S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5455
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                               March 6, 2023
                                ___________
 
 Introduced by Sens. JACKSON, LIU, MAY -- read twice and ordered printed,
   and when printed to be committed to the Committee on Budget and Reven-
   ue
 
 AN  ACT  to  amend the tax law, in relation to exempting the sale of the
   first thirty-five thousand dollars of a battery, electric, or  plug-in
   hybrid  electric  vehicle from state sales and compensating use taxes,
   and to authorize cities and counties to elect 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 47 to read as follows:
   (47) THE RECEIPTS FROM THE FIRST THIRTY-FIVE THOUSAND DOLLARS  OF  THE
 RETAIL SALE OR LEASE OF A NEW BATTERY, ELECTRIC, OR PLUG-IN HYBRID ELEC-
 TRIC  VEHICLE.  FOR  PURPOSES OF THIS PARAGRAPH THE TERM "BATTERY, ELEC-
 TRIC, OR PLUG-IN HYBRID ELECTRIC VEHICLE"  MEANS  A  MOTOR  VEHICLE,  AS
 DEFINED  IN  SECTION  ONE HUNDRED TWENTY-FIVE OF THE VEHICLE AND TRAFFIC
 LAW, THAT:
   (I) HAS FOUR WHEELS;
   (II) WAS MANUFACTURED FOR USE PRIMARILY ON PUBLIC STREETS,  ROADS  AND
 HIGHWAYS;
   (III)  THE POWERTRAIN OF WHICH HAS NOT BEEN MODIFIED FROM THE ORIGINAL
 MANUFACTURER'S SPECIFICATIONS;
   (IV) IS RATED AT NOT MORE THAN  EIGHT  THOUSAND  FIVE  HUNDRED  POUNDS
 GROSS VEHICLE WEIGHT;
   (V)  HAS  A  MAXIMUM SPEED CAPABILITY OF AT LEAST FIFTY-FIVE MILES PER
 HOUR; AND
   (VI) IS PROPELLED AT LEAST IN PART BY AN ELECTRONIC MOTOR AND  ASSOCI-
 ATED  POWER  ELECTRONICS  WHICH PROVIDE ACCELERATION TORQUE TO THE DRIVE
 WHEELS SOMETIME DURING NORMAL VEHICLE OPERATION, AND  THAT  DRAWS  ELEC-
 TRICITY FROM A BATTERY THAT:
   (A) HAS A CAPACITY OF NOT LESS THAN FOUR KILOWATT HOURS; AND

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD04065-02-3
              

 S. 5455                             2
 
   (B) IS CAPABLE OF BEING RECHARGED FROM AN EXTERNAL SOURCE OF ELECTRIC-
 ITY.
   §  2.  Section 1160 of the tax law is amended by adding a new subdivi-
 sion (d) to read as follows:
   (D) THE NEW BATTERY, ELECTRIC, OR  PLUG-IN  HYBRID  ELECTRIC  VEHICLES
 EXEMPTION  PROVIDED  FOR  IN PARAGRAPH FORTY-SEVEN 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.
   §  3.  Subparagraph  (ii) of paragraph 1 of subdivision (a) of section
 1210 of the tax law, as amended by section 5 of part J of chapter 59  of
 the laws of 2021, 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 of subdivision (a) of section
 eleven  hundred  fifteen  of this chapter, AND THE BATTERY, ELECTRIC, OR
 PLUG-IN HYBRID ELECTRIC VEHICLE  EXEMPTION  PROVIDED  FOR  IN  PARAGRAPH
 FORTY-SEVEN OF SUBDIVISION (A) OF SECTION ELEVEN HUNDRED FIFTEEN OF THIS
 CHAPTER  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  BATTERY,  ELECTRIC,  OR
 PLUG-IN  HYBRID  ELECTRIC  VEHICLE  EXEMPTION  PROVIDED FOR IN PARAGRAPH
 FORTY-SEVEN OF SUBDIVISION (A) OF SECTION ELEVEN HUNDRED FIFTEEN OF THIS
 CHAPTER.
   § 4.  Paragraph 47 of subdivision (a) of section 1115 of the tax  law,
 as added by section one of this act, is amended to read as follows:
   (47)  The  receipts from the first thirty-five thousand dollars of the
 retail sale or lease of a new battery[,] OR electric[, or plug-in hybrid
 electric] vehicle. For purposes of this paragraph the  term  "battery[,]
 OR  electric[,  or plug-in hybrid electric] vehicle" means a motor vehi-
 cle, as defined in section one hundred twenty-five of  the  vehicle  and
 traffic law, that:
   (i) has four wheels;
   (ii)  was  manufactured for use primarily on public streets, roads and
 highways;
   (iii) the powertrain of which has not been modified from the  original
 manufacturer's specifications;
   (iv)  is  rated  at  not  more than eight thousand five hundred pounds
 gross vehicle weight;
   (v) has a maximum speed capability of at least  fifty-five  miles  per
 hour; and
   (vi)  is propelled [at least in part] by an electronic motor and asso-
 ciated power electronics which provide acceleration torque to the  drive
 wheels  sometime  during  normal vehicle operation, and that draws elec-
 tricity from a battery that:
   (A) has a capacity of not less than four kilowatt hours; and
   (B) is capable of being recharged from an external source of electric-
 ity.
 S. 5455                             3
 
   § 5. Subdivision (d) of section 1160 of  the  tax  law,  as  added  by
 section two of this act, is amended to read as follows:
   (d) The new battery[,] OR electric[, or plug-in hybrid electric] vehi-
 cles  exemption provided for in paragraph forty-seven 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.
   §  6.  Subparagraph  (ii) of paragraph 1 of subdivision (a) of section
 1210 of the tax law, as amended by section three of this act, 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), the clothing and footwear exemption
 provided for in paragraph thirty of subdivision (a)  of  section  eleven
 hundred  fifteen  of  this  chapter, and the battery[,] OR electric[, or
 plug-in hybrid electric] vehicle exemption  provided  for  in  paragraph
 forty-seven of subdivision (a) of section eleven hundred fifteen of this
 chapter  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, such
 clothing and footwear exemption, or such  battery[,]  OR  electric[,  or
 plug-in  hybrid  electric]  vehicle  exemption provided for in paragraph
 forty-seven of subdivision (a) of section eleven hundred fifteen of this
 chapter.
   § 7. This act shall take effect on the first day of a sales tax  quar-
 terly period, as described in subdivision (b) of section 1136 of the tax
 law,  beginning at least one hundred twenty days after the date this act
 shall have become a law and shall apply to sales made on or  after  such
 date;  provided,  however,  that sections four, five and six of this act
 shall take effect ten years after such effective date and shall apply to
 sales made on and after such date.