Bill > A03520

This bill amends the New York State tax law to create a new sales and use tax exemption specifically for newly manufactured railroad rolling stock used in interstate commerce. The bill defines "railroad rolling stock" as transportation devices that operate exclusively on stationary rails or tracks, used for transporting goods, commodities, or equipment, which includes various types of freight railroad cars such as flat cars, box cars, gondolas, and hopper cars. By adding this exemption, manufacturers selling these railroad vehicles will no longer be required to collect sales or compensating use taxes when selling such equipment. The legislation will take effect on the first day of a sales tax quarterly period that begins at least 60 days after the bill becomes law, giving state tax authorities time to prepare for the new exemption. This exemption is intended to potentially reduce costs for railroad equipment manufacturers and support the interstate transportation industry by lowering tax burdens on newly produced railroad vehicles.

Budget and Finance

https://www.nysenate.gov/legislation/bills/2025/A3520