Category Archives: NYS Tax Litigation

IRS & NYS DTF Matters — August 2014

I.   IRS Matters – August 2014 On July 11, a second federal judge ordered the IRS to account for missing emails of former director Lois Lerner. U.S. District Court Judge Reggie Walton has demanded an affidavit from an “appropriate official” … Continue reading

Posted in IRS Matters, New York State Income Tax, NYS DTF Matters, NYS Tax Litigation, NYS Tax Litigation, Tax Decisions, Tax News & Comment | Tagged , , , , , , , , , , | Leave a comment

From Washington & Albany — Washington: New Taxes Arrive; Governor Cuomo: NY Taxes Too High

I.         From Washington A rainbow of new federal income taxes arrived on January 1, 2014, led by the new 3.8 percent “Medicare” tax imposed by IRC §1411. Although enacted as part of the health care legislation of President Obama, … Continue reading

Posted in From Washington, NYS Dept. of Tax'n & Finance, NYS Tax Litigation | Tagged , , , , , , , , , , , , , , , | Leave a comment

From Federal Courts, NYS Courts & NYS Tax Tribunals: Recent Developments & 2013 Decisions of Note

I.  Federal Courts The Supreme Court in United States v. Windsor declared unconstitutional Section 3 of the Defense of Marriage Act of 1996 (DOMA), as violating the due process clause of the Fifth Amendment, which guarantees every person equal protection … Continue reading

Posted in Federal Tax Litigation, From the Courts, Litigation, NYS Dept. of Tax'n & Finance, NYS Tax Litigation, NYS Tax Litigation, Sales Tax Litigation, Tax Planning | Tagged , , , , , , , , , , | Leave a comment

Tax News & Comment — May 2013

Posted in Asset Protection, Asset Protection Trusts, Criminal Penalties, Delaware Asset Protection Trusts, Divorce, Estate Litigation, Exclusion of Gain From Sale of Residence, Executor and Trustee Commissions, Federal Tax Litigation, Fiduciaries, Litigation, New York Criminal Tax, New York State Income Tax, NYS Dept. of Tax'n & Finance, NYS Penalties, NYS Tax Litigation, NYS Tax Litigation, Prenuptial Agreements, Property Transactions, Tax News & Comment, Treatises | Tagged , , , , , , , , , , , , , , , | Leave a comment

New York State Tax Litigation

View Outline:  New York State Tax Litigation view outline:  New York State Tax Litigation New York State Tax Litigation © 2011 David L. Silverman, J.D., LL.M. (Taxation) Law Offices of David L. Silverman 2001 Marcus Avenue, Suite 265A South Lake … Continue reading

Posted in New York State Tax Litigation, NYS Tax Litigation, Treatises | Tagged , , , , , , , , , | Leave a comment

New York State Tax Litigation

View Outline:  New York State Tax Litigation view outline:  New York State Tax Litigation New York State Tax Litigation © 2011 David L. Silverman, J.D., LL.M. (Taxation) Law Offices of David L. Silverman 2001 Marcus Avenue, Suite 265A South Lake … Continue reading

Posted in NYS Tax Litigation, Treatises | Tagged , , , , , , , , , | Leave a comment

Winning a Sales Tax Dispute in the Division of Tax Appeals

With the lure of interest, penalties, and large revenues upon which the sales tax is based, the Department of Taxation aggressively pursues sales tax revenue through audit. To emerge victorious in a sales tax dispute, the taxpayer should be conversant with some important principles involving sales tax litigation. Continue reading

Posted in NYS Tax Litigation, Sales Tax Litigation | Tagged , , , , , , , , , , , , , , , , , , , , , | Leave a comment

Article 78 Review of Tax Appeals Tribunal

Printer-friendly PDF: Article 78 Review of Tax Appeals Tribunal II.wpd A. Pre-Tribunal Adjudication The Bureau of Conciliation and Mediation Services (BCMS) comprises a separate operating bureau within the Division of Taxation, and reports directly to the Commissioner of Taxation and … Continue reading

Posted in NYS Tax Litigation, Tax News & Comment | Tagged , , , , , , , , , , , | Leave a comment

