Section 11-1401
§ 11-1401 Definitions. When used in this chapter the following terms
shall mean or include:
1. "City." The city of New York.
2. "Commissioner of finance." The commissioner of finance of the city
of New York.
3. "Comptroller." The comptroller of the city of New York.
4. "Consideration." The total price paid or agreed to be paid for the
transfer of a taxicab license or interest therein, whether paid or
agreed to be paid in money, property, or any other thing of value
(including the cancellation or discharge of an indebtedness or
obligation), without any deduction whatsoever.
5. "Person." An individual, partnership, society, association,
joint-stock company, corporation, estate, receiver, trustee, assignee,
referee or any other person acting in a fiduciary or representative
capacity, whether appointed by a court or otherwise, any combination of
individuals, and any other form of unincorporated enterprise owned or
conducted by two or more persons.
6. "Taxi and limousine commission." The New York city taxi and
limousine commission.
7. "Taxicab." Any motor vehicle carrying passengers for hire in the
city, duly licensed as a taxicab by the taxi and limousine commission,
and permitted to accept hails from passengers in the street.
8. "Taxicab license." A license issued by the taxi and limousine
commission under section 19-504 of title nineteen of this code to
operate a taxicab.
9. "Taxpayer." Any person subject to tax under this chapter.
10. "Transfer." Any transfer of interest, whether or not such interest
constitutes title, or possession, or both, exchange or barter, rental,
lease, or license to use, conditional or otherwise, in any manner or by
any means whatsoever for a consideration, or any agreement therefor.
11. "Transferee." The person to whom a taxicab license or interest
therein is transferred, in a transfer as defined in subdivision ten of
this section.
12. "Transferor." The person who transfers a taxicab license or
interest herein, in a transfer as defined in subdivision ten of this
section.
13. "Tax appeals tribunal." The tax appeals tribunal established by
section one hundred sixty-eight of the charter.
Section 11-1402
§ 11-1402 Imposition of tax. a. On and after July first, nineteen
hundred eighty, there is hereby imposed and there shall be paid a tax on
each transfer of a taxicab license or interest therein, at the rate of
five percent of the consideration given for such transfer.
b. Where there is a transfer of the economic interest in a taxicab
license or interest therein, effected by the transfer of shares of stock
of a corporation which hold such taxicab license or interest therein or
by the transfer of an interest or interests in a partnership or
association which holds such taxicab license or interest therein, such
transfer of shares of stock or of an interest or interests in a
partnership or association shall be treated as a transfer of the taxicab
license or interest therein, and shall be subject to the tax imposed by
subdivision a of this section.
c. Notwithstanding any other provision of this chapter, the tax
imposed hereby shall not apply to a transfer made pursuant to a bona
fide written contract or agreement made and executed prior to July
first, nineteen hundred eighty, provided such contract or agreement is
registered with the taxi and limousine commission prior to July first,
nineteen hundred eighty, and provided further that one or more payments
were made pursuant to such contract or agreement on or before June
twentieth, nineteen hundred eighty.
d. Where a taxicab or any other property is transferred to a
transferee in conjunction with the transfer of a taxicab license or
interest therein, the tax imposed by this section shall be computed on
the total consideration for the transfer of such license or interest
therein and the taxicab or other property so transferred, less the fair
market value of such taxicab or other property.
e. The tax imposed by this chapter shall be in addition to any and all
other taxes.
Section 11-1403
§ 11-1403 Payment of tax. The tax imposed by this chapter shall be
paid by the transferee to the taxi and limousine commission, as agent of
the commissioner of finance, at the time of approval of such transfer by
the taxi and limousine commission, but in no event later than thirty
days following the transfer. The transferor shall also be liable for the
payment of such tax at such time in the event that the amount of tax due
is not paid by the transferee. Notwithstanding any other provision of
law to the contrary, no transfer of a taxicab license or interest
therein shall be approved or effective until the tax imposed by this
chapter has been paid. All moneys received as such payments by the taxi
and limousine commission during any day shall be transmitted to the
commissioner of finance at the close of business on such day or at such
other time as the commissioner of finance may require.
Section 11-1404
§ 11-1404 Returns. a. A joint return shall be filed by both the
transferee and the transferor. Such return shall be filed at the time of
payment of any tax imposed hereunder, and such filing shall be
accomplished by delivering the return to the taxi and limousine
commission for transmittal to the commissioner of finance. The
commissioner of finance shall prescribe the form of the return and the
information which it shall contain. The return shall be signed under
oath by both the transferee and the transferor. Where either the
transferee or the transferor has failed to sign the return, it shall be
accepted as a return, but the party who has failed to sign the return or
file a separate return shall be subject to the penalties applicable to a
person who has failed to file a return, and the period of limitations
for assessment of tax or of additional tax shall not apply to such
party.
b. Returns shall be preserved for three years and thereafter until the
commissioner of finance permits them to be destroyed.
c. The commissioner of finance may require amended returns to be filed
within twenty days after notice and to contain the information specified
in the notice.
d. If a return required by this chapter is not filed, or if a return,
when filed, is incorrect or insufficient on its face, the commissioner
of finance shall take the necessary steps to enforce the filing of such
a return or of a corrected return.
