§ 25-W — Authorization to require and permit rebates for sales tax paid

New York § 25-W

• Jurisdiction: New York
• Law GCT: General City
• Art. 2-G: Rebate of Amount of Local Sales Tax Paid On Sales of Energy

Text

§ 25-w. Authorization to require and permit rebates for sales tax\npaid. (a) Any city having a population of one million or more is hereby\nauthorized and empowered to adopt and amend local laws:\n (1) Requiring utilities selling or otherwise delivering electricity,\nincluding electricity sold by a public utility service operated by such\ncity in accordance with a local law adopted pursuant to article\nfourteen-A of the general municipal law, gas or steam within such city\nto: (i) make rebates to non-residential energy users as follows: for\nsuch sales made during the period commencing with the first billing\ncycle which begins on or after July first, nineteen hundred eighty-eight\nand ending with the last billing cycle which begins on or prior to June\nthirtieth, nineteen hundred eighty-nine in an amount equal to\ntwenty-five per centum of the sales and compensating use taxes imposed\npursuant to section eleven hundred seven of the tax law; for such sales\nmade during the period commencing with the first billing cycle which\nbegins on or after July first, nineteen hundred eighty-nine and ending\nwith the last billing cycle which begins on or prior to June thirtieth,\nnineteen hundred ninety in an amount equal to fifty per centum of the\ntaxes imposed pursuant to such section; for such sales made during the\nperiod commencing with the first billing cycle which begins on or after\nJuly first, nineteen hundred ninety and ending with the last billing\ncycle which begins on or prior to June thirtieth, nineteen hundred\nninety-one in an amount equal to seventy-five per centum of the taxes\nimposed pursuant to such section; and for such sales made during the\nperiod commencing with the first billing cycle which begins on or after\nJuly first, nineteen hundred ninety-one and thereafter in an amount\nequal to one hundred per centum of the taxes imposed pursuant to such\nsection; and/or (ii) make discounts to eligible vendors of energy\nservices in amounts equal to the rebates to be made by such eligible\nvendors to non-residential energy users, such amounts to be certified to\nsuch utilities by such eligible vendors to non-residential energy users,\nsuch amounts to be certified to such utilities by such eligible vendors,\nprovided, however, that the mayor of such city or any agency designated\nby such mayor may by regulation require any or all classes of eligible\nvendors to certify that such rebates have been made as a condition of\nsuch utility being obligated to make discounts in accordance with this\nparagraph. For purposes of this paragraph, sales shall be deemed to\ninclude sales of delivery services consisting of transport and billing\nprovided by a utility to a public utility service operated by such city\nin accordance with a local law adopted pursuant to article fourteen-A of\nthe general municipal law. Any utility providing a discount to an\neligible vendor making a rebate in accordance with paragraph three of\nthis subdivision where such eligible vendor is certified in accordance\nwith subdivision (b) of this section may rely upon the amount of rebates\ncertified by such eligible vendor in accordance with this paragraph,\nunless such utility has knowledge that the amount so certified is\nincorrect; and/or\n (2) Permitting eligible vendors of energy services, in instances where\nsuch eligible vendors sell electricity, gas or steam produced by such\neligible vendors, to: (i) make rebates to non-residential energy users\nas follows: for such sales made during the period commencing with the\nfirst billing cycle which begins on or after July first, nineteen\nhundred eighty-eight and ending with the last billing cycle which begins\non or prior to June thirtieth, nineteen hundred eighty-nine in an amount\nequal to twenty-five per centum of the sales and compensating use taxes\nimposed pursuant to section eleven hundred seven of the tax law; for\nsuch sales made during the period commencing with the first billing\ncycle which begins on or after July first, nineteen hundred eighty-nine\nand ending with the last billing cycle which begins on or prior to June\nthirtieth, nineteen hundred ninety in an amount equal to fifty per\ncentum of the taxes imposed pursuant to such section; for such sales\nmade during the period commencing with the first billing cycle which\nbegins on or after July first, nineteen hundred ninety and ending with\nthe last billing cycle which begins on or prior to June thirtieth,\nnineteen hundred ninety-one in an amount equal to seventy-five per\ncentum of the taxes imposed pursuant to such section; and for such sales\nmade during the period commencing with the first billing cycle which\nbegins on or after July first, nineteen hundred ninety-one and\nthereafter in an amount equal to one hundred per centum of the taxes\nimposed pursuant to such section; and/or (ii) make discounts to other\neligible vendors in amounts equal to the rebates to be made by such\nother eligible vendors to non-residential energy users, such amounts to\nbe certified to such eligible vendors making discounts by such other\neligible vendors, provided, however, that the mayor of such city or any\nagency designated by such mayor may by regulation require any or all\nclasses of such other eligible vendors to certify that such rebates have\nbeen made as a condition of eligibility for receiving discounts in\naccordance with this paragraph. Any eligible vendor providing a discount\nto another eligible vendor making a rebate in accordance with paragraph\nthree of this subdivision where such other eligible vendor is certified\nin accordance with subdivision (b) of this section may rely upon the\namount of rebates certified by such other eligible vendor in accordance\nwith this paragraph, unless such eligible vendor providing a discount\nhas knowledge that the amount so certified is incorrect; and/or\n (3) Permitting eligible vendors of energy services, in instances where\nsuch eligible vendors sell electricity, gas or steam not produced by\nsuch eligible vendors, to make rebates to non-residential energy users\nas follows: for such sales made during the period commencing with the\nfirst billing cycle which begins on or after July first, nineteen\nhundred eighty-eight and ending with the last billing cycle which begins\non or prior to June thirtieth, nineteen hundred eighty-nine in an amount\nequal to twenty-five per centum