Why No Tax Match in Deregulation Case?

In 2007, landlord applied for high-rent/high-income deregulation of tenant's rent-controlled apartment. Tenant responded that the annual household income for herself and her son was below $175,000 for both 2005 and 2006. She submitted with her answer copies of the first page of New York State tax returns for herself and her son and stated that they filed returns for both years. The DRA dismissed landlord's application because DTF could find no tax records matching tenant or her son for either or both of the two tax years in question. The DRA stated that if the $175,000 income threshold couldn't be confirmed by DTF, it couldn't deregulate the apartment. Landlord appealed, claiming that tenant should have to explain to the DHCR why there was no tax match with DTF. The DHCR ruled for landlord and reopened the case. Since tenant already stated that she and her son had filed returns for both 2005 and 2006, the DRA should make further inquiries concerning DTF's failure to match records for tenant and her son.

Ram I LLC: DHCR Adm. Rev. Docket No. WI420004RO (12/9/08) [3-pg. doc.]