Section 11-1405
§ 11-1405 Exemptions. a. The tax imposed under this chapter shall not
be imposed on any transaction by or with the following:
1. The state of New York, or any of its agencies, instrumentalities,
public corporations (including a public corporation created pursuant to
agreement or compact with another state or Canada) or political
subdivisions where it is the purchaser, user or consumer;
2. The United States of America, and any of its agencies and
instrumentalities insofar as it is immune from taxation where it is the
purchaser, user or consumer;
3. The United Nations or other international organizations of which
the United States of America is a member; and
4. Any corporation, or association, or trust, or community chest, fund
or foundation, organized and operated exclusively for religious,
charitable, or educational purposes, or for the prevention of cruelty to
children or animals, and no part of the net earnings of which inures to
the benefit of any private shareholder or individual, and no substantial
part of the activities of which is carrying on propaganda, or otherwise
attempting to influence legislation; provided, however, that nothing in
this paragraph shall include an organization operated for the primary
purpose of carrying on a trade or business for profit, whether or not
all of its profits are payable to one or more organizations described in
this subdivision.
b. The tax imposed by this chapter shall not apply to the transfer of
a taxicab license or interest therein by means of a lease, license or
other rental arrangement, where the term of such lease, license or other
rental arrangement (including the maximum period for which it can be
extended or renewed) does not exceed six months.
Section 11-1406
§ 11-1406 Determination of tax. If a return required by this chapter
is not filed, or if a return when filed is incorrect or insufficient,
the amount of tax due shall be determined by the commissioner of finance
from external indices and such other information as may be obtainable.
Notice of such determination shall be given to the person liable for the
tax. Such determination shall finally and irrevocably fix the tax unless
the person against whom it is assessed, within ninety days after the
giving of notice of such determination, or, if the commissioner of
finance has established a conciliation procedure pursuant to section
11-124 of the code and the taxpayer has requested a conciliation
conference in accordance therewith, within ninety days from the mailing
of a conciliation decision or the date of the commissioner's
confirmation of the discontinuance of the conciliation proceeding, both
(1) serves a petition upon the commissioner of finance and (2) files a
petition with the tax appeals tribunal for a hearing, or unless the
commissioner of finance of his or her own motion shall redetermine the
same. Such hearing and any appeal to the tax appeals tribunal sitting en
banc from the decision rendered in such hearing shall be conducted in
the manner and subject to the requirements prescribed by the tax appeals
tribunal pursuant to sections one hundred sixty-eight thorough one
hundred seventy-two of the charter. After such hearing the tax appeals
tribunal shall give notice of its decision to the person against whom
the tax is assessed and to the commissioner of finance. A decision of
the tax appeals tribunal sitting en banc shall be reviewable for error,
illegality or unconstitutionality or any other reason whatsoever by a
proceeding under article seventy-eight of the civil practice law and
rules if application therefor is made to the supreme court by the person
against whom the tax was assessed within four months after the giving of
the notice of such tax appeals tribunal decision. A proceeding under
article seventy-eight of the civil practice law and rules shall not be
instituted by a taxpayer unless: (a) the amount of any tax sought to be
reviewed, with penalties and interest thereon, if any, shall be first
deposited with the commissioner of finance and there shall be filed with
the commissioner of finance an undertaking, issued by a surety company
authorized to transact business in this state and approved by the
superintendent of insurance of this state as to solvency and
responsibility, in such amount and with such sureties as a justice of
the supreme court shall approve, to the effect that if such proceeding
be dismissed or the tax confirmed, the taxpayer will pay all costs and
charges which may accrue in the prosecution of the proceeding; or (b) at
the option of the taxpayer such undertaking filed with the commissioner
of finance may be in a sum sufficient to cover the taxes, penalties and
interest thereon stated in such decision plus the costs and charges
which may accrue against it in the prosecution of the proceeding, in
which event the taxpayer shall not be required to deposit such taxes,
penalties and interest as a condition precedent to the application.
