N.Y. Tax Law § 434 — Refunds

§ 434. Refunds. 1. Whenever the commissioner of taxation and finance\nshall determine that any moneys received under the provisions of this\narticle were paid in error, he may cause the same to be refunded, with\ninterest, in accordance with such rules and regulations as he may\nprescribe, except that no interest shall be allowed or paid if the\namount thereof would be less than one dollar. Such interest shall be at\nthe overpayment rate set by the commissioner pursuant to subdivision\ntwenty-sixth of section one hundred seventy-one of this chapter, or if\nno rate is set, at the rate of six percent per annum, from the date when\nthe tax, penalty or interest to be refunded was paid to a date preceding\nthe date of the refund check by not more than thirty days. Provided,\nhowever, that for the purposes of this subdivision, any tax paid before\nthe last day prescribed for its payment shall be deemed to have been\npaid on such last day. Such moneys received under the provisions of this\narticle which the commissioner shall determine were paid in error, may\nbe refunded out of funds in the custody of the comptroller to the credit\nof such taxes provided an application therefor is filed with the\ncommissioner within two years from the time the erroneous payment was\nmade.\n 2. (a) Whenever (A) any person, other than a distributor hereinafter\nin this paragraph referred to, shall use for non-beverage purposes any\nalcoholic beverages on which taxes are imposed by this article or (B) a\nregularly organized church, synagogue or religious organization shall\nuse for sacramental purposes wine purchased by it in sealed containers\nat retail, and such alcoholic beverages referred to in clause (A) or\nwine referred to in clause (B) were not sold to such person or religious\norganization pursuant to a retailer's license and have been, to the\nsatisfaction of the tax commission, included as taxable in a return made\nby a distributor, such person or religious organization shall be\nreimbursed the amount of the taxes thereon in the manner and subject to\nthe conditions hereinafter specified. Whenever any distributor shall use\nfor non-beverage purposes any alcoholic beverages on which he is\nrequired to pay the taxes imposed by this article, the tax commission\nmay permit such distributor to report such alcoholic beverages as\nnontaxable.\n (b) Any person holding a license issued by the state liquor authority,\nwho, pursuant to such license, shall sell any alcoholic beverages, upon\nwhich taxes imposed by this article have been paid, under such\ncircumstances that the state would be without power to impose the tax\nunder this article, or for resale under like circumstances, may secure\nreimbursement for the amount of the taxes so paid in the manner and\nsubject to the conditions specified in this subdivision, but in a case\nspecified in this paragraph no refund shall be made under paragraph (a)\nof this subdivision.\n (c) All claims for reimbursement under this subdivision must be filed\nwithin two years from the time of the nontaxable sale or use. Claims\nshall be made, in such form and containing such information as the tax\ncommission shall prescribe. Claims for reimbursement under this\nsubdivision, approved by the tax commission, shall be paid out of the\nfunds deposited to the credit of the comptroller on account of the taxes\nimposed by this article.\n 3. If an agreement under the provisions of section four hundred thirty\n(extending the period for determination of tax imposed by this article)\nis made within the two-year period for the filing of a claim for\nreimbursement or an application for refund provided for in this section,\nthe period for filing a claim for reimbursement or an application for\nrefund shall not expire prior to six months after the expiration of the\nperiod within which a determination may be made pursuant to the\nagreement or any extension thereof.\n