N.Y. General City Model 772/66 § 132: Interest on underpayment

§ 132. Interest on underpayment. (a) General.--If any amount of income

tax is not paid on or before the last date prescribed in this title for

payment, interest on such amount at the rate set by the commissioner of

finance pursuant to section one hundred forty-five, or, if no rate is

set, at the rate of six percentum per annum shall be paid for the period

from such last date to the date paid, whether or not any extension of

time for payment was granted. Interest under this subdivision shall not

be paid if the amount thereof is less than one dollar.

(b) Exception as to estimated tax.--This section shall not apply to

any failure to pay estimated tax under section one hundred sixteen.

(c) Exception for mathematical error.--No interest shall be imposed on

any underpayment of tax due solely to mathematical error if the taxpayer

files a return within the time prescribed in this title (including any

extension of time) and pays the amount of underpayment within three

months after the due date of such return, as it may be extended.

(e) Suspension of interest on deficiencies.--If a waiver of

restrictions on assessment of a deficiency has been filed by the

taxpayer, and if notice and demand by the director of finance for

payment of such deficiency is not made within thirty days after the

filing of such waiver, interest shall not be imposed on such deficiency

for the period beginning immediately after such thirtieth day and ending

with the date of notice and demand.

(f) Tax reduced by carryback.--If the amount of tax for any taxable

year is reduced by reason of a carryback of a net operating loss, such

reduction in tax shall not affect the computation of interest under this

section for the period ending with the filing date for the taxable year

in which the net operating loss arises. Such filing date shall be

determined without regard to extensions of time to file.

(g) Interest treated as tax.--Interest under this section shall be

paid upon notice and demand and shall be assessed, collected and paid in

the same manner as income tax. Any reference in this title to the tax

imposed by this title shall be deemed also to refer to interest imposed

by this section on such tax.

(h) Interest on penalties or additions to tax.--Interest shall be

imposed under subdivision (a) in respect of any assessable penalty or

addition to tax only if such assessable penalty or addition to tax is

not paid within ten days from the date of the notice and demand therefor

under subdivision (b) of section one hundred forty, and in such case

interest shall be imposed only for the period from such date of the

notice and demand to the date of payment.

(i) Payment prior to notice of deficiency.--If, prior to the mailing

to the taxpayer of a notice of deficiency under subdivision (b) of

section one hundred twenty-nine, the director of finance mails to the

taxpayer a notice of proposed increase of tax and within thirty days

after the date of the notice of proposed increase the taxpayer pays all

amounts shown on the notice to be due to the director of finance, no

interest under this section on the amount so paid shall be imposed for

the period after the date of such notice of proposed increase.

(j) Payment within ninety days after notice of deficiency.-- If a

notice of deficiency under section one hundred twenty-nine is mailed to

the taxpayer, and the total amount specified in such notice is paid on

or before the ninetieth day after the date of mailing, interest under

this section shall not be imposed for the period after the date of the

notice.

(k) Payment within ten days after notice and demand.--If notice and

demand is made for payment of any amount under subdivision (b) of

section one hundred forty, and if such amount is paid within ten days

after the date of such notice and demand, interest under this section on

the amount so paid shall not be imposed for the period after the date of

such notice and demand.

(l) Limitation on assessment and collection.--Interest prescribed

under this section may be assessed and collected at any time during the

period within which the tax or other amount to which such interest

relates may be assessed and collected, respectively.

(m) Interest on erroneous refund.--Any portion of tax or other amount

which has been erroneously refunded, and which is recoverable by the

commissioner of finance, shall bear interest at the rate set by the

commissioner of finance pursuant to section one hundred forty-five, or,

if no rate is set, at the rate of six per centum per annum from the date

of the payment of the refund, but only if it appears that any part of

the refund was induced by fraud or a misrepresentation of a material

fact.

(n) Satisfaction by credits.--If any portion of a tax is satisfied by

credit of an overpayment, then no interest shall be imposed under this

section on the portion of the tax so satisfied for any period during

which, if the credit had not been made, interest would have been

allowable with respect to such overpayment.