Bill Text: NY A04565 | 2013-2014 | General Assembly | Amended
Bill Title: Establishes Work-NY by implementing tax credits for various businesses based on hiring and investments.
Spectrum: Partisan Bill (Republican 7-0)
Status: (Introduced - Dead) 2014-06-17 - held for consideration in ways and means [A04565 Detail]
Download: New_York-2013-A04565-Amended.html
S T A T E O F N E W Y O R K ________________________________________________________________________ 4565--A 2013-2014 Regular Sessions I N A S S E M B L Y February 6, 2013 ___________ Introduced by M. of A. KOLB, OAKS, GOODELL, RAIA, PALMESANO, LUPINACCI -- Multi-Sponsored by -- M. of A. DIPIETRO -- read once and referred to the Committee on Ways and Means -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said commit- tee AN ACT to amend the tax law, in relation to establishing the Hire-NY tax credit (Part A); to amend the tax law, in relation to a small business tax credit (Part B); to amend the tax law, in relation to eliminating the corporate franchise and personal income tax on manufacturers (Part C); to repeal article 21 and subdivision (b) of section 524 of the tax law relating to highway use tax; to amend the canal law, the highway law, the public authorities law, the tax law, the vehicle and traffic law, and the state finance law, in relation to making technical chang- es relating thereto; and to repeal certain provisions of the state finance law relating thereto (Part D) THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. This act enacts into law components of legislation relating 2 to "Work-NY". Each component is wholly contained within a Part identi- 3 fied as Parts A through D. The effective date for each particular 4 provision contained within such Part is set forth in the last section of 5 such Part. Any provision in any section contained within a Part, includ- 6 ing the effective date of the Part, which makes reference to a section 7 "of this act", when used in connection with that particular component, 8 shall be deemed to mean and refer to the corresponding section of the 9 Part in which it is found. Section three of this act sets forth the 10 general effective date of this act. 11 PART A EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD05913-02-3 A. 4565--A 2 1 Section 1. The tax law is amended by adding a new section 41 to read 2 as follows: 3 S 41. HIRE-NY TAX CREDIT. (A) ALLOWANCE OF CREDIT. A TAXPAYER, WHICH 4 IS SUBJECT TO TAX UNDER ARTICLE NINE-A OR TWENTY-TWO OF THIS CHAPTER AND 5 WHICH CREATES A NEW JOB, SHALL BE ALLOWED A CREDIT AGAINST SUCH TAX. THE 6 AMOUNT OF THE CREDIT ALLOWED UNDER THIS SECTION SHALL BE EQUAL TO THE 7 PRODUCT OF 6.85 PERCENT AND THE GROSS WAGES PAID FOR EACH NEW EMPLOYEE. 8 THE CREDIT SHALL NOT BE MORE THAN FIVE THOUSAND DOLLARS FOR ANY NEW 9 EMPLOYEE FOR ONE FULL YEAR OF EMPLOYMENT; IF A NEW EMPLOYEE HAS BEEN 10 HIRED FOR LESS THAN A FULL TAX YEAR THIS AMOUNT SHALL BE PRORATED AND 11 APPORTIONED TO EACH TAX YEAR BUT SHALL IN NO WAY DECREASE THE FULL THREE 12 CONSECUTIVE YEARS OF CREDIT ELIGIBILITY. THE TAXPAYER MAY CLAIM THIS 13 CREDIT FOR EACH NEW EMPLOYEE FOR A PERIOD OF THREE CONSECUTIVE YEARS OF 14 EMPLOYMENT. THE TAXPAYER MAY OFFSET QUARTERLY ESTIMATED TAX RETURNS WITH 15 THE AMOUNT OF THIS CREDIT EARNED IN ANY PREVIOUS QUARTER. 16 (B) UNEMPLOYMENT ENHANCEMENT. FOR CALENDAR YEARS TWO THOUSAND FOURTEEN 17 AND TWO THOUSAND FIFTEEN IF A NEW EMPLOYEE WAS RECEIVING UNEMPLOYMENT 18 INSURANCE BENEFITS AT THE TIME OF HIRE, AN ADDITIONAL THREE THOUSAND 19 DOLLAR CREDIT WILL BE ALLOWED FOR THE FIRST FULL YEAR OF EMPLOYMENT. 20 (C) DEFINITIONS. AS USED IN THIS SECTION, THE FOLLOWING TERMS SHALL 21 HAVE THE FOLLOWING MEANINGS: 22 (1) "NEW EMPLOYEE" SHALL MEAN ANY FULL TIME EMPLOYEE THAT CAUSES THE 23 TOTAL NUMBER OF EMPLOYEES TO INCREASE ABOVE BASE EMPLOYMENT OR CREDIT 24 EMPLOYMENT, WHICHEVER IS HIGHER. 25 (2) "BASE YEAR" SHALL MEAN CALENDAR YEAR TWO THOUSAND FOURTEEN. 26 (3) "BASE EMPLOYMENT" SHALL MEAN THE AVERAGE NUMBER OF FULL TIME 27 EMPLOYEES OR FULL TIME EQUIVALENT EMPLOYEES DURING THE BASE YEAR. FOR A 28 NEW BUSINESS, BASE EMPLOYMENT SHALL BEGIN AT ZERO. 29 (4) "CREDIT EMPLOYMENT" SHALL MEAN BASE EMPLOYMENT PLUS THE NUMBER OF 30 NEW EMPLOYEES FOR WHICH A CREDIT IS EARNED FOR THE PRIOR TAX YEARS. 31 (D) REPLACEMENT EMPLOYEES. IF A NEW EMPLOYEE FOR WHICH A CREDIT WAS 32 EARNED LEAVES THE PAYROLL AND AN EMPLOYEE IS HIRED WHICH BRINGS TOTAL 33 EMPLOYMENT ABOVE BASE EMPLOYMENT BUT AT OR BELOW CREDIT EMPLOYMENT 34 LEVEL, THE CREDIT ELIGIBILITY PERIOD FOR SUCH EMPLOYEE SHALL BE THREE 35 YEARS MINUS THE AMOUNT OF TIME (ROUNDED TO THE NEXT FULL MONTH) THE 36 EMPLOYER RECEIVED THE CREDIT FOR THE DEPARTING EMPLOYEE. 37 (E) NO CREDIT SHALL BE ALLOWED UNDER THIS SECTION TO A TAXPAYER FOR 38 ANY NEW EMPLOYEE IF THE TAXPAYER CLAIMS ANY OTHER CREDIT UNDER THIS 39 ARTICLE FOR SUCH NEW EMPLOYEE WHERE THE BASIS OF SUCH OTHER CREDIT IS AN 40 INCREASES IN EMPLOYMENT. 41 S 2. Section 210 of the tax law is amended by adding a new subdivision 42 48 to read as follows: 43 48. HIRE-NY TAX CREDIT. (A) ALLOWANCE OF CREDIT. A TAXPAYER WILL BE 44 ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED IN SECTION FORTY-ONE OF 45 THIS CHAPTER, AGAINST THE TAX IMPOSED BY THIS ARTICLE. 46 (B) APPLICATION OF CREDIT. THE CREDIT ALLOWED UNDER THIS SUBDIVISION 47 FOR ANY TAXABLE YEAR MAY NOT REDUCE THE TAX DUE FOR SUCH YEAR TO LESS 48 THAN THE HIGHER OF THE AMOUNTS PRESCRIBED IN PARAGRAPHS (C) AND (D) OF 49 SUBDIVISION ONE OF THIS SECTION. HOWEVER, IF THE AMOUNT OF CREDIT 50 ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR REDUCES THE TAX TO 51 SUCH AMOUNT, ANY AMOUNT OF CREDIT THUS NOT DEDUCTIBLE IN SUCH TAXABLE 52 YEAR WILL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED 53 IN ACCORDANCE WITH THE PROVISIONS OF SECTION ONE THOUSAND EIGHTY-SIX OF 54 THIS CHAPTER. PROVIDED, HOWEVER, THE PROVISIONS OF SUBSECTION (C) OF 55 SECTION ONE THOUSAND EIGHTY-EIGHT OF THIS CHAPTER NOTWITHSTANDING, NO 56 INTEREST WILL BE PAID THEREON. A. 4565--A 3 1 S 3. Subsections (yy) and (zz) of section 606 of the tax law, as 2 relettered by section 5 of part H of chapter 1 of the laws of 2003, are 3 relettered subsections (yyy) and (zzz) and a new subsection (xx) is 4 added to read as follows: 5 (XX) HIRE-NY TAX CREDIT. (1) A TAXPAYER WILL BE ALLOWED A CREDIT, TO 6 THE EXTENT ALLOWED UNDER SECTION FORTY-ONE OF THIS CHAPTER, AGAINST THE 7 TAX IMPOSED BY THIS ARTICLE. 8 (2) APPLICATION OF CREDIT. IF THE AMOUNT OF THE CREDIT ALLOWED UNDER 9 THIS SUBSECTION FOR ANY TAXABLE YEAR EXCEEDS THE TAXPAYER'S TAX FOR SUCH 10 YEAR, THE EXCESS WILL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDITED 11 OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX HUNDRED 12 EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST WILL BE 13 PAID THEREON. 14 S 4. Subparagraph (B) of paragraph 1 of subsection (i) of section 606 15 of the tax law is amended by adding a new clause (xxxvii) to read as 16 follows: 17 (XXXVII) HIRE-NY TAX CREDIT AMOUNT OF CREDIT UNDER 18 UNDER SUBSECTION (XX) SUBDIVISION FORTY-EIGHT OF SECTION 19 TWO HUNDRED TEN 20 S 5. This act shall take effect immediately and shall apply to taxable 21 years beginning on or after January 1, 2014. 22 PART B 23 Section 1. Section 606 of the tax law is amended by adding a new 24 subsection (yy) to read as follows: 25 (YY) SMALL BUSINESS TAX CREDIT. (1) GENERAL. A QUALIFIED TAXPAYER 26 SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY THIS ARTICLE EQUAL 27 TO SIX AND SIXTY-FIVE HUNDREDTHS PERCENT OF QUALIFIED BUSINESS INCOME. 