[Adopted 2-22-1988 by Res. No. 28-88]
When used in this article, the following terms shall have the
following meanings:
An individual, partnership, society, association, joint-stock
company, corporation, estate, receiver, trustee, assignee, referee
and any other person acting in a fiduciary or representative capacity,
whether appointed by a court or otherwise, and any combination of
the foregoing.
A person who purchases property or to whom are rendered services,
the receipts from which are taxable under this article.
The amount of the sale price of any property and the charge
for any service taxable under this article valued in money, whether
received in money or otherwise, including any amount for which credit
is allowed by the vendor to the purchaser, without any deduction for
expenses or early payment discounts.
Any transfer of title or possession, or both, exchange or
barter, rental, lease or license to use or consume, conditional or
otherwise, in any manner or by any means whatsoever for a consideration,
or any agreement therefor, including the rendering of any service
taxable under this article for a consideration or any agreement therefor.
Includes:
A person making sales of property or services, the receipts
from which are taxed by this article.
The State of New York, any of its agencies, instrumentalities,
public corporations (including a public corporation created pursuant
to agreement or compact with another state or Canada) or political
subdivisions when such entity sells services or property of a kind
ordinarily sold by private persons.
Any salesman, representative, peddler or canvasser who is treated
by the State Tax Commission as a vendor pursuant to the provisions
of § 1101(b)(8)(ii) of the Tax Law.
On and after the first day of June 1988, there is hereby imposed
and there shall be paid a tax of 3% upon the receipts from every sale,
other than sales for resale, of gas, electricity, refrigeration and
steam, and gas, electric, refrigeration and steam service of whatever
nature, and from every sale, other than sales for resale, of telephony
and telegraphy and telephone and telegraph service of whatever nature,
except interstate and international telephony and telegraphy and telephone
and telegraph service.
The tax imposed by this article shall be paid with respect to
receipts for property or services sold on or after the first day of
June 1988 although made under a prior contract. Where property or
service is sold on a monthly, quarterly or other term basis and the
bills for such property or service are based on meter readings, the
amount received on each bill for such property or service for a month
or other term shall be a receipt subject to the tax, but such tax
shall be applicable to all bills based on meters read on or after
the first day of June 1988 only where more than 1/2 of the number
of days included in the month or other period billed are days subsequent
to the 31st day of May 1988; provided, however, that where such bills
are for telephone or telegraph service, the tax shall apply to all
receipts on such bills dated on or after the first day of June 1988
for which no previous bill was rendered, except, however, charges
for services furnished before the date of the first of such bills.
Receipts from the following shall be exempt from the tax imposed
by this article:
A.
Gas, electricity, refrigeration and steam and gas, electric, refrigeration
and steam service of whatever nature for use or consumption directly
and exclusively in the production of tangible personal property, gas,
electricity, refrigeration or steam, for sale, by manufacturing, processing,
assembling, generating, refining, mining, extracting, farming, agriculture,
horticulture or floriculture.
B.
Gas, electricity, refrigeration and steam and gas, electric, refrigeration
and steam service of whatever nature for use or consumption directly
and exclusively in research and development in the experimental or
laboratory sense. Such research and development shall not be deemed
to include the ordinary testing or inspection of materials or products
for quality control, efficiency surveys, management studies, consumer
surveys, advertising, promotions or research in connection with literary,
historical or similar projects.
C.
Telephony and telegraphy and telephone and telegraph service used
by newspapers, radio broadcasters and television broadcasters in the
collection or dissemination of news, if the charge for such services
is a toll charge or a charge for mileage services, including the associated
station terminal equipment.
D.
Telephone and telegraph service paid for by inserting coins in coin-operated
telephones where the charge is $0.10 or less.
A.
Except as otherwise provided in this section, any sale by or to any
of the following shall not be subject to the tax imposed under this
article:
(1)
The State of New York or any of its agencies, instrumentalities,
public corporations (including a public corporation created pursuant
to agreement or compact with another state or Canada) or political
subdivisions where it is the purchaser, user or consumer or where
it is a vendor of services or property of a kind not ordinarily sold
by private persons.
(2)
The United States of America and any of its agencies and instrumentalities,
insofar as it is immune from taxation where it is the purchaser, user
or consumer or where it sells services or property of a kind not ordinarily
sold by private persons.
