Section 301-C. Reimbursement

* A subsequent purchaser shall be eligible for
  reimbursement   of   tax   with  respect  to  the  following  gallonage,
  subsequently sold by such purchaser in accordance with subdivision  (a),
  (b),  (e),  (h),  (j),  (k),  (n) or (o) of this section or used by such
  purchaser in accordance with subdivision (c), (d), (f), (g), (i), (l) or
  (m) of this section, which gallonage has been included in the measure of
  the tax imposed by this article on a petroleum business:
    * NB Effective until September 1, 2011
    * A subsequent purchaser shall be eligible for  reimbursement  of  tax
  with  respect  to  the  following  gallonage,  subsequently sold by such
  purchaser in accordance with subdivision (a), (b), (e), (h), (j) or  (k)
  of this section or used by such purchaser in accordance with subdivision
  (c), (d), (f), (g), (i), (l) or (m) of this section, which gallonage has
  been  included  in  the  measure of the tax imposed by this article on a
  petroleum business:
    * NB Effective September 1, 2011
    (a) Diesel motor fuel used for heating purposes. (1) Total residential
  heating reimbursement. Diesel motor fuel purchased  in  this  state  and
  sold by such purchaser to a consumer for use exclusively for residential
  heating  purposes but only where (i) such diesel motor fuel is delivered
  into a storage tank which is not equipped with a hose or other apparatus
  by which such fuel can be dispensed  into  the  fuel  tank  of  a  motor
  vehicle  and  such  storage tank is attached to the heating unit burning
  such fuel, (ii) the tax imposed pursuant to this article has  been  paid
  with respect to such diesel motor fuel and the entire amount of such tax
  has  been absorbed by such purchaser, and (iii) such purchaser possesses
  documentary  proof  satisfactory  to  the  commissioner  evidencing  the
  absorption  by  it  of  the entire amount of the tax imposed pursuant to
  this article. Provided, however, that the commissioner is authorized, in
  the event that the commissioner determines that it  would  not  threaten
  the  integrity  of the administration and enforcement of the tax imposed
  by this article, to provide a reimbursement with  respect  to  a  retail
  sale  to  a  consumer  for residential heating purposes of less than ten
  gallons of diesel motor fuel provided such fuel is  not  dispensed  into
  the  tank  of  a  motor vehicle. Provided, further, that with respect to
  each delivery of enhanced diesel motor fuel of over four  thousand  five
  hundred  gallons, to obtain this reimbursement there shall be required a
  certificate signed by the consumer stating that the product will be used
  exclusively for residential heating purposes.
    (2) Partial non-residential heating reimbursement.  (A)  Diesel  motor
  fuel  purchased  in  this state and sold by such purchaser to a consumer
  for use exclusively for heating,  other  than  for  residential  heating
  purposes,  but only where (i) such diesel motor fuel is delivered into a
  storage tank which is not equipped with a hose  or  other  apparatus  by
  which  such  fuel can be dispensed into the fuel tank of a motor vehicle
  and such storage tank is attached to the heating unit burning such fuel,
  (ii) the tax imposed pursuant to this article has been paid with respect
  to such diesel motor fuel and the entire amount of  such  tax  has  been
  absorbed   by   such  purchaser,  and  (iii)  such  purchaser  possesses
  documentary  proof  satisfactory  to  the  commissioner  evidencing  the
  absorption  by  it  of  the entire amount of the tax imposed pursuant to
  this article. Provided, however, that with respect to each  delivery  of
  enhanced  diesel  motor fuel of over four thousand five hundred gallons,
  to obtain this reimbursement  there  shall  be  required  a  certificate
  signed by the consumer stating that the product will be used exclusively
  for heating, other than for residential heating purposes.
    (B)  Calculation  of  partial reimbursement. Notwithstanding any other
  provision of this article, commencing April first, two thousand one  and

  ending  August  thirty-first,  two  thousand  two,  the  amount  of  the
  reimbursement under this paragraph shall be  determined  by  multiplying
  the  quantity  of diesel motor fuel eligible for the reimbursement times
  the  sum  of  the  then  current rate of the supplemental tax imposed by
  section three hundred one-j of this article and twenty  percent  of  the
  then  current  rate of the tax imposed by section three hundred one-a of
  this article, with respect to the specific diesel motor  fuel  rate,  as
  the  case  may be, and commencing September first, two thousand two, the
  amount of the reimbursement under this paragraph shall be determined  by
  multiplying   the  quantity  of  diesel  motor  fuel  eligible  for  the
  reimbursement times the sum of the then current rate of the supplemental
  tax imposed by section three hundred one-j of this article and forty-six
  percent of the then current rate of the tax  imposed  by  section  three
  hundred one-a of this article, with respect to the specific diesel motor
  fuel rate, as the case may be.
