§ 1115 — Exemptions from sales and use taxes

New York § 1115

• Jurisdiction: New York
• Law TAX: Tax
• Part 3: Exemptions
• Art. 28: Sales and Compensating Use Taxes

Text

§ 1115. Exemptions from sales and use taxes. (a) Receipts from the\nfollowing shall be exempt from the tax on retail sales imposed under\nsubdivision (a) of section eleven hundred five and the compensating use\ntax imposed under section eleven hundred ten:\n (1) (A) Food, food products, beverages, dietary foods and health\nsupplements, sold for human consumption but not including (i) candy and\nconfectionery, (ii) fruit drinks which contain less than seventy percent\nof natural fruit juice, (iii) soft drinks, sodas and beverages such as\nare ordinarily dispensed at soda fountains or in connection therewith\n(other than coffee, tea and cocoa) and (iv) beer, wine or other\nalcoholic beverages, all of which shall be subject to the retail sales\nand compensating use taxes, whether or not the item is sold in liquid\nform. Nothing in this subparagraph shall be construed as exempting food\nor drink from the tax imposed under subdivision (d) of section eleven\nhundred five of this article.\n (B) Until May thirty-first, two thousand twenty-six, the food and\ndrink excluded from the exemption provided by clauses (i), (ii) and\n(iii) of subparagraph (A) of this paragraph, and bottled water, shall be\nexempt under this subparagraph: (i) when sold for one dollar and fifty\ncents or less through any vending machine that accepts coin or currency\nonly; or (ii) when sold for two dollars or less through any vending\nmachine that accepts any form of payment other than coin or currency,\nwhether or not it also accepts coin or currency.\n (2) Water, when delivered to the consumer through mains or pipes.\n (3) Drugs and medicines intended for use, internally or externally, in\nthe cure, mitigation, treatment or prevention of illnesses or diseases\nin human beings, medical equipment (including component parts thereof)\nand supplies required for such use or to correct or alleviate physical\nincapacity, and products consumed by humans for the preservation of\nhealth but not including cosmetics or toilet articles notwithstanding\nthe presence of medicinal ingredients therein or medical equipment\n(including component parts thereof) and supplies, other than such drugs\nand medicines, purchased at retail for use in performing medical and\nsimilar services for compensation.\n (3-a) Menstrual products, including, but not limited to, pads, tampons\nand panty liners.\n (3-b) Adult-use cannabis products as defined by article twenty-C of\nthis chapter.\n (4) Prosthetic aids, hearing aids, eyeglasses and artificial devices\nand component parts thereof purchased to correct or alleviate physical\nincapacity in human beings.\n (5) Newspapers and periodicals.\n (6) (A) Tangible personal property, whether or not incorporated in a\nbuilding or structure, for use or consumption predominantly either in\nthe production for sale of tangible personal property by farming or in a\ncommercial horse boarding operation, or in both.\n (B) With respect to the exemption of motor vehicles under this\nparagraph, (i) use of a motor vehicle either in the production phase of\nfarming or in a commercial horse boarding operation, or in both, shall\nbe defined as any use of the motor vehicle on property either farmed or\nused in a commercial horse boarding operation, or both, by the motor\nvehicle purchaser or user or in direct and uninterrupted trips between\nproperties farmed or used in such operation, or both, by the motor\nvehicle purchaser or user, and (ii) "predominantly" shall mean that more\nthan fifty percent of the motor vehicle's use is either in the\nproduction phase of farming or in a commercial horse boarding operation,\nor in both. The percentage of such vehicle's use either in the\nproduction phase of farming or in a commercial horse boarding operation,\nor in both, may be computed either on the basis of mileage or hours of\nuse, at the discretion of the motor vehicle purchaser or user. A person\nmay purchase a motor vehicle qualifying for exemption under this\nparagraph without payment of tax imposed by section eleven hundred five\nor eleven hundred ten of this article by furnishing the vendor a\nproperly completed exemption certificate promulgated by the\ncommissioner; and such purchaser may register such vehicle or apply for\na certificate of title for such vehicle with the commissioner of motor\nvehicles or a county clerk, without payment of such taxes, by furnishing\nsuch a properly completed certificate to such commissioner or clerk.\n (7) Tangible personal property sold by a mortician, undertaker or\nfuneral director. However, all tangible personal property sold to a\nmortician, undertaker or funeral director for use in the conducting of\nfunerals shall not be deemed a sale for resale within the meaning of\nparagraph (4) of subdivision (b) of section eleven hundred one of this\nchapter and shall not be exempt from the retail sales tax.\n (8) Commercial vessels primarily engaged in interstate or foreign\ncommerce and property used by or purchased for the use of such vessels\nfor fuel, provisions, supplies, maintenance and repairs (other than\narticles purchased for the original equipping of a new ship).\n (9) Fuel sold to an air line for use in its airplanes.\n (10) Tangible personal property purchased for use or consumption\ndirectly and predominantly in research and development in the\nexperimental or laboratory sense. Such research and development shall\nnot be deemed to include the ordinary testing or inspection of materials\nor products for quality control, efficiency surveys, management studies,\nconsumer surveys, advertising, promotions or research in connection with\nliterary, historical or similar projects.\n (11) The flags of the United States of America and the state of New\nYork.\n (11-a) Any military decorations, including but not limited to,\nribbons, medals, mini-medals, and lapel pins, when sold to a purchaser:\n(i) who is a veteran of the United States provided that the purchaser\nshall present to the vendor proof in the form of discharge papers, or\nother official documentation, of his or her veteran status; or (ii) who\nis an active member of the military provided that the purchaser shall\npresent to the vendor proof or other official documentation of actual\nmilitary service.\n (11-b) Military service flags, prisoner of war flags and blue star\nbanners.\n (12) Machinery or equipment for use or consumption directly and\npredominantly in the production of tangible personal property, gas,\nelectricity, refrigeration or steam for sale, by manufacturing,\nprocessing, generating, assembling, refining, mining or extracting, but\nnot including parts with a useful life of one year or less or tools or\nsupplies used in connection with such machinery or equipment. This\nexemption shall include all pipe, pipeline, drilling rigs, service rigs,\nvehicles and associated equipment used in the drilling, production and\noperation of oil, gas, and solution mining activities to the point of\nsale to the first commercial purchaser.\n (12-a) Tangible personal property for use or consumption directly and\npredominantly in the receiving, initiating, amplifying, processing,\ntransmitting, retransmitting, switching or monitoring of switching of\ntelecommunications services for sale or internet access services for\nsale or any combination thereof. Such tangible personal property exempt\nunder this subdivision shall include, but not be limited to, tangible\npersonal property used or consumed to upgrade systems to allow for the\nreceiving, initiating, amplifying, processing, transmitting,\nretransmitting, switching or monitoring of switching of\ntelecommunications services for sale or internet access services for\nsale or any combination thereof. As used in this paragraph, the term\n"telecommunications services" shall have the same meaning as defined in\nparagraph (g) of subdivision one of section one hundred eighty-six-e of\nthis chapter.\n * (12-b) (i) Machinery, equipment or apparatus used or consumed\ndirectly and predominantly to upgrade cable television systems to allow\nfor the receiving, initiating, amplifying, processing, transmitting,\nretransmitting, switching or monitoring of switching of digital cable\ntelevision service for sale, including parts with a useful life of one\nyear or less and tools or supplies used in connection with such\nmachinery, equipment or apparatus; and (ii) to the extent not otherwise\nexempt, equipment or apparatus, sold to an entity principally engaged in\nfurnishing cable television service for sale, for use or consumption\ndirectly and predominantly in the receiving, initiating, amplifying,\nprocessing, transmitting, retransmitting, switching or monitoring of\nswitching of internet access service for sale, including parts with a\nuseful life of one year or less and tools and supplies used in\nconnection with such equipment or apparatus. As used in this paragraph,\nthe term "digital cable television service" shall mean cable television\nservice, as defined in subparagraph two of paragraph (b) of subdivision\ntwo of section one hundred eighty-six-e of this chapter, transmitted by\nthe use of digital technology; and the term "internet access service"\nshall mean such term as defined in subdivision (v) of this section.\n * NB Expired September 1, 2003\n 13. Tangible personal property sold through coin operated vending\nmachines at ten cents or less, provided the retailer is primarily\nengaged in making such sales and maintains records satisfactory to the\nstate tax commission.\n (13-a) Tangible personal property sold through coin operated bulk\nvending machines at fifty cents or less, provided the retailer is\nprimarily engaged in making such sales and maintains records\nsatisfactory to the commissioner. As used in this paragraph, "bulk\nvending machine" means a vending machine, containing unsorted\nmerchandise, which, upon insertion of a coin, dispenses the same in\napproximately equal portions, at random and without selection by the\ncustomer.\n (13-b) Temporary transportation devices sold through coin-operated\nequipment, provided the retailer is primarily engaged in making such\nsales and maintains records satisfactory to the commissioner. As used in\nthis paragraph, "temporary transportation device" means an instrument of\ntransport used for a limited period of time for the purpose of carrying\nluggage or merchandise a short distance within a facility of\nembarkation/disembarkation or a facility where such merchandise was\npurchased.\n (14) Motor vehicles, as such term is defined in section one hundred\ntwenty-five of the vehicle and traffic law, sold by a husband or wife to\nhis or her spouse, or by a parent to his or her child, or by a child to\nhis or her parent. Provided, however, this exemption shall not apply if\nthe vendor is a dealer as defined in section four hundred fifteen of the\nvehicle and traffic law.\n (14-a) Motor vehicles, as such term is defined in section one hundred\ntwenty-five of the vehicle and traffic law, upon registration of such\nmotor vehicle if such motor vehicle was purchased in another state by a\nperson while he or she was in the military service of the United States\nupon the return of such person to this state, as long as he or she has\nproof of payment, whether made by the seller or purchaser, in another\nstate of one or more of the following taxes on such motor vehicle:\nsales, use, excise, usage, or a highway use tax necessary to obtain\ntitle.\n (15) Tangible personal property sold to a contractor, subcontractor or\nrepairman for use in (i) erecting a structure or building (A) of an\norganization described in subdivision (a) of section eleven hundred\nsixteen or (B) used predominantly either in the production phase of\nfarming or in a commercial horse boarding operation, or in both, or (ii)\nadding to, altering or improving real property, property or land (A) of\nsuch an organization or (B) used predominantly either in the production\nphase of farming or in a commercial horse boarding operation, or in\nboth, as the terms real property, property or land are defined in the\nreal property tax law; provided, however, no exemption shall exist under\nthis paragraph unless such tangible personal property is to become an\nintegral component part of such structure, building or real property.