S T A T E   O F   N E W   Y O R K
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                                  5815

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                            February 20, 2009
                               ___________

Introduced  by  M. of A. ENGLEBRIGHT, HOOPER, HOYT, MAGNARELLI, LUPARDO,
  GALEF, ORTIZ, BRADLEY, SCHIMMINGER, BING, ROSENTHAL, O'DONNELL, TITUS,
  CAHILL, JAFFEE, WALKER, BENEDETTO, KELLNER, PHEFFER, ESPAILLAT,  KOON,
  ALESSI  --  Multi-Sponsored  by  -- M. of A. ABBATE, BOYLAND, BRENNAN,
  GREENE, V. LOPEZ, MAISEL, PEOPLES, J. RIVERA, SWEENEY, TITONE, WEISEN-
  BERG -- read once and referred to the Committee on Ways and Means

AN ACT to amend the tax law, in relation to exempting the sale of hybrid
  vehicles and certain high-efficiency vehicles  from  state  sales  and
  compensating  use taxes, and to authorize cities and counties to grant
  such exemption

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  Subdivision (a) of section 1115 of the tax law is amended
by adding a new paragraph 44 to read as follows:
  (44)(I) THE RECEIPTS FROM THE RETAIL SALE OF  A  NEW  OR  USED  HYBRID
VEHICLE AND HIGH-EFFICIENCY VEHICLES.
  (II) AS USED IN THIS PARAGRAPH:
  (A) "HIGH-EFFICIENCY VEHICLE" MEANS A MODEL YEAR TWO THOUSAND EIGHT OR
LATER  MOTOR  VEHICLE,  AS DEFINED IN SECTION ONE HUNDRED TWENTY-FIVE OF
THE VEHICLE AND TRAFFIC LAW, THAT IS CERTIFIED IN THE TWO THOUSAND EIGHT
OR LATER FUEL ECONOMY GUIDE  OF  THE  FEDERAL  ENVIRONMENTAL  PROTECTION
AGENCY  TO HAVE A HIGHWAY FUEL ECONOMY ESTIMATE OF THIRTY-FIVE MILES PER
GALLON OR BETTER, OR WHICH USES NO MOTOR FUEL OR DIESEL FUEL.
  (B) "HYBRID VEHICLE" MEANS A MOTOR VEHICLE, AS DEFINED IN SECTION  ONE
HUNDRED TWENTY-FIVE OF THE VEHICLE AND TRAFFIC LAW, THAT:
  (I) DRAWS PROPULSION ENERGY FROM BOTH:
  (A)  AN INTERNAL COMBUSTION ENGINE (OR HEAT ENGINE THAT USES COMBUSTI-
BLE FUEL), AND
  (B) AN ENERGY SOURCE DEVICE; AND
  (II) EMPLOYS A REGENERATIVE VEHICLE BRAKING SYSTEM THAT RECOVERS WASTE
ENERGY TO CHARGE SUCH ENERGY STORAGE DEVICE.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08719-01-9
              

