S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4601
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                             February 10, 2025
                                ___________
 
 Introduced by Sen. GOUNARDES -- read twice and ordered printed, and when
   printed to be committed to the Committee on Budget and Revenue
 
 AN  ACT  to  amend the tax law, in relation to exempting school supplies
   from sales tax during a specified period each year
 
   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) SCHOOL SUPPLIES OR ITEMS COMMONLY USED BY A STUDENT IN  A  COURSE
 OF  STUDY  FOR WHICH THE RECEIPT OR CONSIDERATION GIVEN OR CONTRACTED TO
 BE GIVEN IS LESS THAN ONE HUNDRED TEN DOLLARS FOR  THE  TOTAL  PURCHASE,
 WHICH  SHALL  INCLUDE,  BUT  NOT  BE LIMITED TO, BOOK BAGS OR BACKPACKS,
 TEXTBOOKS, PENS, PENCILS, HIGHLIGHTERS, CRAYONS, MARKERS, ERASERS, INDEX
 CARDS, PAPER, NOTEBOOKS, BINDERS, FOLDERS, SCISSORS, RULERS, AND  CALCU-
 LATORS. ONLY THE PURCHASES MADE DURING THE FIFTEEN-DAY PERIOD COMMENCING
 ON  THE  FIFTEENTH DAY IMMEDIATELY PRECEDING THE FIRST MONDAY IN SEPTEM-
 BER, KNOWN AS LABOR DAY, AND ENDING ON LABOR DAY, DURING  EACH  CALENDAR
 YEAR SHALL BE EXEMPT UNDER THIS PARAGRAPH.
   § 2. 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:
   (1) Either, all of the taxes described in article twenty-eight of this
 chapter, at the same uniform rate, as to which taxes all  provisions  of
 the  local  laws, ordinances or resolutions imposing such taxes shall be
 identical, except as to rate and except as otherwise provided, with  the
 corresponding  provisions  in  such  article twenty-eight, including the
 definition and exemption provisions of  such  article,  so  far  as  the
 provisions  of  such  article twenty-eight can be made applicable to the
 taxes imposed by such city or  county  and  with  such  limitations  and
 special  provisions  as are set forth in this article. The taxes author-
 ized under this subdivision may not be  imposed  by  a  city  or  county
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD05617-02-5
              

 S. 4601                             2
 
 unless  the  local law, ordinance or resolution imposes such taxes so as
 to include all portions and all types of  receipts,  charges  or  rents,
 subject  to  state  tax  under  sections  eleven hundred five and eleven
 hundred  ten  of  this  chapter, except as otherwise provided.  Notwith-
 standing the foregoing, a tax imposed by a  city  or  county  authorized
 under  this subdivision shall not include the tax imposed on charges for
 admission to race tracks and simulcast facilities under subdivision  (f)
 of section eleven hundred five of this chapter. (i) Any local law, ordi-
 nance  or  resolution enacted by any city of less than one million or by
 any county or school district, imposing the  taxes  authorized  by  this
 subdivision,  shall, notwithstanding any provision of law to the contra-
 ry, exclude from the operation of such local taxes all sales of tangible
 personal property for use or consumption directly and  predominantly  in
 the  production of tangible personal property, gas, electricity, refrig-
 eration or steam, for sale, by  manufacturing,  processing,  generating,
 assembly,  refining,  mining  or  extracting;  and all sales of tangible
 personal property for use or consumption  predominantly  either  in  the
 production  of  tangible personal property, for sale, by farming or in a
 commercial horse boarding operation, or in both; and all sales  of  fuel
 sold  for use in commercial aircraft and general aviation aircraft; and,
 unless such city, county or school district elects otherwise, shall omit
 the provision for credit or refund contained in clause six  of  subdivi-
 sion  (a)  or subdivision (d) of section eleven hundred nineteen of this
 chapter. (ii) Any local law, ordinance  or  resolution  enacted  by  any
 city,  county  or school district, imposing the taxes authorized by this
 subdivision, shall omit the residential solar energy  systems  equipment
 and  electricity exemption provided for in subdivision (ee), the commer-
 cial 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 SCHOOL SUPPLIES OR ITEMS
 COMMONLY  USED  BY A STUDENT IN A COURSE OF STUDY 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 equip-
 ment and electricity exemption, commercial fuel cell electricity  gener-
 ating  systems  equipment  and  electricity  generated by such equipment
 exemption [or], such clothing and footwear  exemption,  OR  SUCH  SCHOOL
 SUPPLIES  OR  ITEMS  COMMONLY  USED  BY  A  STUDENT IN A COURSE OF STUDY
 EXEMPTION.
   § 3. Paragraph 4 of subdivision (a) of section 1210 of the tax law, as
 amended by section 2 of part WW, subparagraphs (xii) and (xiii) as sepa-
 rately amended and subparagraph (xiv) as added by section 6 of part Z of
 chapter 60 of the laws of 2016, is amended to read as follows:
   (4) Notwithstanding any other provision of law to  the  contrary,  any
 local  law  enacted  by any city of one million or more that imposes the
 taxes authorized by this subdivision (i) may omit the exception provided
 in subparagraph (ii) of paragraph three of subdivision  (c)  of  section
 eleven  hundred  five of this chapter for receipts from laundering, dry-
 cleaning, tailoring, weaving, pressing, shoe repairing and shoe shining;
 (ii) may impose the tax described in paragraph six of subdivision (c) of
 section eleven hundred five of this chapter at a rate in addition to the
 rate prescribed by this section not to exceed two percent  in  multiples
 S. 4601                             3
 
