Bill Text: NY S01600 | 2017-2018 | General Assembly | Introduced
Bill Title: Eliminates provisions of law that require the payment and subsequent refund of the ten cent diesel excise tax and sales tax on diesel motor fuel when sold to operators of commercial fishing vessels for use in the operation of such vessels.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2018-01-03 - REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS [S01600 Detail]
Download: New_York-2017-S01600-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ S. 1600 A. 938 2017-2018 Regular Sessions SENATE - ASSEMBLY January 10, 2017 ___________ IN SENATE -- Introduced by Sen. LAVALLE -- read twice and ordered print- ed, and when printed to be committed to the Committee on Investi- gations and Government Operations IN ASSEMBLY -- Introduced by M. of A. THIELE -- Multi-Sponsored by -- M. of A. MURRAY -- read once and referred to the Committee on Ways and Means AN ACT to amend the tax law, in relation to providing an exemption from the payment of the motor fuels tax and the sales tax on motor fuels used in the operation of commercial fishing vessels The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Paragraph (b) of subdivision 3 of section 282-a of the tax 2 law, as amended by section 3 of part W of chapter 59 of the laws of 3 2013, is amended to read as follows: 4 (b) The tax on the incidence of sale or use imposed by subdivision one 5 of this section shall not apply to: (i) the sale or use of non-highway 6 Diesel motor fuel, but only if all of such fuel is consumed other than 7 on the public highways of this state (except for the use of the public 8 highway by farmers to reach adjacent farmlands); provided, however, this 9 exemption shall in no event apply to a sale of non-highway Diesel motor 10 fuel which involves a delivery at a filling station or into a repository 11 which is equipped with a hose or other apparatus by which such fuel can 12 be dispensed into the fuel tank of a motor vehicle (except for delivery 13 at a farm site which qualifies for the exemption under subdivision (g) 14 of section three hundred one-b of this chapter); or (ii) a sale to the 15 consumer consisting of not more than twenty gallons of water-white kero- 16 sene to be used and consumed exclusively for heating purposes; or (iii) 17 the sale to or delivery at a filling station or other retail vendor of 18 water-white kerosene provided such filling station or other retail 19 vendor only sells such water-white kerosene exclusively for heating EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD02091-01-7S. 1600 2 A. 938 1 purposes in containers of no more than twenty gallons; or (iv) a sale of 2 kero-jet fuel to an airline for use in its airplanes or a use of kero- 3 jet fuel by an airline in its airplanes; or (v) a sale of kero-jet fuel 4 by a registered distributor of Diesel motor fuel to a fixed base opera- 5 tor registered under this article as a distributor of kero-jet fuel only 6 where such fixed base operator is engaged solely in making or offering 7 to make retail sales not in bulk of kero-jet fuel directly into the fuel 8 tank of an airplane for the purpose of operating such airplane; or (vi) 9 a retail sale not in bulk of kero-jet fuel by a fixed base operator 10 registered under this article as a distributor of kero-jet fuel only 11 where such fuel is delivered directly into the fuel tank of an airplane 12 for use in the operation of such airplane; or (vii) the sale of previ- 13 ously untaxed qualified biodiesel to a person registered under this 14 article as a distributor of Diesel motor fuel other than (A) a retail 15 sale to such person or (B) a sale to such person which involves a deliv- 16 ery at a filling station or into a repository which is equipped with a 17 hose or other apparatus by which such qualified biodiesel can be 18 dispensed into the fuel tank of a motor vehicle; or (viii) the sale of 19 previously untaxed highway Diesel motor fuel by a person registered 20 under this article as a distributor of Diesel motor fuel to a person 21 registered under this article as a distributor of Diesel motor fuel 22 where the highway Diesel motor fuel is either: (A) being delivered by 23 pipeline, railcar, barge, tanker or other vessel to a terminal, the 24 operator of which terminal is registered under section two hundred 25 eighty-three-b of this article, or (B) within such a terminal where it 26 has been so delivered. Provided, however, that the exemption set forth 27 in this subparagraph shall not apply to any highway Diesel motor fuel if 28 it is removed from a terminal, other than by pipeline, barge, tanker or 29 other vessel; or (ix) a sale of Diesel motor fuel to a "commercial fish- 30 erman", as such term is defined in subdivision (i) of section three 31 hundred of this chapter, at retail under the circumstances set forth in 32 paragraph one of subdivision (g) of section three hundred one-c of this 33 chapter, and where such commercial fishing vessel is operated by a 34 commercial fisherman. 35 § 2. Subdivision 4 of section 282-a of the tax law, as amended by 36 section 5 of part K of chapter 61 of the laws of 2011, is amended to 37 read as follows: 38 4. The tax imposed by this section on Diesel motor fuel shall be 39 passed through by the seller and included as part of the selling price 40 to each purchaser of such fuel. Provided, however, the amount of the tax 41 imposed by this section may be excluded from the selling price of Diesel 42 motor fuel where (i) a sale of Diesel motor fuel is made to an organiza- 43 tion described in paragraph (a) of subdivision three of this section 44 solely for the purpose stated therein; (ii) a sale of non-highway Diesel 45 motor fuel is made to a consumer but only if such non-highway Diesel 46 motor fuel is not delivered to a filling station, nor delivered into a 47 storage tank which is equipped with a hose or other apparatus by which 48 such fuel can be dispensed into the fuel tank of a motor vehicle; or 49 (iii) the sale to or delivery at a filling station or other retail 50 vendor of water-white kerosene provided such filling station or other 51 retail vendor only sells such water-white kerosene exclusively