Anonymous asked in Politics & GovernmentLaw & Ethics · 10 years ago

Can I sue the New York State Tax and Revenue Department?

I was hired in July 2010 by a Canadian company X. They also have offices in New York State and Michigan. I am a resident of and domiciled in the state of West Virginia. They hired me to look up mineral rights on certain tracts of land in West Virginia. Upon looking at my paycheck, I discovered that instead of West Virginia taxes being taken out, they were taking out New York taxes! Remember, I live and work in West Virginia.

I talked to my husband who found the IRS forms I need to fill out, one stating I am not a resident of New York City, New York State, or Yonkers, and one stating I am a resident of West Virginia. I filled them out and faxed them and then called said Company X. They flat-out refused to take out West Virginia taxes. They told me they were "not equipped" to take out West Virginia taxes and that when I file, it would "all work out in the end."

I wanted to make sure everything was kosher, so I called the WV Tax Department. They said that if anyone is doing business in WV, then they need to pay WV taxes and take WV taxes from their paychecks. They told me it was illegal for them to do otherwise. Once again, I called Company X and once again, they refused to comply. So I quit my job in September 2010, after less than 3 months of working for them.

Meanwhile, I've been having trouble getting my money back from New York State. Apparently, no company has ever committed fraud within the state of NY and they have no clue how to handle it. I've been working with them since April. It is now late September and I have to pay my WV taxes by October 15th and it's not looking like I'll get any money back from NY. I'm annoyed!

My question is, if NY refuses to refund my taxes, can I sue the state of NY for that tax money, as well as the penalties and interest I incur from WV, and possibly even punitive damages? And how do I go about doing this? (I cannot get ahold of Company X to sue them or go through mediation).

1 Answer

  • 10 years ago
    Favorite Answer

    You require the services of a lawyer to have any chance at all against the state of NY. There is no way you will prevail on a case like this by yourself.

    You will have to pay that lawyer.

    How much money are you trying to get back, versus how much will a lawyer charge you to do this?

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