2023 New York Laws › TAX - Tax › Article 22 - Personal Income Tax › Part 6 - Procedure and Administration › 683 - Limitations on Assessment.

§  683.  Limitations on assessment.--(a) General.--Except as otherwise
provided in this section, any tax under this article shall  be  assessed
within  three  years  after  the  return  was filed (whether or not such
return was filed on or after the date prescribed).
(b) Time return deemed filed.--
(1) Early return.--For purposes of this section  a  return  of  income
tax, except withholding tax, filed before the last day prescribed by law
or  by  regulations  promulgated pursuant to law for the filing thereof,
shall be deemed to be filed on such last day.
(2) Return of withholding tax.--For purposes of  this  section,  if  a
return  of  withholding  tax  for  any  period  ending  with or within a
calendar year is filed before April fifteenth of the succeeding calendar
year, such return shall be deemed to be filed on April fifteenth of such
succeeding calendar year.
(c) Exceptions.--
(1) Assessment at any time.--The tax may be assessed at any time if--
(A) no return is filed,
(B) a false or fraudulent return is filed with intent to evade tax, or
(C) the taxpayer or employer fails to comply with section six  hundred
fifty-nine.
(2)  Extension by agreement.--Where, before the expiration of the time
prescribed in this section for the  assessment  of  tax,  both  the  tax
commission  and the taxpayer have consented in writing to its assessment
after such time, the tax may be  assessed  at  any  time  prior  to  the
expiration  of  the period agreed upon. The period so agreed upon may be
extended by subsequent agreements in writing made before the  expiration
of the period previously agreed upon.
(3)  Report  of federal changes, corrections or disallowances.--If the
taxpayer or employer complies with section six hundred  fifty-nine,  the
assessment  (if  not  deemed  to  have  been made upon the filing of the
report or amended return) may be made at any time within two years after
such report or amended return was filed. The amount of  such  assessment
of  tax  shall  not  exceed  the  amount of the increase in New York tax
attributable to such federal change or  correction.  The  provisions  of
this  paragraph shall not affect the time within which or the amount for
which an assessment may otherwise be made.
(4) Deficiency attributable to net  operating  loss  carryback.--If  a
deficiency  is  attributable to the application to the taxpayer of a net
operating loss carryback,  it  may  be  assessed  at  any  time  that  a
deficiency for the taxable year of the loss may be assessed.
(5)  Recovery  of  erroneous  refund.--An  erroneous  refund  shall be
considered an underpayment of tax on the date made, and an assessment of
a deficiency arising out of an erroneous refund may be made at any  time
within  two  years  from  the  making  of  the  refund,  except that the
assessment may be made within five years from the making of  the  refund
if  it  appears  that  any  part  of  the refund was induced by fraud or
misrepresentation of a material fact.
(6) Request for prompt assessment.--If a  return  is  required  for  a
decedent  or for his estate during the period of administration, the tax
shall be asseessed within eighteen months after written request therefor
(made after the return is filed) by the executor, administrator or other
person representing the estate of such decedent, but not more than three
years after the return was filed, except as otherwise provided  in  this
subsection and subsection (d).
(7)  Report  on  use  of  certain  property.--Under  the circumstances
described in paragraph two of subsection  (g)  of  section  six  hundred
twelve, the tax may be assessed within three years after the filing of a

