NY State Senate Bill 2015-S6303B

Senate Bill S6303B

Signed By Governor

2015-2016 Legislative Session

Authorizes a credit for beer produced within NYC by a taxpayer that is registered as a distributor under article 18 of the tax law

download bill text pdf

Archive: Last Bill Status Via A1719 - Signed by Governor

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Sep 29, 2016	signed chap.333
Sep 20, 2016	delivered to governor
Jun 16, 2016	returned to assembly passed senate 3rd reading cal.698 substituted for s6303b
Jun 16, 2016	substituted by a1719c
Jun 02, 2016	amended on third reading 6303b
May 23, 2016	amended on third reading 6303a
May 09, 2016	advanced to third reading
May 05, 2016	2nd report cal.
May 04, 2016	1st report cal.698
Jan 06, 2016	referred to cities

Votes

- Jun 16, 2016 - Floor Vote
  A1719
  
  60
  
  Aye
  
  2
  
  Nay
  
  0
  
  Absent
  
  1
  
  Excused
  
  0
  
  Abstained
  - - Floor Vote: Jun 16, 2016
      
      aye (60)
      
      Addabbo Jr.
      
      Akshar
      
      Amedore
      
      Avella
      
      Bonacic
      
      Boyle
      
      Breslin
      
      Carlucci
      
      Comrie
      
      Croci
      
      Dilan
      
      Espaillat
      
      Farley
      
      Felder
      
      Flanagan
      
      Funke
      
      Gallivan
      
      Gianaris
      
      Golden
      
      Griffo
      
      Hamilton
      
      Hannon
      
      Hassell-Thompson
      
      Hoylman-Sigal
      
      Kaminsky
      
      Kennedy
      
      Klein
      
      LaValle
      
      Lanza
      
      Larkin
      
      Latimer
      
      Little
      
      Marcellino
      
      Marchione
      
      Martins
      
      Montgomery
      
      Murphy
      
      Nozzolio
      
      O'Mara
      
      Ortt
      
      Panepinto
      
      Parker
      
      Peralta
      
      Perkins
      
      Persaud
      
      Ranzenhofer
      
      Ritchie
      
      Rivera
      
      Robach
      
      Sanders Jr.
      
      Savino
      
      Serino
      
      Serrano
      
      Seward
      
      Squadron
      
      Stavisky
      
      Stewart-Cousins
      
      Valesky
      
      Venditto
      
      Young
      
      nay (2)
      
      DeFrancisco
      
      Krueger
      
      excused (1)
      
      Diaz
  May 4, 2016 - Committee Vote
  S6303B
  
  5
  
  Aye
  
  0
  
  Nay
  
  2
  
  Aye with Reservations
  
  0
  
  Absent
  
  0
  
  Excused
  
  0
  
  Abstained
  - - Committee Vote: May 4, 2016
      
      aye (5)
      
      Akshar
      
      Felder
      
      Funke
      
      Ortt
      
      Savino
      
      aye wr (2)
      
      Peralta
      
      Persaud

Bill Amendments

Original

B (Active)

2015-S6303 - Details

See Assembly Version of this Bill:: A1719
Law Section:: New York City Administrative Code
Laws Affected:: Amd §§11-503, 11-604 & 11-654, NYC Ad Cd
Versions Introduced in 2013-2014 Legislative Session:: S5594, A7767

2015-S6303 - Summary

Authorizes a credit for beer produced within NYC by a taxpayer that is registered as a distributor under article 18 of the tax law.

2015-S6303 - Sponsor Memo

                                 BILL NUMBER:  S6303

 TITLE OF BILL :

An act to amend the administrative code of the city of New York, in
relation to establishing a credit for beer produced within the city of
New York by a taxpayer that is registered as a distributor under
article eighteen of the tax law

 PURPOSE :

To encourage the growth of New York City breweries by establishing a
beer production tax credit in the New York City Administrative Code.

 SUMMARY OF PROVISIONS :

Section 1 of this bill adds a new subdivision (p) to section 11-503 of
the New York City Administrative Code to provide a beer production
business tax credit for beer distributors that produce 60 million or
fewer gallons of beer in New York City. The tax credit shall be 12
cents per gallon for the first 500,000 of beer produced, and three and
eighty-six one hundredths cents per gallon thereafter until 15,500,000
gallons.

Section 2 of this bill adds a new subdivision 22 to section 11-604 of
the New York City Administrative Code to provide a beer production

corporate tax credit for beer distributors that produce 60 million or
fewer gallons of beer in New York City. The amount of the credit shall
equal that specified for the business tax credit established in
section 1 of the bill, and likewise applicable to the first 15,500,000
gallons only.

Section 3 of this bill provides that this act shall take effect
immediately and apply to taxable years beginning on or after January
1, 2016.

