2012 New York Consolidated Laws
TAX - Tax
Article 27 - (1080 - 1097) CORPORATE TAX PROCEDURE AND ADMINISTRATION
1087 - Limitations on credit or refund.

 
    §  1087.  Limitations  on  credit  or refund.--(a) General.--Claim for
  credit or refund of an overpayment of tax under article nine  or  nine-A
  shall  be filed by the taxpayer within (i) three years from the time the
  return was filed, (ii) two years from the time the tax was paid or (iii)
  in the case of any overpayment arising from an erroneous denial  by  the
  department   of   environmental   conservation  of  a  certification  of
  completion pursuant to section 27-1419 of the environmental conservation
  law, two years from the time a final determination to  the  effect  that
  such  denial  was erroneous is made and is no longer subject to judicial
  review, whichever of such periods expires the latest, or  if  no  return
  was filed, within two years from the time the tax was paid. If the claim
  is  filed  within  the  three  year  period, the amount of the credit or
  refund shall not exceed the portion of the tax  paid  within  the  three
  years  immediately  preceding the filing of the claim plus the period of
  any extension of time for filing the return. If the claim is  not  filed
  within  the  three year period, but is filed within the two year period,
  the amount of the credit or refund shall not exceed the portion  of  the
  tax  paid  during  the two years immediately preceding the filing of the
  claim. In the case of a claim for credit  or  refund  filed  within  the
  period  prescribed  in paragraph (iii) of this subsection, the amount of
  the credit or refund may exceed the portion of the tax paid  within  the
  applicable  period specified in the two immediately preceding sentences,
  but only to the extent of the amount of the overpayment attributable  to
  the  denial  described  in  such  paragraph  (iii).  Except as otherwise
  provided in this section, if no claim is filed, the amount of  a  credit
  or  refund  shall  not  exceed  the amount which would be allowable if a
  claim had been filed on the date the credit or refund  is  allowed.  For
  special  restriction  in  a proceeding on a claim for refund of tax paid
  pursuant to an assessment made as a result of (i) a net  operating  loss
  carryback  or capital loss carryback, or (ii) an increase or decrease in
  federal taxable income or federal tax, or  (iii)  a  federal  change  or
  correction  or  renegotiation,  or  computation or recomputation of tax,
  which is treated in the same manner as  if  it  were  a  deficiency  for
  federal  income  tax  purposes,  see  paragraph (7) of subsection (c) of
  section one thousand eighty-three.
    (b) Extension  of  time  by  agreement.--If  an  agreement  under  the
  provisions  of  paragraph  (2) of subsection (c) of section one thousand
  eighty-three (extending the period for assessment of tax) is made within
  the period prescribed in subsection (a) for the filing of  a  claim  for
  credit or refund, the period for filing a claim for credit or refund, or
  for making credit or refund if no claim is filed, shall not expire prior
  to  six  months  after  the  expiration  of  the  period within which an
  assessment may be made  pursuant  to  the  agreement  or  any  extension
  thereof.  The  amount  of  such  credit  or  refund shall not exceed the
  portion of the tax paid after the execution of the agreement and  before
  the  filing  of  the claim or the making of the credit or refund, as the
  case may be, plus the portion of the tax paid within  the  period  which
  would  be  applicable  under subsection (a) if a claim had been filed on
  the date the agreement was executed.
    (c) Notice of change or correction of federal income.--If  a  taxpayer
  is  required  by  subdivision  three  of  section  two  hundred  eleven,
  subsection (e) of section fourteen hundred sixty-two or paragraph one of
  subdivision (e) of section fifteen hundred fifteen, to file a report  or
  amended  return  in  respect  of  (i)  a decrease or increase in federal
  taxable income or federal alternative minimum taxable income or  federal
  tax,  or  (ii)  a  federal  change  or  correction  or renegotiation, or
  computation or recomputation of tax, which is treated in the same manner
  as if it were an overpayment for federal income tax purposes, claim  for

