Provides an exemption for tangible personal property and services sold by a cemetery.
Summary
S02199 would amend New York’s tax law to create a sales tax exemption for certain tangible personal property and services sold by cemetery corporations. The exemption would apply only to items and services that have been submitted to and approved by the State Cemetery Board and that are used exclusively on cemetery grounds or in cemetery buildings, including services related to the maintenance and preservation of lots, plots, and related cemetery property.
The bill also adds a corresponding exemption for cemetery corporations when they are the purchaser, user, or consumer of property or services, or when they are the vendor of items or services used exclusively on cemetery grounds or buildings. The stated policy rationale is to preserve cemetery funds, support long-term maintenance, and prevent cemeteries from becoming a burden on local governments or falling into disrepair.
Impact
If enacted, the bill would narrow the application of state sales tax under Tax Law sections 1115 and 1116 by carving out a specific exemption for cemetery-related purchases and services. It would affect cemetery corporations, cemetery vendors, and purchasers of cemetery goods and services, while also tying the exemption to approval by the State Cemetery Board and exclusive use on cemetery property. The measure would take effect immediately and would likely reduce tax collections on qualifying cemetery transactions.
Sentiment
The available voting history suggests generally favorable committee support, with the Senate Budget and Revenue Committee approving the bill 6-1. The bill’s findings and structure indicate a policy goal of protecting cemetery maintenance funds and supporting the upkeep of burial grounds, which appears to have broad institutional appeal. No committee transcript is available, so the record does not show detailed debate, but the vote indicates some support with limited opposition.
Contention
The main point of contention appears to be whether cemetery corporations should receive a targeted tax exemption for goods and services used on cemetery property, since such exemptions reduce state tax revenue and create a special carveout in the tax code. The bill’s requirement that charges and rates be approved by the State Cemetery Board may also be a point of administrative concern, as it links tax treatment to regulatory approval. The lone dissenting vote in committee suggests at least one member had reservations, likely about fiscal impact or the scope of the exemption.