of the sales and compensating use taxes\nimposed pursuant to section eleven hundred seven of the tax law; for\nsuch sales made during the period commencing with the first billing\ncycle which begins on or after July first, nineteen hundred eighty-nine\nand ending with the last billing cycle which begins on or prior to June\nthirtieth, nineteen hundred ninety in an amount equal to fifty per\ncentum of the taxes imposed pursuant to such section; for such sales\nmade during the period commencing with the first billing cycle which\nbegins on or after July first, nineteen hundred ninety and ending with\nthe last billing cycle which begins on or prior to June thirtieth,\nnineteen hundred ninety-one in an amount equal to seventy-five per\ncentum of the taxes imposed pursuant to such section; and for such sales\nmade during the period commencing with the first billing cycle which\nbegins on or after July first, nineteen hundred ninety-one and\nthereafter in an amount equal to one hundred per centum of the taxes\nimposed pursuant to such section.\n (4) Any local law or laws enacted pursuant to this section shall\ncontain a provision or provisions allowing for a refundable credit to be\ntaken by utilities or eligible vendors of energy services against the\namount of the tax imposed pursuant to authority contained in subdivision\n(a) of section twelve hundred one of the tax law by such city upon such\nutilities and such eligible vendors in the amounts of rebates and\ndiscounts made by such utilities and such eligible vendors pursuant to\nparagraph one or two of this subdivision. If such credit exceeds the\namount of such tax for any month, the excess credit shall be refunded.\nSuch refundable credit shall be taken only after all other applicable\ncredits are taken against such tax.\n (b) No electricity redistributor shall be authorized to provide a\nrebate pursuant to any local law enacted pursuant to this article until\nit has obtained a certification of eligibility from the mayor of such\ncity or any agency designated by such mayor. Such local law may provide\nfor an application fee as determined by the mayor of such city or such\nagency.\n (c) (1) Each utility shall reduce each utility bill for each\nnon-residential energy user by the full amount of the rebate that shall\nhave accrued as described in paragraph one of subdivision (a) of this\nsection for the period covered by each such utility bill. Such amount\nshall be separately stated and shown on such bills. Each such utility\nshall provide a discount in accordance with such paragraph on energy\nbills for each eligible vendor of energy services which has certified\nthat it shall provide or has provided a rebate to a non-residential\nenergy user's energy bill in accordance with paragraph three of such\nsubdivision in the aggregate amount of all applicable rebates. The\nrefundable credit against the tax referred to in paragraph four of such\nsubdivision shall be used to reduce the monthly payments of such tax\notherwise required by law. If such credit exceeds the amount of such tax\nfor any month, the excess credit shall be refunded as provided in\nparagraph four of such subdivision.\n (2) Each eligible vendor of energy services which has elected to\nprovide a rebate to non-residential energy users shall reduce each\nenergy bill for each non-residential energy user by the full amount of\nthe rebate that shall have accrued as described in paragraph two or\nthree of subdivision (a) of this section for the period covered by each\nsuch energy bill. Such amount shall be separately stated and shown on\nsuch bills. Each eligible vendor of energy services as described in\nparagraph two of such subdivision which has elected to provide a\ndiscount in accordance with such paragraph on energy bills for each\neligible vendor of energy services which has certified that it shall\nprovide or has provided a rebate to a non-residential energy user's\nenergy bill in accordance with paragraph three of such subdivision shall\nreduce such energy bills by the aggregate amount of all applicable\nrebates. The refundable credit against the tax referred to in paragraph\nfour of such subdivision shall be used to reduce the monthly payments of\nsuch tax otherwise required by law. If such credit exceeds the amount of\nsuch tax for any month, the excess credit shall be refunded as provided\nin paragraph four of such subdivision.\n (d) The mayor of such city or any agency designated by such mayor\nshall be authorized to promulgate:\n (1) Rules and regulations setting forth criteria by which a\ndetermination may be made as to whether administrative costs exceed a\nreasonable percentage mark-up as set forth in paragraph one of\nsubdivision (c) of section twenty-five-v of this article;\n (2) Rules and regulations to determine the eligibility for benefits\nconferred by any local law enacted pursuant to this article in instances\nwhere energy is consumed in part by other than a non-residential energy\nuser;\n (3) Rules and regulations to limit or withhold, notwithstanding any\ninconsistent provisions of paragraphs one and two of subdivision (a) of\nthis section, the eligibility for rebates by a utility or eligible\nvendor of energy services as described in paragraph two of subdivision\n(a) of this section made in accordance with any local law enacted\npursuant to this article in instances where energy is consumed in part\nby an electricity redistributor in premises where such electricity\nredistributor is also a non-residential energy user and with respect to\nthe electricity redistributed the mark-up for administrative costs\nexceeds that permitted under regulations promulgated pursuant to\nparagraph one of this subdivision;\n (4) Any other rules and regulations necessary to administer and assure\ncompliance with the provisions of this article.\n (e) The corporation counsel of such city may maintain an action in any\ncourt of competent jurisdiction to recover an amount equal to any\nbenefits provided under the provisions of any local law or laws adopted\npursuant to this article which are improperly obtained.\n (f) Such local law may provide that a duplicate of any certification\nprovided to a utility or to an eligible vendor of energy services as\ndescribed in paragraph two of subdivision (a) of this section of the\namount of a rebate made or to be made to a non-residential energy user\nbe provided to the mayor of such city or any agency designated by such\nmayor and may further provide that such duplicate certification be\ndeemed a written instrument for purposes of section 175.00 of the penal\nlaw.\n