New York Consolidated Laws

N.Y. Tax Law § 1133 (2026)

Liability for the tax

✓ current as of May 2026

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§ 1133. Liability for the tax.  (a) Except as otherwise provided in
section eleven hundred thirty-seven of this part, every person required
to collect any tax imposed by this article shall be personally liable
for the tax imposed, collected or required to be collected under this
article. Any such person shall have the same right in respect to
collecting the tax from their customer or in respect to nonpayment of
the tax by the customer as if the tax were a part of the purchase price
of the property or service, amusement charge or rent, as the case may
be, and payable at the same time; provided, however, that the tax
commission shall be joined as a party in any action or proceeding
brought to collect the tax.
  (b) Where any customer has failed to pay a tax imposed by this article
to the person required to collect the same, then in addition to all
other rights, obligations and remedies provided, such tax shall be
payable by the customer directly to the tax commission and it shall be
the duty of the customer to file a return with the tax commission and to
pay the tax to it within twenty days of the date the tax was required to
be paid.
  (c) The tax commission may, whenever it deems it necessary for the
proper enforcement of this article, provide by regulation that customers
shall file returns and pay directly to the tax commission any tax herein
imposed, at such times as returns are required to be filed and payment
made by persons required to collect the tax.
  (d) (1) no person required to collect any tax imposed by this article
shall advertise or hold out to the public in any manner, directly or
indirectly, that the tax imposed by this article is not considered as an
element in the price, amusement charge or rent payable by customers.
However, such person required to collect tax may advertise, hold out, or
state to a retail purchaser or to the public, that such person will pay
the tax imposed by section eleven hundred five of this article on behalf
of a retail purchaser, subject to the following conditions:
  (i) In so advertising, holding out, or stating to a retail purchaser
or to the public, such person required to collect tax shall expressly
state on every bill, memorandum, receipt or other statement of the
price, amusement charge or rent paid or payable given to such purchaser,
that such person will pay the tax imposed by section eleven hundred five
of this article on behalf of such purchaser, and such person shall not
indicate or imply that the transaction is exempt or excluded from any
tax imposed by this article; and
  (ii) Every bill, memorandum, receipt or other statement of the price,
amusement charge or rent paid or payable given to such purchaser shall
separately state the amount of tax due pursuant to such section eleven
hundred five and that the tax was not collected from such purchaser.
Such person required to collect tax shall hold such tax as trustee for
and on account of the state; and
  (iii) A retail purchaser, who in good faith accepts from a person
required to collect any tax imposed by this article, a bill, memorandum,
receipt or other statement of the price, amusement charge or rent that
indicates the amount of tax due pursuant to such section eleven hundred
five and that such person required to collect tax will be paying such
tax on behalf of such purchaser, shall not be liable for the tax imposed
by such section eleven hundred five, or any interest or penalties
thereon; provided, however that nothing in this subdivision shall exempt
such purchaser from any additional tax due pursuant to section eleven
hundred ten of this article.
  (e) Applicability of Mobile Telecommunications Sourcing Act. The
provisions of sections 119(c), 120, 121 and 122 of title 4 of the United
States Code as enacted and in effect on July twenty-eighth, two
thousand, to the extent relevant and to the extent required by
preemption, shall apply to the provisions of this article in the same
manner and with the same force and effect as if the language of such
sections of such title 4 of the United States Code had been incorporated
in full into this article and had expressly referred to the taxes under
this article, with such modifications as may be necessary in order to
adapt the language of such provisions to the taxes imposed by this
article.
  (f) A marketplace provider is relieved of liability under this section
for failure to collect the correct amount of tax to the extent that the
marketplace provider can show that the error was due to incorrect or
insufficient information given to the marketplace provider by the
marketplace seller. Provided, however, this subdivision shall not apply
if the marketplace seller and marketplace provider are affiliated within
the meaning of paragraph one of subdivision (e) of section eleven
hundred one of this article.
  (g) A booking service shall be relieved of liability under this
section for failure to collect the correct amount of tax to the extent
that such booking service can show that the error was due to incorrect
or insufficient information given to the booking service by the
operator.  Provided, however, this subdivision shall not apply if the
operator and booking service are affiliated within the meaning of
paragraph ten of subdivision (c) of section eleven hundred one of this
article.