28 (2) DEFINITIONS. FOR THE PURPOSES OF THIS SUBSECTION, THE TERM: 29 (A) "QUALIFIED TAXPAYER" SHALL MEAN A SMALL BUSINESS AS DEFINED BY 30 SECTION ONE HUNDRED THIRTY-ONE OF THE ECONOMIC DEVELOPMENT LAW AND WHO 31 HAS NET BUSINESS INCOME OF LESS THAN TWO HUNDRED FIFTY THOUSAND DOLLARS. 32 (B) "QUALIFIED BUSINESS INCOME" SHALL MEAN TEN PERCENT OF THE BUSINESS 33 INCOME OF THE TAXPAYER AS DEFINED IN THE LAWS OF THE UNITES STATES. 34 (3) IF THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBSECTION FOR ANY 35 TAXABLE YEAR SHALL EXCEED THE TAXPAYER'S TAX FOR SUCH YEAR, THE EXCESS 36 SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED IN 37 ACCORDANCE WITH THE PROVISIONS OF SECTION SIX HUNDRED EIGHTY-SIX OF THIS 38 ARTICLE, PROVIDED, HOWEVER, NO INTEREST SHALL BE PAID THEREON. 39 S 2. This act shall take effect immediately and shall apply to taxable 40 years beginning on or after January 1, 2014. 41 PART C 42 Section 1. Section 208 of the tax law is amended by adding two new 43 subdivisions 20 and 21 to read as follows: 44 20. "MANUFACTURER" SHALL MEAN A TAXPAYER WHICH DURING THE TAXABLE YEAR 45 IS PRINCIPALLY ENGAGED IN THE PRODUCTION OF GOODS BY MANUFACTURING, 46 PROCESSING, ASSEMBLING, REFINING, MINING, EXTRACTING, FARMING, AGRICUL- 47 TURE, HORTICULTURE, FLORICULTURE, VITICULTURE OR COMMERCIAL FISHING. 48 MOREOVER, FOR PURPOSES OF COMPUTING THE CAPITAL BASE IN A COMBINED 49 REPORT, THE GROUP SHALL BE CONSIDERED A "MANUFACTURER" FOR PURPOSES OF 50 THIS ARTICLE ONLY IF THE COMBINED GROUP DURING THE TAXABLE YEAR IS PRIN- 51 CIPALLY ENGAGED IN THE ACTIVITIES SET FORTH IN THIS SUBDIVISION, OR ANY 52 COMBINATION THEREOF. A. 4565--A 4 1 21. "PRINCIPALLY ENGAGED" SHALL INCLUDE A TAXPAYER OR A COMBINED GROUP 2 IF, DURING THE TAXABLE YEAR, MORE THAN FIFTY PERCENT OF THE GROSS 3 RECEIPTS OF THE TAXPAYER OR COMBINED GROUP, RESPECTIVELY, ARE DERIVED 4 FROM RECEIPTS FROM THE SALE OF GOODS PRODUCED BY MANUFACTURING. IN 5 COMPUTING A COMBINED GROUP'S GROSS RECEIPTS, INTERCORPORATE RECEIPTS 6 SHALL BE ELIMINATED. 7 S 2. Section 209 of the tax law is amended by adding a new subdivision 8 12 to read as follows: 9 12. FOR ANY TAXABLE YEAR BEGINNING ON OR AFTER JANUARY FIRST, TWO 10 THOUSAND FOURTEEN, A TAXPAYER WHO IS A MANUFACTURER SHALL BE FULLY 11 EXEMPT FROM ALL TAXES IMPOSED BY THIS ARTICLE. 12 S 3. Subsection (f) of section 601 of the tax law, as amended by chap- 13 ter 248 of the laws of 1997, is amended to read as follows: 14 (f) Partners and partnerships. A partnership as such shall not be 15 subject to tax under this article. Persons carrying on business as part- 16 ners shall be liable for tax under this article only in their separate 17 or individual capacities. NOTWITHSTANDING THIS OR ANY OTHER SECTION OF 18 THIS ARTICLE, A PERSON'S LIABILITY FOR TAX UNDER THIS SUBSECTION, IF 19 SUCH PERSON'S PRIMARY ACTIVITY IS IN HIS OR HER ROLE AS A MANUFACTURER, 20 SHALL BE ZERO FOR TAXABLE YEARS BEGINNING ON OR AFTER JANUARY FIRST, TWO 21 THOUSAND FOURTEEN. FOR PURPOSES OF THIS SECTION A PERSON SHALL BE CLAS- 22 SIFIED AS A MANUFACTURER IF, HE OR SHE IS PRINCIPALLY ENGAGED IN THE 23 PRODUCTION OF GOODS BY MANUFACTURING, PROCESSING, ASSEMBLING, REFINING, 24 MINING, EXTRACTING, FARMING, AGRICULTURE, HORTICULTURE, FLORICULTURE, 25 VITICULTURE OR COMMERCIAL FISHING. IN ADDITION, FOR PURPOSES OF COMPUT- 26 ING THE CAPITAL BASE IN A COMBINED REPORT, THE GROUP SHALL BE CONSIDERED 27 A MANUFACTURER FOR PURPOSES OF THIS ARTICLE, ONLY IF THE COMBINED GROUP 28 DURING THE TAXABLE YEAR IS PRINCIPALLY ENGAGED IN THE ACTIVITIES SET 29 FORTH IN THIS SUBSECTION, OR ANY COMBINATION THEREOF. FOR PURPOSES OF 30 THIS SUBSECTION, A TAXPAYER IS "PRINCIPALLY ENGAGED" IN THE DESCRIBED 31 ACTIVITY IF, DURING THE TAXABLE YEAR, MORE THAN FIFTY PERCENT OF THE 32 GROSS RECEIPTS OF THE TAXPAYER ARE DERIVED FROM RECEIPTS FROM ACTIVITIES 33 COVERED BY THIS SUBSECTION. As used in this article, the term "partner- 34 ship" shall include, unless a different meaning is clearly required, a 35 subchapter K limited liability company. The term "subchapter K limited 36 liability company" shall mean a limited liability company classified as 37 a partnership for federal income tax purposes. The term "limited liabil- 38 ity company" means a domestic limited liability company or a foreign 39 limited liability company, as defined in section one hundred two of the 40 limited liability company law, a limited liability investment company 41 formed pursuant to section five hundred seven of the banking law, or a 42 limited liability trust company formed pursuant to section one hundred 43 two-a of the banking law. 44 S 4. Subsection (b) of section 602 of the tax law, as amended by chap- 45 ter 333 of the laws of 1987, is amended to read as follows: 46 (b) The tax imposed by this section on New York minimum taxable 47 income, as defined in section six hundred twenty-two or section six 48 hundred thirty-six, as the case may be, shall be at the rate of six 49 percent, EXCEPT FOR, IN THE CASE OF INCOME DERIVED FROM ACTIVITY OF A 50 PERSON CLASSIFIED AS A MANUFACTURER UNDER SUBSECTION (F) OF SECTION SIX 51 HUNDRED ONE OF THIS PART, THE TAX IMPOSED BY THIS SECTION ON NEW YORK 52 MINIMUM TAXABLE INCOME FOR TAXABLE YEARS BEGINNING ON OR AFTER JANUARY 53 FIRST, TWO THOUSAND FOURTEEN, SHALL BE ZERO. 54 S 5. This act shall take effect immediately and shall apply to taxable 55 years commencing on or after January 1, 2014; provided, however, that 56 the commissioner of taxation and finance is authorized to promulgate any A. 4565--A 5 1 and all rules and regulations and take any other measures necessary for 2 the timely implementation of this act on its effective date on or before 3 such date. 4 PART D 5 Section 1. Article 21 of the tax law is REPEALED. 6 S 2. Paragraph (e) of subdivision 7 of section 30 of the canal law, as 7 amended by chapter 335 of the laws of 2001, is amended to read as 8 follows: 9 (e) No such certificate authorizing or approving the first partial 10 payment or any final payment to a foreign contractor shall be made 11 unless such contractor shall furnish satisfactory proof that all taxes 12 due the commissioner of taxation and finance by such contractor under 13 the provisions of or pursuant to a law enacted pursuant to the authority 14 of article nine, nine-A, twelve-A, [twenty-one,] twenty-two, twenty- 15 eight, twenty-nine or thirty of the tax law have been paid. The certif- 16 icate of the commissioner of taxation and finance to the effect that all 17 such taxes have been paid shall be, for purpose of this paragraph, 18 conclusive proof of the payment of such taxes. The term "foreign 19 contractor" as used in this subdivision means, in the case of an indi- 20 vidual, a person who is not a resident of this state, in the case of a 21 partnership, one having one or more partners not a resident of this 22 state, and in the case of a corporation, one not organized under the 23 laws of this state. 