2023 New York Laws › TAX - Tax › Article 12 - Tax on Transfers of Stock and Other Corporate Certificates › 281-A - Alternative Method of Collection.

§  281-a.   Alternative method of collection.  1.  Notwithstanding any
other provisions of this article,  the  tax  commission  may  by  rules,
regulations  or  instructions  provide  that  the  taxes imposed by this
article on any sale, delivery or transfer executed  or  effected  within
this  state by any member of any securities exchange located within this
state which is registered with the securities and exchange commission of
the United States or by any member of a  qualified  securities  exchange
shall  be  paid to or through such exchange located within this state or
in the discretion of the tax commission to  or  through  its  affiliated
clearing  corporation  by  the  person,  firm,  company  or  association
executing or effecting the sale, delivery or transfer, without  the  use
of  the  stamps  prescribed by this article; provided that if such taxes
are paid through such exchange located within this state or  through  an
affiliated  clearing  corporation,  payment by any member of a qualified
securities exchange shall be made to a qualified securities exchange  or
a qualified clearing corporation which has agreed to abide by the rules,
regulations  and  instructions of the state tax commission and which the
commission has authorized to  accept  payment  and  any  such  qualified
securities  exchange  or  qualified  clearing corporation shall pay such
taxes to such exchange located  within  this  state  or  its  affiliated
clearing  corporation.  The taxes imposed by this article on any sale or
transfer executed or effected within this state  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, may also be paid without the use of
the stamps prescribed by this article, under such rules and  regulations
as  the  tax  commission may prescribe, to any agency duly authorized by
the tax commission or to  the  tax  commission,  by  the  person,  firm,
company,  corporation or association executing or effecting such sale or
transfer without the use of the stamps prescribed by this article.    In
such  event,  a  written  report  shall be made to such exchange located
within this state, affiliated clearing corporation, authorized agency or
the tax commission for each business day  or  such  period  as  the  tax
commission  may  prescribe,  by  each  such  person,  corporation, firm,
company or  association  showing  the  amount  of  tax  payable  on  all
transactions  taxable  under  this  article  and  such  other reasonable
information as the tax commission may prescribe, provided, however, that
if such taxes are paid through such exchange located within  this  state
or  its  affiliated  clearing  corporation  by  a  member of a qualified
securities exchange, such written report shall be made to the  qualified
securities   exchange   or  qualified  clearing  corporation,  and  such
qualified securities exchange or qualified  clearing  corporation  shall
render  a  report  to  such  exchange  located  within this state or its
affiliated clearing  corporation  through  which  such  taxes  are  paid
showing the amount of tax payable on all transactions taxable under this
article  and such other reasonable information as the tax commission may
prescribe.  Such reports shall be preserved for such period as  the  tax
commission  may  prescribe.    At  the  time of making such reports, the
amount of tax shown  to  be  due  thereon  shall  be  paid  to  the  tax
commission  or  for the account of the tax commission to or through such
exchange located within this state, affiliated clearing  corporation  or
authorized   agency  and  shall  be  remitted  daily,  unless  otherwise
prescribed by the tax commission, by such exchange, affiliated  clearing
corporation  or  authorized agency to the tax commission together with a
report in such form as may be prescribed by the  tax  commission.    The
payment  of  the  tax  to  or  through  an exchange, affiliated clearing
corporation, authorized agency or the tax commission on each transaction
as hereinbefore provided shall be evidenced by a certification  in  such

form  and manner as the tax commission may prescribe.  In the event that
collection of the tax  is  prescribed  without  the  use  of  stamps  as
hereinbefore  provided,  all  of  the  provisions  of  this  article not
inconsistent with this section shall apply.
2.    For  the purposes of this article the following terms shall have
the following meanings:   (a)    An  "affiliated  clearing  corporation"
shall,  if  it has a place of business in this state, include a clearing
corporation as defined in section 8--102 of the uniform commercial  code
and  a  clearing  corporation  affiliated  with  a  national  securities
exchange or association registered  with  the  securities  and  exchange
commission  of  the United States, and the persons, firms, corporations,
companies or associations by whom taxes may be paid without the  use  of
stamps  may, in the discretion of the tax commission, include depositors
in the system maintained by such clearing corporation.
(b)  A "qualified securities exchange" shall  include  any  securities
exchange   located   outside  this  state  or  any  national  securities
association  which  is  registered  with  the  securities  and  exchange
commission  of  the  United  States  and  which  is  a participant in an
intermarket linkage system in which  one  or  more  national  securities
exchanges located within this state is a participant of such system.
(c)    A  "qualified  clearing  corporation"  shall include a clearing
corporation as defined in section 8--102 of the uniform commercial  code
which is affiliated with a qualified securities exchange.