New York 2025-2026 Regular Session

New York Assembly Bill A04436

Introduced
2/4/25  
Refer
2/4/25  

Caption

Provides an exemption for the sale of the first $35,000 for a battery, electric, or plug-in hybrid electric vehicle from state sales and compensating use taxes; authorizes local governments to elect such incentives; repeals the hybrid exemption after ten years.

Summary

Bill A04436 proposes to amend New York's tax law by exempting the first $35,000 of the sale or lease of new or used battery, electric, or plug-in hybrid electric vehicles from state sales and compensating use taxes. Additionally, the bill allows cities and counties the option to adopt this exemption, thereby providing local governments with the flexibility to encourage the adoption of electric vehicles. The bill also includes provisions that will repeal this exemption for hybrid vehicles after a period of ten years, suggesting a phased approach to tax incentives for these types of vehicles.

Impact

If enacted, this bill would significantly reduce the tax burden on consumers purchasing battery, electric, or plug-in hybrid electric vehicles, potentially leading to increased sales of such vehicles. This change would align state tax policy with environmental goals aimed at promoting cleaner transportation options. Local governments would have the authority to opt into this exemption, which could lead to varying tax incentives across different regions of New York, depending on local policies.

Sentiment

The sentiment surrounding Bill A04436 appears to be generally positive, as it aligns with broader environmental initiatives and the push for sustainable transportation. However, there may be concerns from some lawmakers regarding the long-term fiscal implications of reducing tax revenues from vehicle sales, particularly in the context of the ten-year repeal of the hybrid exemption.

Contention

Notable points of contention may arise from the potential loss of tax revenue for the state and local governments, as well as debates about the effectiveness of such tax incentives in truly promoting electric vehicle adoption. Some lawmakers may argue that the bill does not go far enough in addressing the broader issues of climate change and energy policy, while others may express concerns about the equity of such tax breaks favoring higher-income individuals who can afford new electric vehicles.

Companion Bills

No companion bills found.

Previously Filed As

NY A03159

Provides an exemption for the sale of the first $35,000 for a battery, electric, or plug-in hybrid electric vehicle from state sales and compensating use taxes; authorizes local governments to elect such incentives; repeals the hybrid exemption after ten years.

NY S07073

Provides an exemption for the sale of the first $35,000 for a battery, electric, or plug-in hybrid electric vehicle from state sales and compensating use taxes; authorizes local governments to elect such incentives; repeals the hybrid exemption after ten years.

NY S06670

Provides a half exemption for the sale of the first $35,000 for a battery, electric, or plug-in hybrid electric vehicle from state sales and compensating use taxes and a full exemption on such sales where the vehicle was assembled in the United States utilizing union labor; authorizes local governments to elect such incentives; repeals the hybrid exemption after ten years.

IA HF548

A bill for an act relating to the recycling of battery electric motor vehicles and plug-in hybrid electric motor vehicles, and making penalties applicable.(Formerly HSB 135.)

CT HB06696

An Act Restricting The Sale Of Certain Plug-in Hybrid Electric Vehicles In The State.

IA HSB135

A bill for an act relating to the recycling of battery electric motor vehicles and plug-in hybrid electric motor vehicles, and making penalties applicable.(See HF 548.)

MN SF3853

Surcharges modification for all-electric vehicles and plug in hybrid electric vehicles

MN HF5138

All-electric vehicle and plug-in hybrid electric vehicle surcharge modified.

WY HB0145

AN ACT relating to taxation and revenue; amending the collection of and process for alternative fuel taxes; providing a per kilowatt hour license tax on electricity used to propel an electric vehicle; amending and providing definitions; reducing the annual decal fee for plug-in hybrid vehicles; requiring display of per kilowatt hour taxes; amending sales of alternative fuels from sales taxation; making conforming amendments; requiring rulemaking; and providing for an effective date.

NJ A4514

Requires MVC to issue license plate decals for identification of electric vehicles and plug-in hybrid vehicles.

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