Why I Got Fined by the NY Tax Department

If you run a single-member LLC in New York and expect the state to send you reminders by mail… you’re in for a surprise. I learned that lesson the hard way—and paid the price.

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The Shocking Reality: No Paper Notice?

Like many small business owners, I was waiting for a letter from the New York State Department of Taxation and Finance about my quarterly sales tax return. But nothing came. Days turned into weeks. Then suddenly—I found out I’d been fined for missing the deadline. What went wrong?

They Don’t Always Send Paper Notices. One Miss Can Cost You.

The truth? New York usually sends notices online—and sometimes paper notices don’t arrive. That one miss can lead to penalties you didn’t see coming. The only reliable way to stay on top of your sales tax deadlines is by logging into the NYSDTF online portal regularly. I didn’t—and I paid for it.

Here’s What I Missed:

A message dated June 23rd was posted on the portal—stating I hadn’t filed my quarterly sales tax.

Maybe there was an email. But like many busy solo founders, my inbox was overflowing. I didn’t notice it. I never clicked through.

So I missed the deadline.

I paid the Tax… and a Late Fee.

Once I found the message and realized what had happened, I filed my return and paid the penalty. It wasn’t a huge amount—but the experience was frustrating. Not because of the fee, but because I hadn’t realized how passive the system was. You have to check for yourself.