S T A T E   O F   N E W   Y O R K
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                                  6834

                       2011-2012 Regular Sessions

                          I N  A S S E M B L Y

                              April 5, 2011
                               ___________

Introduced  by M. of A. BARRON, RUSSELL, ROBINSON, ROBERTS, COOK, JAFFEE
  -- Multi-Sponsored by -- M. of A. CAHILL, HIKIND,  JEFFRIES,  McENENY,
  PHEFFER,  P. RIVERA,  SCARBOROUGH, SWEENEY, THIELE, WEISENBERG -- read
  once and referred to the Committee on Ways and Means

AN ACT to amend the tax law, in relation to requiring  the  commissioner
  of  taxation  and  finance  to  provide  for the timely payment of tax
  refunds to taxpayers

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  Section  171  of  the  tax law is amended by adding a new
subdivision twenty-ninth to read as follows:
  TWENTY-NINTH. A. PROVIDE FOR THE PAYMENT BY THE  DEPARTMENT  OF  EVERY
REFUND DUE A TAXPAYER PURSUANT TO THIS CHAPTER WITHIN THIRTY DAYS OF THE
RECEIPT  BY  THE  DEPARTMENT  OF  THE  TAX  RETURN CLAIMING SUCH REFUND;
PROVIDED THAT, IF THE DEPARTMENT IS UNABLE TO PAY A TAX  REFUND  BECAUSE
OF  A  DISCREPANCY  IN  THE TAXPAYER'S TAX RETURN, THE DEPARTMENT SHALL,
WITHIN SUCH THIRTY DAY PERIOD, PROVIDE WRITTEN NOTICE TO THE TAXPAYER OF
THE SPECIFIC DISCREPANCY  AND  A  DATE  WHEN  SUCH  DISCREPANCY  CAN  BE
EXPECTED TO BE RESOLVED.
  B. UPON THE FAILURE TO PROVIDE A REFUND OR WRITTEN NOTICE TO A TAXPAY-
ER PURSUANT TO PARAGRAPH A OF THIS SUBDIVISION, THE DEPARTMENT SHALL PAY
THE  TAXPAYER  INTEREST  ON THE REFUND OWED AT A RATE OF SIX PERCENT PER
ANNUM.
  S 2. This act shall take effect immediately.



 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD07680-01-1