Sec. 21-1.3. Returns where Federal income is changed

Tax Law, § 1462(e)

(a) If the amount of the taxable income for any year of any taxpayer as reported for Federal income tax purposes is changed or corrected by a final determination of the Commissioner of Internal Revenue or other officer of the United States or other competent authority, the taxpayer is required to report to the commissioner such changed or corrected taxable income within 90 days, or 120 days in the case of a taxpayer making a combined return for the year affected, after the final determination. The taxpayer must concede the accuracy of such determination, or state wherein it is erroneous.

(b) Any deficiency notice issued (including a notice issued pursuant to a waiver filed by a taxpayer) pursuant to the provisions of the Internal Revenue Code is a final determination unless a timely petition to redetermine the deficiency is filed in the Tax Court of the United States. If a petition is filed, the judgment of the court of last resort is the final determination. The allowance by the Commissioner of Internal Revenue of a refund of any part of the tax shown on the taxpayer's return or of any deficiency thereafter assessed, whether the refund is made on the commissioner's own motion or pursuant to the judgment of a court, is also a final determination. The allowance of a tentative carry-back adjustment based upon a net capital loss carry-back pursuant to section 6411 of the Internal Revenue Code will be treated as a final determination for purposes of this section.