STATE OF NEW YORK ________________________________________________________________________ 3726 2019-2020 Regular Sessions IN ASSEMBLY January 30, 2019 ___________ Introduced by M. of A. DINOWITZ, HYNDMAN, JEAN-PIERRE -- read once and referred to the Committee on Ways and Means AN ACT to amend the tax law, in relation to providing an exemption for tangible personal property and services sold by a cemetery; in relation to establishing an amnesty program for cemetery corporations The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Declaration of policy. The people of this state have a 2 vital interest in the maintenance and preservation of cemetery corpo- 3 rations to prevent them from becoming a burden upon local governments 4 and the community. The preservation of cemetery funds is vital to the 5 long-term maintenance and preservation of these burial grounds to 6 prevent abandonment and dilapidation. In order to preserve this order, 7 and the uniqueness of cemetery corporations, clarifications of cemetery 8 sales tax collections are necessary. 9 § 2. Subdivision (a) of section 1115 of the tax law is amended by 10 adding a new paragraph 7-a to read as follows: 11 (7-a) Tangible personal property and services sold by a cemetery for 12 the exclusive use on the grounds and in the buildings of the cemetery 13 corporation including but not limited to the additional services 14 provided by a cemetery as defined in paragraph (b) of section fifteen 15 hundred nine of the not-for-profit corporation law and for the mainte- 16 nance and preservation of lots, plots and parts thereof. 17 § 3. Subdivision (a) of section 1116 of the tax law is amended by 18 adding a new paragraph 10 to read as follows: 19 (10) A cemetery corporation, as defined in paragraph (a) of section 20 fifteen hundred two of the not-for-profit corporation law, including but 21 not limited to those cemeteries regulated by the religious corporations 22 law where it is the purchaser, user, or consumer, or where it is the 23 vendor of services or property exclusively to be used on the grounds or 24 buildings of the corporation. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD01251-01-9A. 3726 2 1 § 4. The tax law is amended by adding a new section 1149 to read as 2 follows: 3 § 1149. Amnesty program. (a) Notwithstanding the provisions of any 4 other law to the contrary, there is hereby established an amnesty 5 program as described herein, to be administered by the commissioner, to 6 be effective for the period as prescribed by such commissioner, for all 7 eligible taxpayers as described herein, owing any tax or surcharge 8 imposed or formerly imposed by sections eleven hundred five and eleven 9 hundred ten of this article, and administered by such commissioner. 10 (b) Such amnesty program shall apply to tax liabilities for the taxes 11 set forth in sections eleven hundred five and eleven hundred ten of this 12 article for taxable periods ending or transactions or uses occurring on 13 or before December thirty-first, two thousand nineteen. 14 (c) For purposes of the amnesty program established under this 15 section, an eligible taxpayer is a cemetery corporation as defined by 16 paragraph (a) of section fifteen hundred two of the not-for-profit 17 corporation law who or which has a tax liability with regard to one or 18 more of the designated taxes for the period of time described in subdi- 19 vision (b) of this section. 20 (d) The amnesty program established herein shall provide, that upon 21 application, including applicable returns, which application and returns 22 shall be in such form and submitted in such manner as prescribed by the 23 commissioner, by an eligible taxpayer, and upon payment in such form and 24 in such manner as prescribed by such commissioner, which payment shall 25 either accompany such application or be made within the time stated on a 26 bill issued by such commissioner to such taxpayer, of the amount of a 27 tax liability under one or more of the designated taxes with respect to 28 which amnesty is sought, such commissioner shall waive any applicable 29 penalties and interest (including the additional rate of interest 30 prescribed under section eleven hundred forty-five of this part). In 31 addition, no civil, administrative or criminal action or proceeding 32 shall be brought against such an eligible taxpayer relating to the tax 33 liability covered by such waiver. Failure to pay all such taxes by the 34 later of March fifteenth, two thousand twenty, or the date prescribed 35 therefor on a bill issued by such commissioner, shall invalidate any 36 amnesty granted pursuant to the amnesty program established under this 37 section. 38 (e) Amnesty tax return forms shall be in a form, contain such informa- 39 tion and be submitted as prescribed by the commissioner and shall 40 provide for specifications by the applicant of the tax liability with 41 respect to which amnesty is sought. The applicant must also provide such 42 additional information as is required by such commissioner. Amnesty 43 shall be granted only with respect to the tax liabilities specified by 44 the taxpayer on such forms. Any return or report filed under the amnesty 45 program established herein is subject to verification and assessment as 46 provided by statute. If the applicant files a false or fraudulent tax 47 return or report, or attempts in any manner to defeat or evade a tax 48 under the amnesty program, amnesty shall be denied or rescinded. 49 (f) With respect to any existing installment payment agreement of an 50 eligible taxpayer, where such agreement applies to a tax liability with 51 respect to which amnesty is sought by such taxpayer, notwithstanding any 52 terms of such agreement to the contrary, such taxpayer, as a condition 53 of receiving amnesty, must pay any such liability in full by the later 54 of the last day of the prescribed amnesty period, or the date prescribed 55 therefor on a bill issued by the commissioner.A. 3726 3 1 (g) The commissioner may promulgate regulations, issue forms and 2 instructions and take any and all other actions necessary to implement 3 the provisions of the amnesty program established under this section. 4 Such commissioner shall publicize the amnesty program provided for in 5 this section so as to maximize public awareness of and participation in 6 such program. 7 § 5. On or before February 28, 2022, the commissioner of taxation and 8 finance shall submit a report to the chairperson of the assembly ways 9 and means committee, the ranking minority member of the assembly ways 10 and means committee, the chairperson of the senate finance committee, 11 the ranking minority member of the senate finance committee and the 12 director of the budget regarding the amnesty program established pursu- 13 ant to this act. The report shall contain the following information as 14 of the report cutoff date: (i) the gross revenue collected under each 15 tax and the year or other applicable period for or during which the 16 liability was incurred; (ii) the amount of money spent on advertising, 17 notification, and outreach activities, by each activity, and a 18 description of the form and content of such activities, by each activ- 19 ity; (iii) the amount paid by the department of taxation and finance for 20 services and expenses related to the establishment of the amnesty 21 program; and (iv) an estimate of the net revenue generated from the 22 amnesty program. 23 § 6. This act shall take effect immediately.