Tenant Who Didn't Respond to DHCR Subject to Deregulation

(Decision submitted by Eileen O'Toole of the Manhattan law firm of Borah, Goldstein, Altschuler, Nahins & Goidel, P.C., attorneys for the landlord.)

Landlord applied in 2011 for high-rent/high-income deregulation of tenant's rent stabilized apartment. Tenant answered the DRA's initial notice of the application, stating that the relevant household income was below the deregulation threshold in 2009 and 2010 but that she hadn't yet filed income tax returns for either year due to illness. The DRA sent tenant eight follow up notices at different times, asking if she had filed her tax returns. In one response, tenant stated that she had filed the 2009 return but not yet the 2010 return. In one other response tenant claimed that she wasn't required to file tax returns for 2009 or 2010 due to low income but had instructed her accountant to file returns. Otherwise, tenant didn't respond to the DRA's notices. The DRA eventually conducted an income verification inquiry with the DTF, which reported that it could make no match for tenant for either year in question. The DRA ruled for landlord based on tenant's failure to respond and failure to provide income verification tax information to the DHCR.

Tenant appealed and lost. Although tenant now claimed that she didn't have to file tax returns, she told the DRA that she had filed a 2009 return and was going to file a 2010 return. The DRA gave tenant repeated notice of her obligation to respond and provide the required income verification and tax information. Tenant failed to do so.

Zelig: DHCR Adm. Rev. Docket No. FR410058RT (6/14/18) [6-pg. doc.]