24 S 3. Paragraph (e) of subdivision 7 of section 38 of the highway law, 25 as amended by chapter 196 of the laws of 1981 and as relettered by chap- 26 ter 153 of the laws of 1984, is amended to read as follows: 27 (e) No such certificate approving or authorizing the first partial 28 payment or any final payment to a foreign contractor shall be made 29 unless such contractor shall furnish satisfactory proof that all taxes 30 due the state tax commission by such contractor, under the provisions of 31 or pursuant to a law enacted pursuant to the authority of article nine, 32 [nine-a] NINE-A, [twelve-a] TWELVE-A, [sixteen, sixteen-a, twenty-one,] 33 twenty-two, [twenty-three,] twenty-eight, twenty-nine or thirty of the 34 tax law [or article two-E of the general city law] have been paid. The 35 certificate of the state tax commission to the effect that all such 36 taxes have been paid shall be, for purpose of this paragraph, conclusive 37 proof of the payment of such taxes. The term "foreign contractor" as 38 used in this subdivision means, in the case of an individual, a person 39 who is not a resident of this state, in the case of a partnership, one 40 having one or more partners not a resident of this state, and in the 41 case of a corporation, one not organized under the laws of this state. 42 S 4. Paragraph (c) of subdivision 1 and subdivision 9 of section 385 43 of the public authorities law, paragraph (c) of subdivision 1 as amended 44 by chapter 129 of the laws of 1995, subdivision 9 as added by chapter 56 45 of the laws of 1993, are amended to read as follows: 46 (c) Such obligations shall be issued or incurred with the approval of 47 the director of the budget and shall be special obligations of the 48 authority secured by and payable solely out of amounts appropriated by 49 the legislature as authorized pursuant to section eighty-nine-b of the 50 state finance law without recourse against any other assets, revenues or 51 funds of or other payments due to the authority. Upon payments of such 52 appropriated amounts from the fund established pursuant to section 53 eighty-nine-b of the state finance law to the account of the authority, 54 such funds may be pledged by the authority to secure its bonds, notes A. 4565--A 6 1 and other obligations authorized by paragraph (b) of this subdivision 2 and shall be held free and clear of any claim by any person arising out 3 of or in connection with articles twelve-A[,] AND thirteen-A [and twen- 4 ty-one] of the tax law. Without limiting the generality of the foregoing 5 and without limiting the rights and duties of the commissioner of taxa- 6 tion and finance under articles twelve-A[,] AND thirteen-A [and twenty- 7 one] of the tax law, no taxpayer, or any other person, including the 8 state, shall have any right or claim against the authority or any of its 9 bondholders to any moneys appropriated and transferred from the dedi- 10 cated highway and bridge trust fund established by section eighty-nine-b 11 of the state finance law for or in respect of a refund, rebate, credit, 12 reimbursement or other repayment of taxes paid under such articles of 13 the tax law. 14 9. Nothing contained in this section shall be deemed to restrict the 15 right of the state to amend, repeal, modify or otherwise alter statutes 16 imposing or relating to any taxes or fees, including the taxes imposed 17 pursuant to section two hundred eighty-four[, articles] AND ARTICLE 18 thirteen-A [and twenty-one] of the tax law and fees imposed by section 19 four hundred one of the vehicle and traffic law. The authority shall not 20 include within any resolution, contract or agreement with holders of the 21 bonds, notes and other obligations issued under this title any provision 22 which provides that a default occurs as a result of the state exercising 23 its right to amend, repeal, modify or otherwise alter any such taxes and 24 fees. 25 S 5. Subparagraph 11 of paragraph j of subdivision 1 of section 54 of 26 the state finance law is REPEALED. 27 S 6. Subdivisions twentieth and twenty-sixth of section 171 of the tax 28 law, subdivision twentieth as amended by chapter 282 of the laws of 29 1986, subdivision twenty-sixth as amended by chapter 61 of the laws of 30 1989 and paragraph a of subdivision twenty-sixth as amended by section 1 31 of subpart D of part V-1 of chapter 57 of the laws of 2009, are amended 32 to read as follows: 33 Twentieth. Have authority, of his own motion, to abate any small 34 unpaid balance of an assessment of tax, or any liability in respect 35 thereof, under articles twelve-A, eighteen, OR twenty [or twenty-one] of 36 this chapter, if such commissioner determines under uniform rules 37 prescribed by him that the administration and collection costs involved 38 would not warrant collection of the amount due. He may also abate, of 39 his own motion, the unpaid portion of the assessment of any of such 40 taxes, or any liability in respect thereof, which is excessive in 41 amount, or is assessed after the expiration of the period of limitation 42 properly applicable thereto, or is erroneously or illegally assessed. No 43 claim for abatement under this subdivision shall be filed for any of 44 such taxes. 45 Twenty-sixth. a. Set the overpayment and underpayment rates of inter- 46 est for purposes of articles twelve-A, eighteen, AND twenty [and twen- 47 ty-one] of this chapter. Such rates shall be the overpayment and under- 48 payment rates of interest set pursuant to subsection (e) of section one 49 thousand ninety-six of this chapter, but the underpayment rate shall not 50 be less than seven and one-half percent per annum. Any such rates set by 51 such commissioner shall apply to taxes, or any portion thereof, which 52 remain or become due or overpaid (other than overpayments under such 53 article twenty and not including reimbursements, if any, under any of 54 such articles) on or after the date on which such rates become effective 55 and shall apply only with respect to interest computed or computable for 56 periods or portions of periods occurring in the period during which such A. 4565--A 7 1 rates are in effect. In computing the amount of any interest required to 2 be paid under such articles by such commissioner or by the taxpayer, or 3 any other amount determined by reference to such amount of interest, 4 such interest and such amount shall be compounded daily. 5 b. Cross-reference. For provisions relating to the power of the 6 commissioner of taxation and finance to abate small amounts of interest, 7 see subdivision twentieth of this section. 8 S 7. Subdivision 1 of section 171-a of the tax law, as amended by 9 section 1 of part R of chapter 60 of the laws of 2004, is amended to 10 read as follows: 11 1. All taxes, interest, penalties and fees collected or received by 12 the commissioner or the commissioner's duly authorized agent under arti- 13 cles nine (except section one hundred eighty-two-a thereof and except as 14 otherwise provided in section two hundred five thereof), nine-A, 15 twelve-A (except as otherwise provided in section two hundred eighty- 16 four-d thereof), thirteen, thirteen-A (except as otherwise provided in 17 section three hundred twelve thereof), eighteen, nineteen, twenty 18 (except as otherwise provided in section four hundred eighty-two there- 19 of), [twenty-one,] twenty-two, twenty-six, twenty-six-B, twenty-eight 20 (except as otherwise provided in section eleven hundred two or eleven 21 hundred three thereof), twenty-eight-A, thirty-one (except as otherwise 22 provided in section fourteen hundred twenty-one thereof), thirty-two, 23 thirty-three and thirty-three-A of this chapter shall be deposited daily 24 in one account with such responsible banks, banking houses or trust 25 companies as may be designated by the comptroller, to the credit of the 26 comptroller. Such an account may be established in one or more of such 27 depositories. Such deposits shall be kept separate and apart from all 28 other money in the possession of the comptroller. The comptroller shall 29 require adequate security