    (b) Sales to New York state and the federal government. Motor fuel and
  diesel  motor fuel purchased in this state and sold by such purchaser in
  this state to an organization described  in  paragraph  one  or  two  of
  subdivision  (a) of section eleven hundred sixteen of this chapter where
  (i) such motor fuel or diesel motor fuel is for such organization's  own
  use  or  consumption,  (ii) the tax imposed pursuant to this article has
  been paid with respect to such motor fuel or diesel motor fuel  and  the
  entire amount of such tax has been absorbed by such purchaser and, (iii)
  such   purchaser   possesses   documentary  proof  satisfactory  to  the
  commissioner of taxation and finance evidencing the absorption by it  of
  the entire amount of the tax imposed pursuant to this article. Provided,
  however,  that  the  commissioner  of taxation and finance shall require
  such documentary proof to qualify for any reimbursement of tax  provided
  by  this  section  as  the commissioner deems appropriate, including the
  expansion of any certification required pursuant to section two  hundred
  eighty-five-a  or two hundred eighty-five-b of this chapter to cover the
  taxes imposed pursuant to this article.
    (c) Motor fuel and diesel motor fuel used by certain omnibus carriers.
  Motor fuel and diesel motor fuel purchased in this state by  an  omnibus
  carrier  and  consumed  by  such  omnibus carrier in the operation of an
  omnibus (i) in local transit service in this state, as  described  under
  paragraph  (d) of subdivision three of section two hundred eighty-nine-c
  of this chapter, pursuant to a certificate  of  public  convenience  and
  necessity  issued by the commissioner of transportation of this state or
  by the interstate commerce commission of the United States  or  pursuant
  to  a  contract,  franchise  or  consent between such carrier and a city
  having a population of more than one million inhabitants, or any  agency
  of  such  city,  or (ii) in the transportation of school children in the
  state under a contract made pursuant to the provisions of the  education
  law.  Provided,  however,  the  reimbursement  under this subdivision is
  available only where the tax imposed pursuant to this article  has  been
  paid with respect to such motor fuel or diesel motor fuel and the entire
  amount of such tax has been absorbed by such omnibus carrier, where such
  omnibus   carrier   possesses  documentary  proof  satisfactory  to  the
  commissioner of taxation and finance evidencing the absorption by it  of
  the  entire  amount  of  the  tax  imposed pursuant to this article, and
  where, in the case  of  the  reimbursement  under  clause  (i)  of  this
  subdivision,  such  motor  fuel  or diesel motor fuel is included in the
  gallonage upon which reimbursement is calculated under paragraph (d)  of
  subdivision  three  of section two hundred eighty-nine-c of this chapter
  and, in the  case  of  the  reimbursement  under  clause  (ii)  of  this
  subdivision,  such  motor  fuel  or diesel motor fuel is included in the

  gallonage upon which reimbursement is calculated under paragraph (b)  of
  such subdivision three of section two hundred eighty-nine-c.
    (d)  Motor fuel and diesel motor fuel used by certain nonpublic school
  operators. Motor fuel and diesel motor fuel purchased in this state by a
  nonpublic school operator, as defined in subdivision eleven  of  section
  two  hundred  eighty-two of this chapter, and consumed by such nonpublic
  school operator exclusively in educational related activities. Provided,
  however, the reimbursement under  this  subdivision  is  available  only
  where  the  tax  imposed  pursuant  to  this  article has been paid with
  respect to such motor fuel or diesel motor fuel and the entire amount of
  such tax has been absorbed by such nonpublic school operator, where such
  nonpublic school operator possesses documentary  proof  satisfactory  to
  the commissioner of taxation and finance evidencing the absorption by it
  of  the  entire  amount of the tax imposed pursuant to this article, and
  where such motor fuel or diesel motor fuel is included in the  gallonage
  upon  which  the  reimbursement  is  calculated  under  paragraph (e) of
  subdivision three of section two hundred eighty-nine-c of this chapter.