Section 11-1407
§ 11-1407 Refunds. a. In the manner provided in this section the
commissioner of finance shall refund or credit, without interest, any
tax, penalty or interest erroneously, illegally or unconstitutionally
collected or paid if application to the commissioner of finance for such
refund shall be made within one year from the payment thereof. Whenever
a refund is made or denied by the commissioner of finance, the
commissioner shall state his or her reason therefor and give notice
thereof to the taxpayer in writing. Such application may be made by the
transferee or transferor who has actually paid the tax. The commissioner
of finance may, in lieu of any refund required to be made, allow credit
therefor on payments due from the applicant.
b. Any determination of the commissioner of finance denying a refund
or credit pursuant to subdivision a of this section shall be final and
irrevocable unless the applicant for such refund or credit, within
ninety days from the mailing of notice of such determination, or, if the
commissioner of finance has established a conciliation procedure
pursuant to section 11-124 and the applicant has requested a
conciliation conference in accordance therewith, within ninety days from
the mailing of a conciliation decision or the date of the commissioner's
confirmation of the discontinuance of the conciliation proceeding, both
(1) serves a petition upon the commissioner of finance and (2) files a
petition with the tax appeals tribunal for a hearing. Such petition for
a refund or credit, made as herein provided, shall be deemed an
application for a revision of any tax, penalty or interest complained
of. Such hearing and any appeal to the tax appeals tribunal sitting en
banc from the decision rendered in such hearing shall be conducted in
the manner and subject to the requirements prescribed by the tax appeals
tribunal pursuant to sections one hundred sixty-eight through one
hundred seventy-two of the charter. After such hearing, the tax appeals
tribunal shall give notice of its decision to the applicant and to the
commissioner of finance. The applicant shall be entitled to review a
decision of the tax appeals tribunal sitting en banc by a proceeding
pursuant to article seventy-eight of the civil practice law and rules,
provided such proceeding is instituted within four months after the
giving of notice of such decision, and provided, in the case of an
application by a taxpayer, that a final determination of tax due was not
previously made. Such a proceeding shall not be instituted by a taxpayer
unless an undertaking is filed with the commissioner of finance in such
amount and with such sureties as a justice of the supreme court shall
approve to the effect that if such proceeding be dismissed or the tax
confirmed, the taxpayer will pay all costs and charges which may accrue
in the prosecution of such proceeding.
c. A person shall not be entitled to a revision, refund or credit
under this section of a tax, or penalty which had been determined to be
due pursuant to the provisions of section 11-1406 of this chapter where
such person has had a hearing or an opportunity for a hearing, as
provided in said section, or has failed to avail himself or herself of
the remedies therein provided. No refund or credit shall be made of a
tax, interest or penalty paid after a determination by the commissioner
of finance made pursuant to section 11-1406 of this chapter unless it be
found that such determination was erroneous, illegal or unconstitutional
or otherwise improper, by the tax appeals tribunal after a hearing, or
on the commissioner's own motion, or, is such tax appeals tribunal
affirms in whole or in part the determination of the commissioner of
finance, in a proceeding under article seventy-eight of the civil
practice law and rules, pursuant to the provisions of said section, in
which event refund or credit without interest shall be made of the tax,
interest or penalty found to be overpaid.
Section 11-1408
§ 11-1408 Reserves. In cases where the transferee or transferor has
applied for a refund and has instituted a proceeding under article
seventy-eight of the civil practice law and rules to review a
determination adverse to the transferee or transferor on his or her
application for refund, the comptroller shall set up appropriate
reserves to meet any decisions adverse to the city.
Section 11-1409
§ 11-1409 Remedies exclusive. The remedies provided by sections
11-1406 and 11-1407 of this chapter shall be the exclusive remedies
available to any person for the review of tax liability imposed by this
chapter; and no determination or proposed determination of tax or
determination on any application for refund by the commissioner of
finance, nor any decision by the tax appeals tribunal or any of its
administrative law judges shall be enjoined or reviewed by an action for
declaratory judgment, an action for money had and received or by any
action or proceeding other than, in the case of a decision by the tax
appeals tribunal sitting en banc, a proceeding in the nature of a
certiorari proceeding under article seventy-eight of the civil practice
law and rules; provided, however, that a taxpayer may proceed by
declaratory judgment if the taxpayer institutes suit within thirty days
after a deficiency assessment is made and pays the amount of the
deficiency assessment to the commissioner of finance prior to the
institution of such suit and posts a bond for costs as provided in
section 11-1406 of this chapter.
Section 11-1410
§ 11-1410 Proceedings to recover tax. a. Whenever any transferee or
transferor shall fail to pay any tax, penalty or interest imposed by
this chapter as herein provided, the corporation counsel shall, upon the
request of the commissioner of finance bring or cause to be brought an
action to enforce the payment of the same on behalf of the city of New
York in any court of the state of New York or of any other state or of
the United States. If, however, the commissioner of finance in his or
her discretion believes that any such transferee or transferor subject
to the provisions of this chapter is about to cease business, leave the
state or remove or dissipate the assets out of which the tax or penalty
might be satisfied, and that any such tax or penalty will not be paid
when due, the commissioner may declare such tax or penalty to be
immediately due and payable and may issue a warrant immediately.