return  reporting  that  property  has been used for purposes other than
research and development to a greater extent than originally reported.
(8)  Report concerning waste treatment facility, air pollution control
facility  or  eligible  business  facility.  Under   the   circumstances
described  in  paragraph  (3)  of  subsection (h) of section six hundred
twelve or in paragraph four of subsection (c) of section  seven  hundred
one,  the tax may be assessed within three years after the filing of the
return containing the information required by such paragraph, or,  if  a
certificate  of  compliance  in  respect  to  an  air  pollution control
facility shall be revoked, within three years after the  tax  commission
shall receive notice of such revocation from the taxpayer or as required
by   subdivision   three   of   section  19-0309  of  the  environmental
conservation law, whichever notice is received earlier.
(9)  Reports  concerning  empire  zone  credits.   If   a   taxpayer's
certification  under  article eighteen-B of the general municipal law is
revoked with respect to an empire zone or zone equivalent area, any  tax
liability  generated  by  reason of such decertification may be assessed
within three years after the commissioner has received  notice  of  such
decertification  as  required by subdivision (a) of section nine hundred
fifty-nine of the general municipal law.
(10) Reports concerning a certificate of completion. If  a  taxpayer's
certificate  of  completion  issued  pursuant  to section 27-1419 of the
environmental conservation law is  revoked  by  a  determination  issued
pursuant  to  section 27-1419 of the environmental conservation law, any
tax liability generated by reason of such  revocation  may  be  assessed
within  one  year  after  such  determination  is final and is no longer
subject to judicial review.
* (11) Extended statute of limitations for tax avoidance transactions.
(A) If a taxpayer or person fails  to  file,  disclose  or  provide  any
statement, return or other information for any taxable year with respect
to a listed transaction, as defined in paragraph three of subsection (x)
of  section  six  hundred eighty-five of this article, which is required
under subdivision (a) of section twenty-five of this chapter,  the  time
for  assessment  of any tax imposed by this article with respect to such
transaction shall not expire before the date which is one year after the
earlier of:
(i) the date on which the commissioner  is  furnished  the  statement,
return, or information so required, or
(ii)  the  date  that  the  requirements of subdivision (c) of section
twenty-five of this chapter are met with respect to a request under such
subdivision by the commissioner relating to such transaction.
(B) If later than the time for assessment otherwise provided  by  this
section,  tax  may  be  assessed  at any time within six years after the
return was filed if the deficiency is attributable  to  an  abusive  tax
avoidance transaction.
(C)  For  purposes  of subparagraph (B) of this paragraph, an "abusive
tax avoidance transaction" means a plan or arrangement devised  for  the
principal  purpose  of  avoiding tax. Abusive tax avoidance transactions
include, but are  not  limited  to,  listed  transactions  described  in
paragraph five of subsection (p-1) of section six hundred eighty-five of
this article.
* NB Repealed July 1, 2029
(12)   Except  as  otherwise  provided  in  paragraph  three  of  this
subsection, or as otherwise provided in  this  section  where  a  longer
period  of  time  may  apply,  if a taxpayer files an amended return, an
assessment of tax (if not deemed to have been made upon  the  filing  of
the  amended  return),  including  recovery of a previously paid refund,
attributable to a change or correction on  the  amended  return  from  a

prior  return may be made at any time within one year after such amended
return is filed.
(d)  Omission  of  income,  total  taxable  amount  or ordinary income
portion of a lump sum distribution on return.--The tax may  be  assessed
at any time within six years after the return was filed if--
(1)  an  individual  omits from his New York adjusted gross income, or
the total taxable amount or  ordinary  income  portion  of  a  lump  sum
distribution an amount properly includible therein which is in excess of
twenty-five  percent of the amount of New York adjusted gross income, or
the total taxable amount or  ordinary  income  portion  of  a  lump  sum
distribution stated in the return, or
(2)  an estate or trust omits from its New York adjusted gross income,
or the total taxable amount or ordinary income portion  of  a  lump  sum
distribution an amount properly includible therein which is in excess of
twenty-five  percent  of  the  amount  stated  in the return of New York
adjusted gross income determined in accordance with  paragraph  four  of
subsection  (e)  of section six hundred one, or the total taxable amount
or ordinary income portion of a lump sum distribution, respectively. For
purposes of this subsection there shall not be taken  into  account  any
amount which is omitted in the return if such amount is disclosed in the
return,  or  in a statement attached to the return, in a manner adequate
to apprise the commissioner of the nature and  amount  of  the  item  of
income,  total  taxable  amount or ordinary income portion of a lump sum
distribution.
(e) Suspension of running of period of limitation.--The running of the
period of limitations on assessment or collection of tax or other amount
(or of a transferee's liability) shall, after the mailing of a notice of
deficiency, be suspended for the period during which the tax  commission
is  prohibited  under  subsection  (c) of section six hundred eighty-one
from making the assessment or from collecting by levy.