Declaratory Relief Against NYS Department of Taxation & Finance in State Supreme Court

Tax disputes involving New York State are normally adjudicated in the New York State administrative tax tribunals. A “conciliation conference,” presided over by a “conferree” who is actually an employee of the Department of Taxation, usually commences the pas de deux. From there, the taxpayer may seek a hearing before an administrative law judge in the Division of Tax Appeals. An exception to an adverse decision by the ALJ may be taken to the Tax Appeals Tribunal. If the taxpayer loses, he may roll the dice again and appeal to the Appellate Division, Third Department, in Albany via an Article 78 proceeding. Leave to appeal to the Court of Appeals, rarely granted, may be sought if the taxpayer in the Appellate Division. In recent years, the U.S. Supreme Court has granted certiorari to relatively few petitioners involving substantive state tax issues. Continue reading

Posted in NYS Tax Litigation | Tagged , , , , , , , , , , | Leave a comment

Northern District Finds Successive Tax Penalties Imposed by NYS-AG and NYS-DTF to be Unconstitutional

Finding that Tax Law § 481(1)(b)(i) effectively operates as a criminal penalty, the Northern District  held that the assessment of a tax penalty by the Department of Taxation and Finance under § 481(1)(b)(i) following the taxpayer’s previous prosecution and conviction … Continue reading

Posted in From the Courts, NYS Tax Litigation, Sales Tax Litigation, Tax Decisions | Tagged , , , , , | Leave a comment

APPEALING A DETERMINATION OF THE TAX APPEALS TRIBUNAL

The Tax Appeals tribunal sits as the final administrative tax tribunal. A CPLR Article 78 proceeding is the “dotted line” in the flowchart that brings the tax dispute out of administrative tribunal system and into the New York judicial court system. From a tax petitioner’s standpoint, Article 78 is far from perfect: it possesses treacherous statutes of limitations, it is inherently capable of providing only narrowly circumscribed relief, and it imposes onerous bonding requirements. Still, like the Spirit of St. Louis, Article 78 will at least take the taxpayer into the courtroom of the Appellate Division, where counsel may be able to convince the Court of reversible error below.
Continue reading

Posted in NYS Tax Litigation | Tagged , , , , | Leave a comment

COLLECTION OF RESPONSIBLE PERSON ASSESSMENT BARRED UNTIL JUDGMENT

Printer-friendly PDF:  Collection of Responsible Person Assessment is Barred Until Judgment.wpd Tax Law §1138(a)(1) sets forth the procedure in which (i) sales tax is determined; (ii) the determination is mailed to the taxpayer (“Notice of Determination”); and (iii) 90-day appeal … Continue reading

Posted in NYS Tax Litigation, Sales Tax Litigation | Tagged , , , , , , | Leave a comment

Summary Determination May Enhance Tax Appeals Prospects

Printer-friendly PDF:  Summary Determination May Enhance Tax Appeals Prospects.wpd Motions for Summary Judgment are common in civil practice. Any party may so move after issue has been joined if no triable issue of fact exists. CPLR 3212. Section 3000.9(c) of … Continue reading

Posted in NYS Tax Litigation | Tagged , , , , | Leave a comment

Tax Appeals Tribunal Finds Pole Dancing Not Exempt from Sales Tax as a “Dramatic or Musical Arts Performance”

The Tax Appeals Tribunal by decision dated April 14, 2010, granting the exception of the Division of Taxation, reversing the Determination of ALJ Catherine Bennett, and sustaining the Notice of Determination, held that admission charges imposed on patrons to enter … Continue reading

Posted in NYS Tax Litigation | Leave a comment

Tax Appeals Tribunal Rejects Division’s Methodology as Lacking Rational Basis

Finding that the Division’s estimated methodology for determining taxable sales lacked a rational basis, the Tax Appeals Tribunal in two recent cases cancelled sales tax assessments. This office handled the appeal in the most recently decided case, In the Matter of Gulzar A. Khan and Ishtiaq Khan, DTA Nos. 820701 and 820702 (Sept. 4, 2008). Continue reading

Posted in From the Courts, NYS Tax Litigation, Sales Tax Litigation, Tax News & Comment | Leave a comment