b. As an additional or alternate remedy, the commissioner of finance
may issue a warrant, directed to the city sheriff commanding the sheriff
to levy upon and sell the real and personal property of the transferee
or transferor or other person liable for the tax which may be found
within the city, for the payment of the amount thereof, with any penalty
and interest, and the cost of executing the warrant, and to return such
warrant to the commissioner of finance and to pay to the commissioner
the money collected by virtue thereof within sixty days after the
receipt of such warrant. The city sheriff shall within five days after
the receipt of the warrant file with the county clerk a copy thereof,
and thereupon such clerk shall enter in the judgment docket the name of
the person mentioned in the warrant and the amount of the tax, penalty
and interest for which the warrant is issued and the date when such copy
is filed. Thereupon the amount of such warrant so docketed shall become
a lien upon the title to and the interest in real and personal property
of the person against whom the warrant is issued. The city sheriff shall
then proceed upon the warrant in the same manner, and with like effect,
as that provided by law in respect to executions issued against property
upon judgments of a court of record and for services in executing the
warrant the sheriff shall be entitled to the same fees, which he or she
may collect in the same manner. In the discretion of the commissioner of
finance a warrant of like terms, force and effect may be issued and
directed to an officer or employee of the department of finance, and in
the execution thereof such officer or employee shall have all the powers
conferred by law upon sheriffs, but shall be entitled to no fee or
compensation in excess of the actual expenses paid in the performance of
such duty. If a warrant is returned not satisfied in full, the
commissioner of finance may from time to time issue new warrants and
shall also have the same remedies to enforce the amount due thereunder
as if the city had recovered judgment therefor and execution thereon had
been returned unsatisfied.
c. Whenever there is made a sale, transfer or assignment in bulk or
any part of the whole of a stock of merchandise or of fixtures, or
merchandise and of fixtures pertaining to the conducting of the business
of the seller, transferor or assignor, otherwise than in the ordinary
course of trade and in the regular prosecution of said business, the
purchaser, transferee or assignee shall at least ten days before taking
possession of such merchandise, fixtures, or merchandise and fixtures,
or paying therefor, notify the commissioner of finance by registered
mail of the proposed sale and of the price, terms and conditions thereof
whether or not the seller, transferor or assignor, has represented to,
or informed the purchaser, transferee or assignee that it owes any tax
pursuant to this chapter and whether or not the purchaser, transferee or
assignee has knowledge that such taxes are owing, and whether any such
taxes are in fact owing.
d. Whenever, the purchaser, transferee or assignee shall fail to give
notice to the commissioner of finance as required by the preceding
subdivision, or whenever the commissioner of finance shall inform the
purchaser, transferee or assignee that a possible claim for such tax or
taxes exists, any sums of money, property or choses in action, or other
consideration, which the purchaser, transferee or assignee is required
to transfer over to the seller or assignor shall be subject to a first
priority right and lien for any such taxes theretofore or thereafter
determined to be due from the seller, transferor or assignor to the
city, and the purchaser, transferee or assigneee is forbidden to
transfer to the seller, transferor or assignor any such sums of money,
property or choses in action to the extent of the amount of the city's
claim. For failure to comply with the provisions of this subdivision,
the purchaser, transferee or assignee, in addition to being subject to
the liabilities and remedies imposed under the provisions of article six
of the uniform commercial code, shall be personally liable for the
payment to the city of any such taxes theretofore or thereafter
determined to be due to the city from the seller, transferor or
assignor, and such liability may be assessed and enforced in the same
manner as the liability for tax under this chapter.
e. The commissioner of finance, if he or she finds that the interests
of the city will not thereby be jeopardized, and upon such conditions as
the commissioner of finance may require, may release any property from
the lien of any warrant or vacate such warrant for unpaid taxes,
additions to tax, penalties and interest filed pursuant to subdivision b
of this section, and such release or vacating of the warrant may be
recorded in the office of any recording officer in which such warrant
has been filed. The clerk shall thereupon cancel and discharge as of the
original date of docketing the vacated warrant.
Section 11-1411
§ 11-1411 General powers of the commissioner of finance. In addition
to the powers granted to the commissioner of finance in this chapter, he
or she is hereby authorized and empowered:
1. To make, adopt and amend rules and regulations appropriate to the
carrying out of this chapter and the purposes thereof;
2. To extend, for cause shown, the time for filing any return for a
period not exceeding ninety days; and to compromise disputed claims in
connection with the taxes hereby imposed;
3. To request information from the taxi and limousine commission, the
tax commission of the state of New York or the treasury department of
the United States relative to any person; and to afford returns, reports
and other information to such taxi and limousine commission, tax
commission or treasury department relative to any person, any other
provision of this chapter to the contrary notwithstanding;
4. To delegate his or her functions hereunder to a deputy commissioner
of finance or any employee or employees of the department of finance;
5. To prescribe the methods for determining the consideration subject
to the tax, and if there is a transfer of a taxicab or other property in
conjunction with the transfer of a taxicab license or interest therein,
to prescribe rules and methods for determining the fair market value of
such taxicab or other property;
6. To require any transferee or transferor to keep such records, and
for such lengths of time as may be required for the proper
administration of this chapter and to furnish such records to the
commissioner of finance or the taxi and limousine commission upon
request;
7. To assess, determine, revise and adjust the taxes imposed under
this chapter.