A. 5815                             2

  S 2. Section 1160 of the tax law is amended by adding a  new  subdivi-
sion (c) to read as follows:
  (C)  THE  NEW  AND  USED  HYBRID VEHICLES AND HIGH-EFFICIENCY VEHICLES
EXEMPTION PROVIDED FOR IN PARAGRAPH FORTY-FOUR  OF  SUBDIVISION  (A)  OF
SECTION  ELEVEN  HUNDRED  FIFTEEN  OF THIS CHAPTER SHALL NOT APPLY TO OR
LIMIT THE IMPOSITION OF THE TAX IMPOSED PURSUANT TO THIS ARTICLE.
  S 3. Subparagraph (i) of paragraph 1 of  subdivision  (a)  of  section
1210  of the tax law, as amended by section 4 of part SS-1 of chapter 57
of the laws of 2008, is amended to read as follows:
  (i) Either, all of the taxes described in article twenty-eight of this
chapter, at the same uniform rate, as to which taxes all  provisions  of
the  local  laws, ordinances or resolutions imposing such taxes shall be
identical, except as to rate and except as otherwise provided, with  the
corresponding  provisions  in  such  article twenty-eight, including the
definition and exemption provisions of  such  article,  so  far  as  the
provisions  of  such  article twenty-eight can be made applicable to the
taxes imposed by such city or  county  and  with  such  limitations  and
special  provisions  as are set forth in this article. The taxes author-
ized under this subdivision may not be  imposed  by  a  city  or  county
unless  the  local law, ordinance or resolution imposes such taxes so as
to include all portions and all types of  receipts,  charges  or  rents,
subject  to  state  tax  under  sections  eleven hundred five and eleven
hundred ten of this chapter, except as  otherwise  provided.  Any  local
law,  ordinance  or  resolution  enacted  by  any  city of less than one
million or by any county or school district, imposing the taxes  author-
ized by this subdivision, shall, notwithstanding any provision of law to
the  contrary,  exclude from the operation of such local taxes all sales
of tangible personal  property  for  use  or  consumption  directly  and
predominantly  in  the  production  of  tangible personal property, gas,
electricity, refrigeration or steam, for sale, by  manufacturing,  proc-
essing,  generating,  assembly,  refining, mining or extracting; and all
sales of tangible personal property for use or consumption predominantly
either in the production of tangible personal  property,  for  sale,  by
farming  or  in  a commercial horse boarding operation, or in both; and,
unless such city, county or school district elects otherwise, shall omit
the provision for credit or refund contained in clause six  of  subdivi-
sion  (a)  of section eleven hundred nineteen of this chapter. Any local
law, ordinance or resolution enacted  by  any  city,  county  or  school
district,  imposing the taxes authorized by this subdivision, shall omit
the residential solar energy systems equipment exemption provided for in
subdivision (ee) OF THIS SECTION, the clothing  and  footwear  exemption
provided  for  in  paragraph thirty AND THE NEW AND USED HYBRID VEHICLES
AND HIGH-EFFICIENCY VEHICLES EXEMPTION PROVIDED FOR IN PARAGRAPH  FORTY-
FOUR  of  subdivision  (a)  and  the  qualified  empire  zone enterprise
exemptions provided for in subdivision (z)  of  section  eleven  hundred
fifteen  of  this  chapter,  unless such city, county or school district
elects otherwise as to either  such  residential  solar  energy  systems
equipment  exemption  or  such clothing and footwear exemption, SUCH NEW
AND USED HYBRID VEHICLES AND HIGH-EFFICIENCY VEHICLES EXEMPTION or  such
qualified  empire  zone  enterprise  exemptions; provided that if such a
city having a population of one million  or  more  in  which  the  taxes
imposed  by  section  eleven hundred seven of this chapter are in effect
enacts the resolution described in subdivision (k) of  this  section  or
repeals  such  resolution or enacts the resolution described in subdivi-
sion (l) of this section or repeals such resolution or enacts the resol-
ution described in subdivision (n)  of  this  section  or  repeals  such