\n (16) Tangible personal property sold to a contractor, subcontractor or\nrepairman for use in maintaining, servicing or repairing real property,\nproperty or land (i) of an organization described in subdivision (a) of\nsection eleven hundred sixteen or (ii) used predominantly either in the\nproduction phase of farming or in a commercial horse boarding operation,\nor in both, as the terms real property, property or land are defined in\nthe real property tax law; provided, however, no exemption shall exist\nunder this paragraph unless such tangible personal property is to become\nan integral component part of such structure, building or real property.\n (17) Tangible personal property sold by a contractor, subcontractor or\nrepairman to a person other than an organization described in\nsubdivision (a) of section eleven hundred sixteen, for whom he is adding\nto, or improving real property, property or land by a capital\nimprovement, or for whom he is about to do any of the foregoing, if such\ntangible personal property is to become an integral component part of\nsuch structure, building or real property; provided, however, that if\nsuch sale is made pursuant to a contract irrevocably entered into before\nSeptember first, nineteen hundred sixty-nine, no exemption shall exist\nunder this paragraph.\n (18) Tangible personal property sold by a person at his residence\nprovided such person or any member of his household does not conduct a\ntrade or business in which similar items are sold, and the receipts from\nsuch sales can reasonably be expected not to exceed six hundred dollars\nin a calendar year. If such person reasonably expects that his receipts\nfrom such sales will not exceed six hundred dollars in a calendar year,\nbut such receipts do exceed such sum, the exemption provided for in this\nparagraph will apply but only to the first six hundred dollars of\nreceipts in such calendar year. Provided, however, where a person\nsixteen years of age or older has engaged in such sales for three days\nin a calendar year, the exemption provided for in this paragraph shall\nnot apply to subsequent sales in that calendar year. The exemption\nprovided for in this paragraph shall also not apply to (A) sales at a\nprivate residence conducted by an auctioneer, sheriff or other third\nparty, (B) a sale held to liquidate an estate or (C) the sale of boats,\nsnowmobiles or motor vehicles except such sales of motor vehicles within\nthe exemptions of paragraph fourteen of subdivision (a) of this section.\n (18-a) Tangible personal property manufactured and sold by a veteran,\nas defined in section twenty-two of the veterans' services law, for the\nbenefit of a veteran's service organization, provided that such person\nor any member of his or her household does not conduct a trade or\nbusiness in which similar items are sold, the first two thousand five\nhundred dollars of receipts from such sales in a calendar year.\n (19) Cartons, containers, and wrapping and packaging materials and\nsupplies, and components thereof for use and consumption by a vendor in\npackaging or packing tangible personal property for sale, and actually\ntransferred by the vendor to the purchaser.\n (19-a) Milk crates purchased by a dairy farmer or New York state\nlicensed milk distributor and used exclusively and directly for the\npackaging and delivery of milk and milk products to customers.\n (20) Paper, ink and any other tangible personal property purchased for\nuse in the publication of a shopping paper, as such term is defined in\nand limited by subdivision (i) of this section, which is to become a\nphysical component part of such paper.\n (21) Commercial aircraft primarily engaged in intrastate, interstate\nor foreign commerce, machinery or equipment to be installed on such\naircraft and property used by or purchased for the use of such aircraft\nfor maintenance and repairs and flight simulators purchased by\ncommercial airlines.\n (21-a) General aviation aircraft, and machinery or equipment to be\ninstalled on such aircraft. For purposes of this subdivision, "general\naviation aircraft" means an aircraft that is used in civil aviation,\nthat is not a commercial aircraft as defined in paragraph seventeen of\nsubdivision (b) of section eleven hundred one of this article, military\naircraft, unmanned aerial vehicle or drone.\n (22) The rental or lease of trucks, tractors or tractor-trailer\ncombinations to an authorized carrier, pursuant to a written contractual\nagreement, for use in the transportation for hire of tangible personal\nproperty as augmenting equipment by such authorized carrier, provided\nthat under such rental, lease or license to use, the owner of any such\nvehicle or any employee of such owner operates such vehicle. For\npurposes of this paragraph, the term "authorized carrier" shall have the\nsame meaning given that term in subpart-A of part ten hundred\nfifty-seven of title forty-nine of the code of federal regulations and\nin part eight hundred forty-five of title seventeen of the codes, rules\nand regulations of the state of New York, as the case may be, and the\nterm "augmenting equipment" shall have the same meaning given that term\nin such part of such title of the codes, rules and regulations of the\nstate of New York.\n (23) Used mobile homes.\n (24) Fishing vessels used directly and predominantly in the harvesting\nof fish for sale, and property used by or purchased for the use of such\nvessels for fuel, provisions, supplies, maintenance and repairs. For the\npurpose of this paragraph the term fishing vessel shall not include any\nvessel used predominantly for sport fishing purposes.\n (25) Natural gas used for personal residence consumption by a land\nowner from, or provided in exchange for gas from, a natural gas well\nlocated on property owned by such land owner, such gas having been set\naside for the property owner's use by lease.\n (26) Tractors, trailers or semi-trailers, as such terms are defined in\narticle one of the vehicle and traffic law, and property installed on\nsuch vehicles for their equipping, maintenance or repair, provided such\nvehicle is used in combination where the gross vehicle weight of such\ncombination exceeds twenty-six thousand pounds.\n (27) Precious metal bullion sold for investment, provided that (i) the\nretailer, if so required, is registered pursuant to section three\nhundred fifty-nine-e of the general business law and (ii) the receipt or\nconsideration given or contracted to be given for such bullion depends\nonly on the value of the metal content of such bullion. "Precious metal\nbullion" means bars, ingots or coins of gold, silver, platinum,\npalladium, rhodium, ruthenium or iridium, but shall not include bars,\ningots or coins which have been manufactured, processed, assembled,\nfabricated or used for an industrial, professional, esthetic or artistic\npurpose. Precious metal bullion shall be deemed to be sold for\ninvestment when it is sold for more than one thousand dollars and the\npurchaser or user or agent of either of them holds it in the same form\nas when it was purchased and does not manufacture, process, assemble or\nfabricate such bullion for its own use. For purposes of this paragraph,\nthe receipt or consideration given or contracted to be given shall be\ndeemed to depend only on the value of the metal content if, at the time\nof sale or purchase at retail, such receipt or consideration does not\nexceed (i) one hundred forty percent, with respect to silver coins, or\n(ii) one hundred twenty percent, with respect to gold coins weighing\none-quarter of an ounce or less, or (iii) one hundred fifteen percent,\nwith respect to other coins, of the greater of (A) the daily closing\nbullion cash price of such metal in the open market or (B) the coins'\nface value at prevailing rates of exchange, or (iv), with respect to\nbars and ingots, one hundred fifteen percent of such bullion cash price\nof such metal. Where there is no such closing price for such metal, the\naverage of the bid and asked cash prices shall be substituted for such\nclosing price.\n (28) Computer software designed and developed by the author or creator\nto the specifications of a specific purchaser which is transferred\ndirectly or indirectly to a corporation which is a member of an\naffiliated group of corporations within the meaning of subparagraph six\nof paragraph (b) of subdivision seventeen of section two hundred eight\nof this chapter except for clauses (ii) and (iii) of such subparagraph\nthat includes such purchaser, or to a partnership in which such\npurchaser and other members of such affiliated group have at least a\nfifty percent capital or profits interest (but only if the transfer is\nnot in pursuance of a plan having as its principal purpose the avoidance\nor evasion of tax under this article), but in no case including computer\nsoftware which is pre-written, as defined in paragraph six of\nsubdivision (b) of section eleven hundred one of this article and\navailable to be sold to customers in the ordinary course of the seller's\nbusiness.\n (29) a horse which is a racehorse registered with the jockey club, the\nUnited States trotting association or the national steeplechase and hunt\nassociation (or such a horse during the first twenty-four months of its\nlife if it is eligible to be so registered) which is purchased or used\nwith the intent that it shall be entered in an event on which\npari-mutuel wagering is authorized by law, except that the exemption\nprovided for under this paragraph shall not apply to any such horse\nwhich is considered to be at least four years old and has never raced in\nan event on which pari-mutuel wagering is authorized by law. Provided,\nfurther, the purchaser of such a racehorse must give to the seller a\ncertification containing such information as the commissioner of\ntaxation and finance shall require, which shall include a statement to\nthe effect that the purchaser intends to enter such horse in events on\nwhich pari-mutuel wagering is authorized by law. Such certification\nshall be retained by such seller, together with documentary proof of the\nage of such horse, for a three-year period. The provisions of this\nparagraph shall apply to all sales and uses of racehorses occurring on\nand after June first, nineteen hundred ninety-four.\n (30) Clothing and footwear for which the receipt or consideration\ngiven or contracted to be given is less than one hundred ten dollars per\narticle of clothing, per pair of shoes or other articles of footwear or\nper item used or consumed to make or repair such clothing and which\nbecomes a physical component part of such clothing.\n (30-a) Diapers intended for human use including, but not limited to:\ndisposable, reusable, adult, and children's diapers.\n * (31) Copies sold through coin operated photocopying machines at\nfifty cents or less. As used in this paragraph, "photocopying machine"\nmeans a vending machine which, upon insertion of a coin, copies a\ndocument for a purchaser.\n * NB There are 2 par. (31)'s\n * (31) Enhanced emissions inspection equipment, certified by the\ndepartment of environmental conservation, pursuant to regulations\npromulgated by such department, for use in an enhanced emissions\ninspection and maintenance program as required by the federal clean air\nact of 1990, as amended in nineteen hundred ninety(42 U.S.C. 7401 et\nseq.) and the New York state clean air compliance act enacted by chapter\n608 of the laws of 1993, where such equipment is purchased and used by\nan official inspection station licensed by the commissioner of motor\nvehicles under article five of the vehicle and traffic law and\nauthorized to conduct the enhanced emission inspections required by such\nfederal act.\n * NB There are 2 par. (31)'s\n (32) Omnibuses, as such term is defined in article one of the vehicle\nand traffic law, weighing at least twenty-six thousand pounds and\nmeasuring at least forty feet in length and parts, equipment and\nlubricants purchased and used in their operation, provided such\nomnibuses are used to transport persons for hire by a carrier operating\npursuant to a certificate of authority issued by the New York state\ncommissioner of transportation or by an appropriate agency of the United\nStates. Where receipts from the sale of or consideration given or\ncontracted to be given for the purchase of an omnibus or other property\nhas been exempted under this paragraph, such receipts or consideration\nshall not also qualify for the refund or credit described in subdivision\n(b) of section eleven hundred nineteen of this article; where any or all\nof the tax on receipts from the sale of or consideration given or\ncontracted to be given for the purchase of an omnibus or other property\nhas been refunded or credited under such subdivision (b), no part of\nsuch receipts or consideration shall be exempt under this paragraph.