Resolution No. 9

Amending Resolution No. 286 Of 1968, Adopted February 13,1969, Imposing Taxes On Sales And Uses Of Tangible Personal Property And Of Certain Services And On Occupancy Of Hotel Rooms And On Amusement Charges, Pursuant To Article 29 Of The Tax Law Of The State Of New York, As Amended By Resolution No. 164 Adopted July 8, 1971, Resolution No. 18 Adopted February 8, 1973, Resolution No. 211 Adopted June 10, 1976, Resolution No. 445 Adopted December 14, 1976, Resolution No. 183 Adopted August 12, 1993, Resolution No. 211 Adopted August 10, 1995, Resolution No. 240 Adopted August 14, 1997, Resolution No. 245 Adopted August 12, 1999, Resolution No. 260 Adopted August 22, 2001, Resolution No. 218 Adopted July 30, 2003, Resolution No. 246 Adopted August 31, 2005, Resolution No. 272 Adopted July 31, 2007, Resolution No. 247 Adopted August 12, 2009, And Resolution No. 177 Adopted August 16, 2011 To Increase The Rate Of Sales And Compensating Use Taxes

Resolution Information

Status: 
Adopted

RESOLUTION TEXT +-

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Referred to: The Ways and Means Committee (Chairman Gerentine and Legislators

Bartels, Belfiglio, Briggs, Maio, Maloney, Richard Parete, and Rodriguez)

Legislators Richard A. Gerentine, Donald J. Gregorius, and Kenneth Ronk offer the

following:

WHEREAS, Resolution No. 286 of 1968 imposes taxes on sales and uses of

tangible personal property, and on various charges and services as set forth therein;

and

WHEREAS, said Resolution No. 286 of 1968 has been amended on various

occasions, as set

- Page 2 -

Resolution No. 9 January 23, 2014

Amending Resolution No. 286 Of 1968, Adopted February 13,1969,

Imposing Taxes On Sales And Uses Of Tangible Personal Property

And Of Certain Services And On Occupancy Of Hotel Rooms And

On Amusement Charges, Pursuant To Article 29 Of The Tax Law

Of The State Of New York, As Amended By Resolution No. 164

Adopted July 8, 1971, Resolution No. 18 Adopted February 8, 1973,

Resolution No. 211 Adopted June 10, 1976, Resolution No. 445

Adopted December 14, 1976, Resolution No. 183 Adopted August

12, 1993, Resolution No. 211 Adopted August 10, 1995, Resolution

No. 240 Adopted August 14, 1997, Resolution No. 245 Adopted

August 12, 1999, Resolution No. 260 Adopted August 22, 2001,

Resolution No. 218 Adopted July 30, 2003, Resolution No. 246

Adopted August 31, 2005, Resolution No. 272 Adopted July 31,

2007, Resolution No. 247 Adopted August 12, 2009, And

Resolution No. 177 Adopted August 16, 2011 To Increase The Rate

Of Sales And Compensating Use Taxes

Section 2. Section 3 thereof is amended by adding new subdivisions (i) and (j) to read

as follows:

(i) With respect to the tax rate of three percent effective for the period

commencing December 1, 2013, and ending January 31, 2014, the provisions

of subdivisions (a), (b), (c), (d) and (e) of this Section apply, except that for

the purposes of this subdivision, all references in said subdivisions (a), (b), (c),

and (d), to an effective date shall be read as referring to December 1, 2013, all

references in said subdivision (a) to the date four months prior to the effective

date shall be read as referring to August 1, 2013, and the reference in

subdivision (b) to the date immediately preceding the effective date shall be

read as referring to November 30, 2013. Nothing herein shall be deemed to

exempt from tax at the rate in effect prior to December 1, 2013, any

transaction which may not be subject to the lowered tax in effect on that date.

(j) With respect to the additional tax of one percent imposed for the period

commencing February 1, 2014, and ending December 31, 2014, the provisions

of subdivisions (a), (b), (c), (d) and (e) of this Section apply, except that for

the purposes of this subdivision, all references in said subdivisions (a), (b), (c),

and (d), to an effective date shall be read as referring to February 1, 2014, all

references in said subdivision (a) to the date four months prior to the effective

