N.Y. Tax Law § 1242: Limitations on assessment

§ 1242. Limitations on assessment. (a) Cities over one million. Except

in the case of a wilfully false or fraudulent return with intent to

evade the tax, no assessment of additional tax shall be made with

respect to the taxes imposed under the authority of section twelve

hundred one, after the expiration of more than three years from the date

of the filing of a return, provided, however, that where no return has

been filed, or where the taxpayer fails to file a report in respect of a

change or correction in the amount of sales and compensating use tax

liability relating to the purchase or use of items for which a sales or

compensating use tax credit against the tax was claimed, as provided by

law, the tax may be assessed at any time. Notwithstanding the prior

sentence, no assessment of additional tax shall be made with respect to

taxes imposed under local laws enacted prior to July first, nineteen

hundred thirty-eight, except in the case of a wilfully false or

fraudulent return with intent to evade the tax. Where the taxpayer

files a report in respect of a change or correction in sales and

compensating use tax liability, as provided by law, an assessment may be

made at any time within two years after such report was filed.

(b) Cities under one million, counties and school districts. Except in

the case of a wilfully false or fraudulent return with intent to evade

the tax, no assessment of additional tax shall be made with respect to

taxes imposed under the authority of sections twelve hundred two through

twelve hundred four, after the expiration of more than three years from

the date of the filing of a return, provided, however, that where no

return has been filed as provided by local law, ordinance or resolution,

the tax may be assessed at any time.