N.Y. State Finance Law § 92-i: Stock transfer incentive fund

§ 92-i. Stock transfer incentive fund. 1. There is hereby established

in the sole custody of the commissioner of taxation and finance a

special fund to be known as the stock transfer incentive fund.

2. Such fund shall consist of moneys paid thereto from the stock

transfer tax fund as provided in subdivision four of section

ninety-two-b of this chapter and all other moneys appropriated, credited

or transferred thereto from any other fund or source pursuant to law.

3. On the last business day of each of the months of September,

December, March and June of each year commencing December thirty-first,

nineteen hundred seventy-seven, the commissioner of taxation and finance

shall determine the sum of (i) the amounts allowable as rebates of the

tax that is imposed by article twelve of the tax law and is paid on

transactions executed or effected during the three calendar months

ending on the next-to-the-last business day of each such month and such

amounts not previously allowed for a preceding period pursuant to

subdivision one of section two hundred eighty-a of the tax law and, (ii)

such amounts allowable as rebates pursuant to subdivision two of such

section and (iii) on such last business day of June, nineteen hundred

seventy-nine and on each of such last days occurring after the last

business day of June, nineteen hundred seventy-nine such amounts

allowable and payable as rebates for the period April seventeenth,

nineteen hundred seventy-eight through September thirtieth, nineteen

hundred seventy-eight and on such last day of June, nineteen hundred

seventy-nine and on each of such last days occurring after such last day

of June, nineteen hundred seventy-nine such amounts allowable and

payable as rebates for the October first to September thirtieth period

preceding such day by eight or more months pursuant to subdivision two-a

of such section.

4. On the last business day of each such month the commissioner of

taxation and finance shall certify to the director of the budget, the

state comptroller and the chief fiscal officer of the city of New York

each of the amount finally determined under clauses (i), (ii) and (iii)

of subdivision three of this section.

5. The amount so certified on such last business day under subdivision

four of this section shall constitute the amount required to be paid

into the stock transfer incentive fund from the stock transfer tax fund

pursuant to section ninety-two-b of this chapter.

6. (a) (1) For the period beginning August first, nineteen hundred

seventy-eight and ending June thirtieth, nineteen hundred seventy-nine,

on the last business day of each of the months of September, December,

March and June, the commissioner of taxation and finance shall certify

to the comptroller the amount of the tax imposed by this article

collected during the three month period ending on each such last

business day, except that on September thirtieth, nineteen hundred

seventy-eight, the commissioner shall certify only the amount of such

tax collected on and after August first, nineteen hundred seventy-eight.

The state comptroller shall pay forthwith an amount equal to one-half of

twenty-five percent of the amount so certified from the general fund of

the state of New York to the extent that moneys have been appropriated

and made available therefor; provided, however, that in no event shall

the amount so paid exceed sixteen million dollars in the state fiscal

year beginning April first, nineteen hundred seventy-eight.

(2) Upon receipt of each certification of the commissioner of taxation

and finance provided for in subdivision four of this section, on and

after December thirty-first, nineteen hundred seventy-nine and on or

before September thirtieth, nineteen hundred eighty, the state

comptroller shall forthwith pay an amount equal to one-half of the

amount certified by such commissioner as rebates allowable under the

provisions of clause (i) of subdivision three of this section from the

general fund of the state of New York to the fund created pursuant to

this section, to the extent that moneys have been appropriated and made

available therefor. Upon receipt of the certification of the

commissioner of taxation and finance provided for in subdivision four of

this section, on and after October first, nineteen hundred eighty, the

state comptroller shall forthwith pay an amount equal to one-half of the

amounts certified by such commissioner as rebates allowable under the

provisions of clauses (i) and (ii) of subdivision three of this section

from the general fund of the state of New York, to the fund created

pursuant to this section to the extent that moneys have been

appropriated and made available therefor.