\nNothing in this paragraph shall be construed to affect the refund or\ncredit under subdivision (b) of such section eleven hundred nineteen\nwith respect to the purchase or use of motor fuel or diesel motor fuel.\n (33) Wine or wine product, beer or beer product, cider or cider\nproduct, liquor or liquor product, mead or mead product, and the kegs,\ncans, bottles, growlers, corks, caps, and labels used to package such\nalcoholic product, furnished by the official agent of a farm winery,\nwinery, brewery, farm brewery, cider producer, farm cidery, distillery,\nfarm distillery, mead producer, farm meadery, wholesaler, or importer at\na tasting held in accordance with the alcoholic beverage control law to\na customer or prospective customer who consumes such wine, beer, cider,\nliquor or mead at such tasting.\n (34) Textbooks purchased by full and part time college students for\ntheir courses; provided, however, that upon purchase such a student\nshall present a valid student identification card, and such a textbook\nshall be required for a course being taken by such student at an\ninstitution of higher education. For purposes of this subdivision the\nterm:\n (i) "Textbooks" includes only those books specifically written,\ndesigned or produced for educational, instructional or pedagogical\npurposes.\n (ii) "Institution of higher education" shall mean any institution of\nhigher education, recognized and approved by the regents of the\nuniversity of the state of New York or accredited by a nationally\nrecognized accrediting agency or association accepted as such by the\nregents of the university of the state of New York, which provides a\ncourse of study leading to the granting of a post-secondary degree,\ncertificate or diploma.\n (35) Computer system hardware used or consumed directly and\npredominantly in designing and developing computer software for sale or\nin providing the service, for sale, of designing and developing internet\nwebsites.\n (36) Parts with a useful life of one year or less, tools and supplies\nfor use or consumption directly and predominantly in the production for\nsale of gas or oil by manufacturing, processing, generating, assembling,\nrefining, mining, or extracting.\n (37) (i) Machinery, equipment and other tangible personal property\nspecified herein, sold to a person operating an internet data center\nlocated in this state for use in such a center, where such property: (A)\nwill be located or installed in a facility or structure which is an\ninternet data center and (B) is required for and directly related to the\nprovision of internet website services for sale by the operator of the\ncenter. Such property shall include computer system hardware including\nservers and routers, computer software, storage racks and cages for\ncomputer equipment, interior fiber optic and copper cables, property\nrequired to maintain the appropriate climate controlled environment for\nthe property in the internet data center such as air filtration and air\nconditioning equipment and vapor barriers, property related to fire\ncontrol such as fire suppression equipment and alarms, power generators,\npower conditioners, property related to providing a secure environment\nsuch as protective barriers, property which when installed in such\nfacility or structure will constitute raised flooring and other similar\nproperty. For purposes of this paragraph the operator of an internet\ndata center is a person (A) operating a facility which consists of a\ndata center specifically designed and constructed to provide a high\nsecurity environment for the location of servers and similar equipment\non which reside internet websites; and (B) providing at such facility\nthe internet website services of: (I) uninterrupted internet access to\nits customers' web pages in a secure environment and (II) continuous\ninternet traffic management for its customers' web pages.\n (ii) For purposes of this paragraph, an operator of an internet data\ncenter, primarily engaged in the sale from such center of internet\naccess services exempt from tax under subdivision (v) of this section,\nis not providing internet website services for sale. Primarily engaged\nshall mean that more than fifty percent of the use of all the machinery,\nequipment and other specified property in any such center, which would\notherwise be exempt under this paragraph, is for the rendition of such\ninternet access services.\n (iii) Receipts from the retail sale of the tangible personal property\nexempt pursuant to subparagraph (i) of this paragraph if purchased by an\noperator of an internet data center, shall be exempt when purchased by a\ncontractor, subcontractor or repairman for use as described in such\nsubparagraph (i), where such property is to become a capital improvement\nto real property.\n (iv) In order to receive the exemption provided for under this\nparagraph or subdivision (y) of this section, the operator of the\ninternet data center or the contractor, subcontractor or repairman shall\nfurnish to the vendor of the exempt property or services a certificate\nin such form and containing such information as may be prescribed by the\ncommissioner.\n (38) (A) Machinery or equipment or other tangible personal property\n(including parts, tools and supplies) for use or consumption by a\nbroadcaster directly and predominantly in the production (including\npost-production) of live or recorded programs which are used or consumed\nby a broadcaster predominantly for the purpose of broadcast over-the-air\nby such broadcaster or transmission through a cable television or direct\nbroadcast satellite system by such broadcaster. Tangible personal\nproperty, which is described in the preceding sentence, and which is\nleased by a broadcaster to another person for that person's use or\nconsumption directly and predominantly in the production (including\npost-production) of such live or recorded programs by such person, shall\nbe deemed to be used or consumed by the lessor for purposes of applying\nthe directly and predominantly requirement of this subparagraph.\n (B) Machinery or equipment or other tangible personal property\n(including parts, tools and supplies) for use or consumption by a\nbroadcaster directly and predominantly in the transmission of live or\nrecorded programs over-the-air or through a cable television or direct\nbroadcast satellite system by such broadcaster. Tangible personal\nproperty, which is described in the preceding sentence, and which is\nleased by a broadcaster to another person for that person's use or\nconsumption directly and predominantly in the transmission of such live\nor recorded programs by such person, shall be deemed to be used or\nconsumed by the lessor for purposes of applying the directly and\npredominantly requirement of this subparagraph.\n (C) For purposes of this paragraph: (i) the term "broadcaster" means a\ntelevision or radio station licensed by the federal communications\ncommission, a television or radio broadcast network or a cable\ntelevision network. The term "television or radio broadcast network"\nmeans an organization which produces and/or purchases programs intended\nfor transmission by affiliated television or radio stations licensed by\nthe federal communications commission and which has distribution\nfacilities or circuits available to such affiliated stations during all\nor some portion of one or more days during each week. The term "cable\ntelevision network" means an organization which produces and/or\npurchases programs intended for transmission either by direct broadcast\nsatellite systems or by cable systems pursuant to an affiliation or\nsimilar agreement and which has distribution facilities or circuits\navailable to such direct broadcast satellite systems or such cable\nsystems during all or some portion of one or more days during each week.\nFor the purpose of subparagraph (B) of this paragraph, the term\n"broadcaster" shall not include cable system operators and direct\nbroadcast satellite system operators. Provided, however, for the purpose\nof subparagraph (A) of this paragraph, such term shall also include a\ncable system operator or a direct broadcast satellite system operator\nsolely with respect to machinery or equipment or other tangible personal\nproperty (including parts, tools and supplies) for use or consumption by\nit directly and predominantly in the production (including\npost-production) of live or recorded programs intended for transmission\nto its viewers over its system; (ii) the term "programs" means any\nperformance, event, play, story or literary, musical, artistic or other\nwork used for entertainment or educational purposes, including but not\nlimited to news, news specials, sporting events, game shows, talk shows\nand commercials; and (iii) the term "recorded programs" means any\nprogram contained on any medium.\n (39) Tangible personal property for use or consumption directly and\npredominantly in the production, including editing, dubbing and mixing,\nof a film for sale regardless of the medium by means of which the film\nis conveyed to a purchaser. For purposes of this paragraph, the term\n"film" means feature films, documentary films, shorts, television films,\ntelevision commercials and similar productions.\n (40) Machinery or equipment for use or consumption directly and\npredominantly in the control, prevention, or abatement of pollution or\ncontaminants from manufacturing or industrial facilities, to the extent\nsuch machinery or equipment is not otherwise exempt under paragraph\ntwelve of this subdivision.\n (41) machinery and equipment for use directly and predominantly in\nloading, unloading and handling cargo at a marine terminal facility\nlocated in a city with a population of one million or more which in two\nthousand three, handled more than three hundred fifty thousand\ntwenty-foot equivalent units (TEUs). For the purpose of this section the\nterm twenty-foot equivalent unit (TEU) is used to express the relative\nnumber of containers based on the equivalent length of a twenty-foot\ncontainer.\n * (42) E85, CNG or hydrogen, for use or consumption directly and\nexclusively in the engine of a motor vehicle and natural gas purchased\nand converted into CNG, for use or for sale for use or consumption\ndirectly and exclusively in the engine of a motor vehicle.\n * NB Repealed September 1, 2026\n (43) Ferry boats used directly and predominantly to provide ferry\nservice for vehicles and passengers within a county or counties by a\nferry company whose rates for that ferry service are regulated by the\ncounty or counties in which that service is provided under section one\nhundred thirty-one-g of the highway law and property used by or\npurchased for the use of those exempt ferry boats for fuel, provisions,\nsupplies, maintenance and repairs.\n (44) monuments as that term is defined in paragraph (f) of section\nfifteen hundred two of the not-for-profit corporation law, and tangible\npersonal property that will become a physical component part of such\nmonuments.\n (45) Sales by a brewery licensed under section fifty-one of the\nalcoholic beverage control law, or a farm brewery licensed under section\nfifty-one-a of such law, of no more than four samples of beer not\nexceeding four fluid ounces each, and each sample shall be a different\nbeer than the others. Only a customer's first purchase during each\ncalendar day at each licensed entity shall be exempt under this\nparagraph.\n (46) Breast pump replacement parts and breast pump collection and\nstorage supplies to an individual purchaser for home use. For purposes\nof this subdivision:\n (A) "Breast pump replacement parts" shall mean items used in\nconjunction with a breast pump to collect milk expressed from a human\nbreast and shall include, but not be limited to: breast shields and\nbreast shield connectors; breast pump tubes and tubing adapters; breast\npump valves and membranes; backflow protectors and backflow protector\nadapters; and bottles and bottle caps specific to the operation of the\nbreast pump. "Breast pump replacement parts" does not include storage\nbags and infant feeding bottles that are not specifically designed for,\nor a component part of, a breast pump.\n (B) "Breast pump collection and storage supplies" shall mean breast\nmilk storage bags used to collect breast milk and to store collected\nbreast milk until it is ready for consumption.