2023 New York Laws › TAX - Tax › Article 12 - Tax on Transfers of Stock and Other Corporate Certificates › 280-A - Rebate for Stock Transfer Tax Paid; Penalty for False Claims.

§ 280-a. Rebate for stock transfer tax paid; penalty for false claims.
1.  Except as otherwise provided in subdivision fifteen of this section,
where a tax shall have been paid under this article  a  portion  of  the
amount  paid shall be allowed as a rebate and such portion shall be paid
to the taxpayer but only to the extent that moneys are available for the
payment of such rebates in the stock transfer incentive fund established
pursuant to section ninety-two-i of the state finance law.  The  portion
of  the  amount  of tax paid which is to be allowed as a rebate shall be
thirty percent of the tax incurred and paid on transactions  subject  to
the  stock  transfer  tax occurring on and after October first, nineteen
hundred seventy-nine and on  or  before  September  thirtieth,  nineteen
hundred  eighty  and  sixty percent of the tax incurred and paid on such
transactions occurring on and  after  October  first,  nineteen  hundred
eighty and on or before September thirtieth, nineteen hundred eighty-one
and  all  of  the  amount of tax incurred and paid shall be allowed as a
rebate on transactions subject to the stock transfer  tax  occurring  on
and after October first, nineteen hundred eighty-one.
2.  Notwithstanding  the provisions of subdivision one of this section
with respect to the percentages of tax allowable as rebates, the portion
of the amount of stock transfer tax paid which is to  be  allowed  as  a
rebate  to  a nonresident shall be fifty percent of the tax incurred and
paid on transactions subject to stock  transfer  tax  occurring  on  and
after  October  first,  nineteen  hundred seventy-seven and on or before
July thirty-first, nineteen hundred seventy-eight and  thirty-seven  and
one-half  percent  with  respect  to  such transactions occurring on and
after August first, nineteen hundred  seventy-eight  and  on  or  before
September   thirtieth,  nineteen  hundred  eighty,  and  thereafter  the
portions  set  forth  in  subdivision  one  of  this  section  shall  be
applicable.
2-a.  In  addition  to  the  rebate  allowable under the provisions of
subdivision one of this section, the portion  of  the  amount  of  stock
transfer  tax  paid  which  is  to be allowed as a rebate to any person,
firm,  company  or  corporation  registered  with  the   United   States
securities  and exchange commission in accordance with subsection (b) of
section fifteen of the  securities  exchange  act  of  nineteen  hundred
thirty-four,  as  amended,  and  acting  as  a  dealer  in a transaction
described in paragraph (e) of subdivision twelve of this section,  other
than such a person, firm, company or corporation liable to file a report
or  return under article nine-A of this chapter, or article twenty-three
of this chapter, (as such article was in effect on  or  before  December
thirtieth, nineteen hundred eighty-two), shall be one hundred percent of
the  stock transfer tax incurred and paid on transactions subject to the
stock transfer tax executed by such person, firm, company or corporation
pursuant to the acceptance of an order  placed  through  an  intermarket
linkage  system developed pursuant to subsection (a) of section eleven-A
of such securities exchange act under a plan submitted by  one  or  more
national   securities  exchanges  or  national  securities  associations
registered with such securities and exchange commission occurring on and
after April seventeenth, nineteen hundred seventy-eight and on or before
September thirtieth, nineteen hundred seventy-nine, seventy  percent  of
the  tax  incurred and paid on such a transaction occurring on and after
October first, nineteen hundred seventy-nine and on or before  September
thirtieth, nineteen hundred eighty and forty percent of the tax incurred
and  paid  on  such  a transaction occurring on and after October first,
nineteen hundred eighty and on or before September  thirtieth,  nineteen
hundred  eighty-one. Notwithstanding any other provision of law, the net
amount to be rebated to any such person, firm,  company  or  corporation
under  this  subdivision with respect to stock transfer tax allowable as

rebates during  each  of  the  periods  ending  on  September  thirtieth
hereinbefore  set  forth shall not be allowed or paid prior to the first
day of the eighth month following September thirtieth of  each  of  such
periods  nor  until  the  subsequent  date  on which the commissioner of
taxation and finance  shall  next  determine  the  amount  allowable  as
rebates  pursuant to the provisions of section ninety-two-i of the state
finance law, provided, however, that the net amount to  be  allowed  for
the  April seventeenth, nineteen hundred seventy-eight through September
thirtieth, nineteen hundred seventy-eight period shall not be allowed or
paid until the last business day of June, nineteen hundred seventy-nine.