date shall be read as referring to October 1, 2013, and the reference in

subdivision (b) to the date immediately preceding the effective date shall be

read as referring to January 31, 2014. Nothing herein shall be deemed to 

- Page 3 -

Resolution No. 9 January 23, 2014

Amending Resolution No. 286 Of 1968, Adopted February 13,1969,

Imposing Taxes On Sales And Uses Of Tangible Personal Property

And Of Certain Services And On Occupancy Of Hotel Rooms And

On Amusement Charges, Pursuant To Article 29 Of The Tax Law

Of The State Of New York, As Amended By Resolution No. 164

Adopted July 8, 1971, Resolution No. 18 Adopted February 8, 1973,

Resolution No. 211 Adopted June 10, 1976, Resolution No. 445

Adopted December 14, 1976, Resolution No. 183 Adopted August

12, 1993, Resolution No. 211 Adopted August 10, 1995, Resolution

No. 240 Adopted August 14, 1997, Resolution No. 245 Adopted

August 12, 1999, Resolution No. 260 Adopted August 22, 2001,

Resolution No. 218 Adopted July 30, 2003, Resolution No. 246

Adopted August 31, 2005, Resolution No. 272 Adopted July 31,

2007, Resolution No. 247 Adopted August 12, 2009, And

Resolution No. 177 Adopted August 16, 2011 To Increase The Rate

Of Sales And Compensating Use Taxes

exempt from tax at the rate in effect prior to February 1, 2014, any transaction

which may not be subject to the additional tax imposed effective on that date.

Section 3. Section 4 thereof is amended to read as follows:

Section 4. Imposition of compensating use tax.

(a) Except to the extent that the property or services have already been or will

be subject to the sales tax under this enactment, there is hereby imposed on

every person a use tax for the use within this taxing jurisdiction on and after

February 1, 2014, except as otherwise exempted under this enactment, (A) of

any tangible personal property purchased at retail, (B) of

any tangible personal property (other than computer software used by the

author or other creator) manufactured, processed or assembled by the user, (i)

if items of the same kind of tangible personal property are offered by sale by

him in the regular course of business or (ii) if items are used as such

or incorporated into a structure, building or real property by a contractor,

subcontractor or repairman in erecting structures or buildings, or building on,

or otherwise adding to, altering, improving, maintaining, servicing or

repairing real property, property or land, as the terms real property, property

or land are defined in the real property tax law, if items of the same kind are

not offered for sale as such by such contractor, subcontractor or repairman or

other user in the regular course of business, (C) of any of the services

described in paragraphs (1), (7) and (8) of subdivision (c) of Section Two, (D)

of any tangible personal property, however acquired, where not acquired for 

- Page 4 -

Resolution No. 9 January 23, 2014

Amending Resolution No. 286 Of 1968, Adopted February 13,1969,

Imposing Taxes On Sales And Uses Of Tangible Personal Property

And Of Certain Services And On Occupancy Of Hotel Rooms And

On Amusement Charges, Pursuant To Article 29 Of The Tax Law

Of The State Of New York, As Amended By Resolution No. 164

Adopted July 8, 1971, Resolution No. 18 Adopted February 8, 1973,

Resolution No. 211 Adopted June 10, 1976, Resolution No. 445

Adopted December 14, 1976, Resolution No. 183 Adopted August

12, 1993, Resolution No. 211 Adopted August 10, 1995, Resolution

No. 240 Adopted August 14, 1997, Resolution No. 245 Adopted

August 12, 1999, Resolution No. 260 Adopted August 22, 2001,

Resolution No. 218 Adopted July 30, 2003, Resolution No. 246

Adopted August 31, 2005, Resolution No. 272 Adopted July 31,

2007, Resolution No. 247 Adopted August 12, 2009, And

Resolution No. 177 Adopted August 16, 2011 To Increase The Rate

Of Sales And Compensating Use Taxes

purposes of resale, upon which any of the services described under paragraphs

(2), (3) and (7) of subdivision (c) of Section Two have been performed, (E) of

any telephone answering service described in subdivision (b) of Section Two

and (F) of any computer software written or otherwise created by the user if

the user offers software of a similar kind for sale as such or as a component

part of other property in the regular course of business.

(b) For purposes of clause (A) of subdivision (a) of this Section, for the period

commencing February 1, 2014, and ending December 31, 2014,

the tax shall be at the rate of four percent and on and after January 1, 2015, the

tax shall be at the rate of three percent, of the consideration given or

contracted to be given for such property, or for the use of such property,

including any charges for shipping or delivery, as described in paragraph three

of subdivision (b) of Section One, but excluding any credit for tangible

personal property accepted in part payment and intended for resale.