 JUSTIFICATION :

In 2012, New York State established a beer production tax credit with
the aim of continuing the State's support of breweries, particularly
craft brewers, while removing certain elements from the prior tax
credit scheme that had rendered it unconstitutional. This bill extends
the 2012 credit to taxes payable to New York City. While the credit
proposed by this bill largely follows the credit established for New
York State taxes in the 2012 legislation, there are a few notable
exceptions. First, this bill establishes a tax credit of 12 cents per
gallon for the first 500,000 of beer produced, as opposed to 14 cents
in the 2012 amendments to the Tax Law. Second, this bill provides a
credit of three and eight-six one hundredths cents per gallon of beer
produced in excess of 500,000 gallons, as opposed to the
four-and-a-half cents per gallon credit provided in the Tax Law.

 LEGISLATIVE HISTORY :

2013 -14: S.5594 - Referred to Cities

 FISCAL IMPLICATIONS :

To be determined.

 EFFECTIVE DATE :
This act shall take effect immediately and apply to taxable years
beginning on or after January 1, 2016.

2015-S6303 - Bill Text download pdf

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

                                  6303

                            I N  S E N A T E

                               (PREFILED)

                             January 6, 2016
                               ___________

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

AN ACT to amend the administrative code of the  city  of  New  York,  in
  relation to establishing a credit for beer produced within the city of
  New York by a taxpayer that is registered as a distributor under arti-
  cle eighteen of the tax law

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

  Section 1. Section 11-503 of the administrative code of  the  city  of
New York is amended by adding a new subdivision (p) to read as follows:
  (P)  BEER  PRODUCTION CREDIT. (1) A TAXPAYER SUBJECT TO TAX UNDER THIS
CHAPTER, THAT IS REGISTERED AS A DISTRIBUTOR UNDER ARTICLE  EIGHTEEN  OF
THE TAX LAW, AND THAT PRODUCES SIXTY MILLION OR FEWER GALLONS OF BEER IN
THIS  STATE  IN  THE TAXABLE YEAR, SHALL BE ALLOWED A CREDIT AGAINST THE
TAX IMPOSED BY THIS CHAPTER IN THE AMOUNT SPECIFIED IN PARAGRAPH TWO  OF
THIS SUBDIVISION. PROVIDED, HOWEVER, THAT NO CREDIT SHALL BE ALLOWED FOR
ANY  BEER  PRODUCED  IN  EXCESS OF FIFTEEN MILLION FIVE HUNDRED THOUSAND
GALLONS IN THE TAXABLE YEAR.  NOTWITHSTANDING ANYTHING TO THE  CONTRARY,
IF  A  PARTNERSHIP IS ALLOWED A CREDIT UNDER THIS SUBDIVISION, A PARTNER
IN SUCH PARTNERSHIP SHALL NOT BE ALLOWED A CREDIT UNDER THIS SUBDIVISION
FOR ANY TAXABLE YEAR THAT INCLUDES THE LAST DAY OF THE TAXABLE YEAR  FOR
WHICH THE PARTNERSHIP IS ALLOWED SUCH CREDIT.
  (2)  THE  AMOUNT  OF THE CREDIT PER TAXPAYER PER TAXABLE YEAR FOR EACH
GALLON OF BEER PRODUCED IN THE CITY OF NEW  YORK  ON  OR  AFTER  JANUARY
FIRST, TWO THOUSAND SIXTEEN SHALL BE DETERMINED AS FOLLOWS:
  (I)  FOR  THE  FIRST FIVE HUNDRED THOUSAND GALLONS OF BEER PRODUCED IN
THE CITY OF NEW YORK IN THE TAXABLE YEAR, THE CREDIT SHALL EQUAL  TWELVE
CENTS PER GALLON; AND
  (II)  FOR  EACH GALLON OF BEER PRODUCED IN THE CITY OF NEW YORK IN THE
TAXABLE YEAR IN EXCESS OF FIVE  HUNDRED  THOUSAND  GALLONS,  THE  CREDIT
SHALL  EQUAL  THREE  AND EIGHTY-SIX ONE HUNDREDTHS CENTS PER GALLON. THE
CREDIT ALLOWED UNDER THIS SUBDIVISION FOR  ANY  TAXABLE  YEAR  SHALL  BE
TREATED  AS  AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED IN ACCORD-

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets

                      [ ] is old law to be omitted.
                                                           LBD02212-01-5