    (e) Diesel motor fuel and residual petroleum  product  used  for  farm
  production. Diesel motor fuel or residual petroleum product purchased in
  this  state  and  sold  by  such  purchaser  to  a  consumer  for use or
  consumption directly and exclusively  in  the  production  for  sale  of
  tangible  personal  property by farming, but only if all of such fuel or
  product is delivered on the farm site and is consumed other than on  the
  highways  of  this  state  (except  for  the use of the highway to reach
  adjacent farmlands); provided,  however,  that  a  subsequent  purchaser
  shall  be  eligible  for this reimbursement with respect to no more than
  four thousand five hundred gallons  of  diesel  motor  fuel  sold  to  a
  consumer  in  a thirty-day period for such use or consumption, except in
  accordance  with  prior  clearance  given  by  the  commissioner.   This
  reimbursement  may be claimed only where (i) the tax imposed pursuant to
  this article has been paid with respect to such  diesel  motor  fuel  or
  residual  petroleum  product  and the entire amount of such tax has been
  absorbed  by  such  purchaser,  and  (ii)   such   purchaser   possesses
  documentary  proof  satisfactory  to  the  commissioner  evidencing  the
  absorption by it of the entire amount of the  tax  imposed  pursuant  to
  this  article.  Provided,  however,  that the commissioner shall require
  such documentary proof to qualify for any reimbursement of tax  provided
  by  this  section  as  the commissioner deems appropriate, including any
  certification required pursuant to section two hundred eighty-five-b  of
  this  chapter  and  any  such  prior  clearance  described  in the first
  sentence of this subdivision.
    (f) Motor fuel used for farm production. No  more  than  one  thousand
  five  hundred  gallons  of  motor  fuel  purchased  in  this  state in a
  thirty-day period or  a  greater  amount  which  has  been  given  prior
  clearance  by  the  commissioner,  by  a consumer for use or consumption
  directly and exclusively in the production for sale of tangible personal
  property by farming, but only if all of such fuel is  delivered  on  the
  farm  site  and  is  consumed  other  than on the highways of this state
  (except for the use of the highway to reach  adjacent  farmlands).  This
  reimbursement  to  such purchaser who used such motor fuel in the manner
  specified in this subdivision may be claimed only  where,  (i)  the  tax
  imposed  pursuant  to  this  article  has been paid with respect to such
  motor fuel and the entire amount of such tax has been absorbed  by  such
  purchaser,   and   (ii)   such  purchaser  possesses  documentary  proof
  satisfactory to the commissioner evidencing the absorption by it of  the
  entire  amount  of  the  tax imposed pursuant to this article. Provided,
  however, that the commissioner shall require such documentary  proof  to
  qualify for any reimbursement of tax provided by this subdivision as the

  commissioner  deems appropriate. The commissioner is hereby empowered to
  make such provisions as deemed necessary to define  the  procedures  for
  granting  prior  clearance  for purchases of more than one thousand five
  hundred gallons in a thirty-day period.
    (g)  Diesel  motor  fuel  and  motor  fuel  used  in  the operation of
  commercial fishing vessels. Diesel motor fuel or motor fuel purchased in
  this state by a commercial fisherman at retail wherein (1)  such  diesel
  motor  fuel  or  such  motor fuel is delivered by a pump equipped with a
  hose directly into the fuel tank of a commercial fishing  vessel  to  be
  used as fuel in the operation of such vessel for the purpose of engaging
  in  the  commercial  harvesting of fish for sale; and (2) such vessel is
  operated by a commercial fisherman; but only where (i) the  tax  imposed
  pursuant to this article has been paid with respect to such diesel motor
  fuel  or  such  motor  fuel  and  the entire amount of such tax has been
  absorbed  by  such  purchaser  and,  (ii)   such   purchaser   possesses
  documentary  proof  satisfactory  to  the  commissioner  evidencing  the
  absorption by it of the entire amount of the  tax  imposed  pursuant  to
  this  article.  Provided,  however,  that the commissioner shall require
  such documentary proof to qualify for any reimbursement of tax  provided
  by this section as the commissioner deems appropriate.
    (h)  A  subsequent  purchaser  which is registered as a distributor of
  diesel motor fuel shall be eligible for reimbursement of the tax imposed
  by section three hundred one-a of this article with respect to gallonage
  of residual petroleum product, diesel motor fuel (which is not  enhanced
  diesel motor fuel) and dyed diesel motor fuel, subsequently sold by such
  purchaser to an organization which has qualified under paragraph four or
  five  of  subdivision  (a)  of  section  eleven  hundred sixteen of this
  chapter for the exclusive use  and  consumption  by  such  organization.
