Senate Approves Padavan's Legislation Authorizing The City Council To Eliminate NYC Home Heating Tax

With oil prices and home heating bills reaching record highs, the state Senate today passed Senator Frank Padavan’s (Queens) legislation (S.6542) that continues the legislative authorization for the New York City Council to repeal the City’s sales tax on residential home heating fuel.

 “As oil prices reach over $100 a barrel, the cost for home heating fuel continues to skyrocket,” Padavan said. “The legislation passed today with bipartisan support reinforces the need for quick action by the City Council to help New York City residents faced with escalating heating bills this winter. Sadly, the City Council’s stonewalling and inaction on eliminating the city sales tax on home heating fuel has cost City residents millions in essential tax relief.”
 
 In 2006, following enactment of legislation sponsored by Senator Padavan, the state empowered the City of New York to reduce or eliminate their portion of the sales tax imposed on home heating fuel. However, the City Council refused to act, placing an unfair financial burden upon millions of City residents. Currently, the City of New York imposes a 4 percent sales tax on residential home heating fuel. There is no state sales tax on home heating fuel.

 “The City Council has the authority to follow the lead of the State Legislature and nearly 40 counties from throughout New York state and reduced or eliminate their portion of the sales tax on home heating fuel,” Padavan said. “Still, to the dismay of overburden City residents, the City Council has failed to act.”

 “With increased costs everywhere they turn, Queens families and seniors are finding it increasingly difficult to make ends meet,” Padavan said. “Eliminating the city sales tax on home heating fuel is an important and necessary step in the right direction in helping to alleviate the pressure many City residents are feeling on their household budgets.”