No rebate shall be allowed under this subdivision with respect to  any
stock  transfer tax incurred in a market making transaction occurring on
or after October first, nineteen hundred eighty-one. No rebate shall  be
allowed  or  paid  under  this  subdivision  for stock transfer tax paid
pursuant to section two hundred seventy-nine-a of this chapter nor shall
any rebate be allowed  or  paid  until  the  person,  firm,  company  or
corporation claiming the rebate complies with the rules, regulations and
instructions  of  the  state  tax  commission  issued under this article
including furnishing of a just and true book of account within the state
as may be required by the state tax commission.
3. Except as provided in subdivision six of this section, rebates  may
be  paid  only  upon the filing of a claim for rebate with the state tax
commission. All claims for rebate shall be presented in  such  form  and
contain   such  information  as  the  state  tax  commission,  by  rule,
regulation or instruction, shall prescribe and shall be presented within
two years after the affixing and cancelling of stock transfer tax stamps
or payment of the tax otherwise than by the use of stamps.
4. Every such claim shall include a certificate by or on behalf of the
party presenting the same to the  effect  that  it  is  just,  true  and
correct,  that  the amount of stock transfer tax stated thereon has been
paid to the state and that the amount of rebate  requested  is  actually
due  and  owing. The state tax commission, if satisfied that the tax has
actually been paid,  shall  rebate  the  same  in  accordance  with  the
provisions  of  this  section  on  the  audit  and  warrant of the state
comptroller on vouchers approved by the  commissioner  of  taxation  and
finance.
5.  The  state  tax  commission  shall grant or deny such claim in the
manner provided in section two hundred eighty of this  article  and  the
remaining  provisions of such section, relating to determination of tax,
hearing, decision of the state tax commission, the exclusive  manner  of
review  of  such  decision, and the requirement of an undertaking, shall
apply to the provisions of this section with the same force  and  effect
as  if  the  language of such section had been incorporated in full into
this section and  had  expressly  referred  to  the  rebate  under  this
section,  except  to  the  extent  that  any  such  provision  is either
inconsistent with or not relevant to this  section.  All  of  the  other
provisions of this article relating to refunds shall apply to the rebate
of tax provided for by this section in the same manner and with the same
force  and  effect  as  if  the  language  of  such  provisions had been
incorporated in full into this section and had expressly referred to the
rebates of tax provided for under this section,  except  to  the  extent
that  any such provision is either inconsistent with a provision of this
section or is not relevant to this section  and  except  that  the  term
"refund" as used in such provisions shall be read as "rebate".
6.   (a)   Notwithstanding  the  provisions  of  section  two  hundred
eighty-one-a of this chapter, the tax imposed by  this  article  may  be
paid,  and  rebates  provided  for  in  subdivisions one and two of this
section shall be allowed without the filing of  the  claim  required  by

subdivision  three of this section, in the manner and upon the filing of
the report referred to in paragraph (b) of this subdivision in the  case
where  payment  of the tax imposed by this article is made by any member
of  any  securities  exchange  or  any registered dealer who or which is
permitted or required pursuant to the provisions  of  such  section  two
hundred  eighty-one-a of this chapter to pay such tax without the use of
the stamps prescribed by this article.
