S T A T E O F N E W Y O R K
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8064
I N S E N A T E
March 16, 2020
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Introduced by Sen. METZGER -- read twice and ordered printed, and when
printed to be committed to the Committee on Investigations and Govern-
ment Operations
AN ACT to amend the tax law, in relation to authorizing the town of
Wallkill to adopt a hotel or motel tax of up to 5%; 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:
Section 1. The tax law is amended by adding a new section 1202-gg to
read as follows:
§ 1202-GG. HOTEL OR MOTEL TAXES IN THE TOWN OF WALLKILL. (1) NOTWITH-
STANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, THE TOWN OF WALL-
KILL, IN THE COUNTY OF ORANGE, IS HEREBY AUTHORIZED AND EMPOWERED TO
ADOPT AND AMEND LOCAL LAWS IMPOSING IN SUCH TOWN A TAX, IN ADDITION TO
ANY OTHER TAX AUTHORIZED AND IMPOSED PURSUANT TO THIS ARTICLE SUCH AS
THE LEGISLATURE HAS OR WOULD HAVE THE POWER AND AUTHORITY TO IMPOSE UPON
PERSONS OCCUPYING HOTEL OR MOTEL ROOMS IN SUCH TOWN. FOR THE PURPOSES OF
THIS SECTION, THE TERM "HOTEL" OR "MOTEL" SHALL MEAN AND INCLUDE ANY
FACILITY CONSISTING OF RENTABLE UNITS AND PROVIDING LODGING ON AN OVER-
NIGHT BASIS AND SHALL INCLUDE THOSE FACILITIES DESIGNATED AND COMMONLY
KNOWN AS "BED AND BREAKFAST" AND "TOURIST" FACILITIES. THE RATES OF SUCH
TAX SHALL NOT EXCEED FIVE PERCENT OF THE PER DIEM RENTAL RATE FOR EACH
ROOM, PROVIDED HOWEVER, THAT SUCH TAX SHALL NOT BE APPLICABLE TO A
PERMANENT RESIDENT OF A HOTEL OR MOTEL. FOR THE PURPOSES OF THIS SECTION
THE TERM "PERMANENT RESIDENT" SHALL MEAN A PERSON OCCUPYING ANY ROOM OR
ROOMS IN A HOTEL OR MOTEL FOR AT LEAST NINETY CONSECUTIVE DAYS.
(2) SUCH TAX MAY BE COLLECTED AND ADMINISTERED BY THE CHIEF FISCAL
OFFICER OF THE TOWN OF WALLKILL BY SUCH MEANS AND IN SUCH MANNER AS
OTHER TAXES WHICH ARE NOW COLLECTED AND ADMINISTERED BY SUCH OFFICER OR
AS OTHERWISE MAY BE PROVIDED BY SUCH LOCAL LAWS.
(3) SUCH LOCAL LAWS MAY PROVIDE THAT ANY TAX IMPOSED SHALL BE PAID BY
THE PERSON LIABLE THEREFOR TO THE OWNER OF THE HOTEL OR MOTEL ROOM OCCU-
PIED OR TO THE PERSON ENTITLED TO BE PAID THE RENT OR CHARGE FOR THE
HOTEL OR MOTEL ROOM OCCUPIED FOR AND ON ACCOUNT OF THE TOWN OF WALLKILL
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01774-02-0
S. 8064 2
IMPOSING THE TAX AND THAT SUCH OWNER OR PERSON ENTITLED TO BE PAID THE
RENT OR CHARGE SHALL BE LIABLE FOR THE COLLECTION AND PAYMENT OF THE
TAX; AND THAT SUCH OWNER OR PERSON ENTITLED TO BE PAID THE RENT OR
CHARGE SHALL HAVE THE SAME RIGHT IN RESPECT TO COLLECTING THE TAX FROM
THE PERSON OCCUPYING THE HOTEL OR MOTEL ROOM, OR IN RESPECT TO NONPAY-
MENT OF THE TAX BY THE PERSON OCCUPYING THE HOTEL OR MOTEL ROOM, AS IF
THE TAX WERE A PART OF THE RENT OR CHARGE AND PAYABLE AT THE SAME TIME
AS THE RENT OR CHARGE; PROVIDED, HOWEVER, THAT THE CHIEF FISCAL OFFICER
OF THE TOWN, SPECIFIED IN SUCH LOCAL LAWS, SHALL BE JOINED AS A PARTY IN
ANY ACTION OR PROCEEDING BROUGHT TO COLLECT THE TAX BY THE OWNER OR BY
THE PERSON ENTITLED TO BE PAID THE RENT OR CHARGE.
