Relates to Medicaid payments by the county of Niagara and repealing certain provisions related thereto

Title of bill

An act to amend the tax law, in relation to medicaid payments by the county of Niagara and to repeal certain provisions of the tax law and section 5 of chapter 4 of the laws of 2003, relating to authorizing Niagara county to impose an additional rate of sales and compensations use taxes, relating thereto

Purpose or general idea of bill

Repeals the authorization for the additional 1% sales tax for Niagara County in conjunction with a State takeover of Medicaid payments made by the County.

Summary of specific provisions

Sections 1-6 repeal the additional 1% Sales tax authorization for Niagara County. Section 7 states that expenses for Medicaid for Niagara County will be borne by the State.

Section 8 is the effective date.

Justification

In 2003 Niagara County asked for and agreed to a 1% Sales tax increase with that increase to be used directly to pay for the County share of Medicaid.

This legislation would repeal that additional sales tax but allow for a State takeover of Medicaid costs.

This concept would remove a significant tax burden from the residents of Niagara County, while at the same time make the County more business and consumer friendly by lowering its Sales Tax.

Prior legislative history

New Bill.

Fiscal implications

To be determined

Effective date

This act shall take effect immediately and shall apply in taxable years beginning on and after such date.