(b) On the written  report  required  to  be  made  to  or  through  a
securities  exchange  located  within  this  state,  affiliated clearing
corporation or to a qualified securities  exchange,  qualified  clearing
corporation, authorized agency or the tax commission by each such member
or  dealer under such section two hundred eighty-one-a, there shall also
be shown the amount of the rebate of tax shown to be due thereon,  which
would  be  allowable  by  this section if the full amount of tax is paid
with such report. The net amount required to be paid for the account  of
the  tax  commission  to  or  through  such exchange located within this
state, affiliated clearing corporation or to such authorized agency  and
remitted  to  the tax commission pursuant to such section or such amount
required to be paid to the tax commission shall be  the  amount  of  tax
shown to be due on such written report (determined without regard to any
rebate allowable under this section) less the amount of any such rebate,
subject  to  the  provisions  of  subdivision  eight  of  this  section.
Notwithstanding the provisions of section two  hundred  eighty-one-a  of
this  article, on the next-to-the-last business day of the department of
taxation and finance in each of the months of September, December, March
and June, each such member or dealer  shall  show  on  such  report  the
aggregate amount of rebates shown daily on such report for the period of
three  full  months ending on such next-to-the-last business day. On the
last business day of each of  such  months,  an  amount  equal  to  such
aggregate  amount shall be paid by such member or dealer for the account
of the tax commission to or through such exchange  located  within  this
state, affiliated clearing corporation or authorized agency and remitted
by  such  exchange, affiliated clearing corporation or authorized agency
to the tax commission by separate check or wire transfer. The amount  so
remitted  shall  constitute  the  total  amount  of  rebates provided in
subdivisions one and two of this section payable in the manner described
in this subdivision, which  amount  shall  be  included  in  the  amount
required  to  be  paid  from  the stock transfer tax fund into the stock
transfer incentive fund on each  such  last  day  pursuant  to  sections
ninety-two-b  and  ninety-two-i  of  the  state  finance  law; provided,
however, that if such exchange located  within  this  state,  affiliated
clearing  corporation, qualified securities exchange, qualified clearing
corporation or authorized agency shall determine that the payment by any
member or dealer of any tax imposed by this article will be  jeopardized
by  delay,  it  shall  forthwith  notify  the  tax  commission  of  such
condition, or if the tax commission believes that the collection of  any
tax  will  be  jeopardized by delay, it may determine the amount of such
tax and assess the same against any such member or dealer prior  to  the
filing  of  his report and prior to the date when his report is required
to be made to an exchange located within this state, affiliated clearing
corporation,   qualified   securities   exchange,   qualified   clearing
corporation  or authorized agency. The amount so determined shall become
due and payable to the tax commission by the member  or  dealer  against
whom  such  a  jeopardy assessment is made, as soon as notice thereof is
given to  him  personally  or  by  registered  or  certified  mail.  The
provisions of section two hundred seventy-nine-a shall apply to any such
determination  except  to  the extent that they may be inconsistent with
the provisions of this subdivision. The tax  commission  may  abate  any

jeopardy  assessment  if  it  finds  that  jeopardy  does not exist. The
collection of any jeopardy assessment may be stayed by filing  with  the
tax  commission a bond issued by a surety company authorized to transact
business  in  this state and approved by the superintendent of financial
services as to solvency and responsibility, conditioned upon payment  of
the  amount  assessed, or any lesser amount to which such assessment may
be reduced by the tax  commission  or  by  a  proceeding  under  article
seventy-eight of the civil practice law and rules as provided in section
two  hundred seventy-nine-a of this chapter such payment to be made when
the assessment or any such reduction thereof shall have become final and
not subject to further review. If such a bond is filed and thereafter  a
proceeding  under  article  seventy-eight  of the civil practice law and
rules is commenced as provided in section  two  hundred  seventy-nine-a,
deposit  of  the  taxes  assessed  shall  not be required as a condition
precedent to the commencement  of  such  proceeding.  Where  a  jeopardy
assessment  is  made,  any property seized for the collection of the tax
shall not be sold (i) until expiration  of  the  time  to  apply  for  a
hearing  as  provided  in  such section, and (ii) if such application is
timely filed,  until  the  expiration  of  ninety  days  after  the  tax
commission mailed notice of its determination to the person against whom
the  assessment is made; provided, however, such property may be sold at
any time if such person has failed to attend a hearing of which  he  has
been  duly  notified,  or  if  he  consents  to  the sale, or if the tax
commission determines that the expenses of conservation and  maintenance
will  greatly reduce the net proceeds, or if the property is perishable.
