Bill > S00393

This bill modifies New York's tax law regarding sales and compensating use taxes for motor fuel and diesel motor fuel by establishing a new method of tax calculation and collection. Specifically, the bill mandates that sales taxes on motor and diesel fuel will be computed quarterly by the tax commissioner at a rate of cents per gallon, which will be rounded to the nearest cent and multiplied by the fuel's cost. Additionally, the bill requires prepayment of these taxes for all motor fuel imported, manufactured, sold, or used in the state, with taxes to be paid on each gallon of fuel before sale or use. The new tax calculation and prepayment requirements will take effect on the first day of a sales tax quarterly period at least 90 days after the bill becomes law, and will be implemented in accordance with existing transitional provisions in the tax law. This approach appears designed to create a more standardized and predictable method of collecting sales tax on motor fuels, ensuring upfront tax collection and potentially simplifying the tax calculation process for fuel retailers and distributors.

Budget and Finance

https://www.nysenate.gov/legislation/bills/2025/S393