S. 6303                             2

ANCE WITH THE PROVISIONS OF SECTION 11-526 OF  THIS  CHAPTER;  PROVIDED,
HOWEVER,  THAT  NOTWITHSTANDING THE PROVISIONS OF SECTION 11-528 OF THIS
CHAPTER, NO INTEREST SHALL BE PAID THEREON.
  S 2. Section 11-604 of the administrative code of the city of New York
is amended by adding a new subdivision 22 to read as follows:
  22.  BEER  PRODUCTION CREDIT. (A) A TAXPAYER SUBJECT TO TAX UNDER THIS
SUBCHAPTER, THAT IS REGISTERED AS A DISTRIBUTOR UNDER  ARTICLE  EIGHTEEN
OF THE TAX LAW, AND THAT PRODUCES SIXTY MILLION OR FEWER GALLONS OF BEER
IN THIS STATE IN THE TAXABLE YEAR, SHALL BE ALLOWED A CREDIT AGAINST THE
TAX  IMPOSED BY THIS SUBCHAPTER IN THE AMOUNT SPECIFIED IN PARAGRAPH (B)
OF THIS SUBDIVISION. PROVIDED, HOWEVER, THAT NO CREDIT SHALL BE  ALLOWED
FOR ANY BEER PRODUCED IN EXCESS OF FIFTEEN MILLION FIVE HUNDRED THOUSAND
GALLONS  IN  THE TAXABLE YEAR. NOTWITHSTANDING ANYTHING TO THE CONTRARY,
IF A PARTNERSHIP IS ALLOWED A CREDIT UNDER SUBDIVISION  (P)  OF  SECTION
11-503  OF  THIS TITLE, A TAXPAYER THAT IS A PARTNER IN SUCH PARTNERSHIP
SHALL NOT BE ALLOWED A CREDIT UNDER THIS  SUBDIVISION  FOR  ANY  TAXABLE
YEAR  THAT INCLUDES THE LAST DAY OF THE TAXABLE YEAR FOR WHICH THE PART-
NERSHIP IS ALLOWED SUCH CREDIT.
  (B) THE AMOUNT OF THE CREDIT PER TAXPAYER PER TAXABLE  YEAR  FOR  EACH
GALLON  OF  BEER  PRODUCED  IN  THE CITY OF NEW YORK ON OR AFTER JANUARY
FIRST, TWO THOUSAND SIXTEEN SHALL BE DETERMINED AS FOLLOWS:
  (1) FOR THE FIRST FIVE HUNDRED THOUSAND GALLONS OF  BEER  PRODUCED  IN
THE  CITY OF NEW YORK IN THE TAXABLE YEAR, THE CREDIT SHALL EQUAL TWELVE
CENTS PER GALLON; AND
  (2) FOR EACH GALLON OF BEER PRODUCED IN THE CITY OF NEW  YORK  IN  THE
TAXABLE  YEAR  IN  EXCESS  OF  FIVE HUNDRED THOUSAND GALLONS, THE CREDIT
SHALL EQUAL THREE AND EIGHTY-SIX ONE HUNDREDTHS CENTS PER GALLON. IN  NO
EVENT  SHALL  THE  CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE
YEAR REDUCE THE TAX DUE FOR SUCH YEAR TO LESS THAN THE AMOUNT PRESCRIBED
IN CLAUSE FOUR OF SUBPARAGRAPH (A) OF PARAGRAPH E OF SUBDIVISION ONE  OF
THIS SECTION. HOWEVER, IF THE AMOUNT OF CREDIT ALLOWED UNDER THIS SUBDI-
VISION  FOR  ANY TAXABLE YEAR REDUCES THE TAX TO SUCH AMOUNT, ANY AMOUNT
OF CREDIT THUS NOT DEDUCTIBLE IN SUCH TAXABLE YEAR SHALL BE  TREATED  AS
AN  OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE
PROVISIONS OF SECTION 11-677 OF THIS CHAPTER;  PROVIDED,  HOWEVER,  THAT
NOTWITHSTANDING  THE  PROVISIONS  OF  SECTION 11-679 OF THIS CHAPTER, NO
INTEREST SHALL BE PAID THEREON.
  S 3. This act shall take effect immediately, and shall apply to  taxa-
ble years beginning on or after January 1, 2016.

2015-S6303A - Details

See Assembly Version of this Bill:: A1719
Law Section:: New York City Administrative Code
Laws Affected:: Amd §§11-503, 11-604 & 11-654, NYC Ad Cd
Versions Introduced in 2013-2014 Legislative Session:: S5594, A7767

2015-S6303A - Summary

Authorizes a credit for beer produced within NYC by a taxpayer that is registered as a distributor under article 18 of the tax law.

2015-S6303A - Sponsor Memo

                                 BILL NUMBER:  S6303A

 TITLE OF BILL :  An act to amend the administrative code of the city
of New York, in relation to establishing a credit for beer produced
within the city of New York by a taxpayer that is registered as a
distributor under article eighteen of the tax law

 PURPOSE :

To encourage the growth of New York City breweries by establishing a
beer production tax credit in the New York City Administrative Code.

 SUMMARY OF PROVISIONS :

Section 1 of this bill adds a new subdivision (p) to section 11-503 of
the New York City Administrative Code to provide a beer production
business tax credit for beer distributors that produce 60 million or
fewer gallons of beer in New York City. The tax credit shall be 12
cents per gallon for the first 500,000 of beer produced, and three and
eighty-six one hundredths cents per gallon thereafter until 15,500,000
gallons.