(b) Provided, however, that the amounts paid from the general fund of

the state of New York under paragraph (a) of this subdivision in the

state fiscal year beginning April first, nineteen hundred seventy-nine

shall not exceed fifty million dollars; and in the state fiscal year

beginning April first, nineteen hundred eighty such amounts shall not

exceed ninety million dollars and in the state fiscal year beginning

April first, nineteen hundred eighty-one and in every state fiscal year

thereafter such amounts shall not exceed one hundred twenty million

dollars.

(c) Notwithstanding the provisions of paragraph (b) of this

subdivision, the state comptroller shall, in addition to the payments to

be made under paragraph (a) of this subdivision, also pay to the credit

of the fund created pursuant to this section an amount equal to one-half

of the costs deducted by such commissioner for the costs of the state

tax commission in administering and making distributions in accordance

with the provisions of subdivision four of section ninety-two-b of this

chapter.

7. If on the day the commissioner of taxation and finance makes the

determinations required under subdivision three of this section, he

determines that, as a result of the payments made into the stock

transfer incentive fund pursuant to subdivisions five and six of this

section, the amounts in such fund exceed the amounts determined pursuant

to clauses (i), (ii) and (iii) of subdivision three of this section for

the three calendar months ending on the next-to-the-last business day of

the month in which such determination is made, the amount of such excess

shall be paid forthwith to the chief fiscal officer of the city of New

York for support of local government.

8. Notwithstanding any provision of general or special law to the

contrary, all moneys of such fund shall be deposited by the commissioner

of taxation and finance in any responsible bank, banking house or trust

company as may be approved by the comptroller. All amounts so deposited

shall be kept separate and apart and shall not be commingled with any

other moneys in the custody of the commissioner of taxation and finance.

All deposits of moneys of such fund shall be secured by obligations of

the United States or of the state having a market value equal at all

times to the amount of the deposit and all banks and trust companies are

authorized to give security for such deposits. Any such moneys deposited

in such fund may, in the discretion of the commissioner of taxation and

finance, be invested in obligations of the United States or of the state

or in other obligations, the principal of and interest on which are

guaranteed by the United States or by the state.

9. Out of such moneys deposited in the fund created by this section,

the commissioner of taxation and finance shall, except for rebates

payable in the manner described in subdivision six of section two

hundred eighty-a of the tax law, make the payments required to be paid

on claims for rebates made pursuant to section two hundred eighty-a of

the tax law, but in no event shall such rebates be paid prior to the

last business day of each of the months of September, December, March

and June with respect to taxes paid during the period of three calendar

months ending on each such last business day and in no event shall the

rebates allowable under subdivision two-a of section two hundred

eighty-a of the tax law, be paid prior to the last day of June with

respect to taxes paid during the preceding October first to September

thirtieth period except with respect to the period April seventeenth,

nineteen hundred seventy-eight through September thirtieth, nineteen

hundred seventy-eight such rebates allowable under such subdivision

two-a shall not be paid prior to the last day of June, nineteen hundred

seventy-nine preceding such last day. Out of moneys deposited in the

fund created by this section, the commissioner of taxation and finance

shall pay to each exchange, affiliated clearing corporation or

authorized agency which shall have remitted amounts to the tax

commission, in the manner set forth in subdivision six of section two

hundred eighty-a of the tax law, the rebate payable pursuant to

subdivisions one and two of such section, the rebates payable in the

manner described in subdivision six of section two hundred eighty-a of

the tax law not later than the day after the day the tax equal to the

amount of such rebates is remitted to the tax commission under such

subdivision and paid to the fund created by this section from the stock

transfer tax fund pursuant to section ninety-two-b of this chapter. Upon

such payment the liability of the state therefor shall be fully

discharged.

10. In the event that moneys deposited in the fund created by this

section are insufficient to pay such rebates, the city of New York shall

pay any such deficiency to such fund in accordance with local law.

11. The commissioner of taxation and finance shall not be held liable

for any inaccuracy in any certification under this section.