S T A T E O F N E W Y O R K
________________________________________________________________________
7381--B
2009-2010 Regular Sessions
I N A S S E M B L Y
April 2, 2009
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Introduced by M. of A. COLTON, KELLNER, REILLY, WALKER, GIGLIO, CASTRO,
EDDINGTON -- Multi-Sponsored by -- M. of A. CALHOUN, DelMONTE, MAISEL,
MENG, STIRPE, TOWNSEND -- read once and referred to the Committee on
Ways and Means -- committee discharged, bill amended, ordered
reprinted as amended and recommitted to said committee -- again
reported from said committee with amendments, ordered reprinted as
amended and recommitted to said committee
AN ACT to amend the tax law, in relation to requiring the commissioner
of taxation and finance to publish on the department of taxation and
finance website lists of taxpayers with tax delinquencies
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Section 171 of the tax law is amended by adding a new
subdivision twenty-ninth to read as follows:
TWENTY-NINTH. SHALL PREPARE, MAINTAIN, AND PUBLISH ON THE DEPARTMENT
WEBSITE TWO LISTS: ONE OF WHICH SHALL CONTAIN THE NAMES OF TAXPAYERS
THAT OWE DELINQUENT TAX AND ADDITIONS TO TAX FINALLY DETERMINED TO BE
DUE FOR PERSONAL INCOME TAXES AND FOR BUSINESS TAXES PURSUANT TO ARTICLE
TWENTY-TWO OF THE TAX LAW; AND THE OTHER LIST SHALL CONTAIN THE NAMES OF
TAXPAYERS THAT OWE DELINQUENT TAX AND ADDITIONS TO TAX FINALLY DETER-
MINED TO BE DUE PURSUANT TO ARTICLES NINE, NINE-A, THIRTEEN, THIRTEEN-A,
THIRTY-TWO, THIRTY-THREE AND THIRTY-THREE-A OF THE TAX LAW. (A) EACH
LIST SHALL:
(1) CONTAIN THE NAMES OF TWO HUNDRED FIFTY TAXPAYERS OWING TO THIS
STATE THE GREATEST AMOUNT OF DELINQUENT TAX AND ADDITIONS TO TAX, THE
ADDRESS OF SUCH TAXPAYER, THE TYPE AND AMOUNT OF TAX AND ADDITIONS TO
TAX DUE, AND THE DATE THE AMOUNT WAS FINALLY DETERMINED TO BE DUE;
(2) IN THE CASE OF ENTITIES OTHER THAN NATURAL PERSONS, NAME ANY
PERSONS WHO WERE AT LEAST TWENTY-FIVE PERCENT OWNERS OR BENEFICIAL
OWNERS OR WHO WERE RESPONSIBLE OFFICERS OF SUCH ENTITY AT OR AFTER THE
TIME THE LIABILITY WAS CREATED;
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD10835-05-9
A. 7381--B 2
(3) BE UPDATED ON A QUARTERLY BASIS; AND
(4) BE PUBLISHED NO SOONER THAN SIX MONTHS AFTER THE PROVISIONS OF
THIS SUBDIVISION SHALL BECOME LAW.
(B) NOTWITHSTANDING SUBPARAGRAPH ONE OF PARAGRAPH (E) OF THIS SUBDIVI-
SION, EACH NEWLY UPDATED LIST SHALL NOT INCLUDE THE NAMES OF TAXPAYERS
THAT HAVE APPEARED ON PREVIOUS VERSIONS OF THE SAME LIST, UNLESS: (1) A
SEPARATE INSTANCE OF UNPAID TAX OR ADDITIONS TO TAX, WHICH RANKS THE
TAXPAYER'S NEW LIABILITY AMONG THE TOP TWO HUNDRED FIFTY, SUBSEQUENT TO
THE PUBLISHING OF THE PRIOR QUARTER'S LIST OCCURS, OR (2) AT LEAST ONE
YEAR HAS ELAPSED SINCE THE TAXPAYER APPEARED ON THE LIST, AND IN THE
COMMISSIONER'S JUDGMENT, PLACING THE TAXPAYER ON THE LIST MAY SIGNIF-
ICANTLY INCREASE THE LIKELIHOOD OF PAYMENT.
(C) NO TAXPAYER SHALL BE PLACED ON THE LIST, UNTIL: (1) A TAX WARRANT
IS FILED AGAINST SUCH TAXPAYER FOR A DELINQUENT LIABILITY, AND (2) SIXTY
DAYS HAVE ELAPSED FOLLOWING THE DATE OF MAILING A NOTICE BY CERTIFIED
MAIL TO SUCH TAXPAYER, AND WHEN IT IS THE CASE, TO SUCH TAXPAYER'S
OWNERS, BENEFICIAL OWNERS OR OFFICERS, OF THE COMMISSIONER'S INTENT TO
INCLUDE SUCH TAXPAYER'S NAME AND OTHER REQUIRED INFORMATION ON THE LIST
TO BE PUBLISHED.
