Legislation

Search OpenLegislation Statutes
This entry was published on 2020-01-31
The selection dates indicate all change milestones for the entire volume, not just the location being viewed. Specifying a milestone date will retrieve the most recent version of the location before that date.
SECTION 211
Reports
Tax (TAX) CHAPTER 60, ARTICLE 9-A
§ 211. Reports. 1. Every taxpayer shall annually on or before March
fifteenth, for taxable years beginning before January first, two
thousand sixteen, and annually on or before April fifteenth, for taxable
years beginning on or after January first, two thousand sixteen,
transmit to the commissioner a report in a form prescribed by the
commissioner (except that a corporation which reports on the basis of a
fiscal year shall transmit its report within two and one-half months
after the close of its fiscal year, for taxable years beginning before
January first, two thousand sixteen, and on or before the fifteenth day
of the fourth month after the close of its fiscal year, for taxable
years beginning on or after January first, two thousand sixteen, and
except, also, that a corporation which is a DISC shall transmit its
report on or before the fifteenth day of the ninth month following the
close of its calendar or fiscal year), setting forth such information as
the commissioner may prescribe and every taxpayer which ceases to
exercise its franchise or to be subject to the tax imposed by this
article shall transmit to the commissioner a report on the date of such
cessation or at such other time as the commissioner may require covering
each year or period for which no report was theretofore filed. In the
case of a termination year of an S corporation, the S short year and the
C short year shall be treated as separate short taxable years, provided,
however, the due date of the report for the S short year shall be the
same as the due date of the report for the C short year. Every taxpayer
shall also transmit such other reports and such facts and information as
the commissioner may require in the administration of this article. The
commissioner may grant a reasonable extension of time for filing reports
whenever good cause exists.

An automatic extension of six months for the filing of its annual
report shall be allowed any taxpayer if, within the time prescribed by
the preceding paragraph, such taxpayer files with the commissioner an
application for extension in such form as the commissioner may prescribe
by regulation and pays on or before the date of such filing the amount
properly estimated as its tax.

2. Every report shall have annexed thereto a certification by the
president, vice-president, treasurer, assistant treasurer, chief
accounting officer or any other officer of the taxpayer duly authorized
so to act to the effect that the statements contained therein are true.
In the case of an association, within the meaning of paragraph three of
section (a) of section seventy-seven hundred one of the internal revenue
code, a publicly traded partnership treated as a corporation for
purposes of the internal revenue code pursuant to section seventy-seven
hundred four thereof and any business conducted by a trustee or trustees
wherein interest or ownership is evidenced by certificates or other
written instruments such certification shall be made by any person duly
authorized so to act on behalf of such association, publicly traded
partnership or business. The fact that an individual's name is signed on
a certification of the report shall be prima facie evidence that such
individual is authorized to sign and certify the report on behalf of the
corporation. Blank forms of reports shall be furnished by the
commissioner of taxation and finance, on application, but failure to
secure such a blank shall not release any corporation from the
obligation of making any report required by this article.

2-a. The commissioner may prescribe regulations and instructions
requiring returns of information to be made and filed in conjunction
with the reports required to be filed pursuant to this article, relating
to payments made to shareholders owning, directly or indirectly,
individually or in the aggregate, more than fifty percent of the issued
capital stock of the taxpayer, where such payments are treated as
payments of interest in the computation of entire net income reported on
such reports.

3. If the amount of taxable income for any year of any taxpayer
(including any taxpayer which has elected to be taxed under subchapter s
of chapter one of the internal revenue code), as returned to the United
States treasury department is changed or corrected by the commissioner
of internal revenue or other officer of the United States or other
competent authority, or where a renegotiation of a contract or
subcontract with the United States results in a change in taxable
income, such taxpayer shall report such changed or corrected taxable
income, or the results of such renegotiation, within ninety days (or one
hundred twenty days, in the case of a taxpayer making a combined report
under this article for such year) after the final determination of such
change or correction or renegotiation, or as required by the
commissioner, and shall concede the accuracy of such determination or
state wherein it is erroneous. The allowance of a tentative carryback
adjustment based upon a net operating loss carryback or net capital loss
carryback pursuant to section sixty-four hundred eleven of the internal
revenue code, as amended, shall be treated as a final determination for
purposes of this subdivision. Any taxpayer filing an amended return with
such department shall also file within ninety days (or one hundred
twenty days, in the case of a taxpayer making a combined report under
this article for such year) thereafter an amended report with the
commissioner.

