S T A T E   O F   N E W   Y O R K
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                                  2620

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                            February 25, 2009
                               ___________

Introduced  by  Sens.  DeFRANCISCO,  GOLDEN,  O. JOHNSON, LANZA, LARKIN,
  MORAHAN, PADAVAN, VOLKER, YOUNG -- read twice and ordered printed, and
  when printed to be committed to the Committee  on  Investigations  and
  Government Operations

AN ACT to amend the tax law, in relation to enacting the "taxpayer advo-
  cate act"

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Short title.  This act shall be known and may be  cited  as
the "taxpayer advocate act".
  S  2.  The  tax law is amended by adding a new section 3013 to read as
follows:
  S 3013. OFFICE OF TAXPAYER ADVOCATE. (A) THERE SHALL BE IN THE DEPART-
MENT AN OFFICE TO BE KNOWN AS THE "OFFICE  OF  THE  TAXPAYER  ADVOCATE".
SUCH  OFFICE SHALL BE UNDER THE SUPERVISION AND DIRECTION OF AN OFFICIAL
KNOWN AS  THE  "TAXPAYER  ADVOCATE".  THE  TAXPAYER  ADVOCATE  SHALL  BE
APPOINTED  BY  THE  GOVERNOR  BY  AND WITH THE ADVICE AND CONSENT OF THE
SENATE. THE TAXPAYER ADVOCATE SHALL REPORT DIRECTLY TO THE COMMISSIONER.
THE TAXPAYER ADVOCATE SHALL DEVOTE HIS OR HER ENTIRE TIME TO THE  DUTIES
OF SUCH OFFICE.
  (B)  NO PERSON SHALL BE APPOINTED AS A TAXPAYER ADVOCATE UNLESS AT THE
TIME OF SUCH PERSON'S APPOINTMENT SUCH PERSON IS A RESIDENT OF THE STATE
AND IS KNOWLEDGEABLE ON THE SUBJECT  OF  TAXATION  AND  IS  SKILLFUL  IN
MATTERS  PERTAINING  THERETO. ONCE APPOINTED AND CONFIRMED, THE TAXPAYER
ADVOCATE SHALL CONTINUE IN OFFICE UNTIL SUCH PERSON'S TERM  EXPIRES  AND
UNTIL  SUCH PERSON'S SUCCESSOR HAS BEEN APPOINTED AND HAS QUALIFIED. THE
TERM OF OFFICE SHALL BE FOUR YEARS.
  (C) ANY TAXPAYER ADVOCATE MAY BE REMOVED BY  THE  GOVERNOR  FOR  CAUSE
AFTER  AN  OPPORTUNITY  TO  BE  HEARD.  A STATEMENT OF THE CAUSE OF SUCH
PERSON'S REMOVAL SHALL BE FILED BY THE GOVERNOR IN  THE  OFFICE  OF  THE
SECRETARY OF STATE.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD09666-01-9
              