from all such depositories. Of the total 30 revenue collected or received under such articles of this chapter, the 31 comptroller shall retain in the comptroller's hands such amount as the 32 commissioner may determine to be necessary for refunds or reimbursements 33 under such articles of this chapter [and article ten thereof] out of 34 which amount the comptroller shall pay any refunds or reimbursements to 35 which taxpayers shall be entitled under the provisions of such articles 36 of this chapter [and article ten thereof]. The commissioner and the 37 comptroller shall maintain a system of accounts showing the amount of 38 revenue collected or received from each of the taxes imposed by such 39 articles. The comptroller, after reserving the amount to pay such 40 refunds or reimbursements, shall, on or before the tenth day of each 41 month, pay into the state treasury to the credit of the general fund all 42 revenue deposited under this section during the preceding calendar month 43 and remaining to the comptroller's credit on the last day of such 44 preceding month, (i) except that the comptroller shall pay to the state 45 department of social services that amount of overpayments of tax imposed 46 by article twenty-two of this chapter and the interest on such amount 47 which is certified to the comptroller by the commissioner as the amount 48 to be credited against past-due support pursuant to subdivision six of 49 section one hundred seventy-one-c of this [chapter] ARTICLE, (ii) and 50 except that the comptroller shall pay to the New York state higher 51 education services corporation and the state university of New York or 52 the city university of New York respectively that amount of overpayments 53 of tax imposed by article twenty-two of this chapter and the interest on 54 such amount which is certified to the comptroller by the commissioner as 55 the amount to be credited against the amount of defaults in repayment of 56 guaranteed student loans and state university loans or city university A. 4565--A 8 1 loans pursuant to subdivision five of section one hundred seventy-one-d 2 and subdivision six of section one hundred seventy-one-e of this [chap- 3 ter] ARTICLE, (iii) and except further that, notwithstanding any law, 4 the comptroller shall credit to the revenue arrearage account, pursuant 5 to section ninety-one-a of the state finance law, that amount of over- 6 payment of tax imposed by article nine, nine-A, twenty-two, thirty, 7 thirty-A, thirty-B, thirty-two or thirty-three of this chapter, and any 8 interest thereon, which is certified to the comptroller by the commis- 9 sioner as the amount to be credited against a past-due legally enforcea- 10 ble debt owed to a state agency pursuant to paragraph (a) of subdivision 11 six of section one hundred seventy-one-f of this article, provided, 12 however, he shall credit to the special offset fiduciary account, pursu- 13 ant to section ninety-one-c of the state finance law, any such amount 14 creditable as a liability as set forth in paragraph (b) of subdivision 15 six of section one hundred seventy-one-f of this article, (iv) and 16 except further that the comptroller shall pay to the city of New York 17 that amount of overpayment of tax imposed by article nine, nine-A, twen- 18 ty-two, thirty, thirty-A, thirty-B, thirty-two, or thirty-three of this 19 chapter and any interest thereon that is certified to the comptroller by 20 the commissioner as the amount to be credited against city of New York 21 tax warrant judgment debt pursuant to section one hundred seventy-one-1 22 of this article, (v) and except further that the comptroller shall pay 23 to a non-obligated spouse that amount of overpayment of tax imposed by 24 article twenty-two of this chapter and the interest on such amount which 25 has been credited pursuant to section one hundred seventy-one-c, one 26 hundred seventy-one-d, one hundred seventy-one-e, one hundred seventy- 27 one-f or one hundred seventy-one-l of this article and which is certi- 28 fied to the comptroller by the commissioner as the amount due such non- 29 obligated spouse pursuant to paragraph six of subsection (b) of section 30 six hundred fifty-one of this chapter; and (vi) the comptroller shall 31 deduct a like amount which the comptroller shall pay into the treasury 32 to the credit of the general fund from amounts subsequently payable to 33 the department of social services, the state university of New York, the 34 city university of New York, or the higher education services corpo- 35 ration, or the revenue arrearage account or special offset fiduciary 36 account pursuant to section ninety-one-a or ninety-one-c of the state 37 finance law, as the case may be, whichever had been credited the amount 38 originally withheld from such overpayment, and (vii) with respect to 39 amounts originally withheld from such overpayment pursuant to section 40 one hundred seventy-one-l of this article and paid to the city of New 41 York, the comptroller shall collect a like amount from the city of New 42 York. 43 S 8. Subdivisions (c) and (d) of section 522 of the tax law, as added 44 by chapter 170 of the laws of 1994, are amended to read as follows: 45 (c) Denial, suspension and revocation. The commissioner, for cause, 46 may deny a license and suspend or revoke any license issued under this 47 section, after an opportunity for a hearing has been afforded the carri- 48 er; provided, however, that a license may be denied or it may be 49 suspended or revoked for failure to file a return as required pursuant 50 to this article or for nonpayment of moneys due under this article prior 51 to a hearing. A violation of any of the provisions of this article [or 52 article twenty-one of this chapter] or of any rule or regulation of the 53 commissioner promulgated under this article [or such article twenty-one] 54 shall constitute sufficient cause for the denial, suspension or revoca- 55 tion of a license. In addition, if the commissioner enters into a coop- 56 erative agreement with other jurisdictions pursuant to section five A. 4565--A 9 1 hundred twenty-eight of this article, the commissioner may deny an 2 application for license where a license previously issued to the appli- 3 cant is under suspension or revocation by any member jurisdiction and a 4 license may be revoked or suspended for failure to comply with such 5 agreement. A denial, revocation or suspension of a license shall be 6 final unless the applicant or licensee shall, within thirty days after 7 the giving of notice of such denial, revocation or suspension, petition 8 the division of tax appeals for a hearing in accordance with article 9 forty of this chapter. If the commissioner enters into a cooperative 10 agreement pursuant to such section five hundred twenty-eight, notice of 11 a hearing shall be given and a hearing held within any time restrictions 12 prescribed in such agreement. 