Bill Text: NY S07518 | 2021-2022 | General Assembly | Introduced

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Bill Title: Permits deductions for commercial cannabis activity including the cultivation, possession, manufacture, distribution, processing, storing, laboratory testing, packaging, labeling, transportation, delivery, or sale of cannabis and cannabis products, or acting as the holder of an adult-use on-site consumption license.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2022-01-07 - REFERENCE CHANGED TO BUDGET AND REVENUE [S07518 Detail]

Download: New_York-2021-S07518-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          7518

                               2021-2022 Regular Sessions

                    IN SENATE

                                    November 12, 2021
                                       ___________

        Introduced  by  Sen.  COONEY -- read twice and ordered printed, and when
          printed to be committed to the Committee on Rules

        AN ACT to amend the tax law, in relation to  permitting  deductions  for
          commercial  cannabis  activity;  and  providing for the repeal of such
          provisions upon expiration thereof

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  The  tax  law is amended by adding a new section 493-a to
     2  read as follows:
     3    § 493-a. Deductions. (a) For each taxable year beginning on  or  after
     4  January  first,  two  thousand twenty-two, and before January first, two
     5  thousand twenty-five, the provisions of section  280E  of  the  internal
     6  revenue  code,  relating  to expenditures in connection with the illegal
     7  sale of drugs, shall not apply for the purposes of this chapter  to  the
     8  carrying  on of any trade or business that is commercial cannabis activ-
     9  ity by a licensee.
    10    (b) For the purposes of this section, the following definitions  shall
    11  apply:
    12    (1)"Commercial    cannabis   activity"   includes   the   cultivation,
    13  possession, manufacture, distribution, processing,  storing,  laboratory
    14  testing,  packaging,  labeling,  transportation,  delivery,  or  sale of
    15  cannabis and cannabis products, or acting as the holder of an  adult-use
    16  on-site  consumption  license  pursuant  to article four of the cannabis
    17  law.
    18    (2) "Licensee" shall have the same meaning as defined in section three
    19  of the cannabis law.
    20    § 2. This act shall take effect on the  same  date  and  in  the  same
    21  manner  as  section  39 of chapter 92 of the laws of 2021, takes effect,
    22  and shall expire January 1, 2025 when upon such date the  provisions  of
    23  this act shall be deemed repealed.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD13586-01-1