The amount of any and all rebates of the tax  imposed  by  this  article
paid  pursuant  to  this  paragraph  shall  be  credited or caused to be
credited by such exchange located within this state, affiliated clearing
corporation,   qualified   securities   exchange,   qualified   clearing
corporation  or  authorized agency to or for the benefit of the taxpayer
incurring liability for such tax.
(c) If a rebate is paid in the manner provided in this subdivision, no
further rebate shall be allowable but any stock transfer tax paid  to  a
member  or  dealer by a taxpayer otherwise entitled to rebate under this
section shall be paid by such member or dealer to the taxpayer.
(d) The amounts of the rebates provided for under subdivisions one and
two of this section paid in the  manner  provided  in  this  subdivision
shall  be  shown  separately  on  all  reports  prescribed  by  the  tax
commission  under  such  section  and  shall  be   evidenced   by   such
certification as the tax commission may prescribe.
(e)  The  tax  commission  may  require  any such member or registered
dealer to file with the department of taxation and finance a bond issued
by a surety company approved by the superintendent of financial services
as to solvency and responsibility and authorized to transact business in
the state, in such amount as the tax commission may fix, to  secure  the
payment  of any taxes due from such member or dealer pursuant to section
two hundred eighty-one-a. The tax commission may  require  that  such  a
bond be filed before any tax due under this article from any such member
or  dealer  may  be  reported  and  paid  under  the  provisions of this
subdivision, or at any time when in its judgment the same  is  necessary
as  a  protection  to  the  revenues under this article. In lieu of such
bond, such member or dealer may deposit securities approved by  the  tax
commission,  in  such amount as it may prescribe, which securities shall
be kept in the joint custody of the comptroller and the commissioner  of
taxation and finance and may be sold by the tax commission if it becomes
necessary  so  to  do  in order to recover any sums due from such person
pursuant to this article; but no such sale shall  be  held  until  after
such  person  shall have had opportunity to litigate the validity of any

tax if it elects so to do. Upon any such  sale,  the  surplus,  if  any,
above  the sums due under this article, shall be returned to such member
or dealer.
7. If the commissioner of taxation and finance makes the determination
that  rebates  payable  exceed  moneys  available  in the stock transfer
incentive fund for paying such rebates and if any member or dealer shall
advance and pay the amount of  tax,  imposed  by  this  article  without
taking  account  of  rebates,  either for himself or for which any other
taxpayer is entitled to claim a rebate pursuant  to  the  provisions  of
subdivision six of this section, such member or dealer shall be entitled
to  a  rebate  for  the  amount  of such tax advanced and paid by him on
behalf of such other taxpayer in the amount of the rebate  allowable  to
such  taxpayer  and  in  the  amount  of the rebate allowable to himself
whenever  such  commissioner  determines  that  sufficient   funds   are
available in the stock transfer incentive fund for paying such rebate.
8.  The  amount  of  any erroneous or excessive rebate paid or allowed
under this section may be determined by the state tax commission and may
be recovered from such claimant in the same  manner  as  a  tax  imposed
under this article, provided, however, that any such determination shall
be  made within five years after the date of such erroneous or excessive
rebate.
9. Any taxpayer, broker or dealer who or which files or causes  to  be
filed any claim for or report of rebate permitted or required under this
article which is willfully false shall be guilty of a felony.
10. If any part of any claim for or report of rebate of stock transfer
tax  is  false  or  fraudulent, any person who files such claim or makes
such report shall, in addition to any other penalties provided  by  this
article,  be  subject  to a penalty of five hundred dollars for each and
every violation. The state tax commission may determine  the  amount  of
any  such  penalty  to be due from any such person in the same manner as
the tax imposed by  this  article,  provided,  however,  that  any  such
determination shall be made at any time.