(4) SUCH LOCAL LAWS MAY PROVIDE FOR THE FILING OF RETURNS AND THE
PAYMENT OF THE TAX ON A MONTHLY BASIS OR ON THE BASIS OF ANY LONGER OR
SHORTER PERIOD OF TIME.
(5) THIS SECTION SHALL NOT AUTHORIZE THE IMPOSITION OF SUCH TAX UPON
ANY TRANSACTION, BY OR WITH ANY OF THE FOLLOWING IN ACCORDANCE WITH
SECTION TWELVE HUNDRED THIRTY OF THIS ARTICLE:
A. THE STATE OF NEW YORK, OR ANY PUBLIC CORPORATION (INCLUDING A
PUBLIC CORPORATION CREATED PURSUANT TO AGREEMENT OR COMPACT WITH ANOTHER
STATE OR THE DOMINION OF CANADA), IMPROVEMENT DISTRICT OR OTHER POLI-
TICAL SUBDIVISION OF THE STATE;
B. THE UNITED STATES OF AMERICA, INSOFAR AS IT IS IMMUNE FROM TAXA-
TION;
C. ANY CORPORATION OR ASSOCIATION, OR TRUST, OR COMMUNITY CHEST, FUND
OR FOUNDATION ORGANIZED AND OPERATED EXCLUSIVELY FOR RELIGIOUS, CHARITA-
BLE OR EDUCATIONAL PURPOSES, OR FOR THE PREVENTION OF CRUELTY TO CHIL-
DREN OR ANIMALS, AND NO PART OF THE NET EARNINGS OF WHICH INURES TO THE
BENEFIT OF ANY PRIVATE SHAREHOLDER OR INDIVIDUAL AND NO SUBSTANTIAL PART
OF THE ACTIVITIES OF WHICH IS CARRYING ON PROPAGANDA, OR OTHERWISE
ATTEMPTING TO INFLUENCE LEGISLATION; PROVIDED, HOWEVER, THAT NOTHING IN
THIS PARAGRAPH SHALL INCLUDE AN ORGANIZATION OPERATED FOR THE PRIMARY
PURPOSE OF CARRYING ON A TRADE OR BUSINESS FOR PROFIT, WHETHER OR NOT
ALL OF ITS PROFITS ARE PAYABLE TO ONE OR MORE ORGANIZATIONS DESCRIBED IN
THIS PARAGRAPH.
(6) ANY FINAL DETERMINATION OF THE AMOUNT OF ANY TAX PAYABLE UNDER
THIS SECTION SHALL BE REVIEWABLE FOR ERROR, ILLEGALITY OR UNCONSTITU-
TIONALITY OR ANY OTHER REASON WHATSOEVER BY A PROCEEDING UNDER ARTICLE
SEVENTY-EIGHT OF THE CIVIL PRACTICE LAW AND RULES IF APPLICATION THERE-
FOR IS MADE TO THE SUPREME COURT WITHIN THIRTY DAYS AFTER THE GIVING OF
THE NOTICE OF SUCH FINAL DETERMINATION, PROVIDED, HOWEVER, THAT ANY SUCH
PROCEEDING UNDER ARTICLE SEVENTY-EIGHT OF THE CIVIL PRACTICE LAW AND
RULES SHALL NOT BE INSTITUTED UNLESS:
A. THE AMOUNT OF ANY TAX SOUGHT TO BE REVIEWED, WITH SUCH INTEREST AND
PENALTIES THEREON AS MAY BE PROVIDED FOR BY LOCAL LAW SHALL BE FIRST
DEPOSITED AND THERE IS FILED AN UNDERTAKING, ISSUED BY A SURETY COMPANY
AUTHORIZED TO TRANSACT BUSINESS IN THIS STATE AND APPROVED BY THE SUPER-
INTENDENT OF FINANCIAL SERVICES OF THIS STATE AS TO SOLVENCY AND RESPON-
SIBILITY, IN SUCH AMOUNT AS A JUSTICE OF THE SUPREME COURT SHALL APPROVE
TO THE EFFECT THAT IF SUCH PROCEEDING BE DISMISSED OR THE TAX CONFIRMED
THE PETITIONER WILL PAY ALL COSTS AND CHARGES WHICH MAY ACCRUE IN THE
PROSECUTION OF SUCH PROCEEDING; OR
B. AT THE OPTION OF THE PETITIONER SUCH UNDERTAKING MAY BE IN A SUM
SUFFICIENT TO COVER THE TAXES, INTERESTS AND PENALTIES STATED IN SUCH
DETERMINATION PLUS THE COSTS AND CHARGES WHICH MAY ACCRUE AGAINST IT IN
THE PROSECUTION OF THE PROCEEDING, IN WHICH EVENT THE PETITIONER SHALL
S. 8064 3
NOT BE REQUIRED TO PAY SUCH TAXES, INTEREST OR PENALTIES AS A CONDITION
PRECEDENT TO THE APPLICATION.
