Highway Use TaxRegistration Fee:
would increase the replacement fee for a certificate of registration from $4 to $15for a motor vehicle and from $2 to $15 for a trailer, semi-trailer, dolly or other drawn devices. Wouldincrease revenues by $4.6 million in SFY 2009-10.
would reauthorize the Commissioner of Tax and Finance to re-require vehicledecals (at a cost of $4 per decal) rather than the current registration system due to a clarificationprovided by recent Federal legislation. This measure is intended to be revenue neutral.
Bank TaxFirst Installment Payment:
See Corporate Franchise Tax. ($45 million spin-up).
Insurance TaxCaptive Insurance Companies:
would require that captive insurance companies, that receive 50percent or less of their gross receipts from insurance premiums, would have to file a combined returnwith their closest affiliated taxpayer or parent company. This proposal will increase insurance taxrevenue by $2 million SFY 2009-10 and $4 million in SFY 2010-11.
Cooperative Insurance Companies:
would limit the exemption provided for town or countycooperative insurance companies that existed before 1937 on the insurance franchise tax. Theexemption will now only apply to corporations that have direct written
premiums of $25 million
orless for the taxable year. Would generate $19 million for SFY 2009-10 and $15 million thereafter.
Life Insurance Taxation:
would change the franchise tax on Life Insurance companies so that allinsurance companies are taxed in an uniformed manner by paying a tax based on
. The taxrate on premiums will be 2 percent. This proposal also
increases the premiums tax rate forAccident and Health Insurance from 1.75 percent to 2 percent
. Would increase insurance taxesby $62 million in SFY 2009-10 and $50 million in SFY 2010-11.
First Installment Payment:
See Corporate Franchise Tax. ($75 million spin-up).
Sales and Use TaxesClothing Exemption:
would eliminate the year round $110 Clothing exemption, replacing it withtwo one week periods with an exemption level of $500. Localities would have to “opt-in” to exemptsales tax during those two week periods. Increases sales tax by a net $462 million in 2009-10 and$660 million thereafter.
Personal Grooming Services:
would impose sale tax on personal and credit services statewide.Currently New York City taxes services such as
barbering, manicures, massages and gymnasium
services, as well as
credit rating and reporting
services. These would become taxable statewide.Would increases sales taxes by $78 million in 2009-10 and $104 million thereafter;
would expand the sales tax to cover all admission charges into places of amusement, including, but not limited to:
, swimming pools, and
. This proposal would expand taxation with regards to
club dues and fees
to useequipment and facilities, as well as
expand the cabaret charges
to include any hotel, restaurant, or