S T A T E O F N E W Y O R K
________________________________________________________________________
6970
2025-2026 Regular Sessions
I N S E N A T E
March 27, 2025
___________
Introduced by Sen. ADDABBO -- read twice and ordered printed, and when
printed to be committed to the Committee on Racing, Gaming and Wager-
ing
AN ACT to amend the tax law, in relation to unsold instant lottery game
tickets
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivision b of section 1604 of the tax law, as added by
chapter 92 of the laws of 1976, is amended to read as follows:
b. 1. The division is authorized to license agents to sell tickets for
the state lottery. The division may require a bond from any licensed
agent, in an amount to be determined by the division. Every licensed
agent shall prominently display [his] THEIR license, or a copy thereof,
as may be determined by rules and regulations of the division, in each
place of business or activity where lottery tickets are sold.
2. WHEN A LICENSED AGENT GOES OUT OF BUSINESS OR SELLS THEIR BUSINESS
TO ANOTHER PERSON AS DEFINED IN SECTION ONE THOUSAND SIX HUNDRED FIVE OF
THIS ARTICLE, THEIR LICENSE SHALL EXPIRE AND ANY UNSOLD INSTANT LOTTERY
GAME TICKETS IN THEIR POSSESSION SHALL BE RETURNED TO THE DIVISION AND
REDISTRIBUTED TO OTHER LICENSED SALES AGENTS, UNLESS SUCH INSTANT
LOTTERY GAME HAS BEEN TERMINATED BY THE COMMISSION. FOR THE PURPOSES OF
THIS SUBDIVISION, "INSTANT LOTTERY GAME" SHALL MEAN ANY LOTTERY GAME
CONDUCTED ON A GAME TICKET AUTHORIZED OR ISSUED BY THE COMMISSION THAT
INCLUDES ONE OR MORE INSTANT PLAY FEATURES, SUCH AS RUB-OFF COATINGS,
PULL-TABS, OR OTHER CONCEALED PLAY AREAS, WHICH, WHEN REVEALED, INDI-
CATE WHETHER THE PLAYER HAS WON A PRIZE.
§ 2. Section 1607 of the tax law, as amended by chapter 2 of the laws
of 1995, subdivision g as added by chapter 701 of the laws of 1996,
subdivision h as amended by chapter 162 of the laws of 2002, paragraph 1
of subdivision h as amended by section 7 of part EE of chapter 56 of the
laws of 2020, is amended to read as follows:
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD10449-05-5
S. 6970 2
§ 1607. Suspension and revocation of licenses. A. The division may
suspend or revoke, after notice and an opportunity for a hearing pursu-
ant to the state administrative procedure act, any license issued pursu-
ant to this article. Such license may, however, be temporarily suspended
by the division without prior notice, pending any prosecution, investi-
gation or hearing. A license may be suspended or revoked by the division
for one or more of the following reasons:
[a.] 1. Failure to account for lottery tickets received or the
proceeds of the sale of lottery tickets or to file a bond if required by
the division or to comply with instructions of the division concerning
the licensed activity;
[b.] 2. Conviction of any offense as defined in the penal law, or any
felony under the laws of the United States or under the laws of the
state of New York or any other state or foreign jurisdiction or any
crime relating to gaming activities;
[c.] 3. Failure to file any return or report, to keep records or to
pay any tax required by any article of this chapter;
[d.] 4. Fraud, deceit, misrepresentation or conduct prejudicial to
public confidence in the state lottery;
[e.] 5. With respect to a lottery sales agent, the number of lottery
tickets sold by the lottery sales agent is insufficient to meet adminis-
trative costs and public convenience is adequately served by other
licensees;
[f.] 6. A material change, since issuance of the license, with respect
to any matters required to be considered by the division under subdivi-
sion d or e of section sixteen hundred five of this article[.];
[g.] 7. Conviction for misuse of food stamps pursuant to section one
hundred forty-seven of the social services law[.]; OR
[h.] 8. A violation of article thirteen-F of the public health law as
provided in this subdivision:
[1.] (I) A license shall be suspended for a period of one year upon
notification to the division by the commissioner of health of a lottery
sales agent's accumulation of three or more points pursuant to subdivi-
sion three of section thirteen hundred ninety-nine-ee of the public
health law.
[2.] (II) A license shall be revoked for one year upon notification to
the division by the commissioner of health of a lottery sales agent's
fourth violation of article thirteen-F of the public health law within a
three year period.
B. IN ANY CASE IN WHICH A SALES AGENT'S LICENSE HAS BEEN SUSPENDED OR
REVOKED, ANY UNSOLD INSTANT LOTTERY GAME TICKETS SHALL BE RETURNED TO
THE DIVISION AND REDISTRIBUTED TO OTHER LICENSED SALES AGENTS FOR SALE
TO THE PUBLIC, UNLESS SUCH INSTANT LOTTERY GAME HAS BEEN TERMINATED BY
THE COMMISSION. FOR THE PURPOSES OF THIS SECTION, "INSTANT LOTTERY GAME"
SHALL MEAN ANY LOTTERY GAME CONDUCTED ON A GAME TICKET AUTHORIZED OR
ISSUED BY THE COMMISSION THAT INCLUDES ONE OR MORE INSTANT PLAY
FEATURES, SUCH AS RUB-OFF COATINGS, PULL-TABS, OR OTHER CONCEALED PLAY
AREAS, WHICH, WHEN REVEALED, INDICATE WHETHER THE PLAYER HAS WON A
PRIZE.
§ 3. This act shall take effect immediately.
