OOIDA says drivers should receive NY HUT pass-through refunds by Feb. 15
January 24, 2018
•Land Line Staff
Truckers who paid unconstitutionally discriminatory registration and decal fees to the state of New York should receive their refunds by Feb. 15 following a court order extending the deadline.
OOIDA filed a lawsuit against the state of New York in October 2013. The lawsuit challenged the registration and decal fees as unconstitutional and discriminatory against out-of-state truckers who have paid the taxes in order to do business in New York. OOIDA established that the challenged taxes resulted in a higher per-mile tax rate being imposed on out-of-state trucks, which therefore violated the Commerce Clause of the Constitution. Without a trial, the court agreed.
On Sept. 21, 2016, the state of New York agreed to refund class members $44.4 million, including approximately 6 percent interest. The settlement covers a four-year statute of limitations, from June 1, 2009, through March 8, 2016. On July 7, 2017, more 100,000 tax refund checks were mailed to truckers and carriers who are members of a class action lawsuit.
Carriers in the class are entitled to keep refunds for taxes paid exclusively by them. Carriers who charged back any registration or decal fees to owner-operators are required to pass through the full amount of the tax refunds they receive for such tax payments to those owner-operators.
Under the court’s original order, carriers were required to complete the pass-through process by Jan. 7. However, OOIDA’s counsel, The Cullen Law Firm, was alerted that some carriers required additional time to locate former drivers and pass through their refunds. The Cullen Law Firm requested an extension for carriers to complete the pass-through process, and the court granted the request. Carriers must now pass through refunds to owner-operators by Feb. 15.
Drivers who paid New York highway use registration and decal fees from June 1, 2009, through March 8, 2016, and who have not received a pass-through refund from their carrier by the end of February 2018, should contact their carrier or call 855-800-4235.
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