Was Tenant's Income Below High-Rent/High-Income Deregulation Threshold?

Landlord applied for high-rent/high-income deregulation of tenant's rent-stabilized apartment in 2011. The DRA ruled for landlord in 2017 after the Dept. of Taxation and Finance (DTF) couldn't make a tax match for tenant for either relevant tax year. Tenant appealed to the DHCR and lost in 2018. A court then denied tenant's Article 78 appeal of the DHCR's decision.

Tenant then sought renewal and reargument from the court and, for the first time in 2019, presented a sworn statement from DTF staff, which said that DTF's prior statement that it couldn't locate tenant's income verification information for 2009 and 2010 was inaccurate since tenant had in fact filed a 2009 tax return, showing that her annual household income was less than $175,000. The court denied tenant's request to send the case back for further consideration. 

Tenant appealed, and the appeals court sent the case back to the DHCR for submission of a complete record, further fact finding, and a new ruling, in order for the DHCR to render substantial justice to the parties. The DHCR took the case back, then ruled that the matter must be sent down to the DRA for further fact-finding and a new ruling on landlord's deregulation application.

Zelig: DHCR Adm. Rev. Docket No. JV410002RP (12/8/21)[3-pg. document]