N.Y. Tax Law § 693: Transferees

§ 693. Transferees.--(a) General.--The liability, at law or in equity,

of a transferee of property of a taxpayer for any tax, additions to tax,

penalty or interest due the tax commission under this article, shall be

assessed, paid, and collected in the same manner and subject to the same

provisions and limitations as in the case of the tax to which the

liability relates, except that the period of limitations for assessment

against the transferee shall be extended by one year for each successive

transfer, in order, from the original taxpayer to the transferee

involved, but not by more than three years in the aggregate. The term

transferee includes donee, heir, legatee, devisee and distributee.

(b) Exceptions.--

(1) If before the expiration of the period of limitations for

assessment of liability of the transferee, a claim has been filed by the

tax commission in any court against the original taxpayer or the last

preceding transferee based upon the liability of the original taxpayer,

then the period of limitation for assessment of liability of the

transferee shall in no event expire prior to one year after such claim

has been finally allowed, disallowed or otherwise disposed of.

(2) If, before the expiration of the time prescribed in subsection (a)

or the immediately preceding paragraph of this subsection for the

assessment of the liability, the tax commission and the transferee have

both consented in writing to its assessment after such time, the

liability may be assessed at any time prior to the expiration of the

period agreed upon. The period so agreed upon may be extended by

subsequent agreements in writing made before the expiration of the

period previously agreed upon. For the purpose of determining the period

of limitation on credit or refund to the transferee of overpayments of

tax made by such transferee or overpayments of tax made by the

transferor as to which the transferee is legally entitled to credit or

refund, such agreement and any extension thereof shall be deemed an

agreement and extension thereof referred to in subsection (b) of section

six hundred eighty-seven. If the agreement is executed after the

expiration of the period of limitation for assessment against the

original taxpayer, then in applying the limitations under subsection (b)

of section six hundred eighty-seven on the amount of the credit or

refund, the periods specified in subsection (a) of section six hundred

eighty-seven shall be increased by the period from the date of such

expiration to the date of the agreement.

(c) Deceased transferor.--If any person is deceased, the period of

limitation for assessment against him shall be the period that would be

in effect if he had lived.

(d) Evidence.--Notwithstanding the provisions of subsection (e) of

section six hundred ninety-seven the tax commission shall use its powers

to make available to the transferee evidence necessary to enable the

transferee to determine the liability of the original taxpayer and of

any preceding transferees, but without undue hardship to the original

taxpayer or preceding transferee. See subsection (e) of section six

hundred eighty-nine for rule as to burden of proof.

(e) Notwithstanding the provisions of paragraph one of subsection (e)

of section six hundred ninety-seven of this part, the commissioner may

furnish information relating to real property transfers obtained or

derived from returns filed pursuant to this article in relation to the

real estate transfer tax, to the extent that such information is also

required to be reported to the commissioner by section three hundred

thirty-three of the real property law and section five hundred

seventy-four of the real property tax law and the rules adopted

thereunder, provided such information was collected through a combined

process established pursuant to an agreement entered into with the

commissioner pursuant to paragraph viii of subdivision one-e of section

three hundred thirty-three of the real property law. The commissioner

may redisclose such information to the extent authorized by section five

hundred seventy-four of the real property tax law.