for heat- 52 ing purposes in containers of no more than twenty gallons; or (iv) a 53 sale of kero-jet fuel is made to an airline for use in its airplanes; or 54 (v) a sale of Diesel motor fuel is made to a "commercial fisherman", as 55 such term is defined in subdivision (i) of section three hundred of this 56 chapter, at retail under the circumstances set forth in paragraph one ofS. 1600 3 A. 938 1 subdivision (g) of section three hundred one-c of this chapter, and 2 where such commercial fishing vessel is operated by a commercial fisher- 3 man. 4 § 3. Section 301-b of the tax law is amended by adding a new subdivi- 5 sion (j) to read as follows: 6 (j) Sales or uses of diesel motor fuel and residual petroleum product 7 for commercial fishing. Diesel motor fuel or residual petroleum product 8 sold to or used by a "commercial fisherman", as such term is defined in 9 subdivision (i) of section three hundred of this article, at retail 10 under the circumstances set forth in paragraph one of subdivision (g) of 11 section three hundred one-c of this article, and where such commercial 12 fishing vessel is operated by a commercial fisherman. 13 § 4. Subdivision (j) of section 1115 of the tax law, as amended by 14 section 41 of part K of chapter 61 of the laws of 2011, is amended to 15 read as follows: 16 (j) The exemptions provided in this section shall not apply to the tax 17 required to be prepaid pursuant to the provisions of section eleven 18 hundred two of this article nor to the taxes imposed by sections eleven 19 hundred five and eleven hundred ten of this article with respect to 20 receipts from sales and uses of motor fuel or diesel motor fuel, except 21 that the exemptions provided in paragraphs nine and forty-two of subdi- 22 vision (a) of this section shall apply to the tax required to be prepaid 23 pursuant to the provisions of section eleven hundred two of this article 24 and to the taxes imposed by sections eleven hundred five and eleven 25 hundred ten of this article with respect to sales and uses of kero-jet 26 fuel, CNG, hydrogen and E85, provided, however, the exemption allowed 27 for E85 shall be subject to the additional requirements provided in 28 section eleven hundred two of this article with respect to E85 and 29 except that the exemption provided in paragraph twenty-four of subdivi- 30 sion (a) of this section shall apply to the taxes imposed by sections 31 eleven hundred five and eleven hundred ten of this article with respect 32 to sales and uses of diesel motor fuel used in the operation of a fish- 33 ing vessel as described in paragraph twenty-four of subdivision (a) of 34 this section. The exemption provided in subdivision (c) of this section 35 shall apply to sales and uses of non-highway diesel motor fuel but only 36 if all of such fuel is consumed other than on the public highways of 37 this state. The exemption provided in subdivision (c) of this section 38 shall apply to sales and uses of non-highway diesel motor fuel for use 39 or consumption either in the production for sale of tangible personal 40 property by farming or in a commercial horse boarding operation, or in 41 both but only if all of such fuel is consumed other than on the public 42 highways of this state (except for the use of the public highways to 43 reach adjacent farmlands or adjacent lands used in a commercial horse 44 boarding operation, or both). 45 § 5. Subdivision (j) of section 1115 of the tax law, as amended by 46 section 41-a of part K of chapter 61 of the laws of 2011, is amended to 47 read as follows: 48 (j) The exemptions provided in this section shall not apply to the tax 49 required to be prepaid pursuant to the provisions of section eleven 50 hundred two of this article nor to the taxes imposed by sections eleven 51 hundred five and eleven hundred ten of this article with respect to 52 receipts from sales and uses of motor fuel or diesel motor fuel, except 53 that the exemption provided in paragraph nine of subdivision (a) of this 54 section shall apply to the tax required to be prepaid pursuant to the 55 provisions of section eleven hundred two of this article and to the 56 taxes imposed by sections eleven hundred five and eleven hundred ten ofS. 1600 4 A. 938 1 this article with respect to sales and uses of kero-jet fuel and except 2 that the exemption provided in paragraph twenty-four of subdivision (a) 3 of this section shall apply to the taxes imposed by sections eleven 4 hundred five and eleven hundred ten of this article with respect to 5 sales and uses of diesel motor fuel used in the operation of a fishing 6 vessel as described in paragraph twenty-four of subdivision (a) of this 7 section. The exemption provided in subdivision (c) of this section 8 shall apply to sales and uses of non-highway diesel motor fuel but only 9 if all of such fuel is consumed other than on the public highways of 10 this state. The exemption provided in subdivision (c) of this section 11 shall apply to sales and uses of non-highway diesel motor fuel for use 12 or consumption either in the production for sale of tangible personal 13 property by farming or in a commercial horse boarding operation, or in 14 both but only if all of such fuel is consumed other than on the public 15 highways of this state (except for the use of the public highways to 16 reach adjacent farmlands or adjacent lands used in a commercial horse 17 boarding operation, or both). 18 § 6. This act shall take effect on the first day of a sales tax quar- 19 terly period, as described in subdivision (b) of section 1136 of the tax 20 law, next commencing at least ninety days after this act shall have 21 become a law; sections four and five of this act shall apply to sales 22 made under and uses occurring on or after the dates such sections four 23 and five shall have taken effect, respectively, although made or occur- 24 ring under a prior contract; and provided further that such amendments 25 made by section four of this act shall be subject to the expiration and 26 reversion of such subdivision pursuant to section 19 of part W-1 of 27 chapter 109 of the laws of 2006, as amended, when upon such date the 28 provisions of section five of this act shall take effect.