\n (b) (i) Telephony and telegraphy and telephone and telegraph service\nused by newspapers, electronic news services, radio broadcasters and\ntelevision broadcasters in the collection or dissemination of news shall\nbe exempt from the tax imposed under subdivision (b) of section eleven\nhundred five of this article if the charge for such services is a toll\ncharge or a charge for mileage services, including the associated\nstation terminal equipment.\n (ii) Gas, electricity, refrigeration and steam, and gas, electric,\nrefrigeration and steam service of whatever nature for use or\nconsumption directly and exclusively in research and development in the\nexperimental or laboratory sense shall be exempt from the tax imposed\nunder subdivision (b) of section eleven hundred five and the\ncompensating use tax imposed under section eleven hundred ten of this\narticle. Such research and development shall not be deemed to include\nthe ordinary testing or inspection of materials or products for quality\ncontrol, efficiency surveys, management studies, consumer surveys,\nadvertising, promotions or research in connection with literary,\nhistorical or similar projects.\n (iii) (A) Electricity, steam, and refrigeration and electric, steam,\nand refrigeration services that are (1) metered and (2) generated or\nproduced by a cogeneration facility owned or operated by a cooperative\ncorporation containing at least fifteen hundred apartments, where such\nelectricity, steam, or refrigeration and/or electric, steam, or\nrefrigeration services are distributed to tenants and/or occupants of a\ncooperative corporation, shall be exempt from the taxes imposed under\nsubdivisions (a) and (b) of section eleven hundred five and the\ncompensating use tax imposed under section eleven hundred ten of this\narticle.\n (B) For purposes of this paragraph, the term "cogeneration facility"\nmeans (1) a facility that produces electric energy and steam or other\nforms of useful energy (such as heat) that are used for industrial,\ncommercial, or residential heating or cooling purposes that was in\noperation before January first, two thousand four, and is used to\ngenerate electricity and/or thermal energy produced by such facility\nwhen such electricity and/or thermal energy is supplied to and used by\ntenants and/or occupants of a cooperative corporation; or (2) a\ncogeneration facility, as defined in clause one of this subparagraph,\nthat has been replaced by any other facility used to generate\nelectricity and/or thermal energy produced by such facility when such\nelectricity and/or thermal energy is supplied to and used by tenants\nand/or occupants of a cooperative corporation.\n (C) For purposes of this paragraph, the term "cooperative corporation"\nmeans a corporation organized under the laws of New York, at least some\nof the stockholders of which are entitled, by reason of the\nstockholders' ownership interest of stock in the corporation, to occupy\nfor dwelling purposes an apartment in a building owned by the\ncorporation pursuant to a lease or occupancy agreement with the\ncorporation.\n (D) Fuel, gas, electricity, refrigeration and steam, and gas,\nelectric, refrigeration and steam service, used or consumed in the\nproduction of electricity, steam, and refrigeration and electric, steam,\nand refrigeration services for sale that are exempted under subparagraph\n(A) of this paragraph, shall not be entitled to the exemption provided\nby paragraph one of subdivision (c) of this section.\n (c) (1) Fuel, gas, electricity, refrigeration and steam, and gas,\nelectric, refrigeration and steam service of whatever nature for use or\nconsumption directly and exclusively in the production of tangible\npersonal property, gas, electricity, refrigeration or steam, for sale,\nby manufacturing, processing, assembling, generating, refining, mining\nor extracting shall be exempt from the taxes imposed under subdivisions\n(a) and (b) of section eleven hundred five and the compensating use tax\nimposed under section eleven hundred ten of this article.\n (2) Fuel, gas, electricity, refrigeration and steam, and gas,\nelectric, refrigeration and steam service of whatever nature for use or\nconsumption either in the production of tangible personal property, for\nsale, by farming or in a commercial horse boarding operation, or in\nboth, shall be exempt from the taxes imposed under subdivisions (a) and\n(b) of section eleven hundred five and the compensating use tax imposed\nunder section eleven hundred ten of this article.\n (d) Services otherwise taxable under paragraph (1), (2), (3), (7) or\n(8) of subdivision (c) of section eleven hundred five shall be exempt\nfrom tax under this article if the tangible property upon which the\nservices were performed is delivered to the purchaser outside this state\nfor use outside this state.\n (e) Telephone and telegraph service paid for by inserting coins in\ncoin operated telephones where the charge is twenty-five cents or less\nshall be exempt from the tax imposed under subdivision (b) of section\neleven hundred five. For the purposes of this subdivision, each payment\nfor overtime or additional usage beyond the initial usage period shall\nbe deemed to be a separate charge.\n (f) (1) Services rendered by a veterinarian licensed and registered as\nrequired by the education law which constitute the practice of\nveterinary medicine as defined in said law, including hospitalization\nfor which no separate boarding charge is made, shall not be subject to\ntax under paragraph (3) of subdivision (c) of section eleven hundred\nfive, but the exemption allowed by this subdivision shall not apply to\nother services provided by a veterinarian to pets and other animals,\nincluding, but not limited to, boarding, grooming and clipping. Articles\nof tangible personal property designed for use in some manner relating\nto domestic animals or poultry, when sold by such a veterinarian, shall\nnot be subject to tax under subdivision (a) of section eleven hundred\nfive or under section eleven hundred ten. However, the sale of any such\narticles of tangible personal property to a veterinarian shall not be\ndeemed a sale for resale within the meaning of paragraph (4) of\nsubdivision (b) of section eleven hundred one and shall not be exempt\nfrom retail sales tax.\n (2) Drugs or medicine sold to or used by a veterinarian for use in\nrendering services that are exempt pursuant to paragraph one of this\nsubdivision to livestock or poultry used in the production for sale of\ntangible personal property by farming, or sold to a person qualifying\nfor the exemption provided for in paragraph six of subdivision (a) of\nthis section for use by such person on such livestock or poultry.\n (g) Services otherwise taxable under paragraph (3) of subdivision (c)\nof section eleven hundred five shall be exempt from tax (1) if performed\nupon prosthetic aids, hearing aids, eyeglasses, artificial devices or\nmedical equipment when receipts from the retail sale of such items are\nexempt from tax under the provisions of paragraphs three and four of\nsubdivision (a) of this section or (2) if performed upon tractors,\ntrailers or semi-trailers or on property installed on such vehicles for\ntheir equipping, maintenance or repair when receipts from the retail\nsale of such items are exempt from tax under the provisions of paragraph\ntwenty-six of subdivision (a) of this section.\n (h) Sales of tangible personal property by a railroad in\nreorganization to a profitable railroad, as such terms are defined in\nsection one hundred two of the rail reorganization act of nineteen\nhundred seventy-three, as part of a plan of reorganization and\nrestructuring under such rail reorganization act, shall be exempt from\nthe tax on retail sales imposed under subdivision (a) of section eleven\nhundred five and the compensating use tax imposed under section eleven\nhundred ten.\n (i) (A) Receipts from the retail sale of a shopping paper to the\npublisher of such publication shall be exempt from the tax imposed by\nsubdivision (a) of section eleven hundred five of this article and\nreceipts from the sale of printing services performed in publishing such\npaper shall be exempt from the tax imposed by paragraph two of\nsubdivision (c) of such section.\n (B) For purposes of this subdivision, the term "shopping paper" shall\nmean those community publications distributed to the public, without\nconsideration, for purposes of advertising and public information. To\nqualify as a shopping paper for purposes of this subdivision, the\npublication must also:\n (1) be distributed to the public on a community-wide basis,\n (2) be published at stated intervals at least fifty times a year;\n (3) having continuity as to title and general nature of content from\nissue to issue,\n (4) contain in each issue news of general or community interest and\ncommunity notices or editorial comment or articles by different authors;\n (5) not constitute a book, either singly or when successive issues are\nput together;\n (6) contain in each issue advertisements from numerous unrelated\nadvertisers;\n (7) be independently owned in that the publication is not owned by or\nunder the control of the owners or lessees of a shopping center or a\nmerchants association or similar entity or a business which sells\nproperty or services (other than advertising) and the advertisements in\nsuch publication are not predominantly for the property or services sold\nby such business; and\n (8) meet the requirement set forth in paragraph (C) of this\nsubdivision.\n (C) The advertisements in such publication shall not exceed ninety\npercent of the printed area of all issues as averaged on an annual\nbasis.\n (D) The term "shopping paper" shall not include mail order and other\ncatalogs, advertising fliers, travel brochures, house organs, theatre\nprograms, telephone directories, shipping and restaurant guides, racing\ntip and form sheets, shopping center advertising sheets and similar\npublications.\n * (j) The exemptions provided in this section shall not apply to the\ntax required to be prepaid pursuant to the provisions of section eleven\nhundred two of this article nor to the taxes imposed by sections eleven\nhundred five and eleven hundred ten of this article with respect to\nreceipts from sales and uses of motor fuel or diesel motor fuel, except\nthat the exemptions provided in paragraphs nine and forty-two of\nsubdivision (a) of this section shall apply to the tax required to be\nprepaid pursuant to the provisions of section eleven hundred two of this\narticle and to the taxes imposed by sections eleven hundred five and\neleven hundred ten of this article with respect to sales and uses of\nkero-jet fuel, CNG, hydrogen and E85, provided, however, the exemption\nallowed for E85 shall be subject to the additional requirements provided\nin section eleven hundred two of this article with respect to E85. The\nexemption provided in subdivision (c) of this section shall apply to\nsales and uses of non-highway diesel motor fuel but only if all of such\nfuel is consumed other than on the public highways of this state. The\nexemption provided in subdivision (c) of this section shall apply to\nsales and uses of non-highway diesel motor fuel for use or consumption\neither in the production for sale of tangible personal property by\nfarming or in a commercial horse boarding operation, or in both but only\nif all of such fuel is consumed other than on the public highways of\nthis state (except for the use of the public highways to reach adjacent\nfarmlands or adjacent lands used in a commercial horse boarding\noperation, or both).\n * NB Effective until September 1, 2026\n * (j) The exemptions provided in this section shall not apply to the\ntax required to be prepaid pursuant to the provisions of section eleven\nhundred two of this article nor to the taxes imposed by sections eleven\nhundred five and eleven hundred ten of this article with respect to\nreceipts from sales and uses of motor fuel or diesel motor fuel, except\nthat the exemption provided in paragraph nine of subdivision (a) of this\nsection shall apply to the tax required to be prepaid pursuant to the\nprovisions of section eleven hundred two of this article and to the\ntaxes imposed by sections eleven hundred five and eleven hundred ten of\nthis article with respect to sales and uses of kero-jet fuel. The\nexemption provided in subdivision (c) of this section shall apply to\nsales and uses of non-highway diesel motor fuel but only if all of such\nfuel is consumed other than on the public highways of this state. The\nexemption provided in subdivision (c) of this section shall apply to\nsales and uses of non-highway diesel motor fuel for use or consumption\neither in the production for sale of tangible personal property by\nfarming or in a commercial horse boarding operation, or in both but only\nif all of such fuel is consumed other than on the public highways of\nthis state (except for the use of the public highways to reach adjacent\nfarmlands or adjacent lands used in a commercial horse boarding\noperation, or both).