N.Y. Tax Law § 1120 — Refunds and credits with respect to motor fuel and diesel motor fuel

§ 1120. Refunds and credits with respect to motor fuel and diesel\nmotor fuel. (a) Retail vendor. (1) A vendor of motor fuel or diesel\nmotor fuel who or which is required to collect the taxes imposed by\nsubdivision (a) of section eleven hundred five of this article and any\nlike tax imposed pursuant to the authority of article twenty-nine of\nthis chapter shall be allowed a refund or credit against the amount of\ntax collected and required to be remitted to the commissioner pursuant\nto the provisions of section eleven hundred thirty-seven of this article\nupon the retail sale of motor fuel or diesel motor fuel in the amount of\nthe tax on such fuel prepaid by or passed through to and included in the\nprice paid by such vendor pursuant to the provisions of section eleven\nhundred two of this article.\n (2) A refund or credit shall also be allowed such vendor for the tax\nprepaid by or passed through to and included in the price paid by such\nvendor upon any motor fuel or diesel motor fuel pursuant to the\nprovisions of section eleven hundred two of this article if such fuel is\nsold at retail by such vendor under circumstances where the taxes\nimposed by section eleven hundred five of this article and pursuant to\nthe authority of article twenty-nine of this chapter are not required by\nthe provisions of this article to be collected and remitted upon\nreceipts from a retail sale thereof.\n (b) Retail user. A purchaser, user or consumer of motor fuel or diesel\nmotor fuel at retail who or which is required to pay the tax imposed by\nsection eleven hundred ten of this article and any like tax imposed\npursuant to the authority of article twenty-nine of this chapter with\nrespect to the purchase of or the use or consumption of such fuel shall\nbe allowed a credit against such tax required to be paid to the\ncommissioner pursuant to such section and article in the amount of the\ntax prepaid by or passed through to and included in the price paid by\nsuch purchaser, user or consumer pursuant to the provisions of section\neleven hundred two of this article.\n (c) Self-use of motor fuel or diesel motor fuel purchased at\nwholesale. A refund or credit equal to the amount of tax prepaid by or\npassed through to and included in the price paid by a purchaser, user or\nconsumer pursuant to the provisions of section eleven hundred two of\nthis article with respect to a purchase of motor fuel or diesel motor\nfuel other than at retail shall be allowed such purchaser, user or\nconsumer upon the use or consumption of such fuel at retail if the\nacquisition of such fuel by the purchaser, user or consumer would have\notherwise been exempt pursuant to section eleven hundred five-A, eleven\nhundred fifteen or eleven hundred sixteen of this article but for the\nprovisions of the last sentence of subdivision (c) of section eleven\nhundred two and subdivision (j) of section eleven hundred fifteen or of\nsuch last sentence and paragraph five of subdivision (b) of section\neleven hundred sixteen of this article. Also, a refund or credit shall\nbe allowed equal to the difference between the amount of tax prepaid by\nor passed through to and included in the price paid by a purchaser, user\nor consumer pursuant to the provisions of section eleven hundred two of\nthis article with respect to a purchase of diesel motor fuel other than\nat retail and the aggregate of the amount of tax that would have been\nimposed if measured by the applicable rate specified in section eleven\nhundred five-A of this article and the amount of tax that would have\nbeen imposed if measured by the applicable rate specified in section\ntwelve hundred ten of article twenty-nine upon diesel motor fuel which\nis used for residential heating purposes if the purchase, use or\nconsumption would have otherwise been subject to such lower rate of tax\npursuant to such section eleven hundred five-A but for the last sentence\nof subdivision (a) of such section eleven hundred five-A or pursuant to\nsection twelve hundred ten but for the last sentence of subparagraph (i)\nof paragraph three of subdivision (a) of such section twelve hundred\nten.\n (d) Purchase of motor fuel or diesel motor fuel at retail by an exempt\norganization. A refund or credit equal to the amount of tax imposed\npursuant to section eleven hundred five of this article and any like tax\nimposed pursuant to the authority of article twenty-nine of this chapter\nupon the sale of motor fuel or diesel motor fuel and paid by a purchaser\nshall be allowed such purchaser if the purchase, use or consumption of\nsuch fuel would have otherwise been exempt pursuant to section eleven\nhundred fifteen or eleven hundred sixteen of this article but for the\nprovisions of subdivision (j) of section eleven hundred fifteen or\nparagraph five of subdivision (b) of section eleven hundred sixteen of\nthis article. Also, there shall be allowed a refund or credit equal to\nthe difference between the amount of tax actually imposed pursuant to\nsection eleven hundred five of this article and the amount of tax that\nwould have been imposed as measured by the applicable rate specified in\nsection