4. For provisions relating to combined reports, see section two
hundred ten-C of this article.

5. In case it shall appear to the commissioner that any agreement,
understanding or arrangement exists between the taxpayer and any other
corporation or any person or firm, whereby the activity, business,
income or capital of the taxpayer within the state is improperly or
inaccurately reflected, the commissioner is authorized and empowered, in
the commissioner's discretion and in such manner as the commissioner may
determine, to adjust items of income, deductions and capital, and to
eliminate assets in computing any apportionment percentage provided only
that any income directly traceable thereto be also excluded from entire
net income, so as equitably to determine the tax. Where (a) any taxpayer
conducts its activity or business under any agreement, arrangement or
understanding in such manner as either directly or indirectly to benefit
its members or stockholders, or any of them, or any person or persons
directly or indirectly interested in such activity or business, by
entering into any transaction at more or less than a fair price which,
but for such agreement, arrangement or understanding, might have been
paid or received therefor, or (b) any taxpayer, a substantial portion of
whose capital stock is owned either directly or indirectly by another
corporation, enters into any transaction with such other corporation on
such terms as to create an improper loss or net income, the commissioner
may include in the entire net income of the taxpayer the fair profits
which, but for such agreement, arrangement or understanding, the
taxpayer might have derived from such transaction. Where any taxpayer
owns, directly or indirectly, more than fifty percent of the capital
stock of another corporation subject to tax under section fifteen
hundred two-a of this chapter and fifty percent or less of whose gross
receipts for the taxable year consist of premiums, the commissioner may
include in the entire net income of the taxpayer, as a deemed
distribution, the amount of the net income of the other corporation that
is in excess of its net premium income.

6. An action may be brought at any time by the attorney-general at the
instance of the tax commission, in the name of the state, to compel the
filing of reports due under this article.

7. Reports shall be preserved for five years, and thereafter until the
tax commission orders them to be destroyed.

8. (a) Except in accordance with proper judicial order or as otherwise
provided by law, it shall be unlawful for any tax commissioner, any
officer or employee of the department, or any person who, pursuant to
this section, is permitted to inspect any report, or to whom any
information contained in any report is furnished, or any person engaged
or retained by such department on an independent contract basis, or any
person who in any manner may acquire knowledge of the contents of a
report filed pursuant to this article, to divulge or make known in any
manner the amount of income or any particulars set forth or disclosed in
any report under this article. The officers charged with the custody of
such reports 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 state or the commissioner in an action or
proceeding under the provisions of this chapter or in any other action
or proceeding involving the collection of a tax due under this chapter
to which the state or the commissioner is a party or a claimant, or on
behalf of any party to any action or proceeding under the provisions of
this article when the reports or facts shown thereby are directly
involved in such action or proceeding, in any of which events the court
may require the production of, and may admit in evidence, so much of
said reports or of the facts shown thereby as are pertinent to the
action or proceeding, and no more. The commissioner may, nevertheless,
publish a copy or a summary of any determination or decision rendered
after the formal hearing provided for in section one thousand
eighty-nine of this chapter. Nothing herein shall be construed to
prohibit the delivery to a corporation or its duly authorized
representative of a copy of any report filed by it, nor to prohibit the
publication of statistics so classified as to prevent the identification
of particular reports and the items thereof; or the publication of
delinquent lists showing the names of taxpayers who have failed to pay
their taxes at the time and in the manner provided by section two
hundred thirteen of this chapter together with any relevant information
which in the opinion of the commissioner may assist in the collection of
such delinquent taxes; or the inspection by the attorney general or
other legal representatives of the state of the report of any
corporation which shall bring action to set aside or review the tax
based thereon, or against which an action or proceeding under this
chapter has been recommended by the commissioner of taxation and finance
or the attorney general or has been instituted; or the inspection of the
reports of any corporation by the comptroller or duly designated officer
or employee of the state department of audit and control, for purposes
of the audit of a refund of any tax paid by such corporation under this
article.

(b) (i) Any officer or employee of the state who willfully violates
the provisions of paragraph (a) of this subdivision shall be dismissed
from office and be incapable of holding any public office in this state
for a period of five years thereafter.

(ii) Cross-reference: For criminal penalties, see article thirty-seven
of this chapter.