  credit  or  refund of any resulting overpayment of tax shall be filed by
  the taxpayer within two years from  the  time  such  report  or  amended
  return  was  required  to be filed with the commissioner of taxation and
  finance.  If the report or amended return required by any such provision
  of law is not filed within the period  therein  specified,  no  interest
  shall  be  payable  on any claim for credit or refund of the overpayment
  attributable to the federal change or correction.  The  amount  of  such
  credit or refund--
    (1)  shall  be  computed without change of the allocation of income or
  capital upon which the taxpayer's return (or any additional  assessment)
  was based, and
    (2)  shall  not exceed the amount of the reduction in tax attributable
  to  such  decrease  or  increase  in  federal  taxable  income,  federal
  alternative  minimum  taxable  income, or federal tax or to such federal
  change or correction or renegotiation, or computation  or  recomputation
  of  tax.   This subsection shall not affect the time within which or the
  amount for which a claim for credit or refund may be  filed  apart  from
  this subsection.
    (d)  Overpayment  attributable  to  net  operating  loss  carryback or
  capital loss carryback.--A claim for credit or refund of so much  of  an
  overpayment  under  article nine-a as is attributable to the application
  to the taxpayer of a net operating loss  carryback  or  a  capital  loss
  carryback shall be filed within three years from the time the return was
  due  (including extensions thereof) for the taxable year of the loss, or
  within the period prescribed  in  subsection  (b)  in  respect  of  such
  taxable  year,  or within the period prescribed in subsection (c), where
  applicable, in respect of the taxable year to which  the  net  operating
  loss  or  capital  loss  is  carried back, whichever expires the latest.
  Where such claim for credit or refund is filed after the  expiration  of
  the  period  prescribed  in  subsection  (a), or in subsection (b) where
  applicable, in respect of the taxable year to which  the  net  operating
  loss  or  capital  loss  is  carried  back, the amount of such credit or
  refund shall be computed without change of the allocation of  income  or
  capital  upon which the taxpayer's return (or any additional assessment)
  was based.
    (e) Failure to file claim  within  prescribed  period.--No  credit  or
  refund shall be allowed or made, except as provided in subsection (f) of
  this section or subsection (d) of section one thousand ninety, after the
  expiration  of  the  applicable  period  of limitation specified in this
  article, unless a claim for credit or refund is filed  by  the  taxpayer
  within  such period. Any later credit shall be void and any later refund
  erroneous. No period of limitations specified in  any  other  law  shall
  apply  to  the recovery by a taxpayer of moneys paid in respect of taxes
  under article nine, nine-a, nine-b or nine-c.
    (f) effect of petition to tax commission.--If a notice  of  deficiency
  for  a  taxable  year  has been mailed to the taxpayer under section one
  thousand eighty-one and if the taxpayer files a timely petition with the
  tax commission under section one thousand eighty-nine, it may  determine
  that  the taxpayer has made an overpayment for such year (whether or not
  it also determines a deficiency for such year). No  separate  claim  for
  credit  or  refund for such year shall be filed, and no credit or refund
  for such year shall be allowed or made, except--
    (1) as to overpayments determined by a decision of the tax  commission
  which has become final; and
    (2)  as  to  any  amount  collected in excess of an amount computed in
  accordance with the decision of the  tax  commission  which  has  become
  final; and

    (3) as to any amount collected after the period of limitation upon the
  making of levy for collection has expired; and
    (4)  as  to  any  amount claimed as a result of a change or correction
  described in subsection (c).
    (g) Limit on amount of credit or refund.--The  amount  of  overpayment
  determined  under  subsection  (f)  shall,  when the decision of the tax
  commission has become final, be credited or refunded in accordance  with
  subsection  (a)  of section one thousand eighty-six and shall not exceed
  the amount of tax which the tax commission determines  as  part  of  its
  decision was paid--
    (1) after the mailing of the notice of deficiency, or
    (2) within the period which would be applicable under subsections (a),
  (b)  or (c), if on the date of the mailing of the notice of deficiency a
  claim had been filed (whether or not filed)  stating  the  grounds  upon
  which the tax commission finds that there is an overpayment.
    For  special  restriction  on  credit  or  refund in a proceeding on a
  petition for  redetermination  of  a  deficiency  where  the  notice  of
  deficiency  is  issued as a result of (i) a net operating loss carryback
  or a capital loss carryback, or (ii) an increase or decrease in  federal
  taxable  income  or federal tax, or (iii) a federal change or correction
  or renegotiation, or computation  or  recomputation  of  tax,  which  is
  treated in the same manner as if it were a deficiency for federal income
  tax  purposes,  see  paragraph  (7)  of  subsection  (c)  of section one
  thousand eighty-three.
    (h) Early return.--For purposes of  this  section,  any  return  filed
  before  the  last  day  prescribed  for  the  filing  thereof  shall  be
  considered as filed on such last day, determined without regard  to  any
  extension of time granted the taxpayer.
    (i)  Prepaid  tax.--For  purposes of this section, any tax paid by the
  taxpayer before the last day prescribed for its payment  (including  any
  amount  paid  by the taxpayer as estimated tax for a taxable year) shall
  be deemed to have been paid by it on the  fifteenth  day  of  the  third
  month following the close of the taxable year the income of which is the
  basis for tax under article nine-a, nine-b or nine-c, or on the last day
  prescribed  in  article  nine  for the filing of a final return for such
  taxable year, or portion thereof, determined in all cases without regard
  to any extension of time granted the taxpayer.
    (j) Cross reference.--For  provision  barring  refund  of  overpayment
  credited  against tax of a succeeding year, except for good cause shown,
  see subsection (b) of section one thousand eighty-six.