N.Y. Tax Law § 1107 — Temporary municipal assistance sales and compensating use taxes for cities of one million or more

§ 1107. Temporary municipal assistance sales and compensating use\ntaxes for cities of one million or more. (a) General. On the first day\nof the first month following the month in which a municipal assistance\ncorporation is created under article ten of the public authorities law\nfor a city of one million or more, in addition to the taxes imposed by\nsections eleven hundred five and eleven hundred ten, there is hereby\nimposed on such date, within the territorial limits of such city, and\nthere shall be paid, additional taxes, at the rate of four percent,\nwhich except as provided in subdivision (b) of this section, shall be\nidentical to the taxes imposed by sections eleven hundred five and\neleven hundred ten. Such sections and the other sections of this\narticle, including the definition and exemption provisions, shall apply\nfor purposes of the taxes imposed by this section in the same manner and\nwith the same force and effect as if the language of those sections had\nbeen incorporated in full into this section and had expressly referred\nto the taxes imposed by this section.\n (b) Exceptions. (1) The exemptions provided for in subdivision (c) of\nsection eleven hundred fifteen shall not apply to fuel, gas,\nelectricity, refrigeration and steam, and gas, electric, refrigeration\nand steam service of whatever nature for use or consumption directly and\nexclusively in the production of gas, electricity, refrigeration or\nsteam. (2) The transitional provisions contained in section eleven\nhundred six shall not apply to the taxes imposed by this section. (3)\nWhere a sale of tangible personal property or services, including an\nagreement therefor, is made in a city in which the taxes imposed by\nsubdivision (a) of this section apply, but the property sold, the\nproperty upon which the services were performed or such service is or\nwill be delivered to the purchaser elsewhere, such sale will not be\nsubject to taxes imposed by such subdivision (a). However, if delivery\noccurs or will occur in any city where the tax imposed by such\nsubdivision (a) applies, a vendor will be required to collect from the\npurchaser the sales or compensating use taxes imposed by this section.\nFor the purposes of this section delivery shall be deemed to include\ntransfer of possession to the purchaser and the receiving of the\nproperty or of the service by the purchaser. (4) The provisions of\nsection twelve hundred fourteen shall be applicable to this section, but\nany reference in that section to a local sales or use tax imposed by a\ncity shall mean the additional taxes imposed by subdivision (a) hereof.\n(5) Where a retail sales tax or a compensating use tax was legally due\nand paid to any municipal corporation in this state, without any right\nto a refund or credit thereof, with respect to the sale or use of\ntangible personal property or any of the services subject to sales or\ncompensating use tax, if the use of such property or services is then\nsubject to the compensating use tax imposed by this section and such tax\nis at a higher rate than the rate of tax imposed by such municipal\ncorporation, the tax imposed by this section shall also apply but only\nto the extent of the difference in such rates. (6) For purposes of this\nsection, for periods of continuous occupancy first commencing after June\nthird, nineteen hundred eighty, the term "permanent resident" means any\noccupant of any room or rooms in a hotel for at least one hundred eighty\nconsecutive days shall be considered a permanent resident with regard to\nthe period of such occupancy. For purposes of this subdivision, a\npayment to the tax commission of a tax imposed by a municipal\ncorporation shall be deemed a payment to such municipal corporation. (7)\nThe provision for a refund or credit contained in clause six of\nsubdivision (a) of section eleven hundred nineteen shall not apply. (8)\nThe tax imposed by subdivision (a) of this section shall not be imposed\non: (i) receipts from interior cleaning and maintenance services\nperformed on a regular contractual basis for a term of not less than\nthirty days subject to tax under paragraph five of subdivision (c) of\nsection eleven hundred five other than window cleaning, rodent and pest\ncontrol and trash removal from buildings or receipts from the services\ndescribed in paragraph eight of subdivision (c) of section eleven\nhundred five to the extent a tax is imposed on such services by a city\nwith a population of one million or more pursuant to the authority of\nsubdivision (f) of section twelve hundred twelve-A of this chapter and\n(ii) receipts from the services described in paragraph six or seven of\nsubdivision (c) of section eleven hundred five. (9) Except as otherwise\nprovided by law, the exemption provided for in paragraph thirty of\nsubdivision (a) of section eleven hundred fifteen relating to clothing\nand footwear shall not apply. (10) The exemptions provided for in\nparagraph forty-one of subdivision (a) of section eleven hundred fifteen\nof this article shall not apply. (11) Notwithstanding any provision of\nlaw to the contrary, clothing and footwear and any item used or consumed\nto make or repair such clothing and which becomes a physical component\npart of such clothing shall be exempt from the taxes imposed by this\nsection.\n (c) Tax on sale of service of parking, garaging or storing of motor\nvehicles. On the first day of the first month following the month in\nwhich a municipal assistance corporation is created under article ten of\nthe public authorities law for a city of one million or more, in\naddition to the taxes imposed by sections eleven hundred five, eleven\nhundred ten and subdivision (a) of this section, there is hereby imposed\non such date, within the territorial limits of such city, and there\nshall be paid, additional taxes at the rate of six percent on receipts\nfrom every sale of the service of providing parking, garaging or storing\nfor motor vehicles by persons operating a garage (other than a garage\nwhich is part of premises occupied solely as a private one or two family\ndwelling), parking lot or other place of business engaged in providing\nparking, garaging or storing of motor vehicles provided, however, that\nthis subdivision shall not apply to such facilities owned and operated\nby such city or an agency or instrumentality of such city or a public\ncorporation the majority of whose members are appointed by the chief\nexecutive officer of such city or the legislative body of such city or\nboth of them; provided, however, that receipts for such services paid to\na homeowner's association by its members or receipts paid by members of\na homeowner's association to a person leasing the parking facility from\nthe homeowner's association shall not be subject to the tax imposed by\nthis subdivision. For purposes of this subdivision, a homeowner's\nassociation is an association (including a cooperative housing or\napartment corporation) (i) the membership of which is comprised\nexclusively of owners or residents of residential dwelling units,\nincluding owners of units in a condominium, and including shareholders\nin a cooperative housing or apartment corporation, where such units are\nlocated in a defined geographical area such as a housing development or\nsubdivision; and (ii) which owns or operates a garage, parking lot or\nother place of business engaged in providing parking, garaging or\nstoring for motor vehicles located in such area for use (whether or not\nexclusive) by such owners or residents. All provisions set forth in this\narticle applicable to the taxes imposed under section eleven hundred\nfive, including the definition and exemption provisions of this article,\nshall apply with respect to a tax imposed under this subdivision, except\nas to rate and except as otherwise provided herein. The transitional\nprovisions contained in section eleven hundred six shall not apply to\nthe taxes imposed by this section.\n (d) Termination of taxes. At the later of: (1) the end of the last day\nof the month in which all the notes and bonds of such municipal\nassistance corporation shall have been fully paid and discharged,\ntogether with interest thereon and interest on unpaid installments of\ninterest, or (2) July first, two thousand eight, the taxes imposed by\nthis section shall terminate. Despite such termination, the provisions\nof this section and any regulations promulgated thereunder, including\nthe provisions with respect to assessment, payment, termination,\ncollection and refund of such taxes, penalties and interest, the\nrequirements for filing returns, preservation of records and disposition\nof revenue shall continue in full force and effect with respect to all\nsuch taxes accrued up to the effective date of such termination.\n