Notes of Decisions

Cited in 24 cases (1 in the last 5 years), 1986–2023 · leading case: Gen. Elec. Capital Corp. v. New York State Div. of Tax Appeals, 810 N.E.2d 864 (NY 2004).

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Gen. Elec. Capital Corp. v. New York State Div. of Tax Appeals, 810 N.E.2d 864 (NY 2004). · cites it 2× “They are subject to special registration and record-keeping requirements (Tax Law §§ 1134, 1135) and are “personally liable for the tax imposed, collected or required to be collected under [the sales tax] article” (Tax Law § 1133 [a]). Offering retail vendors the benefit of a…”

Walton v. New York State Dep't of Corr. Servs., 921 N.E.2d 145 (NY 2009). · cites it 2× “Tax Law § 1133 [b], [c] [allowing State to recover unpaid sales and use taxes from consumers]).”

Weissman v. Sinorm Deli, Inc., 669 N.E.2d 242 (NY 1996). · cites it 2× “Plaintiff faced contingent personal liabilities as a controlling shareholder of the corporation — for example, legal obligations for unpaid wages and salaries (see, Business Corporation Law § 630) and unpaid taxes (see, Tax Law § 1133), as well as potential liability from…”

Arizona Dep't of Revenue v. Action Marine, Inc., 181 P.3d 188 (Ariz. 2008). · cites it 2× “§§ 54 :32B-2(w) & 54:32B-14(a) (2002); N.Y. Tax Law § 1133 (2004); N.D. Cent.Code § 57-39.”

Compass Adjusters & Investigators, Inc. v. Comm'r of Taxation & Fin., 197 A.D.2d 38 (N.Y. App. Div. 1994). “Plaintiffs also were exposed to potential personal liability for the taxes as a result of defendant’s action (see, Tax Law § 1133 [a]). Turning to the merits, among the detective and protective services covered by Tax Law § 1105 (c) (8) are those provided by detective agencies,…”

Matter of Carlson v. Tax Appeals Trib. of the State of N.Y., 2023 NY Slip Op 01328 (N.Y. App. Div. 2023). “Tax Law § 1133 (a) (1) provides that "every person required to collect any tax imposed by this article shall be personally liable for the tax imposed, collected or required to be collected under this article." As relevant here, Tax Law § 1131 (1) defines persons required to…”

Cohen v. State Tax Comm'n, 128 A.D.2d 1022 (N.Y. App. Div. 1987). “(Standard), is personally liable for payment of sales and use taxes owed by *1023 Standard as a person required to collect such taxes pursuant to Tax Law § 1133 (a). Petitioner contends that the facts presented to respondent demonstrated that he was not involved in Standard’s…”

Blodnick v. New York State Tax Comm'n, 124 A.D.2d 437 (N.Y. App. Div. 1986). “The Tax Law imposes personal liability for taxes required to be collected under Tax Law article 28 upon a person required to collect such tax (Tax Law § 1133 [a]). A person required to collect such tax is defined as "any officer, director or employee of a corporation * * * who…”

Matter of Shuai Yin v. State of N.Y. Dept. of Taxation & Fin., 2017 NY Slip Op 5285 (N.Y. App. Div. 2017). “Although sales tax is generally required to be collected by sellers, a customer who fails to pay sales tax to the person required to collect it must, instead, file the appropriate return and pay the tax directly (see Tax Law § 1133 [b]; 20 NYCRR 532.1 [e]). At the outset of the…”

Arizona Dep't of Revenue v. Action Marine, Inc., 161 P.3d 1248 (Ariz. Ct. App. 2007). “157(3) (providing for personal assessment of any officers, directors, or statutory trustees of a corporation who have direct control, supervision, or responsibility for filing returns or making tax payments); N.Y. Tax Law § 1133 (a), 1131 (imposing personal liability on any…”

Coppola v. Tax Appeals Tribunal, 37 A.D.3d 901 (N.Y. App. Div. 2007). “Tax Law § 1133 (a) imposes liability on any person who is responsible to collect a tax imposed by Tax Law article 28.”

Hall v. Tax Appeals Tribunal, 176 A.D.2d 1006 (N.Y. App. Div. 1991). “, a restaurant and bar business, is personally liable for payment of sales and use taxes owed by the business as a person required to collect such tax pursuant to Tax Law § 1133 (a). Petitioner contends that, because the record establishes that he lacked ultimate authority and…”

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