No Deregulation for Tenant Who Explained Nonfiling of Tax Returns

Landlord applied for high-rent/high-income deregulation of tenant's rent-stabilized apartment. Tenant answered the DRA's notice of landlord's application. Tenant said he hadn't filed tax returns and wasn't required to file New York State income tax returns because of his visa status. The DRA ruled against landlord after it was unable to verify tenant's income for the prior two years with the New York State Department of Taxation and Finance (DTF). Landlord appealed, arguing that the DHCR should have investigated further why DTF couldn't confirm tenant's income or make a match with its tax records. Or the DHCR should have made tenant submit certified copies of his tax returns. The DHCR ruled against landlord. Tenant gave the DHCR all the information he was required to provide in response to landlord's application. And tenant explained that there was no match with any tax records at DTF, because he said he didn't file tax returns. The DHCR had no obligation or authorization to investigate any further.

Chatsworth Realty 344 LLC: DHCR Adm. Rev. Docket No. VH410007RO (10/16/07) [4-pg. doc.]