2023 New York Laws › TAX - Tax › Article 8 - Department of Taxation and Finance; Commissioner of Taxation and Finance › 171-L - Certain Overpayments Credited Against Outstanding Tax Debt Owed to the City of New York.

§  171-1.  Certain  overpayments credited against outstanding tax debt
owed to the city of New York. (1) For the purposes of this section:
(a)  "taxpayer"  shall  mean  a  corporation,  association,   company,
partnership,  estate,  trust,  liquidator,  fiduciary or other entity or
individual who or which is  liable  for  any  tax  or  other  imposition
imposed  by  or  pursuant  to  article nine, nine-A, twenty-two, thirty,
thirty-A, thirty-B or thirty-three of this chapter, which tax  or  other
imposition  is administered by the commissioner of taxation and finance,
or who or which is under a duty to perform an act under or  pursuant  to
such   tax   or  imposition,  excluding  a  state  agency,  a  municipal
corporation or a district corporation;
(b) "overpayment" shall mean an overpayment which has  been  requested
or  determined  to be refunded, a refund or a reimbursement, of a tax or
other imposition  imposed  by  or  pursuant  to  article  nine,  nine-A,
twenty-two,  thirty, thirty-A, thirty-B or thirty-three of this chapter,
which is administered by the commissioner of taxation and finance; and
(c) "city of New York tax warrant judgment debt," shall mean tax  debt
owed to the city of New York that is the subject of a tax warrant issued
by  the  city of New York department of finance and docketed pursuant to
the provisions of title eleven of the administrative code of the city of
New York and that remains outstanding.
(2) The commissioner of  taxation  and  finance  shall  enter  into  a
written  agreement  with  the commissioner of finance of the city of New
York, which shall set forth the procedures for crediting any overpayment
by a taxpayer and the interest thereon against  city  of  New  York  tax
warrant judgment debt owed by such taxpayer of which the commissioner of
taxation  and  finance  has  been  notified  by  the  city  of  New York
commissioner of finance pursuant to the provisions of such agreement.
(3) Such agreement shall include:
(a) the procedure under which the city of  New  York  commissioner  of
finance  shall  notify  the  commissioner  of  taxation  and  finance of
liability for city of New York tax  warrant  judgment  debt,  specifying
when  the  commissioner  of  taxation  and finance will be notified, the
information to be contained in such notification and the form and format
to be used for such notification;
(b) the fee, if not waived, for reimbursement of the  commissioner  of
taxation  and  finance by the city of New York department of finance for
the full cost of carrying out the procedures authorized by this section;
(c) the minimum period of delinquency of the  city  of  New  York  tax
warrant  judgment  debt,  and the minimum amount of the past due city of
New York tax warrant judgment debt against  which  the  commissioner  of
taxation  and  finance  shall,  pursuant  to  this  section,  credit  an
overpayment;
(d) the procedure for transferring the overpayments to the city of New
York department of finance so the overpayments can be applied to  credit
the past due city of New York tax warrant judgment debt;
(e)  the procedure for reimbursement of the comptroller by the city of
New York department of finance for any overpayment and interest  thereon
which  has  been  credited against city of New York tax warrant judgment
debt owed by a taxpayer, but which was paid by the taxpayer prior to the
overpayment being applied;
(f) the procedure for reimbursement of the comptroller by the city  of
New  York department of finance for any overpayment and interest thereon
which has been credited against city of New York  tax  warrant  judgment
debt  owed  by  a  taxpayer  filing  a  joint return, but which has been
refunded by the comptroller, pursuant to paragraph six of subsection (b)
of section six hundred fifty-one of this chapter, to a spouse not liable

