Bill Text: NY S09078 | 2019-2020 | General Assembly | Introduced
Bill Title: Exempts from sales and compensating use taxes and establishes a tax credit for any equipment or product, including materials used in the construction of physical barriers, purchased by a small business doing business in this state that is directly used by such small business to comply with a COVID-19 health and safety plan.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2020-11-02 - REFERRED TO RULES [S09078 Detail]
Download: New_York-2019-S09078-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 9078 IN SENATE November 2, 2020 ___________ Introduced by Sen. KAPLAN -- read twice and ordered printed, and when printed to be committed to the Committee on Rules AN ACT to amend the tax law, in relation to exempting from sales and compensating use taxes and establishing a tax credit for any equipment or product purchased by a small business that is used to comply with a COVID-19 health and safety plan The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subdivision (a) of section 1115 of the tax law is amended 2 by adding a new paragraph 46 to read as follows: 3 (46) Any equipment or product, including materials used in the 4 construction of physical barriers, including but not limited to plastic 5 shielding walls, strip curtains, cubicle walls, plexiglass or similar 6 materials, or other impermeable dividers or partitions, purchased by a 7 small business doing business in this state that is directly used by 8 such small business to be in compliance with a COVID-19 health and safe- 9 ty plan. For purposes of this paragraph, the term "small business" shall 10 mean a business with one hundred or fewer employees. 11 § 2. Section 210-B of the tax law is amended by adding a new subdivi- 12 sion 55 to read as follows: 13 55. Sales tax paid on materials for COVID-19 health and safety plan 14 compliance. (1) For the period beginning May fifteenth, two thousand 15 twenty and ending on the effective date of this subdivision, a taxpayer 16 who owns a small business shall be allowed a credit for sales tax paid 17 for any equipment or product, including materials used in the 18 construction of physical barriers, including but not limited to plastic 19 shielding walls, strip curtains, cubicle walls, plexiglass or similar 20 materials, or other impermeable dividers or partitions, purchased by 21 such small business in order to be in compliance with a COVID-19 health 22 and safety plan. 23 (2) If the amount of the credit allowed under this subdivision for any 24 taxable year shall exceed the small business's tax for such year, the 25 excess shall be treated as an overpayment of tax to be credited or 26 refunded in accordance with the provisions of section six hundred eight- EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD17524-03-0S. 9078 2 1 y-six of this chapter, provided, however, that no interest shall be paid 2 thereon. 3 (3) For purposes of this subdivision, the term "small business" shall 4 mean a business with one hundred or fewer employees. 5 § 3. Section 606 of the tax law is amended by adding a new subsection 6 (kkk) to read as follows: 7 (kkk) Sales tax paid on materials for COVID-19 health and safety plan 8 compliance. (1) For the period beginning May fifteenth, two thousand 9 twenty and ending on the effective date of this subsection, a taxpayer 10 who owns a small business shall be allowed a credit for sales tax paid 11 for any equipment or product, including materials used in the 12 construction of physical barriers, including but not limited to plastic 13 shielding walls, strip curtains, cubicle walls, plexiglass or similar 14 materials, or other impermeable dividers or partitions, purchased by 15 such small business in order to be in compliance with a COVID-19 health 16 and safety plan. 17 (2) If the amount of the credit allowed under this subsection for any 18 taxable year shall exceed the taxpayer's tax for such year, the excess 19 shall be treated as an overpayment of tax to be credited or refunded in 20 accordance with the provisions of section six hundred eighty-six of this 21 article, provided, however, that no interest shall be paid thereon. 22 (3) For purposes of this subsection, the term "small business" shall 23 mean a business with one hundred or fewer employees. 24 § 4. Subparagraph (B) of paragraph 1 of subsection (i) of section 606 25 of the tax law is amended by adding a new clause (xlvi) to read as 26 follows: 27 (xlvi) Sales tax paid on materials Sales tax paid on 28 for COVID-19 health and safety materials for 29 plan compliance under COVID-19 health 30 subsection (kkk) and safety plan 31 compliance under 32 subdivision fifty-five 33 of section two 34 hundred ten-B 35 § 5. This act shall take effect on the first day of the sales tax 36 quarterly period commencing after this act shall have become a law, and 37 shall apply to sales made and uses occurring on and after such date in 38 accordance with applicable transitional provisions of sections 1106 and 39 1217 of the tax law; provided that the commissioner of taxation and 40 finance shall be authorized on and after the date this act shall have 41 become a law to take steps necessary to implement the provisions of this 42 act on its effective date.