S. 2620                             2

  (D)  IN  THE  EVENT  OF  A  VACANCY  CAUSED BY THE DEATH, RESIGNATION,
REMOVAL OR DISABILITY OF THE TAXPAYER ADVOCATE,  THE  VACANCY  SHALL  BE
FILLED  BY THE GOVERNOR BY AND WITH THE ADVICE AND CONSENT OF THE SENATE
FOR THE UNEXPIRED TERM.
  (E) (1) THE OFFICE OF TAXPAYER ADVOCATE SHALL HAVE THE FOLLOWING FUNC-
TIONS, POWERS, AND DUTIES:
  (I) TO ASSIST TAXPAYERS IN RESOLVING PROBLEMS WITH THE DEPARTMENT;
  (II)  TO  IDENTIFY  AREAS IN WHICH TAXPAYERS HAVE PROBLEMS IN DEALINGS
WITH THE DEPARTMENT;
  (III) TO PROPOSE SOLUTIONS, INCLUDING ADMINISTRATIVE CHANGES TO  PRAC-
TICES AND PROCEDURES OF THE DEPARTMENT;
  (IV)  TO RECOMMEND LEGISLATIVE ACTION AS MAY BE APPROPRIATE TO RESOLVE
PROBLEMS ENCOUNTERED BY TAXPAYERS;
  (V) TO PRESERVE AND PROMOTE THE RIGHTS OF THE TAXPAYER;
  (VI) TO PROMOTE OPEN AND DIRECT COMMUNICATIONS; AND
  (VII) TO APPOINT SUCH OFFICERS AND EMPLOYEES AS IT MAY REQUIRE FOR THE
PERFORMANCE OF ITS DUTIES.
  (2) THE TAXPAYER ADVOCATE SHALL PREPARE AN ANNUAL  REPORT  AS  TO  THE
ACTIVITIES  OF  THE TAXPAYER ADVOCATE. SUCH REPORT SHALL BE SUBMITTED TO
THE GOVERNOR, THE TEMPORARY PRESIDENT OF THE SENATE, THE SPEAKER OF  THE
ASSEMBLY,  AND  THE  COMMISSIONER  NO LATER THAN THE THIRTY-FIRST DAY OF
DECEMBER COMMENCING IN THE YEAR TWO THOUSAND TEN AND EVERY  YEAR  THERE-
AFTER.  ANY  SUCH REPORT SHALL CONTAIN FULL AND SUBSTANTIVE ANALYSIS, IN
ADDITION TO STATISTICAL INFORMATION, AND SHALL:
  (I) IDENTIFY THE  INITIATIVES  THE  TAXPAYER  ADVOCATE  HAS  TAKEN  ON
IMPROVING TAXPAYER SERVICES AND THE DEPARTMENT'S RESPONSIVENESS;
  (II)  CONTAIN  A SUMMARY OF AT LEAST FIFTEEN OF THE MOST SERIOUS PROB-
LEMS ENCOUNTERED BY TAXPAYERS, INCLUDING A DESCRIPTION OF THE NATURE  OF
SUCH PROBLEMS;
  (III) CONTAIN AN INVENTORY OF THE ITEMS DESCRIBED IN SUBPARAGRAPHS (I)
AND  (II)  OF  THIS  PARAGRAPH  FOR  WHICH ACTION HAS BEEN TAKEN AND THE
RESULT OF SUCH ACTION; AN INVENTORY  FOR  WHICH  ACTION  REMAINS  TO  BE
COMPLETED;  AND AN INVENTORY FOR WHICH NO ACTION HAS BEEN TAKEN, AND THE
REASONS FOR THE INACTION;
  (IV) CONTAIN RECOMMENDATIONS FOR SUCH ADMINISTRATIVE  AND  LEGISLATIVE
ACTION  AS MAY BE APPROPRIATE TO RESOLVE PROBLEMS ENCOUNTERED BY TAXPAY-
ERS; AND
  (V) INCLUDE SUCH OTHER INFORMATION AS THE TAXPAYER ADVOCATE  MAY  DEEM
ADVISABLE.
  S  3.  Subdivisions 1, 3 and 4 of section 170 of the tax law, subdivi-
sions 1 and 3 as amended by chapter 282 of the laws of 1986 and subdivi-
sion 4 as amended by chapter 283 of the laws of  1986,  are  amended  to
read as follows:
  1.  The  existing  department  of taxation and finance and its present
functions are continued. The head of  the  department  of  taxation  and
finance shall be the commissioner of taxation and finance who shall have
sole  charge of the administration of such department except with regard
to the administration of the division of tax appeals which shall be  the
sole  charge  of the tax appeals tribunal authorized by article forty of
this chapter AND THE OFFICE OF TAXPAYER ADVOCATE AUTHORIZED  BY  SECTION
THREE  THOUSAND  THIRTEEN OF THIS CHAPTER.  The commissioner of taxation
and finance shall be appointed by the governor by and  with  the  advice
and consent of the senate and shall hold office as commissioner of taxa-
tion  and  finance  until the end of the term of the governor by whom he
was appointed and until his successor has been appointed and has  quali-
fied.

S. 2620                             3

  3.  The  commissioner of taxation and finance may establish such addi-
tional divisions and bureaus as he may deem necessary.  He  may  appoint
the  heads of such divisions and bureaus and fix their duties and he may
consolidate, alter or abolish any divisions or bureaus, except that such
commissioner  shall  have  no such authority or power with regard to the
division of tax appeals AND THE OFFICE OF TAXPAYER ADVOCATE.
  4. The commissioner of taxation and finance  may  appoint  and  remove
such  officers,  assistants and other employees as he may deem necessary
for the exercise of the powers and duties of the department, all of whom
shall be in the classified civil service unless  otherwise  provided  by
law; and he may prescribe their duties, and fix their compensation with-
in  the  amounts appropriated therefor. The commissioner of taxation and
finance may transfer officers or employees from their positions to other
positions in the department, or abolish or consolidate  such  positions.
He  shall have all powers necessary to perform the duties conferred upon
him regarding the state lottery authorized  by  article  thirty-four  of
this  chapter.  However,  the commissioner of taxation and finance shall
have no power to appoint or remove any personnel of the division of  tax
appeals OR OF THE OFFICE OF TAXPAYER ADVOCATE nor shall such commission-
er have any power or authority with regard to the operation and adminis-
tration of such division OR OFFICE including any power or authority over
such  division's  OR  OFFICE'S budget. The commissioner shall furnish to
the director of the division of the budget the itemized estimates of the
financial needs of the division of tax appeals AND THE OFFICE OF TAXPAY-
ER ADVOCATE prepared by the tax  appeals  tribunal  AND  THE  OFFICE  OF
TAXPAYER ADVOCATE. Such itemized estimates may not be revised or altered
in any manner by the commissioner.
  S 4. This act shall take effect immediately.