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

taxes for cities of one million or more. (a) General. On the first day

of the first month following the month in which a municipal assistance

corporation is created under article ten of the public authorities law

for a city of one million or more, in addition to the taxes imposed by

sections eleven hundred five and eleven hundred ten, there is hereby

imposed on such date, within the territorial limits of such city, and

there shall be paid, additional taxes, at the rate of four percent,

which except as provided in subdivision (b) of this section, shall be

identical to the taxes imposed by sections eleven hundred five and

eleven hundred ten. Such sections and the other sections of this

article, including the definition and exemption provisions, shall apply

for purposes of the taxes imposed by this section in the same manner and

with the same force and effect as if the language of those sections had

been incorporated in full into this section and had expressly referred

to the taxes imposed by this section.

(b) Exceptions. (1) The exemptions provided for in subdivision (c) of

section eleven hundred fifteen shall not apply to fuel, gas,

electricity, refrigeration and steam, and gas, electric, refrigeration

and steam service of whatever nature for use or consumption directly and

exclusively in the production of gas, electricity, refrigeration or

steam. (2) The transitional provisions contained in section eleven

hundred six shall not apply to the taxes imposed by this section. (3)

Where a sale of tangible personal property or services, including an

agreement therefor, is made in a city in which the taxes imposed by

subdivision (a) of this section apply, but the property sold, the

property upon which the services were performed or such service is or

will be delivered to the purchaser elsewhere, such sale will not be

subject to taxes imposed by such subdivision (a). However, if delivery

occurs or will occur in any city where the tax imposed by such

subdivision (a) applies, a vendor will be required to collect from the

purchaser the sales or compensating use taxes imposed by this section.

For the purposes of this section delivery shall be deemed to include

transfer of possession to the purchaser and the receiving of the

property or of the service by the purchaser. (4) The provisions of

section twelve hundred fourteen shall be applicable to this section, but

any reference in that section to a local sales or use tax imposed by a

city shall mean the additional taxes imposed by subdivision (a) hereof.

(5) Where a retail sales tax or a compensating use tax was legally due

and paid to any municipal corporation in this state, without any right

to a refund or credit thereof, with respect to the sale or use of

tangible personal property or any of the services subject to sales or

compensating use tax, if the use of such property or services is then

subject to the compensating use tax imposed by this section and such tax

is at a higher rate than the rate of tax imposed by such municipal

corporation, the tax imposed by this section shall also apply but only

to the extent of the difference in such rates. (6) For purposes of this

section, for periods of continuous occupancy first commencing after June

third, nineteen hundred eighty, the term "permanent resident" means any

occupant of any room or rooms in a hotel for at least one hundred eighty

consecutive days shall be considered a permanent resident with regard to

the period of such occupancy. For purposes of this subdivision, a

payment to the tax commission of a tax imposed by a municipal

corporation shall be deemed a payment to such municipal corporation. (7)

The provision for a refund or credit contained in clause six of

subdivision (a) of section eleven hundred nineteen shall not apply. (8)

The tax imposed by subdivision (a) of this section shall not be imposed

on: (i) receipts from interior cleaning and maintenance services

performed on a regular contractual basis for a term of not less than

thirty days subject to tax under paragraph five of subdivision (c) of

section eleven hundred five other than window cleaning, rodent and pest

control and trash removal from buildings or receipts from the services

described in paragraph eight of subdivision (c) of section eleven

hundred five to the extent a tax is imposed on such services by a city

with a population of one million or more pursuant to the authority of

subdivision (f) of section twelve hundred twelve-A of this chapter and

(ii) receipts from the services described in paragraph six or seven of

subdivision (c) of section eleven hundred five. (9) Except as otherwise

provided by law, the exemption provided for in paragraph thirty of

subdivision (a) of section eleven hundred fifteen relating to clothing

and footwear shall not apply. (10) The exemptions provided for in

paragraph forty-one of subdivision (a) of section eleven hundred fifteen

of this article shall not apply. (11) Notwithstanding any provision of

law to the contrary, clothing and footwear and any item used or consumed

to make or repair such clothing and which becomes a physical component

part of such clothing shall be exempt from the taxes imposed by this

section.

(c) Tax on sale of service of parking, garaging or storing of motor

vehicles. On the first day of the first month following the month in

which a municipal assistance corporation is created under article ten of

the public authorities law for a city of one million or more, in

addition to the taxes imposed by sections eleven hundred five, eleven

hundred ten and subdivision (a) of this section, there is hereby imposed

on such date, within the territorial limits of such city, and there

shall be paid, additional taxes at the rate of six percent on receipts

from every sale of the service of providing parking, garaging or storing

for motor vehicles by persons operating a garage (other than a garage

which is part of premises occupied solely as a private one or two family

dwelling), parking lot or other place of business engaged in providing

parking, garaging or storing of motor vehicles provided, however, that

this subdivision shall not apply to such facilities owned and operated

by such city or an agency or instrumentality of such city or a public

corporation the majority of whose members are appointed by the chief

executive officer of such city or the legislative body of such city or

both of them; provided, however, that receipts for such services paid to

a homeowner's association by its members or receipts paid by members of

a homeowner's association to a person leasing the parking facility from

the homeowner's association shall not be subject to the tax imposed by

this subdivision. For purposes of this subdivision, a homeowner's

association is an association (including a cooperative housing or

apartment corporation) (i) the membership of which is comprised

exclusively of owners or residents of residential dwelling units,

including owners of units in a condominium, and including shareholders

in a cooperative housing or apartment corporation, where such units are

located in a defined geographical area such as a housing development or

subdivision; and (ii) which owns or operates a garage, parking lot or

other place of business engaged in providing parking, garaging or

storing for motor vehicles located in such area for use (whether or not

exclusive) by such owners or residents. All provisions set forth in this

article applicable to the taxes imposed under section eleven hundred

five, including the definition and exemption provisions of this article,

shall apply with respect to a tax imposed under this subdivision, except

as to rate and except as otherwise provided herein. The transitional

provisions contained in section eleven hundred six shall not apply to

the taxes imposed by this section.

(d) Termination of taxes. At the later of: (1) the end of the last day

of the month in which all the notes and bonds of such municipal

assistance corporation shall have been fully paid and discharged,

together with interest thereon and interest on unpaid installments of

interest, or (2) July first, two thousand eight, the taxes imposed by

this section shall terminate. Despite such termination, the provisions

of this section and any regulations promulgated thereunder, including

the provisions with respect to assessment, payment, termination,

collection and refund of such taxes, penalties and interest, the

requirements for filing returns, preservation of records and disposition

of revenue shall continue in full force and effect with respect to all

such taxes accrued up to the effective date of such termination.