A05633 Summary:

BILL NOA05633B
 
SAME ASSAME AS S03836-A
 
SPONSORWeinstein
 
COSPNSRTaylor, Lentol, Epstein
 
MLTSPNSR
 
Amd §171-v, Tax L
 
Provides for the adjustment of the minimum amount of tax delinquency for which the driver's license of a taxpayer may be suspended, based on inflation; prohibits inclusion in the license suspension program of a taxpayer who receives public assistance or supplemental security income, or whose income does not exceed 250% of the poverty level; authorizes the commissioner to grant exemptions to taxpayers whose payment of past due tax liabilities would create a hardship to the taxpayer in meeting necessary living expenses.
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A05633 Actions:

BILL NOA05633B
 
02/14/2019referred to ways and means
03/05/2019amend and recommit to ways and means
03/05/2019print number 5633a
01/08/2020referred to ways and means
01/29/2020amend and recommit to ways and means
01/29/2020print number 5633b
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A05633 Committee Votes:

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A05633 Floor Votes:

There are no votes for this bill in this legislative session.
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A05633 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                         5633--B
 
                               2019-2020 Regular Sessions
 
                   IN ASSEMBLY
 
                                    February 14, 2019
                                       ___________
 
        Introduced  by  M. of A. WEINSTEIN, TAYLOR, LENTOL, EPSTEIN -- read once
          and  referred  to  the  Committee  on  Ways  and  Means  --  committee
          discharged, bill amended, ordered reprinted as amended and recommitted
          to said committee -- recommitted to the Committee on Ways and Means in
          accordance  with Assembly Rule 3, sec. 2 -- committee discharged, bill
          amended, ordered reprinted as amended and recommitted to said  commit-
          tee
 
        AN  ACT  to  amend the tax law, in relation to the enforcement of delin-
          quent tax liabilities by means of the suspension of licenses to  oper-
          ate a motor vehicle
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Subdivisions 1, 3 and 5 of section 171-v of  the  tax  law,
     2  subdivision  1 as added by section 1 of part P of chapter 59 of the laws
     3  of 2013, and subdivisions 3 and 5 as amended by section 1 of part EEE of
     4  chapter 59 of the laws of 2019, are amended to read as follows:
     5    (1) The commissioner shall enter into a  written  agreement  with  the
     6  commissioner of motor vehicles, which shall set forth the procedures for
     7  the  two departments to cooperate in a program to improve tax collection
     8  through the suspension of drivers' licenses of taxpayers  with  past-due
     9  tax liabilities equal to or in excess of ten thousand dollars multiplied
    10  by  the  applicable  inflation  adjustment.    For  the purposes of this
    11  section, the term "tax liabilities" shall mean any  tax,  surcharge,  or
    12  fee  administered by the commissioner, or any penalty or interest due on
    13  these amounts owed by an individual with a New  York  driver's  license,
    14  the  term  "driver's license" means any license issued by the department
    15  of motor vehicles, except for a commercial driver's license  as  defined
    16  in  section  five  hundred one-a of the vehicle and traffic law, and the
    17  term "past-due tax liabilities" means any tax liability  or  liabilities
    18  which  have  become fixed and final such that the taxpayer no longer has
    19  any right to administrative or  judicial  review,  and  the  "applicable
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD00879-06-9