(c) For purposes of subclause (i) of Clause (B) of subdivision (a) of this

Section, for the period commencing February 1, 2014, and ending December

31, 2014, the tax shall be at the rate of four percent, and on and after January

1, 2015, the tax shall be at the rate of three percent, of the price at which items

of the same kind of tangible personal property are offered for sale by the user,

and the mere storage, keeping, retention or withdrawal from storage of

tangible personal property by the person who manufactured, processed or

assembled such property shall not be deemed a taxable use by him.

- Page 5 -

Resolution No. 9 January 23, 2014

Amending Resolution No. 286 Of 1968, Adopted February 13,1969,

Imposing Taxes On Sales And Uses Of Tangible Personal Property

And Of Certain Services And On Occupancy Of Hotel Rooms And

On Amusement Charges, Pursuant To Article 29 Of The Tax Law

Of The State Of New York, As Amended By Resolution No. 164

Adopted July 8, 1971, Resolution No. 18 Adopted February 8, 1973,

Resolution No. 211 Adopted June 10, 1976, Resolution No. 445

Adopted December 14, 1976, Resolution No. 183 Adopted August

12, 1993, Resolution No. 211 Adopted August 10, 1995, Resolution

No. 240 Adopted August 14, 1997, Resolution No. 245 Adopted

August 12, 1999, Resolution No. 260 Adopted August 22, 2001,

Resolution No. 218 Adopted July 30, 2003, Resolution No. 246

Adopted August 31, 2005, Resolution No. 272 Adopted July 31,

2007, Resolution No. 247 Adopted August 12, 2009, And

Resolution No. 177 Adopted August 16, 2011 To Increase The Rate

Of Sales And Compensating Use Taxes

(d) For purposes of subclause (ii) of clause (B) of subdivision (a) of this

Section, for the period commencing February 1, 2014, and ending December

31, 2014, the tax shall be at the rate of four percent, and on and after January

1, 2015, the tax shall be at the rate of three percent, of the consideration given

or contracted to be given for the tangible personal property manufactured,

processed or assembled into the tangible personal property the use of which is

subject to tax, including any charges for shipping or delivery as described in

paragraph three of subdivision (b) of Section One.

(e) Notwithstanding the foregoing provisions of this section, for purposes of

clause (B) of subdivision (a) of this section, there shall be no tax on any

portion of such price which represents the value added by the user to tangible

personal property which he fabricates and installs to the specifications of an

addition or capital improvement to real property, property or land, as the terms

of real property, property or land are defined in the real property tax law over

and above the prevailing normal purchase price prior to such fabrication of

such tangible personal property which a manufacturer, producer or assembler

would charge an unrelated contractor who similarly fabricated and installed

such tangible personal property to the specifications of an addition or capital

improvement to such real property, property or land.

(f) For purposes of clauses (C), (D) and (E) of subdivision (a) of this section,

for the period commencing February 1, 2014, and ending December 31, 2014, 

- Page 6 -

Resolution No. 9 January 23, 2014

Amending Resolution No. 286 Of 1968, Adopted February 13,1969,

Imposing Taxes On Sales And Uses Of Tangible Personal Property

And Of Certain Services And On Occupancy Of Hotel Rooms And

On Amusement Charges, Pursuant To Article 29 Of The Tax Law

Of The State Of New York, As Amended By Resolution No. 164

Adopted July 8, 1971, Resolution No. 18 Adopted February 8, 1973,

Resolution No. 211 Adopted June 10, 1976, Resolution No. 445

Adopted December 14, 1976, Resolution No. 183 Adopted August

12, 1993, Resolution No. 211 Adopted August 10, 1995, Resolution

No. 240 Adopted August 14, 1997, Resolution No. 245 Adopted

August 12, 1999, Resolution No. 260 Adopted August 22, 2001,

Resolution No. 218 Adopted July 30, 2003, Resolution No. 246

Adopted August 31, 2005, Resolution No. 272 Adopted July 31,

2007, Resolution No. 247 Adopted August 12, 2009, And

Resolution No. 177 Adopted August 16, 2011 To Increase The Rate

Of Sales And Compensating Use Taxes

the tax shall be at the rate of four percent, and on and after January 1, 2015,

the tax shall be at the rate of three percent, of the consideration given or

contracted to be given for the service, including the consideration for any

tangible personal property transferred in conjunction with the performance of

the service and also including any charges for shipping and delivery of the

property so transferred and of the tangible personal property upon which the

service was performed as such charges are described in paragraph three of

subdivision (b) of Section one.