(c) Notwithstanding any provisions of this subdivision, the tax
commission may permit the secretary of the treasury of the United States
or his delegates, or the proper officer of any other state charged with
tax administration, or the authorized representative of either such
officer, to inspect the reports filed under this article, or may furnish
to such officer or his authorized representative an abstract of any such
report or supply information concerning an item contained in any such
report, or disclosed by an investigation of tax liability under this
article, but such permission shall be granted or such information
furnished to such officer or his representative only if the laws of the
United States or of such other state, as the case may be, grant
substantially similar privileges to the commission or officer of this
state charged with the administration of the tax imposed by this article
and such information is to be used for tax purposes only; and provided
further the commissioner of taxation and finance may furnish to the
secretary of the treasury of the United States or his delegates such
reports filed under this article and other tax information, as he may
consider proper, for use in court actions or proceedings under the
internal revenue code, whether civil or criminal, where a written
request therefor has been made to the commissioner of taxation and
finance by the secretary of the treasury or his delegates provided the
laws of the United States grant substantially similar powers to the
secretary of the treasury or his delegates. Where the commissioner of
taxation and finance has so authorized use of reports or other tax
information in such actions or proceedings, officers and employees of
the department of taxation and finance may testify in such actions or
proceedings in respect to such reports or other tax information; and
provided further that such commission may furnish any municipality with
such information contained in the reports filed under this article as it
may consider proper for use in any certiorari or condemnation
proceeding.

9. Notwithstanding the provisions of subdivision eight of this
section, the tax commission may permit the officer charged with the
administration of an income tax imposed by any city of the state of New
York, or the authorized representative of such officer, to inspect the
reports filed under this article, or may furnish to such officer or his
authorized representative an abstract of any such report or supply
information concerning an item contained in any such report, or
disclosed by any investigation of tax liability under this article, but
such permission shall be granted or such information furnished to such
officer or his representative only if the local laws of such city grant
substantially similar privileges to the commission or officer of this
state charged with the administration of the tax imposed by this article
and such information is to be used for tax purposes only; and provided
further the commissioner of taxation and finance may furnish to such
city officer or his delegates and the legal representative of such city
such reports filed under this article and other tax information, as he
may consider proper, for use in court actions or proceedings under such
local law, whether civil or criminal, where a written request therefor
has been made to the commissioner of taxation and finance by such city
officer or his delegates or by such legal representative of such city,
provided the local law of such city grants substantially similar powers
to the city officer charged with the administration of the city income
tax or his delegates. Where the commissioner of taxation and finance has
so authorized use of reports or other tax information in such actions or
proceedings, officers and employees of the department of taxation and
finance may testify in such actions or proceedings in respect to such
reports or other tax information.

10. Notwithstanding the provisions of subdivision eight of this
section, the tax commission, in its discretion, may require or permit
any or all persons liable for any tax imposed by this article, to make
payments on account of estimated tax and payment of any tax, penalty or
interest imposed by this article to banks, banking houses or trust
companies designated by the tax commission and to file declarations of
estimated tax, applications for automatic extensions of time to file
reports, and reports with such banks, banking houses or trust companies
as agents of the tax commission, in lieu of making any such payment
directly to the tax commission. However, the tax commission shall
designate only such banks, banking houses or trust companies as are or
shall be designated by the comptroller as depositories pursuant to
section two hundred eighteen.

11. Notwithstanding the provisions of subdivision eight of this
section, the commissioner may disclose to the head of any state agency,
pursuant to section one hundred seventy-one-f of this chapter, the name
and taxpayer identification number of any taxpayer whose overpayment is
certified to the comptroller to be credited against a past-due legally
enforceable debt owed to such agency and the amount of the overpayment
and interest thereon certified to the comptroller to be credited against
a past-due legally enforceable debt, and the commissioner may disclose
to the commissioner of finance of the city of New York, pursuant to
section one hundred seventy-one-l of this chapter, the name and taxpayer
identification number of any taxpayer whose overpayment is certified to
the comptroller to be credited against a city of New York tax warrant
judgment debt and the amount of the overpayment and interest thereon
certified to the comptroller to be credited against a city of New York
tax warrant judgment debt.

12. (a) Notwithstanding the provisions of subdivision eight of this
section, the commissioner and the comptroller shall enter into an
agreement pursuant to which the commissioner shall, upon request,
provide the comptroller with a report, not more frequently than
annually, with respect to corporations or other entities which have
filed a business corporation franchise tax report under this article for
any taxable year within ten calendar years prior to the report to the
comptroller made pursuant to this subdivision, providing the following
information, to the extent that such information is readily available
from the department's system for identifying taxpayer indicative data:

(1) business name and legal name, if different;

(2) business address and mailing address;

(3) federal employer identification number;

(4) date entered into business.

