEN HUNDRED SEVEN AND SUCH  SECTION  ELEVEN
   41  HUNDRED  SEVEN SHALL BE DEEMED TO INCORPORATE SUCH EXEMPTIONS AS IF THEY
   42  HAD BEEN DULY ENACTED BY THE  STATE  LEGISLATURE  AND  APPROVED  BY  THE
   43  GOVERNOR.
   44    (2)  FORM  OF RESOLUTION: BE IT ENACTED BY THE (INSERT PROPER TITLE OF
   45  LOCAL LEGISLATIVE BODY) AS FOLLOWS:
   46    SECTION ONE.  RECEIPTS  FROM  SALES  OF  AND  CONSIDERATION  GIVEN  OR
   47  CONTRACTED  TO  BE  GIVEN  FOR,  OR FOR THE USE OF, PROPERTY EXEMPT FROM
   48  STATE SALES AND COMPENSATING USE TAXES PURSUANT TO PARAGRAPH  FORTY-FOUR
   49  OF  SUBDIVISION  (A) OF SECTION 1115 OF THE TAX LAW SHALL ALSO BE EXEMPT
   50  FROM SALES AND COMPENSATING USE TAXES IMPOSED IN THIS JURISDICTION.
   51    SECTION TWO. THIS RESOLUTION SHALL TAKE EFFECT  JUNE  1,  (INSERT  THE
   52  YEAR,  BUT NOT EARLIER THAN THE YEAR 2011) AND SHALL APPLY TO SALES MADE
   53  ON AND AFTER THAT DATE IN ACCORDANCE WITH  THE  APPLICABLE  TRANSITIONAL
   54  PROVISIONS IN SECTIONS 1106, 1216 AND 1217 OF THE NEW YORK TAX LAW.
   55    S  4. This act shall take effect June 1, 2011 and shall apply to sales
   56  of electric vehicles occurring on or after such effective date.