S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5637
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 14, 2019
                                ___________
 
 Introduced  by  M. of A. ENGLEBRIGHT, MAGNARELLI, LUPARDO, GALEF, ORTIZ,
   SCHIMMINGER, L. ROSENTHAL, O'DONNELL, TITUS, CAHILL, JAFFEE, BENEDETTO
   -- Multi-Sponsored by -- M. of A. ABBATE, PEOPLES-STOKES -- 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 45 to read as follows:
   (45)(I)  THE RECEIPTS FROM THE RETAIL SALE OF NEW OR USED HYBRID VEHI-
 CLES 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.
   §  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-FIVE OF SUBDIVISION (A) OF
 
              

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD09512-01-9

 A. 5637                             2
 
 SECTION ELEVEN HUNDRED FIFTEEN OF THIS CHAPTER SHALL  NOT  APPLY  TO  OR
 LIMIT THE IMPOSITION OF THE TAX IMPOSED PURSUANT TO THIS ARTICLE.
   §  3.  Subparagraph  (ii) of paragraph 1 of subdivision (a) of section
 1210 of the tax law, as amended by section 2 of part WW of chapter 60 of
 the laws of 2016, is amended to read as follows:
   (ii) Any local law, ordinance or resolution enacted by any city, coun-
 ty or school district, imposing the taxes authorized  by  this  subdivi-
 sion,  shall  omit  the  residential  solar energy systems equipment and
 electricity exemption provided for in subdivision (ee),  the  commercial
 solar energy systems equipment and electricity exemption provided for in
 subdivision  (ii),  the  commercial  fuel  cell  electricity  generating
 systems equipment and electricity generated by such equipment  exemption
 provided for in subdivision (kk) and 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-
 FIVE  of subdivision (a) of section eleven hundred fifteen of this chap-
 ter, unless such city, county or school district elects otherwise as  to
 such   residential   solar  energy  systems  equipment  and  electricity
 exemption, such commercial solar energy systems equipment and  electric-
 ity  exemption,  commercial  fuel  cell  electricity  generating systems
 equipment and electricity generated by such equipment exemption or  such
 clothing  and footwear exemption OR SUCH NEW AND USED HYBRID VEHICLES OR
 HIGH-EFFICIENCY VEHICLES EXEMPTION.
   § 4. Section 1210 of the tax law is amended by adding a  new  subdivi-
 sion (q) to read as follows:
   (Q)  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-FIVE  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
 45  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 2021) 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.
   § 5. This act shall take effect October 1, 2020.