13 (d) Trip permits. In lieu of the license and decal provided for in 14 subdivision (a) of this section, any carrier, except as hereinafter 15 limited, may apply to the commissioner for a trip permit for any quali- 16 fied motor vehicle to be operated by him OR HER on the public highways 17 of this state. Application for the trip permit shall be made on a form 18 prescribed by the commissioner and shall contain such information as the 19 commissioner shall require. The application shall be accompanied by a 20 fee of twenty-five dollars for each qualified motor vehicle. Each trip 21 permit shall be valid for a period of seventy-two hours from the time of 22 its issuance. The issuance of a trip permit for a qualified motor vehi- 23 cle shall exempt the carrier from the requirement of filing returns and 24 payment of the taxes imposed by this article and section three hundred 25 one-h of this chapter on the operation of such qualified motor vehicle 26 for the effective period of the permit but no refund application may be 27 filed on account of trip permit applications. [Provided, however, that 28 in order for any person liable for the tax to claim such exemption, such 29 person must retain a copy of the trip permit in his records for the 30 complete period of time required by section five hundred seven of this 31 chapter.] A carrier may not apply for more than ten trip permits under 32 this section during a single calendar year. 33 S 9. Section 528 of the tax law, as added by chapter 170 of the laws 34 of 1994, subdivision (b) as amended by section 35 of part K of chapter 35 61 of the laws of 2011, is amended to read as follows: 36 S 528. Procedure, administration and disposition of revenues. (a) 37 [General. The provisions of subdivision two of section five hundred six 38 and sections five hundred seven through five hundred fifteen of this 39 chapter (excluding sections five hundred eight, five hundred twelve and 40 five hundred thirteen) shall apply to the provisions of this article 41 with the same force and effect as if the language of such subdivision 42 and sections had been incorporated in full into this article and had 43 expressly referred to the tax under this article, except to the extent 44 that any such provision is either inconsistent with or not relevant to 45 this article or inconsistent with a provision of any agreement which the 46 commissioner enters into pursuant to subdivision (b) of this section, 47 with such modification as may be necessary to adapt the language of such 48 provisions to the tax imposed by this article, provided that (1) 49 notwithstanding such section five hundred ten and subdivision four of 50 section two thousand six of this chapter, a determination, as provided 51 in such section five hundred ten, relating to the tax imposed by this 52 article, shall finally and conclusively fix such tax, unless the person 53 against whom it is assessed shall, within thirty days after the giving 54 of notice of such determination, petition the division of tax appeals 55 for a hearing, or unless the commissioner on the commissioner's own 56 motion shall redetermine the same; (2) the term "vehicular unit" shall A. 4565--A 10 1 be read as "qualified motor vehicle"; (3) if the commissioner enters 2 into a cooperative agreement under this section, the reference in 3 section five hundred fourteen-a of this chapter to the United States 4 postmark shall include a postmark made by the Canadian postal service; 5 and (4) if the commissioner enters into a cooperative agreement under 6 this section, for purposes of applying subdivision four of section five 7 hundred fourteen of this chapter, the banks, banking houses or trust 8 companies which may be designated by the commissioner may include any 9 such banks, banking houses or trust companies designated or seeking 10 designation by other member jurisdictions. For purposes of determining 11 the amount of tax due in accordance with section five hundred ten of 12 this chapter as incorporated by this subdivision, any return filed 13 before the last day prescribed for its filing shall be deemed to be 14 filed on such last day. The commissioner is authorized to provide for 15 the joint administration, in whole or in part, of the tax imposed by 16 article twenty-one of this chapter and the tax imposed by this article. 17 (b)] Cooperative agreements. Notwithstanding any inconsistent 18 provision of law, the commissioner is authorized to enter into a cooper- 19 ative agreement with other states, the District of Columbia or provinces 20 or territories of Canada for the administration of the tax imposed by 21 this article and similar taxes imposed by other member jurisdictions and 22 for the reporting and payment of tax to a single base state and a 23 proportional sharing of revenue of taxes relating to fuel use among the 24 jurisdictions where a qualified motor vehicle is operated. The agreement 25 may provide for determining the base state for carriers, carriers 26 records requirements, audit procedures, exchange of information, persons 27 eligible for tax licensing, defining qualified motor vehicles, determin- 28 ing if bonding is required and requiring bonds to secure the tax imposed 29 by this article and similar taxes imposed by other member jurisdictions, 30 specifying reporting requirements and periods including defining uniform 31 penalty and interest rates for late reporting, determining methods for 32 collecting and forwarding of taxes, interest and penalties to another 33 jurisdiction, notice and timing of hearings and other provisions as will 34 facilitate the administration of the agreement. The commissioner may, 35 pursuant to the terms of the agreement, forward to the proper officers 36 of another member jurisdiction any information in the commissioner's 37 possession relating to the manufacture, receipt, sale, use, transporta- 38 tion or shipment of motor fuel or diesel motor fuel by any person and 39 may share any information relating to the administration of taxes pursu- 40 ant to the agreement with such officers. The commissioner may disclose 41 to the proper officers of another member jurisdiction the location of 42 offices, motor vehicles and other real and personal property of carri- 43 ers. The agreement may provide for each member jurisdiction to audit the 44 records of persons based in the member jurisdiction and determine taxes 45 due each member jurisdiction. The commissioner may adopt rules and regu- 46 lations for the administration and enforcement of the agreement. In 47 connection with the administration of taxes under such a cooperative 48 agreement, the commissioner may enter into an agreement with other 49 member jurisdictions and any banks, banking houses, trust companies or 50 other similar institutions with respect to the payment of any tax, fees, 51 penalty or interest to such banks, banking houses, trust companies or 52 similar institutions and the filing of returns and reports with such 53 banks, banking houses, trust companies or similar institutions as agent 54 of the commissioner and such other member jurisdictions. Pursuant to a 55 written agreement made with one or more of the appropriate departments, 56 agencies, officers or instrumentalities of other jurisdictions, the A. 4565--A 11 1 commissioner may let contracts for provision of such services to the 2 department and to one or more of such entities of other jurisdictions; 3 provided, that provisions shall be made in all such agreements with the 4 participating governmental entities and in all such contracts let by the 5 commissioner for the assumption by each of the participating govern- 6 mental entities of sole responsibility for its proportionate share of 7 the costs under the terms of such contract. The commissioner may 8 contract for such services jointly with and pursuant to a contract let 9 by the appropriate department, agency, officer or instrumentality of 10 another jurisdiction; provided that (1) the commissioner shall approve 11 the proposed terms and conditions of all such joint governmental 12 contracts, (2) the letting of such joint governmental contract shall be 13 based on invitation of competitive bids or proposals, and (3) the 14 participation by the department in any such joint contract shall be 15 preceded by an evaluation and finding in writing by the commissioner 16 that a reasonable potential exists for the saving of costs by the state, 17 by means of such joint governmental contract. 