eleven hundred five-A of this article and a refund or credit\nequal to the difference between the tax actually imposed pursuant to the\nauthority of article twenty-nine of this chapter and the amount of tax\nthat would have been imposed if measured by the applicable rate\nspecified in section twelve hundred ten of article twenty-nine upon\ndiesel motor fuel which is used for residential heating purposes if the\npurchase, use or consumption would have otherwise been subject to such\nlower rate of tax pursuant to such section eleven hundred five-A but for\nthe last sentence of subdivision (a) of such section eleven hundred\nfive-A or pursuant to section twelve hundred ten but for the last\nsentence of subparagraph (i) of paragraph three of subdivision (a) of\nsuch section twelve hundred ten.\n (e) Immediate export. With respect to (i) motor fuel imported,\nmanufactured or sold or purchased in this state, and (ii) highway diesel\nmotor fuel, a refund or credit shall be allowed a registered distributor\nof this state or a purchaser of the tax required to be prepaid pursuant\nto section eleven hundred two of this article in the amount of such tax\npaid by or included in the price paid by a distributor or such purchaser\nif such fuel was exported from this state for sale outside this state,\nsuch distributor or such purchaser, as the case may be, exporting such\nfuel is duly registered with or licensed by the taxing authorities of\nthe state to which such fuel is exported as a distributor or a dealer in\nthe fuel being so exported, and in connection with such exportation such\nfuel was immediately shipped to an identified facility in the state to\nwhich such fuel is exported, and provided the applicant complies with\nall requirements and rules and regulations of the commissioner,\nincluding evidentiary requirements, relating thereto.\n (f) Refunds of the tax required to be prepaid pursuant to the\nprovisions of section eleven hundred two of this article shall be\nallowed only to the extent such tax paid by or passed through to the\nretail vendor, or the purchaser, consumer or user exceeds the amount of\ntax required to be collected from such person or required to be remitted\nby the provisions of this article and pursuant to the authority of\narticle twenty-nine of this chapter.\n (g) Such credit shall be allowed only to the extent that the tax\nrequired to be prepaid pursuant to section eleven hundred two of this\narticle is prepaid by such vendor, purchaser, user or consumer (i) upon\nimportation, manufacture, sale or use, as the case may be, and (ii) with\nrespect to the identified motor fuel or diesel motor fuel for which such\ncredit is claimed upon the use or consumption thereof, but only to the\nextent that the tax imposed by section eleven hundred five of this\narticle and any like tax imposed pursuant to the authority of article\ntwenty-nine of this chapter together with the tax imposed by section\neleven hundred ten of this article and any like tax imposed pursuant to\nthe authority of article twenty-nine of this chapter required to be\npaid, collected and remitted has been paid, collected and remitted.\n (h) Such refunds and credits shall be subject to the provisions of\nsections eleven hundred nineteen and eleven hundred thirty-nine of this\narticle as if such sections were incorporated in full into this section\nand had expressly referred to the refunds and credits authorized by this\nsection including the periods of limitations on payments and\napplications to the commissioner; provided, however, that as provided in\nsubdivision (e) of section eleven hundred thirty-nine of this article no\ninterest shall be allowed or paid upon any refund made or credit allowed\npursuant to subdivisions (a) and (b) of this section; and provided,\nfurther, that, with respect to refunds or credits pursuant to\nsubdivision (d) of this section with respect to organizations described\nin paragraph four of subdivision (a) of section eleven hundred sixteen\nof this chapter and subdivision (e) of this section, upon receipt of a\nclaim for refund in processible form, interest shall be allowed or paid\nat the overpayment rate set by the commissioner pursuant to section\neleven hundred forty-two of this article, or if no rate is set, at the\nrate of six percent per annum, from the due date of the return or the\nactual filing date of the return, whichever is later, to the date\nimmediately preceding the date of the refund check except no interest\nshall be allowed or paid if the refund check is mailed within thirty\ndays of such receipt (except in case of organizations described in\nparagraph four of subdivision (a) of section eleven hundred sixteen of\nthis chapter, the relevant period of time shall be forty-five days from\nthe date the application for refund is received in processible form and\ninterest, if allowable, shall apply from the date such application is\nreceived in processible form) and no interest shall be allowed or paid\nupon a credit pursuant to such subdivision and except no interest shall\nbe allowed or paid if the amount thereof would be less than one dollar.\nProvided, however, the department shall process applications for refund\nas expeditiously as possible.\n