2023 New York Laws › VIL - Village › Article 5 - Finances › 5-530 - Villages Authorized to Impose Taxes on Utilities.

§  5-530  Villages  authorized  to  impose  taxes  on  utilities.   1.
  Notwithstanding any other provisions of law to the contrary, any village
  is hereby authorized  and  empowered  to  adopt  and  amend  local  laws
  imposing  in  any  such village a tax such as was imposed by section one
  hundred eighty-six-a of  the  tax  law,  in  effect  on  January  first,
  nineteen  hundred  fifty-nine,  except  that  the rate thereof shall not
  exceed one per centum of gross income or of gross operating  income,  as
  the  case  may  be, and may make provision for the collection thereof by
  the chief fiscal  officer  of  such  village;  provided,  however,  that
  nothing herein contained shall be construed so as to prevent any village
  from  adopting  local  laws exempting from such tax omnibus corporations
  subject to the supervision of the state  department  of  public  service
  under  article three-a of the public service law. A tax imposed pursuant
  to this section shall  have  application  only  within  the  territorial
  limits  of  any  such  village,  and shall be in addition to any and all
  other taxes. This section shall not authorize the imposition of a tax on
  any transaction originating or consummated outside  of  the  territorial
  limits of any such village, notwithstanding that some act be necessarily
  performed with respect to such transaction within such limits.
2.  Revenues resulting from the imposition of taxes authorized by this
  section heretofore or hereafter imposed shall be paid to  the  treasurer
  of the village imposing the same, and shall be credited to and deposited
  in the general fund of such village.
3.  All  of  the provisions of section one hundred eighty-six-a of the
  tax law, so far as the same are or can be  made  applicable,  with  such
  limitations  as are set forth in this section, and such modifications as
  may be necessary in order to adapt such taxes to local conditions  shall
  apply to the taxes authorized by this section.
4.  Notwithstanding any other provisions of this section or of section
  one hundred eighty-six-a of the tax law, the words "gross income"  shall
  include:
a.  In the case of a utility engaged in selling telephony or telephone
  service, only receipts from local exchange  service  wholly  consummated
  within the village; and
b. In the case of a utility engaged in selling telegraphy or telegraph
  service,  only  receipts from transactions wholly consummated within the
  village.
5. Any final determination of the amount of any tax payable  hereunder
  shall be reviewable for error, illegality, or unconstitutionality or any
  other  reason  whatsoever by a proceeding under article seventy-eight of
  the civil practice law and rules if the proceeding is  commenced  within
  ninety  days after the giving of the notice of such final determination;
  provided,  however,  that  any  such  proceeding  under   said   article
  seventy-eight  shall  not  be  instituted  unless  the amount of any tax
  sought to be reviewed, with such interest and penalties thereon  as  may
  be  provided  for  by local law, ordinance or resolution, shall be first
  deposited and an  undertaking  filed,  in  such  amount  and  with  such
  sureties  as  a justice of the supreme court shall approve to the effect
  that if such proceeding be dismissed or the tax confirmed the petitioner
  will pay all costs and charges which may accrue in  the  prosecution  of
  such proceeding.
6.  Where  any  tax  imposed  hereunder  shall  have been erroneously,
  illegally or unconstitutionally collected and application for the refund
  thereof duly made to the proper fiscal officer  or  officers,  and  such
  officer or officers shall have made a determination denying such refund,
  such  determination  shall  be  reviewable by a proceeding under article
  seventy-eight of the civil practice law and  rules,  provided,  however,
  that such proceeding is commenced within ninety days after the giving of

  the notice of such denial, that a final determination of tax due was not
  previously made, and that an undertaking is filed with the proper fiscal
  officer  or  officers in such amount and with such sureties as a justice
  of the supreme court shall approve to the effect that if such proceeding
  be dismissed or the tax confirmed, the petitioner will pay all costs and
  charges which may accrue in the prosecution of such proceeding.
7.  Except  in the case of a willfully false or fraudulent return with
  intent to evade the tax, no assessment of additional tax shall  be  made
  with  respect  to taxes imposed under this section, after the expiration
  of more than three years from the  date  of  the  filing  of  a  return,
  provided,  that  where no return has been filed as provided by local law
  the tax may be assessed at any time.