New York has enacted legislation (A. 3009) that exempts “consideration given or contracted to be given for, or for the use of” residential and commercial solar equipment from the sales and use tax. The new law also expressly exempts residential and commercial sales of solar electricity to on-site users from the state sales and use tax. Collectively, these provisions appear to indicate that solar lease payments and payments made for the purchase of solar electricity from 3rd-party owners are not subject to the state sales and use tax. As is the case for many sales and use tax exemptions in New York, local governments are granted the option to enact ordinances that also provide for a local exemption.