Form ST-62: IDA Annual Compliance Report for State Sales Tax Recapture Explained

Form ST-62, officially titled “IDA Annual Compliance Report State Sales Tax Recapture,” is a report that Industrial Development Agencies (IDAs) in New York State file with the New York State Department of Taxation and Finance. It tracks sales tax exemptions granted to project operators and agents under an IDA-sponsored project, and it flags any instances where those exemptions need to be recaptured because the project failed to meet certain conditions.

When an IDA sponsors a project, it can authorize agents or operators to make purchases exempt from state and local sales tax using a certificate like Form ST-123. That exemption is a real financial benefit, but it comes with strings attached. If the project doesn’t deliver on its job creation commitments, relocates unexpectedly, or otherwise violates the terms of its agreement with the IDA, New York law requires that some or all of the sales tax benefit be recaptured — meaning the IDA has to report it and, in many cases, ensure the recaptured amount gets paid back to the state.

Who Needs to File Form ST-62

This form isn’t for individual taxpayers or contractors. It’s filed by the Industrial Development Agency itself, not by the businesses or project operators benefiting from the tax exemption. Each IDA is responsible for monitoring the projects it sponsors and reporting annually on whether any sales tax exemptions granted during the year are subject to recapture.

If you’re a project operator or agent who received exempt purchase certificates through an IDA, you won’t file this form personally, but you should understand that your project’s compliance status feeds directly into what your IDA reports here. Falling short of job creation targets, failing to maintain operations at the project site, or breaching other terms of your agreement can trigger a recapture event that the IDA must disclose.

When Is This Form Used

Form ST-62 is filed annually, covering the IDA’s fiscal or reporting year. It’s part of a broader set of compliance obligations that IDAs have with New York State in exchange for the ability to offer sales tax exemptions on qualifying projects. The report essentially reconciles the exemptions granted against the performance requirements tied to each project, and it identifies any cases where the state is owed money back because commitments weren’t met.

This filing works alongside other documentation IDAs and project participants may need to keep on file, including exemption certificates and, for construction-related purchases, forms like Form ST-124 when capital improvement work is involved. Keeping accurate records throughout the year makes completing the annual ST-62 report much more straightforward.

How to Get and Complete Form ST-62

Form ST-62 is available directly from the New York State Department of Taxation and Finance website as a fillable PDF, meaning it has AcroForm fields that let you type your information directly into the document before printing or saving it. This is the current version, dated 1/18.

When filling it out, an IDA will typically need to provide:

• Basic identifying information about the agency itself
• Details on each project that received state sales tax exemption benefits during the reporting period
• Information on whether any project failed to meet its job creation, retention, or other contractual obligations
• The amount of sales tax exemption subject to recapture, if applicable
• Confirmation of steps taken to collect and remit any recaptured tax

Because this form deals with tax recapture calculations, it’s worth having your project files organized before you start — including any related contractor certifications, such as Form ST-220-TD, which documents contractor compliance on IDA projects. Cross-referencing these records against your ST-62 entries helps avoid mismatches that could draw questions from the Department of Taxation and Finance.

Once completed, the form should be submitted according to the instructions provided on the document itself, which specify where and how IDAs need to send their annual compliance reports. Since requirements and mailing details can be updated from year to year, it’s a good idea to check the form’s most current version directly from the state’s website before filing, rather than relying on an older printed copy.