N.Y. Tax Law § 171-n: Certain overpayments credited against outstanding tax debts owed to other states

§ 171-n. Certain overpayments credited against outstanding tax debts

owed to other states. (1) For the purposes of this section:

(a) "overpayment" means an amount requested for refund or otherwise

determined to be in excess of that owed, with respect to any tax

administered by the commissioner and remaining after application, as may

be determined by the commissioner, to the satisfaction of debts owed by

a taxpayer to this state or the federal government;

(b) "taxpayer" means any individual, corporation, partnership, limited

liability partnership or company, partner, member, manager, estate,

trust, fiduciary or entity, who or which has made an overpayment of any

tax administered by the commissioner;

(c) "tax debt" means any past due, legally enforceable tax obligation

owed any other state administering that tax, which arises from (i) an

enforceable judgment of a court of competent jurisdiction which is no

longer subject to judicial review, or (ii) an enforceable determination

of an administrative body which is no longer subject to administrative

or judicial review, or (iii) an assessment or determination (including

self-assessment or self-assessed determination) which has become final

or finally and irrevocably fixed and no longer subject to administrative

or judicial review; and

(d) "claimant state" means any state which requests application of an

overpayment to a tax debt.

(2) The commissioner may, in his or her discretion, agree to pay the

whole or part of an overpayment of tax administered by the commissioner

to a claimant state owed a tax debt by a taxpayer, provided the claimant

state grants substantially similar privileges to this state. An

agreement with a claimant state must provide for thirty days advance

written notice to, and an opportunity for, taxpayers to present written

or oral evidence about application of their overpayments to tax debts. A

proceeding may be commenced by a taxpayer within four months after a

copy of a decision adverse to the taxpayer is mailed to the taxpayer for

judicial review of the decision in the manner provided by article

seventy-eight of the civil practice law and rules. Article forty of this

chapter shall not apply to any hearing or proceeding on whether an

overpayment may be applied to a tax debt in accordance with this

section. The remedy provided by this section for review of hearings and

proceedings shall be the exclusive remedy available to judicially

determine whether an overpayment may be applied to a tax debt in

accordance with this section. The amount of a tax debt remaining due as

certified by a claimant state shall be prima facie evidence of the

correct amount of a tax debt.