\n * NB Effective September 1, 2026\n (k) Receipts from the sale of food eligible to be purchased with\ncoupons issued under or pursuant to the federal food stamp act of\nnineteen hundred seventy-seven (7 U.S.C. § 2011 et seq.), as amended,\nfrom retail food stores and other participants, approved for\nparticipation under or pursuant to such act, shall be exempt from the\nsales and compensating use taxes imposed under this article, when such\nfood is purchased with such coupons, but only so long as such act\nconditions state participation in the federal food stamp program on this\nstate providing an exemption from state and local sales taxes for\npurchases of food made with coupons issued under or pursuant to such act\nand this state is participating in such program.\n (l) Tangible personal property manufactured, processed or assembled\nand donated by the manufacturer, processor or assembler to an\norganization described in subdivision (a) of section eleven hundred\nsixteen shall be exempt from tax under this article provided that the\nmanufacturer, processor or assembler offers the same kind of tangible\npersonal property for sale in the regular course of business and\nprovided further that the manufacturer, processor or assembler has not\nmade any other use of the tangible personal property which is donated.\nNothing in this subdivision shall be construed to allow a refund or\ncredit of tax properly paid pursuant to this article.\n (m) (1) The services of training and maintaining a racehorse to race\nin a race or race meeting held, maintained or conducted pursuant to the\nracing, pari-mutuel wagering and breeding law or a similar law of\nanother state, when the services are rendered to the owner of the\nracehorse by a trainer of the racehorse, shall be exempt from tax under\nthis article;\n (2) Tangible personal property actually transferred by a trainer to\nthe owner of the racehorse in conjunction with the rendering of a\nservice that is exempt under paragraph one of this subdivision shall be\nexempt from tax under this article. However, the sale to a trainer of\nsuch a racehorse of any such tangible personal property or such services\ntaxable under this article shall not be deemed a sale for resale within\nthe meaning of paragraph four of subdivision (b) of section eleven\nhundred one and shall not be exempt from retail sales or compensating\nuse tax;\n (3) For purposes of this subdivision, a trainer means a horse trainer\nlicensed under the racing, pari-mutuel wagering and breeding law or a\nsimilar law of another state, and a racehorse means a horse registered\nwith the jockey club, the United States trotting association, American\nquarterhorse association or the National steeplechase and hunt\nassociation or a horse, during the first twenty-four months of its life,\nif it is eligible to be so registered.\n (n) (1) Except as otherwise provided in this subdivision, promotional\nmaterials mailed, shipped or otherwise distributed from a point within\nthe state, by or on behalf of vendors or other persons to their\ncustomers or prospective customers located outside this state for use\noutside this state shall be exempt from the tax on retail sales imposed\nunder subdivision (a) of section eleven hundred five and the\ncompensating use tax imposed under section eleven hundred ten of this\narticle.\n (2) Services otherwise taxable under paragraph one or two of\nsubdivision (c) of section eleven hundred five of this article relating\nto mailing lists or activities directly in conjunction with mailing\nlists shall be exempt from tax under this article if such services are\nperformed on or directly in conjunction with promotional materials\nexempt under paragraph one or four of this subdivision.\n (3) Receipts from the retail sale of promotional materials, receipts\nfrom every sale, except for resale, of services described in paragraph\none or two of subdivision (c) of section eleven hundred five to such\npromotional materials and consideration given or contracted to be given\nfor either such materials or such services to such materials shall be\nexempt from tax under this article to the extent of the vendor's\nseparately stated charge to the purchaser of such materials or services\nfor the vendor's cost to ship or deliver such materials to the\npurchaser's customers or prospective customers by means of the United\nStates postal service, paid by the vendor to such postal service to ship\nor deliver such materials, but only where the vendor separately states\nsuch charge to ship or deliver (not exceeding the vendor's United States\npostal service costs) in a written contract with the purchaser or on a\nwritten bill rendered to the purchaser.\n (4) Notwithstanding any contrary provisions of paragraph one of this\nsubdivision, promotional materials which are printed materials and\npromotional materials upon which services described in paragraph two of\nsubdivision (c) of section eleven hundred five have been directly\nperformed shall be exempt from tax under this article where the\npurchaser of such promotional materials mails or ships such promotional\nmaterials, or causes such promotional materials to be mailed or shipped,\nto its customers or prospective customers, without charge to such\ncustomers or prospective customers, by means of a common carrier, United\nStates postal service or like delivery service.\n (5) Services otherwise taxable under paragraph two of subdivision (c)\nof section eleven hundred five performed on promotional materials exempt\nunder paragraph four of this subdivision shall be exempt from tax under\nthis article.\n (6) Storing promotional materials exempt under paragraph four of this\nsubdivision shall be exempt from tax under this article where the vendor\nof the storing service is also either the vendor of such exempt\npromotional materials or the vendor who rendered exempt services under\nparagraph two or five, or both, of this subdivision with respect to such\nexempt promotional materials and the purchaser of the storing service is\nthe purchaser of such exempt promotional materials.\n (7) Mechanicals, layouts, artwork, photographs, color separations and\nlike property shall be exempt from tax under this article where such\nproperty is purchased, manufactured, processed or assembled by a person\nwho furnishes such property to a printer and the printer uses such\nproperty directly and predominantly in the production of promotional\nmaterials exempt under paragraph four of this subdivision, or in\nperforming services exempt under paragraph five of this subdivision, for\nsale by such printer to the person who furnished such property to the\nprinter.\n (8) Nothing in this subdivision shall be construed to exempt tangible\npersonal property (i) purchased by a person (other than exempt\npromotional materials described in paragraph four of this subdivision)\nor (ii) manufactured, processed or assembled by the manufacturer,\nprocessor or assembler, who furnishes such property to the vendor of\npromotional materials exempt under paragraph one or four of this\nsubdivision to be included as free gifts with such exempt promotional\nmaterials to be mailed or shipped to such purchaser's or such\nmanufacturer's, processor's or assembler's customers or prospective\ncustomers or who otherwise uses such property in this state, for\nexample, by giving or donating the property as free gifts to another\nperson, unless such tangible personal property is mailed, shipped or\notherwise distributed from a point within this state to such customers\nor prospective customers located outside this state for use outside this\nstate.\n (o) Services otherwise taxable under subdivision (c) of section eleven\nhundred five or under section eleven hundred ten shall be exempt from\ntax under this article where performed on computer software of any\nnature; provided, however, that where such services are provided to a\ncustomer in conjunction with the sale of tangible personal property any\ncharge for such services shall be exempt only when such charge is\nreasonable and separately stated on an invoice or other statement of the\nprice given to the purchaser.\n (q) Services otherwise taxable under paragraph three of subdivision\n(c) of section eleven hundred five or under section eleven hundred ten\nof this article, and tangible personal property purchased and used by\nthe person who sells such services in performing such services, where\nsuch property becomes a physical component part of the property upon\nwhich the services are performed, shall be exempt from tax under this\narticle where such services are performed on a barge which is not self\npropelled, has a cargo capacity of at least one thousand short tons, is\nused exclusively by the owner, lessee or operator of the barge to\ntransport goods or other property in the conduct of such person's\nbusiness and is primarily engaged in interstate or foreign commerce.\n (r) Receipts from the sale of alarm call services designed\nspecifically to respond to medical emergencies and the use of such\nservices, otherwise taxable under paragraph eight of subdivision (c) of\nsection eleven hundred five or under clause (C) of subdivision (a) of\nsection eleven hundred ten of this article, shall be exempt from such\ntaxes.\n * (s) The exemptions provided in this section shall not apply to the\ntax required to be prepaid pursuant to the provisions of section eleven\nhundred three of this article.\n * NB There are 2 sub (s)'s\n * (s) (1) The sale of any good or service necessary for the\nacquisition, sustenance or maintenance of a guide dog, a hearing dog or\na service dog, as defined in section one hundred eight of the\nagriculture and markets law, which is utilized by any person with a\ndisability, shall be exempt from taxation pursuant to this article.\n (2) For the purposes of this subdivision, "person with a disability"\nshall mean any person with a disability as that term is defined in\nsubdivision twenty-one of section two hundred ninety-two of the\nexecutive law who uses a guide dog, hearing dog, or service dog to do\nwork or perform tasks for such person, with respect to such disability\nand for which such dog is trained.\n (3) The commissioner shall create and implement a means of identifying\npersons who make purchases which shall be exempt pursuant to this\nsubdivision. Such persons shall include persons who have a dependent\nwith a disability, and who makes purchases on behalf of such dependent.\nOnly persons presenting such means of identification shall receive the\nexemption granted pursuant to this subdivision. Furthermore, the\ncommissioner shall promulgate any rules and regulations necessary to\nimplement the provisions of this subdivision.\n * NB There are 2 sub (s)'s\n (t) (1) Receipts of a car wash facility from every sale, except for\nresale, of the service of washing, waxing or vacuuming a motor vehicle\nor other tangible personal property and consideration given or\ncontracted to be given for such service at such a facility, where (i)\nthe motor vehicle or other tangible personal property is washed, waxed\nor vacuumed at such facility by means exclusively of coin-operated\nequipment at such facility of the vendor providing the service; and (ii)\nneither the vendor nor any employee of the vendor assists in washing,\nwaxing or vacuuming the motor vehicle or other tangible personal\nproperty; and (iii) the purchaser or user of the service washes, waxes\nor vacuums such person's motor vehicle or other tangible personal\nproperty at such a facility, or (iv) the motor vehicle or other tangible\npersonal property is washed, waxed or vacuumed by automated equipment\nwithout assistance by the purchaser or user of the service, shall be\nexempt from tax under this article, to the extent of the amount of money\nor value, in money, of tokens deposited in such coin-operated equipment\nby the purchaser of the service.