Section 2 of this bill adds a new subdivision 22 to section 11-654 of
the New York City Administrative Code to provide a beer production
corporate tax credit for beer distributors that produce 60 million or
fewer gallons of beer in New York City. The amount of the credit shall

equal that specified for the business tax credit established in
section 1 of the bill, and likewise applicable to the first 15,500,000
gallons only.

Section 3 of this bill provides that this act shall take effect
immediately and apply to taxable years beginning on or after January
1, 2017.

 JUSTIFICATION :

In 2012, New York State established a beer production tax credit with
the aim of continuing the State's support of breweries, particularly
craft brewers, while removing certain elements from the prior tax
credit scheme that had rendered it unconstitutional. This bill extends
the 2012 credit to taxes payable to New York City. While the credit
proposed by this bill largely follows the credit established for New
York State taxes in the 2012 legislation, there are a few notable
exceptions. First, this bill establishes a tax credit of 12 cents per
gallon for the first 500,000 of beer produced, as opposed to 14 cents
in the 2012 amendments to the Tax Law. Second, this bill provides a
credit of three and eight-six one hundredths cents per gallon of beer
produced in excess of 500,000 gallons, as opposed to the
four-and-a-half cents per gallon credit provided in the Tax Law.

 LEGISLATIVE HISTORY :

2013 -14: S.5594 - Referred to Cities

 FISCAL IMPLICATIONS :

To be determined.

 EFFECTIVE DATE :
This act shall take effect immediately and apply to taxable years
beginning on or after January 1, 2017.

2015-S6303A - Bill Text download pdf

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

                                 6303--A
    Cal. No. 698

                            I N  S E N A T E

                               (PREFILED)

                             January 6, 2016
                               ___________

Introduced  by  Sen.  GOLDEN -- read twice and ordered printed, and when
  printed to be committed to the Committee on Cities -- reported favora-
  bly from said committee, ordered to first and second  report,  ordered
  to a third reading, amended and ordered reprinted, retaining its place
  in the order of third reading

AN  ACT  to  amend  the  administrative code of the city of New York, in
  relation to establishing a credit for beer produced within the city of
  New York by a taxpayer that is registered as a distributor under arti-
  cle eighteen of the tax law

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

  Section  1.  Section  11-503 of the administrative code of the city of
New York is amended by adding a new subdivision (p) to read as follows:
  (P) BEER PRODUCTION CREDIT. (1) A TAXPAYER SUBJECT TO TAX  UNDER  THIS
CHAPTER,  THAT  IS REGISTERED AS A DISTRIBUTOR UNDER ARTICLE EIGHTEEN OF
THE TAX LAW, AND THAT PRODUCES SIXTY MILLION OR FEWER GALLONS OF BEER IN
THIS STATE IN THE TAXABLE YEAR, SHALL BE ALLOWED A  CREDIT  AGAINST  THE
TAX  IMPOSED BY THIS CHAPTER IN THE AMOUNT SPECIFIED IN PARAGRAPH TWO OF
THIS SUBDIVISION. PROVIDED, HOWEVER, THAT NO CREDIT SHALL BE ALLOWED FOR
ANY BEER PRODUCED IN EXCESS OF FIFTEEN  MILLION  FIVE  HUNDRED  THOUSAND
GALLONS IN THE TAXABLE YEAR.
  (2)  THE  AMOUNT  OF THE CREDIT PER TAXPAYER PER TAXABLE YEAR FOR EACH
GALLON OF BEER PRODUCED IN THE CITY OF NEW  YORK  ON  OR  AFTER  JANUARY
FIRST, TWO THOUSAND SEVENTEEN SHALL BE DETERMINED AS FOLLOWS:
  (I)  FOR  THE  FIRST FIVE HUNDRED THOUSAND GALLONS OF BEER PRODUCED IN
THE CITY OF NEW YORK IN THE TAXABLE YEAR, THE CREDIT SHALL EQUAL  TWELVE
CENTS PER GALLON; AND
  (II)  FOR  EACH GALLON OF BEER PRODUCED IN THE CITY OF NEW YORK IN THE
TAXABLE YEAR IN EXCESS OF FIVE  HUNDRED  THOUSAND  GALLONS,  THE  CREDIT
SHALL  EQUAL  THREE  AND EIGHTY-SIX ONE HUNDREDTHS CENTS PER GALLON. THE
CREDIT ALLOWED UNDER THIS SUBDIVISION FOR  ANY  TAXABLE  YEAR  SHALL  BE
TREATED  AS  AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED IN ACCORD-
ANCE WITH THE PROVISIONS OF SECTION 11-526 OF  THIS  CHAPTER;  PROVIDED,

