N.Y. GCM Law § 4-F — New York Code / Act GCM / Part 2 / Section 4-F
Credit relating to certain sales and compensating use taxes on electricity used in manufacturing, processing or assembling
Status: in_force

§ 4-f. Credit relating to certain sales and compensating use taxes on\nelectricity used in manufacturing, processing or assembling.  (1) (a) In\naddition to any other credit allowed by this part, a taxpayer shall be\nallowed a credit against the tax imposed by this part to be credited or\nrefunded in the manner hereinafter provided in this section. The amount\nof such credit shall be equal to the amount of sales and compensating\nuse taxes imposed by section eleven hundred seven of the tax law during\nthe taxpayer's taxable year which became legally due on or after and was\npaid on or after July first, nineteen hundred eighty-four, less any\ncredits or refunds of such taxes, with respect to the purchase or use by\nthe taxpayer of electricity or electric service of whatever nature for\nuse or consumption directly and exclusively in the production of\ntangible personal property for sale by manufacturing, processing or\nassembling. Provided, however, the amount of the credit allowed by this\nparagraph shall be reduced by the amount of any rebate or rebates\nreceived during the taxpayer's taxable year pursuant to a local law\nenacted in accordance with article two-G of the general city law.\n  (b) In addition to any other credit allowed by this part, a taxpayer\nshall be allowed a credit against the tax imposed by this part to be\ncredited or refunded in the manner hereinafter provided in this\nsubdivision. The amount of such credit shall be equal to the percentage\nspecified below of the amount of sales and compensating use taxes\nimposed by section eleven hundred seven of the tax law during the\ntaxpayer's taxable year which became legally due on or after and was\npaid on or after July first, nineteen hundred eighty-eight, less any\ncredit or refund of such taxes, with respect to the purchase or use by a\nnon-residential energy user, as such term is defined in article two-G of\nthe general city law, of electricity or electric service purchased at\nretail from the power authority of the state of New York or the port\nauthority of the state of New York and New Jersey, provided, however,\nthat no credit shall be allowed with respect to purchases from such port\nauthority unless it shall be an "eligible vendor of energy services", as\ndefined in paragraph one of subdivision (c) of section twenty-five-v of\nthe general city law, and shall have obtained a certification of\neligibility in accordance with subdivision (b) of section twenty-five-w\nof such law; during the period commencing July first, nineteen hundred\neighty-eight and ending June thirtieth, nineteen hundred eighty-nine the\ncredit shall be in an amount equal to twenty-five per centum of such\nsales and compensating use taxes imposed; during the period commencing\nJuly first, nineteen hundred eighty-nine and ending June thirtieth,\nnineteen hundred ninety the credit shall be in an amount equal to fifty\nper centum of such taxes imposed; during the period commencing July\nfirst, nineteen hundred ninety and ending June thirtieth, nineteen\nhundred ninety-one the credit shall be in an amount equal to\nseventy-five per centum of such taxes imposed; and during the period\ncommencing July first, nineteen hundred ninety-one and thereafter the\ncredit shall be in an amount equal to one hundred per centum of such\ntaxes imposed.\n  (c) In addition to any other credit allowed by this part, a taxpayer\nshall be allowed a credit against the tax imposed by this part to be\ncredited or refunded in the manner hereinafter provided in this\nsubdivision. The amount of such credit shall be equal to the percentage\nspecified below of the amount of sales and compensating use taxes\nimposed by section eleven hundred seven of the tax law during the\ntaxpayer's taxable year which became legally due on or after and was\npaid on or after July first, nineteen hundred eighty-eight, less any\ncredit or refund of such taxes, with respect to the purchase or use by a\nnon-residential fuel user of fuel or fuel service except fuel used to\noperate motor vehicles; during the period commencing July first,\nnineteen hundred eighty-eight and ending June thirtieth, nineteen\nhundred eighty-nine the credit shall be in an amount equal to\ntwenty-five per centum of such sales and compensating use taxes imposed,\nduring the period commencing July first, nineteen hundred eighty-nine\nand ending June thirtieth, nineteen hundred ninety the credit shall be\nin an amount equal to fifty per centum of such taxes imposed; during the\nperiod commencing July first, nineteen hundred ninety and ending June\nthirtieth, nineteen hundred ninety-one the credit shall be in an amount\nequal to seventy-five per centum of such taxes imposed; and during the\nperiod commencing July first, nineteen hundred ninety-one and thereafter\nthe credit shall be in an amount equal to one hundred per centum of such\ntaxes imposed. For purposes of this paragraph, the term "non-residential\nfuel user" shall mean any non-residential user of fuel, except a\ngovernment agency or instrumentality thereof, public benefit\ncorporation, or any entity that is exempt from the sales tax imposed\npursuant to section eleven hundred seven of the tax law, provided that\nthe term "non-residential fuel user" shall not include an owner or\noperator of residential income producing property, except a hotel.\n  (2) The credit allowed under this section for any taxable year shall\nbe deemed to be an overpayment of tax by the taxpayer to be credited or\nrefunded, without interest, in accordance with the provisions of section\nseventy-seven of this title.\n  (3) Where the taxpayer receives a refund or credit of any tax imposed\nunder section eleven hundred seven of the tax law for which the taxpayer\nhad claimed a credit under the provisions of this section in a prior\ntaxable year, the amount of such tax refund or credit shall be added to\nthe tax imposed by section three of this part, and such amount shall be\nsubtracted in computing entire net income for the taxable year.\n