N.Y. Tax Law § 692: Collection, levy and liens

§ 692. Collection, levy and liens.--(a) Collection procedures.--The

taxes imposed by this article shall be collected by the tax commission,

and it may establish the mode or time for the collection of any amount

due it under this article if not otherwise specified. The tax commission

shall, upon request, give a receipt for any sum collected under this

article. The tax commission may authorize banks or trust companies which

are depositaries or financial agents of the state to receive and give a

receipt for any tax imposed under this article in such manner, at such

times, and under such conditions as the tax commission may prescribe;

and the tax commission shall prescribe the manner, times and conditions

under which the receipt of such tax by such banks and trust companies is

to be treated as payment of such tax to the tax commission.

(b) Notice and demand for tax.--The tax commission shall as soon as

practicable give notice to each person liable for any amount of tax,

addition to tax, penalty or interest, which has been assessed but

remains unpaid, stating the amount and demanding payment thereof. Such

notice shall be left at the dwelling or usual place of business of such

person or shall be sent by mail to such person's last known address.

Except where the tax commission determines that collection would be

jeopardized by delay, if any tax is assessed prior to the last date

(including any date fixed by extension) prescribed for payment of such

tax, payment of such tax shall not be demanded until after such date.

(c) Issuance of warrant after notice and demand.--If any person liable

under this article for the payment of any tax, addition to tax, penalty

or interest neglects or refuses to pay the same within twenty-one

calendar days after notice and demand therefor is given to such person

under subsection (b) of this section (ten business days if the amount

for which such notice and demand is made equals or exceeds one hundred

thousand dollars), the commissioner may within six years after the date

of such assessment issue a warrant under the commissioner's official

seal directed to the sheriff of any county of the state, or to any

officer or employee of the department, commanding him to levy upon and

sell such person's real and personal property for the payment of the

amount assessed, with the cost of executing the warrant and to return

such warrant to the commissioner and pay to him or her the money

collected by virtue thereof within sixty days after the receipt of the

warrant. If the commissioner finds that the collection of the tax or

other amount is in jeopardy, notice and demand for immediate payment of

such tax may be made by the commissioner and upon failure or refusal to

pay such tax or other amount the commissioner may issue a warrant

without regard to the twenty-one day period (or ten-day period if

applicable) provided in this subsection.

(d) Copy of warrant to be filed and lien to be created.--Any sheriff

or officer or employee who receives a warrant under subsection (c) shall

within five days thereafter file a copy with the clerk of the

appropriate county. The clerk shall thereupon enter in the judgment

docket, in the column for judgment debtors, the name of the taxpayer

mentioned in the warrant, and in appropriate columns the tax or other

amounts for which the warrant is issued and the date when such copy is

filed; and such amount shall thereupon be a lien upon the title to and

interest in real, personal and other property of the taxpayer. Such lien

shall not apply to personal property unless such warrant is filed in the

department of state.

(e) Judgment.--When a warrant has been filed with the county clerk the

tax commission shall, in the right of the people of the state of New

York, be deemed to have obtained judgment against the taxpayer for the

tax or other amounts.

(f) Execution.--The sheriff or officer or employee shall thereupon

proceed upon the warrant in all respects, with like effect, and in the

same manner prescribed by law in respect to executions issued against

property upon judgments of a court of record, and a sheriff shall be

entitled to the same fees for his services in executing the warrant, to

be collected in the same manner. An officer or employee of the

department of taxation and finance may proceed in any county or counties

of this state and shall have all the powers of execution conferred by

law upon sheriffs, but shall be entitled to no fee or compensation in

excess of actual expenses paid in connection with the execution of the

warrant.

(g) Taxpayer not a resident. Where a notice and demand under

subsection (b) shall have been given to a taxpayer who is not then a

resident, and it appears to the tax commission that it is not

practicable to find in this state property of the taxpayer sufficient to

pay the entire balance of tax or other amount owing by such taxpayer who

is not then a resident, the tax commission may, in accordance with

subsection (c), issue a warrant directed to an officer or employee of

the department of taxation and finance, a copy of which warrant shall be

mailed by certified or registered mail to the taxpayer at his last known

address, subject to the rules for mailing provided in subsection (a) of

section six hundred eighty-one. Such warrant shall command the officer

or employee to proceed in Albany county, and he shall, within five days

after receipt of the warrant, file the warrant and obtain a judgment in

accordance with this section. Thereupon the tax commission may authorize

the institution of any action or proceeding to collect or enforce the

judgment in any place and by any procedure that a civil judgment of the

supreme court of the state of New York could be collected or enforced.

The tax commission may also, in its discretion, designate agents or

retain counsel for the purpose of collecting, outside the state of New

York, any unpaid taxes, additions to tax, penalties or interest which

have been assessed under this article against taxpayers who are not

residents of this state, may fix the compensation of such agents and

counsel to be paid out of money appropriated or otherwise lawfully

available for payment thereof, and may require of them bonds or other

security for the faithful performance of their duties, in such form and

in such amount as the tax commission shall deem proper and sufficient.

(h) Action by state for recovery of taxes.--Action may be brought by

the attorney general at the instance of the tax commission in the name

of the state to recover the amount of any unpaid taxes, additions to

tax, penalties or interest which have been assessed under this article

within six years prior to the date the action is commenced.

(i) Release of lien.--The tax commission, if it finds that the

interests of the state will not thereby be jeopardized, and upon such

conditions as it may require, may release any property from the lien of

any warrant for unpaid taxes, additions to tax, penalties and interest

filed pursuant to this section, and such release may be recorded in the

office of any recording officer in which such warrant has been filed.