(g) For purposes of clause (F) of subdivision (a) of this section, for the period

commencing February 1, 2014, and ending December 31, 2014, the tax shall

be at the rate of four percent, and on and after January 1, 2015, the tax shall be

at the rate of three percent, of the consideration given or contracted to be

given for the tangible personal property which constitutes the blank medium,

such as disks or tapes, used in conjunction with the software, or for the use of

such property, and the mere storage, keeping retention or withdrawal from

storage of computer software described in such clause (F) by its author or

other creator shall not be deemed a taxable use by such person.

Section 4. Subdivision (1) of Section 11 thereof is amended by adding a new

paragraph (D) to read as follows:

- Page 7 -

Resolution No. 9 January 23, 2014

Amending Resolution No. 286 Of 1968, Adopted February 13,1969,

Imposing Taxes On Sales And Uses Of Tangible Personal Property

And Of Certain Services And On Occupancy Of Hotel Rooms And

On Amusement Charges, Pursuant To Article 29 Of The Tax Law

Of The State Of New York, As Amended By Resolution No. 164

Adopted July 8, 1971, Resolution No. 18 Adopted February 8, 1973,

Resolution No. 211 Adopted June 10, 1976, Resolution No. 445

Adopted December 14, 1976, Resolution No. 183 Adopted August

12, 1993, Resolution No. 211 Adopted August 10, 1995, Resolution

No. 240 Adopted August 14, 1997, Resolution No. 245 Adopted

August 12, 1999, Resolution No. 260 Adopted August 22, 2001,

Resolution No. 218 Adopted July 30, 2003, Resolution No. 246

Adopted August 31, 2005, Resolution No. 272 Adopted July 31,

2007, Resolution No. 247 Adopted August 12, 2009, And

Resolution No. 177 Adopted August 16, 2011 To Increase The Rate

Of Sales And Compensating Use Taxes

(D) With respect to the additional one percent tax imposed for the period

beginning February 1, 2014, and ending December 31, 2014, in respect to the

use of property used by the purchaser in this County prior to February 1, 2014.

Section 5. Section 14 thereof is amended to read as follows:

Section 14. Disposition of Revenue

(a) Net collections distributed to the County by the State Comptroller pursuant

to subdivision (c) of Section 1261 of the Tax Law of the State of New York,

including net collections from the additional one percent rate of sales and

compensating use taxes imposed for the periods beginning September 1, 2002,

and ending, November 30, 2013 and commencing February 1, 2014, and

ending December 31, 2014, shall be set aside for County purposes and shall be

available for any County purpose, except that such net collections shall be set

aside or disposed of in accordance with the Sales Tax allocation agreement

entered into by Ulster County and the City of Kingston (the “City”) on

January 18, 2006 and approved by the State Comptroller pursuant to section

1262 ( c ) of the Tax Law most recently for the period March 1, 2011, through

February 29, 2016, during the period that such agreement is in effect. Such

agreement provides as follows:

(1) 85.5% of such monies shall be set aside for County purposes and

shall be available for any County purpose.

- Page 8 -

Resolution No. 9 January 23, 2014

Amending Resolution No. 286 Of 1968, Adopted February 13,1969,

Imposing Taxes On Sales And Uses Of Tangible Personal Property

And Of Certain Services And On Occupancy Of Hotel Rooms And

On Amusement Charges, Pursuant To Article 29 Of The Tax Law

Of The State Of New York, As Amended By Resolution No. 164

Adopted July 8, 1971, Resolution No. 18 Adopted February 8, 1973,

Resolution No. 211 Adopted June 10, 1976, Resolution No. 445

Adopted December 14, 1976, Resolution No. 183 Adopted August

12, 1993, Resolution No. 211 Adopted August 10, 1995, Resolution

No. 240 Adopted August 14, 1997, Resolution No. 245 Adopted

August 12, 1999, Resolution No. 260 Adopted August 22, 2001,

Resolution No. 218 Adopted July 30, 2003, Resolution No. 246

Adopted August 31, 2005, Resolution No. 272 Adopted July 31,

2007, Resolution No. 247 Adopted August 12, 2009, And

Resolution No. 177 Adopted August 16, 2011 To Increase The Rate

Of Sales And Compensating Use Taxes

(2) 11.5% of such monies shall be paid monthly directly to the City and

the County shall pay such share of the monies to the City within seven

work days after receiving the same from the State Comptroller.

(3)(a) 3% of such monies shall be allocated monthly or otherwise as

provided by law, to the area of the County outside of the City, to be

distributed among the towns and villages therein based upon full

valuation.

(b) As used in this Section the following terms shall mean or include:

(1) Net collections. The moneys collected from a tax or taxes imposed

pursuant to this enactment, after deducting therefrom expenses of

administration and collection and amounts refunded or to be refunded.