18 [(c)] (B) Rate changes. In the event the rate of tax imposed under 19 this article or under section three hundred one-h of this chapter or the 20 rate of surcharge imposed on such tax changes and such change does not 21 coincide with the beginning of a reporting period, the rates of tax and 22 surcharge for the reporting period which includes such change shall be 23 equal to the sum of the respective rates otherwise applicable in each 24 month of the reporting period divided by the number of months in the 25 reporting period. 26 [(d)] (C) Construction. In the event the commissioner, pursuant to the 27 authority of this article, enters into a cooperative agreement as 28 provided in this section, the commissioner shall carry out any provision 29 of such agreement required for continued New York state participation in 30 such agreement, to the extent not inconsistent with a specific require- 31 ment of this article or any other provision of the laws and the consti- 32 tution of the state of New York. 33 S 10. Section 1815 of the tax law, as amended by section 29 of subpart 34 I of part V-1 of chapter 57 of the laws of 2009, clause (i) of subpara- 35 graph (A) of paragraph 1 of subdivision (a) as separately amended by 36 section 5 of part K-1 of chapter 57 of the laws of 2009, is amended to 37 read as follows: 38 S 1815. Highway use and fuel use taxes. - (a) Violations. (1) It shall 39 be unlawful for any person to: 40 (A) [(i) Use or cause or permit to be used, any public highway in this 41 state for the operation of a motor vehicle subject to the provisions of 42 article twenty-one of this chapter without first applying for and 43 obtaining the certificate of registration required under such article or 44 a decal that has been suspended or revoked or that was issued for a 45 motor vehicle other than the one on which affixed. The operation of any 46 motor vehicle on any public highway of this state without a decal 47 required under such article shall be presumptive evidence that a certif- 48 icate of registration or decal has not been obtained for such motor 49 vehicle; 50 (ii)] Use or cause or permit to be used, any public highway in this 51 state for the operation of a qualified motor vehicle subject to the 52 provisions of article twenty-one-A of this chapter without first obtain- 53 ing the license and decal required pursuant to such article or to carry 54 or cause or permit to be carried upon any qualified motor vehicle a 55 license or decal which has been suspended or revoked or which was issued 56 for a qualified motor vehicle other than the one on which carried. The A. 4565--A 12 1 operation of any qualified motor vehicle on any public highway of this 2 state without carrying thereon the license or decal required under such 3 article shall be presumptive evidence that a license or decal has not 4 been obtained for such qualified motor vehicle; 5 (B) [Operate, or cause or permit to be operated, on any public highway 6 any motor vehicle subject to the provisions of article twenty-one of 7 this chapter having an actual gross or unloaded weight in excess of the 8 gross or unloaded weight set forth on the certificate of registration 9 issued for such motor vehicle; 10 (C)] Fail to deliver or surrender, pursuant to the provisions of arti- 11 cle [twenty-one or] twenty-one-A of this chapter or any rule or regu- 12 lation promulgated by the commissioner, a certificate of registration or 13 license or decal to such commissioner, or any person directed by such 14 commissioner to take possession thereof; 15 [(D)] (C) Fail to keep records of operations of motor vehicles or 16 qualified motor vehicles as the commissioner shall prescribe; 17 [(E)] (D) Violate any other provision of article [twenty-one or] twen- 18 ty-one-A of this chapter or any rule or regulation promulgated there- 19 under. 20 (2) Any person who violates any provision of this subdivision, upon a 21 first conviction shall be subject to a fine of not less than one hundred 22 dollars or more than two hundred fifty dollars; and upon a second or 23 subsequent conviction to a fine of not less than two hundred fifty 24 dollars or more than five hundred dollars or by imprisonment for not 25 more than ten days. Except as otherwise provided by law such a violation 26 shall not be a crime and the penalty or punishment imposed therefor 27 shall not be deemed for any purpose a penal or criminal penalty or 28 punishment and shall not impose any disability upon or affect or impair 29 the credibility as a witness, or otherwise, of any person convicted 30 thereof. 31 (3) For the purposes of conferring jurisdiction upon courts and police 32 officers, and on the officers specified in subdivision four of section 33 2.10 of the criminal procedure law and on judicial officers generally, 34 such violations shall be deemed traffic infractions and for such purpose 35 only all provisions of law relating to traffic infractions shall apply 36 to such violations; provided, however, that the commissioner of motor 37 vehicles, any hearing officer appointed by him OR HER, or any adminis- 38 trative tribunal authorized to hear and determine any charges or 39 offenses which are traffic infractions shall not have jurisdiction of 40 such infractions. 41 (4) Upon the conviction of any person for a violation of any of the 42 provisions of this subdivision, the trial court or the clerk thereof 43 shall within forty-eight hours certify the facts of the case to the 44 commissioner and such certificate shall be presumptive evidence of the 45 facts recited therein. If any such conviction shall be reversed upon 46 appeal therefrom, the person whose conviction has been so reversed may 47 serve upon the commissioner a certified copy of the order of reversal 48 and the commissioner shall thereupon record the same. 49 (b) An official weigh slip or ticket issued and certified by any truck 50 weigher in the employ of the department of transportation or by any duly 51 licensed weight master shall constitute prima facie evidence of the 52 information therein set forth and of the operation of the vehicle there- 53 in described upon a public highway and shall be admissible before any 54 court in any violation proceeding or criminal proceeding. A. 4565--A 13 1 S 11. Paragraph (c) of subdivision 4-a of section 510 of the vehicle 2 and traffic law, as added by section 10 of part J of chapter 62 of the 3 laws of 2003, is amended to read as follows: 4 (c) Upon receipt of notification from a traffic and parking violations 5 agency of the failure of a person to appear within sixty days of the 6 return date or new subsequent adjourned date, pursuant to an appearance 7 ticket charging said person with a violation of: 8 (i) any of the provisions of this chapter except one for parking, 9 stopping or standing and except those violations described in paragraphs 10 (a), (b), (d), (e) and (f) of subdivision two of section three hundred 11 seventy-one of the general municipal law; 12 (ii) [section five hundred two or subdivision (a) of section eighteen 13 hundred fifteen of the tax law; 14 (iii)] section fourteen-f (except paragraph (b) of subdivision four of 15 section fourteen-f), two hundred eleven or two hundred twelve of the 16 transportation law; or 17 [(iv)] (III) any lawful ordinance or regulation made by a local or 18 public authority relating to traffic (except one for parking, stopping 19 or standing) or the failure to pay a fine imposed for such a violation 20 by a traffic and parking violations agency, the commissioner or his or 21 her agent may suspend the driver's license or privileges of such person 22 pending receipt of notice from the agency that such person has appeared 23 in response to such appearance ticket or has paid such fine. Such 24 suspension shall take effect no less than thirty days from the day upon 25 which notice thereof is sent by the commissioner to the person whose 26 driver's license or privileges are to be suspended. Any suspension 27 issued pursuant to this paragraph shall be subject to the provisions of 28 paragraph (j-1) of subdivision two of section five hundred three of this 29 [chapter] TITLE. 