MEMO OF SUPPORT

S.31/A.5883 to Exempt Personal Protective Equipment from Sales Tax

The Manufacturers Association of Central New York (MACNY) and the Manufacturers Alliance of New York support S.31 (Kaplan) A. 5883 (Stirpe), which would amend the tax law, in relation to exempting certain personal protective clothing and equipment from the tax on sales and the compensating use tax.  We believe this bill would not only help small businesses purchase personal protective equipment, but also benefit manufacturing companies that are producing PPE in the State of New York. At a time when businesses have been struggling to keep their lights on, as a result of the COVID-19 pandemic, this bill could bring much-needed relief.

When the pandemic hit, businesses across the State of New York were faced with new and unexpected costs to provide their employees and customers with the necessary safety measures they needed to protect themselves from COVID.  Employers had to stockpile these products and spend thousands of dollars to ensure an adequate supply for their workers. Personal protective clothing and equipment includes, but is not limited to, coveralls, gloves, facemasks, and goggles.  These items may be required as the NYS Department of Labor develops model health and safety workplaces standards for companies statewide.

Removing this tax would help reduce this cost burden to these purchases.  We are pleased to note that there is a bi-partisan PPE tax credit bill being proposed in Congress that would serve as companion legislation. For these reasons, we express our support for Bill S.31/ A.5883.