A. 5815                             3

resolution OR ENACTS THE RESOLUTION DESCRIBED IN SUBDIVISION (P) OF THIS
SECTION OR REPEALS SUCH RESOLUTION, such resolution or repeal shall also
be  deemed  to  amend  any local law, ordinance or resolution enacted by
such a city imposing such taxes pursuant to the authority of this subdi-
vision,  whether  or  not such taxes are suspended at the time such city
enacts its resolution pursuant to subdivision (k), (l) [or], (n) OR  (P)
of  this  section  or at the time of any such repeal; provided, further,
that any such local law, ordinance  or  resolution  and  section  eleven
hundred  seven  of  this chapter, as deemed to be amended in the event a
city of one million or more enacts a resolution pursuant to the authori-
ty of subdivision (k), (l) [or], (n) OR (P) of this  section,  shall  be
further  amended, as provided in section twelve hundred eighteen of this
subpart,  so  that  the  residential  solar  energy  systems   equipment
exemption  or  the  clothing  and footwear exemption OR THE NEW AND USED
HYBRID VEHICLES AND HIGH-EFFICIENCY VEHICLES EXEMPTION or the  qualified
empire  zone  enterprise  exemptions in any such local law, ordinance or
resolution or in such section eleven hundred seven are the same, as  the
case may be, as the residential solar energy systems equipment exemption
provided for in subdivision (ee), the clothing and footwear exemption in
paragraph thirty OR THE NEW AND USED HYBRID VEHICLES AND HIGH-EFFICIENCY
VEHICLES  EXEMPTION  IN  PARAGRAPH  FORTY-FOUR of subdivision (a) or the
qualified empire  zone  enterprise  exemptions  in  subdivision  (z)  of
section eleven hundred fifteen of this chapter.
  S  4.  Section 1210 of the tax law is amended by adding a new subdivi-
sion (p) to read as follows:
  (P) NOTWITHSTANDING ANY OTHER PROVISION OF STATE OR LOCAL  LAW,  ORDI-
NANCE OR RESOLUTION TO THE CONTRARY:
  (1)  ANY  CITY HAVING A POPULATION OF ONE MILLION OR MORE IN WHICH THE
TAXES IMPOSED BY SECTION ELEVEN HUNDRED SEVEN OF  THIS  CHAPTER  ARE  IN
EFFECT,  ACTING THROUGH ITS LOCAL LEGISLATIVE BODY, IS HEREBY AUTHORIZED
AND EMPOWERED TO ELECT TO PROVIDE THE SAME EXEMPTIONS FROM SUCH TAXES AS
THE NEW AND USED HYBRID VEHICLES AND HIGH-EFFICIENCY VEHICLES  EXEMPTION
FROM  STATE  SALES  AND  COMPENSATING  USE  TAXES DESCRIBED IN PARAGRAPH
FORTY-FOUR OF SUBDIVISION (A) OF SECTION ELEVEN HUNDRED FIFTEEN OF  THIS
CHAPTER  BY ENACTING A RESOLUTION IN THE FORM SET FORTH IN PARAGRAPH TWO
OF THIS SUBDIVISION; WHEREUPON, UPON COMPLIANCE WITH THE  PROVISIONS  OF
SUBDIVISIONS  (D) AND (E) OF THIS SECTION, SUCH ENACTMENT OF SUCH RESOL-
UTION SHALL BE DEEMED TO BE AN AMENDMENT TO SUCH SECTION ELEVEN  HUNDRED
SEVEN  AND SUCH SECTION ELEVEN HUNDRED SEVEN SHALL BE DEEMED TO INCORPO-
RATE SUCH EXEMPTIONS AS IF THEY HAD  BEEN  DULY  ENACTED  BY  THE  STATE
LEGISLATURE AND APPROVED BY THE GOVERNOR.
  (2)  FORM  OF RESOLUTION: BE IT ENACTED BY THE (INSERT PROPER TITLE OF
LOCAL LEGISLATIVE BODY) AS FOLLOWS:
  SECTION ONE.  RECEIPTS  FROM  SALES  OF  AND  CONSIDERATION  GIVEN  OR
CONTRACTED  TO  BE  GIVEN  FOR, OR FOR THE USE OF, PROPERTY AND SERVICES
EXEMPT FROM STATE SALES AND COMPENSATING USE TAXES PURSUANT TO PARAGRAPH
44 OF SUBDIVISION (A) OF SECTION 1115 OF  THE  TAX  LAW  SHALL  ALSO  BE
EXEMPT  FROM  SALES AND COMPENSATING USE TAXES IMPOSED IN THIS JURISDIC-
TION.
  SECTION TWO. THIS RESOLUTION SHALL TAKE EFFECT MARCH  1,  (INSERT  THE
YEAR, BUT NOT EARLIER THAN THE YEAR 2010) AND SHALL APPLY TO SALES MADE,
SERVICES  RENDERED  AND USES OCCURRING ON AND AFTER THAT DATE IN ACCORD-
ANCE WITH THE APPLICABLE TRANSITIONAL PROVISIONS IN SECTIONS 1106,  1216
AND 1217 OF THE NEW YORK TAX LAW.
  S 5. This act shall take effect October 1, 2010.