Section 11-1412
§ 11-1412 Administration of oaths and compelling testimony. a. The
commissioner of finance, the employees or agents duly designated by him
or her, the tax appeals tribunal and any of its duly designated and
authorized employees or agents shall have power to administer oaths and
take affidavits in relation to any matter or proceeding in the exercise
of their powers and duties under this chapter. The commissioner of
finance and the tax appeals tribunal shall have power to subpoena and
require the attendance of witnesses and the production of books, papers
and documents to secure information pertinent to the performance of the
duties of the commissioner or of the tax appeals tribunal hereunder and
of the enforcement of this chapter and to examine them in relation
thereto, and to issue commissions for the examination of witnesses who
are out of the state or unable to attend before the commissioner or the
tax appeals tribunal or excused from attendance.
b. A justice of the supreme court either in court or at chambers shall
have power summarily to enforce by proper proceedings the attendance and
testimony of witnesses and the production and examination of books,
papers and documents called for by the subpoena of the commissioner of
finance or the tax appeals tribunal under this chapter.
c. Cross-reference; criminal penalties. For failure to obey subpoenas
or for testifying falsely, see section 11-4007 of this title; for
supplying false or fraudulent information, see section 11-4009 of this
title.
d. The officers who serve the summons or subpoena of the commissioner
of finance or the tax appeals tribunal and witnesses attending in
response thereto shall be entitled to the same fees as are allowed to
officers and witnesses in civil cases in courts of record, except as
herein otherwise provided. Such officers shall be the city sheriff and
his or her duly appointed deputies or any officers or employees of the
department of finance or the tax appeals tribunal, designated to serve
such process.
Section 11-1413
§ 11-1413 Interest and penalties. (a) Interest on underpayments. If
any amount of tax is not paid on or before the last date prescribed for
payment (without regard to any extension of time granted for payment),
interest on such amount at the rate set by the commissioner of finance
pursuant to subdivision (g) of this section, or, if no rate is set, at
the rate of seven and one-half percent per annum, shall be paid for the
period from such last date to the date of payment. In computing the
amount of interest to be paid, such interest shall be compounded daily.
Interest under this subdivision shall not be paid if the amount thereof
is less than one dollar.
(b) * (1) Failure to file return. (A) In case of failure to file a
return under this chapter on or before the prescribed date (determined
with regard to any extension of time for filing), unless it is shown
that such failure is due to reasonable cause and not due to willful
neglect, there shall be added to the amount required to be shown as tax
on such return five percent of the amount of such tax if the failure is
for not more than one month, with an additional five percent for each
additional month or fraction thereof during which such failure
continues, not exceeding twenty-five percent in the aggregate.
(B) In the case of a failure to file a return of tax within sixty days
of the date prescribed for filing of such return (determined with regard
to any extension of time for filing), unless it is shown that such
failure is due to reasonable cause and not due to willful neglect, the
addition to tax under subparagraph (A) of this paragraph shall not be
less than the lesser of one hundred dollars or one hundred percent of
the amount required to be shown as tax on such return.
(C) For purposes of this paragraph, the amount of tax required to be
shown on the return shall be reduced by the amount of any part of the
tax which is paid on or before the date prescribed for payment of the
tax and by the amount of any credit against the tax which may be claimed
upon the return.
* NB Amended Ch. 765/85 § 78, language juxtaposed per Ch. 907/85 § 14
(2) Failure to pay tax shown on return. In case of failure to pay the
amount shown as tax on a return required to be filed under this chapter
on or before the prescribed date (determined with regard to any
extension of time for payment), unless it is shown that such failure is
due to reasonable cause and not due to willful neglect, there shall be
added to the amount shown as tax on such return one-half of one percent
of the amount of such tax if the failure is not for more than one month,
with an additional one-half of one percent for each additional month or
fraction thereof during which such failure continues, not exceeding
twenty-five percent in the aggregate. For the purpose of computing the
addition for any month the amount of tax shown on the return shall be
reduced by the amount of any part of the tax which is paid on or before
the beginning of such month and by the amount of any credit against the
tax which may be claimed upon the return. If the amount of tax required
to be shown on a return is less than the amount shown as tax on such
return, this paragraph shall be applied by substituting such lower
amount.
(3) Failure to pay tax required to be shown on return. In case of
failure to pay any amount in respect of any tax required to be shown on
a return required to be filed under this chapter which is not so shown
(including a determination made pursuant to section 11-1406 of this
chapter) within ten days of the date of a notice and demand therefor,
unless it is shown that such failure is due to reasonable cause and not
due to willful neglect, there shall be added to the amount of tax stated
in such notice and demand one-half of one percent of such tax if the
failure is not for more than one month, with an additional one-half of
one percent for each additional month or fraction thereof during which
such failure continues, not exceeding twenty-five percent in the
aggregate. For the purpose of computing the addition for any month, the
amount of tax stated in the notice and demand shall be reduced by the
amount of any part of the tax which is paid before the beginning of such
month.