(b) Each report to the comptroller made pursuant to this subdivision
shall list each corporation or other entity with respect to which such
report is made according to the total assets reported for the end of the
year on its most recent available business corporation franchise tax
report, in descending order. Such reports to the comptroller shall not
disclose the actual amount of total assets reported on such business
corporation franchise tax reports.

(c) The information provided to the comptroller pursuant to this
subdivision shall be used only for administration and enforcement of the
abandoned property law. The comptroller may redisclose the information
provided under this subdivision only to the extent necessary for
enforcement or administration of the abandoned property law.

(d) The reports to the comptroller required under this subdivision
shall be submitted by electronic means or in some other format which is
mutually acceptable to the comptroller and the commissioner. The written
agreement with the comptroller shall set forth the procedures for
providing the information the commissioner is allowed to disclose
pursuant to this subdivision.

(e) Notwithstanding article six of the public officers law or any
other provision of law, the reports to be furnished to the comptroller
pursuant to this subdivision shall not be open to the public for
inspection.

14. Notwithstanding the provisions of subdivision eight of this
section, the commissioner may disclose to a taxpayer or a taxpayer's
related member, as defined in paragraph (o) of subdivision nine of
section two hundred eight of this article, information relating to any
royalty payments paid, incurred or received by such taxpayer or related
member to or from the other, including the treatment of such payments by
the taxpayer or the related member in any report or return transmitted
to the commissioner under this chapter.

15. Notwithstanding the provisions of subdivision eight of this
section, the commissioner shall provide the statements and other
required information requested on tax reports under section four hundred
eight of the business corporation law to the secretary of state for
filing. Such provision may also include a copy or image of that portion
of the report solely pertinent to such information to the extent
feasible. The commissioner any also provide information on
noncompliance.

16. (a) Notwithstanding the provisions of subdivision eight of this
section, upon written request from the chairperson of the committee on
ways and means of the United States House of Representatives, the
chairperson of the committee on finance of the United States Senate, or
the chairperson of the joint committee on taxation of the United States
Congress, the commissioner shall furnish such committee with any current
or prior year reports specified in such request that were filed under
this article by the president of the United States, vice-president of
the United States, member of the United States Congress representing New
York state, or any person who served in or was employed by the executive
branch of the government of the United States on the executive staff of
the president, in the executive office of the president, or in an acting
or confirmed capacity in a position subject to confirmation by the
United States senate; or, in New York state: a statewide elected
official, as defined in paragraph (a) of subdivision one of section
seventy-three-a of the public officers law; a state officer or employee,
as defined in subparagraph (i) of paragraph (c) of subdivision one of
such section seventy-three-a; a political party chairperson, as defined
in paragraph (h) of subdivision one of such section seventy-three-a; a
local elected official, as defined in subdivisions one and two of
section eight hundred ten of the general municipal law; a person
appointed, pursuant to law, to serve due to vacancy or otherwise in the
position of a local elected official, as defined in subdivisions one and
two of section eight hundred ten of the general municipal law; a member
of the state legislature; or a judge or justice of the unified court
system, or filed by a partnership, firm, association, corporation,
joint-stock company, trust or similar entity directly or indirectly
controlled by any individual listed in this paragraph, whether by
contract, through ownership or control of a majority interest in such
entity, or otherwise, or filed by a partnership, firm, association,
corporation, joint-stock company, trust or similar entity of which any
individual listed in this paragraph holds ten percent or more of the
voting securities of such entity; provided however that, prior to
furnishing any report, the commissioner shall redact any copy of a
federal return (or portion thereof) attached to, or any information on a
federal return that is reflected on, such report, and any social
security numbers, account numbers and residential address information.

(b) No reports shall be furnished pursuant to this subdivision unless
the chairperson of the requesting committee certifies in writing that
such reports have been requested related to, and in furtherance of, a
legitimate task of the Congress, that the requesting committee has made
a written request to the United States secretary of the treasury for
related federal reports or report information, pursuant to 26 U.S.C.
Section 6103(f), and that if such requested reports are inspected by
and/or submitted to another committee, to the United States House of
Representatives, or to the United States Senate, then such inspection
and/or submission shall occur in a manner consistent with federal law as
informed by the requirements and procedures established in 26 U.S.C.
Section 6103(f).