§ 674 — Employer's return and payment of withheld taxes

§ 674. Employer's return and payment of withheld taxes. (a) General.\nEvery employer required to deduct and withhold tax under this article\nshall file a withholding return and pay over to the tax commission or to\na depositary designated by the tax commission, the taxes so required to\nbe deducted and withheld, as hereafter prescribed.\n (1) If, after having made a payroll, an employer has been required to\ndeduct and withhold, but has not paid over, a cumulative aggregate\namount of seven hundred dollars or more of tax during a calendar\nquarter, such employer shall file a return and pay over the tax. If an\nemployer was required to remit a cumulative aggregate amount of less\nthan fifteen thousand dollars in withholding tax during the calendar\nyear which precedes the previous calendar year, the tax shall be paid\nover on or before the fifth business day following the date of making\nsuch a payroll. If an employer was required to remit a cumulative\naggregate amount more than or equal to fifteen thousand dollars in\nwithholding tax during the calendar year which precedes the previous\ncalendar year, the tax shall be paid over on or before the third\nbusiness day following the date of making such a payroll. In the case of\nan "educational organization" as defined in paragraph two of subsection\n(a) of section nine of this chapter or a "health care provider" as\ndefined in paragraph four of subsection (a) of section nine of this\nchapter, the tax shall be paid over on or before the fifth business day\nfollowing the date of making such a payroll.\n (2) If, at the close of any calendar quarter, an employer has been\nrequired to deduct and withhold, but has not paid over, a cumulative\naggregate amount of less than seven hundred dollars of tax during such\ncalendar quarter, such employer shall pay over the tax with the\nquarterly combined withholding, wage reporting and unemployment\ninsurance return required to be filed for such quarter by paragraph four\nof this subsection, on or before the last date prescribed by such\nparagraph for filing such return.\n (3) If an employer makes more than one payroll per week, then such\nemployer shall determine the applicability of the rules described in\nparagraphs one and two of this subsection measured by the last payroll\nmade within the week by such employer; provided, however, that in any\nweek in which the end of a quarter occurs between the making of payrolls\nby an employer, any tax required to be deducted and withheld in a\npayroll or payrolls made during such week prior to or on the end of the\nquarter shall be paid over. If an employer was required to remit a\ncumulative aggregate amount of less than fifteen thousand dollars in\nwithholding tax during the calendar year which precedes the previous\ncalendar year, the tax shall be paid over on or before the fifth\nbusiness day following the date of making the last payroll in such\nquarter. If an employer was required to remit a cumulative aggregate\namount more than or equal to fifteen thousand dollars in withholding tax\nduring the calendar year which precedes the previous calendar year, the\ntax shall be paid over on or before the third business day following the\ndate of making the last payroll in such quarter. In the case of an\n"educational organization" as defined in paragraph two of subsection (a)\nof section nine of this chapter or a "health care provider" as defined\nin paragraph four of subsection (a) of section nine of this chapter, the\ntax shall be paid over on or before the fifth business day following the\ndate of making such a payroll. For purposes of this paragraph, the term\n"week" shall mean the period Sunday through Saturday.\n (4) (A) All employers described in paragraph one of subsection (a) of\nsection six hundred seventy-one of this part, including those whose\nwages paid are not sufficient to require the withholding of tax from the\nwages of any of their employees, all employers required to provide the\nwage reporting information for the employees described in subdivision\none of section one hundred seventy-one-a of this chapter, and all\nemployers liable for unemployment insurance contributions or for\npayments in lieu of such contributions pursuant to article eighteen of\nthe labor law, shall file a quarterly combined withholding, wage\nreporting and unemployment insurance return detailing the preceding\ncalendar quarter's withholding tax transactions, such quarter's wage\nreporting information, such quarter's withholding reconciliation\ninformation, such quarter's unemployment insurance contributions, and\nsuch other related information as the commissioner of taxation and\nfinance or the commissioner of labor, as applicable, may prescribe. Such\nreturns shall be filed no later than the last day of the month following\nthe last day of each calendar quarter.\n (B) An employer shall, at the time prescribed by subparagraph (A) of\nthis paragraph for filing each quarterly combined withholding, wage\nreporting and unemployment insurance return, pay over, in a single\nremittance, the unemployment insurance contributions and aggregate\nwithholding taxes required to be paid over with such return.\nNotwithstanding any provision of law to the contrary, an overpayment of\nunemployment insurance contributions or of aggregate withholding taxes\nmade by an employer with the quarterly combined withholding, wage\nreporting and unemployment insurance return for a calendar quarter may\nbe only credited by such employer against such employer's liability for\nunemployment insurance contributions or aggregate withholding taxes,\nrespectively.\n (C) The provisions of article eighteen of the labor law relating to\nadministration of the state's unemployment insurance program shall apply\nto the department's duties under this chapter relating to unemployment\ninsurance information, contributions and payments.\n (5) The tax commission may, if it believes such action necessary for\nthe protection of the revenues, require any employer to make such return\nand pay to it the tax deducted and withheld at any time, or from time to\ntime.\n (6) Each employer in the construction classification as defined in\nsection one hundred seventy-one-j of this chapter, shall submit to the\ncommissioner quarterly, with such employer's quarterly combined\nwithholding and wage reporting return, information relating to the\naggregate numbers of hours worked by all such employees of such employer\non a quarterly basis, and the geographic location or locations in which\nsuch employees worked during each quarter. Such information shall be\nreported in such form as the commissioner shall prescribe.\n (b) Deposit in trust for tax commission. Whenever any employer fails\nto collect, truthfully account for, pay over the tax, or make returns of\nthe tax as required in this section, the tax commission may serve a\nnotice requiring such employer to collect the taxes which become\ncollectible after service of such notice, to deposit such taxes in a\nbank approved by the tax commission, in a separate account, in trust for\nand payable to the tax commission, and to keep the amount of such tax in\nsuch account until payment over to the tax commission. Such notice shall\nremain in effect until a notice of cancellation is served by the tax\ncommission.\n