N.Y. Tax Law § 1104 — Convention center hotel unit fee

§ 1104. Convention center hotel unit fee. (a) Imposition. In addition\nto any other fee or tax imposed by this article or any other law, on and\nafter April first, two thousand five, there is hereby imposed within the\nterritorial limits of a city with a population of a million or more and\nthere shall be paid a unit fee on every occupancy of a unit in a hotel\nor short term rental unit in such city at the rate of one dollar and\nfifty cents per unit per day, except that such unit fee shall not be\nimposed upon (1) occupancy by a permanent resident or (2) where the rent\nper unit is not more than at the rate of two dollars per day.\n (b) Administration and enforcement. The unit fee imposed by this\nsection shall be administered and collected in a like manner as the tax\nimposed by subdivision (e) of section eleven hundred five of this\narticle. All the provisions of this article (except sections eleven\nhundred seven, eleven hundred eight and eleven hundred nine), including\nthe definition and exemption provisions, relating to or applicable to\nthe administration, collection and disposition of the tax imposed by\nsubdivision (e) of such section eleven hundred five of this article\nshall apply to the unit fee imposed by this section so far as such\nprovisions can be made applicable to such unit fee with such limitations\nas are set forth in this article, and such modifications as are set\nforth in this section and as may be necessary in order to adopt such\nlanguage to the unit fee so imposed. Such provisions shall apply with\nthe same force and effect as if the language of those provisions had\nbeen incorporated in full in this section and had expressly referred to\nthe unit fee imposed by this section, except to the extent that any\nprovision is either inconsistent with a provision of this section or is\nnot relevant to the unit fee imposed by this section. For purposes of\nthis section, unless a different meaning is clearly required: (1) any\nreference in this article to the tax or taxes imposed by this article\nshall be deemed to refer also to the unit fee imposed by this section;\nand (2) any reference to tax, taxes or sales tax in section eighteen\nhundred seventeen of this chapter shall be deemed to refer also to the\nunit fee imposed by this section.\n (c) Transitional provision. The unit fee imposed by this section shall\nbe paid on any occupancy on or after April first, two thousand five,\nalthough such occupancy is pursuant to a prior contract, lease or other\narrangement. Where the charge for occupancy is paid on a weekly, monthly\nor other term basis, the occupancy shall be subject to the unit fee\nimposed by this section to the extent that it covers any day on or after\nApril first, two thousand five. Where a person occupies a unit for less\nthan a full day and pays less than the rent for a full day, the unit fee\ndue pursuant to this section shall nevertheless be the same amount as\nwould be due had such person occupied the unit for a full day at the\nrent for a full day.\n (d) Deposit and disposition of revenue. (1) Notwithstanding any\nprovision of law to the contrary, the fees, interest and penalties\nimposed by this section and received by the commissioner, after\ndeducting the amount which the commissioner shall determine to be\nnecessary for reasonable costs to administer, collect and distribute\nsuch fees, penalties and interest, shall be deposited daily with such\nresponsible banks, banking houses or trust companies, as may be\ndesignated by the comptroller, to the credit of the comptroller, to be\nheld in trust for the convention center development corporation\nestablished by chapter thirty-five of the laws of nineteen hundred\nseventy-nine, as amended. Such an account may be established in one or\nmore of such depositories. Such deposits shall be kept separate and\napart from all other money in the possession of the comptroller. The\ncomptroller shall require adequate security from all such depositories.\nOf the total revenue collected or received under this section, the\ncomptroller shall retain in the comptroller's hands such amount as the\ncommissioner may determine to be necessary for refunds under this\nsection.\n (2) On or before the twelfth day of each month: (A) after reserving\nsuch amount for such refunds and such costs, the commissioner shall\ncertify to the comptroller the amount of all revenues so received during\nthe prior month as a result of the fees, interest and penalties so\nimposed; and (B) the amount of revenues so certified shall be paid by\nthe comptroller to the chief fiscal officer of the convention center\ndevelopment corporation established by chapter thirty-five of the laws\nof nineteen hundred seventy-nine, as amended, for disposition in the\nconvention center development fund established by such chapter\nthirty-five of the laws of nineteen hundred seventy-nine, as amended.\n (e) Termination of unit fee. (1) At the end of the last day of the\nmonth in which all the bonds, secured in whole or in part by such fee,\nissued by such convention center development corporation, established by\nchapter thirty-five of the laws of nineteen hundred seventy-nine, as\namended, shall have been fully paid and discharged or shall have been\ndeemed to be paid under the resolution authorizing such bonds, together\nwith interest thereon and interest on unpaid installments of interest,\nthe unit fee imposed by this section shall terminate. Despite such\ntermination, the provisions of this section and any regulations\npromulgated thereunder, including the provisions with respect to\nassessment, payment, termination, collection and refund of such fees,\npenalties and interest, the requirements for filing returns,\npreservation of records and disposition of revenue shall continue in\nfull force and effect with respect to all such fees accrued up to the\neffective date of such termination.\n (2) At least ninety days prior to the date that the unit fee is\nimposed by this section shall have terminated pursuant to paragraph one\nof this subdivision, the chief executive officer, or such officer's\ndelegate, of such development corporation shall provide written\nnotification to the commissioner of the date by which such unit fee\nshall have terminated, so that such commissioner can timely notify\npersons required to collect tax, as defined by subdivision one of\nsection eleven hundred thirty-one of this article, of such termination\nand take such other steps as are necessary or desirable to administer\nsuch termination. Provided that failure by such chief executive officer\nor such officer's delegate to provide such notice shall not affect the\ntermination of such unit fee.\n