11.  The  state  tax  commission  shall make rules and regulations and
issue instructions to effectuate the purposes of  this  section  and  to
provide  for  payments  to  and  from  and  administration  of the stock
transfer tax fund and the stock transfer incentive fund and  shall  have
all  the  rights  and  powers  as  set  forth  in  section  two  hundred
seventy-six of this article to examine transactions and require  records
to  be  kept  and declarations and certifications to be made and kept as
may be required for such purposes. If any member or dealer described  in
subdivision  six  of  this  section  shall violate any provision of this
section or any reasonable rule, regulation or instruction made or issued
pursuant  thereto,  such  member  or  dealer  may  upon  notice  thereof
thereafter  be  denied rebates by the state tax commission in accordance
with rules and regulations promulgated  by  such  commission.  Provided,
that  nothing  herein  shall  limit the right to file a claim for rebate
under this section.
12. For the purposes of this section the following  terms  shall  have
the following meanings:
(a)  A  "nonresident" shall mean an individual or group of individuals
jointly owning securities (but including partnerships only if  organized
and operating solely for the purpose of investing in securities) selling
or  trading  or  delivering or transferring on his or their own account,
who is not, or no one of whom is, a resident.
(b) A "resident" means an individual who on the day upon which the tax
imposed by section two hundred seventy of this chapter accrues,
(1) regardless of where he resides or is domiciled, (i) is a member of
a securities exchange within this state which  is  registered  with  the

securities  and  exchange  commission  of  the  United States; (ii) is a
dealer in securities required to be registered with the attorney general
of the state of New York; (iii) acts as a dealer in securities or  as  a
broker  or  agent  in  transactions  concerned  with the sale, purchase,
delivery or transfer of securities; or (iv) is a member of or  a  person
employed  in  a  managerial  capacity by a firm, company, association or
organization, or an officer or director of or a  person  employed  in  a
managerial  capacity by a corporation, which is a member organization of
a securities exchange, a dealer in securities, or a  dealer,  broker  or
agent, described in clause (i), (ii) or (iii) of this subparagraph, or
(2)  is  domiciled  in this state, unless on such day he maintained no
permanent place of abode in this state, maintained a permanent place  of
abode  elsewhere and during the one year period ending on such day spent
in the aggregate, not more than thirty  days  of  such  period  in  this
state, or
(3) is not domiciled in this state, but on such day maintained in this
state,  a  permanent  place  of abode unless such abode is due solely to
such individual's being in the armed forces of the United States, or
(4) regardless of where he resides, maintains  a  permanent  place  of
business within this state or is employed within this state.
(c) No transaction shall be deemed to be a nonresident transaction and
entitled  to  the  rebate payable or allowable in subdivision two unless
(1) the papers or documents upon or to which are required to  be  placed
or  affixed  the  stamps  required  by  subdivision  four of section two
hundred seventy of this chapter, to denote the  payment  of  the  proper
amount  of  the tax imposed by such section to the state tax commission,
have also affixed thereto or placed thereon a declaration  in  the  form
prescribed by the tax commission signed by the person making the sale or
transfer,  setting forth facts to show that the transaction is made by a
nonresident; or (2) in the case of  transactions  executed  or  effected
within  this  state  (or  transactions executed or effected outside this
state but subject to the tax imposed by this article) by any  member  or
member organization of any securities exchange located within this state
or  of  any  qualified  securities exchange which is registered with the
securities and exchange commission of the United States (hereinafter  in
this  section  referred to as a "member of a securities exchange") or by
any person, firm, corporation, company or  association  required  to  be
registered  with  the  attorney  general  of  the state of New York as a
dealer in securities other than upon any such exchange  (hereinafter  in
this  section referred to as a "registered dealer"), who is permitted or
required pursuant to any rules and regulations promulgated  by  the  tax
commission   pursuant   to   the   provisions  of  section  two  hundred
eighty-one-a of this chapter, to pay the tax  imposed  by  this  article
without   the  use  of  the  stamps  prescribed  by  this  article,  the
transaction is certified,  in  such  form  as  the  tax  commission  may
prescribe, in the report required to be made to or through such exchange
located  within this state, or its affiliated clearing corporation or to
a qualified securities exchange, qualified clearing corporation  or  any
authorized  agency  by  rules  and  regulations  promulgated  by the tax
commission pursuant to section two hundred eighty-one-a of this chapter,
as being a transaction by  a  nonresident.  The  certification  in  such
report may be made by such member of a securities exchange or registered
dealer if he either (i) has obtained from such nonresident a declaration
in  the  form  prescribed  by  the  tax  commission,  or  (ii)  has  met
requirements set forth in rules and regulations promulgated by  the  tax
commission  establishing  that  the transaction is made by a nonresident
and (iii) has not, on or after the date of obtaining such declaration or
its delivery and filing, received from such nonresident either a  notice

of  cancellation, in the form prescribed in clause (iii) of subparagraph
two of paragraph (d)  of  this  subdivision,  or  has  no  knowledge  or
reasonable  grounds  to believe that the status of such nonresident as a
nonresident has changed.
