NY Tax L § 524 (2021)
2021 New York Laws TAX - Tax Article 21-A - Tax on Fuel Use 524 - Credits and Refunds.

§  524.  Credits  and refunds. (a) Purchases. Every carrier subject to the tax imposed by this article shall be entitled to  a  credit  against such  tax  determined by adding together the following components: (1) a fuel tax component computed by multiplying  the  number  of  gallons  of motor  fuel  or  diesel motor fuel purchased by such carrier within this state in a return period, for use in its  operations  either  within  or without  this  state,  by the applicable rate per gallon imposed on such fuel under article twelve-A  of  this  chapter;  provided,  however,  no credit  shall  be  allowed  unless  the  tax  imposed under such article twelve-A upon such purchase of fuel has been paid by such  carrier,  and (2)  a sales tax component computed by multiplying the number of gallons of motor fuel or diesel motor fuel purchased by such carrier within this state in a return period, for use in its operations  within  or  without this state by the applicable rate per gallon of the sales tax component; provided,  however,  such  credit shall not exceed the tax imposed under article twenty-eight or pursuant to the authority of article twenty-nine of this chapter upon such purchase of fuel that has  been  paid  by  the carrier.   Each carrier claiming such credit components shall furnish to the  commissioner  such  evidence  of  payment  of  such  taxes  as  the commissioner  may  require.  When  the amount of the credit to which any carrier is entitled for any return period exceeds the amount of tax  for which  such carrier is liable under this article for such return period, such excess shall be allowed as a credit against the tax for which  such carrier  would  otherwise  be  liable  for the eight succeeding calendar quarters following the end of the reporting period from which the excess was derived or, if a claim for refund is filed on or before the last day of the month immediately following the four-year period commencing  with the  end  of  the reporting period for which such excess is derived, the amount of such excess for such period shall be refunded.  (b) Transition. Every carrier subject  to  the  tax  imposed  by  this article  shall  be  entitled  to  a  credit against the tax equal to the credit determined  under  subdivision  three  of  section  five  hundred three-a  of  this  chapter which the carrier would have been entitled to carry forward against the tax  imposed  by  such  section  but  for  the termination  of  such  tax.  Such  credit may be applied against the tax imposed by this section or refunded, subject to the limitations provided in subdivision (a) of this section. A person  not  subject  to  the  tax imposed  by  this  article  may apply for a refund of such excess credit which such person would have been entitled to carry forward against  the tax imposed by such section five hundred three-a but for the termination of  such  tax, subject to the limitations provided in subdivision (a) of this section.  (c) Actual price.  Every  carrier  which  can  substantiate  that  its average  price  paid per gallon (including all federal and state and any local taxes included in such price or imposed on the use or  consumption of  such fuels upon which the state and local sales and compensating use taxes are computed but determined with out the inclusion of any state or local sales tax on receipts from sales of such fuels) during a reporting period is less than the prevailing  price  determined  for  such  period pursuant to subdivision (b) of section five hundred twenty-three of this article,  if  such calculation was based upon an amount determined under clause (ii) of subparagraph (B) of paragraph two of subdivision  (b)  of section  five  hundred  twenty-three  of  this  article, may apply for a refund of the difference between the tax paid relating to the sales  tax component  computed based upon such prevailing price for such period and the tax relating to the sales tax  component  computed  based  upon  the carrier's  actual  average  purchase  price for such period. Such refund must be applied for on or before the last day of the  month  immediately  following  the four-year period commencing with the end of the reporting period which gave rise to the refund.  (d)  Erroneous payment. Whenever the commissioner shall determine that any moneys received under the provisions of this article  were  paid  in error,  he  or  she  may cause the same to be refunded or credited. Such moneys  received  under  the  provisions  of  this  article  which   the commissioner  shall  determine  were  paid  in error, may be refunded or credited out of funds in the custody of the comptroller to the credit of such  taxes  provided  an  application  therefor  is  filed   with   the commissioner  within  four years from the time the erroneous payment was made, except if an  agreement  under  the  provisions  of  section  five hundred  ten  of  this  chapter as made applicable to the tax imposed by this article by  section  five  hundred  twenty-eight  of  this  article (extending  the period for determination of tax imposed by this article) is made within the four-year period for the filing of an application for refund provided for in  this  subdivision,  the  period  for  filing  an application  for  refund  shall not expire prior to six months after the expiration of the period  within  which  a  determination  may  be  made pursuant to the agreement or any extension thereof.  (e)  Determination  and review. The commissioner shall grant or deny a claim for refund under this section in whole or in part and shall notify the  claimant  by  mail  of  the  commissioner's   determination.   Such determination  shall be final and irrevocable unless the claimant shall, within thirty days after the mailing of notice  of  such  determination, petition  the division of tax appeals for a hearing. If the commissioner enters into a cooperative agreement pursuant  to  section  five  hundred twenty-eight  of  this article, notice of a hearing shall be given and a hearing held within any time restrictions prescribed in such  agreement. After such hearing, the division of tax appeals shall mail notice of the determination of the administrative law judge to the claimant and to the commissioner.  Such  determination  may  be  reviewed by the tax appeals tribunal as provided in article forty of this chapter. The  decision  of the  tax  appeals  tribunal  may  be reviewed as provided in section two thousand sixteen of this chapter. However, such a proceeding may not  be commenced  unless  an undertaking is filed with the commissioner in such amount and with such sureties as a justice of the  supreme  court  shall approve  to  the  effect  that  if  the  proceeding  be dismissed or the decision confirmed, the petitioner will pay all costs and charges  which may accrue against him in the prosecution of the proceeding.