  Provided,  however,  this exemption shall in no event apply to a sale of
  diesel motor fuel which involves a delivery at a filling station or into
  a repository which is equipped with a hose or other apparatus  by  which
  such fuel can be dispensed into the fuel tank of a motor vehicle and all
  deliveries  hereunder  shall  be  made  to  the premises occupied by the
  qualifying organization and used by such organization in furtherance  of
  the  exempt  purposes  of  such  organization. This reimbursement may be
  claimed only where (i) the tax imposed pursuant to this article has been
  paid with respect to  such  diesel  motor  fuel  or  residual  petroleum
  product  and  the  entire  amount  of such tax has been absorbed by such
  purchaser,  and  (ii)  such  purchaser   possesses   documentary   proof
  satisfactory  to the commissioner evidencing the absorption by it of the
  entire amount of the tax imposed pursuant  to  this  article.  Provided,
  further,  that  the  commissioner  shall  require such other documentary
  proof to qualify for any reimbursement of tax provided by  this  section
  as the commissioner deems appropriate. The term "dyed diesel motor fuel"
  as  used  in  this  subdivision  shall  have  the same meaning it has in
  subdivision eighteen of section two hundred eighty-two of this chapter.
    (i) Reimbursement  for  commercial  gallonage.  (1)  Commencing  March
  first,  nineteen  hundred ninety-seven, a reimbursement shall be allowed
  to a consumer with respect to  gallonage  of  nonautomotive-type  diesel
  motor  fuel  (which  is  not  enhanced  diesel  motor  fuel) or residual
  petroleum product (i) which was purchased by such consumer and where the
  supplemental tax imposed by section three hundred one-j of this  article
  with  respect  to  such  gallonage  was paid by a petroleum business and
  passed through  to  such  consumer,  (ii)  such  consumer  absorbed  the
  entirety  of such tax in the purchase price of such gallonage, and (iii)
  such gallonage was used and consumed by  such  consumer  exclusively  as
  "commercial  gallonage".  Provided, however, that the commissioner shall
  require such documentary proof to qualify for any reimbursement  of  tax

  provided  by  this  subdivision  as  the commissioner deems appropriate,
  including a certification by the consumer that the product was used  and
  consumed exclusively as "commercial gallonage" by such consumer.
    (2)  Calculation.  The amount of the reimbursement shall be determined
  by multiplying the  quantity  of  "commercial  gallonage"  eligible  for
  reimbursement  times  the  then  current  rate  of  the supplemental tax
  imposed by section three hundred one-j of this article with  respect  to
  nonautomotive-type  diesel  motor fuel or residual petroleum product, as
  the case may be. Any reimbursement of tax may be applied  for  not  more
  often than monthly.
    (j)  Reimbursement  for  manufacturing  gallonage.  Commencing January
  first, nineteen hundred ninety-eight, a subsequent  purchaser  shall  be
  eligible  for reimbursement of any taxes imposed under this article with
  respect to gallonage of residual petroleum product and diesel motor fuel
  (which is not enhanced diesel motor fuel),  subsequently  sold  by  such
  purchaser to a consumer as "manufacturing gallonage." This reimbursement
  may  be  claimed only where (1) any tax imposed pursuant to this article
  has been paid with respect to such gallonage and the  entire  amount  of
  such  tax  has  been  absorbed by such purchaser, and (2) such purchaser
  possesses documentary proof satisfactory to the commissioner  evidencing
  the  absorption  by  it  of  the  entire  amount  of such tax. Provided,
  however, that the commissioner shall require such documentary  proof  to
  qualify for any reimbursement of tax provided by this subdivision as the
  commissioner  deems  appropriate including a certificate by the consumer
  that  such  product  is  to  be  used  and   consumed   exclusively   as
  "manufacturing gallonage".
    (k)  Reimbursement  for  railroad  gallonage.  (1)  Commencing January
  first, nineteen hundred ninety-seven, a subsequent purchaser,  which  is
  registered  as a distributor of diesel motor fuel, shall be eligible for
  a reimbursement in accordance with  this  subdivision  with  respect  to
  diesel  motor  fuel subsequently sold by such purchaser to a consumer as
  "railroad diesel".
