N.Y. Comp. Codes R. & Regs. tit. 20 § 474.5

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

Section 474.5 - Transfer of permit and plate or sticker

Tax Law, § 502

(a) A permit and plate or sticker issued for a particular motor vehicle to a carrier may not be transferred to any other motor vehicle whether owned by the carrier or by any other person. A permit and plate or sticker issued to a carrier for a particular motor vehicle may not be transferred to any other carrier or entity although the latter operates the same motor vehicle. However, a lessee for a period of 30 days or less is not required to obtain a permit (see section 473.8 of this Title) but may operate a motor vehicle under the permit and plate or sticker issued to the owner thereof. If the owner to whom a permit and plate or sticker were issued sells the motor vehicle or leases it under an agreement covering a period of more than 30 consecutive days, a new permit and plate or sticker must be obtained by the new owner or the lessee. A permit and plate or sticker issued to a lessee are valid only during the term of the lease or an extension thereof. Any subsequent leasing of the motor vehicle to another lessee under an agreement covering a period of more than 30 consecutive days requires a new permit and plate or sticker.

Example 1:

A, the owner of a motor vehicle, has obtained a permit. If A sells the motor vehicle to B, B must obtain a new permit.

Example 2:

C, the owner of a motor vehicle, has obtained a permit. If C leases the motor vehicle to D for a period of one year, under the terms of a lease or agreement granting D direct control thereof, D must obtain a new permit.

Example 3:

E, the owner of the motor vehicle, has obtained a permit. If E leases the motor vehicle to F for one week and to G for 10 days, neither F nor G is required to obtain a permit but may operate the motor vehicle under E's permit.

Example 4:

H leases a motor vehicle from J for six months. H obtains a permit therefor. If J at the termination of the lease, leases it to K for one year, K must obtain a new permit.

Example 5:

L leases a motor vehicle from M for six months. L obtains a permit therefor, and returns the motor vehicle to M at the termination of the lease. M must obtain a new permit if he had not obtained a permit prior to the execution of the lease.

Example 6:

N leases a motor vehicle from O for six months and N obtains a permit therefor. If the lease is renewed for a further six months, N is not required to obtain a new permit.

Example 7:

P has a permit for a motor vehicle and interchanges it with Q. Q need not obtain a new permit but may operate the motor vehicle under the permit issued to P.

(b) If a corporation transfers a motor vehicle to a subsidiary or affiliated corporation, a new permit and plate or sticker must be obtained by the subsidiary or affiliated corporation. However, if the motor vehicle is transferred by the corporation to a branch, division or plant of the same corporation, no new permit is required. If a business is dissolved, and reorganized in another form, the new organization is required to obtain a new permit and plate or sticker for the motor vehicle.

Example:

A corporation has a permit for a motor vehicle. The corporation is dissolved and partnership B is formed to operate the business. B must obtain a new permit.

N.Y. Comp. Codes R. & Regs. Tit. 20 § 474.5