* (4) Limitations on additions.
(A) With respect to any return, the amount of the addition under
paragraph one of this subdivision shall be reduced by the amount of the
addition under paragraph two of this subdivision for any month to which
an addition applies under both paragraphs one and two. In any case
described in subparagraph (B) of paragraph one of this subdivision, the
amount of the addition under such paragraph one shall not be reduced
below the amount provided in such subparagraph.
(B) With respect to any return, the maximum amount of the addition
permitted under paragraph three of this subdivision shall be reduced by
the amount of the addition under paragraph one of this subdivision
(determined without regard to subparagraph (B) of such paragraph one)
which is attributable to the tax for which the notice and demand is made
and which is not paid within ten days of such notice and demand.
* NB Amended Ch. 765/85 § 78, language juxtaposed per Ch. 907/85 § 14
* (c) Underpayment due to negligence. (1) If any part of an
underpayment of tax is due to negligence or intentional disregard of
this chapter or any rules or regulations hereunder (but without intent
to defraud), there shall be added to the tax a penalty equal to five
percent of the underpayment.
(2) There shall be added to the tax (in addition to the amount
determined under paragraph one of this subdivision) an amount equal to
fifty percent of the interest payable under subdivision (a) of this
section with respect to the portion of the underpayment described in
such paragraph one which is attributable to the negligence or
intentional disregard referred to in such paragraph one, for the period
beginning on the last date prescribed by law for payment of such
underpayment (determined without regard to any extension) and ending on
the date of the assessment of the tax (or, if earlier, the date of the
payment of the tax).
* NB Amended Ch. 765/85 § 78, language juxtaposed per Ch. 907/85 § 14
* (d) Underpayment due to fraud. (1) If any part of an underpayment of
tax is due to fraud, there shall be added to the tax a penalty equal to
fifty percent of the underpayment.
(2) There shall be added to the tax (in addition to the penalty
determined under paragraph one of this subdivision) an amount equal to
fifty percent of the interest payable under subdivision (a) of this
section with respect to the portion of the underpayment described in
such paragraph one which is attributable to fraud, for the period
beginning on the last day prescribed by law for payment of such
underpayment (determined without regard to any extension) and ending on
the date of the assessment of the tax (or, if earlier, the date of the
payment of the tax).
(3) The penalty under this subdivision shall be in lieu of any other
addition to tax imposed by subdivision (b) or (c) of this section.
* NB Amended Ch. 765/85 § 78, language juxtaposed per Ch. 907/85 § 14
(e) Additional penalty. Any person who, with fraudulent intent, shall
fail to pay any tax imposed by this chapter, or to make, render, sign or
certify any return, or to supply any information within the time
required by or under this chapter, shall be liable for a penalty of not
more than one thousand dollars, in addition to any other amounts
required under this chapter to be imposed, assessed and collected by the
commissioner of finance. The commissioner of finance shall have the
power, in his or her discretion, to waive, reduce or compromise any
penalty under this subdivision.
(f) The interest and penalties imposed by this section shall be paid
and disposed of in the same manner as other revenues from this chapter.
Unpaid interest and penalties may be enforced in the same manner as the
tax imposed by this chapter.
(g) (1) Authority to set interest rates. The commissioner of finance
shall set the rate of interest to be paid pursuant to subdivision (a) of
this section, but if no such rate of interest is set, such rate shall be
deemed to be set at seven and one-half percent per annum. Such rate
shall be the rate prescribed in paragraph two of this subdivision but
shall not be less than seven and one-half percent per annum. Any such
rate set by the commissioner of finance shall apply to taxes, or any
portion thereof, which remain or become due on or after the date on
which such rate becomes effective and shall apply only with respect to
interest computed or computable for periods or portions of periods
occurring in the period in which such rate is in effect.
(2) General rule. The rate of interest set under this subdivision
shall be the sum of (i) the federal short-term rate as provided under
paragraph three of this subdivision, plus (ii) seven percentage points.
(3) Federal short-term rate. For purposes of this subdivision:
(A) The federal short-term rate for any month shall be the federal
short-term rate determined by the United States secretary of the
treasury during such month in accordance with subsection (d) of section
twelve hundred seventy-four of the internal revenue code for use in
connection with section six thousand six hundred twenty-one of the
internal revenue code. Any such rate shall be rounded to the nearest
full percent (or, if a multiple of one-half of one percent, such rate
shall be increased to the next highest full percent).
(B) Period during which rate applies.
(i) In general. Except as provided in clause (ii) of this
subparagraph, the federal short-term rate for the first month in each
calendar quarter shall apply during the first calendar quarter beginning
after such month.
