1817 - Sales and compensating use taxes.

§  1817. Sales and compensating use taxes.--(a) Any person required to  obtain  a  certificate  of  authority  under  section   eleven   hundred  thirty-four  of this chapter who, without possessing a valid certificate  of authority, willfully (1) sells tangible personal property or services  subject to tax, receives amusement charges  or  operates  a  hotel,  (2)  purchases  or  sells tangible personal property for resale, or (3) sells  automotive fuel; and any person who fails to surrender a certificate  of  authority as required by such article shall be guilty of a misdemeanor.    (b)  Any  person  required  to obtain a certificate of authority under  section eleven hundred thirty-four of this chapter who within five years  after a determination by the tax commission, pursuant to  such  section,  to  suspend,  revoke  or  refuse to issue a certificate of authority has  become final, and without possession of a valid certificate of authority  (1) sells  tangible  personal  property  or  services  subject  to  tax,  receives  amusement  charges or operates a hotel, (2) purchases or sells  tangible personal property for resale, or  (3)  sells  automotive  fuel,  shall  be  guilty  of  a misdemeanor. It shall be an affirmative defense  that such person  performed  the  acts  described  in  this  subdivision  without  knowledge  of  such  determination.  Any  person who violates a  provision of this subdivision, upon conviction, shall be  subject  to  a  fine  in  any  amount authorized by this article, but not less than five  hundred dollars, in addition to any other penalty provided by law.    (c) Any person who willfully fails to file  a  notice  of  a  show  as  required by article twenty-eight of this chapter or who willfully rents,  leases  or  grants  a license to use space for a show or operates a show  without obtaining a permit pursuant to paragraph two of subdivision  (b)  of section eleven hundred thirty-four of this chapter shall be guilty of  a misdemeanor.    (d)  Any  person  (1) who willfully fails to charge separately the tax  imposed under article twenty-eight of this chapter or to state such  tax  separately  on  any  bill,  statement,  memorandum  or receipt issued or  employed by him upon which the tax is required to be  stated  separately  as  provided  in subdivision (a) of section eleven hundred thirty-two of  this chapter; or (2) who shall refer or cause reference to  be  made  to  such  tax  in  a form or manner other than that required by such article  twenty-eight, shall be guilty of a misdemeanor.    (e) Any person willfully failing to file a bond or other  security  or  deposit taxes in any banking institution where such filing or deposit is  required  pursuant  to  the  provisions  of  paragraph  two  or three of  subdivision (e) of section eleven hundred thirty-seven of  this  chapter  shall be guilty of a misdemeanor.    (f)  Any  owner of a filling station who shall willfully and knowingly  have in his custody, possession or under his control any motor  fuel  or  diesel motor fuel on which (1) the prepaid tax imposed by section eleven  hundred  two  of  this  chapter  has  not  been  assumed  or  paid  by a  distributor registered as such under article twelve-A of this chapter or  (2) the prepaid tax imposed  by  section  eleven  hundred  two  of  this  chapter was required to have been passed through to him and has not been  included  in  the  cost  of  such  fuel to him, shall in either case, be  guilty of a class E felony. For purposes of this subdivision, such owner  shall willfully and knowingly have in his custody, possession  or  under  his  control  any  motor fuel or diesel motor fuel on which such tax has  not been assumed or paid by a distributor registered as such where  such  owner  has knowledge of the requirement that such tax be paid and where,  to his knowledge, such  tax  has  not  been  assumed  or  paid  by  such  registered  distributor  on  such  motor fuel or diesel motor fuel. Such  owner shall willfully and knowingly have in his custody,  possession  or  under  his  control motor fuel or diesel motor fuel on which such tax isrequired to have been passed through to him and has not been included in  the cost to him where such owner has knowledge of the  requirement  that  such  tax  be passed through and where to his knowledge such tax has not  been so included.    (g)  Any  person  who  willfully fails to keep any records required by  article twenty-eight of this chapter shall be guilty of a misdemeanor.    (h) The penalties provided for in  this  section  shall  not  preclude  prosecution  pursuant  to  the  penal  law  with  respect to the willful  failure of any person to pay over to the state any sales tax imposed  by  section  eleven hundred four, eleven hundred five, eleven hundred seven,  eleven hundred eight or eleven hundred nine of this chapter  or  by  any  local  law adopted by any city or county pursuant to article twenty-nine  of this chapter, whenever such person has been required to  collect  and  has  collected  any  such  sales  tax. In any such prosecution under the  penal law, a person who has been required to collect and  has  collected  any such tax shall be deemed to have acted in a fiduciary character with  respect  to  the  state  or a political subdivision thereof, and the tax  collected shall be deemed to have been entrusted to such person  by  the  state or a political subdivision thereof.    (i)   Any   entertainment   promoter   who   willfully  authorizes  an  entertainment vendor, to whom  such  promoter  has  either  directly  or  indirectly  rented,  leased, granted a license to use or under any other  arrangement made space available  in  order  for  such  vendor  to  make  taxable  sales  of tangible personal property at an entertainment event,  without first requiring such vendor to obtain a certificate of authority  or who willfully fails to obtain an entertainment  promoter  certificate  as  required  under article twenty-eight of this chapter shall be guilty  of a misdemeanor.    (j) Any person described in subdivision (a) of section eleven  hundred  forty-two-A   of  this  chapter  who  willfully  fails  to  include  all  information required under such section on a ticket or other  memorandum  as described in such section shall be guilty of a misdemeanor.    (k)  Any owner of a place of business selling cigarettes at retail who  shall willfully and knowingly have in such owner's custody or possession  or under such owner's control any cigarettes on which  (1)  the  prepaid  tax imposed by section eleven hundred three of this chapter has not been  assumed  or  paid  by  an agent licensed as such under article twenty of  this chapter or (2) the prepaid tax imposed by  section  eleven  hundred  three  of  this chapter was required to have been passed through to such  owner and has not been included in the cost of such cigarettes  to  such  owner  shall,  in  either  case,  be  guilty of a misdemeanor. Provided,  however, if the amount of cigarettes is twenty thousand  or  more,  such  owner  shall  be  guilty  of  a  class  E  felony.  For purposes of this  subdivision, such owner shall  willfully  and  knowingly  have  in  such  owner's  custody  or  possession  or  under  such  owner's  control  any  cigarettes on which such tax has not been assumed or paid  by  an  agent  licensed  as  such  under  such  article  twenty  where  such  owner has  knowledge of the requirement that such tax be assumed or paid and where,  to such owner's knowledge, such tax has not been assumed or paid by such  an agent on such cigarettes. Such owner shall  willfully  and  knowingly  have in such owner's custody or possession or under such owner's control  cigarettes  on which such tax is required to have been passed through to  such owner and has not been included in the cost  to  such  owner  where  such  owner  has  knowledge  of  the requirement that such tax be passed  through and where to such owner's knowledge such tax  has  not  been  so  included.    (l)   Any   person  who  falsely  or  fraudulently  makes,  alters  or  counterfeits  any  stamp  prescribed  by  the  commissioner  under   theprovisions  of  article  twenty-eight  or  pursuant  to the authority of  article twenty-nine of this chapter, or causes or procures to be falsely  or fraudulently made,  altered  or  counterfeited  any  such  stamp,  or  knowingly and willfully utters, purchases, passes or tenders as true any  such  false,  altered or counterfeited stamp, or knowingly and willfully  possesses any cigarettes in packages bearing any such false, altered  or  counterfeited  stamp,  and any person who knowingly and willfully makes,  causes to be made, purchases or  receives  any  device  for  forging  or  counterfeiting  any  stamp  prescribed  by  the  commissioner  under the  provisions of article twenty-eight  or  pursuant  to  the  authority  of  article  twenty-nine  of  this  chapter,  or who knowingly and willfully  possesses any such device, shall be guilty of a class E felony. For  the  purposes  of  this  subdivision,  the  words  "stamp  prescribed  by the  commissioner" shall include a stamp, impression or  imprint  made  by  a  metering  machine,  the  design  of  which  has  been  approved  by  the  commissioner.    (m) All of the provisions of this section shall apply for purposes  of  any  taxes  administered by the commissioner and imposed pursuant to the  authority of article twenty-nine of this chapter and for the purposes of  any taxes imposed by article twenty-eight-A of this chapter.  References  in subdivisions (f), (k), and (l) of this section to taxes imposed by or  pursuant to the authority of article twenty-eight or twenty-nine of this  chapter  include  the  taxes  required to be prepaid pursuant to section  eleven hundred two or eleven hundred three of this chapter.    (n) (1) Every person engaged in the retail sale of motor  fuel  and/or  diesel  motor fuel or a distributor of such fuels, as defined in article  twelve-A of this chapter, shall comply with the  provisions  of  section  three  hundred  ninety-two-i of the general business law by reducing the  prices charged for motor fuel and diesel motor fuel in an  amount  equal  to  any  reduction  in  taxes  prepaid  by the distributor or imposed on  retail customers resulting from computing  sales  and  compensating  use  taxes at a cents per gallon rate pursuant to the provisions of paragraph  two  of  subdivision (e) and subdivision (m) of section one thousand one  hundred eleven of this chapter.    (2)  The  commissioner,  in  cooperation  with  the   state   consumer  protection board, shall monitor the prices charged by persons engaged in  the retail sale or distribution of motor fuel and diesel motor fuel.    (3)  Upon  a  finding by the commissioner that a person engaged in the  retail  sale  of  motor  fuel  and/or  diesel  motor  fuel  or  in   the  distribution  of such fuels has violated the provisions of section three  hundred ninety-two-i of the general business law, the commissioner shall  provide notice of such violation to such person and hold  a  hearing  on  such  violation,  with  an  opportunity for the accused to be heard, not  less than ten days after notice is  provided.  A  violation  of  section  three hundred ninety-two-i of the general business law shall subject the  person  violating such section to a civil penalty of up to five thousand  dollars for each day such violation occurs.