1. (1) ACH debit, ACH creditand fedwire taxpayers. The mailing rules specified in sections 289-d,315 and 1147 of the Tax Law and in regulations promulgated thereundershall not be applicable to payments made by taxpayers electing theACH debit, ACH credit or fedwire payment option. Such taxpayers shallbe deemed to have timely made their payment of tax when the department'sdepository bank receives the payment of tax on or before the applicabledue date.

2. (2) Certified check taxpayers.The mailing rules specified in sections 289-d, 315 and 1147 of theTax Law and regulations promulgated thereunder shall be applicableto payments made by taxpayers electing the certified check paymentoption and mailing such certified checks and accompanying completedtransmittal forms to the department's depository bank, subjectto the proviso that the taxpayer must mail its certified check forthe tax liability on or before the second business day prior to theapplicable due date.

   (b)

3. (1) In the eventthat the penalty or penalties described in subdivision (g) of section10 of the Tax Law have been imposed and it is later determined thatany such failure was due to reasonable cause and not due to willfulneglect, all of such penalties shall be waived, and in the case ofinterest imposed with respect to the sales and use taxes requiredto be remitted by electronic funds transfer pursuant to section 10of the Tax Law, that portion of the interest that exceeds the amountthat would be payable if such interest were computed at the rate setby the commissioner pursuant to section 1142(9) of the Tax Law (seePart 2393 of this Title) shall also be waived. The absence of willfulneglect alone is not sufficient grounds for not imposing or for cancellingsuch penalty or penalties, and interest.
4. (2) All of the factsalleged as a basis for reasonable cause and absence of willful neglectmay be required to be affirmatively shown in a written statement madeby the taxpayer against whom the penalty or penalties have been assessedor are assessable. Where the taxpayer is unable to provide such statementor does not have personal knowledge of such facts, a showing of reasonablecause and absence of willful neglect may be made on behalf of thetaxpayer by an individual with personal knowledge of such facts. Indetermining whether reasonable cause exists, in additionto an evaluation of such facts, the taxpayer's previous compliancerecord with respect to all of the taxes imposed pursuant to the TaxLaw may be taken into account.

5. (3) Grounds for reasonablecause. The following exemplify grounds for reasonable cause and absenceof willful neglect, where clearly established by or on behalf of thetaxpayer:

   1. (i) taxpayer inabilityto access the electronic payment reporting system on the requireddue date because of a systems failure beyond the taxpayer's control(i.e., a failure in the electronic payment reporting system);
   2. (ii) department ordepartment depository bank systems failure preventing proper receiptof a payment of tax;
   3. (iii) taxpayer inabilityto timely complete a program transaction, due to any other circumstancesbeyond its control, but only if all possible remedial action is immediatelyinitiated; or
   4. (iv) the circumstancesset forth in section 2392.1 of this Title, as applicable.

(a) Mailing rules.