30 S 12. Subdivision 3 of section 514 of the vehicle and traffic law, as 31 amended by section 11 of part J of chapter 62 of the laws of 2003, is 32 amended to read as follows: 33 3. (a) Upon the failure of a person to appear or answer, within sixty 34 days of the return date or any subsequent adjourned date, or the failure 35 to pay a fine imposed by a court, pursuant to a summons charging him or 36 her with a violation of any of the provisions of this chapter (except 37 one for parking, stopping or standing), [section five hundred two or 38 five hundred twelve of the tax law,] section fourteen-f, two hundred 39 eleven or two hundred twelve of the transportation law or of any law, 40 ordinance, rule or regulation made by a local authority, relating to 41 traffic (except for parking, stopping or standing), the trial court or 42 the clerk thereof shall within ten days certify that fact to the commis- 43 sioner, in the manner and form prescribed by the commissioner, who shall 44 record the same in his or her office. Thereafter and upon the appearance 45 of any such person in response to such summons or the receipt of the 46 fine by the court, the trial court or the clerk thereof shall forthwith 47 certify that fact to the commissioner, in the manner and form prescribed 48 by the commissioner; provided, however, no such certification shall be 49 made unless the court has collected the termination of suspension fee 50 required to be paid pursuant to paragraph (j-1) of subdivision two of 51 section five hundred three of this [chapter] TITLE. 52 (b) Upon the failure of a person to appear or answer, within sixty 53 days of the return date or any subsequent adjourned date, or the failure 54 to pay a fine imposed by a traffic and parking violations agency pursu- 55 ant to a summons charging him or her with a violation of: A. 4565--A 14 1 (1) any of the provisions of this chapter except one for parking, 2 stopping or standing and except those violations described in paragraphs 3 (a), (b), (d), (e) and (f) of subdivision two of section three hundred 4 seventy-one of the general municipal law; 5 (2) [section five hundred two or subdivision (a) of section eighteen 6 hundred fifteen of the tax law; 7 (3)] section fourteen-f (except paragraph (b) of subdivision four of 8 section fourteen-f), two hundred eleven or two hundred twelve of the 9 transportation law; or 10 [(4)] (3) any lawful ordinance or regulation made by a local or public 11 authority relating to traffic (except one for parking, stopping or 12 standing); 13 the clerk thereof shall within ten days certify that fact to the commis- 14 sioner, in the manner and form prescribed by the commissioner, who shall 15 record the same in his or her office. Thereafter and upon the appearance 16 of any such person in response to such summons or the receipt of the 17 fine by the agency, the traffic and parking violations agency or the 18 clerk thereof shall forthwith certify that fact to the commissioner, in 19 the manner and form prescribed by the commissioner; provided, however, 20 no such certification shall be made unless the traffic and parking 21 violations agency has collected the termination of suspension fee 22 required to be paid pursuant to paragraph (j-1) of subdivision two of 23 section five hundred three of this [chapter] TITLE. 24 S 13. Subdivision (b) of section 524 of the tax law is REPEALED. 25 S 14. Subdivision (d) of section 524 of the tax law, as amended by 26 chapter 309 of the laws of 1996, is amended to read as follows: 27 (d) Erroneous payment. Whenever the commissioner shall determine that 28 any moneys received under the provisions of this article were paid in 29 error, he or she may cause the same to be refunded or credited. Such 30 moneys received under the provisions of this article which the commis- 31 sioner shall determine were paid in error, may be refunded or credited 32 out of funds in the custody of the comptroller to the credit of such 33 taxes provided an application therefor is filed with the commissioner 34 within four years from the time the erroneous payment was made[, except 35 if an agreement under the provisions of section five hundred ten of this 36 chapter as made applicable to the tax imposed by this article by section 37 five hundred twenty-eight of this article (extending the period for 38 determination of tax imposed by this article) is made within the four- 39 year period for the filing of an application for refund provided for in 40 this subdivision, the period for filing an application for refund shall 41 not expire prior to six months after the expiration of the period within 42 which a determination may be made pursuant to the agreement or any 43 extension thereof]. 44 S 15. Section 525 of the tax law, as added by chapter 170 of the laws 45 of 1994, is amended to read as follows: 46 S 525. Exemptions. (a) General. The provisions of this article shall 47 not apply to any qualified motor vehicle[: 48 (1) Which] WHICH is a road roller, tractor crane, truck crane, power 49 shovel, road building machine, snow plow, road sweeper, sand spreader or 50 well driller. 51 [(2) Which is described in section five hundred four of this chapter, 52 except subdivision four of such section.] 53 (b) Omnibus carriers. (1) An omnibus carrier shall not be required to 54 apply for a license and decal or decals for a qualified motor vehicle 55 which is an omnibus operated on a public highway in this state; except, 56 if the commissioner enters into a cooperative agreement under subdivi- A. 4565--A 15 1 sion [(b)] (A) of section five hundred twenty-eight of this article, the 2 commissioner may, pursuant to such agreement, require such a carrier to 3 be licensed and obtain such decal or decals with respect to such a vehi- 4 cle. 5 (2) The taxes imposed by this article shall not apply to motor fuel 6 and diesel motor fuel used by an omnibus carrier in the operation of an 7 omnibus in local transit service in this state, as described under para- 8 graph (d) of subdivision three of section two hundred eighty-nine-c of 9 this chapter, pursuant to a certificate of public convenience and neces- 10 sity issued by the commissioner of transportation of this state or by 11 the interstate commerce commission of the United States or pursuant to a 12 contract, franchise or consent between such carrier and a city having a 13 population of more than one million inhabitants, or any agency of such 14 city. 15 (c) Effect of cooperative agreement. Notwithstanding subdivisions (a) 16 and (b) of this section, in the event that the commissioner enters into 17 a cooperative agreement under subdivision [(b)] (A) of section five 18 hundred twenty-eight of this article, the commissioner may issue a 19 license and decal or decals with respect to qualified motor vehicles 20 described in subdivisions (a) and (b) of this section which are based in 21 this state for the purpose of reporting and payment of tax imposed by 22 other member jurisdictions with respect to such qualified motor vehi- 23 cles. 24 S 16. Section 1825 of the tax law, as amended by section 2 of part E 25 of chapter 25 of the laws of 2009, is amended to read as follows: 26 S 1825. Violation of secrecy provisions of the tax law.