\n (2) Except to the extent exempt under paragraph one of this\nsubdivision receipts from every sale, except for resale, of the service\nof vacuuming a motor vehicle or other tangible personal property and\nconsideration given or contracted to be given for such service, where\nthe purchaser or user of the service vacuums such person's motor vehicle\nor other tangible personal property at the facility where the vacuum\nequipment is located, by means exclusively of coin-operated equipment\nand neither the vendor operating the facility nor any employee of the\nvendor assists the purchaser in vacuuming the vehicle or other tangible\npersonal property, shall be exempt from tax under this article, to the\nextent of the amount of money or value, in money, of tokens deposited in\nsuch coin-operated equipment by the purchaser of the service.\n (3) For purposes of this subdivision, the term "coin-operated"\nincludes coin-operated, currency-operated or token-operated and the term\n"motor vehicle" shall mean a motor vehicle as defined in subdivision (f)\nof section eleven hundred thirty-two of this article.\n (u) Receipts from every sale of the services described in paragraph\nthree of subdivision (c) of section eleven hundred five of this article\nto omnibuses, parts, equipment and lubricants exempt from tax under\nparagraph thirty-two of subdivision (a) of this section shall be exempt\nfrom tax under this article. Where receipts from the sale of or\nconsideration given or contracted to be given for the purchase of a\nservice have been exempted under this subdivision, such receipts or\nconsideration shall not also qualify for the refund or credit described\nin subdivision (b) of section eleven hundred nineteen of this article;\nwhere any or all of the tax on receipts from the sale of or\nconsideration given or contracted to be given for the purchase of a\nservice has been refunded or credited under such subdivision (b), no\npart of such receipts or consideration shall be exempt under this\nsubdivision.\n (v) Receipts from the sale of Internet access service, including\nstart-up charges, and the use of such service, shall be exempt from the\ntaxes imposed under this article. For purposes of this subdivision, the\nterm "Internet access service" shall mean the service of providing\nconnection to the Internet, but only where such service entails the\nrouting of Internet traffic by means of accepted Internet protocols. The\nprovision of communication or navigation software, an e-mail address,\ne-mail software, news headlines, space for a website and website\nservices, or other such services, in conjunction with the provision of\nsuch connection to the Internet, where such services are merely\nincidental to the provision of such connection, shall be considered to\nbe part of the provision of Internet access service.\n * (w) Receipts from the sale of gas or electricity or gas or electric\nservice of whatever nature and consideration given or contracted to be\ngiven for, or for the use of, gas or electricity or gas or electric\nservice of whatever nature purchased for use or consumption directly and\nexclusively to provide gas or electric service of whatever nature\nconsisting of operating a gas pipeline or gas distribution line or an\nelectric transmission or distribution line and ensuring the necessary\nworking pressure in an underground gas storage facility shall be exempt\nfrom sales and compensating use taxes imposed by this article. Such\nexempt gas or electricity or gas or electric service of whatever nature\nshall include, but shall not be limited to, such gas or electricity or\ngas or electric service of whatever nature used or consumed directly and\nexclusively to (1) ensure necessary working pressure in a gas pipeline\nused to transport, transmit or distribute gas, (2) operate compressors\nused to transport, transmit or distribute gas through such a gas\npipeline or distribution line or used to ensure necessary working\npressure in such a storage facility, (3) operate heaters to prevent gas\nin such a pipeline or distribution line from freezing, (4) operate\nequipment which removes impurities and moisture from gas in such a\npipeline or distribution line, (5) operate substations and equipment\nrelated to electric transmission and distribution lines such as\ntransformers, capacitors, meters, switches, communication devices and\nheating and cooling equipment, and (6) ensure the reliability of\nelectricity or electric service transmitted or distributed through such\nlines, for example, by operating reserve capacity machinery and\nequipment.\n * NB There are 2 sub. (w)'s\n * (w) Receipts from sales by a senior citizen independent housing\ncommunity of food or drink (other than beer, wine or other alcoholic\nbeverages) for consumption on the premises of such community (1) to its\nresidents and (2) to guests of such residents, provided that the dining\nfacility where food and drink is served to such residents and their\nguests is not open to the public, shall be exempt from the tax imposed\nby subdivision (d) of section eleven hundred five of this article,\nprovided that any such food or drink shall be exempt only where it is\nserved at the dining facility at such community or served to the\nresidents or the residents' guests in the residents' rooms. For the\npurposes of this subdivision, the term "senior citizen" means a person\nat least fifty-five years of age and the term "senior citizen\nindependent housing community" means a residential facility, with or\nwithout additional facilities such as recreational facilities, which is\ndesigned for senior citizens, the residents of which are senior\ncitizens, spouses of such senior citizens or any other person, not\nnecessarily related, who has resided with a senior citizen for at least\nsix months and persons hired to provide live-in, long term care to a\nresident and who are actually providing such care to such a resident for\ncompensation. Nothing in this subdivision shall be construed to apply to\nfood or drink sold or served at a hotel, motel, rooming house or other\nsimilar establishment or at a restaurant, tavern or other similar\nestablishment. The exemption provided by this subdivision shall not be\nconstrued to apply to food or drink sold through vending machines.\n * NB There are 2 sub. (w)'s\n (x) Receipts from every sale of, and consideration given or contracted\nto be given for, or for the use of, the following tangible personal\nproperty and services shall be exempt from the taxes imposed by this\narticle:\n (1) Tangible personal property for use or consumption directly and\npredominantly in production of live dramatic or musical arts\nperformances in a theater or other similar place of assembly (but not\nincluding a roof garden, cabaret or other similar place), with a seating\ncapacity of one hundred or more chairs that are rigidly anchored to the\nconstruction or fixed in place so as to prevent movement in any\ndirection, but only where it can be shown at the time such tangible\npersonal property is purchased that such performances are to be\npresented to the public in such theater or other similar place on a\nregular basis of at least five performances per week for a period of at\nleast two consecutive weeks, the content of each such performance shall\nbe the same and a charge is or is to be made for admission to the place\nwhere such performances occur. For purposes of this subdivision, the\nterm "place of assembly" shall mean a place of assembly with a stage in\nwhich scenery and scenic elements are used, as described in section\n27-232 and subdivision (a) of section 27-255 of the administrative code\nof the city of New York (as such section and subdivision exist on\nJanuary first, nineteen hundred ninety-eight), and for which an approved\nseating plan is required to be kept, as described in section 27-528 of\nthe administrative code of the city of New York (as such section exists\non January first, nineteen hundred ninety-eight), whether or not such\ntheater or other similar place is located in such city. Nothing in this\nparagraph shall be construed to exempt tangible personal property which\nis permanently affixed to, or becomes an integral component part of, a\nstructure, building, or real property.\n (2) Services described in paragraph two or three of subdivision (c) of\nsection eleven hundred five of this article when rendered with respect\nto property exempt under paragraph one of this subdivision.\n (y) Services otherwise taxable under paragraph three, five or eight of\nsubdivision (c) of section eleven hundred five or under section eleven\nhundred ten of this article shall be exempt from any tax imposed\npursuant to such provisions where such services are rendered directly to\nor in relation to the property exempt from tax pursuant to paragraph\nthirty-seven of subdivision (a) of this section, provided however where\nany such services are rendered to property or in relation to property\nwhich was in part not exempt under such paragraph thirty-seven, the\ncommissioner shall provide for a method of allocation to exempt a\nportion of such services.\n (aa)(1) The following services shall be exempt when rendered to a\nbroadcaster in connection with its broadcasting business:\n (i) The services described in paragraph two of subdivision (c) of\nsection eleven hundred five of this article and the services of editing,\ndubbing, and mixing when performed in connection with the production,\npost-production or transmission of live or recorded programs described\nin subparagraph (A) of paragraph thirty-eight of subdivision (a) of this\nsection.\n (ii) The services described in paragraph three of subdivision (c) of\nsection eleven hundred five of this article when performed on the\ntangible personal property described in paragraph thirty-eight of\nsubdivision (a) of this section.\n (iii) The services described in paragraph five of subdivision (c) of\nsection eleven hundred five of this article when performed on property\ndescribed in paragraph thirty-eight of subdivision (a) of this section\nwhich subsequent to its installation has become an addition or capital\nimprovement to real property, property or land, as such terms are\ndefined in the real property tax law.\n (2) For purposes of this subdivision: the terms "broadcaster",\n"programs", and "recorded programs" shall have the same meaning as that\nascribed to those terms in subparagraph (C) of paragraph thirty-eight of\nsubdivision (a) of this section.\n (bb) 1. Receipts from the sale of services described in paragraph two\nor three of subdivision (c) of section eleven hundred five of this\narticle, and consideration given or contracted to be given for, or for\nthe use of, such services, shall be exempt from tax under this article\nwhen rendered with respect to property exempt under paragraph\nthirty-nine of subdivision (a) of this section.\n 2. Fuel, gas, electricity, refrigeration and steam, and gas, electric,\nrefrigeration and steam service of whatever nature for use or\nconsumption directly and exclusively in the production of a film for\nsale, as described in paragraph thirty-nine of subdivision (a) of this\nsection, shall be exempt from the taxes imposed under subdivisions (a)\nand (b) of section eleven hundred five and the compensating use tax\nimposed under section eleven hundred ten of this article.\n (cc) Notwithstanding any other provision of law to the contrary,\nreceipts from the sale of mobile telecommunications service by a home\nservice provider shall be exempt from the taxes imposed by subparagraph\n(B) of paragraph one and paragraph two of subdivision (b) of section\neleven hundred five of this article if the mobile telecommunications\ncustomer's place of primary use is within a taxing jurisdiction outside\nthis state.\n (dd) (1) Services otherwise taxable under paragraph three of\nsubdivision (c) of section eleven hundred five or under section eleven\nhundred ten of this article, and tangible personal property purchased\nand used by the person who sells such services in performing such\nservices, where such property becomes a physical component part of the\nproperty upon which the services are performed or where such property is\na lubricant applied to aircraft, shall be exempt from tax under this\narticle where such services are performed on aircraft.\n (2) The service of storing an aircraft provided by a person who sells\na service exempt under paragraph one of this subdivision, when such\nstoring is rendered in conjunction with, and during the rendering of,\nsuch service to such aircraft, shall be exempt from the tax imposed\nunder paragraph four of subdivision (c) of section eleven hundred five\nof this article.