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02212-02-6

S. 6303--A                          2

HOWEVER,  THAT  NOTWITHSTANDING THE PROVISIONS OF SECTION 11-528 OF THIS
CHAPTER, NO INTEREST SHALL BE PAID THEREON.
  S 2. Section 11-654 of the administrative code of the city of New York
is amended by adding a new subdivision 22 to read as follows:
  22.  BEER  PRODUCTION CREDIT. (A) A TAXPAYER SUBJECT TO TAX UNDER THIS
SUBCHAPTER, THAT IS REGISTERED AS A DISTRIBUTOR UNDER  ARTICLE  EIGHTEEN
OF THE TAX LAW, AND THAT PRODUCES SIXTY MILLION OR FEWER GALLONS OF BEER
IN THIS STATE IN THE TAXABLE YEAR, SHALL BE ALLOWED A CREDIT AGAINST THE
TAX  IMPOSED BY THIS SUBCHAPTER IN THE AMOUNT SPECIFIED IN PARAGRAPH (B)
OF THIS SUBDIVISION. PROVIDED, HOWEVER, THAT NO CREDIT SHALL BE  ALLOWED
FOR ANY BEER PRODUCED IN EXCESS OF FIFTEEN MILLION FIVE HUNDRED THOUSAND
GALLONS IN THE TAXABLE YEAR.
  (B)  THE  AMOUNT  OF THE CREDIT PER TAXPAYER PER TAXABLE YEAR FOR EACH
GALLON OF BEER PRODUCED IN THE CITY OF NEW  YORK  ON  OR  AFTER  JANUARY
FIRST, TWO THOUSAND SEVENTEEN SHALL BE DETERMINED AS FOLLOWS:
  (1)  FOR  THE  FIRST FIVE HUNDRED THOUSAND GALLONS OF BEER PRODUCED IN
THE CITY OF NEW YORK IN THE TAXABLE YEAR, THE CREDIT SHALL EQUAL  TWELVE
CENTS PER GALLON; AND
  (2)  FOR  EACH  GALLON OF BEER PRODUCED IN THE CITY OF NEW YORK IN THE
TAXABLE YEAR IN EXCESS OF FIVE  HUNDRED  THOUSAND  GALLONS,  THE  CREDIT
SHALL  EQUAL THREE AND EIGHTY-SIX ONE HUNDREDTHS CENTS PER GALLON. IN NO
EVENT SHALL THE CREDIT ALLOWED UNDER THIS SUBDIVISION  FOR  ANY  TAXABLE
YEAR REDUCE THE TAX DUE FOR SUCH YEAR TO LESS THAN THE AMOUNT PRESCRIBED
IN  CLAUSE FOUR OF SUBPARAGRAPH (A) OF PARAGRAPH E OF SUBDIVISION ONE OF
THIS SECTION. HOWEVER, IF THE AMOUNT OF CREDIT ALLOWED UNDER THIS SUBDI-
VISION FOR ANY TAXABLE YEAR REDUCES THE TAX TO SUCH AMOUNT,  ANY  AMOUNT
OF  CREDIT  THUS NOT DEDUCTIBLE IN SUCH TAXABLE YEAR SHALL BE TREATED AS
AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH  THE
PROVISIONS  OF  SECTION  11-677 OF THIS CHAPTER; PROVIDED, HOWEVER, THAT
NOTWITHSTANDING THE PROVISIONS OF SECTION 11-679  OF  THIS  CHAPTER,  NO
INTEREST SHALL BE PAID THEREON.
  S  3. This act shall take effect immediately, and shall apply to taxa-
ble years beginning on or after January 1, 2017.

co-Sponsors

2015-S6303B (ACTIVE) - Details

See Assembly Version of this Bill:: A1719
Law Section:: New York City Administrative Code
Laws Affected:: Amd §§11-503, 11-604 & 11-654, NYC Ad Cd
Versions Introduced in 2013-2014 Legislative Session:: S5594, A7767

2015-S6303B (ACTIVE) - Summary

Authorizes a credit for beer produced within NYC by a taxpayer that is registered as a distributor under article 18 of the tax law.

2015-S6303B (ACTIVE) - Sponsor Memo

                                 BILL NUMBER:  S6303B

 TITLE OF BILL :

An act to amend the administrative code of the city of New York, in
relation to establishing a credit for beer produced within the city of
New York by a taxpayer that is registered as a distributor under
article eighteen of the tax law

 PURPOSE :

To encourage the growth of New York City breweries by establishing a
beer production tax credit in the New York City Administrative Code.

 SUMMARY OF PROVISIONS :

Section 1 of this bill adds a new subdivision (p) to section 11-503 of
the New York City Administrative Code to provide a beer production
business tax credit for beer distributors that produce 60 million or
fewer gallons of beer in New York City. The tax credit shall be 12
cents per gallon for the first 500,000 of beer produced, and three and
eighty-six one hundredths cents per gallon thereafter until 15,500,000
gallons.