 of  one-half  of one percent; (iii) shall provide that the tax described
 in paragraph six of subdivision (c) of section eleven  hundred  five  of
 this chapter does not apply to facilities owned and operated by the city
 or  an agency or instrumentality of the city or a public corporation the
 majority of whose members are appointed by the chief  executive  officer
 of  the  city  or the legislative body of the city or both of them; (iv)
 shall not include any tax on receipts from, or the use of, the  services
 described  in  paragraph  seven  of  subdivision  (c)  of section eleven
 hundred five of this chapter; (v) shall provide that,  for  purposes  of
 the  tax  described in subdivision (e) of section eleven hundred five of
 this chapter, "permanent resident" means any occupant  of  any  room  or
 rooms  in  a hotel for at least one hundred eighty consecutive days with
 regard to the period of such occupancy;  (vi)  may  omit  the  exception
 provided  in  paragraph one of subdivision (f) of section eleven hundred
 five of this chapter for charges to a patron for admission  to,  or  use
 of,  facilities  for  sporting activities in which the patron is to be a
 participant, such as  bowling  alleys  and  swimming  pools;  (vii)  may
 provide  the  clothing  and  footwear  exemption  in paragraph thirty of
 subdivision (a) of section eleven hundred fifteen of this chapter,  and,
 notwithstanding  any provision of subdivision (d) of this section to the
 contrary, any local law providing for such exemption or  repealing  such
 exemption,  may  go into effect on any one of the following dates: March
 first, June first, September first or December first; (viii) shall  omit
 the  exemption  provided  in  paragraph  forty-one of subdivision (a) of
 section eleven hundred fifteen of this  chapter;  (ix)  shall  omit  the
 exemption  provided in subdivision (c) of section eleven hundred fifteen
 of this chapter insofar as it applies to fuel, gas, electricity, refrig-
 eration and steam, and gas, electric, refrigeration and steam service of
 whatever nature for use or consumption directly and exclusively  in  the
 production  of gas, electricity, refrigeration or steam; (x) shall omit,
 unless such city elects otherwise, the provision for  refund  or  credit
 contained  in  clause  six  of  subdivision (a) or in subdivision (d) of
 section eleven hundred nineteen  of  this  chapter;  (xii)  shall  omit,
 unless  such  city elects otherwise, the exemption for residential solar
 energy systems equipment and electricity provided in subdivision (ee) of
 section eleven hundred fifteen  of  this  chapter;  (xiii)  shall  omit,
 unless  such  city  elects otherwise, the exemption for commercial solar
 energy systems equipment and electricity provided in subdivision (ii) of
 section eleven hundred  fifteen  of  this  chapter;  [and]  (xiv)  shall
 exclude  from  the  operation of such local taxes all sales of fuel sold
 for use in commercial aircraft and general aviation aircraft[.   (xiv)];
 (XV)  shall  omit,  unless such city elects otherwise, the exemption for
 commercial fuel cell electricity generating systems equipment and  elec-
 tricity  generated  by  such  equipment  provided in subdivision (kk) of
 section eleven hundred fifteen  of  this  chapter[.];  AND    (XVI)  MAY
 PROVIDE  THE  SCHOOL  SUPPLIES AND ITEMS COMMONLY USED BY A STUDENT IN A
 COURSE OF STUDY EXEMPTION  IN  PARAGRAPH   FORTY-SEVEN   OF  SUBDIVISION
 (A)  OF  SECTION  ELEVEN  HUNDRED FIFTEEN OF THIS CHAPTER, AND, NOTWITH-
 STANDING ANY PROVISION OF SUBDIVISION  (D)  OF  THIS  SECTION  TO    THE
 CONTRARY,  ANY  LOCAL LAW PROVIDING FOR SUCH EXEMPTION OR REPEALING SUCH
 EXEMPTION,  MAY  BE  APPLICABLE  ONLY  TO  THE PURCHASES MADE DURING THE
 FIFTEEN-DAY PERIOD COMMENCING ON THE FIFTEENTH DAY IMMEDIATELY PRECEDING
 THE FIRST MONDAY IN SEPTEMBER, KNOWN AS LABOR DAY, AND ENDING  ON  LABOR
 DAY,  DURING EACH CALENDAR YEAR. Any reference in this chapter or in any
 local law, ordinance or resolution enacted pursuant to the authority  of
 this  article to former subdivisions (n) or (p) of this section shall be
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 deemed to be a reference to clauses (xii) or (xiii) of  this  paragraph,
 respectively,  and  any  such  local  law,  ordinance or resolution that
 provides the exemptions provided in such former subdivisions (n)  and/or
 (p) shall be deemed instead to provide the exemptions provided in claus-
 es (xii) and/or (xiii) of this paragraph.
   § 4. This act shall take effect immediately and shall be applicable to
 taxable  periods  beginning  on  and after August first in the year next
 succeeding the year in which it shall have become a law.