(2) General town taxes. Taxes levied for any town purpose, including

highways, upon the entire area of a town.

(3) Full valuation of real property. The assessed valuation of real

property divided by the equalization rate as determined in accordance

with Article Eight of the Real Property Tax Law.

(4) Part-town activities. Activities of town government, including

highway programs, which are chargeable to the area of the town

- Page 9 -

Resolution No. 9 January 23, 2014

Amending Resolution No. 286 Of 1968, Adopted February 13,1969,

Imposing Taxes On Sales And Uses Of Tangible Personal Property

And Of Certain Services And On Occupancy Of Hotel Rooms And

On Amusement Charges, Pursuant To Article 29 Of The Tax Law

Of The State Of New York, As Amended By Resolution No. 164

Adopted July 8, 1971, Resolution No. 18 Adopted February 8, 1973,

Resolution No. 211 Adopted June 10, 1976, Resolution No. 445

Adopted December 14, 1976, Resolution No. 183 Adopted August

12, 1993, Resolution No. 211 Adopted August 10, 1995, Resolution

No. 240 Adopted August 14, 1997, Resolution No. 245 Adopted

August 12, 1999, Resolution No. 260 Adopted August 22, 2001,

Resolution No. 218 Adopted July 30, 2003, Resolution No. 246

Adopted August 31, 2005, Resolution No. 272 Adopted July 31,

2007, Resolution No. 247 Adopted August 12, 2009, And

Resolution No. 177 Adopted August 16, 2011 To Increase The Rate

Of Sales And Compensating Use Taxes

outside of villages, exclusive of special district purposes, unless such

special district is a fire protection district coterminous with the area of a

town outside of villages.

Section 6. This enactment shall take effect February 1, 2014,

and moves its adoption.

ADOPTED BY THE FOLLOWING VOTE:

 

AYES: 16 NOES: 0

 (Absent: Legislators Archer, Belfiglio,

Fabiano, Litts, Maio, Richard Parete,

and Roberts)

Passed Committee: Ways and Means on January 22, 2014

FINANCIAL IMPACT:

$22,535,275.00 – COUNTY-ANNUALIZED REVENUES FOR 12 MONTHS

$ 3,031,060.00 – CITY OF KINGSTON-ANNUALIZED REVENUES FOR 12

 MONTHS

$ 790,711.00 – TOWNS-ANNUALIZED REVENUES FOR 12 MONTHS

- Page 10 -

Resolution No. 9 January 23, 2014

Amending Resolution No. 286 Of 1968, Adopted February 13,1969,

Imposing Taxes On Sales And Uses Of Tangible Personal Property

And Of Certain Services And On Occupancy Of Hotel Rooms And

On Amusement Charges, Pursuant To Article 29 Of The Tax Law

Of The State Of New York, As Amended By Resolution No. 164

Adopted July 8, 1971, Resolution No. 18 Adopted February 8, 1973,

Resolution No. 211 Adopted June 10, 1976, Resolution No. 445

Adopted December 14, 1976, Resolution No. 183 Adopted August

12, 1993, Resolution No. 211 Adopted August 10, 1995, Resolution

No. 240 Adopted August 14, 1997, Resolution No. 245 Adopted

August 12, 1999, Resolution No. 260 Adopted August 22, 2001,

Resolution No. 218 Adopted July 30, 2003, Resolution No. 246

Adopted August 31, 2005, Resolution No. 272 Adopted July 31,

2007, Resolution No. 247 Adopted August 12, 2009, And

Resolution No. 177 Adopted August 16, 2011 To Increase The Rate

Of Sales And Compensating Use Taxes

STATE OF NEW YORK

 ss:

COUNTY OF ULSTER

This is to certify that I, the undersigned Clerk of the Legislature of the County of Ulster have compared the

foregoing resolution with the original resolution now on file in the office of said clerk, and which was adopted by said

Legislature on the 23rd Day of January, 2014, and that the same is a true and correct transcript of said resolution and of the

whole thereof.

IN WITNESS WHEREOF, I have hereunto set my hand and seal of the County of Ulster this 23rd Day of January

in the year Two Thousand and Fourteen.

|s| Victoria A. Fabella

Victoria A. Fabella, Clerk

Ulster County Legislature

Submitted to the County Executive this Approved by the County Executive this

23rd Day of January, 2014. 23rd Day of January, 2014.

|s| Victoria A. Fabella |s| Michael P. Hein

Victoria A. Fabella, Clerk Michael P. Hein, County Executive

Ulster County Legislature

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Updated: October 8, 2020