Bill Text: NY A01232 | 2023-2024 | General Assembly | Introduced
Bill Title: Exempts certain property and services used in the cultivation of cannabis for adult-use from sales and compensating use taxes.
Spectrum: Moderate Partisan Bill (Democrat 15-3)
Status: (Introduced) 2024-01-03 - referred to ways and means [A01232 Detail]
Download: New_York-2023-A01232-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 1232 2023-2024 Regular Sessions IN ASSEMBLY January 13, 2023 ___________ Introduced by M. of A. LUPARDO, STIRPE, DICKENS, WOERNER, FAHY, GIBBS, JACOBSON, ZEBROWSKI, JACKSON -- Multi-Sponsored by -- M. of A. GUNTHER, SIMON -- read once and referred to the Committee on Ways and Means AN ACT to amend the tax law, in relation to exempting certain property and services used in the cultivation of cannabis for adult-use from sales and compensating use taxes The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Paragraph 6 of subdivision (a) of section 1115 of the tax 2 law, as amended by section 5 of part B of chapter 63 of the laws of 3 2000, is amended to read as follows: 4 (6) (A) Tangible personal property, whether or not incorporated in a 5 building or structure, for use or consumption predominantly [either] in 6 the production for sale of tangible personal property by farming [or], 7 in a commercial horse boarding operation, or [in both] in the culti- 8 vation of cannabis for adult-use pursuant to an adult-use cultivator 9 license, an adult-use cooperative license, or a microbusiness license 10 pursuant to article four of the cannabis law. 11 (B) With respect to the exemption of motor vehicles under this para- 12 graph, (i) use of a motor vehicle [either] in the production phase of 13 farming [or], in a commercial horse boarding operation, or [in both,] in 14 the cultivation of cannabis for adult-use pursuant to an adult-use 15 cultivator license, an adult-use cooperative license, or a microbusiness 16 license pursuant to article four of the cannabis law shall be defined as 17 any use of the motor vehicle on property [either] farmed [or], used in a 18 commercial horse boarding operation, or [both] used in the cultivation 19 of cannabis for adult-use pursuant to an adult-use cultivator license, 20 an adult-use cooperative license, or a microbusiness license pursuant to 21 article four of the cannabis law, by the motor vehicle purchaser or user 22 or in direct and uninterrupted trips between properties farmed or used EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD02643-01-3A. 1232 2 1 in such operation[, or both,] or cultivation by the motor vehicle 2 purchaser or user, and (ii) "predominantly" shall mean that more than 3 fifty percent of the motor vehicle's use is either in the production 4 phase of farming [or], in a commercial horse boarding operation, or in 5 [both] the cultivation of cannabis for adult-use pursuant to an adult- 6 use cultivator license, an adult-use cooperative license, or a micro- 7 business license pursuant to article four of the cannabis law. The 8 percentage of such vehicle's use [either] in the production phase of 9 farming [or], in a commercial horse boarding operation, or in [both] the 10 cultivation of cannabis for adult-use pursuant to an adult-use cultiva- 11 tor license, an adult-use cooperative license, or a microbusiness 12 license pursuant to article four of the cannabis law, may be computed 13 either on the basis of mileage or hours of use, at the discretion of the 14 motor vehicle purchaser or user. A person may purchase a motor vehicle 15 qualifying for exemption under this paragraph without payment of tax 16 imposed by section eleven hundred five or eleven hundred ten of this 17 article by furnishing the vendor a properly completed exemption certif- 18 icate promulgated by the commissioner; and such purchaser may register 19 such vehicle or apply for a certificate of title for such vehicle with 20 the commissioner of motor vehicles or a county clerk, without payment of 21 such taxes, by furnishing such a properly completed certificate to such 22 commissioner or clerk. 23 § 2. This act shall take effect immediately.