\n * (ee) The following shall be exempt from tax under this article: (1)\nReceipts from the retail sale of, and consideration given or contracted\nto be given for, or for the use of, residential solar energy systems\nequipment and the service of installing such systems. For the purposes\nof this subdivision, "residential solar energy systems equipment" shall\nmean an arrangement or combination of components installed in a\nresidence that utilizes solar radiation to produce energy designed to\nprovide heating, cooling, hot water and/or electricity. Such arrangement\nor components shall not include equipment that is part of a non-solar\nenergy system or which uses any sort of recreational facility or\nequipment as a storage medium.\n (2) Receipts from the sale of electricity by a person primarily\nengaged in the sale of solar energy system equipment and/or electricity\ngenerated by such equipment pursuant to a written agreement under which\nsuch electricity is generated by residential solar energy system\nequipment that is: (A) owned by a person other than the purchaser of\nsuch electricity; (B) installed on residential property of the purchaser\nof such electricity; and (C) used to provide heating, cooling, hot water\nor electricity to such property.\n * NB There are 2 sb (ee)'s\n * (ee) (1) Tangible personal property purchased by a tenant for use\ndirectly and exclusively to furnish and equip the tenant's leased\npremises for use as commercial office space shall be exempt from the\ntaxes imposed by sections eleven hundred five and eleven hundred ten of\nthis article. Provided, however, no exemption shall exist under this\nparagraph unless such tangible personal property is to become an\nintegral component part of the building in which such leased premises\nare located.\n (2) Tangible personal property purchased by a tenant or landlord for\nuse directly and exclusively in adding to, altering or improving the\ntenant's leased premises for use as commercial office space shall be\nexempt from the taxes imposed by sections eleven hundred five and eleven\nhundred ten of this article. Provided, however, no exemption shall exist\nunder this paragraph unless such tangible personal property is to become\nan integral component part of the building in which such leased premises\nare located.\n (3) Tangible personal property sold to a contractor, subcontractor or\nrepairperson for use directly and exclusively in adding to, altering or\nimproving a tenant's leased premises for use as commercial office space\nshall be exempt from the taxes imposed by sections eleven hundred five\nand eleven hundred ten of this article. Provided, however, no exemption\nshall exist under this paragraph unless such tangible personal property\nis to become an integral component part of the building in which such\nleased premises are located.\n (4) The service of installing property exempt under paragraph one or\ntwo of this subdivision shall be exempt from the tax imposed by\nparagraph three of subdivision (c) of section eleven hundred five of\nthis article.\n (5) The exemptions in this subdivision shall apply only to purchases\nor sales made, uses occurring and services rendered during the period\ncommencing on the first day of the tenant's lease term and ending one\nyear later, provided that any such property must be delivered to the\ntenant's leased premises for use at or in such premises, and such\nservices must be rendered there in full, no later than ninety days after\nthe end of such year; and provided, further, that, with respect to\nleased or rented tangible personal property, such exemptions shall apply\nonly to lease or rental payments required to be paid during such year.\nNothing in this subdivision shall be construed to exempt tangible\npersonal property for use in erecting or adding to a structure or\nbuilding of a landlord.\n (6) When applying the exemptions in paragraphs one and two of this\nsubdivision with respect to leased premises located in the World Trade\nCenter site, the world financial center and the Battery Park city area,\nsuch paragraphs shall be read without regard to the requirement set\nforth in the last sentence of each such paragraph that tangible personal\nproperty is to become an integral component part of the building in\nwhich such leased premises are located.\n (7) For purposes of this subdivision:\n (A) "Tenant" means a person who, as lessee, enters into a space lease\nwith a landlord for a term of ten years or more commencing on or after\nSeptember first, two thousand five, but not later than, in the case of a\nspace lease with respect to leased premises located in eligible areas as\ndefined in clause (i) of subparagraph (D) of this paragraph, September\nfirst, two thousand twenty-seven and, in the case of a space lease with\nrespect to leased premises located in eligible areas as defined in\nclause (ii) of subparagraph (D) of this paragraph not later than\nSeptember first, two thousand twenty-nine, of premises for use as\ncommercial office space in buildings located or to be located in the\neligible areas. A person who currently occupies premises for use as\ncommercial office space under an existing lease in a building in the\neligible areas shall not be eligible for exemption under this\nsubdivision unless such existing lease, in the case of a space lease\nwith respect to leased premises located in eligible areas as defined in\nclause (i) of subparagraph (D) of this paragraph expires according to\nits terms before September first, two thousand twenty-seven or such\nexisting lease, in the case of a space lease with respect to leased\npremises located in eligible areas as defined in clause (ii) of\nsubparagraph (D) of this paragraph and such person enters into a space\nlease, for a term of ten years or more commencing on or after September\nfirst, two thousand five, of premises for use as commercial office space\nin a building located or to be located in the eligible areas, provided\nthat such space lease with respect to leased premises located in\neligible areas as defined in clause (i) of subparagraph (D) of this\nparagraph commences no later than September first, two thousand\ntwenty-seven, and provided that such space lease with respect to leased\npremises located in eligible areas as defined in clause (ii) of\nsubparagraph (D) of this paragraph commences no later than September\nfirst, two thousand twenty-nine and provided, further, that such space\nlease shall expire no earlier than ten years after the expiration of the\noriginal lease.\n (B) "Leased premises" means the premises within a building to be used\nas commercial office space under a lease described in subparagraph (A)\nof this paragraph, excluding any common areas and any other area outside\nsuch office space.\n (C) "Landlord" means the person, unrelated by ownership to a tenant,\nwho leases leased premises to that tenant.\n (D) "Eligible areas" mean: **(i) the area in the borough of Manhattan\nbounded by Murray street on the north starting at the intersection of\nWest street and Murray street; running easterly along the center line of\nMurray street, connecting through City Hall Park with the center line of\nFrankfort street and running easterly along the center lines of\nFrankfort and Dover streets to the intersection of Dover street and\nSouth street; running southerly along the center line of South street to\nPeter Minuit Plaza; connecting through Peter Minuit Plaza to the center\nline of State street and running northwesterly along the center line of\nState street to the intersection of State street and Battery Place;\nrunning westerly along the center line of Battery Place to the\nintersection of Battery Place and West street; and running northerly\nalong the center line of West street to the intersection of West street\nand Murray street. In addition, "eligible area" shall include the\n"Battery Park project area" as defined in section nineteen hundred\nseventy-two of the public authorities law, including the world financial\ncenter. Any tax lot that is partly located inside the eligible area\nshall be deemed to be entirely located inside such area, and\n ** NB Repealed December 1, 2028\n (ii) the World Trade Center site, the World financial center and the\nBattery Park city area as defined as follows:\n (a) "World Trade Center site" means the area of the former complex of\nseven buildings (known as numbers one through seven world trade center)\naround a central plaza, near the south end of the county of New York in\nthe downtown financial district, which were destroyed or damaged beyond\nrepair in the attacks of September eleventh, two thousand one.\n (b) "World financial center" means the complex of buildings known as\nnumbers one through four world financial center, in an area in the\ncounty of New York bordered by West street, the Hudson River, and Vesey\nand Liberty streets.\n (c) "Battery Park city area" means the "Battery Park project area" as\ndefined in section nineteen hundred seventy-two of the public\nauthorities law, including the world financial center.\n (8) Notwithstanding any provision of law to the contrary, this\nsubdivision shall also apply to the taxes imposed by section eleven\nhundred seven and the taxes imposed by section eleven hundred nine of\nthis article, but shall not apply to the taxes imposed by section eleven\nhundred eight of this article or pursuant to the authority of article\ntwenty-nine of this chapter other than taxes imposed by a city of a\nmillion or more pursuant to the authority of subdivision (a) of section\ntwelve hundred ten of such article twenty-nine.\n * NB Repealed December 1, 2030\n * NB There are 2 sb (ee)'s\n (ff) Receipts from retail sales of tangible personal property by any\ngift shop located in a veteran's home described in title thirty-eight of\nthe United States Code shall be exempt from the taxes imposed by this\narticle.\n (gg) (1) Receipts from the sale of an electronic news service and\nconsideration given or contracted to be given for, or for the use of, an\nelectronic news service shall be exempt from the taxes imposed by\nparagraph one or nine of subdivision (c) of section eleven hundred five\nof this article and clause (C) of subdivision (a) of section eleven\nhundred ten of this article if the receipts from the sale of, or the\nconsideration given for, or for the use of, the electronic news service\ndoes not exceed the cap amount as defined in subparagraph (ii) of\nparagraph thirty-seven of subdivision (b) of section eleven hundred one\nof this article. If the subscription period of the electronic news\nservice is other than a year, the cap amount shall be adjusted\nproportionately in determining whether the subscription price exceeds\nthe cap amount. If the contract for the sale of the electronic news\nservice grants more than one person the right to view the electronic\nnews service, the receipts from the sale of, or the consideration given\nfor, or for the use of, the service will be deemed not to exceed the cap\namount only if the listed selling price for an individual subscription\non the day the contract commences does not exceed the cap amount.\n (2) Receipts from the sale of an electronic periodical and\nconsideration given, or contracted to be given for, or for the use of,\nan electronic periodical shall be exempt from the taxes imposed by\nparagraph one or nine of subdivision (c) of section eleven hundred five\nand clause (C) of subdivision (a) of section eleven hundred ten of this\narticle.\n (3) If an electronic periodical is sold together with any other\ncomponents that are taxable under this article (other than an electronic\nnews service) for a single price, the exemption in paragraph two of this\nsubdivision shall not apply to the receipts from the sale of, or\nconsideration given, or contracted to be give for, or for the use of,\nthe electronic periodical and such other components unless the vendor\nsells such electronic periodical and such other components separately in\nthe regular course of business. If the requirement in the preceding\nsentence is satisfied, then the exemption will apply to an amount equal\nto the bundled price multiplied by a fraction, the numerator of which is\nthe price of the electronic periodical when sold separately and the\ndenominator of which is the sum of the price of the electronic\nperiodical when sold separately and the price of the other components of\nthe transaction when sold separately.