(d)  (1)  Any person who shall knowingly make any false statement in a
declaration provided for by paragraph (c) of this subdivision  shall  be
guilty of a misdemeanor and upon conviction thereof shall be liable to a
fine  of  not less than five hundred nor more than one thousand dollars,
or be imprisoned for not more than one year, or be subject to both  such
fine and imprisonment, in the discretion of the court.
(2) Any person who--
(i)  having  executed,  filed  with  and  delivered  to  a member of a
securities exchange or a registered dealer a declaration provided for by
paragraph (c) of this subdivision;
(ii) thereafter ceases knowingly to be a nonresident;
(iii) fails to execute, file and deliver a notice of  cancellation  of
such declaration, with and to such member or dealer; and
(iv)  after  ceasing  to  be  such  a  nonresident  and  prior  to the
execution, filing and delivery of  such  notice  of  cancellation,  with
intent  to  cause  a rebate to be made from the stock transfer incentive
fund in excess of the rebate allowable to  residents  under  subdivision
one of this section, places and allows to be executed an order with such
member  or dealer where the sale, agreement to sell, memorandum of sale,
delivery or transfer of any shares or certificates described in  section
two  hundred  seventy of this chapter is subject to the taxes imposed by
this chapter; shall be guilty  of  a  misdemeanor  and  upon  conviction
thereof shall be liable to a fine of not less than five hundred nor more
than  one thousand dollars, or be imprisoned for not more than one year,
or be subject to both such fine and imprisonment, in the  discretion  of
the court.
(e)  The  term  "market making transaction" shall mean any transaction
involving a sale (including a short sale)  by  a  dealer  of  shares  or
certificates  subject  to the tax imposed by this article, provided such
shares or certificates are sold:
(1) as stock in trade or inventory or as property held for sale in the
ordinary course of such dealer's trade or business (including  transfers
which are part of an underwriting),
(2)  in  (i) a bona fide arbitrage transaction; (ii) a bona fide hedge
transaction involving a long or short position in  any  equity  security
and  a  long  or  short  position  in a security entitling the holder to
acquire or  sell  such  equity  security;  or  (iii)  a  risk  arbitrage
transaction  in  connection  with  a  merger, acquisition, tender offer,
recapitalization, reorganization, or similar transaction, or
(3) to offset a transaction made in error.
Provided, however, that, except as to clause (iii) of subparagraph two
of this paragraph,  the  term  "market  making  transaction"  shall  not
include  any  sale of shares or certificates identified in such dealer's
records as a security held for investment within the meaning of  section
twelve hundred thirty-six of the internal revenue code.
13.  The state tax commission may provide that where a declaration has
been executed, filed and delivered to a member of a securities  exchange
or  a  registered  dealer  under  subdivision one of section two hundred
seventy-a of this article and kept by such member or dealer pursuant  to
rules,  regulations  and  instructions of the state tax commission, such
declaration shall constitute the declaration of  the  nonresident  under
subdivision twelve of this section.