Section 2 of this bill adds a new subdivision 22 to section 11-654 of
the New York City Administrative Code to provide a beer production

corporate tax credit for beer distributors that produce 60 million or
fewer gallons of beer in New York City. The amount of the credit shall
equal that specified for the business tax credit established in
section 1 of the bill, and likewise applicable to the first 15,500,000
gallons only.

Section 3 of this bill provides that this act shall take effect
immediately and apply to taxable years beginning on or after January
1, 2017.

 JUSTIFICATION :

In 2012, New York State established a beer production tax credit with
the aim of continuing the State's support of breweries, particularly
craft brewers, while removing certain elements from the prior tax
credit scheme that had rendered it unconstitutional. This bill extends
the 2012 credit to taxes payable to New York City. While the credit
proposed by this bill largely follows the credit established for New
York State taxes in the 2012 legislation, there are a few notable
exceptions. First, this bill establishes a tax credit of 12 cents per
gallon for the first 500,000 of beer produced, as opposed to 14 cents
in the 2012 amendments to the Tax Law. Second, this bill provides a
credit of three and eight-six one hundredths cents per gallon of beer
produced in excess of 500,000 gallons, as opposed to the
four-and-a-half cents per gallon credit provided in the Tax Law.

 LEGISLATIVE HISTORY :

2013-14: S.5594 - Referred to Cities

 FISCAL IMPLICATIONS :

To be determined.

 EFFECTIVE DATE :
This act shall take effect immediately and apply to taxable years
beginning on or after January 1, 2017.

2015-S6303B (ACTIVE) - Bill Text download pdf

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

                                 6303--B
    Cal. No. 698

                            I N  S E N A T E

                               (PREFILED)

                             January 6, 2016
                               ___________

Introduced  by  Sen.  GOLDEN -- read twice and ordered printed, and when
  printed to be committed to the Committee on Cities -- reported favora-
  bly from said committee, ordered to first and second  report,  ordered
  to a third reading, amended and ordered reprinted, retaining its place
  in  the  order of third reading -- ordered to a third reading, amended
  and ordered reprinted, retaining its place in the order of third read-
  ing

AN ACT to amend the administrative code of the  city  of  New  York,  in
  relation to establishing a credit for beer produced within the city of
  New York by a taxpayer that is registered as a distributor under arti-
  cle eighteen of the tax law

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

  Section 1. Section 11-503 of the administrative code of  the  city  of
New York is amended by adding a new subdivision (p) to read as follows:
  (P)  BEER  PRODUCTION CREDIT. (1) A TAXPAYER SUBJECT TO TAX UNDER THIS
CHAPTER, THAT IS REGISTERED AS A DISTRIBUTOR UNDER ARTICLE  EIGHTEEN  OF
THE TAX LAW, AND THAT PRODUCES SIXTY MILLION OR FEWER GALLONS OF BEER IN
THIS  STATE  IN  THE TAXABLE YEAR, SHALL BE ALLOWED A CREDIT AGAINST THE
TAX IMPOSED BY THIS CHAPTER IN THE AMOUNT SPECIFIED IN PARAGRAPH TWO  OF
THIS SUBDIVISION. PROVIDED, HOWEVER, THAT NO CREDIT SHALL BE ALLOWED FOR
ANY  BEER  PRODUCED  IN  EXCESS OF FIFTEEN MILLION FIVE HUNDRED THOUSAND
GALLONS IN THE TAXABLE YEAR.  NOTWITHSTANDING ANYTHING IN THIS TITLE  TO
THE  CONTRARY,  IF A PARTNERSHIP IS ALLOWED A CREDIT UNDER THIS SUBDIVI-
SION, A TAXPAYER THAT IS A PARTNER IN  SUCH  PARTNERSHIP  SHALL  NOT  BE
ALLOWED  A  CREDIT  UNDER  THIS  SUBDIVISION  FOR  ANY TAXABLE YEAR THAT
INCLUDES THE LAST DAY OF THE TAXABLE YEAR FOR WHICH THE  PARTNERSHIP  IS
ALLOWED SUCH CREDIT.
  (2)  THE  AMOUNT  OF THE CREDIT PER TAXPAYER PER TAXABLE YEAR FOR EACH
GALLON OF BEER PRODUCED IN THE CITY OF NEW  YORK  ON  OR  AFTER  JANUARY
FIRST, TWO THOUSAND SEVENTEEN SHALL BE DETERMINED AS FOLLOWS:

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

                                                           LBD02212-07-6

S. 6303--B                          2

  (I)  FOR  THE  FIRST FIVE HUNDRED THOUSAND GALLONS OF BEER PRODUCED IN
THE CITY OF NEW YORK IN THE TAXABLE YEAR, THE CREDIT SHALL EQUAL  TWELVE
CENTS PER GALLON; AND
  (II)  FOR  EACH GALLON OF BEER PRODUCED IN THE CITY OF NEW YORK IN THE
TAXABLE YEAR IN EXCESS OF FIVE  HUNDRED  THOUSAND  GALLONS,  THE  CREDIT
SHALL  EQUAL  THREE  AND EIGHTY-SIX ONE HUNDREDTHS CENTS PER GALLON. THE
CREDIT ALLOWED UNDER THIS SUBDIVISION FOR  ANY  TAXABLE  YEAR  SHALL  BE
TREATED  AS  AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED IN ACCORD-
ANCE WITH THE PROVISIONS OF SECTION 11-526 OF  THIS  CHAPTER;  PROVIDED,
HOWEVER,  THAT  NOTWITHSTANDING THE PROVISIONS OF SECTION 11-528 OF THIS
CHAPTER, NO INTEREST SHALL BE PAID THEREON.
  S 2. Section 11-604 of the administrative code of the city of New York
is amended by adding a new subdivision 22 to read as follows:
  22. BEER PRODUCTION CREDIT. (A) A TAXPAYER SUBJECT TO TAX  UNDER  THIS
SUBCHAPTER,  THAT  IS REGISTERED AS A DISTRIBUTOR UNDER ARTICLE EIGHTEEN
OF THE TAX LAW, AND THAT PRODUCES SIXTY MILLION OR FEWER GALLONS OF BEER
IN THIS STATE IN THE TAXABLE YEAR, SHALL BE ALLOWED A CREDIT AGAINST THE
TAX IMPOSED BY THIS SUBCHAPTER IN THE AMOUNT SPECIFIED IN PARAGRAPH  (B)
OF  THIS SUBDIVISION. PROVIDED, HOWEVER, THAT NO CREDIT SHALL BE ALLOWED
FOR ANY BEER PRODUCED IN EXCESS OF FIFTEEN MILLION FIVE HUNDRED THOUSAND
GALLONS IN THE TAXABLE YEAR.  NOTWITHSTANDING ANYTHING IN THIS TITLE  TO
THE CONTRARY, IF A PARTNERSHIP IS ALLOWED A CREDIT UNDER SUBDIVISION (P)
OF  SECTION  11-503  OF THIS TITLE, A TAXPAYER THAT IS A PARTNER IN SUCH
PARTNERSHIP SHALL NOT BE ALLOWED A CREDIT UNDER THIS SUBDIVISION FOR ANY
TAXABLE YEAR THAT INCLUDES THE LAST DAY OF THE TAXABLE  YEAR  FOR  WHICH
THE PARTNERSHIP IS ALLOWED SUCH CREDIT.
  (B)  THE  AMOUNT  OF THE CREDIT PER TAXPAYER PER TAXABLE YEAR FOR EACH
GALLON OF BEER PRODUCED IN THE CITY OF NEW  YORK  ON  OR  AFTER  JANUARY
FIRST, TWO THOUSAND SEVENTEEN SHALL BE DETERMINED AS FOLLOWS:
  (1)  FOR  THE  FIRST FIVE HUNDRED THOUSAND GALLONS OF BEER PRODUCED IN
THE CITY OF NEW YORK IN THE TAXABLE YEAR, THE CREDIT SHALL EQUAL  TWELVE
CENTS PER GALLON; AND
  (2)  FOR  EACH  GALLON OF BEER PRODUCED IN THE CITY OF NEW YORK IN THE
TAXABLE YEAR IN EXCESS OF FIVE  HUNDRED  THOUSAND  GALLONS,  THE  CREDIT
SHALL  EQUAL THREE AND EIGHTY-SIX ONE HUNDREDTHS CENTS PER GALLON. IN NO
EVENT SHALL THE CREDIT ALLOWED UNDER THIS SUBDIVISION  FOR  ANY  TAXABLE
YEAR REDUCE THE TAX DUE FOR SUCH YEAR TO LESS THAN THE AMOUNT PRESCRIBED
IN  CLAUSE FOUR OF SUBPARAGRAPH (A) OF PARAGRAPH E OF SUBDIVISION ONE OF
THIS SECTION. HOWEVER, IF THE AMOUNT OF CREDIT ALLOWED UNDER THIS SUBDI-
VISION FOR ANY TAXABLE YEAR REDUCES THE TAX TO SUCH AMOUNT,  ANY  AMOUNT
OF  CREDIT  THUS NOT DEDUCTIBLE IN SUCH TAXABLE YEAR SHALL BE TREATED AS
AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH  THE
PROVISIONS  OF  SECTION  11-677 OF THIS CHAPTER; PROVIDED, HOWEVER, THAT
NOTWITHSTANDING THE PROVISIONS OF SECTION 11-679  OF  THIS  CHAPTER,  NO
INTEREST SHALL BE PAID THEREON.
  S 3. Section 11-654 of the administrative code of the city of New York
is amended by adding a new subdivision 22 to read as follows:
  22.  BEER  PRODUCTION CREDIT. (A) A TAXPAYER SUBJECT TO TAX UNDER THIS
SUBCHAPTER, THAT IS REGISTERED AS A DISTRIBUTOR UNDER  ARTICLE  EIGHTEEN
OF THE TAX LAW, AND THAT PRODUCES SIXTY MILLION OR FEWER GALLONS OF BEER
IN THIS STATE IN THE TAXABLE YEAR, SHALL BE ALLOWED A CREDIT AGAINST THE
TAX  IMPOSED BY THIS SUBCHAPTER IN THE AMOUNT SPECIFIED IN PARAGRAPH (B)
OF THIS SUBDIVISION. PROVIDED, HOWEVER, THAT NO CREDIT SHALL BE  ALLOWED
FOR ANY BEER PRODUCED IN EXCESS OF FIFTEEN MILLION FIVE HUNDRED THOUSAND
GALLONS  IN THE TAXABLE YEAR.  NOTWITHSTANDING ANYTHING IN THIS TITLE TO
THE CONTRARY, IF A PARTNERSHIP IS ALLOWED A CREDIT UNDER SUBDIVISION (P)

