What's happening
This bill extends Erie County's authority to impose additional sales and use tax rates through November 30, 2023.
Why it matters
This bill allows Erie County to continue collecting extra sales tax above the standard rate, which could help fund county services and operations without raising other taxes or cutting budgets.
By extending the expiration date for the higher tax rates, the bill gives local officials more fiscal stability and predictability when planning budgets and public projects through November 2023.
The legislation specifically keeps rules in place that require the revenue from the extra three-quarters percent tax to be used only for county purposes, not shared with municipalities, which could impact how both the county and local governments allocate resources.
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Who cares
Headline styles
Extend Erie County Sales Tax
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to investigations and government operations
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
8062
IN SENATE
March 16, 2020
Introduced by Sen. KENNEDY -- read twice and ordered printed, and when printed to be committed to the Committee on Investigations and Government Operations
AN ACT to amend the tax law, in relation to the imposition of additional rates of sales and compensating use taxes by Erie county
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Clause 4 of subparagraph (i) of the opening paragraph of section 1210 of the tax law, as amended by section 1 of subpart N of part A of chapter 61 of the laws of 2017, is amended to read as follows:
(4) the county of Erie is hereby further authorized and empowered to adopt and amend local laws, ordinances or resolutions imposing such taxes (i) at a rate which is one percent additional to the three percent rate authorized above in this paragraph for such county for the period beginning January tenth, nineteen hundred eighty-eight and ending November thirtieth, two thousand [twenty] twenty-three; and (ii) at a rate which is three-quarters of one percent additional to the three percent rate authorized above in this paragraph, and which is also additional to the one percent rate also authorized above in this clause for such county, for the period beginning December first, two thousand eleven, and ending November thirtieth, two thousand [twenty] twenty-three;
§ 2. Subdivision 2 of section 1262-q of the tax law, as amended by section 2 of subpart N of part A of chapter 61 of the laws of 2017, is amended to read as follows:
(2) Net collections from the additional three-quarters of one percent rate of sales and compensating use taxes which the county may impose during the period commencing December first, two thousand eleven, and ending November thirtieth, two thousand [twenty] twenty-three, pursuant to the authority of item (ii) of clause (4) of subparagraph (i) of the opening paragraph of section twelve hundred ten of this article shall be used by the county solely for county purposes and shall not be subject to any revenue distribution agreement the county entered into pursuant to the authority of subdivision (c) of section twelve hundred sixty-two of this part.
§ 3. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD15814-01-0
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the tax law, in relation to the imposition of additional rates of sales and compensating use taxes by Erie county
Purpose
OF THE BILL: To authorize and extend Erie County's ability to impose an additional one percent rate and an additional three-quar- ters of one percent rate of sales and compensating use taxes, for the period commencing December 1, 2020, and ending November 30, 2023, and to provide for retention for solely county purposes of all net collections from the additional three-quarters of one percent rate.
Summary of specific provisions
Bill section 1 would amend clause 4 of subparagraph (i) of the opening paragraph of section 1210 of the Tax Law, which authorizes counties and cities to impose sales and use taxes at specified rates. Clause 4 would authorize Erie County to impose an additional one percent rate and an additional three-quarters of one percent rate of such taxes for the period commencing December 1, 2020, and ending November 30, 2023. Currently the county is authorized to impose these two additional rates through November 30, 2020 pursuant to section 1210 of the Tax Law.
Bill section 2 would amend subdivision 2 of Tax Law section 1262-q to continue to provide that net collections from the additional three-quar- ters of one percent rate shall be used by the county solely for county purposes and shall not be subject to any revenue distribution agreement the county entered into under section 1262(c) of the Tax Law.
Bill section 3 provides that the bill would take effect immediately.
Justification
Erie County has requested authorization to extend its authorization to impose an additional one percent and three-quarters percent sales and compensating use tax. The revenue anticipated from this additional tax will allow the County of Erie to continue to provide services deemed vital to the community while maintaining a balanced budget.
Prior legislative history
Chapter 61 of the Laws of 2017; Chapter 184 of the Laws of 2015; Chapter 324 of the Laws of 2013.
Fiscal implications for state and local governments
None to the State. Failure to extend the additional one percent and three-quarters percent sales and compensating use tax rate would mean the annual loss of nearly $278 million in County revenue.
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.