N.Y. Comp. Codes R. & Regs. tit. 20 § 85.1

Current through Register Vol. 46, No. 25, June 18, 2024

Section 85.1 - Suspension/revocation of license or registration, civil fines and prohibition of retail sale

Tax Law, §§ 475, 480, 482-a, 484(a)(5), 488, 489

(a) The license of any agent or wholesale dealer, or the registration of any retail dealer issued pursuant to article 20 of the Tax Law, or the registration of any chain store issued pursuant to article 20-A of such law, may be suspended or revoked after due notice and an opportunity for a hearing, for failure to comply with any provisions of such articles or any rules or regulations adopted pursuant thereto.

(b)

(1) Upon a first violation of any of the provisions of article 20-A of the Tax Law, after due notice and an opportunity for a hearing, the Department of Taxation and Finance may suspend the license of any agent or wholesale dealer for a period of not more than 30 days, or impose a civil fine not to exceed $20,000, or both such suspension and fine may be imposed.

(2) Upon a second or subsequent violation committed within three years following a prior finding of violation, after due notice and an opportunity for a hearing, the department will revoke the license of any agent or wholesale dealer, unless:

(i) the penalty imposed for the first violation, and all prior violations, was a fine only; or

(ii) the department determines, on a showing by the agent or wholesale dealer, that such second or subsequent violation was due to reasonable cause or that the agent or wholesale dealer acted in good faith, in which case the department may suspend such licenses for a period of not more than 60 days, or impose a civil fine not to exceed $50,000, or both such suspension and fine may be imposed.

(3) In determining whether to suspend or revoke a license and in assessing the amount of a fine under this subdivision, the department will give due consideration to the gravity of the violation, the size of the licensee's business, the amount of any sale in violation below the minimum markup and the history of any previous violations.

(4) The penalties provided in this subdivision shall be determined, assessed, collected and paid in the manner provided in section 478 of the Tax Law.

N.Y. Comp. Codes R. & Regs. Tit. 20 § 85.1