Governor Cuomo's newly approved budget includes a straight repeal of the sales tax exemption that currently applies to all electricity and natural gas customers who purchase their energy from a third party energy company.
The budget, which has been passed by both houses, amends section 1105 of the tax law to declare that sales taxes will apply to "the transportation, transmission or distribution of gas or electricity, even if sold separately."
Taking effect June 1, 2019, this change will increase the delivery portion of customers' utility bills by 4.375% in New York City all the way up to an 11.375% increase in certain areas of upstate New York.
For additional information, please see the full details of the budget here.