    (2) The amount of the reimbursement with respect to such product shall
  be equal to the difference between (i) the tax actually paid under  this
  article  by  a  petroleum  business  with  respect  to  such product and
  subsequently passed through to and absorbed by such purchaser, and  (ii)
  the  tax  under  this  article that would have been paid with respect to
  such product had an importing distributor sold such product directly  to
  a  purchaser  as "railroad diesel". Provided that the commissioner shall
  require such documentary proof as the commissioner  deems  necessary  to
  substantiate   a   reimbursement   claim  under  this  subdivision.  Any
  reimbursement of tax may be applied for not more often than monthly.
    (l) Reimbursement for mining and  extraction.  A  purchaser  shall  be
  eligible  for  reimbursement of the tax imposed by section three hundred
  one-a of this article with respect to gallonage  of  residual  petroleum
  product  and  diesel  motor  fuel,  purchased  for  use  and consumption
  directly and exclusively in the production of tangible personal property
  for sale by mining or extracting, but  only  if  all  of  such  fuel  or
  product  is  delivered  at the mining or extracting site and is consumed
  other than on the  highways  of  this  state;  provided,  however,  this
  reimbursement  shall  in  no  event apply to a sale of diesel motor fuel
  which involves a delivery at a filling station. This  reimbursement  may
  be  claimed  only where (i) the tax imposed pursuant to this article has
  been paid with respect to such diesel motor fuel or  residual  petroleum
  product  and  the  entire  amount  of such tax has been absorbed by such
  purchaser,  and  (ii)  such  purchaser   possesses   documentary   proof
  satisfactory  to the commissioner evidencing the absorption by it of the
  entire amount of the tax imposed pursuant  to  this  article.  Provided,

  however,  that  the commissioner shall require such documentary proof to
  qualify for any reimbursement of tax provided by  this  section  as  the
  commissioner deems appropriate.
    (m) Reimbursement for passenger commuter ferries. A use by a passenger
  commuter  ferry of diesel motor fuel or residual petroleum product where
  such diesel motor fuel  or  residual  petroleum  product  was  used  and
  consumed  by  a  passenger  commuter ferry exclusively in providing mass
  transportation service. This reimbursement may be claimed only where (1)
  any tax imposed pursuant to this article has been paid with  respect  to
  such  gallonage  and  the entire amount of such tax has been absorbed by
  such  purchaser,  and  (2)  such  ferry  possesses   documentary   proof
  satisfactory  to the commissioner evidencing the absorption by it of the
  entire amount of such tax. Provided, that the commissioner shall require
  such  documentary  proof  to  qualify  for  any  reimbursement  provided
  hereunder as the commissioner deems appropriate.
    * (n)  Reimbursement  for E85. E85 purchased in this state and sold by
  such purchaser in this state where  (1)  such  E85  is  delivered  to  a
  filling station and placed in a storage tank of such filling station for
  such  E85  to  be dispensed directly into a motor vehicle for use in the
  operation of such vehicle, (2) the tax imposed pursuant to this  article
  has been paid with respect to such E85 and the entire amount of such tax
  has  been  absorbed  by such purchaser, and (3) such purchaser possesses
  documentary  proof  satisfactory  to  the  commissioner  evidencing  the
  absorption  by  it  of  the entire amount of the tax imposed pursuant to
  this  article.  Provided,  that  the  commissioner  shall  require  such
  documentary proof to qualify for any reimbursement provided hereunder as
  the commissioner deems appropriate.
    * NB Repealed September 1, 2011
    * (o)  (1)  Partial reimbursement for B20. B20 purchased in this state
  and sold by such purchaser in this  state  where  (i)  the  tax  imposed
  pursuant  to this article has been paid with respect to such B20 and the
  entire amount of such tax has been absorbed by such purchaser, and  (ii)
  such   purchaser   possesses   documentary  proof  satisfactory  to  the
  commissioner evidencing the absorption by it of the entire amount of the
  tax imposed pursuant to this article. Provided,  that  the  commissioner
  shall  require  such  documentary proof to qualify for any reimbursement
  provided hereunder as the commissioner deems appropriate.
    (2)  Calculation  of  partial  reimbursement.  The   amount   of   the
  reimbursement  under this subdivision shall be determined by multiplying
  the quantity of  B20  times  twenty  percent  of  the  applicable  taxes
  otherwise imposed by this article on such fuel.
    * NB Repealed September 1, 2011