(7) WHERE ANY TAX IMPOSED UNDER THIS SECTION SHALL HAVE BEEN ERRO-
NEOUSLY, ILLEGALLY OR UNCONSTITUTIONALLY COLLECTED AND APPLICATION FOR
THE REFUND THEREOF DULY MADE TO THE PROPER FISCAL OFFICER OR OFFICERS,
AND SUCH OFFICER OR OFFICERS SHALL HAVE MADE A DETERMINATION DENYING
SUCH REFUND, SUCH DETERMINATION SHALL BE REVIEWABLE BY A PROCEEDING
UNDER ARTICLE SEVENTY-EIGHT OF THE CIVIL PRACTICE LAW AND RULES,
PROVIDED, HOWEVER, THAT SUCH PROCEEDING IS INSTITUTED WITHIN THIRTY DAYS
AFTER THE GIVING OF THE NOTICE OF SUCH DENIAL, THAT A FINAL DETERMI-
NATION OF TAX DUE WAS NOT PREVIOUSLY MADE, AND THAT AN UNDERTAKING IS
FILED WITH THE PROPER FISCAL OFFICER OR OFFICERS IN SUCH AMOUNT AND WITH
SUCH SURETIES AS A JUSTICE OF THE SUPREME COURT SHALL APPROVE TO THE
EFFECT THAT IF SUCH PROCEEDING BE DISMISSED OR THE TAX CONFIRMED, THE
PETITIONER WILL PAY ALL COSTS AND CHARGES WHICH MAY ACCRUE IN THE PROSE-
CUTION OF SUCH PROCEEDING.
(8) EXCEPT IN THE CASE OF A WILFULLY FALSE OR FRAUDULENT RETURN WITH
INTENT TO EVADE THE TAX, NO ASSESSMENT OF ADDITIONAL TAX SHALL BE MADE
AFTER THE EXPIRATION OF MORE THAN THREE YEARS FROM THE DATE OF THE
FILING OF A RETURN, PROVIDED, HOWEVER, THAT WHERE NO RETURN HAS BEEN
FILED AS PROVIDED BY LAW THE TAX MAY BE ASSESSED AT ANY TIME.
(9) ALL REVENUES RESULTING FROM THE IMPOSITION OF THE TAX UNDER THE
LOCAL LAWS SHALL BE PAID INTO THE TREASURY OF THE TOWN OF WALLKILL AND
SHALL BE CREDITED TO AND DEPOSITED IN THE GENERAL FUND OF THE TOWN. SUCH
REVENUES MAY BE USED FOR ANY LAWFUL PURPOSE.
(10) EACH ENACTMENT OF SUCH A LOCAL LAW MAY PROVIDE FOR THE IMPOSITION
OF A HOTEL OR MOTEL TAX FOR A PERIOD OF TIME NO LONGER THAN THREE YEARS
FROM THE DATE OF ITS ENACTMENT. NOTHING IN THIS SECTION SHALL PROHIBIT
THE ADOPTION AND ENACTMENT OF LOCAL LAWS, PURSUANT TO THE PROVISIONS OF
THIS SECTION, UPON THE EXPIRATION OF ANY OTHER LOCAL LAW ADOPTED PURSU-
ANT TO THIS SECTION.
(11) IF ANY PROVISION OF THIS SECTION OR THE APPLICATION THEREOF TO
ANY PERSON OR CIRCUMSTANCE SHALL BE HELD INVALID, THE REMAINDER OF THIS
SECTION AND THE APPLICATION OF SUCH PROVISION TO OTHER PERSONS OR
CIRCUMSTANCES SHALL NOT BE AFFECTED THEREBY.
§ 2. This act shall take effect immediately and shall expire and be
deemed repealed September 1, 2023.
