Exempts bicycles from sales and compensating use tax

1 Co-sponsor

• William J. Larkin Jr.

BILL NUMBER:S280

Title of bill

An act to amend the tax law, in relation to exempting bicycles from sales and compensating use tax

Purpose

To exempt bicycles from sales and compensating use taxes.

Summary of provisions

Section 1 identifies bicycles as exempt. Section 2 indicates the effective date.

Justification

Encouraging the use of bicycles is an important step in decreasing use of fuel by car travel. As an alternative to driving, biking uses no fuel and emits no pollution. Using a bicycle as an alternative means of transportation is both beneficial to the environment and the rider. Regular exercise has been shown to have numerous health benefits. By exempting bicycles from sales and use tax, we will help offset some of the cost to the consumer and encourage use of bicycles as a means of transportation.

Fiscal implications

To be determined.

Prior legislative history

S.2623 of 2007-2008; Referred to Senate Investigations & Government Operations Committee S.3218 OF 2009-2010; Referred to Senate Investigations & Government Operations Committee

Effective date

This act shall take effect on the first day of a sales tax quarterly period, as described in subdivision (b) of section 1136 of the Tax Law, next commencing at least sixty days after this act shall have become law and shall apply in accordance with the applicable transitional provisions of sections 1106 and 1217 of the tax law.