(3)
The United Nations or any international organization of which the
United States of America is a member where it is the purchaser, user
or consumer or where it sells services or property of a kind not ordinarily
sold by private persons.
(4)
Any corporation, association, trust or community chest, fund or foundation,
organized and operated exclusively for religious, charitable, scientific,
testing for public safety, literary or educational purposes or to
foster national or international amateur sports competition (but only
if no part of its activities involve the provision of athletic facilities
or equipment) or for the prevention of cruelty to children or animals,
no part of the net earnings of which inures to the benefit of any
private shareholder or individual, no substantial part of the activities
of which is carrying on propaganda or otherwise attempting to influence
legislation [except as otherwise provided in Subsection (h) of Section
501 of the United States Internal Revenue Code of 1954, as amended]
and which does not participate in or intervene in (including the publishing
or distributing of statements) any political campaign on behalf of
any candidate for public office.
(5)
A post or organization of past or present members of the armed forces
of the United States or an auxiliary unit or society of or a trust
or foundation for any such post or organization:
(a)
Organized in this state;
(b)
At least 75% of the members of which are past or present members
of the armed forces of the United States and substantially all of
the other members of which are individuals who are cadets or are spouses,
widows or widowers of past or present members of the armed forces
of the United States or of cadets; and
(c)
No part of the net earnings of which inures to the benefit of
any private shareholder or individual.
(6)
The following Indian nations or tribes residing in New York State:
Cayuga, Oneida, Onondaga, Poospuck, Saint Regis Mohawk, Seneca, Shinnecock,
Tonawanda and Tuscarora, where it is the purchaser, user or consumer.
(7)
A not-for-profit corporation operating as a health maintenance organization
subject to the provisions of Article 44 of the Public Health Law.
(8)
Cooperative and foreign corporations doing business in this state
pursuant to the Rural Electric Cooperative Law.
B.
Nothing in this section shall exempt retail sales of gas, electricity,
refrigeration or steam or related services by cooperative and foreign
corporations doing business in this state pursuant to the Rural Electric
Cooperative Law from the tax imposed hereunder, unless the purchaser
is an organization exempt under this section.
C.
Qualified amateur sports organizations.
(1)
For purposes of Subsection A(4) of this section, in the case of a qualified amateur sports organization, the requirement of such subsection that no part of its activities involve the provision of athletic facilities or equipment shall not apply, and such organization shall not fail to meet the requirement of such subsection merely because its membership is local or regional in nature.
(2)
For purposes of this subsection, the term "qualified amateur sports
organization" means any organization organized and operated exclusively
to foster national or international amateur sports competition if
such organization is also organized and operated primarily to conduct
national or international competition in sports or to support and
develop amateur athletes for national or international competition
in sports.
The tax imposed under the authority of this article shall apply
only within the territorial limits of this taxing jurisdiction, except
that any establishment located partially within this taxing jurisdiction
and partially within a town or towns and receiving any services or
utilities provided by this taxing jurisdiction shall be deemed to
be whole within this taxing jurisdiction for the purposes of the tax.
The tax imposed by this article shall be administered and collected
by the State Tax Commission in the same manner as the taxes imposed
under Article 28 of the Tax Law of the State of New York are administered
and collected by such Commission. All of the provisions of said Article
28 relating to or applicable to the administration and collection
of the taxes imposed by that Article shall apply to the taxes imposed
by this article, including but not limited to §§ 1101,
1111 and 1131 through 1147 with the same force and effect as if those
provisions had been incorporated in full into this article except
as otherwise provided in § 1250 of the Tax Law.
Net collections distributed to this taxing jurisdiction by the
State Tax Commission pursuant to § 1261 of the Tax Law of
the State of New York shall be paid into the treasury of this taxing
jurisdiction, shall be credited to and deposited in the general fund
thereof and shall be available for any City purpose. Expenditures
from the process of the tax imposed by this article shall not be considered
as part of the cost of government within the meaning of any limitation
on expenditures contained in any general, special or local law applicable
to this taxing jurisdiction. As used in this section, "net collections"
shall mean the moneys collected from the taxes imposed pursuant to
this article, after deducting therefrom expenses of administration
and collection and amounts refunded or to be refunded.
This article shall be construed and enforced in conformity with
Articles 28 and 29 of the Tax Law of the State of New York, pursuant
to which the same is enacted.