(ii) Special rule for the month of September, nineteen hundred
eighty-nine. The federal short-term rate for the month of April,
nineteen hundred eighty-nine shall apply with respect to setting the
rate of interest for the month of September, nineteen hundred
eighty-nine.
(4) Publication of interest rate. The commissioner of finance shall
cause to be published in the city record, and give other appropriate
general notice of, the interest rate to be set under this subdivision no
later than twenty days preceding the first day of the calendar quarter
during which such interest rate applies. The setting and publication of
such interest rate shall not be included within paragraph (a) of
subdivision five of section one thousand forty-one of the city charter
relating to the definition of a rule.
* (h) Miscellaneous. (1) The certificate of the commissioner of
finance to the effect that a tax has not been paid or that information
has not been supplied pursuant to the provisions of this chapter shall
be presumptive evidence thereof.
(2) Cross-reference: For criminal penalties, see chapter forty of this
title.
* NB Amended Ch. 765/85 § 78, language juxtaposed per Ch. 907/85 § 14
Section 11-1414
§ 11-1414 Returns to be secret. a. Except in accordance with proper
judicial order or as otherwise provided by law, it shall be unlawful for
the commissioner of finance, the chairperson of the taxi and limousine
commission, the tax appeals tribunal or any officer or employee of the
department of finance or taxi and limousine commission or the tax
appeals tribunal, to divulge or make known in any manner any information
contained in or relating to any return provided for by this chapter. The
officers charged with the custody of such returns shall not be required
to produce any of them or evidence of anything contained in them in any
action or proceeding in any court, except on behalf of the commissioner
of finance in an action or proceeding under the provisions of this
chapter, or on behalf of any party to an action or proceeding under the
provisions of this chapter when the returns or facts shown thereby are
directly involved in such action or proceeding, in either of which
events the court may require the production of, and may admit in
evidence, so much of said returns or of the facts shown thereby, as are
pertinent to the action or proceeding and no more. Nothing herein shall
be construed to prohibit the delivery to a transferee or transferor or
to the duly authorized representative of either of them of a certified
copy of any return filed in connection with the tax imposed by this
chapter; nor to prohibit the delivery of such a certified copy of such
return or of any information contained in or relating thereto to the
United States of America or any department thereof, the state of New
York or any department thereof, the city of New York or any department
thereof provided the same is required for official business; nor to
prohibit the inspection for official business of such returns by the
chairperson of the taxi and limousine commission, the corporation
counsel or other legal representatives of the city or by the district
attorney of any county within the city; nor to prohibit the publication
of statistics so classified as to prevent the identification of
particular returns or items thereof.
b. (1) Any officer or employee of the city who willfully violates the
provisions of subdivision a of this section shall be dismissed from
office and be incapable of holding any public office in this city for a
period of five years thereafter.
(2) Cross-reference: For criminal penalties, see chapter forty of this
title.
c. This section shall be deemed a state statute for purposes of
paragraph (a) of subdivision two of section eighty-seven of the public
officers law.
d. Notwithstanding anything in subdivision a of this section to the
contrary, if a taxpayer has petitioned the tax appeals tribunal for
administrative review as provided in section one hundred seventy of the
charter, the commissioner of finance shall be authorized to present to
the tribunal any report or return of such taxpayer, or any information
contained therein or relating thereto, which may be material or relevant
to the proceeding before the tribunal. The tax appeals tribunal shall be
authorized to publish a copy or a summary of any decision rendered
pursuant to section one hundred seventy-one of the charter.
Section 11-1415
§ 11-1415 Notices and limitations of time. a. Any notice authorized
or required under the provisions of this chapter may be given by mailing
the same to the person for whom it is intended in a postpaid envelope
addressed to such person at the address given in the last return filed
by such person pursuant to the provisions of this chapter, in any
application made by such person, or in the records maintained by the
taxi and limousine commission, or, if no return has been filed or
application made or address found in the records of the taxi and
limousine commission, then to such address as may be obtainable. The
mailing of such notice shall be presumptive evidence of the receipt of
the same by the person to whom addressed. Any period of time which is
determined according to the provisions of this chapter by the giving of
notice shall commence to run from the date of mailing of such notice.
b. The provisions of the civil practice law and rules or any other law
relative to limitations of time for the enforcement of a civil remedy
shall not apply to any proceeding or action taken by the city to levy,
appraise, assess, determine or enforce the collection of any tax or
penalty provided by this chapter. However, except in the case of a
wilfully false or fraudulent return with intent to evade the tax, no
assessment of additional tax shall be made after the expiration of more
than three years from the date of the filing of a return; provided,
however, that where no return has been filed as provided by law the tax
may be assessed at any time.