(D) NO TAXPAYER SHALL BE INCLUDED ON THE LIST IF SUCH TAXPAYER HAS:
(1) SINCE THE MAILING OF NOTICE OF THE COMMISSIONER'S INTENT, PAID THE
LIABILITY IN FULL OR ENTERED INTO A WRITTEN AGREEMENT WITH THE DEPART-
MENT FOR PAYMENT OF THE DELINQUENCY, OR (2) THE TOTAL LIABILITY FOR ALL
TAX AND ADDITIONS TO TAX IS LESS THAN FIVE THOUSAND DOLLARS.
(E) FOR THE EXCLUSIVE PURPOSE OF ASCERTAINING A TAXPAYER'S INCLUSION
ON THE PUBLISHED LIST, IN CALCULATING THE AMOUNT OF TAX AND ADDITIONS TO
TAX, THERE SHALL BE EXCLUDED ANY AMOUNT OF TAX OR ADDITION TO TAX WHICH:
(1) HAS BEEN DETERMINED TO BE UNCOLLECTIBLE BECAUSE: (I) THE TAXPAYER
HAS RECEIVED A DISCHARGE IN BANKRUPTCY WITH RESPECT TO THE TAXABLE PERI-
ODS IN QUESTION; OR (II) THE TAXPAYER IS DECEASED AND REASONABLE
COLLECTION MEASURES WILL NOT CAUSE THE DEBT TO BE COLLECTED FROM THE
ASSETS OF THE TAXPAYER'S ESTATE; OR (III) THE TAXES ARE DEBTS BELONGING
TO A BUSINESS AND THE DEPARTMENT IS UNABLE TO FIND THAT SUCH BUSINESS OR
OTHER PERSONS RESPONSIBLE FOR THE DEBTS HAVE ASSETS FROM WHICH THE DEBTS
MAY BE PAID; OR (IV) THE DEBT HAS BEEN OUTSTANDING ON THE RECORDS OF THE
DEPARTMENT FOR MORE THAN SIX YEARS; OR
(2) IS THE SUBJECT OF AN AGREEMENT BETWEEN THE COMMISSIONER AND THE
TAXPAYER FOR AN INSTALLMENT PAYMENT PLAN OF THE AMOUNT DUE AND WHICH IS
NOT IN DEFAULT BY A PERIOD OF THIRTY-ONE DAYS; OR
(3) IS SUBJECT TO A STAY OF COLLECTION PURSUANT TO THE BANKRUPTCY CODE
OF THE UNITED STATES; OR
(4) IN THE DISCRETION OF THE COMMISSIONER AND IN THE INTERESTS OF
JUSTICE, HAS BEEN DEFERRED FROM COLLECTION FOR NO MORE THAN NINETY DAYS
FOR THE PURPOSE OF RESEARCHING WHETHER OR NOT AN ERROR HAS OCCURRED IN
CALCULATING THE AMOUNT DUE; OR
(5) THE COMMISSIONER, IN HIS OR HER DISCRETION, UPON RECEIPT OF A
TAXPAYER'S WRITTEN REQUEST AND STATEMENT OF REASONABLE CAUSE, HAS DEEMED
THE RESULT TO BE FROM EXTRAORDINARY CIRCUMSTANCES.
(F) THE NAMES AND INFORMATION OF TAXPAYERS APPEARING ON THE PUBLISHED
LIST SHALL BE REMOVED WITHIN THIRTY DAYS OF THE RECEIPT OF FULL PAYMENT
OF THE DELINQUENT LIABILITY OR RECEIPT OF THE TAXPAYER'S WRITTEN AGREE-
MENT WITH THE DEPARTMENT FOR PAYMENT OF THE DELINQUENCY. ANY ISSUANCE OF
A BAD CHECK OR BREACH OF SUCH AGREEMENT MAY RESULT IN THE TAXPAYER'S
NAME BEING IMMEDIATELY RETURNED TO THE PUBLISHED LIST.
(G) THE DEPARTMENT MAY PROMULGATE SUCH RULES AND REGULATIONS AS MAY BE
NECESSARY AND PROPER TO IMPLEMENT THE PROVISIONS OF THIS SUBDIVISION.
A. 7381--B 3
(H) ANY DISCLOSURES MADE BY THE COMMISSIONER, IN A GOOD FAITH EFFORT
TO COMPLY WITH THE PROVISIONS OF THIS SUBDIVISION, SHALL NOT BE CONSID-
ERED A VIOLATION OF ANY LAW PROHIBITING DISCLOSURE OF TAXPAYER INFORMA-
TION.
S 2. This act shall take effect immediately.