2006 New York Code - Limitations On Rates.

 
    §  1223.  Limitations  on  rates.  (a)  No  transaction  taxable under
  sections twelve hundred two through twelve hundred four shall  be  taxed
  pursuant  to  this article by any county or by any city located therein,
  or by both, at an aggregate rate in excess of the highest rate set forth
  in the applicable subdivision of section twelve hundred one or,  in  the
  case  of  any  taxes imposed pursuant to the authority of section twelve
  hundred ten or twelve hundred eleven (other than taxes imposed by a city
  having a population of one  million  or  more  for  the  limited  period
  provided in section twelve hundred ten or pursuant to subdivision (h) of
  section  twelve  hundred  ten or by the county of Nassau, Erie, Steuben,
  Cattaraugus, Suffolk, Oneida, Genesee, Greene, Herkimer, Tioga, Orleans,
  Allegany,  Ulster,  Albany,  Rensselaer,  Tompkins,  Wyoming,  Columbia,
  Schuyler,  Rockland, Chenango, Monroe, Chemung, Seneca, Sullivan, Wayne,
  Livingston, Schenectady, Montgomery, Delaware, Clinton, Niagara,  Yates,
  Lewis,  Essex,  Dutchess, Schoharie, Putnam, Chautauqua, Orange, Oswego,
  Jefferson or Onondaga and by the county of  Cortland  and  the  city  of
  Cortland  and  by the county of Broome and the city of Binghamton and by
  the county of Cayuga and the city of Auburn and by the county of  Otsego
  and  the  city  of  Oneonta and by the county of Madison and the city of
  Oneida and by the county of Fulton and the city of Gloversville  or  the
  city  of  Johnstown as provided in section twelve hundred ten) at a rate
  in excess of three percent, except that, in the city of Yonkers, in  the
  city of Mount Vernon, in the city of New Rochelle, in the city of Fulton
  and in the city of Oswego, the rate may not be in excess of four percent
  and  in the city of White Plains, the rate may not be in excess of three
  and one-half percent and except that in the city of Poughkeepsie in  the
  county  of  Dutchess,  if  such  county  withdraws from the metropolitan
  commuter transportation district  pursuant  to  section  twelve  hundred
  seventy-nine-b  of the public authorities law and if the revenues from a
  three-eighths percent rate of such tax imposed by such county,  pursuant
  to  the  authority  of  section  twelve hundred ten of this article, are
  required by local laws, ordinances or resolutions to be  set  aside  for
  mass transportation purposes, the rate may not be in excess of three and
  three-eighths percent.
    (b) If a transaction is taxed by both a county and a city, the rate of
  tax  on such transaction imposed by the county or city, not having prior
  right thereto pursuant to section twelve hundred twenty-four,  shall  be
  deemed to be reduced (or the entire tax eliminated, if necessary) to the
  extent necessary to comply with the foregoing requirement. A tax imposed
  by  a county upon any transaction, to the extent that it would require a
  reduction in any tax rate imposed thereon by a city,  shall  not  become
  effective  in  respect  to  any  transaction  taxed  by such city (or in
  respect of other similar transactions outside  of  the  city  which,  if
  occurring  in  such  city, would be subject to such city tax) before the
  commencement of the city's next succeeding fiscal year and then only  if
  the  county  shall have given notice to such city of its imposition of a
  tax on such transaction at least six months prior to the commencement of
  such fiscal year, provided however that the local  legislative  body  of
  such  city may waive the requirement of such notice and the postponement
  of the effective date of such tax. A city tax upon any  transaction,  to
  the  extent that it would require a reduction in any tax rate imposed by
  a  county  thereon,  shall  not  become  effective  in  respect  of  any
  transaction taxed by such county before the commencement of the county's
  next  succeeding  fiscal year and then only if the city shall have given
  notice to such county of its imposition of a tax on such transaction  at
  least  six  months  prior  to  the  commencement  of  such  fiscal year,
  provided, however, that the local legislative body of  such  county  may
  waive  the  requirement of such notice and postponement of the effective
  date of such tax.  However,  whether  or  not  the  six  months'  notice
  requirement  provided  in  this  section  has been waived, a tax imposed
  pursuant to the authority  of  section  twelve  hundred  ten  or  twelve
  hundred  eleven  shall still be subject to the requirements provided for
  in the first three sentences of subdivision (d) of such sections and  in
  subdivision (e) of such sections.