--Any person 27 who violates the provisions of subdivision (b) of section twenty-one, 28 subdivision one of section two hundred two, subdivision eight of section 29 two hundred eleven, subdivision (a) of section three hundred fourteen, 30 subdivision one or two of section four hundred thirty-seven, section 31 four hundred eighty-seven, [subdivision one or two of section five 32 hundred fourteen,] subsection (e) of section six hundred ninety-seven, 33 subsection (a) of section nine hundred ninety-four, subdivision (a) of 34 section eleven hundred forty-six, section twelve hundred eighty-seven, 35 subdivision (a) of section fourteen hundred eighteen, subsection (a) of 36 section fourteen hundred sixty-seven, subdivision (a) of section fifteen 37 hundred eighteen, subdivision (a) of section fifteen hundred fifty-five 38 of this chapter, and subdivision (e) of section 11-1797 of the adminis- 39 trative code of the city of New York shall be guilty of a misdemeanor. 40 S 17. Paragraph (a) of subdivision 3 of section 89-b of the state 41 finance law, as amended by section 2 of part B of chapter 58 of the laws 42 of 2012, is amended to read as follows: 43 (a) The special obligation reserve and payment account shall consist 44 (i) of all moneys required to be deposited in the dedicated highway and 45 bridge trust fund pursuant to the provisions of sections two hundred 46 five, two hundred eighty-nine-e, three hundred one-j, [five hundred 47 fifteen] and eleven hundred sixty-seven of the tax law, section four 48 hundred one of the vehicle and traffic law, and section thirty-one of 49 chapter fifty-six of the laws of nineteen hundred ninety-three, (ii) all 50 fees, fines or penalties collected by the commissioner of transportation 51 pursuant to section fifty-two and subdivisions five, eight and twelve of 52 section eighty-eight of the highway law, subdivision fifteen of section 53 three hundred eighty-five of the vehicle and traffic law, section [two 54 of the chapter] NINE OF PART U1 OF CHAPTER SIXTY-TWO of the laws of two 55 thousand three [that amended this paragraph], subdivision (d) of section 56 three hundred four-a, paragraph one of subdivision (a) and subdivision A. 4565--A 16 1 (d) of section three hundred five, subdivision six-a of section four 2 hundred fifteen and subdivision (g) of section twenty-one hundred twen- 3 ty-five of the vehicle and traffic law, section fifteen of this chapter, 4 excepting moneys deposited with the state on account of betterments 5 performed pursuant to subdivision twenty-seven or subdivision thirty- 6 five of section ten of the highway law, (iii) any moneys collected by 7 the department of transportation for services provided pursuant to 8 agreements entered into in accordance with section ninety-nine-r of the 9 general municipal law, and (iv) any other moneys collected therefor or 10 credited or transferred thereto from any other fund, account or source. 11 S 18. Paragraph (a) of subdivision 3 of section 89-b of the state 12 finance law, as amended by section 3 of part B of chapter 58 of the laws 13 of 2012, is amended to read as follows: 14 (a) The special obligation reserve and payment account shall consist 15 (i) of all moneys required to be deposited in the dedicated highway and 16 bridge trust fund pursuant to the provisions of sections two hundred 17 eighty-nine-e, three hundred one-j, [five hundred fifteen] and eleven 18 hundred sixty-seven of the tax law, section four hundred one of the 19 vehicle and traffic law, and section thirty-one of chapter fifty-six of 20 the laws of nineteen hundred ninety-three, (ii) all fees, fines or 21 penalties collected by the commissioner of transportation pursuant to 22 section fifty-two and subdivisions five, eight and twelve of section 23 eighty-eight of the highway law, subdivision fifteen of section three 24 hundred eighty-five of the vehicle and traffic law, section fifteen of 25 this chapter, excepting moneys deposited with the state on account of 26 betterments performed pursuant to subdivision twenty-seven or subdivi- 27 sion thirty-five of section ten of the highway law, (iii) any moneys 28 collected by the department of transportation for services provided 29 pursuant to agreements entered into in accordance with section ninety- 30 nine-r of the general municipal law, and (iv) any other moneys collected 31 therefor or credited or transferred thereto from any other fund, account 32 or source. 33 S 19. Subdivision 4 of section 2006 of the tax law, as amended by 34 chapter 170 of the laws of 1994, is amended to read as follows: 35 4. To provide a hearing as a matter of right, to any petitioner upon 36 such petitioner's request, pursuant to such rules, regulations, forms 37 and instructions as the tribunal may prescribe, unless a right to such a 38 hearing is specifically provided for, modified or denied by another 39 provision of this chapter. Where such a request is made by a person 40 seeking review of taxes determined or claimed to be due under this chap- 41 ter, the liability of such person shall become finally and irrevocably 42 fixed, unless such person, within ninety days from the time such liabil- 43 ity is assessed, shall petition the division of tax appeals for a hear- 44 ing to review such liability [except that, as provided in subdivision 45 (a) of section five hundred twenty-eight of this chapter, a determi- 46 nation relating to the tax imposed by article twenty-one-A of this chap- 47 ter shall finally and irrevocably fix such tax unless the person against 48 whom it is assessed shall petition the division of tax appeals for a 49 hearing within thirty days after the giving of notice of such determi- 50 nation]. 51 S 20. This act shall take effect immediately; provided, however, that 52 the amendments to paragraph (a) of subdivision 3 of section 89-b of the 53 state finance law made by section seventeen of this act shall be subject 54 to the expiration and reversion of such paragraph pursuant to section 13 55 of part U1 of chapter 62 of the laws of 2003, as amended, when upon such 56 date the provisions of section eighteen of this act shall take effect. A. 4565--A 17 1 S 2. Severability. If any clause, sentence, paragraph, section or part 2 of this act shall be adjudged by any court of competent jurisdiction to 3 be invalid and after exhaustion of all further judicial review, the 4 judgment shall not affect, impair, or invalidate the remainder thereof, 5 but shall be confined in its operation to the clause, sentence, para- 6 graph, section or part of this act directly involved in the controversy 7 in which the judgment shall have been rendered. 8 S 3. This act shall take effect immediately provided, however, that 9 the applicable effective date of Parts A through D of this act shall be 10 as specifically set forth in the last section of such Parts.