Alcoholic beverage/liquor tax bond ensures that if the taxpayer is unable to remit an excise tax on alcoholic beverages, the State of New York may be able to file a claim against the taxpayer's surety bond. The claimant would be the state comptroller's office.
Common claims that might result in an Alcoholic Beverage/Liquor Tax Bond claim include failure to file excise tax forms or failure to pay an excise tax. Other reasons for filing a claim could include underreporting or overreporting due to theft by employees, buying alcoholic beverages from someone other than a wholesaler or retailer with intent to defraud the State, paying employees who are not authorized to handle alcoholic beverages, or those that commit criminal acts involving it.
The New York State Department of Taxation and Finance determines the fine for underreporting as a percentage of gross sales from the previous calendar year. Overreporting results in a 10 percent tax penalty on purchases and sales made during the current calendar year. The penalties may also double if any other type of fraudulent activity is involved (such as a sale by an individual whose permit has been revoked).
Durable Medical Equipment, Prosthetics, Orthotics Supplier (DMEPOS) Bond guarantees that the supplier will abide by all State and federal laws as defined in Title 18 NYCRR section 573.7 related to the sale of DMEPOS products that are reimbursable under Medicare Part B. Claims against this bond could include charges of selling a product without being an authorized supplier, selling products to someone who is not enrolled with the supplier as a patient or claims for failing to complete a state or federal claim form before selling a DMEPOS product.
The New York State Department of Health determines the fine if it decides that no claim was filed with them prior to the sale of the DMEPOS product. The CDHC may also choose to revoke the supplier's license if it thinks that it failed to complete a state or federal claim form.
A financial guaranty bond ensures that the taxpayer will allow the State of New York and other parties to seek reimbursement for total or partial payment. Taxpayers can be individually held liable via this bond for failure to pay taxes due as well as insufficient tax returns filed on time.
The CDHC decides whether a claim will be allowed against this type of bond based on case-specific facts, such as how late the tax return was filed and what types of penalties were incurred because of it. It is possible for a taxpayer to have more than one kind of surety on their account meaning that different claims could result from the same late return.
Produce dealer bond ensures that a produce dealer, as defined by NYCRR Title 10 section 493.1 will conduct their business in accordance with all state and local laws. In addition to fines for violating these laws, this type of bond may be claimed against if the produce dealer does not keep accurate records of all purchases, scales, and weights. If meat or other perishable items are included in purchase/sales records that were not actually purchased or sold then it may also be subject to claim.
The Department of Agriculture and Markets determines the fine amount if they find incorrect information on purchase/sales records once they have conducted an investigation. They may also revoke a produce dealer's license if they find that they conducted their business inappropriately.
Warehouse bond ensures that a warehouseman, as defined by NYCRR Title 10 section 491 will conduct their business in accordance with all state and local laws. In addition to fines for violating these laws, this type of bond may be claimed against if the warehouseman does not keep accurate records of all receipts and deliveries or allows unauthorized personnel to access the facility.
The Department of Agriculture and Markets determines the fine amount if they find incorrect information on delivery records once they have conducted an investigation. The department may also revoke a warehouseman's license if it finds them guilty of engaging in an improper activity involving their facility.
Public Service Commission (PSC) motor carrier of property bond ensures that a service provider, as defined by NYCRR Title 18 section 380.2 will conduct their business in accordance with all state and local laws.
Claims against this type of bond typically involve claims for damages incurred through the use of public roads when transporting property
The Department of Transportation determines the fine amount if they find inappropriate usage of public roads once investigations have been conducted. The department may also suspend or revoke a violator's license depending on the severity of the situation.