N.Y. Tax Law 3038 – Civil damages for unauthorized disclosure of returns and return information
§ 3038. Civil damages for unauthorized disclosure of returns and return information. (a) General. (1) Disclosure by employee of the state. If any officer or employee of the state of New York knowingly, or by reason of negligence, discloses any return or report, any particulars set forth or disclosed in any return or report, or any other information with respect to a taxpayer in violation of any provision listed in section eighteen hundred twenty-five of this chapter, such taxpayer may bring a civil action for damages against the state in the court of claims.
Terms Used In N.Y. Tax Law 3038
- Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
- Defendant: In a civil suit, the person complained against; in a criminal case, the person accused of the crime.
- Plaintiff: The person who files the complaint in a civil lawsuit.
(2) Disclosure by a person who is not an employee of the state. If a person who is not an officer or employee of the state knowingly, or by reason of negligence, discloses any return or report, any particulars set forth or disclosed in any return or report, or any other information with respect to a taxpayer in violation of any provision listed in section eighteen hundred twenty-five of this chapter, such taxpayer may bring a civil action for damages against such person.
(b) No liability for good faith but erroneous interpretation. No liability shall arise under this section with respect to any disclosure which results from a good faith, but erroneous, interpretation of any of the provisions listed in section eighteen hundred twenty-five of this chapter.
(c) Damages. In any action brought under subdivision (a) of this section, upon a finding of a liability on the part of the defendant, the defendant shall be liable to the plaintiff in an amount equal to the sum of (1) the greater of (A) one thousand dollars for each act of unauthorized disclosure with respect to which such defendant is found liable, or (B) the sum of (i) the actual damages sustained by the plaintiff as a result of such unauthorized disclosure, plus (ii) in the case of a willful disclosure or a disclosure which is the result of gross negligence, punitive damages, plus (2) the costs of the action.