        A. 5633--B                          2
 
     1  inflation  adjustment" for a calendar year shall be determined under the
     2  principles of section 7345(f) of the  Internal  Revenue  Code  of  1986,
     3  using the calendar year of the effective date of the chapter of the laws
     4  of  two thousand twenty which amended this subdivision as the base peri-
     5  od. The ten thousand dollar limitation in  this  subdivision  shall  not
     6  apply  to a taxpayer that the commissioner determines has taken affirma-
     7  tive steps to evade or avoid the collection of tax, such  as  by  hiding
     8  assets.
     9    (3)  The department shall provide notice to the taxpayer of his or her
    10  inclusion in the license suspension program no  later  than  sixty  days
    11  prior  to  the date the department intends to inform the commissioner of
    12  motor vehicles of the taxpayer's  inclusion.  However,  no  such  notice
    13  shall  be  issued  to a taxpayer: (i) whose wages are being garnished by
    14  the department for the payment of past-due tax liabilities  or  past-due
    15  child  support  or  combined child and spousal support arrears; (ii) who
    16  receives public assistance or supplemental  security  income;  or  (iii)
    17  whose  income  does  not exceed two hundred fifty percent of the poverty
    18  level as reported by the federal Department of Health and Human Services
    19  or any successor agency.  Notice shall be provided by first  class  mail
    20  to  the  taxpayer's  last  known  address as such address appears in the
    21  electronic systems or records  of  the  department.  Such  notice  shall
    22  include:
    23    (a)  a  clear  statement  of the past-due tax liabilities along with a
    24  statement that the department shall provide to the department  of  motor
    25  vehicles the taxpayer's name, social security number and any other iden-
    26  tifying  information  necessary for the purpose of suspending his or her
    27  driver's license pursuant to this  section  and  subdivision  four-f  of
    28  section five hundred ten of the vehicle and traffic law sixty days after
    29  the mailing or sending of such notice to the taxpayer;
    30    (b)  a  statement that the taxpayer may avoid suspension of his or her
    31  license by fully satisfying the  past-due  tax  liabilities,  by  making
    32  payment arrangements satisfactory to the commissioner, or by demonstrat-
    33  ing  any  of  the grounds for challenge set forth in subdivision five of
    34  this section, or by presenting facts to the  commissioner  resulting  in
    35  the  commissioner  waiving suspension of his or her license based on the
    36  equities of the case. Such statement shall include information regarding
    37  programs through which the taxpayer can pay the past-due tax liabilities
    38  to the department, enter into a payment  arrangement  or  request  addi-
    39  tional  information needed to challenge the suspension under subdivision
    40  five of this section or demonstrate the equities of the case;
    41    (c) a statement that the taxpayer's right to  protest  the  notice  is
    42  limited to raising issues set forth in subdivision five of this section;
    43    (d) a statement that the suspension of the taxpayer's driver's license
    44  shall  continue until the past-due tax liabilities are fully paid or the
    45  taxpayer makes payment arrangements satisfactory  to  the  commissioner;
    46  and
    47    (e) any other information that the commissioner deems necessary.
    48    (5)  Notwithstanding any other provision of law, and except as specif-
    49  ically provided herein, the taxpayer shall have no right to  commence  a
    50  court  action  or  proceeding or to any other legal recourse against the
    51  department or the department of motor vehicles regarding a notice issued
    52  by the department pursuant to this  section  and  the  referral  by  the
    53  department  of any taxpayer with past-due tax liabilities to the depart-
    54  ment of motor vehicles pursuant to  this  section  for  the  purpose  of
    55  suspending  the  taxpayer's  driver's license. A taxpayer may only chal-
    56  lenge such suspension or referral on the grounds that (i) the individual

        A. 5633--B                          3
 
     1  to whom the notice was provided is not the taxpayer at issue;  (ii)  the
     2  past-due  tax liabilities were satisfied; (iii) the taxpayer's wages are
     3  being garnished by the department for the payment of  the  past-due  tax
     4  liabilities at issue or for past-due child support or combined child and
     5  spousal  support  arrears; (iv) the taxpayer's wages are being garnished
     6  for the payment of past-due child support or combined child and  spousal
     7  support  arrears  pursuant  to  an  income  execution issued pursuant to
     8  section five thousand two hundred forty-one of the  civil  practice  law
     9  and  rules; (v) the taxpayer's driver's license is a commercial driver's
    10  license as defined in section five hundred  one-a  of  the  vehicle  and
    11  traffic law; (vi) the department incorrectly found that the taxpayer has
    12  failed  to  comply with the terms of a payment arrangement made with the
    13  commissioner more than  once  within  a  twelve  month  period  for  the
    14  purposes  of  subdivision  three  of  this  section;  (vii) the taxpayer
    15  receives public assistance or supplemental security income; [or]  (viii)
    16  [the  taxpayer  demonstrates  that suspension of the taxpayer's driver's
    17  license will cause the taxpayer undue economic hardship] the  taxpayer's
    18  income does not exceed two hundred fifty percent of the poverty level as
    19  reported  by  the federal Department of Health and Human Services or any
    20  successor agency; or (ix) payment of the past due tax  liabilities  will
    21  create a hardship for the taxpayer in meeting necessary living expenses.
    22    However,  nothing  in this subdivision is intended to limit a taxpayer
    23  from seeking relief pursuant to  an  offer  in  compromise  pursuant  to
    24  subdivision fifteenth of section one hundred seventy-one of this article
    25  or  from  joint  and  several  liability pursuant to section six hundred
    26  fifty-four of this chapter, to the extent that he  or  she  is  eligible
    27  pursuant  to  such  section,  or establishing to the department that the
    28  enforcement of the underlying tax liabilities has  been  stayed  by  the
    29  filing  of  a  petition  pursuant  to the Bankruptcy Code of 1978 (Title
    30  Eleven of the United States Code).
    31    § 2. The commissioner  of  taxation  and  finance  is  authorized  and
    32  directed  to promulgate any rules and regulations necessary to implement
    33  the provisions of this act in accordance  with  the  provisions  of  the
    34  state administrative procedure act.
    35    §  3. This act shall take effect on the first of April next succeeding
    36  the date on which it shall have become a law.
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