S. 6303--B                          3

OF SECTION 11-503 OF THIS TITLE, A TAXPAYER THAT IS A  PARTNER  IN  SUCH
PARTNERSHIP SHALL NOT BE ALLOWED A CREDIT UNDER THIS SUBDIVISION FOR ANY
TAXABLE  YEAR  THAT  INCLUDES THE LAST DAY OF THE TAXABLE YEAR FOR WHICH
THE PARTNERSHIP IS ALLOWED SUCH CREDIT.
  (B)  THE  AMOUNT  OF THE CREDIT PER TAXPAYER PER TAXABLE YEAR FOR EACH
GALLON OF BEER PRODUCED IN THE CITY OF NEW  YORK  ON  OR  AFTER  JANUARY
FIRST, TWO THOUSAND SEVENTEEN SHALL BE DETERMINED AS FOLLOWS:
  (1)  FOR  THE  FIRST FIVE HUNDRED THOUSAND GALLONS OF BEER PRODUCED IN
THE CITY OF NEW YORK IN THE TAXABLE YEAR, THE CREDIT SHALL EQUAL  TWELVE
CENTS PER GALLON; AND
  (2)  FOR  EACH  GALLON OF BEER PRODUCED IN THE CITY OF NEW YORK IN THE
TAXABLE YEAR IN EXCESS OF FIVE  HUNDRED  THOUSAND  GALLONS,  THE  CREDIT
SHALL  EQUAL THREE AND EIGHTY-SIX ONE HUNDREDTHS CENTS PER GALLON. IN NO
EVENT SHALL THE CREDIT ALLOWED UNDER THIS SUBDIVISION  FOR  ANY  TAXABLE
YEAR REDUCE THE TAX DUE FOR SUCH YEAR TO LESS THAN THE AMOUNT PRESCRIBED
IN SUBPARAGRAPH (1) OF PARAGRAPH (E) OF SUBDIVISION ONE OF THIS SECTION.
HOWEVER,  IF THE AMOUNT OF CREDIT ALLOWED UNDER THIS SUBDIVISION FOR ANY
TAXABLE YEAR REDUCES THE TAX TO SUCH AMOUNT, ANY AMOUNT OF  CREDIT  THUS
NOT  DEDUCTIBLE  IN SUCH TAXABLE YEAR SHALL BE TREATED AS AN OVERPAYMENT
OF TAX TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE  PROVISIONS  OF
SECTION  11-677 OF THIS CHAPTER; PROVIDED, HOWEVER, THAT NOTWITHSTANDING
THE PROVISIONS OF SECTION 11-679 OF THIS CHAPTER, NO INTEREST  SHALL  BE
PAID THEREON.
  S  4. This act shall take effect immediately, and shall apply to taxa-
ble years beginning on or after January 1, 2017.

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Senate Bill S6303B

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Sponsored By

Martin J. Golden

Archive: Last Bill Status Via A1719 - Signed by Governor

Bill Amendments

2015-S6303 - Details

2015-S6303 - Summary

2015-S6303 - Sponsor Memo

2015-S6303 - Bill Text download pdf

2015-S6303A - Details

2015-S6303A - Summary

2015-S6303A - Sponsor Memo

2015-S6303A - Bill Text download pdf

co-Sponsors

Timothy M. Kennedy

2015-S6303B (ACTIVE) - Details

2015-S6303B (ACTIVE) - Summary

2015-S6303B (ACTIVE) - Sponsor Memo

2015-S6303B (ACTIVE) - Bill Text download pdf

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