for the city of  New  York  tax  warrant  judgment  debt  owed  by  such
taxpayer;
(g) a provision to the effect that if a taxpayer owes past-due legally
enforceable debt that has been certified to the commissioner of taxation
and finance for collection pursuant to section one hundred seventy-one-f
of  this article and city of New York tax warrant judgment debt that has
been  certified  to  the  commissioner  of  taxation  and  finance   for
collection  pursuant  to this section, then the overpayment and interest
thereon shall be credited against the debts in the order  in  which  the
debts  accrued.  The city of New York tax warrant judgment debt shall be
deemed for purposes of this section to  have  accrued  at  the  time  of
docketing of the tax warrant; and
(h)  such  other  matters  as the parties to such agreement shall deem
necessary to  carry  out  the  provisions  of  this  section,  including
provisions relating to the notice to be given to the taxpayer.
(4)(a)  In  calculating  the  amount  of  an  overpayment and interest
thereon that shall be credited against city  of  New  York  tax  warrant
judgment  debt  owed  by  a  taxpayer  that  has  been  certified to the
commissioner of taxation and finance for  collection  pursuant  to  this
section, the commissioner of taxation and finance shall first credit the
overpayment and interest thereon against any:
(i)  liability  of  such  taxpayer  in  respect  of  any  tax or other
imposition imposed by this chapter and administered by the  commissioner
of taxation and finance;
(ii)  liability  of  such taxpayer for any tax imposed pursuant to the
authority of this chapter or any other law if such tax  is  administered
by the commissioner of taxation and finance;
(iii)  estimated  tax  for the succeeding taxable year if the taxpayer
claims such overpayment  or  a  portion  thereof  as  a  credit  against
estimated  tax  for  such succeeding taxable year pursuant to subsection
(e) of section six hundred eighty-six or subsection (b) of  section  one
thousand  eighty-six  of  this  chapter  or  subdivision  (e) of section
11-1786 of the administrative code of the city of New York  or  for  any
tax  imposed  pursuant to the authority of this chapter or any other law
if such tax is administered by the commissioner of taxation and finance;
(iv) past-due support owed by the taxpayer  pursuant  to  section  one
hundred seventy-one-c of this article;
(v)  unreimbursed medical assistance paid on behalf of a child payable
pursuant to section three hundred sixty-seven-a of the  social  services
law; and
(vi)  the  amount  of  a default in repayment of a state university or
city university loan pursuant to section one  hundred  seventy-one-e  of
this article.
(b) Only the balance remaining, after the overpayment and the interest
thereon  has  been  credited  as  described  in  paragraph  (a)  of this
subdivision, shall be certified to the  comptroller  as  an  overpayment
plus  any  interest  to be credited, in accordance with paragraph (g) of
subdivision three of this section, against city of New York tax  warrant
judgment  debt  that  has been certified to the commissioner of taxation
and finance for collection pursuant to  this  section,  and/or  past-due
legally  enforceable debt that has been certified to the commissioner of
taxation and finance for collection  pursuant  to  section  one  hundred
seventy-one-f  of this article, with the remainder to be refunded to the
taxpayer if such remainder is not required to satisfy the  amount  of  a
default  in  repayment  of a guaranteed student loan pursuant to section
one hundred seventy-one-d of this article. If a taxpayer  owes  city  of
New  York  tax  warrant  judgment  debt  that  has been certified to the
commissioner of taxation and finance for  collection  pursuant  to  this

section and past-due legally enforceable debt that has been certified to
the  commissioner  of  taxation  and  finance for collection pursuant to
section one hundred seventy-one-f of this article, then the  overpayment
and interest thereon shall be credited against the debts in the order in
which the debts accrued.
(5)  The  commissioner  of  taxation  and finance shall certify to the
comptroller the amount of each overpayment and the interest  thereon  to
be  credited against city of New York tax warrant judgment debt, and the
balance, if any, of each such overpayment and interest to be refunded to
the taxpayer.
(6) The  commissioner  of  taxation  and  finance  shall  notify  each
taxpayer  who  makes  an  overpayment, in writing, of the amount of such
overpayment and the interest thereon certified to the comptroller as the
amount to be credited against city of  New  York  tax  warrant  judgment
debt. Such notice shall include notification to any other person who may
have  filed  a  joint  return  with the taxpayer of the steps such other
person may take in order to secure  his  or  her  proper  share  of  the
refund.
(7) From the time the commissioner of taxation and finance is notified
by  the city of New York department of finance of a taxpayer's liability
for city of New York tax  warrant  judgment  debt  under  the  agreement
provided  for  in this section, the commissioner of taxation and finance
shall be relieved from all liability  to  such  taxpayer,  its  assigns,
successors,  heirs  or  representatives for the amount of an overpayment
and interest thereon certified to the comptroller to be credited against
city of New York tax warrant judgment debt and the taxpayer  shall  have
no  right to commence a court action or proceeding or to any other legal
recourse against the commissioner of taxation  and  finance  to  recover
such  overpayment or interest thereon certified to the comptroller to be
credited against city of New York tax warrant judgment  debt.  Provided,
however,  nothing  herein  shall  be construed to prohibit such taxpayer
from proceeding against the city of New York department  of  finance  to
recover  that  part of such overpayment or interest thereon so certified
to the comptroller to be credited against city of New York  tax  warrant
judgment  debt  that  is greater than the amount of city of New York tax
warrant judgment debt  owed  by  such  taxpayer  on  the  date  of  such
certification.
(8)  The commissioner of taxation and finance and the city of New York
department of finance may promulgate such rules and regulations as  they
deem necessary to carry out the provisions of this section.