NY Tax L § 1084 (2021)
2021 New York Laws TAX - Tax Article 27 - Corporate Tax Procedure and Administration 1084 - Interest on Underpayment.

§ 1084. Interest on underpayment.---(a) General.--If any amount of tax is  not  paid  on  or before the last date prescribed in article nine or nine-a of this chapter for payment,  interest  on  such  amount  at  the underpayment  rate  set  by  the  commissioner  pursuant  to section one thousand ninety-six of this article, 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 paid, whether or not  any  extension  of time  for  payment was granted. Interest under this subsection shall not be paid if the amount thereof is less than one dollar.  (b) Exception as to estimated tax.---This section shall not  apply  to any failure to pay estimated tax under article nine-a, nine-b or nine-c.  (c) Exception for mathematical or clerical error.--- No interest shall be  imposed  on  any  underpayment  of tax due solely to mathematical or clerical error if the taxpayer files a return within the time prescribed in article nine or nine-A (including any extension of time) and pays the amount of underpayment within three months after the due  date  of  such return, as it may be extended.  (d)   Suspension   of  interest  on  deficiencies.---If  a  waiver  of restrictions on assessment  of  a  deficiency  has  been  filed  by  the taxpayer,  and if notice and demand by the tax commission for payment of such deficiency is not made within thirty days after the filing of  such waiver,  interest shall not be imposed on such deficiency for the period beginning immediately after such thirtieth day and ending with the  date of notice and demand.  (e)  Tax  reduced  by  carryback.---If the amount of tax under article nine-a for any taxable year is reduced by reason of a carryback of a net operating loss or a capital loss, such reduction in tax shall not affect the computation of interest under this section  for  the  period  ending with  the  filing  date  for the taxable year in which the net operating loss or capital loss  arises.  Such  filing  date  shall  be  determined without regard to extensions of time to file.  (f)  Interest  treated  as tax.---Interest under this section shall be paid upon notice and demand and shall be assessed, collected and paid in the same manner as the tax under article nine, nine-a, nine-b or nine-c. Any reference in this article  to  the  tax  imposed  by  article  nine, nine-a,  nine-b  or  nine-c  shall  be  deemed also to refer to interest imposed by this section on such tax.  (g) Interest on penalties or additions  to  tax.---Interest  shall  be imposed  under  subsection  (a)  of  this  section  in  respect  of  any assessable penalty or addition to tax only if such assessable penalty or addition to tax is not paid within twenty-one  calendar  days  from  the date  of  the notice and demand therefor under subsection (b) of section one thousand ninety-two of this article (ten business days if the amount for which such notice and demand is made equals or exceeds  one  hundred thousand  dollars)  and  in such case interest shall be imposed only for the period from such date of the  notice  and  demand  to  the  date  of payment.  (h)  Payment  within  specified  period  after notice and demand.---If notice and demand is made for payment of any amount under subsection (b) of section one thousand ninety-two of this article, and if  such  amount is paid within twenty-one calendar days (ten business days if the amount for  which  such notice and demand is made equals or exceeds one hundred thousand dollars) after the date of such  notice  and  demand,  interest under  this  section  on the amount so paid shall not be imposed for the period after the date of such notice and demand.  (i) Limitation on assessment and  collection.---  Interest  prescribed under  this section may be assessed and collected at any time during the  period within which the tax or  other  amount  to  which  such  interest relates may be assessed and collected, respectively.  (j) Interest on erroneous refund.---Any portion of tax or other amount which  has  been  erroneously  refunded, and which is recoverable by the commissioner, shall bear interest at the underpayment rate  set  by  the commissioner  pursuant  to  section  one  thousand  ninety-six  of  this article, or if no rate is set, at the rate of seven and one-half percent per annum from the date of the payment of the refund,  but  only  if  it appears  that  any  part  of  the  refund  was  induced  by  fraud  or a misrepresentation of a material fact.  (k) Satisfaction by credits.---If any portion of a tax is satisfied by credit of an overpayment, then no interest shall be imposed  under  this section  on  the  portion  of the tax so satisfied for any period during which, if the credit  had  not  been  made,  interest  would  have  been allowable with respect to such overpayment.