14.  Where there has been a determination of the maximum amount of tax
on a single qualifying sale under section two hundred seventy-e of  this

chapter,  the  foregoing  provisions  of this section shall not apply to
such a single qualifying sale  until  October  first,  nineteen  hundred
seventy-nine and thereafter, provided, however, for the period beginning
October  first,  nineteen  hundred  seventy-nine  and  ending  September
thirtieth, nineteen hundred eighty, the portion of the maximum amount of
tax to be rebated on such single qualifying sale shall not exceed thirty
percent.
15. (a) For the purpose of allowing  the  rebate  authorized  by  this
section to a taxpayer, other than a taxpayer regarding which subdivision
six of this section is applicable, any person liable for the tax imposed
by  this  article  who  or  which  purchases stamps issued to denote the
payment of the tax imposed by this article or any agent  of  a  taxpayer
who purchases such stamps, provided such purchase was made from a fiscal
agent  appointed  for  the  sale  of  such  stamps, may claim the rebate
authorized by subdivision one of this section by filing a claim in  such
form  and  containing  such  information as the state tax commission, by
rule, regulation or instruction shall prescribe,  but  all  such  claims
under  this  subdivision  shall  be presented within two years after the
purchase of such stamps, provided, however,  all  such  claims  must  be
accompanied  by  the  receipt  for  the  purchase  of stamps in the form
approved by the tax commission. The tax commission,  if  satisfied  that
the  moneys  from  the  purchase  of such stamps have been paid from the
stock transfer tax fund into the stock transfer  incentive  fund,  shall
rebate  the  same  to  the  person  or agent who or which purchased such
stamps from such fund. All of  the  other  provisions  of  this  section
regarding  rebates  shall  apply to the method of rebate of tax provided
for by this subdivision in the same manner and with the same  force  and
effect  as  if  the language of such provisions had been incorporated in
full into this subdivision and had expressly referred to the  claim  for
rebate  of  tax  provided  for by this subdivision, except to the extent
that any such provision is either inconsistent with a provision of  this
section or is not relevant to this subdivision.
(b) If a rebate is paid in the manner provided in this subdivision, no
further  rebate  shall  be  allowable  under  this section but any stock
transfer tax paid by a taxpayer otherwise entitled to rebate under  this
section  shall  be  paid  to  such  taxpayer  by the claimant under this
subdivision.
(c) If a rebate is paid in the manner provided  by  this  subdivision,
any  refund  or redemption allowable by this article shall be reduced by
the amount of rebate allowed and paid pursuant to this subdivision,  any
other provision of this article to the contrary notwithstanding.
(d)  The  state tax commission shall have all the rights and powers as
set forth in section two hundred seventy-six of this article to  examine
transactions  and  require  records  to  be  kept by claimant under this
subdivision as if such claimant was a person required to comply with the
provisions of such section two hundred seventy-six.
(e) If any person liable for the tax or  any  agent  of  the  taxpayer
shall  violate any provision of this subdivision or any reasonable rule,
regulation or instruction made or issued pursuant thereto,  such  person
or agent may upon notice thereof thereafter be denied rebates under this
subdivision  by  the  state  tax commission in accordance with rules and
regulations promulgated  by  such  commission.  Provided,  that  nothing
herein  shall  limit  the  right  to  file  a  claim  for  rebate  under
subdivision three of this section.
(f)  If  the  commissioner  of  taxation   and   finance   makes   the
determination  that rebates payable exceed moneys available in the stock
transfer incentive fund for paying such rebates and if any person liable
for the tax imposed by this article or any agent of the  taxpayer  shall

have  purchased  stamps to pay the amount of tax imposed by this article
without charging the  taxpayer  or  principal  for  the  amount  of  the
rebatable  portion of the cost of such stamps allowable to such taxpayer
or  principal at the time of purchase of such stamps, such person liable
for the tax or such agent  shall  be  entitled  to  a  rebate  for  such
rebatable portion of such tax advanced and paid by him on behalf of such
other  taxpayer  in  the amount of the rebate allowable to such taxpayer
and in the amount of any  rebate  allowable  to  himself  whenever  such
commissioner determines that sufficient funds are available in the stock
transfer incentive fund for paying such rebate.