c. Where, before the expiration of the period prescribed herein for
the assessment of an additional tax, a taxpayer has consented in writing
that such period be extended, the amount of such additional tax due may
be determined at any time within such extended period. The period so
extended may be further extended by subsequent consents in writing made
before the expiration of the extended period.
d. If any return, claim, statement, notice, application, or other
document required to be filed, or any payment required to be made,
within a prescribed period or on or before a prescribed date under
authority of any provision of this chapter is, after such period or such
date, delivered by United States mail to the commissioner of finance,
the tax appeals tribunal, bureau, office, officer or person with which
or with whom such document is required to be filed, or to which or to
whom such payment is required to be made, the date of the United States
postmark stamped on the envelope shall be deemed to be the date of
delivery. This subdivision shall apply only if the postmark date falls
within the prescribed period or on or before the prescribed date for the
filing of such document, or for making the payment, including any
extension granted for such filing or payment, and only if such document
or payment was deposited in the mail, postage prepaid, properly
addressed to the commissioner of finance, the tax appeals tribunal,
bureau, office, officer or person with which or with whom the document
is required to be filed or to which or to whom such payment is required
to be made. If any document is sent by United States registered mail,
such registration shall be prima facie evidence that such document was
delivered to the commissioner of finance, the tax appeals tribunal,
bureau, office, officer or person to which or to whom addressed, and the
date of registration shall be deemed the postmark date. The commissioner
of finance and, where relevant, the tax appeals tribunal are authorized
to provide by regulation the extent to which the provisions of the
preceding sentence with respect to prima facie evidence of delivery and
the postmark date shall apply to certified mail. Except as provided in
subdivision f of this section, this subdivision shall apply in the case
of postmarks not made by the United States postal service only if and to
the extent provided by regulation of the commissioner of finance or,
where relevant, the tax appeals tribunal.
e. When the last day prescribed under authority of this chapter
(including any extension of time) for performing any act falls on a
Saturday, Sunday or legal holiday in the state, the performance of such
act shall be considered timely if it is performed on the next succeeding
day which is not a Saturday, Sunday or legal holiday.
f. (1) Any reference in subdivision d of this section to the United
States mail shall be treated as including a reference to any delivery
service designated by the secretary of the treasury of the United States
pursuant to section seventy-five hundred two of the internal revenue
code and any reference in subdivision d of this section to a United
States postmark shall be treated as including a reference to any date
recorded or marked in the manner described in section seventy-five
hundred two of the internal revenue code by a designated delivery
service. If the commissioner of finance finds that any delivery service
designated by such secretary is inadequate for the needs of the city,
the commissioner of finance may withdraw such designation for purposes
of this title. The commissioner of finance may also designate additional
delivery services meeting the criteria of section seventy-five hundred
two of the internal revenue code for purposes of this title, or may
withdraw any such designation if the commissioner of finance finds that
a delivery service so designated is inadequate for the needs of the
city. Any reference in subdivision d of this section to the United
States mail shall be treated as including a reference to any delivery
service designated by the commissioner of finance and any reference in
subdivision d of this section to a United States postmark shall be
treated as including a reference to any date recorded or marked in the
manner described in section seventy-five hundred two of the internal
revenue code by a delivery service designated by the commissioner of
finance. Notwithstanding the foregoing, any withdrawal of designation or
additional designation by the commissioner of finance shall not be
effective for purposes of service upon the tax appeals tribunal, unless
and until such withdrawal of designation or additional designation is
ratified by the president of the tax appeals tribunal.
(2) Any equivalent of registered or certified mail designated by the
United States secretary of the treasury, or as may be designated by the
commissioner of finance pursuant to the same criteria used by such
secretary for such designations pursuant to section seventy-five hundred
two of the internal revenue code, shall be included within the meaning
of registered or certified mail as used in subdivision d of this
section. If the commissioner of finance finds that any equivalent of
registered or certified mail designated by such secretary or the
commissioner of finance is inadequate for the needs of the city, the
commissioner of finance may withdraw such designation for purposes of
this title. Notwithstanding the foregoing, any withdrawal of designation
or additional designation by the commissioner of finance shall not be
effective for purposes of service upon the tax appeals tribunal, unless
and until such withdrawal of designation or additional designation is
ratified by the president of the tax appeals tribunal.
Section 11-1416
§ 11-1416 Construction and enforcement. This chapter shall be
construed and enforced in conformity with subdivision (j) of section
twelve hundred one of the tax law.
Section 11-1417
§ 11-1417 Disposition of revenues. All revenues resulting from the
imposition of the tax under this chapter shall be paid into the treasury
of the city and shall be credited to and deposited in the general fund
of the city, but no part of such revenue may be expended unless
appropriated in the annual budget of the city.
To the extent possible under law, Friends of Devin Balkind for Public Advocate has waived all copyright and related or neighboring rights to New York City Administrative Code. This work is published from: United States.
Special thanks to Benjarmin Kallos and Thom Neale who made this content publicly available as a bulk download.