\n (4) If an electronic news service is sold together with other\ncomponents for a single price, the exemption in paragraph one of this\nsubdivision shall not apply to the receipts from the sale of, or\nconsideration given, or contracted to be given, for, or for the use of,\nthe electronic news service and the other components in the transaction\nunless one of the following exceptions applies and only to the extent\nindicated:\n (i) The provider of the electronic news service does not separately\nsell the electronic news service in the regular course of business, the\nother components are not taxable under this article, and the bundled\nprice is less than the cap amount, in which case the exemption applies\nto the full bundled price; or\n (ii) The provider of the electronic news service sells the electronic\nnews service and each of the other components of the transaction\nseparately in the regular course of business, whether or not the\ncomponents are taxable under this article, and the separate price of the\nelectronic news service does not exceed the cap amount. If the\nconditions in this subparagraph are met, the exemption provided by\nparagraph one of this subdivision will apply only to an amount equal to\nthe bundled price multiplied by a fraction, the numerator of which is\nthe price of the electronic news service when sold separately in the\nregular course of business, and the denominator of which is the sum of\nthe price of the electronic news service when sold separately in the\nregular course of business and the prices of the other components when\nsold separately in the regular course of business; provided, however,\nthat in no case shall the exempt amount be greater than the amount of\nthe charge for the electronic news service when sold separately in the\nregular course of business.\n (5) For the purposes of this subdivision "bundled price" means the\nprice at which an electronic news service or an electronic periodical is\nsold together with any other components for one price; and "component"\nmeans any property, service, or other item of whatever nature that is\nsold together with an electronic news service or electronic periodical\nfor one price.\n (6) Nothing in this subdivision shall exempt, or be construed to\nexempt, any separate charge by the vendor of an electronic news service\nor electronic periodical for other information services, or any other\nproperty or service subject to tax under this article, that does not\nconstitute an electronic news service or electronic periodical.\n (hh) Receipts from the sale of transportation service consisting of a\nHAIL vehicle trip, as the term "HAIL vehicle trip" is defined in article\ntwenty-nine-A of this chapter, shall be exempt from the tax imposed by\nparagraph ten of subdivision (c) of section eleven hundred five of this\narticle, if such trip originates in a city of a million or more and\nterminates anywhere within the territorial boundaries of the\nmetropolitan commuter transportation district and is subject to the tax\non HAIL vehicle trips imposed by such article twenty-nine-A.\n * (ii) The following shall be exempt from tax under this article: (1)\nReceipts from the retail sale of, and consideration given or contracted\nto be given for, or for the use of, commercial solar energy systems\nequipment and the service of installing such systems. For the purposes\nof this subdivision, "commercial solar energy systems equipment" shall\nmean an arrangement or combination of components installed upon\nnon-residential premises that utilize solar radiation to produce energy\ndesigned to provide heating, cooling, hot water and/or electricity. Such\narrangement or components shall not include equipment that is part of a\nnon-solar energy system.\n (2) Receipts from the sale of electricity by a person primarily\nengaged in the sale of solar energy system equipment and/or electricity\ngenerated by such equipment pursuant to a written agreement under which\nthe electricity is generated by commercial solar energy system equipment\nthat is: (A) owned by a person other than the purchaser of such\nelectricity; (B) installed on the non-residential premises of the\npurchaser of such electricity; and (C) used to provide heating, cooling,\nhot water or electricity to such premises.\n * NB There are 2 sb (ii)'s\n * (ii) Receipts from sales of and fees associated with water and sewer\nservice line protection programs sold to owners of residential property\nshall be exempt from the taxes imposed by this article.\n * NB There are 2 sb (ii)'s\n * (jj) Notwithstanding any other provision of this article: (1)\nReceipts in excess of two hundred thirty thousand dollars from every\nsale of, and consideration given or contracted to be given for, or for\nthe use of, a vessel shall be exempt from the taxes imposed by this\narticle. For purposes of this subdivision, "vessel" shall have the same\nmeaning as such term is defined in section twenty-two hundred fifty of\nthe vehicle and traffic law and any outboard motor or trailer, as\ndefined in section one hundred fifty-six of such law, when sold in\nconjunction with such vessel.\n (2) For purposes of subdivision (b) of section eleven hundred eleven\nof this article, the purchase price, current market value, or fair\nrental value, as the case may be, of a vessel purchased by a resident of\nNew York state outside of this state for use outside of this state that\nsubsequently becomes subject to the compensating use tax imposed under\nthis article shall be deemed not to exceed two hundred thirty thousand\ndollars.\n (3) For purposes of subdivision (i) of section eleven hundred eleven\nof this article, receipts from, or consideration given or contracted to\nbe given for, the lease of a vessel that is subject to such subdivision\n(i) in excess of two hundred thirty thousand dollars shall be exempt\nfrom the calculation of tax due under such subdivision (i).\n (4) For purposes of paragraph one of subdivision (q) of section eleven\nhundred eleven of this article, the limitations on exclusions from the\ndefinition of retail sale in paragraph one of such subdivision shall\napply only to the first two hundred thirty thousand dollars of receipts\nfrom every sale of, or consideration given or contracted to be given\nfor, or for the use of, a vessel.\n (5) For purposes of paragraph two of subdivision (q) of section eleven\nhundred eleven of this article, the purchase price or market value, as\nthe case may be, of a vessel subject to tax under paragraph two of such\nsubdivision (q) shall be deemed not to exceed two hundred thirty\nthousand dollars.\n (6) For purposes of subdivision two of section eleven hundred eighteen\nof this article, the limitation on the exclusion from compensating use\ntax in such subdivision two with respect to qualified property, as\ndefined in such subdivision, shall apply only to the first two hundred\nthirty thousand dollars of consideration given or contracted to be given\nfor, or for the use of, a vessel.\n (7) For purposes of paragraph (a) of subdivision seven of section\neleven hundred eighteen of this article, the refund or credit allowable\nunder paragraph (a) of such subdivision seven shall be computed only\nwith regard to tax legally due and paid to another state on the first\ntwo hundred thirty thousand dollars of the purchase price.\n (8) Except as otherwise provided herein, this subdivision shall not be\ndeemed to limit any other exemption, exclusion or credit in this article\nrelating to a vessel.\n * NB There are 2 sb (jj)'s\n * (jj) Tangible personal property or services otherwise taxable under\nthis article sold to a related person shall not be subject to the taxes\nimposed by section eleven hundred five of this article or the\ncompensating use tax imposed under section eleven hundred ten of this\narticle where the purchaser can show that the following conditions have\nbeen met to the extent they are applicable: (1)(i) the vendor and the\npurchaser are referenced as either a "covered company" as described in\nsection 243.2(f) or a "material entity" as described in section 243.2(l)\nof the Code of Federal Regulations in a resolution plan that has been\nsubmitted to an agency of the United States for the purpose of\nsatisfying subparagraph 1 of paragraph (d) of section one hundred\nsixty-five of the Dodd-Frank Wall Street Reform and Consumer Protection\nAct (the "Act") or any successor law, or (ii) the vendor and the\npurchaser are separate legal entities pursuant to a divestiture directed\npursuant to subparagraph 5 of paragraph (d) of section one hundred\nsixty-five of such act or any successor law; (2) the sale would not have\noccurred between such related entities were it not for such resolution\nplan or divestiture; and (3) in acquiring such property or services, the\nvendor did not claim an exemption from the tax imposed by this state or\nanother state based on the vendor's intent to resell such services or\nproperty. A person is related to another person for purposes of this\nsubdivision if the person bears a relationship to such person described\nin section two hundred sixty-seven of the internal revenue code. The\nexemption provided by this subdivision shall not apply to sales made,\nservices rendered, or uses occurring after June thirtieth, two thousand\ntwenty-five, except with respect to sales made, services rendered, or\nuses occurring pursuant to binding contracts entered into on or before\nsuch date; but in no case shall such exemption apply after June\nthirtieth, two thousand twenty-eight.\n * NB There are 2 sb (jj)'s\n * (kk) Rent paid by a room remarketer to an operator that is not a\nroom remarketer for an occupancy that the room remarketer intends to\nprovide to an occupant for rent shall be exempt from the hotel unit fee\nimposed by section eleven hundred four of this article and the tax\nimposed by subdivision (e) of section eleven hundred five of this\narticle, provided that such room remarketer furnishes such operator a\ncertificate in such form and containing such information as may be\nprescribed by the commissioner. The exemption certificate provided for\nby this subdivision shall be administered by the commissioner in\nconformity with the rules for exemption or resale certificates in\nsubparagraph (i) of paragraph one of subdivision (c) of section eleven\nhundred thirty-two of this article.\n * NB There are 2 sb (kk)'s\n * (kk) The following shall be exempt from tax under this article: (1)\nReceipts from the retail sale of, and consideration given or contracted\nto be given for, or for the use of, commercial fuel cell electricity\ngenerating systems equipment and the service of installing and\nmaintaining such systems. For the purposes of this subdivision, "fuel\ncell electricity generating systems equipment" shall mean an electric\ngenerating arrangement or combination of components installed upon\nnon-residential premises that utilize solid oxide, molten carbonate,\nproton exchange membrane or phosphoric acid fuel cell, or for the\npurposes of this section only, linear generator.\n (2) Receipts from the sale of hydrogen gas or electricity by a person\nprimarily engaged in the sale of fuel cell electricity generating system\nequipment and/or electricity generated by such equipment pursuant to a\nwritten agreement under which the electricity is generated by commercial\nfuel cell electricity generating system equipment that is: (A) owned by\na person other than the purchaser of such electricity; (B) installed on\nthe non-residential premises of the purchaser of such electricity; (C)\nplaced in service; and (D) used to provide heating, cooling, hot water\nor electricity to such premises.\n * NB There are 2 sb (kk)'s\n * (ll) The following shall be exempt from tax under this article: (1)\nReceipts from the retail sale of, and consideration given or contracted\nto be given for, or for the use of, residential energy storage systems\nequipment and the service of installing such systems. For the purposes\nof this subdivision, "residential energy storage systems equipment"\nshall mean an arrangement or combination of components installed in a\nresidence that stores electricity for use at a later time to provide\nheating, cooling, hot water and/or electricity.\n (2) Receipts from the sale of electricity by a person primarily\nengaged in the sale of energy storage system equipment and/or\nelectricity generated by such equipment pursuant to a written agreement\nunder which such electricity is generated by residential energy system\nstorage equipment that is: (A) owned by a person other than the\npurchaser of such electricity; (B) installed on residential property of\nthe purchaser of such electricity; and (C) used to provide heating,\ncooling, hot water or electricity.\n * NB Repealed June 1, 2026\n