BILL NUMBER: S2557

SPONSOR: HOYLMAN-SIGAL
 
TITLE OF BILL:

An act to repeal subdivision (jj) of section 1115 of the tax law relat-
ing to sales and compensating use taxes imposed with respect to vessels;
and to repeal subdivision 13 of section 1118 of the tax law relating to
sales and compensating use taxes imposed with respect to vessels

 
PURPOSE OF BILL:

The purpose of this legislation is to reinstate the sales tax on luxury
yachts costing more than $230,000.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1 of the bill repeals subdivision (jj) of section 1115 of the
tax law, as added by section 1 of part SS of chapter 59 of the laws of
2015.

Section 2 of the bill repeals subdivision 13 of section 1118 of the tax
              

law, as added by section 2 of part SS of chapter 59 of the laws of 2015.

Section 3 of the bill is the effective date.

 
JUSTIFICATION:

The 2015 state budget created an exemption from sales and compensating
use taxes for luxury yachts and other vessels with a value of over
$230,000.

At a time when New York State is facing difficult budgetary decisions,
we should look first at reversing or repealing recent tax cuts like this
one before cutting services or programs that aid poor, vulnerable, and
working class New Yorkers.

 
PRIOR LEGISLATIVE HISTORY:

S.0430 of 2021-2022 (Hoylman): Died in Budget and Revenue

A.0555 of 2021-2022 (Carroll): Died in Ways and Means

S.7136 of 2020 (Hoylman): Died in Budget and Revenue

A.9045 of 2020(Carroll): Died in Ways and Means

 
FISCAL IMPLICATIONS:

Would result in revenue generated for the state.

 
EFFECTIVE DATE:
This act shall take effect June 1, 2023.