Bill Text: NY A11023 | 2019-2020 | General Assembly | Introduced
Bill Title: Exempts certain senior citizen organizations from paying sales and compensating use taxes.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2020-10-07 - referred to ways and means [A11023 Detail]
Download: New_York-2019-A11023-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 11023 IN ASSEMBLY October 7, 2020 ___________ Introduced by COMMITTEE ON RULES -- (at request of M. of A. Schmitt) -- read once and referred to the Committee on Ways and Means AN ACT to amend the tax law, in relation to exempting certain senior citizen organizations from paying 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. Subdivision (a) of section 1116 of the tax law, as amended 2 by chapter 530 of the laws of 1976, paragraph 4 as amended by chapter 3 270 of the laws of 2001, paragraph 5 as amended by chapter 366 of the 4 laws of 1983, subparagraph (B) of paragraph 5 as amended by chapter 418 5 of the laws of 2004, subparagraph (C) of paragraph 5 as amended by chap- 6 ter 296 of the laws of 2006, paragraph 7 as added by chapter 903 of the 7 laws of 1980, paragraph 8 as added by chapter 888 of the laws of 1983, 8 paragraph 9 as amended by chapter 591 of the laws of 2005, is amended to 9 read as follows: 10 (a) Except as otherwise provided in this section, any sale or amuse- 11 ment charge by or to any of the following or any use or occupancy by any 12 of the following shall not be subject to the sales and compensating use 13 taxes imposed under this article: 14 (1) The state of New York, or any of its agencies, instrumentalities, 15 public corporations (including a public corporation created pursuant to 16 agreement or compact with another state or Canada) or political subdivi- 17 sions where it is the purchaser, user or consumer, or where it is a 18 vendor of services or property of a kind not ordinarily sold by private 19 persons[;]. 20 (2) The United States of America, and any of its agencies and instru- 21 mentalities, insofar as it is immune from taxation where it is the 22 purchaser, user or consumer, or where it sells services or property of a 23 kind not ordinarily sold by private persons[;]. 24 (3) The United Nations or any international organization of which the 25 United States of America is a member where it is the purchaser, user or 26 consumer, or where it sells services or property of a kind not ordinar- 27 ily sold by private persons[;]. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD08903-01-9A. 11023 2 1 (4) Any corporation, association, trust, or community chest, fund, 2 foundation, or limited liability company, organized and operated exclu- 3 sively for religious, charitable, scientific, testing for public safety, 4 literary or educational purposes, or to foster national or international 5 amateur sports competition (but only if no part of its activities 6 involve the provision of athletic facilities or equipment), or for the 7 prevention of cruelty to children or animals, no part of the net earn- 8 ings of which inures to the benefit of any private shareholder or indi- 9 vidual, no substantial part of the activities of which is carrying on 10 propaganda, or otherwise attempting to influence legislation, (except as 11 otherwise provided in subsection (h) of section five hundred one of the 12 United States internal revenue code of nineteen hundred fifty-four, as 13 amended), and which does not participate in, or intervene in (including 14 the publishing or distributing of statements), any political campaign on 15 behalf of any candidate for public office[;]. 16 (5) A post or organization of past or present members of the armed 17 forces of the United States, or an auxiliary unit or society of, or a 18 trust or foundation for, any such post or organization: 19 (A) organized in this state, 20 (B) at least seventy-five percent of the members of which are past or 21 present members of the armed forces of the United States as defined in 22 section thirteen-a of the general construction law and substantially all 23 of the other members of which are individuals who are cadets or are 24 spouses, widows, widowers, ancestors, or lineal descendants of past or 25 present members of the armed forces of the United States or of cadets, 26 and 27 (C) no part of the net earnings of which inures to the benefit of any 28 private shareholder or individual. 29 (6) The following Indian nations or tribes residing in New York state: 30 Cayuga, Oneida, Onondaga, Poospatuck, Saint Regis Mohawk, Seneca, Shin- 31 necock, Tonawanda and Tuscarora, where it is the purchaser, user or 32 consumer. 33 (7) A not-for-profit corporation operating as a health maintenance 34 organization subject to the provisions of article forty-four of the 35 public health law. 36 (8) Cooperative and foreign corporations doing business in this state 37 pursuant to the rural electric cooperative law. 38 (9) A credit union, as defined in subdivision nine of section two of 39 the banking law, where it is the purchaser, user, or consumer, or where 40 it is a vendor of services or property of a kind not ordinarily sold by 41 private persons. 42 (10) Senior citizen organizations organized pursuant to section 43 501(c)(3) or section 501(c)(7) of the Internal Revenue Code (26 U.S.C. 44 §501) which limit membership to members age fifty and older, and which 45 are organized for pleasure, social, educational, recreational and/or 46 other non-profit purposes, provided: 47 (A) no part of the net earnings of which inure to the benefit of any 48 private shareholder or individual; 49 (B) no substantial part of the activities of which is carrying on 50 propaganda, or otherwise attempting to influence legislation, (except as 51 otherwise provided in subsection (h) of section five hundred one of the 52 United States internal revenue code of nineteen hundred fifty-four, as 53 amended), and which does not participate in, or intervene in (including 54 the publishing or distributing of statements), any political campaign on 55 behalf of any candidate for public office; andA. 11023 3 1 (C) the exemption applies only to purchases that are made by the 2 organization itself and not for purchases by any of its members individ- 3 ually. 4 § 2. Subdivision (g) of section 1116 of the tax law, as amended by 5 chapter 3 of the laws of 2004, is amended to read as follows: 6 (g) For purposes of [paragraph] paragraphs five and ten of subdivision 7 (a) of this section, duly authorized representatives of any such post or 8 organization, while acting on behalf of such post or organization, shall 9 not be subject to the tax imposed under subdivision (e) of section elev- 10 en hundred five or the unit fee imposed by section eleven hundred four 11 of this article, provided that such representatives provide an exempt 12 organization certificate from such post or organization certifying that 13 such representative is acting on its behalf. 14 § 3. The commissioner of taxation and finance is authorized and 15 directed to develop and place into effect all rules and regulations, and 16 take all other measures necessary, to implement the provisions of this 17 act on or before its effective date, including, but not limited to 18 making all necessary changes to the "Application for an Exempt Organiza- 19 tion Certificate" (Form ST-119.2) and any other forms utilized by tax- 20 exempt entities. 21 § 4. This act shall take effect January 1, 2020.
